China National Uranium (SHA:601985) surged on its first day of trading in Shenzhen, raising about 4 billion yuan (US$570 million) in its Wednesday (December 3) debut as company shares more than triple in value by the market close.
The state-backed miner priced 248 million shares at 17.89 yuan each, according to an exchange filing. The stock finished the session at 67.99 yuan, catapulting its market value to roughly 141 billion yuan (US$19.9 billion).
Proceeds will be used to expand output at uranium mines and support projects tied to the development and processing of associated radioactive minerals.
The blockbuster listing arrives as China is scaling up nuclear power more aggressively than any other nation.
The global superpower now leads the world in the number of reactors operating or under construction and is positioned to overtake the United States and France as the largest nuclear-energy producers by 2030.
With global momentum shifting back toward atomic power, the US, France and Japan all signaling a push toward tripling nuclear capacity by mid-century, demand for uranium has surged.
Prices have been climbing for the past four years as utilities and miners anticipate a prolonged expansion cycle.
But China’s supply chain still faces a structural gap. Domestic uranium production remains insufficient, forcing the country to depend on imports for more than 70 percent of its fuel requirements.
That reliance has pushed Beijing to shore up upstream resources and secure reliable feedstock for its growing fleet of reactors.
“Natural uranium is a key strategic resource and energy mineral for the country. A safe and stable supply of natural uranium is a foundation for rapid development of nuclear energy,” Chairman Yuan Xu said, according to news agency Xinhua.
“As the national team and main force in safeguarding our country’s natural uranium supply, China National Uranium is a cornerstone and ‘granary’ supporting development of the nuclear energy industry of China.”
China National Uranium mines natural uranium and processes materials including molybdenum and rare earth chlorides used in sectors such as semiconductor production.
The company posted net income of about 1.5 billion yuan (US$212.1 million) in 2024, an increase of roughly 16 percent from the previous year.
The company also owns a 69 percent stake in Namibia’s Rossing mine—one of the world’s largest uranium operations—after acquiring the holding from Rio Tinto (ASX:RIO,NYSE:RIO,LSE:RIO) in 2019.
Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.