How Would Canada's Multibillion-Dollar Uranium Deal With India Affect Juniors?

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1. Ownership and Share Structure Information

The information listed above was updated on the date this article was published and was compiled from information from the company and various other data providers.

Canada and India are on the verge of finalizing a multibillion-dollar uranium supply agreement spanning 10 years expected to be signed during a heads of state meeting in March, according to sources from both countries at the recently concluded India Energy Week in Goa, India, Gaurav Sharma reported for Forbes on February 1.

Canada is the world's second-largest uranium producer and contributes 13% to 15% of global output, as reported by the International Energy Agency. Meanwhile, India ranks as the third-largest energy consumer worldwide.

With its rapidly growing economy, India is seeking secure uranium supplies to expand its nuclear power capacity tenfold to 100 gigawatts by 2047, and both nations are eager to collaborate on this initiative, Sharma reported.

Central to this supply agreement is Canada's Cameco Corp. (CCO:TSX; CCJ:NYSE), the largest publicly traded uranium company globally, headquartered in Saskatchewan. Cameco is the majority owner of Cigar Lake, the world's highest-grade uranium mine, located in northern Saskatchewan. The mine has been operational since 2014 and is a key asset in Cameco’s portfolio. As of May 2022, Cameco holds a 54.547% stake in Cigar Lake, with Orano Canada owning 40.453% and TEPCO Resources holding 5%.

A spokesperson for India’s Department of Atomic Energy estimated the potential value of the 10-year deal to be "in the region of US$3 billion." Cameco stated that it would provide market updates at the appropriate time but declined to comment further.

A Significant Shift For US Power Sector

Predictions of soaring electricity consumption from data centers are beginning to come true, raising questions about the implications for the power grid and the environment, according to a report by Benjamin Storrow for E&E News/Politico on December 24, 2025.

Commercial electricity demand, which serves as an indicator of data center power usage, increased by 2% in the first nine months of 2025 compared to the same period last year, according to a Politico’s E&E News analysis of federal data. This follows a 3% rise in 2024.

This marks a significant shift for the U.S. power sector, which had seen flat electricity demand for much of the past two decades. Demand is expected to climb even higher as the Trump administration and tech companies strive to surpass China in the development of artificial intelligence. The consulting firm Grid Strategies forecasts that peak electricity demand across the nation could increase by 166 gigawatts by 2030, equivalent to adding 15 New York Cities over the next five years.

"We’re now seeing in the data what we've all been talking about the last couple years," said Rob Gramlich, CEO of Grid Strategies. He estimated that data centers would contribute to 55% of the growth in U.S. electricity demand over the next five years.

The rising power needs of data centers have become a political issue this year as electricity costs rise for consumers.

A Nuclear Renaissance

AI data centers and the electrification of various industries are driving a surge in power demand that surpasses global supply, prompting companies, policymakers, and investors to reconsider nuclear power, according to a research report by Morgan Stanley on August 28, 2025.

Morgan Stanley Research projects 586 gigawatts (GW) of new global nuclear capacity by 2050, which is 53% higher than their previous forecast last year when analysts noted a "renaissance" in the industry. They now estimate that potential investments in the nuclear value chain could reach US$2.2 trillion by 2050, up from the initial US$1.5 trillion forecast.

This increased momentum is expected to benefit several sectors, including uranium mining, nuclear power generation, and the construction of equipment and plants.

"The nuclear renaissance has been building for some time already — with 22 nations pledging to triple nuclear capacity by 2050 at the COP28 summit in December 2023, plant life extensions in Europe, a strong pipeline in China, and Japan continuing to restart capacity," says Tim Chan, Morgan Stanley’s Head of Asia Sustainability Research. "The dual imperatives of decarbonization and energy security are making the nuclear renaissance a truly global investment theme."

While natural gas is currently the primary alternative to meet AI’s energy needs, technology companies are willing to pay a premium to transition to nuclear energy.

"We believe natural gas will be the primary near-term solution for powering AI data centers due to its speed to market, reliability, and flexibility, while nuclear power represents a longer-term clean energy alternative that is likely to gradually increase in importance," said Stephen Byrd, Morgan Stanley's Global Head of Sustainability Research. "Gas and nuclear are likely to play complementary roles."

Tightening Already Strained Supply Chains

According to Azincourt Energy Corp. (AAZ:TSX.V; AZURF:OTC) President, Chief Executive Officer, and Director Alex Klenman, deals like the possible one between Canada and India "tighten already inadequate supply chains."

"That's several billion dollars' worth of uranium removed from an already challenged market," Klenman told Streetwise Reports. "India is rapidly becoming one of the largest consumers with ambitious plans to significantly increase their fleet of reactors. In the next few years China will surpass the USA as the world's largest consumers of uranium."

Globally, there has never been this many reactors online and in the build and planning stages, Klenman said.

"The world is most definitely going nuclear, and supply is nowhere near the level needed to meet growing demand," Klenman noted. " The scenario needed to push the spot (price) to an all-time high appears to be staring us in the face. It's pretty obvious the world needs more discoveries and more production."

He continued, "For Azincourt, the timing to develop and bring a uranium deposit to market is extremely favorable. I'm not sure there's been a better time for explorers to confirm 'pounds in the ground.'"

Encouraging Results From Sampling Program

Last month, Azincourt announced assay results from samples collected during its summer 2025 prospecting program at the Harrier Uranium Project in Newfoundland and Labrador. The program involved sampling across various areas of the property, including the Snegamook Uranium Deposit, Moran Heights, Brook, and several newly identified showings.

The company reported that multiple surface samples yielded high-grade uranium values, with the Brook showing returning 6.28% U3O8 and up to 2.27% U3O8 along the Moran Heights trend. At the Snegamook Uranium Deposit, re-sampling of historical drill core confirmed uranium mineralization. A 10-centimeter check sample from drill hole SN-08-06 showed 2.71% U3O8, compared to a previously reported historical interval of 0.97% U3O8 over 0.5 meters. Another check sample from drill hole SN-08-18 returned 0.35% U3O8. These results confirm the quality of mineralization near the Snegamook deposit and suggest the potential for higher-grade lenses within the deposit.

Sampling along the Moran Heights trend returned values up to 2.27% U3O8, while a sample from the Brook showing returned 6.28% U3O8, compared to a previously reported result of 4.86% U3O8. Azincourt also identified two new uranium showings, Boiteau Lake North Extension and Anomaly 7 East. In total, 43 hand samples were collected during the program and analyzed at ACT Labs in Ancaster, Ontario.

Trevor Perkins, vice president of exploration for Azincourt Energy, commented in a company news release, "We are very encouraged by the results of the summer 2025 program. The assay results have demonstrated that the potential for high-grade uranium deposits exists on the Harrier Project."

Diamond Drilling Continues

According to Azincourt's corporate materials, the company has outlined a series of exploration and technical activities planned for the Harrier Uranium Project. These activities include diamond drilling at the Snegamook Uranium Deposit, which is identified as a key focus area, along with efforts to support the preparation of an NI 43-101 compliant resource estimate.

The company indicated that drilling at Snegamook is part of its exploration strategy and aims to advance the understanding of uranium mineralization at the deposit.

The corporate materials also detail plans for comprehensive geological and structural mapping of the mineralized system at Boiteau Lake. This work is intended to prepare for a diamond drilling program at that location. In addition to Boiteau Lake, the company stated that diamond drilling is planned at Moran Heights, where uranium mineralization has been identified through surface sampling and site investigations.

Beyond these specific targets, Azincourt mentioned that further development of other uranium showings across the Harrier Project is planned for future drill programs. The company indicated that these activities are part of its broader exploration plan for the property and are intended to further evaluate multiple areas of known uranium mineralization identified through previous exploration work and recent field programs.

Ownership and Share Structure ¹

Institutions hold less than 0.06% of Azincourt Energy. Institutional investors include Arrow Capital Management LLC with 0.06%.

Management and insiders own 1.26%. President, CEO, and Director Alex Klenman is a major shareholder, with 0.24%. Other insider shareholders are Director Paul Reynolds and Vice President of Exploration Trevor Perkins.

The rest is in retail.

Azincourt has 106.68 million shares outstanding, and its market cap is CA$7.47 million. Its 52-week range is CA$0.03–CA$0.27 per share.