China Fusion Energy Stocks Rise After Shanghai Office Launch

(Digital Phablet) July 23 — Shares of several Chinese companies associated with controlled fusion energy surged to the maximum daily trading limit today following the opening of China Fusion Energy’s new office in Shanghai, an initiative by a government-backed leader in experimental clean energy technology that aims to emulate the sun’s processes to produce limitless power.

Stock prices for nuclear power company Dongfang Electric [SHA: 600875], energy storage leader Fujian Snowman Group [SHE: 002639], and heavy machinery service provider Sinomach Heavy Equipment Group [SHA: 601399] all closed up 10 percent today.

During yesterday’s office opening ceremony, the seven shareholders of Fusion Energy revealed a detailed breakdown of their ownership stakes. China National Nuclear Corporation (CNNC) holds the majority with 50.4%. CNNC’s subsidiaries, Kunlun Capital and China National Nuclear Power, have shares of 20 percent and 6.7 percent, respectively.

The remaining shareholders include Shanghai Future Fusion Energy Technology, Zhejiang Zheneng Electric Power, the National Green Development Fund, and Sichuan Zhongke Fusion Energy Technology, owning 11.8 percent, 5 percent, 3.2 percent, and 3 percent, respectively.

The ultimate controlling entities of Zhejiang Zheneng Electric Power, Sichuan Zhongke Fusion Energy, and Shanghai Future Fusion are branches of the State-Owned Assets Supervision and Administration Commission (SASAC) located in Zhejiang province, Chengdu, and Shanghai.

Founded last September, Fusion Energy is a trailblazer in the capital-intensive field of nuclear fusion—an advanced technology promising to generate clean, endless energy without producing long-lasting nuclear waste.

In a statement released yesterday, the seven shareholders disclosed they have invested approximately CNY 11.5 billion (about USD 1.6 billion) into Fusion Energy. Adding this to its initial registered capital of CNY 3.5 billion (roughly USD 488.7 million), the company now has a total registered capital of CNY 15 billion.

In 2021, China announced the Action Plan for Carbon Dioxide Peaking Before 2030, emphasizing the importance of advancing research into cutting-edge technologies like controlled nuclear fusion.