Energy IPOs Are Booming Thanks to AI’s Insatiable Thirst for Power
India Pulls Back From Iraqi Oil as Hormuz Turns Too Dangerous Colombia's incoming President Abelardo de… Haley Zaremba is an energy journalist and researcher with more than a decade of professional experience covering global energy systems, land and natural resources, and… The artificial intelligence boom has created an era of unprecedented uncertainty in the global economy.
Large language models are evolving as quickly as they are being integrated, creating a major headache for anyone trying to project their future impactor even their current energy footprint.
But while we don’t know exactly how much energy will be needed to power the tech sector in coming years, we do know that it will be a whole lot, and the market is already reacting accordingly.
“Energy companies are raising money at IPO at their fastest pace this century, taking advantage of investors’ hunt for new ways to bet on the boom in power-intensive AI data centres,” states a recentreportfrom the Financial Times.
In the first half of this year, the money raised in initial public offerings for energy startups was the highest since 1999, when the first dot-com boom spurred a similar gold rush.
And the rate of growth is staggering: in 2025, energy companies raised a total of $4.3 billion for the entire year.
The total for 2026 is already at $12.6 billion, and we still have another half year to go.
“Investors started by buying AI-linked names like Nvidia.
Then they said, ‘hold on, every chip needs energy to power it’,” RBC clean energy analyst Chris Dendrinos was quoted by the Financial Times.
“That’s put a huge tailwind behind these companies.” This spending spree includes a wide range of energy companies, including unproven and next-gen energy technologies that are enjoying a windfall of funding that they may not otherwise have achieved.
The tech sector isinvesting heavily in pie-in-the-sky energy researchlike nuclear fusion, enhanced geothermal energy, and space-based solar power.
Earlier this year Meta, the company behind Facebook and Instagram, signed a deal with startup Overview Energy to develop as much as 1 gigawatt of space-based solar power.
| Product | Price | Change |
|---|---|---|
| Brent Crude | $102.14/bbl | +0.34% |
| WTI Crude | $96.90/bbl | +0.21% |
| EN590 Diesel | $846/MT | +0.18% |
| Jet Fuel A-1 | $1090/MT | +0.55% |
| Mazut M100 | $450/MT | -0.15% |
| Bitumen 60/70 | $470/MT | +0.08% |
| Sulphur Gran 99.5% | $470/MT | -0.44% |
| Urea 46% Gran | $650/MT | +1.12% |
| NPK 16-16-16 | $460/MT | -0.28% |
| Nat Gas TTF | $15.42/MMBtu | +0.92% |
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