Centrus Energy has struck a deal to supply nuclear fuel startup Oklo with domestically produced uranium, marking a step toward reducing reliance on foreign sources for a key advanced reactor material. The agreement centers on High-Assay Low-Enriched Uranium, a fuel not yet commercially produced at scale in the United States.
Why HALEU production matters
HALEU is enriched to between 5% and 20% uranium-235, a higher concentration than the 3-5% used in most current reactors. It is needed for next-generation designs, including the small modular reactors Oklo is developing. Until recently, nearly all HALEU came from Russian supplies, raising energy-security concerns. The Centrus-Oklo deal signals a shift toward building a domestic supply chain.
What the deal involves
Centrus will produce the enriched material at its facility in Piketon, Ohio. The company received a demonstration award from the U.S. Department of Energy in 2019 and has been working to restart centrifuge production. Oklo, based in California, plans to use the fuel for its Aurora reactor, a design that aims to run on recycled waste as well as fresh HALEU. Financial terms of the supply agreement were not disclosed.
How it could reshape the nuclear landscape
The deal comes as the Biden administration pushes for more carbon-free power and as utilities explore small reactors to replace retiring coal plants. Domestic HALEU production could remove a bottleneck for companies like Oklo, which need a reliable fuel source before they can secure construction permits. If successful, the partnership may encourage other reactor developers to follow suit, potentially accelerating the deployment of advanced nuclear in the United States.
Oklo is still awaiting final approval from the Nuclear Regulatory Commission on its first plant design. The company expects to begin construction later this decade, pending licensing and fuel availability.
