On Tuesday, the U.S. Department of Energy revealed a significant investment of $2.7 billion aimed at enhancing and restoring domestic uranium enrichment capabilities. This initiative, according to the agency, is designed to fortify the nation’s nuclear fuel supply and lessen dependence on foreign sources.
The allocated funding, which will be spread over the next decade, is intended to facilitate the production of low-enriched uranium (LEU) for current nuclear reactors, as well as high-assay low-enriched uranium (HALEU), a specialized fuel essential for next-generation nuclear technologies. Federal officials emphasized that this initiative is crucial for addressing the increasing energy demand while also strengthening national security.
“Today’s awards show that this administration is committed to restoring a secure domestic nuclear fuel supply chain,” Energy Secretary Chris Wright said in a statement, describing the initiative as part of a broader push to revive the U.S. nuclear energy sector.
The Department of Energy awarded enrichment task orders totaling $2.7 billion to three companies:
- American Centrifuge Operating, which will receive $900 million to develop domestic HALEU enrichment capacity;
- General Matter, awarded $900 million for additional HALEU enrichment capacity; and
- Orano Federal Services, which will receive $900 million to expand U.S.-based LEU enrichment services.
The awards originate from contracts that the DOE established last year with six companies qualified to compete for upcoming enrichment projects. Officials indicated that the new task orders will be released under a milestone-based framework designed to guarantee accountability.
The department stated that restoring domestic enrichment capacity is essential for sustaining fuel supplies for the nation’s 94 active commercial nuclear reactors and facilitating the rollout of advanced reactors in the years ahead.
