Benzinga | Nov 17, 2021 06:35AM EST

Oklo and Centrus Sign LoI to Cooperate to Produce U.S.-based Fuel Supply to Support the Commercialization of Advanced Fission

Oklo Inc. (Oklo) and Centrus Energy Corp. (NYSE:LEU) have signed a non-binding Letter of Intent (LOI) to cooperate in the deployment of a High-Assay, Low-Enriched Uranium (HALEU) production facility. HALEU is an advanced fuel material that can be used to fuel both existing and advanced fission power plants. Both companies are committed to working toward establishing domestic HALEU production capabilities to support the commercialization of Oklo's power plants.

Together, the two companies are helping lead the commercialization of advanced fission and the HALEU supply needed to fuel them. Oklo's Aurora powerhouse is the first advanced fission plant design under active licensing review by the U.S. Nuclear Regulatory Commission (NRC). Oklo's license application is also the only reactor application being reviewed by the NRC currently. Centrus is constructing the country's first NRC-licensed HALEU production facility in Piketon, Ohio, and the facility is expected to begin demonstrating first-of-a-kind HALEU production in 2022.

"The commercialization of advanced fission is happening now. We need to build out the U.S. commercial supply chain capabilities to fuel the advanced fission power plants we are deploying," said Jacob DeWitte, co-founder and CEO of Oklo. "Without an existing commercial supply of HALEU, we are lacking a critical infrastructure capability that needs to be kickstarted domestically." Starting in the early 2020s, Oklo will begin to deploy and commercialize a suite of advanced fission power plants. Fuel material awarded by Idaho National Laboratory is anticipated to fuel Oklo's first power plant, and Oklo's near-term power plant deployment is anticipated to be fueled by Centrus.

"We are excited by the prospect of creating an assured, affordable, domestic fuel supply that can power the deployment of Oklo's powerhouses in the United States and around the world," said Daniel B. Poneman, President and Chief Executive Officer of Centrus. "Oklo's innovative, compact reactor design is ideal for a wide range of commercial, industrial, government, and national security applications. We look forward to the opportunity to become Oklo's HALEU supplier and support their growth for years to come."