Centrus Energy Fuels the Nuclear Renaissance by Supplying HALEU to SMR Developers
Investor interest in nuclear energy has focused on small modular reactor (SMR) companies like Oklo and NuScale. However, these firms rely on Centrus Energy for enriched uranium fuel essential for their operations. Recently, Centrus announced a joint venture with Oklo to support the growing demand for High-Assay Low-Enriched Uranium (HALEU), which is critical for SMR designs. Centrus has been at the forefront of HALEU production and recently secured several contracts, including a $900 million award from the U.S. Department of Energy. The company reported strong financial results in Q2 2024 with revenue up 14% year-over-year to $176.1 million and ended the quarter with a significant future backlog extending through 2040. By investing in Centrus, investors can capitalize on nuclear energy growth without relying solely on pre-revenue SMR startups. The company's expanding production capacity is supported by multiple contracts that include pre-payments to fund expansion.
Topics: HALEU production nuclear energy SMR (Small Modular Reactors)