Key Takeaways
- Oklo has entered into a letter of intent with Centrus Energy (LEU) for a multi-year domestic HALEU fuel supply arrangement
- Fuel deliveries are projected to commence in 2029, sufficient to operate up to five Aurora nuclear facilities
- Oklo (OKLO) stock advanced 2.7% in premarket sessions; Centrus Energy shares surged 6.8%
- The fuel will be sourced from Centrus’s American Centrifuge Plant located in Pike County, Ohio
- The agreement may feature advance payments from Oklo to Centrus, mirroring Oklo’s recent Meta partnership structure from January 2026
Shares of Oklo rose 2.7% during premarket trading Thursday following the company’s announcement of a letter of intent with Centrus Energy to establish a reliable domestic source of high-assay low-enriched uranium (HALEU). Centrus Energy shares responded with a 6.8% gain.
This agreement represents significant progress in tackling a critical bottleneck facing the nuclear energy sector: securing adequate fuel supplies for advanced reactor designs.
According to the terms outlined, Centrus will provide sufficient HALEU to operate up to five of Oklo’s Aurora nuclear facilities across multiple operational years. The delivery schedule is set to kick off in 2029.
Centrus’s American Centrifuge Plant in Pike County, Ohio will serve as the fuel source. Notably, Oklo is developing a 1.2 gigawatt power facility in the same region, creating geographic alignment between fuel production and power generation.
The companies have not yet finalized a binding contract. This letter of intent serves as a preliminary framework, with comprehensive terms to be hammered out in subsequent negotiations.
The arrangement may incorporate upfront payments from Oklo to Centrus, a financing structure Oklo has previously employed. Earlier in January 2026, Oklo revealed a comparable deal with Meta that featured prepayment provisions to enhance project development certainty for its Aurora powerhouse initiative.
The HALEU Supply Challenge
HALEU remains scarce in commercial markets. Currently, Russia and China are the only nations capable of producing it at commercial scale. Following the U.S. ban on Russian uranium imports, establishing domestic production capabilities became strategically essential.
The U.S. Department of Energy has already committed $900 million through a HALEU task order awarded to Centrus. The company intends to leverage this government funding alongside billions in private investment to expand production capacity.
Oklo has been developing interim solutions to navigate the fuel shortage. Its initial Aurora powerhouse at Idaho National Laboratory is slated to utilize recovered fuel from the Experimental Breeder Reactor-II, which ceased operations in 1994.
Additionally, the company has explored utilizing excess plutonium as an interim fuel source during the buildout of domestic HALEU supply infrastructure.
Agreement Scope and Implications
The letter of intent integrates multiple critical elements: domestic fuel production, planned nuclear power facilities, market demand, and project implementation—all centered in southern Ohio.
Centrus characterizes the agreement as bolstering fuel security for Oklo’s Aurora reactor deployments during a period when HALEU availability remains a primary limiting factor for advanced nuclear technology developers.
The partnership delivers mutual benefits. For Centrus, securing a committed long-term customer strengthens the business rationale for expanding production at its Ohio operation.
Financial details remain undisclosed beyond the potential inclusion of prepayment arrangements, which will be addressed in future contract discussions.
Oklo has not commenced construction on its Ohio facility, and the 2029 delivery target provides adequate time for both parties to negotiate and execute a definitive agreement.
