Centrus Launches Commercial LEU Enrichment Activities

Core Viewpoint - Centrus Energy has initiated domestic centrifuge manufacturing to support Low-Enriched Uranium (LEU) enrichment, aiming to capitalize on U.S. uranium enrichment capabilities and meet a backlog of $2.3 billion in customer contracts, with new production expected to start in 2029 [1][3][6]. Group 1: Company Developments - Centrus Energy has begun manufacturing centrifuges at its facility in Oak Ridge, Tennessee, to support uranium enrichment expansion [6]. - The company has raised $1.2 billion through convertible note transactions and reported a cash balance exceeding $1.6 billion as of September 30, 2025 [4]. - Centrus has secured $2.3 billion in contracts from U.S. and international customers, contingent upon achieving specific milestones in building new enrichment capacity [4][6]. Group 2: Job Creation - The project is expected to create 1,000 construction jobs and 300 new operating jobs in Ohio, while retaining 150 existing jobs at the Piketon plant [11]. - Hundreds of new direct jobs will be generated at Centrus' centrifuge manufacturing plant in Tennessee and across a nationwide supplier network [11]. - Thousands of indirect jobs are anticipated in Ohio, Tennessee, and across the country due to the expansion [11]. Group 3: Market Context - The last large-scale U.S.-owned uranium enrichment plant was built in the 1950s and closed in 2013, leading to U.S. dependence on foreign entities for uranium enrichment [4]. - With the demand for nuclear power expected to rise and imports of Russian enriched uranium banned starting in 2028, there is an urgent need for new domestic uranium enrichment capacity [5]. Group 4: Strategic Partnerships and Funding - Centrus is a finalist for Department of Energy task orders for both LEU and High-Assay, Low-Enriched Uranium (HALEU) production, potentially worth around $900 million each [4]. - The company is exploring partnerships for investment in new enrichment capacity, including a proposed collaboration with Korea Hydro & Nuclear Power and POSCO International [4]. - Centrus' AC100M centrifuge is the only U.S.-origin enrichment technology ready for deployment to fulfill national security missions [4].