DOE Awards Centrus $900 Million to Build Advanced Nuclear Fuel Supply

Overview

• The Energy Department on January 5 issued $2.7 billion in task orders across three companies, assigning $900 million to Centrus for next‑generation reactor fuel.
• Centrus shares climbed 26.26% from December 30 to January 6 following the award.
• Bank of America raised its price target on Centrus to $340 on January 6 and kept a Neutral rating, noting the award was below some expectations and that further government funding cannot be ruled out.
• U.S. uranium futures hit a two‑month high on January 6, driven by buying from physical uranium funds and federal efforts to increase domestic nuclear fuel output.
• The initiative seeks to expand U.S. enrichment capacity and HALEU availability for advanced reactors to lessen reliance on Russia.