Centrus Expands LEU Enrichment: $2.3 Billion in Contracts and 2029 Production Target Drive U.S. Nuclear Resurgence
First Large-Scale U.S. Enrichment Project in Decades Targets 2029
For the first time in over half a century, Centrus Energy (NYSE: LEU) has launched commercial low-enriched uranium (LEU) enrichment activities in Piketon, Ohio—a project set to transform both the company and America’s nuclear energy landscape. This multi-billion-dollar initiative aims to break decades of foreign dependence on enriched uranium by delivering the first new U.S.-owned enrichment capacity since the 1950s. Centrus has already begun domestic centrifuge manufacturing, and its ambitious schedule forecasts initial production coming online in 2029.
Robust Funding and Multi-Billion Dollar Contract Backlog Support Expansion
Centrus is leveraging a potent mix of federal support, private capital, and firm customer contracts to fuel its uranium enrichment drive. Highlights of the financial structure include:
| Source | Key Figures / Details |
|---|---|
| DOE Funding | Finalist for Task Orders (LEU & HALEU), ~$900 million each |
| Private Capital | $1.2 billion raised via convertible notes (Nov 2024 & Aug 2025); $1.6 billion cash balance (as of Sept 2025); $1 billion at-the-market offering launched |
| Customer Contracts | $2.3 billion in contingent LEU sales agreements with U.S. & international buyers |
| Foreign Investment | Proposed partnership with Korea Hydro & Nuclear Power (KHNP) and POSCO International |
| National Security | Only U.S.-origin, deployment-ready enrichment technology for key security missions |
Major Job Creation: Thousands of Positions Across Ohio and Tennessee
Alongside technical advances, Centrus’ expansion is poised to deliver substantial economic benefits:
- 1,000 construction and 300 new operating jobs in Ohio, plus 150 existing roles retained at Piketon.
- Hundreds of new jobs at the centrifuge plant in Tennessee, supporting a growing manufacturing supply chain.
- Thousands of indirect jobs generated nationwide as a result of the project’s supply chain needs.
U.S. Energy Independence Gets a Timely Boost as Russian Imports Face Ban in 2028
With almost 100% of global uranium enrichment controlled by foreign state enterprises and a total U.S. ban on Russian enriched uranium imports taking effect in 2028, the urgency of this project cannot be overstated. Centrus stands alone as the provider of deployment-ready U.S.-origin enrichment technology, critical for national security and clean energy objectives. CEO Amir Vexler points out that "reclaiming American nuclear leadership" could also catalyze more private investment and expansion in the coming years.
Strategic Partnerships and Future Outlook Signal Long-Term Industry Growth
Centrus has laid the groundwork for ongoing success with multi-billion dollar commitments, a growing backlog of contracts, and partnerships—such as with KHNP and POSCO—geared toward further expansion. Department of Energy contracts, growing market demand, and interest from global investors set the stage for further developments as production capacity ramps up.
Key Takeaways: What to Watch in the Months Ahead
- Production Milestones: Will Centrus hit its 2029 target for new enrichment capacity?
- Federal Support: Watch for Department of Energy funding decisions—each task order could mean $900 million.
- Global Impact: How will this reshape the U.S. role in global nuclear fuel supply?
- Market Opportunity: Rising demand and impending bans on Russian uranium may spark more investment and growth for Centrus.
For investors and industry watchers alike, Centrus’ bold leap forward in domestic uranium enrichment isn’t just a turning point for the company—it’s a signal of seismic change across the U.S. energy and national security landscape. With large sums already committed and significant production, contract, and job milestones in play, the coming years could see the company’s early-mover advantage translate into durable market leadership.
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