U.S. Energy Department Invests $2.7 Billion to Expand Domestic Uranium Enrichment Services

The U.S. Energy Department on Jan. 5 announced a $2.7 billion investment to strengthen domestic uranium enrichment services over the next decade. The initiative supports the administration’s broader effort to expand nuclear power, maintain reliable reactor operations, and rebuild critical fuel supply chains within the country.

The funding will be delivered through task order awards under previously signed enrichment contracts that allow selected companies to compete for future work. The department awarded enrichment services to three companies using performance milestones to support accountability and timely project execution.

American Centrifuge Operating received $900 million to establish domestic capacity for high-assay low-enriched uranium, a fuel required for many advanced reactor designs. General Matter was also awarded $900 million to develop similar high-assay enrichment capabilities. Orano Federal Services secured $900 million to expand low-enriched uranium production for the existing nuclear fleet.

The funding is designed to support a stable fuel supply for the nation’s 94 operating commercial reactors while laying the groundwork for next-generation nuclear technologies. Expanding domestic enrichment capacity is expected to reduce exposure to geopolitical risks, support long-term reactor operations, and enable future deployments of advanced reactors that rely on higher-enrichment fuels not currently produced at scale in the U.S.

In a parallel action, DOE awarded $28 million to Global Laser Enrichment to advance next-generation uranium enrichment technology. The funding follows a competitive solicitation issued last December and is intended to accelerate innovation across the nuclear fuel cycle.

Together, the enrichment task orders and technology funding signal a coordinated federal effort to rebuild domestic nuclear fuel infrastructure, support manufacturing jobs, and position nuclear energy as a central pillar of the nation’s long-term energy strategy.