Centrus wins $900 million DOE task order as US pushes domestic uranium enrichment

Jan 6 (Reuters) - U.S.-based nuclear fuel supplier Centrus Energy LEU.N said on Tuesday the U.S. Department of Energy selected the company for a $900 million task order to expand uranium enrichment capacity at its Piketon, Ohio, site, as Washington moves to reduce reliance on Russian supply.

The award forms part of $2.7 billion in enrichment-related task orders the Energy Department announced on Monday to three companies —American Centrifuge Operating, a Centrus Energy unit, General Matter and Orano Federal Services.

The agency said the awards aim to boost domestic uranium enrichment over the next decade.

The award will help Centrus move to commercial-scale production of High-Assay, Low-Enriched Uranium, or HALEU, a fuel seen as vital for advanced nuclear reactors and energy systems.

"This award will catalyze additional private investment and supports the prospect of further expansion as the market continues to grow," said CEO Amir Vexler.

Centrus also said the DOE funding will support its previously announced multibillion-dollar expansion at Piketon to add capacity for low-enriched uranium, or LEU, used in existing reactors.

The company said it has secured $2.3 billion in LEU purchase commitments from utilities, including U.S. and export customers.

In December last year, Centrus began domestic centrifuge manufacturing at its Oak Ridge, Tennessee, plant to support planned expansion, with the first new capacity expected online in 2029.