Starting to look good.  Target $40. 

    X-energy and Centrus announceda definitive agreement for Centrus to provide enrichment services for LEU and HALEU. HALEU enriched at the American Centrifuge Plant in Piketon, Ohio will be supplied to X-energy's fuel fabrication campus in Oak Ridge, Tennessee. The announcement did not specify exact volumes nor timing of the agreement, but HALEU production is expected to scale in a phased approach to align with X-energy's commercial pipeline.

    Our takeaway: While specifics were not disclosed, we think the agreement helps derisk concerns around HALEU supply for X-energy's 11.5GW pipeline. Recall, X-energy has noted it has secured the initial HALEU needed to support the Dow Seadrift site through the DOE's HALEU Availability Program, so we would expect Centrus' supply to support a portion of the deployment of Xe-100s to Amazon's sites. As reiterated on Centrus' 2Q earnings call yesterday, the company expects the first full cascade of centrifuges to come online in 2029 in Piketon.

Newsletter

Subscribe to our email list for regular free market updates
as well as a chance to get coupons!