The US Department of Energy (DOE) has awarded contracts to BWXT, Centrus, Framatome, GE Vernova, Orano, and Westinghouse to help process a specialised uranium fuel intended for advanced nuclear reactors.
Awarded as part of the Biden-Harris Administration’s “Investing in America” agenda, the contracts aim to build a domestic supply chain for fuels for advanced reactors. The reactors will require high-assay low-enriched uranium (HALEU) for smaller designs, longer cycles, and greater efficiency.
HALEU is uranium enriched to between 5% and 20%, which increases the amount of fissile material, making the fuel more efficient.
Following enrichment, carried out while the uranium is in gaseous uranium hexafluoride form, the material must be deconverted to oxide or metal forms, which are then fabricated into fuel for advanced reactors.
All contracts will run for up to 10 years, with each company receiving a minimum contract value of $2m, and up to $800m available in total for the services, subject to appropriations.
According to the DOE, the contracts allow the selected companies to bid on deconversion services, which are a crucial component of the HALEU supply chain.
The initiative to enhance America’s HALEU supply chain is expected to strengthen the country’s leadership in the nuclear energy sector, enabling nuclear facilities to provide more homes and businesses with affordable, reliable, carbon-free energy.
US Deputy Secretary of Energy David Turk said: “Building a strong, reliable domestic nuclear fuel supply chain will help our nation reach the President and Vice President’s ambitious climate goals while also protecting the environment and creating good-paying, high-quality jobs.
“Today’s announcement underscores the Biden-Harris Administration’s continued commitment to strengthening our energy and national security by eliminating America’s reliance on Russian uranium for civil nuclear power.”
Advanced nuclear designs, which use HALEU fuels, are seen as an essential part of meeting US emissions targets and fulfilling the recent commitment made with 24 other countries to triple global nuclear power output by 2050.
Currently, the US lacks commercial HALEU enrichment and deconversion services to support the deployment of advanced reactors. To address this, the DOE plans to award further contracts for enrichment services, supporting the entire HALEU supply chain.
The HALEU acquired through these contracts will be used to support reactors, such as those being developed under the DOE’s Advanced Reactor Demonstration Program, including TerraPower’s Natrium reactor and X-energy’s Xe-100.
Earlier this year, the DOE unveiled an investment of $2.7bn from President Joe Biden’s Investing in America agenda to strengthen the nuclear fuel supply chain in the country. The DOE also issued a request for proposal (RFP) to buy low-enriched uranium (LEU) from domestic sources.
