Centrus Energy secures Oklo fuel deal as backlog swells to $3.9 billion
The letter of intent for High-Assay Low-Enriched Uranium deliveries beginning in 2029 bolsters Centrus Energy’s order book and reinforces analyst confidence in the company’s growth trajectory.
Centrus Energy has entered into a letter of intent with Oklo to supply High-Assay Low-Enriched Uranium (HALEU) for the latter’s Aurora Powerhouse deployment. Under the terms of the agreement, Centrus will provide fuel for five powerhouses over multiple years, with initial deliveries scheduled to commence in 2029. The arrangement provides Centrus with extended revenue visibility and further solidifies its standing as the only publicly traded, deployment-ready enricher in the Western world.
The deal adds to an already substantial order backlog, which Centrus reported stood at $3.9 billion as of May 2026, a figure that includes contingent sales with contracts extending through 2040. This long-term pipeline supports the company’s financial stability, built upon a FY25 revenue of $448.7 million and a cash buffer of $2 billion. The agreement underscores the growing demand for advanced nuclear fuel as the industry shifts toward next-generation reactor technologies.
Centrus operates across two primary segments: Low-Enriched Uranium (LEU) components and Technical Solutions for advanced enrichment. In FY25, the LEU segment accounted for 77 per cent of revenue, while Technical Solutions contributed the remaining 23 per cent. For the first quarter of FY26, the company reported revenue of $76.7 million. Management has guided for a mid-range FY26 revenue of $475 million, implying a year-on-year top-line growth of 5.9 per cent.
Market analysts view the company’s positioning favourably, citing a total addressable market for LEU in US reactors estimated at $3 billion annually. The HALEU market is projected to reach $2.8 billion by 2030 and expand to $8 billion by 2035. Centrus’s status as a first-mover in the HALEU space, bolstered by a $900 million order from the US Department of Energy, is seen as a key driver for future growth.
According to a consensus of 15 analysts covering the stock, Centrus holds a "Moderate Buy" rating. The mean price target is set at $275.08, representing a potential upside of 47 per cent, while the most bullish target suggests the stock could climb by 103.8 per cent to $390. Despite a recent correction in share price, the swelling order backlog and structural industry tailwinds suggest significant value creation potential for investors.
