Oklo Gains 7.5% on DOE Selection for Plutonium Fuel Conversion Program
OKLO•Oklo shares jumped 7.5% after the Department of Energy selected it among five firms for advanced talks under the Surplus Plutonium Utilization Program to convert Cold War plutonium into fuel for its small modular reactors. The company partnered with newcleo to lead fuel conversion, though regulatory approvals and commercialization may take several years.
1. DOE Selection and Stock Reaction
Oklo was chosen by the U.S. Department of Energy as one of five companies to enter advanced negotiations for the Surplus Plutonium Utilization Program, sending its stock up 7.5%. The program aims to repurpose surplus Cold War–era plutonium into fuel, underscoring growing government support for advanced nuclear technologies.
2. Surplus Plutonium Utilization Program Details
The Surplus Plutonium Utilization Program seeks to convert weapon-grade plutonium into reactor fuel under strict security, safeguards and material accountability requirements. This initiative follows federal policy shifts to manage long-term plutonium stockpiles through energy generation rather than disposal.
3. Partnership with newcleo and Commercialization Timeline
Oklo’s collaboration with European advanced reactor developer newcleo will leverage newcleo’s fuel experience and capital to process and qualify the converted plutonium fuel. Despite the momentum, industry executives caution that licensing, testing and construction could extend over several years before commercial operation.
