Oklo shares climbed nearly 3% on Tuesday following the U.S. Department of Energy’s announcement of a $2.7 billion program to expand domestic uranium-enrichment capacity. The new funding is designed to reduce reliance on foreign suppliers and accelerate feedstock production for small modular reactors (SMRs), directly benefiting Oklo’s fuel supply chain. This announcement builds on a 15% share surge on Monday after reports of renewed federal support for advanced nuclear technologies.

Oklo, backed by prominent investor Sam Altman, boasts an $11 billion market capitalization despite having no commercial revenue to date. The company’s share price more than tripled in the past year as investors bet on its Aurora reactor design for remote microgrids and AI data-center power. Analysts note the premium valuation reflects both the long lead times for licensing and construction of SMRs and the potential upside of securing early orders from data-center operators seeking carbon-free baseload power.

Oklo’s Aurora SMR, designed to deliver up to 20 MW of clean power in a factory-built package, is emerging as a key solution for hyperscale computing facilities. AI workloads require continuous, high-density power with stable cooling margins, and nuclear SMRs can offer a reliable baseload complement to intermittent renewables. The recent White House energy strategy emphasizes advanced nuclear as critical infrastructure for next-generation computing, positioning Oklo to compete for Department of Energy demonstration grants and private–public partnerships capitalizing on rising AI energy demands.