The Centrus uranium enrichment expansion hit a milestone on Thursday. Centrus shipped its first completed centrifuge from Oak Ridge, Tennessee, to Piketon, Ohio, for final assembly. The company beat its own year-end target.
The shipment opens the next phase of a multibillion-dollar program. Workers in Tennessee will build the machines at a growing rate. Teams in Ohio will then group them into cascades that enrich uranium. Centrus expects the first new capacity online in 2029. The current administration is all in on the project, shunning renewable energy projects such as the Laramie Range wind project as “bad” according to one of Trump’s earlier remarks on wind energy.
Scope of implementation on the Centrus uranium enrichment expansion
Centrus restarted centrifuge manufacturing at Oak Ridge in December 2025. In January, it announced a $560 million expansion of the center into a high-rate plant for thousands of machines. As a result, the city now counts nearly 430 new jobs tied to the program.
The scope spans three product lines. Large-scale LEU will serve the existing reactor fleet. HALEU will fuel next-generation reactors. In addition, a third stream covers national security enrichment. The initial build-out includes 12 metric tons of annual HALEU capacity, plus output against a $2.4 billion LEU backlog.
Meanwhile, Centrus has rebuilt its supply chain. It ordered tens of thousands of parts from American manufacturers. On October 16, it closed the $116 million purchase of casing maker Westerman Holdings. The split: $95 million in cash, $21 million in stock. Centrus therefore calls the chain unobligated, so it can serve both commercial and national security customers without foreign restrictions.
Beyond that, the technology has a track record. Centrus machines have logged more than four million operating hours. The existing cascade at Piketon has produced HALEU since late 2023. By contrast, overseas plants build every rival technology. That leaves Oak Ridge as the only advanced centrifuge facility in the United States.
Federal funding and contract details
Washington, meanwhile, underwrites the demand side. In January 2026, the Department of Energy committed $2.7 billion to rebuild domestic enrichment across three companies. Centrus then locked in the HALEU tranche on June 30. The $900 million fixed-price task order carries options lifting the value to $1.07 billion. The contract requires one metric ton of HALEU by March 2032. Tennessee has also added support through its Nuclear Energy Fund.
However, a deadline drives the spending. The 2024 law bans Russian uranium imports, and waivers expire in 2028. Russia has long supplied a large share of US enrichment services, so domestic capacity must replace it.
Challenges facing the domestic enrichment build-out
First, the rate matters. One shipped centrifuge does not make a plant, and Piketon must absorb thousands of machines within three years. Second, demand depends on advanced reactors that have yet to finish construction. Third, competitors are moving: Orano and Urenco are expanding LEU capacity, while startup General Matter holds the third DOE award.
Even so, the direction looks clear. Centrus met its target early, put a centrifuge on a truck, and holds committed funding. Consequently, the next proof point comes in 2029, when the first new cascade must deliver.
Project Overview: Centrus Uranium Enrichment Expansion
- Program Value: Multibillion, $560M at Oak Ridge
- Sites: Oak Ridge, Tennessee; Piketon, Ohio
- Company: Centrus Energy (NYSE: LEU)
- Status: First centrifuge shipped
Scope
- Thousands of advanced centrifuges planned
- 12 tonnes annual HALEU initial capacity
- LEU for existing reactor fleet
- HALEU for next-generation reactors
Project Highlights
- Only US advanced centrifuge plant
- Four million machine-hours operated
- HALEU produced since late 2023
- Fully domestic, unobligated supply chain
Key Developments
- Manufacturing restarted December 2025
- $560M Oak Ridge investment January 2026
- Westerman acquired for $116M October 2026
- First shipment October 29, 2026
Key Challenges
- Russian import waivers end 2028
- First new capacity only 2029
- Output must scale to thousands
- Reactor demand still materialising
Outlook
- Cascades assembled at Piketon
- First commercial capacity 2029
- DOE delivery due March 2032
- $2.4B LEU backlog to serve
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