DOE Strategy for Restoring the Domestic Uranium Enrichment Supply Chain
On January 5, 2026, the U.S. Department of Energy (DOE) announced a coordinated set of actions to restore and expand domestic uranium enrichment capacity, signaling a sustained federal approach to addressing nuclear fuel supply chain constraints. The initiative centers on long-term capacity build-out for low-enriched uranium (LEU) and the development of domestic supply chains for high-assay low-enriched uranium (HALEU), with awards structured to emphasize performance milestones and accountability, as described in DOE’s official announcement on energy.gov.
DOE has framed the effort as an implementation priority tied to energy security and reliability, particularly in light of fuel requirements for the nation’s operating reactor fleet and anticipated advanced reactor deployments. The awards are administered through DOE’s nuclear fuel supply chain authorities and are intended to reduce reliance on foreign enrichment services while diversifying domestic capability across technologies and vendors.
Consistent with this strategy, DOE issued task orders totaling $2.7 billion over ten years to three providers to deliver enrichment services under a milestone-based framework: American Centrifuge Operating to establish domestic HALEU enrichment, General Matter to develop additional HALEU capacity, and Orano Federal Services to expand domestic LEU enrichment. DOE has indicated that milestone sequencing and verification will govern disbursement, reinforcing an execution-first approach aligned with program objectives.
In parallel, DOE awarded $28 million to Global Laser Enrichment to advance next-generation enrichment technology for the nuclear fuel cycle, following a competitive solicitation. DOE has characterized this award as supporting innovation alongside near-term capacity restoration, reflecting a dual-track strategy that pairs operational readiness with technology development.
The statutory foundation for these actions resides in Section 1706 of Title XVII of the Energy Policy Act, which authorizes DOE to provide federal credit support for qualifying energy infrastructure. DOE implemented its current approach through an interim final rule published in the U.S. Federal Register on October 28, 2025, broadening the definition of eligible energy infrastructure and applying the revised framework prospectively to new and pending actions. The rule’s publication underscores DOE’s intent to prioritize capacity, reliability, and supply adequacy in program administration.
Institutionally, DOE has aligned program delivery through the Office of Energy Dominance Financing, the successor to the former Loan Programs Office. This organizational alignment clarifies where responsibility for financing and oversight sits within the Department and signals continuity in administering legacy commitments while applying updated criteria to future actions. Importantly, DOE has not indicated any intent to revisit or re-adjudicate previously executed guarantees; existing commitments remain in force unless affirmatively modified, consistent with federal credit practice.
From an implementation perspective, the strategy distinguishes between LEU—supporting continuity for the existing commercial fleet—and HALEU, which DOE has identified as a necessary input for advanced reactor technologies. DOE’s approach suggests sequencing that addresses near-term fuel assurance while enabling longer-term deployment pathways, with oversight attention focused on milestone delivery, capacity ramp-up, and coordination across the fuel cycle.
DOE has directed stakeholders to its nuclear fuel supply chain resources for additional program detail, including Domestic Low-Enriched Uranium Supply Chain, HALEU Enrichment Services, and HALEU Technologies. These materials outline DOE’s implementation posture and the interfaces among enrichment services, technology development, and reactor deployment.
Taken together, the January 2026 actions reflect a deliberate DOE strategy centered on execution, oversight, and capacity restoration. For DOE leadership, congressional staff, and utilities, the key implementation questions now turn on milestone performance, timing of capacity additions, and alignment between HALEU availability and advanced reactor schedules—factors that will determine whether the domestic enrichment supply chain is restored at the pace and scale DOE has articulated.
For additional context on DOE’s financing and implementation framework, see our Maceira Zayas Law & Strategy’s Insight, “What Is DOE’s Energy Dominance Financing Program and Why It Matters”.
