Oklo and Uranium Energy Corp. Push Deeper Into the U.S. Nuclear Supply Chain, Spotlighting the PRISM New Energy Index

Oklo Inc. (NYSE: OKLO) said Tuesday that it will advance Groves 2 Forge, an isotope production and processing pilot facility, after the U.S. Department of Energy picked the company for its Nuclear Energy Launch Pad initiative. Just 30 minutes later, fellow PRISM New Energy Index constituent Uranium Energy Corp. (NYSE American: UEC) formed a National Security Advisory Council stacked with former nuclear security and Navy leaders. Together, the two announcements show small-cap nuclear names moving to fill gaps in America’s domestic nuclear supply chain, from medical isotopes to uranium conversion.

Key Points

• The DOE’s National Reactor Innovation Center selected 12 developers for 13 projects under its Nuclear Energy Launch Pad, and Oklo (NYSE: OKLO) is one of them.
• Groves 2 Forge will pair reactor irradiation with hot-cell processing, initially targeting lutetium-177 and other therapeutic isotopes used in radiopharmaceutical cancer treatments.
• Uranium Energy Corp. (NYSE American: UEC) named former NNSA Administrator Tom D’Agostino and retired Adm. James F. Caldwell as co-chairs of a new National Security Advisory Council.
• The council will support UEC’s push into uranium conversion through its subsidiary, United States Uranium Refining & Conversion Corp. (UR&C).
• UEC reports about 12 million pounds per year of licensed production capacity across Wyoming and South Texas, which it calls the most in the U.S.

Oklo (NYSE: OKLO) Turns Its Groves Reactor Into an Isotope Platform

Groves 2 Forge builds directly on Oklo’s Groves Isotope Test Reactor in Texas. Under DOE authorization and the Reactor Pilot Program, Oklo took Groves from greenfield to first criticality in less than a year, which the company says makes it the first Reactor Pilot Program project to do so on private land.

Now, Oklo wants to add the next steps. The pilot facility will combine reactor irradiation with hot-cell processing, including isotope separation, product recovery, packaging, and transportation. In other words, Oklo plans to bring together pieces of the isotope supply chain that have historically sat in separate facilities. That matters because short-lived medical isotopes lose activity in transit, and U.S. supply of several critical isotopes still depends on aging or foreign facilities.

“Groves showed how quickly a new reactor could be built and brought to criticality,” said Jacob DeWitte, co-founder and CEO of Oklo.

Oklo plans to use its Launch Pad work to gain operating experience before scaling Groves 2 Forge from pilot operations to commercial isotope production. However, that transition will require the appropriate U.S. Nuclear Regulatory Commission licenses, and the company did not provide a timeline. Meanwhile, the DOE described the Launch Pad as a faster path for domestic reactor development and fuel cycle work, building on its Reactor Pilot Program.

Uranium Energy Corp. (NYSE American: UEC) Recruits National Security Heavyweights

On the fuel side, UEC assembled a four-member advisory council to guide its expansion into conversion, the step that turns mined uranium into feedstock for enrichment. In addition to co-chairs D’Agostino, who led the National Nuclear Security Administration from 2007 to 2013, and Caldwell, who directed the Naval Nuclear Propulsion Program from 2015 to 2024, the council includes:

• Adm. William K. Lescher (USN, Ret.), former Vice Chief of Naval Operations
• Neile Miller, former Acting Administrator of the NNSA and former Acting Under Secretary of Energy for Nuclear Security

Notably, UEC tied the move to a recent NNSA request for information seeking a long-term domestic supply of unobligated U.S.-origin uranium and conversion services. As a result, the council gives UEC direct experience with the defense customers most likely to need that material.

“UEC is uniquely positioned to deliver that supply,” said D’Agostino.

What It Means for the PRISM New Energy Index

Both announcements land on the same theme: rebuilding a domestic nuclear supply chain that the U.S. has long outsourced. That theme runs throughout the PRISM New Energy Index, which tracks uranium producers Cameco Corporation (NYSE: CCJ), Energy Fuels Inc. (NYSE American: UUUU), and Ur-Energy Inc. (NYSE American: URG), developers NexGen Energy Ltd. (NYSE: NXE) and Denison Mines Corp. (NYSE American: DNN), royalty holder Uranium Royalty Corp. (NASDAQ: UROY), and nuclear fuel developer Lightbridge Corporation (NASDAQ: LTBR).

Furthermore, the news arrives after a rough Monday for the group. According to PRISM index data, the New Energy Index fell about 3.7%, with Oklo down roughly 7% to $32.21 and UEC off about 3.9% to $8.83. Consequently, investors will watch whether federal backing for new reactors and fuel capacity can steady sentiment across the index’s nuclear names.

Looking Ahead

Going forward, investors will track Oklo’s progress toward NRC licensing for commercial isotope production and any follow-on DOE support under the Launch Pad. For UEC, the key question is how quickly UR&C can turn the NNSA’s call for domestic conversion services into a concrete project.