Urenco USA Begins Production in First New Enrichment Cascade, Signaling Major Expansion of Domestic Nuclear Fuel Capacity
Urenco USA has officially launched the first phase of its long-term expansion project by initiating production of enriched uranium through a new state-of-the-art gas centrifuge cascade at its National Enrichment Facility (NEF) in Eunice, New Mexico. This development marks a significant milestone not only for the company but for the broader U.S. nuclear energy sector, which has been striving to enhance its domestic uranium enrichment capabilities amid changing global dynamics and increasing demand for clean, secure energy sources.
This newly activated cascade represents the initial step in a multi-phase expansion plan that will unfold over the next few years. Urenco USA, a subsidiary of the global Urenco Group, plans to bring additional cascades online in succession through early 2027. When the entire expansion is completed, the company expects to increase its domestic enrichment capacity by approximately 15 percent. This growth will substantially strengthen America’s nuclear fuel supply chain at a time when national energy security and independence are rising priorities.
“Our experienced team of employees at Urenco USA continues to deliver on our plans for expanding America’s uranium enrichment capacity to support our utility customers with a long-term and reliable domestic supply of enriched uranium,” said John Kirkpatrick, managing director of Urenco USA. “The start-up of this first new cascade is a testament to the dedication, expertise, and technical excellence of our workforce.”
Enhancing Domestic Energy Security
Urenco USA holds a unique and vital role in the American energy landscape as the nation’s only commercial producer of enriched uranium. Since beginning operations in 2010, the company has become a cornerstone of the U.S. nuclear fuel cycle, supplying fuel for nuclear power plants across the country. The NEF is not only a major commercial operation—it is also a critical strategic asset, representing more than $5 billion in capital investment in U.S.-based manufacturing and infrastructure.
Today, the NEF meets roughly one-third of the enrichment requirements for U.S. commercial nuclear reactors. This capacity is crucial for the continued operation of the nation’s nuclear power fleet, which supplies nearly 20 percent of all electricity generated in the United States—and over 50 percent of its carbon-free electricity.
The enrichment process at Urenco USA involves increasing the concentration of the uranium-235 isotope in uranium fuel, which is essential for sustaining a nuclear chain reaction in commercial power reactors. The advanced gas centrifuge technology used at the NEF is among the most efficient and environmentally responsible enrichment technologies available today.
By expanding its enrichment capacity, Urenco USA is addressing not only current utility needs but also positioning itself to support anticipated future demand. The company is actively evaluating additional phases of expansion, contingent on market conditions and customer demand. This forward-looking approach reflects Urenco’s broader commitment to bolstering energy resilience in the U.S., especially in light of shifting geopolitical circumstances.
Reducing Dependence on Foreign Sources
A key driver behind Urenco USA’s expansion is the growing national and industry-wide effort to reduce dependence on foreign sources of nuclear fuel, particularly from Russia. In the wake of heightened geopolitical tensions and sanctions following Russia’s invasion of Ukraine in 2022, the global nuclear energy community has faced renewed scrutiny of its supply chains. Many Western nations, including the United States, are seeking to diversify and fortify their nuclear fuel sources.
The U.S. currently relies on Russia for a significant portion of its enriched uranium needs—estimated at around 20 percent as of 2022. This reliance has raised concerns about energy vulnerability, especially as policymakers push for more robust energy independence. The Biden administration and members of Congress have called for increased domestic investment in the nuclear fuel cycle, including uranium mining, conversion, and enrichment.
Urenco USA’s ongoing expansion plays directly into these efforts. By providing a scalable and secure domestic supply of enriched uranium, the company is helping U.S. utilities mitigate the risks associated with reliance on foreign—especially adversarial—suppliers. Moreover, it reinforces the national goal of developing a fully domestic and resilient nuclear fuel cycle, from uranium production through to reactor operation and waste management.
“Urenco USA is uniquely positioned to support U.S. utilities in meeting growing domestic energy needs and in strengthening U.S. energy security,” said Kirkpatrick. “Our expansion is part of a broader national effort to reestablish a self-reliant fuel supply chain for the American nuclear industry.”
Supporting a Nuclear Energy Renaissance
The activation of Urenco USA’s new cascade comes amid a broader resurgence of interest in nuclear energy, both in the United States and globally. As countries strive to meet decarbonization targets and transition to low-emissions energy systems, nuclear power is increasingly viewed as an essential component of the clean energy mix. Unlike solar and wind, nuclear provides consistent baseload power, supporting grid stability and reliability.
In the U.S., several states have recently passed legislation supporting the development of new nuclear reactors, including next-generation small modular reactors (SMRs), which promise to be more flexible, scalable, and cost-effective than traditional large reactors. The federal government has also shown strong support through initiatives such as the Department of Energy’s (DOE) Civil Nuclear Credit Program and the Advanced Reactor Demonstration Program.
However, one of the most pressing bottlenecks facing nuclear expansion is the availability of enriched uranium. Many next-generation reactor designs—particularly those based on high-assay low-enriched uranium (HALEU)—require fuel that is not widely available in commercial quantities. While Urenco USA’s current cascade is not yet producing HALEU, the company has previously stated its interest in entering the HALEU market, pending regulatory and commercial developments.
The current expansion of low-enriched uranium (LEU) capacity will not only stabilize the supply for existing light-water reactors but also lay the groundwork for future advancements in fuel technology and reactor innovation. As more utilities explore the deployment of SMRs and advanced reactors, the importance of a robust domestic enrichment industry will only continue to grow.
Economic and Workforce Impacts
Beyond its contributions to energy security and climate goals, Urenco USA’s expansion has significant economic implications. The NEF is one of the largest industrial employers in southeastern New Mexico and plays a pivotal role in the regional economy. The ongoing expansion project is creating new construction, engineering, and technical jobs, and the company is investing in workforce development to ensure a pipeline of skilled labor.
Urenco USA also supports the broader U.S. nuclear sector through partnerships with suppliers, universities, and research institutions. The enrichment facility in New Mexico represents one of the few large-scale commercial investments in nuclear infrastructure made in the past two decades—a testament to the company’s long-term vision and commitment to the American energy future.
In support of this workforce and infrastructure development, Urenco USA has maintained a strong focus on safety, regulatory compliance, and environmental stewardship. The NEF operates under the oversight of the U.S. Nuclear Regulatory Commission (NRC) and adheres to stringent safety standards to protect workers, the community, and the environment.
With the successful commissioning of its newest enrichment cascade, Urenco USA is sending a clear signal to the market: America’s nuclear industry is not only surviving, it is adapting and expanding to meet the challenges of the 21st century. The additional enrichment capacity will help ensure a more secure and stable supply of nuclear fuel for decades to come.
While much work remains—both in bringing future cascades online and in navigating a complex regulatory and market landscape—the current progress is an important validation of Urenco USA’s strategy. As the only commercial enrichment provider in the U.S., the company is uniquely situated to lead the charge toward energy independence and nuclear revitalization.
As Urenco USA continues to implement its phased expansion plan through 2027 and beyond, the facility in New Mexico will remain at the center of U.S. efforts to rebuild and modernize its nuclear infrastructure. Whether through supporting existing nuclear power plants or enabling the next wave of reactor innovation, Urenco USA’s contributions will be foundational to the country’s energy transition.
