Oklo selects Kiewit as constructor for first commercial nuclear plant

SANTA CLARA - Advanced nuclear technology company Oklo Inc. (NYSE:OKLO), whose stock has surged over 193% year-to-date and maintains a market capitalization of $9.2 billion, has selected Kiewit Nuclear Solutions Co. as the lead constructor for its first commercial Aurora powerhouse at Idaho National Laboratory (INL), according to a press release issued Tuesday. According to InvestingPro analysis, the stock is currently trading above its Fair Value.

Under the Master Services Agreement, Kiewit will support the design, procurement, and construction of the Aurora-INL facility. Pre-construction is expected to begin in 2025, with commercial operations targeted for late 2027 to early 2028.

Kiewit, a subsidiary of Kiewit Corporation, was selected through a competitive process evaluating technical capabilities and construction expertise. The company brings experience in delivering large-scale industrial projects, which Oklo aims to leverage for accelerating delivery timelines and reducing costs.

"We’ve completed key pre-construction milestones, including site characterization work in Idaho, in partnership with the U.S. Department of Energy and Idaho National Laboratory," said Jacob DeWitte, Co-Founder and CEO of Oklo. The company demonstrates strong financial flexibility with a current ratio of 36.23 and minimal debt, though InvestingPro data indicates it is not yet profitable.

Oklo has already secured several regulatory achievements, including a U.S. Department of Energy-approved site and secured fuel supply. The Aurora-INL project is part of Oklo’s broader deployment pipeline, which includes agreements to supply over 14 GW of clean energy to commercial customers and U.S. government partners.

Mike Rinehart, president of Kiewit Nuclear Solutions Co., stated, "We’re excited to support Oklo in delivering one of the nation’s first commercial advanced nuclear projects."

The Aurora powerhouse represents a significant step in Oklo’s strategy to deliver clean energy using advanced nuclear technology. The company has positioned the project as an opportunity to demonstrate how advanced reactors can be constructed differently than legacy nuclear plants. Want deeper insights? InvestingPro subscribers have access to 13 additional ProTips and comprehensive financial analysis, including detailed profitability metrics and growth forecasts.

In other recent news, Oklo Inc. announced strategic partnerships with Hexium, TerraPower, and Lawrence Livermore National Laboratory to develop domestic production of High-Assay Low-Enriched Uranium (HALEU). This collaboration aims to address the lack of domestic HALEU supply, a critical component for advanced nuclear reactors, by evaluating Atomic Vapor Laser Isotope Separation (AVLIS) technology. The initiative aligns with Department of Energy efforts to expand nuclear power and fuel infrastructure in the U.S. Additionally, Cantor Fitzgerald initiated coverage on Oklo with an Overweight rating and a $73 price target, highlighting the company’s small module reactor technology as well-positioned for the energy transition. The firm noted a favorable regulatory environment for nuclear technology, which could benefit Oklo.

Further developments saw Oklo’s stock rise following positive comments from Secretary of Energy Chris Wright, who signaled a potential regulatory shift under the Trump administration to support nuclear power. The Senate panel’s proposal to extend tax credits for nuclear energy to 2036 also contributed to gains in Oklo’s stock. These recent developments suggest a more favorable landscape for nuclear energy companies like Oklo, with investors responding positively to these regulatory and strategic shifts.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.