WHAT WOULD A LASER ENRICHMENT PLANT AT PADUCAH MEAN FOR USEC?

After last week’s Department of Energy decision to enter into negotiations with Global Laser Enrichment for the sale of its depleted uranium hexafluoride inventory, it’s unclear what the impact could be on USEC’s American Centrifuge Plant. GLE is proposing building a facility at DOE’s Paducah site that could re-enrich the uranium tails. That could influence prospects for American Centrifuge, which has been struggling financially in part because of low demand for low enriched uranium. The company says the project will need additional government support in 2014 and has pitched the project as crucial for providing a domestic source of LEU for national security purposes.

If built, the GLE plant would change the enrichment market in the United States, which currently only has one operating plant owned by URENCO. Chris Monetta, President and CEO of GLE said in a statement last week, “We are excited about entering exclusive negotiations with the DOE for the Paducah facility and the prospect of tapping into the highly-skilled nuclear workforce in the area. We are equally as excited about potentially playing an important role in securing our nation’s energy future with a reliable, US-based supply of natural uranium for years to come.” GLE plans to soon enter into contract negotiations with DOE on the terms of the deal, which the company hopes to complete in early 2014, according to a release by SILEX, the Australian firm that developed the laser enrichment technology. If an agreement is reached, GLE in 2014 could submit an application to the Nuclear Regulatory Commission for construction and operation of the plant.