Oklo reserves reactor component capacity for deliveries beginning in 2030
The arrangement is intended to support Aurora component capacity through 2035, but its cost and reserved production volume were not disclosed.
Ines Halvorsen
With initial finished-component deliveries scheduled for 2030, Oklo Inc. NYSEOKLO announced a manufacturing-capacity agreement with U.S. Forged Rings, Inc. on Friday. The arrangement is intended to support capacity through 2035, but Oklo disclosed neither its cost nor the number of components reserved.
The Nov. 6 announcement includes options to expand capacity at the supplier's planned industrial campus in Hertford County, North Carolina. U.S. Forged Rings is privately held, according to a Feb. 26 announcement from North Carolina's governor.
Oklo is developing fast-fission power plants, alongside fuel-recycling and isotope businesses. It said the reservation supports future Aurora deployments and is separate from procurement, manufacturing and construction activities already advancing for its first powerhouse at Idaho National Laboratory.
Shares closed at US$19.20 in New York on Nov. 5, down 13.2 per cent, according to Google Finance's NYSEOKLO quote stamped 4 p.m. EST. That close preceded Friday's manufacturing announcement.
The release does not disclose a reservation fee, deposit, minimum purchase obligation or total contract value. It also gives no annual production allocation, so the reservation cannot be translated into a number of Aurora powerhouses supplied each year.
"Reserving that capacity today prepares us for the demands of repeated deployments," Oklo co-founder and chief executive Jacob DeWitte said in the release.
Initial Component Deliveries Are Scheduled For 2030
The components covered by the manufacturing strategy include large stainless-steel reactor vessels, lids and supporting structures. Oklo's release identifies the fabrication steps, transport between suppliers, welding, machining and inspection of these components as potential manufacturing challenges.
The planned North Carolina campus would combine casting, forging, ring rolling, heat treatment, machining, fabrication and inspection at one location. Oklo says that integration is intended to reduce transportation between suppliers and improve coordination across production.
The release also describes access to adjacent domestic steelmaking, rail and an on-site port for barge shipment of oversized components. It presents those capabilities as part of the planned campus, without announcing that the integrated manufacturing facilities are operating.
The supplier's investment plan predates this reservation. In its Feb. 26 announcement, the governor's office reported a planned US$875 million investment across three phases, citing the company. That figure describes the manufacturing development, rather than a payment or investment disclosed by Oklo under Friday's agreement.
Oklo's release also identifies government approvals and access to fuel, specialized components and qualified suppliers as deployment risks. It does not announce a reactor licensing decision or a fuel-supply agreement.
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Other reactor developers are also contracting for component manufacturing. NuScale Power Corporation NYSESMR announced on Oct. 29 a contract covering production of the first article for its module's upper reactor coolant system. That is a different manufacturing stage from Oklo's reservation of planned capacity.
Oklo's announcement does not provide a campus commissioning date or a more precise delivery window. The next delivery milestone disclosed under the arrangement is initial finished-component delivery in 2030, with capacity support intended to continue through 2035.
