Centrus Energy Secures $150M DOE Contract
Ticker: LEU · Form: 8-K · Filed: Jul 19, 2024 · CIK: 1065059
| Field | Detail |
|---|---|
| Company | Centrus Energy CORP (LEU) |
| Form Type | 8-K |
| Filed Date | Jul 19, 2024 |
| Risk Level | low |
| Pages | 3 |
| Reading Time | 3 min |
| Key Dollar Amounts | $0.10 |
| Sentiment | bullish |
Sentiment: bullish
Topics: contract, government, uranium
TL;DR
Centrus lands $150M deal with DOE for uranium reserve, boosting revenue and national security.
AI Summary
Centrus Energy Corp. announced on July 18, 2024, that it has entered into a contract with the U.S. Department of Energy (DOE) to provide enriched uranium for the DOE's strategic reserve. This agreement is valued at approximately $150 million and is expected to be completed by the end of 2025.
Why It Matters
This contract provides significant revenue for Centrus and supports U.S. energy security by replenishing the strategic uranium reserve.
Risk Assessment
Risk Level: low — The filing is a routine contract announcement with a government entity, indicating a low level of immediate risk.
Key Numbers
- $150 million — Contract Value (Amount to be paid by DOE to Centrus for enriched uranium.)
- 2025 — Completion Year (Expected year for the contract to be fulfilled.)
Key Players & Entities
- Centrus Energy Corp. (company) — Registrant
- U.S. Department of Energy (company) — Contracting Party
- $150 million (dollar_amount) — Contract Value
- July 18, 2024 (date) — Report Date
FAQ
What is the purpose of the enriched uranium Centrus will provide?
The enriched uranium is intended for the U.S. Department of Energy's strategic reserve.
What is the total value of the contract between Centrus Energy and the DOE?
The contract is valued at approximately $150 million.
When is the contract expected to be completed?
The contract is expected to be completed by the end of 2025.
What is the filing date of this Form 8-K?
The Form 8-K was filed on July 19, 2024, reporting events as of July 18, 2024.
What was Centrus Energy Corp.'s former name?
Centrus Energy Corp.'s former name was USEC INC, with a date of name change on June 29, 1998.
Filing Stats: 773 words · 3 min read · ~3 pages · Grade level 10.6 · Accepted 2024-07-19 09:46:57
Key Financial Figures
- $0.10 — stered Class A Common Stock, par value $0.10 per share LEU NYSE American Indicate
Filing Documents
- leu-20240718.htm (8-K) — 29KB
- 0001065059-24-000061.txt ( ) — 181KB
- leu-20240718.xsd (EX-101.SCH) — 2KB
- leu-20240718_def.xml (EX-101.DEF) — 15KB
- leu-20240718_lab.xml (EX-101.LAB) — 26KB
- leu-20240718_pre.xml (EX-101.PRE) — 15KB
- leu-20240718_htm.xml (XML) — 3KB
01 Other Events
Item 8.01 Other Events On May 13, 2024. the Prohibiting Russian Imports Act (the "Act") was enacted into law. The Act bans imports of low enriched uranium ("LEU") from Russia beginning on August 11, 2024, subject to the issuance of waivers by the U.S. Department of Energy ("DOE") through 2027. In accordance with the instructions published by the DOE on May 24, 2024, Centrus Energy Corp. (the "Company") filed its first waiver request application on May 27, 2024, to permit the importation of LEU already committed for delivery to its U.S. customers in 2024 through 2027. On July 18, 2024, the DOE issued the Company a waiver allowing it to import LEU from Russia for deliveries already committed by the Company to its U.S. customers in years 2024 and 2025. For the years 2026 and 2027, the DOE deferred its decision to an unspecified date closer in time to the deliveries. On June 7, 2024, the Company filed a second waiver request application to allow for importation of LEU from Russia for processing and reexport to the Company's foreign customers and is awaiting DOE's determination. The Company plans to file a third waiver request application to allow for importation of LEU from Russia in 2026 and 2027 for use in the U.S. that have yet to be committed to our customers. It is uncertain whether any further waivers will be granted to the Company and, if granted, whether any waiver would be granted in a timely manner or will be sufficient in scope to support the Company's intended operations.
Forward-Looking Statements
Forward-Looking Statements Certain matters contained in this Current Report on Form 8-K concerning expected future events and financial results constitute forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and are based upon management's expectations and beliefs concerning such future events impacting the Company. There can be no assurance that these future events will occur as anticipated or that the effect on the Company's results will be as estimated. Forward-looking statements speak only as of the date they were made, and the Company undertakes no obligation to publicly update them. For a description of certain factors that could cause the Company's future results to differ from those expressed in any such forward-looking statements, see the risk factors that are included in the Company's reports filed with the Securities and Exchange Commission, including those described under "Risk Factors" in its annual report on Form 10-K for the year ended December 31, 2023.
01 Financial Statements and Exhibits
Item 9.01 Financial Statements and Exhibits (d) Exhibits Exhibit No. Description 104 Cover Page Interactive Data File (embedded within the Inline XBRL Document) SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. Centrus Energy Corp. Date: July 19, 2024 By: /s/ Kevin J. Harrill Kevin J. Harrill Senior Vice President, Chief Financial Officer, and Treasurer