Former SpaceX Engineer Aims to End Russia’s Monopoly on Enriched Nuclear Fuel
As the CEO of startup General Matter, Scott Nolan is determined to disrupt Russia’s dominance in the production of high-assay low-enriched uranium (HALEU), a more-enriched type of nuclear fuel. HALEU is used in planned atomic plants, including small modular reactors (SMRs), which backers hope will gain popularity in the 2030s. Nolan aims to make HALEU at a commercial scale in the United States, reducing its cost by half in the long term.
HALEU is enriched to between 5% and 20%, which could make new high-tech reactors more efficient. The fuel used in today’s reactors is enriched to about 5%. Big Tech companies like Amazon plan to build new reactors to power data centers. “We believe HALEU is the most urgent need in the market today, and the most sensitive to enrichment cost,” Nolan said.
General Matter received an initial contract from the U.S. Department of Energy to produce HALEU in the United States, which is part of an initiative to kickstart domestic production. The company plans to bring down the cost of HALEU and has set a goal to halve the cost of HALEU enrichment. Russian companies currently dominate the production of HALEU, with prices ranging from $25,000 to $35,000 per kilogram of uranium.
The U.S. Department of Energy plans to award $2.7 billion in contracts for HALEU production, subject to Congress’s approval. General Matter faces stiff competition from other companies, including Urenco USA, Orano USA, and Centrus Energy’s subsidiary American Centrifuge Operating, which have experience and facilities in the uranium industry.
Critics of HALEU argue that its high level of enrichment poses a weapons risk and recommend limiting it to 10% to 12%. Nolan said his company will rely on regulators to determine the acceptable level of HALEU enrichment.
As a partner in Founders Fund, a venture capital fund that invested in SpaceX, Nolan is drawing on his experience in the technology industry to develop new technology and reduce costs. He believes nuclear energy will be an important part of President-elect Donald Trump’s efforts to expand baseload electricity.