Key Takeaways:
The US Department of Energy's Idaho Operations Office approved the Preliminary Documented Safety Analysis for Oklo Inc.'s Aurora powerhouse at Idaho National Laboratory, a major regulatory step that sent the advanced nuclear developer's shares up more than 5% in pre-market trading on Thursday.
"This approval represents an important milestone for Aurora-INL and helps establish a foundation for future Aurora deployments," Jacob DeWitte, co-founder and chief executive officer of Oklo, said. "Aurora-INL is helping show how advanced reactors can move through real safety review, real construction, and ultimately into commercial licensing."
The PDSA covers the project's hazard analysis, accident analysis, safety controls and design commitments under the DOE's Reactor Pilot Program, a framework designed to accelerate deployment of scalable generation capacity under federal oversight. Aurora-INL will be the first of Oklo's planned fast fission power plants — a type of advanced reactor that uses fast neutrons to split atoms, offering higher fuel efficiency and the ability to recycle used nuclear fuel. The plant has been granted access to recovered fuel from the Experimental Breeder Reactor-II, a sodium-cooled fast reactor that operated at INL from 1964 to 1994.
The approval follows the December 2025 clearance of Oklo's Aurora Fuel Fabrication Facility, or A3F, which became the first facility approved under the DOE's Fuel Line Pilot Program. A3F will fabricate the initial fuel assemblies for Aurora-INL from EBR-II fuel, creating a vertically integrated fuel supply chain for the project. Oklo received a site-use permit at INL in 2019 and submitted the first custom combined license application for an advanced reactor to the US Nuclear Regulatory Commission, though the company withdrew that application in 2022 to pursue the DOE pathway instead.
Oklo's stock has fallen 42% over the past six months amid broader skepticism about the timeline for commercial advanced nuclear deployment. The company also recently acquired precision manufacturing firm ARMEC to accelerate reactor component production. Thursday's regulatory milestone could help rebuild investor confidence in the company's ability to deliver its first operating plant.
The DOE's Reactor Pilot Program allows Oklo to gain early deployment and operating experience with Aurora-INL while continuing to pursue NRC licensing for future commercial plants. The company is developing fast fission power plants — reactors that operate without a moderator and can extract more energy per unit of fuel than conventional light-water reactors — along with fuel recycling technologies in collaboration with the DOE and US national laboratories.
Advanced nuclear developers face a critical test over the next two years as data center operators, including major technology companies, seek clean, around-the-clock power sources to meet surging electricity demand from artificial intelligence workloads. Oklo's Aurora plant, with its small footprint and potential for factory fabrication, is positioned as a candidate for behind-the-meter power at data center sites, though the company has not yet announced any commercial power purchase agreements. Oklo trades as a development-stage company with no operating revenue from power sales, making regulatory milestones the primary near-term valuation driver.
This article is for informational purposes only and does not constitute investment advice.
