Centrus Energy Corp. (AMEX:LEU) Q3 2023 Earnings Call Transcript

There’s been a lot of ferment in a good way about the possibility of deployment of small and micronuclear reactors in that direction. We are monitoring each and all of these sources. And of course, there are international opportunities as well, and you’ve started to see important marketing of advanced reactors happening internationally. I might note the X-energy deal that’s going on with OPG. There’s a lot of interest in Canada in small and even micro reactors for the very remote communities that are now isolated and dependent on diesel or for the oil sands we’re trying to have very ambitious decarbonization targets, which will be assisted in being met if they can at least use nuclear power and not diesel, for example, to develop the oil sands up there.

So we’re looking everywhere and very excited. If you look at the, last thing I’ll say, just kind of the macro terms, the DOE Commercial Liftoff report came out in March called for a very large increment, like 700 gigawatts of new electricity generation, to meet our net zero targets just in this country, of which about 200 gigawatts they expect to come from nuclear. That’s a lot of reactors, right? And so we’re very bullish on this. And I keep saying the last thing, but perhaps the last, last thing is what you’re seeing now also, and this is very important, is new sources of demand for completely reliable carbon-free electricity. This is like large data centers, I’m sure you’ve seen a lot of discussion among various massive companies that are out there, which have effectively insatiable requirements in that direction as well as industrial processes.

And of course, to decarbonize and meet our net zero targets, only 27% of the greenhouse gas has come from power generation. We’re going to have to get over the 30% or so decarbonized out industrial processes, and that’s where these Gen 4 reactors with their high output heat, like X-energy with Dow Chemical are so helpful. So I’m very bullish that the market out there could develop in a very robust way.

Operator: There are no further questions at this time. I’d like to turn the floor back over to Dan Leistikow for closing comments.

Dan Leistikow: Thank you, operator. That will conclude our call. Thanks as always to our investors who joined online and by phone today. We’ll talk to you again next quarter.

Operator: This concludes today’s teleconference. You may disconnect your lines at this time. Thank you for your participation, and have a wonderful day.