BWXT wins $1.5B contract for Tennessee uranium enrichment plant

A BWX Technologies subsidiary was awarded a $1.5 billion contract from the National Nuclear Security Administration to help the United States establish domestic uranium enrichment capability for defense, the Lynchburg-based nuclear components manufacturer announced Tuesday.

Under the indefinite-delivery, indefinite-quantity contract, BWXT Enrichment Operations will design, build and operate the Domestic Uranium Enrichment Centrifuge Experiment (DUECE) pilot plant at BWXT’s nuclear fuel services site in Erwin, Tennessee.

To support this work, BWXT began construction in June on a centrifuge manufacturing development facility in Oak Ridge, Tennessee. That facility is expected to create about 100 jobs initially. Centrifuges built in Oak Ridge will be used in the Erwin pilot plant.

“NNSA‘s selection of BWXT for this project acknowledges our long-standing role as a trusted partner in advancing the nation’s nuclear defense mission,” Rex D. Geveden, BWXT president and CEO, said in a news release. “Once operational, both facilities will enable us to scale manufacturing so the United States maintains sovereign capability to produce vital nuclear materials for national security.”

Initially, employees at the pilot plant will work toward demonstrating readiness to produce low-enriched uranium for production of tritium, which is used in nuclear weapons. Ultimately, the plant will be repurposed to produce highly enriched uranium for naval nuclear propulsion. BWXT does not yet have an estimate of how many jobs the pilot plant will create, according to a spokesperson.

Technology developed at the pilot plant will not be used to produce enriched uranium for the commercial nuclear power industry, according to the NNSA.

“Partnering with commercial industry for this pilot plant helps to establish critical supply chains for enduring defense enrichment requirements and ensures capabilities are ready on time to support mission need dates,” the NNSA stated.

A Fortune 1000 company, BWXT manufactures and supplies nuclear components and fuel. It has nearly 10,000 employees across 20 major operating sites in the United States, Canada and the United Kingdom.