Scott Nolan's Mission to Reduce Russia's HALEU Monopoly

By Timothy Gardner
WASHINGTON (Reuters) – Former SpaceX engineer Scott Nolan, CEO of startup General Matter, aims to end Russia's monopoly on more-enriched nuclear fuel by producing it at commercial scale in the U.S. and reducing its costs.

Nolan incorporated General Matter in San Francisco this year to manufacture high-assay low-enriched uranium (HALEU) for various planned atomic plants, particularly small modular reactors (SMRs), anticipated to gain traction in the 2030s.

HALEU is uranium enriched between 5% and 20%, potentially making next-generation high-tech reactors more efficient. Current reactor fuel is enriched to about 5%, with tech giants like Amazon planning new reactors for data centers.

Nolan stated, "We believe HALEU is the most urgent need in the market today, and the most sensitive to enrichment cost." His goal is to significantly reduce HALEU enrichment costs, which currently range from $25,000 to $35,000 per kilogram, primarily sourced from Russia.

In October, the U.S. Department of Energy awarded initial contracts to four companies, including General Matter, to boost domestic HALEU production, intending to allocate $2.7 billion for this initiative, pending Congressional approval.

General Matter currently lacks uranium fuel production infrastructure and will encounter competition from established companies in the industry:
1. Urenco USA – A European firm in New Mexico.
2. Orano USA – Based in Maryland with global headquarters in France.
3. Centrus Energy – With its subsidiary American Centrifuge Operating.

Some critics argue HALEU's enrichment poses a weapons risk and advocate limiting it to 10%-12%. Nolan stated he would defer to regulators for the appropriate levels.

In addition to founding General Matter, Nolan is a partner at Founders Fund, a venture capital firm that was an early investor in SpaceX, co-founded by Peter Thiel, a supporter of President-elect Donald Trump.

Nolan believes nuclear energy should be integral to Trump’s plans for expanding baseload electricity sources.

SpaceX Experience

Nolan worked at SpaceX from 2003 to 2007, drawing parallels between its innovative approach and General Matter’s vision to produce HALEU. "SpaceX fused the tech startup culture with aerospace; we’re doing something similar by integrating nuclear fuel cycle experts with tech industry skills to rethink our approach," he noted.

Details on the technology General Matter will employ for HALEU production remain undisclosed. Uranium production mainly relies on high-speed centrifuges, while some newcomers investigate laser-based uranium fuel production. Nolan mentioned, "Some technologies are commercially tested, others still need scalability proof."

(This story has been refiled to correct the spelling of General Matter in paragraphs 6 through 8.)