Over 80 years after scientists of the ‘Manhattan Project’ harnessed the power of the atom to end World War II, the top-secret worksite now has a new mission: to help dominate AI before China does. The first phase of the United States’ latest uranium enrichment facility opened in Oak Ridge, Tennessee, in May 2024, marking a pivotal step in the nation’s strategy to meet the growing energy demands of AI data centers. Uranium fuels the nuclear reactors that power these massive computing infrastructures, which are essential as AI systems become more sophisticated and energy-intensive, according to Jean-Luc Palayer, CEO of Orano USA.
Palayer emphasized that the U.S. must lead in AI innovation only if it can secure the energy resources needed to sustain it. ‘Having that in mind and our new project on enrichment in Oak Ridge, Tennessee, we step forward on a new mission of equal consequence,’ he stated. The ribbon-cutting ceremony for the facility was attended by numerous Tennessee lawmakers, highlighting the state’s strategic interest in the project. However, the U.S. faces significant challenges in energy independence, as 99% of its nuclear fuel is currently imported, primarily from Russia, Canada, Australia, Kazakhstan, and Uzbekistan. In response, the U.S. banned the import of uranium products from Russia in May 2024, though companies can still apply for waivers until 2028.
President Donald Trump’s recent executive orders aim to quadruple U.S. nuclear energy production by 2050, including specific directives to enhance domestic uranium conversion and enrichment capabilities. The orders also mandate a report on improving domestic uranium conversion capacity and set a deadline for policy updates to streamline nuclear energy production. At least 10 large nuclear reactors must be under construction by 2030, according to the directives. However, the U.S. faces an urgent challenge, as China plans to build 10 new nuclear reactors annually for the next decade, targeting a total of 100 reactors by 2035. Despite this, the U.S. nuclear industry has only added three reactors in the last three decades, highlighting a significant gap in infrastructure and production capacity.
Tennessee Governor Bill Lee underscored the urgency of the situation, stating, ‘We can’t lose the AI war to China. We can’t lose the energy war to Russia. In order to do that, we have to win the nuclear energy renaissance war in America.’ The Department of Energy’s recent findings reveal that data centers consumed an estimated 176 TWh of energy in 2023, projecting this to rise between 325 and 580 TWh by 2028. By 2028, AI data centers are expected to account for around 12% of U.S. annual energy use, enough to power New York City for 11 years. These figures illustrate the immense energy demands of AI technology and underscore the critical role of nuclear power in meeting these needs. As both nations compete in the energy and AI sectors, the race for nuclear infrastructure and energy security is fast becoming a central aspect of global technological and economic strategy.