Company: LEU
Filing Date: 2025-11-06
Form Type: S-3ASR
Source: 0001104659-25-107379
Chunk: 14

Company: CENTRUS ENERGY CORP
Filing Date: 2025-11-06
Form: S-3ASR
Chunk 14
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 of nuclear fuel for reactors that produce electricity. We supply LEU and its components to both domestic and international
utilities for use in nuclear reactors worldwide. We provide LEU from multiple sources, including medium- and long-term supply contracts,
spot purchases and our inventory. As a long-term supplier of LEU to our customers, our objective is to provide value through the reliability
and diversity of our supply sources.

Published spot price indicators
for SWU reached previous historic highs in April 2009 at $163 per SWU. In the years following the 2011 Fukushima accident in Japan,
spot prices declined more than 75%, bottoming out in August 2018 at $34 per SWU. This was followed by a period of price increases,
which reached $195 per SWU by December 31, 2024, which surpassed the previous historic high. As of September 30, 2025, spot
prices were $220 per SWU. This represents an increase of 13% since the beginning of the year and an increase of 547% over the 2018 historic
low. This surge in the SWU spot price beginning in 2022 has been driven primarily by uncertainty created as a result of the war in Ukraine,
coupled with growing interest in nuclear power as a source of reliable carbon-free energy. The contemplation of the imposition of tariffs
on LEU, if ultimately imposed, may put additional upward pressure on the price of SWU.

When Russian supply is included,
the uranium enrichment segment of the global nuclear fuel market is oversupplied. But without Russian supply, the global market for uranium
enrichment would be undersupplied. Further, it is not clear that there are sufficient inventories of enriched uranium in the United States
to compensate for a loss of Russian supply, absent new capacity that will take a number of years to deploy.

Changes in the supply-demand
balance and in the competitive landscape arising from the war in Ukraine or the imposition of tariffs, may affect pricing trends, change
customer spending patterns, and create additional uncertainty in the uranium market. At the same time, uncertainty remains about future
demand for nuclear power generation. To address such changes and uncertainty, we continue to evaluate opportunities to grow our business
organically or through acquisitions and other strategic transactions.

Our Technical Solutions segment
is committed to the restoration of America’s domestic uranium enrichment production capability in order to play a critical role
in meeting U.S. national security and energy security requirements and advancing America’s non