Oklo and DOE to Build Reactor for Critical Medical Isotopes

SANTA CLARA, CA – January 07, 2026 – Advanced nuclear technology company Oklo Inc. has finalized a pivotal agreement with the U.S. Department of Energy (DOE) to construct and operate a pilot facility for producing life-saving medical radioisotopes. The move signals a major step toward ending America's precarious reliance on foreign suppliers for materials essential in diagnosing cancer and treating disease.

The partnership, formalized through an Other Transaction Agreement (OTA), activates the project under the DOE's Reactor Pilot Program (RPP). This allows Oklo's subsidiary, Atomic Alchemy Inc., to move from planning into active execution on a pilot plant designed to establish a reliable domestic supply chain for radioisotopes that are fundamental to modern medicine and national security.

“This OTA establishes a framework for execution and risk reduction,” said Jacob DeWitte, co-founder and CEO of Oklo, in a statement. “By building and operating a pilot reactor, we generate the data and experience to streamline future commercial deployments, improve regulatory efficiency, and deliver long-term value.”

A Fragile Lifeline: The U.S. Medical Isotope Crisis

The urgency behind this initiative is rooted in a long-standing vulnerability in the U.S. healthcare system. The nation imports nearly 90% of the raw isotopes it consumes, with Molybdenum-99 (Mo-99) being the most critical. Mo-99 is the parent isotope of Technetium-99m (Tc-99m), the workhorse of nuclear medicine, used in over 40,000 diagnostic procedures every day in the United States for detecting heart disease, cancer, and other serious conditions.

The global supply chain for Mo-99 is notoriously fragile. Production is concentrated in a handful of aging, foreign-owned research reactors, primarily in Europe, Australia, and South Africa. These facilities are prone to unplanned shutdowns, which have historically triggered significant shortages and forced American hospitals to delay or cancel crucial medical scans for patients.

Adding to the complexity is the physics of the material itself. Mo-99 has a half-life of just 2.75 days, and its decay product, Tc-99m, lasts only six hours. This means the isotopes cannot be stockpiled and require a constant, uninterrupted “just-in-time” delivery system. Any disruption, whether from a reactor outage or a logistical snag, can have immediate consequences for patient care. This pilot project by Oklo and the DOE is a direct response to this persistent national security and public health risk.

A New Regulatory Playbook: The DOE Pilot Program

In a significant strategic pivot, Oklo subsidiary Atomic Alchemy has withdrawn its previous construction permit application to the Nuclear Regulatory Commission (NRC) for its commercial-scale Meitner-1 facility. Instead, it will prioritize the pilot plant under the DOE's Reactor Pilot Program (RPP). This “learn-first-then-scale” approach highlights a novel pathway for deploying advanced nuclear technologies.

The RPP was established to accelerate the testing and demonstration of new reactor designs by leveraging the DOE's authority under the Atomic Energy Act. For companies like Oklo, this program offers a faster, more flexible route to building and operating a prototype reactor compared to the traditionally lengthy and complex NRC commercial licensing process. The pilot facility will not require a direct NRC license to operate, allowing the company to generate crucial operational data and real-world experience much more quickly.

The goal is not to circumvent regulation but to streamline it. The data gathered from the pilot plant’s operation is intended to de-risk the technology and inform a more efficient and predictable future application for a commercial license from the NRC. This public-private partnership, enabled by the flexible OTA framework, represents a new model for fostering nuclear innovation, aiming to restore U.S. leadership in a field it once dominated.

Beyond Power Grids: Nuclear's Evolving Role in Medicine

While Oklo is primarily known for developing compact fast fission power plants for clean energy, this project underscores the growing versatility of advanced nuclear technology beyond electricity generation. Atomic Alchemy, acquired by Oklo in 2025, is a specialized subsidiary focused entirely on establishing a resilient U.S. radioisotope supply chain.

The company plans to utilize its proprietary Versatile Isotope Production Reactor (VIPR®) technology, a 15-MWt light water reactor design, within the pilot facility. This initiative is not just about replicating existing production methods but about deploying advanced, scalable nuclear systems specifically designed for medical applications. The project aims to produce a range of isotopes, including not only the diagnostic workhorse Mo-99 but also therapeutic isotopes like Lutetium-177, which are showing immense promise in targeted cancer therapies but whose availability is often limited.

By focusing on a vertically integrated model that includes fuel recycling in partnership with Oklo, Atomic Alchemy aims to create a closed-loop, sustainable production ecosystem. This positions advanced nuclear science as a critical enabler for the future of medicine, providing the fundamental building blocks for next-generation diagnostics and treatments.

Bolstering Domestic Production and Patient Access

The Oklo-DOE partnership is part of a broader, concerted effort to onshore radioisotope production. For decades, the U.S. has lacked large-scale commercial Mo-99 production. While companies like SHINE Technologies are also close to launching production using accelerator-based methods, the need for diverse and redundant supply lines remains critical.

Recognizing the economic hurdles, the U.S. government is creating incentives to foster a sustainable domestic market. A key policy change set to take effect on January 1, 2026, will see Medicare offer a $10 add-on payment for radiopharmaceuticals derived from domestically produced Mo-99. This financial incentive is designed to encourage hospitals to transition to U.S.-sourced isotopes, helping domestic producers compete with heavily subsidized foreign reactors.

Ultimately, the success of the Radioisotope Pilot Facility and similar initiatives is measured by its impact on patients. By building a reliable domestic supply, the project aims to insulate American healthcare from global supply shocks and geopolitical risks. This will provide doctors, researchers, and hospitals with the consistent access they need to these life-saving materials, ensuring that critical medical procedures are consistently available to patients across the country.