Oak Ridge National Laboratory intends to extend its contract with Centrus Energy Corporation for research on uranium enrichment centrifuges, but at a reduced level, with funding cut by about 60 percent, the company said Friday. Layoffs could be required, Centrus said in a press release.

The contract extension continues technology development activities at Oak Ridge facilities for advanced uranium enrichment centrifuges, but revenues won’t be used for operations in Piketon, Ohio, the press release said.

The new contract will cover a one-year period from October 1, 2015, to September 30, 2016, with the possibility for additional extensions, the release said.

It said the U.S. Department of Energy’s decision to provide reduced funding will support continued developments of the company’s American Centrifuge technology—which has long-term importance for national and energy security. [Read more…]