Dioxitek and Nano Energy Partner for Nuclear Project in Argentina
- Has announced a plan to invest more than $230 million to restart a nuclear fuel facility in Argentina.
- The facility is owned by Dioxitek S.A., Argentina's state-run company and the country's only manufacturer of uranium feedstock for nuclear fuel fabrication.
- The proposed arrangement allows Nano Nuclear Energy to participate as a production partner, while the Argentine state retains ownership of the facility.
U.S.-based Nano Nuclear Energy Inc. Has announced a plan to invest more than $230 million to restart a nuclear fuel facility in Argentina. The project focuses on the New Uranium Plant (NPU), located in Formosa province in northern Argentina, which has seen construction stalled since 2014.
The facility is owned by Dioxitek S.A., Argentina’s state-run company and the country’s only manufacturer of uranium feedstock for nuclear fuel fabrication. The investment aims to increase domestic production capacity and create export opportunities within a constrained global market.
Partnership Structure and Implementation
The proposed arrangement allows Nano Nuclear Energy to participate as a production partner, while the Argentine state retains ownership of the facility. This structure represents a shift in Argentina’s nuclear policy, as the sector has historically been managed entirely by the public sector.
The investment is organized into two phases. The first phase is dedicated to completing the construction of the plant and bringing it online to produce uranium dioxide, which serves as a critical input for nuclear power generation.
The formal proposal was finalized during Argentina Week, an investment forum held in March 2026 in New York, where Argentine officials promoted strategic sector opportunities. The proposal is currently under review by the Argentine Economy Ministry.
Development Timeline and Cooperation
The collaboration began on August 27, 2025, when Nano Nuclear Energy and Dioxitek S.A. Signed a Memorandum of Understanding (MOU). This non-binding framework was designed to allow both parties to assess the existing infrastructure and capacities for uranium conversion to enrichment feedstock in Argentina.
Following the initial evaluation, the two entities planned to investigate the feasibility of further collaboration to support the peaceful use of nuclear energy and Argentina’s nuclear supply chain. This included the potential development of an enrichment production line within Dioxitek’s existing facilities.
The cooperation is supported by the 123 Agreement, a framework for peaceful nuclear cooperation between the United States and Argentina established under the U.S. Atomic Energy Act of 1954.
Strategic Context of the Nuclear Fuel Cycle
The project addresses a specific stage of the nuclear fuel supply chain. Uranium dioxide, commonly referred to as yellowcake, must be converted into uranium hexafluoride (UF6), which is the primary feedstock required for enrichment into fuel.
Argentina possesses strategic uranium reserves that provide an opportunity to address the global shortage of UF6. By developing domestic conversion capabilities, Argentina intends to reduce its reliance on foreign suppliers for nuclear fuel components.
The initiative aligns with ongoing regulatory changes within Argentina’s nuclear supply chain sectors, aiming to modernize the infrastructure that has remained dormant for over a decade.