SANTA CLARA, Calif. – Oklo Inc. (NYSE: OKLO), a company specializing in advanced nuclear technology with a market capitalization of $2.33 billion, and Switch (NYSE:), a leader in AI, cloud, and enterprise data center solutions, have entered into a non-binding Master Power Agreement to deliver 12 gigawatts of clean energy through Oklo’s Aurora powerhouses by 2044. According to InvestingPro data, Oklo’s stock has shown remarkable momentum with a 93% surge over the past six months, reflecting growing investor confidence in its clean energy initiatives. This partnership marks one of the largest corporate clean power agreements to date and sets the stage for a series of power purchase agreements across the United States.
Under the terms of the agreement, Oklo will develop, construct, and manage its powerhouses to supply energy to Switch’s data centers. The collaboration aims to support the growth of data centers and contribute to the decarbonization of the industry. InvestingPro analysis indicates that Oklo maintains a strong financial position with more cash than debt on its balance sheet, though analysts currently do not expect profitability this year. For detailed insights and 13 additional ProTips about Oklo’s financial outlook, investors can access the comprehensive Pro Research Report. Switch’s data centers, which cater to some of the world’s largest companies, will benefit from the reliable and sustainable power provided by Oklo’s Aurora powerhouses.
Switch has been utilizing 100% renewable energy since January 2016, and this new agreement with Oklo aligns with its mission to create efficient and sustainable infrastructure. The use of advanced nuclear power is expected to further enhance Switch’s data center offerings and support the company’s vision of energy abundance.
The Master Agreement also reflects Oklo’s business strategy of selling power directly to customers, offering a flexible approach to accessing clean, reliable, and affordable advanced nuclear energy. The Aurora powerhouses, which are planned for future deployment, are designed to meet the increasing energy demands.
Oklo and Switch have expressed their shared vision for the role of nuclear energy in powering artificial intelligence and achieving energy abundance. The long-term nature of the agreement allows for both companies to evolve their partnership from development to deployment and ultimately, scaling.
This information is based on a press release statement, and the agreement between Oklo and Switch serves as a significant step towards integrating sustainable energy solutions for the tech industry. The Master Agreement is subject to the finalization of individual binding agreements as project milestones are achieved. With analyst price targets ranging from $10 to $27 and an overall Fair financial health rating from InvestingPro, investors seeking deeper analysis can access comprehensive valuation metrics and expert insights through the Pro Research Report, available for over 1,400 US stocks.
In other recent news, Oklo Inc. has announced a series of significant developments. The company has plans to acquire Atomic Alchemy Inc., which recently signed a Memorandum of Understanding with Zeno Power Systems. This partnership aims to enhance the supply chain for critical isotopes, which are essential for clean energy production in remote and off-grid environments.
In addition, Oklo has issued 2.5 million shares following a price milestone, a decision linked to a merger agreement with AltC Acquisition Corp. and Oklo Technologies, Inc. The company has also partnered with two leading data center providers to supply up to 750 megawatts of low-carbon power, expanding its customer pipeline to approximately 2,100 MW.
Furthermore, Oklo has secured an Environmental Compliance Permit for its first commercial advanced fission power plant site at the Idaho National Laboratory. The company has also switched to Deloitte & Touche LLP as its new independent registered public accounting firm. Additionally, Oklo has entered into a Preferred Supplier Agreement with Siemens (ETR:) Energy to further commercialize its advanced fission technology.
Coverage of Oklo has been initiated by analysts from B. Riley and Citi, with B. Riley highlighting the potential of the company’s advanced nuclear technology, while Citi reiterated a neutral stance. These are the recent developments for Oklo Inc.
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