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Oklo and Siemens Energy Sign Agreement to Accelerate Power Conversion System for New SMR in Idaho

LCG, November 19, 2025--Oklo Inc. and Siemens Energy announced today that the parties have signed a binding contract for the design and delivery of the power conversion system for Oklo’s Aurora-INL (Idaho National Laboratory) nuclear small modular reactor (SMR). The agreement authorizes Siemens Energy to begin engineering and design work to expedite procurement of long-lead components and to initiate the manufacturing process for the power conversion system. Oklo’s expertise in advanced fission technology will be combined with Siemens Energy’s extensive industry experience with steam turbine and generator systems, with the ultimate goal of generating carbon-free, reliable electricity.

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NERC's New Winter Reliability Assessment Raises Concerns for Elevated Risk of Insufficient Supplies to Meet Demand in Extreme Operating Conditions

LCG, November 19, 2025--NERC yesterday released its 2025–2026 Winter Reliability Assessment (WRA), which concludes "much of North America is again at an elevated risk of having insufficient energy supplies to meet demand in extreme operating conditions." The WRA does state that resources are adequate for normal winter peak demand, but extended, wide-area cold snaps will be challenging.

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Industry News

California Hopes to Renegotiate Power ContractsAs Large Users Sign Their Own Supply Deals

LCG, Oct. 22, 2001--Energy advisors to California Gov. Gray Davis said on Friday that the state intended to press ahead in its attempts to renegotiate some of the power purchase agreements entered into by the state Department of Water Resources.

The water agency signed more than 50 contracts with independent power producers for some $43 billion worth of electricity to be delivered mostly over the next ten years, but with one contract extending 20 years into the future.

The cost of power under those contracts averages about $69 per megawatt-hour, more than twice the current market rate.

State records show that many large power customers aren't waiting around to see what the state will pay for power and are arranging their own deals with power suppliers. That move could leave householders and small commercial customers on the hook for the high-priced power.

"This stampede could shift over $8 billion in costs to these consumers in coming years," said state Treasurer Phil Angelides, who added "It isn't fair and it isn't right."

State officials say that not all of the power contracts will be renegotiated, but decline to say which.

"Certainly we're not targeting every contract," said Barry Goode, Davis' legal affairs secretary. "Long-term contracts have been extremely valuable in keeping the market stable."

Separately, the California Department of Water Resources, which also makes spot market power purchases to serve the day-to-day needs of the state's cash-strapped investor-owned utilities, said it expects its total electricity costs for the three utilities to be $17.2 billion by December of next year, a sharp drop from its earlier estimate of $21.4 billion.

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