Oklo Inc. (OKLO) saw its stock price surge by 5.10% in pre-market trading on Wednesday following news of a significant contract with the US Air Force. The advanced nuclear technology company has been selected by the Defense Logistics Agency Energy to provide clean and reliable power to Eielson Air Force Base in Alaska.

Under the anticipated agreement, Oklo will design, construct, own, and operate an Aurora powerhouse at the Air Force base. The project, which is part of the Department of the Air Force's microreactor pilot project, aims to enhance energy resilience and reliability for critical national security infrastructure. Oklo's fast reactor technology is set to provide continuous and independent energy, which is crucial for remote installations like Eielson.

While the value of the deal was not disclosed, the long-term power purchase agreement represents a significant milestone for Oklo. This development comes after previous setbacks, including a denied operating license by the U.S. Nuclear Regulatory Commission in 2022 and a withdrawn contract in 2023. Despite these challenges, Oklo plans to reapply for its operating license late in 2025, with hopes of receiving approval by 2027. The company's progress and this new agreement have clearly boosted investor confidence, as reflected in the stock's pre-market performance.