The U.S. Army just committed to building nuclear reactors on military bases by 2028. And investors are piling in.

Shares of NuScale Power $SMR jumped 17% in a single session. $OKLO climbed 7%. Nano Nuclear $NNE added 4%. Centrus Energy $LEU surged 13%. 

The trigger: Project Janus, a Pentagon-backed initiative to deploy small modular reactors across defense installations.

This isn't a pilot program. It's a procurement strategy.

The US Army plans to install reactors generating up to 20 megawatts each at domestic military bases. 

These units will be commercially operated but Pentagon-controlled, delivering secure, on-site power independent of civilian grids.

Right, energy is now a combat readiness issue.

The logic is straightforward. Modern warfare runs on electricity. Drones require constant recharging. AI-driven surveillance systems process terabytes of data in real time. 

Directed-energy weapons demand enormous instantaneous power loads.

Jeff Waksman of the U.S. Army put it clearly: "Great power conflict is defined by who can move their resources around. Energy demands are only increasing."

Base-level nuclear capacity removes grid dependency. It also eliminates a vulnerability—centralized power infrastructure remains a soft target in any prolonged conflict.

This program doesn't exist in a vacuum. 

Data center operators are already racing to secure nuclear capacity. Microsoft, Amazon, and Google have all signed agreements or made investments tied to small modular reactor development. The AI compute boom is straining grid capacity across the U.S., and utilities can't build transmission fast enough.

The Pentagon is following corporate America's lead, but with higher stakes. Where tech companies want uptime, the military needs resilience.

Energy Secretary Chris Wright connected the dots explicitly: "What began as a wartime effort became the backbone of America's peacetime strength. Under President Trump's leadership, we're extending that legacy through initiatives like the Janus Program, accelerating next-generation reactor deployment."

That language signals policy continuity. Nuclear is now positioned as both an economic and national security priority.

Project Janus creates a defined government buyer with a hard deadline. That's rare in the nuclear sector, where regulatory timelines and capital intensity typically deter private investment.

NuScale, the most established name in small modular reactors, saw the largest single-day gain. The company has already secured Nuclear Regulatory Commission design approval and is furthest along the commercialization path. Oklo and Nano Nuclear, both earlier-stage developers, are positioning around microreactor designs suited for distributed military use.

Centrus Energy's jump is notable for a different reason. The company focuses on uranium enrichment, a critical upstream input. A domestic reactor build-out implies sustained demand for fuel supply chains, particularly if the Pentagon prioritizes U.S.-sourced materials.

But here's the reality check: no small modular reactor has yet been deployed at commercial scale in the United States. NuScale canceled its lead project in Utah last year after cost overruns and utility partner withdrawal. Oklo is still working through its NRC licensing process. Nano Nuclear remains pre-commercial.

The 2028 target is aggressive. Regulatory approval, site preparation, and reactor commissioning typically span years, not quarters.

Executive Order 14299 goes beyond military installations. It directs federal agencies to "accelerate the secure and responsible development, demonstration, deployment, and export of United States designed advanced nuclear technologies to bolster readiness and enhance American technological superiority."

That's policy language for industrial strategy. 

The goal is to rebuild U.S. leadership in reactor technology and export capacity, areas where China and Russia have gained ground over the past decade.

Project Janus serves as both proof of concept and guaranteed anchor demand. If the military successfully deploys these systems, it de-risks the technology for civilian utilities and corporate buyers.

For investors, the thesis is clear: SMRs are moving from R&D to procurement. 

Government backing reduces but doesn't eliminate execution risk. The companies that can deliver on time and on budget will capture significant market share. Those that can't will face the same fate as cost-overrun predecessors in the traditional nuclear industry.

The rally isn't irrational. But it's pricing in a future that hasn't been built yet.