NANO Nuclear Energy (NNE) shares surged 4% on Monday following the announcement of a new contract award from the U.S. Air Force. The company secured a Phase I Small Business Innovation Research (SBIR) contract through AFWERX, the Air Force’s innovation hub.
The contract focuses on NANO Nuclear’s KRONOS MMR™ microreactor system, designed to tackle energy challenges within the Department of the Air Force (DAF). This deal officially kicked off on July 21, 2026, marking an important milestone in NNE’s defense-related projects.
What This Contract Brings
AFWERX, partnering with the Air Force Research Laboratory, aims to simplify and accelerate the SBIR and Small Business Technology Transfer process for small businesses, reducing bureaucracy and speeding development timelines. The DAF's Open Topic SBIR/STTR program, started in 2018, has opened doors for innovative small businesses like NANO Nuclear, broadening the types of technology the Air Force funds.
CEO James Walker described the award as “another meaningful step” in advancing the company’s strategy for defense commercialization. He highlighted how multiple active collaborations with the Air Force now reflect growing confidence in NANO Nuclear’s technology and capabilities.
Founder and Chairman Jay Yu pointed out the increasing importance of energy resilience for military operations. He said advanced microreactors could revolutionize how critical installations are powered, and called this contract an important form of “commercial validation” for their technology roadmap.
With the KRONOS MMR™ microreactor already positioned for energy resilience at isolated military sites, this contract strengthens NANO Nuclear's ties to the Air Force and opens potential paths for future deployments across additional installations and possibly other Department of Defense entities.
This is far from NNE’s first engagement with the Air Force, as the company currently has several active programs underway. The Phase I SBIR contract marks early-stage research, often leading to follow-up Phase II and III contracts if milestones are met.
