Deep Isolation Nuclear, Inc.

What they do

Deep Isolation is developing permanent disposal of high-level waste (HLW) and spent nuclear fuel (SNF) in deep underground boreholes using directional drilling, with its patented Universal Canister System (UCS) developed with NAC International. It offers strategic appraisal, operational planning and implementation services for deep borehole disposal, and operates subsidiary Freestone, an environmental and water resources consulting firm serving federal, state, municipal and private clients. The company has not yet entered into any implementation contracts with customers.

Revenue drivers

• Freestone environmental consulting — Subsidiary providing regulatory support, site investigation and remediation, environmental data management and technology R&D; the 10-K states Freestone is expected to remain a key source of revenue and its cash flows reduce consolidated cash use.
• Strategic appraisal and operational planning services — Feasibility assessments, generic borehole repository design, IAEA-compliant business cases and Generic Safety Cases for potential disposal customers; no implementation contracts signed to date.
• Implementation services (future) — Deployment, siting, licensing, construction, commissioning, closure and monitoring services; the company expects demand to follow a successful full-scale demonstration, and has recognized no such contracts yet.

Recent performance

Second quarter 2026 consolidated revenue was $1.3 million, versus $6.1 million in Q4 2025 and $1.4 million in Q1 2026. The Q2 2026 net loss was $3.0 million, driven by approximately $1.2 million of research and development on the full-scale, at-depth demonstration plus SG&A. Annual revenue declined from $7.1 million in 2024 to $6.1 million in 2025, while the net loss widened from $994,000 in 2024 to $5.3 million in 2025. Cash was $19.4 million at June 30, 2026, down from $27.4 million at December 31, 2025, with total assets of $21.6 million, total liabilities of $2.0 million and shareholder equity of $19.7 million. As of August 3, 2026 there were 57,667,113 common shares outstanding.

Strategy

The company is executing a non-radioactive, full-scale, at-depth demonstration of its deep borehole disposal technology at the Deep Borehole Demonstration Center near Cameron, Texas, in collaboration with Halliburton, Amentum, NAC International, Occlusion Nuclear Solutions and Westinghouse. It established a permanent field presence in Texas and reported surpassing 100 issued patents worldwide. It is progressing through contracting for a DOE ARPA-E SCALEUP Ready award that, if successfully negotiated, would provide up to $20 million toward full-scale field testing of the UCS at Cameron, Texas. The company went public in 2026, with an S-1 declared effective May 7, 2026 and OTCQB trading beginning after quarter end. Cost synergies between Freestone and the core business are cited as reducing fundraising needs.

Risks

• Market may not develop — The 10-K states the market for deep borehole disposal is not yet established and may not develop on the expected timeline or at all.
• No customer contracts — The company has not entered any binding contract with any customer to store or dispose of nuclear waste using its DBD solutions.
• History of losses — Net losses widened from $994,000 in 2024 to $5.3 million in 2025 and $3.0 million in Q2 2026 alone, with operating cash flow of negative $3.9 million in 2025.
• Regulatory and government dependence — The business is subject to extensive laws and regulation and interacts with governmental entities whose policies, priorities, mandates and funding levels can change.

Outlook

Management frames 2026 as a year of execution, with the full-scale at-depth demonstration at Cameron, Texas as the key catalyst expected to spur demand for implementation services. The company is pursuing the DOE ARPA-E SCALEUP Ready award, which if negotiated would provide up to $20 million toward full-scale UCS field testing. No implementation contracts have been signed, and management provides no revenue guidance.