Construction on the L.E.S. Uranium Enrichment Factory in Eunice will go on, despite a challenge from two watchdog groups.
A Washington, D.C. court rejected the appeal by Public Citizen and the Nuclear Information and Resource Service, which claimed L.E.S. didn't have a plausible way to dispose of uranium waste.
The U.S. Nuclear Regulatory Commission awarded L.E.S. their license last June.
The 1.5 billion dollar facility is being built five miles east of Eunice.
Officials say they could be ready to sell enriched uranium by 2009.