Key facts
- The U.S. Department of Energy is providing up to $1 billion in additional funding to X-energy.
- The total federal funding available for the X-energy and Dow project in Texas is now up to $2.15 billion.
- The funding is part of the Advanced Reactor Demonstration Program aimed at commercial deployment of next-generation reactors.
- The reactors will be deployed at Dow's Seadrift petrochemical and plastics complex to provide electricity and industrial steam.
- Construction permit application was submitted last year, with operation targeted for the early 2030s.
The U.S. Department of Energy is significantly increasing its financial backing for advanced nuclear technology, with plans to provide X-energy with up to an additional $1 billion. This brings the total federal funding available for X-energy's planned nuclear project with Dow in Texas to as much as $2.15 billion since 2021.
According to X-energy CEO Clay Sell, the Department of Energy (DOE) has informed the company of the additional funding through the Advanced Reactor Demonstration Program, which aims to accelerate the commercial deployment of next-generation reactors. This new funding, like the original award, requires a 50/50 cost-share, meaning private spending must match federal contributions. Sell indicated that the DOE grant represents X-energy's largest revenue source currently.
The project is more ambitious than a typical reactor prototype, as X-energy and Dow intend to deploy the technology at Dow's Seadrift petrochemical and plastics complex in Texas. The reactors are slated to replace existing energy and steam units, supplying both electricity and industrial steam to the facility. Sell stated that this is expected to be the first grid-scale advanced nuclear reactor deployed to serve an industrial site in North America.
Dow and X-energy submitted their construction permit application to the U.S. Nuclear Regulatory Commission last year, with operations anticipated in the early 2030s. The substantial federal investment underscores Washington's commitment to advancing new nuclear technology from development to commercial operation, contingent on private matching capital.