X-energy Secures $700 Million Series D to Propel Small Modular Reactor Deployment
X-energy, a pioneering nuclear energy startup, has successfully secured $700 million in a Series D funding round, marking a significant milestone in its mission to revolutionize the nuclear power industry. This latest infusion of capital brings the company’s total fundraising efforts to an impressive $1.8 billion to date.
The Series D round was spearheaded by Jane Street, a notable investment firm that had previously participated in X-energy’s expanded Series C funding. The round also saw contributions from a diverse group of investors, including Ares Management funds, ARK Invest, Corner Capital, Emerson Collective, Galvanize, Hood River Capital Management, NGP, Point72, Reaves Asset Management, Segra Capital Management, and XTX Ventures.
X-energy plans to utilize this substantial funding to establish a robust supply chain for its small modular reactors (SMRs). The company has already secured orders for 144 SMRs, collectively capable of generating 11 gigawatts of electricity. Esteemed clients such as Amazon, Dow, and British energy company Centrica are among those who have placed orders, underscoring the growing confidence in X-energy’s innovative technology.
The company’s flagship product, the Xe-100 reactor, is a high-temperature, gas-cooled reactor designed to generate 80 megawatts of electricity. These reactors are fueled by carbon-coated pebbles, each about the size of a billiard ball, containing uranium particles. Helium gas flows over these pebbles within the reactor, collecting heat that is then transferred to a steam turbine to produce electricity. This design offers enhanced safety features and operational efficiency compared to traditional nuclear reactors.
X-energy’s advancements come at a time when there is a surge of interest from technology companies and data center developers in nuclear energy solutions. Amazon’s Climate Pledge Fund led the initial installment of X-energy’s Series C funding. In a strategic move last year, Amazon announced plans to purchase over 600 megawatts of nuclear capacity in the Pacific Northwest and Virginia, with the reactors expected to be operational in the early 2030s. This partnership could potentially lead to the deployment of up to 5 gigawatts of nuclear capacity by 2039, highlighting the scalability and appeal of X-energy’s technology.
The company is at the forefront of a competitive landscape, striving alongside other SMR startups to rejuvenate the nuclear industry in the United States. While the potential of SMRs is widely recognized, the actual construction of such power plants has been limited, with none currently operational in the U.S. X-energy’s substantial funding and strategic partnerships position it as a key player in overcoming these challenges and advancing the adoption of SMRs.
