X-energy gets green light to build its first small modular nuclear reactors

X-energy, a nuclear startup, has received a construction permit from the U.S. Nuclear Regulatory Commission to build four small modular reactors at a Dow chemical plant in Texas. The reactors will generate 80 megawatts of electricity and 200 megawatts of heat. X-energy claims its reactor design is safer than existing ones, but the Union of Concerned Scientists questioned the claim and the speed of the permit approval. The industry is pinning its hopes on SMRs, which are expected to speed construction and reduce costs, although these benefits have yet to be proven. The reactors are not expected to be operational until the early 2030s. Amazon's Climate Pledge Fund led a $500 million investment in X-energy and has committed to buying 5 gigawatts of capacity from the startup. The company's IPO earlier this year raised $1 billion, but investor enthusiasm has tempered since then. The nuclear industry is benefiting from interest from hyperscalers and data center developers, who are seeking alternative sources of electricity.