X-energy rides the nuclear wave, raises $700M Series D

Nuclear energy startup X-energy has raised $700 million in a Series D round, the company told TechCrunch.

The new fundraising campaign comes less than a year after it expanded its Series C from $500 million to $700 million, bringing the total raised in the past year or so to $1.4 billion, a significant sum even in the world of nuclear energy startups. X-energy has raised $1.8 billion to date.

X-energy said the new injection will help build the supply chain for its small modular reactors (SMR). So far, the startup says it has received orders for 144 small-sized units capable of generating 11 gigawatts of electricity. Clients include Amazon, Dow and British energy company Centrica.

The new round was led by Jane Street, who joined as an investor in the expanded Series C. Other participating investors include funds Ares Management, ARK Invest, Corner Capital, Emerson Collective, Galvanize, Hood River Capital Management, NGP, Point72, Reaves Asset Management, Segra Capital Management, and XTX Ventures.

X-energy is developing high-temperature, gas-cooled reactors, a type that has recently been used in Japan and China. Each of the Xe-100 reactors can generate 80 megawatts of electricity, and is fed by billiard-ball-sized, carbon-coated gravel containing uranium particles. Inside the reactor, helium gas flows over the gravel, collecting heat, which is transferred to a steam turbine to generate electricity.

Like other nuclear startups, X-energy has captured a wave of interest from technology companies and data center developers.

Amazon’s Climate Pledge Fund led the startup’s first Series C round. The technology company also announced last year that it would buy more than 600 megawatts of nuclear capacity in the Pacific Northwest and Virginia, with reactors coming online in the early 2030s. In total, Amazon’s deal with X-energy could see up to 5GW deployed by 2039.

X-energy is competing with several other SMR startups to revitalize the US nuclear industry. While many designs look promising, only a few SMR power plants have been built so far, and none in the United States.