Amazon, X-energy and American Electric Power (AEP) said on October 19, 2026 that they will study building 12 small nuclear reactors in Indiana. The plant would produce 960 megawatts (MW) on the site of a demolished coal plant in Sullivan County. Amazon is funding the early work and would be the first buyer of the power, some of it for its data centers. No cost, build date or opening date has been set.
What the three companies agreed
The deal is a joint development agreement, a contract to study and plan a project before anyone commits to build it. According to X-energy's announcement, it covers feasibility work on AEP-owned land near the former Breed Generating Station. That coal plant sat south of Terre Haute, TechCrunch reports.
Each company has its own role:
| Company | Role |
|---|---|
| X-energy | Supplies the Xe-100 reactor design |
| AEP | Would operate the plant, through its Indiana Michigan Power utility |
| Amazon | Pays for early development and would buy the power first |
X-energy describes Amazon's money as "milestone-based development capital." That means funds are released as the project passes set steps. Neither company gave a dollar figure.
The plant would feed the public grid, not only Amazon. Amazon executive Josh Weissman said the company will "pay our full costs without passing them to others." Amazon's post adds that AEP plans to cut residential rates by $100 starting in 2027 and freeze them for three years.
How the Xe-100 reactor works
A small modular reactor (SMR) is a nuclear reactor built in standard factory-made units. The Xe-100 is X-energy's version. Each unit produces 80 MW, so 12 of them make the 960 MW total.
It is a high-temperature, gas-cooled reactor. Instead of water, gas carries heat away from the core. Its fuel, which X-energy calls TRISO, comes as small round pebbles. Amazon's cutaway image below shows them filling the reactor vessel.
Image: Amazon / X-energy
Where Indiana fits in Amazon's nuclear plans
This is the second project between Amazon and X-energy, after the Cascade Advanced Energy Facility in Washington state. X-energy calls Indiana its third announced Xe-100 project in the U.S. and its fourth worldwide. TechCrunch says the plan is three times larger than the first Amazon and X-energy agreement.
Amazon wants more than 5 gigawatts of new U.S. nuclear power by 2039. It led X-energy's $700 million funding round in 2024. Earlier this month, Amazon also signed a 20-year deal for power from the Calvert Cliffs nuclear plant in Maryland.
Amazon's post lists more than 1,000 construction jobs and more than 100 permanent jobs. AEP chief executive Bill Fehrman said advanced nuclear could provide "dependable power for over half a century."
Why the timeline is still open
The Indiana plan depends on a project that has not broken ground yet. X-energy's first plant, four reactors at a Dow site in Seadrift, Texas, is in the final phases of review by the Nuclear Regulatory Commission (NRC). That federal agency licenses U.S. reactors.
TechCrunch reports that the Texas project also faces a state lawsuit. It adds that the cost benefits of small reactors may take about a decade to show up. X-energy went public in April at $23 a share. Its stock rose about 10% before the market opened on October 19, TechCrunch reports.
What this means for developers
- Plan for power, not just chips. Big cloud providers now sign nuclear deals years ahead of need. Teams planning large AI workloads should ask their provider which regions have firm power, and when.
- Treat 960 MW as a long-term number. Nothing here has a build date. It will not change cloud capacity or prices in 2026 or 2027.
- Watch the Texas permit. The NRC decision on X-energy's Seadrift plant is the first real test. A delay there would push Indiana back too.
- Read the cost pledges closely. Amazon says it will pay the full cost of serving its data centers. Utilities, regulators and local buyers will test that promise as the bills arrive.
- Watch where the next plants go. This one reuses land at a retired coal plant that AEP already owns. That is a pattern to watch in the next round of deals.
This article was first published on Tech AI Wire.
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