Blue Energy raises $380 million to build nuclear reactors to run data centers

Blue Energy Global Inc., a Chevy Chase, Maryland-based startup, has successfully raised $380 million to advance its initiative of developing small, prefabricated nuclear reactors specifically designed to power data centers. The funding round was led by VXI Capital and saw additional investments from Engine Ventures and Tamarack Global. The proceeds will be used, in part, to pre-order essential long-lead-time equipment. The company's immediate plans include building a power plant to support a data center under development in Port of Victoria, Texas. Blue Energy intends to commence operations using natural gas generators at this site, with a subsequent transition to installing small, standardized light-water reactors. CEO Jake Jurewicz likened this approach to an "Ikea kit" for nuclear power plants, emphasizing its potential to expedite development and simplify financing by sidestepping the substantial cost overruns often associated with large, customized traditional reactors. Blue Energy is also engaged in early development work at other undisclosed locations and is currently evaluating various vendors for its light-water reactors. The company has already secured a supplier for the initial gas turbines.