Key Highlights
- X-Energy shares surged 4.8% during extended trading Tuesday following confirmation of its participation in a federal nuclear energy initiative
- The Trump administration is backing a $200 million program designed to expedite nuclear reactor deployment for artificial intelligence infrastructure
- Tech giants Microsoft and Nvidia are participating in the initiative alongside nuclear developers X-Energy and Oklo
- Oklo shares jumped 6.31% to $46.50 in after-hours trading on the announcement
- A formal program unveiling by the U.S. Department of Energy was scheduled for Wednesday
Shares of X-Energy soared 7.22% to $16.79 during after-hours trading Tuesday following a Bloomberg report revealing the company’s inclusion in a Trump administration-supported $200 million federal initiative aimed at fast-tracking nuclear reactor technology for AI-driven data centers.
X-Energy, Inc. Class A Common Stock, XE
Fellow nuclear technology firm Oklo saw its shares rise 6.31% to $46.50 during the same extended session, driven by the same announcement. Meanwhile, broader market sentiment remained subdued, with futures trending downward Tuesday evening.
According to Bloomberg, which reviewed program documentation, the U.S. Department of Energy is spearheading the initiative and planned to make an official announcement Wednesday. The report verified both X-Energy and Oklo’s involvement in the project.
The scope of this federal program extends beyond nuclear reactor companies alone. Industry heavyweights Microsoft and Nvidia are also participating, bringing together leading AI technology firms with next-generation reactor developers under a unified government initiative.
The $200 million funding allocation includes resources directed toward DOE national laboratories and prominent research universities. This comprehensive approach involving multiple stakeholders has captured the interest of equity analysts, many of whom maintain Buy recommendations on X-Energy with price projections significantly above present trading levels.
Nuclear Energy’s Role in AI Infrastructure
Nuclear energy has emerged as a compelling solution to the electricity challenges posed by artificial intelligence expansion. Modern data centers demand substantial amounts of reliable, continuous power supply, and nuclear technology provides constant baseline electricity generation with zero direct carbon footprint.
This unique value proposition has accelerated technology sector engagement with nuclear power solutions, spanning agreements to revive dormant facilities to increased capital deployment in small modular reactor innovations.
X-Energy’s Xe-100 small modular reactor represents the cornerstone of its project portfolio and is positioned to gain substantially from an initiative specifically created to accelerate commercialization schedules.
Addressing Data Center Electricity Demands
According to reports, the $200 million initiative was created in response to increasing concerns that the rapid expansion of AI-supporting data center infrastructure has contributed to rising electricity costs nationwide.
By incorporating technology leaders like Microsoft and Nvidia alongside advanced reactor developers, the administration is demonstrating its position that nuclear energy represents a fundamental solution to this infrastructure challenge rather than a marginal option.
With the official DOE announcement anticipated Wednesday, investor attention remained concentrated on X-Energy as a primary program beneficiary entering the trading day.
At publication time, X-Energy traded 7.22% higher at $16.79 in extended hours, while Oklo gained 6.31% to $46.50. Wall Street analysts maintaining Buy ratings have highlighted the Xe-100 development pipeline as a significant growth catalyst within the framework of government-supported nuclear deployment acceleration.
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