Fluor Signs Contract With X-Energy to Support Advanced Nuclear Project at Dow’s Texas Facility
Fluor Corporation (NYSE: FLR) has announced that it has secured a contract with X-energy to provide services for the company’s proposed advanced nuclear energy project at Dow’s UCC Seadrift Operations complex in South Texas. The agreement marks another step forward in the development of next-generation nuclear power technologies designed to provide reliable, carbon-free energy for industrial facilities.
Under the terms of the agreement, Fluor will initially deliver Front-End Loading Stage 2 (FEL-2) services for the project. The FEL-2 phase is a critical stage in large infrastructure and energy developments, focusing on detailed project definition, feasibility analysis, and strategic planning. It also involves refining cost estimates, identifying potential risks, and establishing project execution strategies to ensure that the development can move forward efficiently and safely.
Fluor confirmed that the value of the initial contract phase has not been publicly disclosed. However, the company said it will recognize the revenue associated with this portion of the work during the first quarter of 2026.
The proposed project centers on the deployment of advanced small modular reactor (SMR) technology developed by X-energy. The plan involves constructing four Xe-100 reactors, each capable of producing approximately 80 megawatts of electricity. Once operational, the reactors would collectively supply electricity and industrial steam to Dow’s Seadrift manufacturing site, replacing older energy and steam generation systems currently used at the facility.
By integrating SMR technology into the industrial complex, the project aims to provide a stable supply of carbon-free energy while supporting Dow’s broader decarbonization goals. In addition to electricity, the reactors would generate high-temperature steam, which is essential for many industrial processes at chemical manufacturing facilities.
The initiative is supported by the U.S. Department of Energy’s Advanced Reactor Demonstration Program (ARDP), a federal initiative designed to accelerate the commercialization of advanced nuclear technologies. Through cost-sharing partnerships with private industry, the program aims to bring innovative reactor designs to market more quickly, strengthening energy security while reducing greenhouse gas emissions.
The Seadrift project represents one of the most prominent ARDP-supported initiatives focused on deploying advanced nuclear power at an industrial site. If successfully completed, it could demonstrate how SMRs can be integrated directly into energy-intensive industrial operations.
As part of the development process, a construction permit application for the nuclear facility was submitted to the U.S. Nuclear Regulatory Commission (NRC) in March 2025. The application is currently undergoing regulatory review, which is a necessary step before any construction activities can begin. The review process evaluates the safety, environmental impact, and technical design of the proposed facility.
Pierre Bechelany, Business Group President of Energy Solutions at Fluor, emphasized the importance of advanced nuclear technologies in meeting future energy needs while reducing emissions.
According to Bechelany, X-energy’s reactor technology offers a promising solution for delivering safe and reliable baseload power tailored for industrial applications. He noted that small modular reactors are well suited for sites that require consistent power and steam generation, particularly large manufacturing and chemical production facilities.
Bechelany also highlighted Fluor’s long history in the nuclear industry. With more than 80 years of experience supporting nuclear energy projects around the world, the company brings a depth of technical expertise, engineering capability, and project management experience that will be essential for advancing the Seadrift development.
Fluor’s role during the FEL-2 stage will involve detailed engineering analysis, project planning, and coordination with X-energy and other project stakeholders. This early phase is intended to refine the project’s technical and economic parameters and establish a clear roadmap for potential future construction and deployment.
X-energy has been actively developing its advanced nuclear technology for several years. In 2020, the company was selected by the U.S. Department of Energy to design, license, and construct its Xe-100 reactor as well as a dedicated TRISO-X fuel fabrication facility.
The Xe-100 reactor is a high-temperature gas-cooled reactor that uses TRISO particle fuel, which is designed to provide enhanced safety and resilience under extreme conditions. The reactor design aims to combine inherent safety features with modular construction methods that can reduce project timelines and overall costs compared with traditional large-scale nuclear plants.
Since receiving support from the DOE, X-energy has made significant progress on its technology development efforts. The company has completed engineering and preliminary reactor design work while also advancing the development and licensing of its TRISO-X fuel fabrication facility located in Oak Ridge, Tennessee.
The fuel facility will play a critical role in supplying the specialized nuclear fuel required for the Xe-100 reactors. TRISO fuel consists of tiny uranium particles encapsulated in multiple layers of protective materials, allowing the fuel to withstand extremely high temperatures while maintaining structural integrity.
The Seadrift project could become the first grid-scale deployment of advanced nuclear reactor technology serving an industrial facility in North America. If realized, the project would demonstrate how advanced nuclear systems can provide both electricity and process heat for energy-intensive manufacturing operations.
Dow’s UCC Seadrift Operations site represents one of the company’s major manufacturing complexes in the United States. Located along the Texas Gulf Coast, the facility spans approximately 4,700 acres and is a key hub for the production of chemical and polymer materials.
The site produces more than 4 billion pounds of materials each year, supplying industries across a wide range of applications. Products manufactured at the Seadrift complex are used in everyday goods and essential technologies, including food packaging, footwear materials, electrical wire and cable insulation, solar cell components, and packaging solutions for medical and pharmaceutical products.
Given the scale of the facility and the energy demands associated with chemical manufacturing processes, the integration of advanced nuclear energy could significantly reduce the site’s carbon footprint while providing reliable long-term energy supply.
If approved and developed as planned, the project could serve as a model for future deployments of small modular reactors at industrial facilities across North America. As industries seek to decarbonize operations without sacrificing reliability, advanced nuclear technology is increasingly viewed as a potential solution for delivering consistent, low-carbon energy at scale.
Through its collaboration with X-energy, Fluor will play a key role in advancing one of the most ambitious industrial nuclear energy initiatives currently under development in the United States.
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