Constellation secures USD1 billion loan for reactor restart

"This marks the first time the DOE Loan Programs Office has concurrently finalised a conditional loan commitment and financial close, made possible by Constellation's strong balance sheet and credit worthiness," Constellation said. "Funded by the Energy Dominance Financing Program, this interest-bearing loan will lower Constellation's cost of financing and leverage private investment to restore reliable nuclear energy to the grid and help America win the AI race."

The 837 MWe pressurised water reactor in Londonderry Township, Pennsylvania, was closed in 2019, but last year Constellation announced plans to restart the unit after it signed a 20-year power purchase agreement with Microsoft. At the time, the company said it was eyeing a 2028 restart. However, in June Constellation said that thanks to an approval of an early interconnection request by grid operator PJM, the reactor could restart as early as 2027.

"DOE's quick action and leadership is another huge step towards bringing hundreds of megawatts of reliable nuclear power onto the grid at this critical moment," said Constellation President and CEO Joe Dominguez. "Under the Trump administration, the Federal Energy Regulatory Commission and DOE have made it possible for us to vastly expedite this restart without compromising quality or safety."

Energy Secretary Wright said: "Constellation's restart of a nuclear power plant in Pennsylvania will provide affordable, reliable, and secure energy to Americans across the Mid-Atlantic region. It will also help ensure America has the energy it needs to grow its domestic manufacturing base and win the AI race."

Constellation said the Crane Clean Energy Centre was currently more than 80% staffed with more than 500 employees, including engineers, mechanics, technicians and licensed operator trainees. Inspections of key plant components and regulatory reviews continue on schedule.

According to an independent economic impact study by the Brattle Group, published last September by the Pennsylvania State Building & Construction Trades Council, Constellation's USD1.6 billion investment to restart the Crane Clean Energy Centre is expected to create 3,400 direct and indirect jobs, add USD16 billion to Pennsylvania's GDP, and generate more than USD3 billion in state and federal tax revenue.

"Launching the Crane Clean Energy Centre is part of a broader multi-billion dollar investment that Constellation is making in America's largest and growing nuclear fleet to extend the lives of existing nuclear plants and boost their output, helping ensure the fleet’s always-on power continues to meet the needs of America's families and businesses for decades to come," Constellation said.