LG&E and KU collaborate with X-energy to explore nuclear energy

Rhea-AI Summary

LG&E and KU (subsidiaries of PPL) and X-energy (NASDAQ: XE) are collaborating to explore deployment of X-energy's Xe-100 small modular reactor (SMR) in Kentucky through early feasibility work to support long-term, reliable, clean baseload power and large-load customers.

The effort aligns with Kentucky's recent policy moves, including a $75 million Nuclear Reactor Site Readiness Pilot Program (three projects up to $25 million each) and a 2025 Public Service Commission case on nuclear development; cost recovery for permitting may be permitted for regulated utilities.

Positive

• Exploring deployment of X-energy Xe-100 SMR in Kentucky
• $75 million Nuclear Reactor Site Readiness Pilot Program created
• Up to $25 million available per selected project (three projects)
• Potential to support large-load customers and grid reliability

Negative

• Project at early feasibility stage with no binding commitments
• Regulatory framework still under review (PSC case opened in 2025)

News Market Reaction – XE

-3.78%

21 alerts

-3.78% Session close to close

+5.6% Peak in 24 hr 22 min

$13.55B Market Cap

0.1x Rel. Volume

In the May 1 session, XE declined 3.78%, reflecting a moderate negative market reaction. Argus tracked a peak move of +5.6% during that session. Our momentum scanner triggered 21 alerts that day, indicating elevated trading interest and price volatility.

Data tracked by StockTitan Argus on the day of publication.

Market Context

This announcement details a collaboration with LG&E and KU to evaluate deploying Xe-100 small modula...

Analysis

This announcement details a collaboration with LG&E and KU to evaluate deploying Xe-100 small modular reactors in Kentucky, supported by a state-funded $75 million site readiness program. It follows X-Energy’s IPO of 44,254,659 shares at $23.00, raising expected gross proceeds of $1,017,857,157. Investors may watch for concrete project selections from the grant program, regulatory milestones, and any future agreements that move from feasibility to committed deployments.

Key Figures

Nuclear grant program: $75 million Per-project grant cap: $25 million IPO share count: 44,254,659 shares +5 more

8 metrics

Nuclear grant program $75 million Kentucky Nuclear Reactor Site Readiness Pilot Program initiative

Per-project grant cap $25 million Maximum grant per nuclear site project (3 projects selected)

IPO share count 44,254,659 shares Class A common stock in X-Energy IPO per 424B4

IPO price $23.00 per share IPO pricing for Class A common stock

IPO gross proceeds $1,017,857,157 Expected gross proceeds from IPO per 424B4

Estimated IPO proceeds $959,330,370 Estimated proceeds to X-Energy before expenses

RSU grant size 6,522 RSUs Restricted stock unit awards to multiple X-Energy directors

Director holdings 1,240,543 shares Direct Class A holdings of Dr. Kamal Seyed Ghaffarian after grant

Key Terms

small modular reactor, baseload power generation, restricted stock units, rsus, +3 more

7 terms

small modular reactor technical

"explore deploying X-energy's Xe-100 small modular reactor (SMR) in Kentucky"

A small modular reactor is a compact nuclear power plant designed to generate electricity in smaller amounts compared to traditional reactors. It can be built in factories, then transported and assembled on-site, making it quicker and often cheaper to deploy. For investors, these reactors represent a potential source of clean energy with lower upfront costs and flexible scaling, which could influence future energy markets and infrastructure investments.

baseload power generation technical

"nuclear energy in the Bluegrass State as a reliable option for baseload power generation"

Baseload power generation is the production of a steady, continuous supply of electricity that meets the minimum ongoing demand on the grid, like a reliable water main that keeps taps running even when usage fluctuates. For investors it matters because baseload plants typically provide predictable, long-term revenue and influence utility costs and grid stability, making them central to assessments of cash flow reliability, asset value and regulatory risk.

restricted stock units financial

"received an award of 6,522 restricted stock units (RSUs), each representing one share"

Restricted stock units are a type of company reward where employees are promised shares of stock, but they only fully own these shares after meeting certain conditions, like staying with the company for a set time. They matter because they can become valuable assets and are often used to motivate employees to help the company succeed.

rsus financial

"6,522 restricted stock units (RSUs), each representing one share of Class A Common"

RSUs, or restricted stock units, are a form of company shares given to employees as part of their compensation. They are typically awarded with certain restrictions, such as a waiting period before they can be fully owned or sold, similar to earning a gift that becomes fully yours over time. For investors, RSUs can impact a company's stock offerings and reflect how much the company relies on stock-based incentives to attract and retain talent.

class a common stock financial

"shares of Class A Common Stock at a price of $0.0000 per share"

Class A common stock is a category of a company’s shares that carries a specific set of ownership rights—most commonly defined voting power and claims on dividends—set out in the company’s charter. For investors it matters because the class determines how much influence you have over corporate decisions, the share’s likely dividend and trading behavior, and how it compares in value to other share classes, like choosing a particular seat with different privileges at the company’s decision-making table.

initial public offering financial

"connection with the company’s initial public offering"

An initial public offering (IPO) is when a private company first sells its shares to the public and becomes a stock-listed company. It matters because it allows the company to raise money from a wide range of investors, helping it grow, while giving early shareholders a way to sell some of their ownership.

tax receivable agreement financial

"The prospectus discloses a Tax Receivable Agreement that may require substantial"

A contract in which a company agrees to pay a specified party (often former owners after a spinoff or IPO) a share of future tax savings the company realizes. Think of it like agreeing to share a future tax refund with someone who helped create the conditions for that refund. For investors it matters because those payments reduce the cash the company can use for dividends, buybacks, or reinvestment, and therefore affect valuation and returns.

AI-generated analysis. How Rhea-AI works. Not financial advice.

See more from StockTitan in Google Search and AI answers. Adds StockTitan as a preferred source · opens Google

Add on Google Not now

Collaboration focuses on feasibility to add small nuclear reactors in Kentucky

LOUISVILLE, Ky. and ROCKVILLE, Md., April 30, 2026 /PRNewswire/ -- Louisville Gas and Electric Company ("LG&E") and Kentucky Utilities ("KU") Company, subsidiaries of PPL Corporation (NYSE:PPL), and X-energy, Inc. (NASDAQ: XE) ("X-energy"), a leading designer of advanced nuclear reactor technology and manufacturer of advanced nuclear fuels, are collaborating to explore deploying X-energy's Xe-100 small modular reactor (SMR) in Kentucky to meet growing energy demand across the Commonwealth with long-term, reliable, clean energy. The companies have begun early project feasibility activities and will explore opportunities for SMR deployments to support long-term grid reliability across the Commonwealth, and large load customers, including data centers.

This collaboration follows recent significant interest in nuclear energy in the Bluegrass State as a reliable option for baseload power generation, designed to be available at any time and in all conditions. In 2024, the Commonwealth formed the Kentucky Nuclear Energy Development Authority, a non-regulatory agency seeking to support the nuclear energy ecosystem in Kentucky, and the Kentucky Public Service Commission opened a case in 2025 to investigate nuclear energy, including how Kentucky would regulate nuclear development.

In April of this year, Governor Andy Beshear signed into law the Nuclear Reactor Site Readiness Pilot Program passed by the General Assembly, which includes a $75-million grant initiative to support nuclear site feasibility studies, applications for early site and construction permitting, and licensing. Three projects will be selected to receive up to $25 million each. In addition, this legislation allows a regulated utility to apply to the Public Service Commission for the recovery of costs, which are not covered in the existing rates of the utility, that have been incurred in applying for such permitting and licensing for sites in the Commonwealth.    

"We appreciate Governor Beshear, the General Assembly and the Kentucky Public Service Commission prioritizing nuclear energy in the Commonwealth to help ensure we maintain and build upon our strong competitive energy advantage with reliable and affordable power," said John R. Crockett III, President for LG&E and KU. "On the heels of the Nuclear Reactor Site Readiness Pilot Program being signed into law this month, we're proud to work with X-energy to explore bringing nuclear energy to Kentucky to support the significant pipeline of new projects in our service territories where large load customers can support the cost structure. We have an all-of-the-above approach to our power generation fleet that's among the most reliable in the nation. This collaboration will explore whether nuclear energy fits into our long-term plans.  The X-energy Xe-100 reactor is one of the Gen 4 nuclear SMRs being developed in the U.S. today and is one of the safest nuclear designs on the market today. We look forward to working with X-energy and hyperscalers on this effort and the prospect of participating in the new pilot program." 

J. Clay Sell, Chief Executive Officer of X-energy, said, "Kentucky's energy leadership and skilled workforce create a strong foundation for evaluating advanced nuclear deployment. This collaboration allows us to explore how the Xe-100 can support the Commonwealth's growing electricity demands while strengthening grid reliability and creating economic opportunity across the region."

About X-energy's SMR Technology

Small modular reactors are advanced nuclear energy systems designed to generate clean, safe, reliable energy through a smaller, more flexible design than traditional nuclear plants. SMRs can be factory-built, and assembled on-site to simplify construction, and are designed with intrinsic safety characteristics that enable greater siting flexibility as compared to large light-water reactors.

X-energy's Xe-100 SMR is an 80 MWe high-temperature gas-cooled reactor that can be deployed in either four- or twelve-unit plants depending on grid requirements: a four-unit plant delivers 320 MWe for regional utilities and large load customers, while a twelve-unit plant provides gigawatt-scale power for larger metropolitan areas and hyperscale infrastructure. Each reactor is capable of coming online independently upon completion. This allows end users to phase in capacity one unit at a time, aligning new generation with demand growth and matching power supply to real-world load expansion.

X-energy is currently developing more than 11 GW of new nuclear capacity across projects in the United States and United Kingdom, including partnerships with Dow Chemical, Amazon, and Centrica.

Visit lge-ku.com/investments to learn more about all the ways LG&E and KU are investing in their systems to continue powering Kentucky's economic growth momentum and provide safe, reliable and affordable service for customers.

About LG&E and KU
Louisville Gas and Electric Company and Kentucky Utilities Company, part of the PPL Corporation (NYSE: PPL) and its companies, are regulated utilities that serve nearly 1.4 million customers and have consistently ranked among the best companies for customer service in the United States. LG&E serves 336,000 natural gas and 443,000 electric customers in Louisville and 16 surrounding counties. KU serves 581,000 customers in 77 Kentucky counties and 28,000 in five counties in Virginia. More information is available at www.lge-ku.com and www.pplweb.com.

About X-energy
X-energy, Inc. is a leading developer of advanced small modular nuclear reactors and fuel technology for clean energy generation that is redefining the nuclear energy industry through its development of safer and more efficient advanced small modular nuclear reactors and proprietary fuel to deliver clean, safe, reliable energy that meets the demands of the modern economy. X-energy's simplified, modular, and intrinsically safe SMR design expands applications and markets for deployment of nuclear technology and drives enhanced safety, lower cost and faster construction timelines when compared with other SMRs and conventional nuclear.

Forward-Looking Statements
This press release contains forward-looking statements regarding our business. These forward-looking statements are only predictions and may differ materially from actual results due to a variety of factors. You should not rely on our forward-looking statements as predictions of future events. More information about potential risks and uncertainties that could affect our business and financial results is more fully detailed under the caption "Risk Factors" in our Form S-1 filed with the Securities and Exchange Commission, which is available on our Investor Relations website at https://investors.x-energy.com/ and on the SEC website at www.sec.gov. In addition, please note that any forward-looking statements contained herein are based on assumptions that we believe to be reasonable as of this date. We undertake no obligation to update these statements as a result of new information or future events.

For more information:
Contact the LG&E and KU 24/7 media hotline at (502) 627-4999.

X-energy:
Robert McEntyre, Corporate Communications
media@x-energy.com
(240) 673-6565

Patricia Gil, Investor Relations
investors@x-energy.com
(301) 558-3040

View original content to download multimedia:https://www.prnewswire.com/news-releases/lge-and-ku-collaborate-with-x-energy-to-explore-nuclear-energy-302759504.html

SOURCE LG&E and KU

FAQ

What are LG&E and KU announcing with X-energy (XE) on April 30, 2026?

They announced a collaboration to explore Xe-100 SMR feasibility in Kentucky. According to X-energy and LG&E/KU, early project feasibility activities will assess SMR deployment to support baseload needs and large-load customers.

How does Kentucky's $75 million pilot program affect the XE collaboration?

The pilot program offers up to $75 million for site readiness, enhancing feasibility work. According to the companies, three projects will be selected with up to $25 million each for permitting, licensing, and site studies.

Will LG&E and KU recover permitting costs for an SMR project under the new law?

The law allows a regulated utility to apply for cost recovery for permitting and licensing costs. According to the announcement, utilities may seek recovery through the Public Service Commission where costs are not covered in existing rates.

What is the timeline or commitment level for building an Xe-100 reactor in Kentucky?

There is no construction commitment; the work is focused on early feasibility and permitting readiness. According to the companies, the collaboration will evaluate whether nuclear energy fits long-term plans before any formal project decision.

How could an Xe-100 SMR support large-load customers and grid reliability in Kentucky?

An Xe-100 SMR is intended to provide long-term baseload power to serve large customers and grid needs. According to X-energy and LG&E/KU, the reactors would be evaluated for reliability, clean energy supply, and support for hyperscalers and data centers.

What regulatory steps in Kentucky are relevant to the XE, LG&E and KU collaboration?

Key steps include the 2025 Public Service Commission investigation and the new site-readiness pilot law. According to the companies, the PSC case and pilot grants inform permitting, licensing, and potential utility cost recovery.