X-energy, SGL Carbon Announce Capacity Expansion for Nuclear-Grade Graphite

Rhea-AI Summary

X-energy (Nasdaq: XE) and SGL Carbon announced a binding agreement to double SGL’s production capacity for medium-grain isotropic graphite NBG-18, a nuclear-grade material central to X-energy’s Xe-100 high-temperature gas-cooled reactor. X-energy will invest up to $8 million in milestone-based payments to upgrade SGL’s Chedde, France site, enabling graphite billet production for up to 8 Xe-100 reactors per year. SGL will also expand U.S. capacity to machine billets into graphite blocks, aiming to improve continuity for this safety-critical, long-lead material. Full execution is expected to double European NBG-18 manufacturing capacity by 2030, building on a 10-year Supplier Framework Agreement signed in January 2026 that included an initial three-year award valued at over $100 million for X-energy’s first commercial projects, including its proposed four-unit Xe-100 plant with Dow (NYSE: DOW).

Positive

• Up to $8 million investment by X-energy to expand NBG-18 capacity
• European NBG-18 manufacturing capacity targeted to double by 2030
• Chedde, France site sized to supply up to 8 Xe-100 reactors annually
• Existing Supplier Framework includes initial three-year award of over $100 million
• Secured NBG-18 capacity supports X-energy’s stated 11+ GW commercial pipeline

Negative

• None.

News Explained

The agreed graphite expansion has entered execution: SGL has produced its first NBG-18 billets in France and shipped them to U.S. facilities for machining, following non-nuclear testing and validation that began earlier this year.

Market Context

X-energy’s July 22 announcement produced a -3.22% 24-hour reaction, adding historical context to thi...

Analysis

X-energy’s July 22 announcement produced a -3.22% 24-hour reaction, adding historical context to this capacity expansion. Historical responses were mixed; subsequent execution against the agreement’s milestones is the key observable follow-up, with low short positioning as a sourced risk context.

Key Figures

Commercial pipeline: 11+ GW Capacity expansion: double Milestone payments: $8 million +5 more

8 metrics

Commercial pipeline 11+ GW X-energy commercial pipeline

Capacity expansion double European NBG-18 manufacturing capacity

Milestone payments $8 million Support for new facilities and equipment upgrades

Annual billet capacity 8 new Xe-100 reactors per year SGL facility in Chedde, France

Capacity target 2030 Full execution target for doubled European manufacturing capacity

Supplier agreement term 10-year Supplier Framework Agreement established in January 2026

Initial award over $100 million Initial three-year award under the Supplier Framework Agreement

Proposed plant configuration four-unit plant First commercial Xe-100 deployment with Dow

Historical Context

5 past events · Latest: Jul 22 (Positive)

Pattern 5 events

Date	Event	Sentiment	24h Move	Catalyst
Jul 22	AI nuclear partnership	Positive	-3.2%	Joined Project Prometheus, a DOE-funded AI-for-nuclear research initiative.
Jul 15	Tennessee grant	Positive	-1.8%	Received an $11 million grant for advanced nuclear fuel campus expansion.
Jun 04	Q1 earnings report	Negative	-10.0%	Reported higher revenue but a substantially larger quarterly net loss.
Jun 02	UK design assessment	Positive	+4.3%	Submitted the Xe-100 reactor design for the UK licensing assessment.
May 21	Earnings date notice	Neutral	-2.3%	Scheduled release of first-quarter 2026 results for June 4.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

X-energy's positive announcements have produced mixed reactions, with two recent positive-news events diverging from same-day price direction.

Key Terms

htgr, nuclear-grade graphite, neutron moderator, graphite billets

4 terms

htgr technical

"a specialized material central to X-energy’s Xe-100 high-temperature gas-cooled reactor"

A high-temperature gas-cooled reactor is a type of nuclear power plant that uses an inert gas (usually helium) to carry heat from the nuclear core at much higher temperatures than conventional reactors. Think of it as a more efficient oven that can produce electricity or industrial heat with less fuel and potentially simpler cooling systems; for investors, it matters because it affects capital costs, regulatory risk, safety profile, operating efficiency, and the types of long-term revenue streams a company can pursue.

nuclear-grade graphite technical

"double SGL’s production capacity for medium-grain isotropic graphite"

Nuclear-grade graphite is a very pure, specially manufactured form of carbon used inside certain types of nuclear reactors to slow neutrons and support reactor structures without introducing radioactive-contaminating impurities. Think of it as the high-grade, precision wood used to build a sensitive instrument: its consistency and low impurities matter for safety, performance and regulatory approval. Investors watch it because limited suppliers, long lead times and strict standards can affect reactor projects, costs and supply-chain risk.

neutron moderator technical

"functioning as a neutron moderator and a structural component"

A neutron moderator is a material used inside nuclear reactors to slow down fast neutrons produced by fission so they are more likely to cause further fission in fuel; common moderators include water, heavy water, and graphite. For investors, the choice of moderator affects reactor type, fuel efficiency, safety margins, regulatory requirements, construction complexity, and operating costs—similar to how different road surfaces change a car’s speed, fuel use, and maintenance needs.

graphite billets technical

"enabling the facility to produce graphite billets for up to 8 new Xe-100 reactors"

Blocks of highly processed, solid carbon made from petroleum coke or other carbon feedstocks, shaped and baked into dense, machinable forms used as raw material in industrial processes. They serve as the starting “building blocks” for products such as battery anodes, electrodes, high‑temperature components and nuclear moderator parts, so their availability, quality and price can affect costs, production capacity and supply chains in industries important to investors.

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

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• Increases Manufacturing Capacity for Long-Lead Material
• Doubles EU Supply Chain for Graphite Billet Production

ROCKVILLE, Md., Aug. 03, 2026 (GLOBE NEWSWIRE) -- X-Energy, Inc. (Nasdaq: XE) (“X-energy” or “the Company”), a leading developer of advanced nuclear reactors and fuel technology, and SGL Carbon (“SGL”) today announced a binding agreement to double SGL’s production capacity for medium-grain isotropic graphite (“NBG-18”), a specialized material central to X-energy’s Xe-100 high-temperature gas-cooled reactor (“HTGR”). X-energy and SGL’s (together, the “Companies”) agreement would expand the supply chain for a critical long-lead material, supporting execution of X-energy’s 11+ GW commercial pipeline.

Under the agreement, X-energy will invest up to $8 million in milestone-based payments to support new facilities and equipment upgrades at SGL’s site in Chedde, France, enabling the facility to produce graphite billets for up to 8 new Xe-100 reactors per year. SGL has concurrently agreed to expand U.S. capacity for machining of billets into graphite blocks, helping to ensure greater supply chain continuity for a safety-critical material. Full execution would double European manufacturing capacity for NBG-18 by 2030, with additional capacity investments under consideration across multiple regions to further debottleneck initial billet production.

The expansion builds on a 10-year Supplier Framework Agreement established in January 2026, which included an initial three-year award valued at over $100 million for X-energy’s first commercial projects. The first NBG-18 billets produced in France under this award have since been shipped to SGL facilities in the United States for machining into components. This follows a successful prototyping campaign which began earlier this year, consisting of non-nuclear testing and validation at X-energy’s Technology Advancement Center (XTAC) in Frederick, Maryland in advance of final production.

“Commercializing new nuclear at scale rests first and foremost on our ability to significantly expand the nuclear supply chain, a challenge that extends beyond any one company, supplier, or nation,” said J. Clay Sell, CEO of X-energy. “We look forward to driving this work forward with SGL, and to engaging with potential partners who share our bold vision for a robust, resilient, U.S. and allied nuclear supply chain.”

“By jointly expanding our production capacity for nuclear-grade graphite, we are reinforcing the importance of our partnership and ensuring reliable supply to X-energy. For SGL Carbon, this agreement is a strategically important step that strengthens our position in the highly specialized growth market for nuclear-grade graphite, underscores the importance of our graphite expertise for safety-critical applications, and opens up attractive opportunities for further growth,” said Andreas Klein, CEO of SGL Carbon.

NBG-18 is a nuclear-grade graphite central to the Xe-100 design, functioning as a neutron moderator and a structural component of the pebble-bed core. The material was first developed for South Africa's Pebble Bed Modular Reactor program, and later the U.S. Department of Energy's (“DOE”) Next Generation Nuclear Plant project, two direct predecessors to X-energy’s Xe-100. Through these and X-energy’s own initiatives, NBG-18 has undergone extensive qualification work for commercial nuclear operation, gathering operational data that helps to validate the material’s performance over decades of high-temperature operation.

Initial NBG-18 production is intended to support X-energy’s first commercial deployment of the Xe-100, a proposed four-unit plant in partnership with Dow (NYSE: DOW) under the DOE’s Advanced Reactor Demonstration Program, with additional capacity secured for follow-on projects to support manufacturing readiness for safety-critical, long-lead materials. X-energy and SGL’s partnership is part of a growing, diversified portfolio of experienced suppliers supporting Xe-100 deployment, as well as the continued development of a global industrial supply chain capable of advancing fleet-scale deployment.

About X-energy
X-energy, Inc. is a leading developer of advanced small modular nuclear reactors and fuel technology designed to establish a new standard in clean, safe, reliable energy. X-energy's intrinsically safe Xe-100 high-temperature gas reactor and TRISO-X particle fuel expand applications for nuclear technology, with commercial projects underway with Dow, Amazon, and Centrica across grid, industrial, and AI applications. Together, X-energy's technology drives enhanced safety, lower cost, faster construction timelines, and scalable deployment when compared with other SMRs and conventional nuclear.

About SGL Carbon
SGL Carbon is a technology-based company and one of the world’s leading manufacturers of carbon-based solutions. Its materials and products made from specialty graphite, high-performance fibers, and composite materials serve the most demanding applications in many industries that are shaping the future: mobility, semiconductor technology, LEDs, energy generation, aerospace, and fuel cell manufacturing. SGL Carbon also develops forward-looking and reliable solutions for the chemical industry and other numerous industrial applications.

Further information about SGL Carbon can be found at www.sglcarbon.com/presse.

Forward-Looking Statements|
This press release contains forward-looking statements regarding X-energy's business, including, but not limited to, statements regarding its expectations with respect to the benefits of X-energy and SGL’s expanded partnership, the ability to provide continuity in the supply chain and secure supply and expectations regarding annual production. 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 such forward-looking statements as predictions of future events. More information about potential risks and uncertainties that could affect X-energy's business and financial results is more fully detailed under the caption "Risk Factors" in X-energy's Form 10-Q filed with the Securities and Exchange Commission, which is available on X-energy's 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 believed to be reasonable as of this date. X-energy undertakes no obligation to update these statements as a result of new information or future events.

Contact
Robert McEntyre, Corporate Communications
media@x-energy.com
+1 240.673.6565

Patricia Gil, Investor Relations
+1 301.558.3040
investors@x-energy.com

FAQ

What did X-energy (NASDAQ: XE) and SGL Carbon announce on August 3, 2026?

X-energy and SGL Carbon announced a binding agreement to double SGL’s nuclear-grade graphite capacity. According to X-energy, the deal targets expanded production of NBG-18 graphite for its Xe-100 reactors and strengthens the nuclear supply chain for safety-critical, long-lead materials.

How much is X-energy investing in SGL Carbon’s nuclear-grade graphite expansion?

X-energy plans to invest up to $8 million in milestone-based payments to SGL Carbon. According to X-energy, these funds will support new facilities and equipment upgrades at Chedde, France, boosting NBG-18 billet capacity for Xe-100 reactor deployment.

How will the X-energy and SGL Carbon agreement affect NBG-18 graphite capacity by 2030?

The agreement is expected to double European NBG-18 manufacturing capacity by 2030. According to the companies, the Chedde facility will be upgraded to produce graphite billets for up to eight Xe-100 reactors per year, with further debottlenecking under consideration.

What is NBG-18 graphite and why is it important for X-energy’s Xe-100 reactor?

NBG-18 is a nuclear-grade graphite used in X-energy’s Xe-100 as a neutron moderator and structural core material. According to X-energy, it has undergone extensive qualification and operational testing to validate performance over decades of high-temperature reactor operation.

How does the SGL Carbon agreement support X-energy’s 11+ GW commercial pipeline?

The agreement expands supply of NBG-18, a long-lead, safety-critical material for Xe-100 reactors. According to X-energy, this added capacity is intended to support execution of its more than 11 GW commercial pipeline and improve manufacturing readiness for future projects.

What role does Dow (NYSE: DOW) play in X-energy’s first Xe-100 deployment using NBG-18?

Dow is X-energy’s partner for a proposed four-unit Xe-100 plant under the DOE Advanced Reactor Demonstration Program. According to X-energy, initial NBG-18 production is intended to support this first commercial deployment, with additional capacity reserved for follow-on projects.

How does the new capacity expansion relate to the earlier Supplier Framework Agreement between X-energy and SGL?

The expansion builds on a 10-year Supplier Framework Agreement established in January 2026. According to X-energy, that framework included an initial three-year award valued at over $100 million to supply NBG-18 for its first commercial Xe-100 projects.