A private developer of nuclear power generating technology selected Indiana for the site of a $4-billion investment to commercialize its Small Modular Reactor concept. First American Nuclear (FANCO) claims its SMR technology will supply “the most cost-effective utility-scale power in the world” from a headquarters, manufacturing, and energy park complex it is planning.
"Indiana is leading the nation in the next chapter of American energy independence," stated Governor Mike Braun in a joint announcement of the state and the company. "With First American Nuclear planting its roots here, we're bringing 5,000 high-paying, generational Hoosier jobs while cementing our state as a leader in clean, reliable nuclear power."
Indiana has established a 20% corporate income tax credit for businesses developing SMR technology, and would allow such public utilities generating power from SMR to recover up to 80% of development costs from rate payers.
SMRs are compact, modular nuclear fission reactors with an output of 300 MW or less. The concept is meant to address growing need for power in focused situations, like powering small grids, manufacturing centers, or municipal heat/energy networks. Although none have been put into service, dozens of designs are in development worldwide, with projects moving toward installation.
FANCO explains that its EAGL-1 SMR nuclear fission technology uses a liquid lead-bismuth alloy for cooling and operates at low (below atmospheric) pressure, which removes the risk of high-pressure accidents. This simplified design also reduces the need for complex containment vessels and other hardware.
The EAGL-1 design generates 240 megawatts of electricity (MWe), enough to power 1.5 million homes from a typical six-reactor cluster, with a footprint that is one-tenth as large as a typical nuclear power plant with similar Mwe output.
SMRs are factory-built and transported for assembly on-site, which is meant to optimize development costs and streamline installation. That would be the primary purpose for FANCO’s Indiana complex.
Several remote sites in the state are under consideration. The timeline for the development is not yet public, but local reporting suggests construction for the manufacturing and energy park would begin by 2028, with natural gas as the power source, and FANCO will transition to nuclear-power generation by 2032.
The energy park is conceived as a "closed-fuel cycle," meaning it will reprocess and reuse spent nuclear fuel on-site, eliminating 97% of long-lasting nuclear waste.
The EAGL-1 reactor can also create more fuel than it burns, meaning the nuclear energy may be described as clean and renewable.
"In the flurry of America's nuclear renaissance, Indiana and FANCO found a shared commitment to technical merit, authenticity, and follow-through," said Mike Reinboth, CEO of First American Nuclear. "Collectively, our team has dedicated centuries to nuclear science, resulting in an unmatched nuclear solution that, fittingly, will take root in the crossroads of America."
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Robert Brooks
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Robert Brooks has been a business-to-business reporter, writer, editor, and columnist for more than 20 years, specializing in the primary metal and basic manufacturing industries.