Panhandle Data Center Orders Nuclear Reactors
Major Nuclear Order Placed by Fermi America to Power Texas Data-Centers
October 27, 2025 – Fermi America announced today that it has placed orders for four large-scale nuclear reactors intended to power a massive data-center campus in Texas.
The company will build four Westinghouse AP1000 reactors as part of its so-called “HyperGrid” campus near Amarillo in the Texas Panhandle. The project, in partnership with the Texas Tech University System, is estimated to provide up to 11 gigawatts (GW) of energy capacity—including nuclear, natural-gas, solar and battery-storage components—designed to serve next-generation AI and digital infrastructure tenants.
Each Westinghouse AP 1000 reactor costs an estimated $7 millions to construct.
According to filings submitted to the Nuclear Regulatory Commission (NRC), construction of Fermi’s first unit could begin as early as 2027, with commercial operations targeted for 2032.
Fermi’s announcement signals an aggressive push into nuclear power as a backbone for high-density data-center operations, reflecting broader trends as tech firms and infrastructure developers seek reliable, high-capacity energy solutions. Metal valuations of Fermi’s stock jumped by as much as 9 % in response to the deal.
Critically, the project also raises questions of cost, permitting and execution. Large nuclear builds in the U.S. have faced steep cost overruns and delays—most notably at Georgia’s Vogtle plant. Fermi will need to navigate complex regulatory, financial and supply-chain risks.
Still, company leadership framed the initiative as a strategic response to global competition. “China is building 22 nuclear reactors while the U.S. is building none,” remarked co-founder and former U.S. Energy Secretary Rick Perry.
If successful, the HyperGrid campus could mark a turning point in how data-center infrastructure is powered in the U.S.—and how nuclear energy is deployed. The next milestone: obtaining full NRC approval and financial backing in the coming two years.
