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AEP, X-energy and Amazon agree to explore 960-MW advanced nuclear project at former Indiana coal site

American Electric Power and X-energy signed a joint development agreement on October 19, 2026 to evaluate a 960-MW small modular reactor project near the retired Breed coal plant in Sullivan County, Indiana. Amazon would fund development and intends to buy the power under a long-term contract if the project is built.

By Greener Numbers Editorial Team · Published October 19, 2026 · Updated 10/19/2026

American Electric Power and X-energy announced a joint development agreement on October 19, 2026 to evaluate the feasibility of a 960-megawatt advanced nuclear project at a former coal plant site in Sullivan County, Indiana, with Amazon supporting the effort through a development funding agreement.

The companies are evaluating a 12-unit plant using X-energy's Xe-100 small modular reactors - 80 megawatts each, configured in groups of four - near the retired Breed Generating Station, a brownfield site owned by AEP's Indiana Michigan Power utility. No construction timeline was announced, and the agreement covers feasibility work rather than a decision to build.

If the project reaches a final investment decision and enters commercial operation, Amazon intends to purchase the power under a long-term contract covering the costs of the facility and its operations for the duration of the contract. AEP Chairman, President and CEO Bill Fehrman said the agreements "will provide all necessary capital protections and financial safeguards that we have said are essential for any potential nuclear project to move forward," framing the plan around protecting affordability for existing customers.

The Xe-100 is an 80-megawatt-electric high-temperature gas-cooled reactor cooled by helium and fueled by TRISO particle fuel. The Indiana proposal is the second deployment under X-energy and Amazon's collaboration aimed at bringing more than 5 gigawatts of new nuclear capacity to the U.S. grid by 2039, joining Energy Northwest's Cascade Advanced Energy Facility in Washington state, and the third announced commercial U.S. Xe-100 project in the company's roughly 11.5-gigawatt pipeline.

For Indiana households, nothing about rates or service changes now: this is a feasibility-stage agreement, and any construction would need regulatory approvals. Governor Mike Braun said the project "has the potential to create well-paying jobs in Sullivan County, strengthen our electric grid and further position Indiana as a national leader in advanced nuclear energy." Sullivan County recently joined the Indiana Advanced Nuclear Ready Communities Program, which identifies communities that have taken steps to welcome advanced nuclear development.

Official source: investors.x-energy.com ↗