Nvidia wants in on the nuclear renaissance, invests in Bill-Gates backed TerraPower

This week, TerraPower, the innovative nuclear startup co-founded by Bill Gates, announced a significant funding boost of $650 million. This influx of capital is set to propel the establishment of the company's inaugural commercial power plant. TerraPower has gained traction among hyperscalers, data center developers, and now, notably, chip manufacturers. Nvidia’s investment arm, NVentures, has made its debut in the energy sector by participating in this funding round. Alongside Nvidia, Bill Gates and HD Hyundai, both existing investors, have also contributed. The company is currently constructing its first power plant in Wyoming, with the groundwork having commenced in June 2024. Although the reactor's approval is still pending, TerraPower anticipates obtaining the necessary permits within the coming year. Given the favorable regulatory environment under the previous administration, this timeline appears feasible. Once operational, the reactor is expected to generate 345 megawatts of electricity, positioning it between traditional large-scale reactors and the emerging small modular reactors. Unique to TerraPower's approach, their Natrium reactors utilize molten sodium for cooling, employing significantly more sodium than typically required. This design allows the reactor to maintain operation during low demand periods, storing heat in large sodium tanks. When energy demand surges, steam turbines can harness the stored heat, enabling consistent operation. The Natrium system is engineered to deliver up to 500 megawatts of electricity for over five hours, effectively bridging the gaps in solar and wind energy production. Initially, TerraPower explored a different reactor design aimed for completion in the mid-2020s. However, as challenges arose, the company pivoted to focus on the current Natrium design. TerraPower asserts that it can complete a reactor within three years after the initial concrete is poured. Nevertheless, extensive site preparation and construction must precede this timeline. While indications suggest that the first Natrium reactor may be more cost-effective than recent U.S. projects, the overall expenses are still substantial. Reports indicate that the total cost could reach $4 billion, with the Department of Energy potentially covering half of that amount.