SMR Developers Form Equity Partnerships With Builders
New construction alignment helps energy developers manage site operations and meet rising power demand for data centers.
Updated on Oct. 21, 2026 in Construction
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Small modular reactor developers are increasingly partnering with engineering and construction firms to manage site operations and supply chains for new energy projects. These developers are securing equity investments from their construction partners to align incentives and accelerate the deployment of nuclear facilities across the U.S.
Why it matters
Developers require external expertise to navigate the complex procurement and labor demands of constructing large energy facilities, particularly as they look to meet surging data center power needs. By formalizing equity partnerships, they aim to streamline project lifecycles and reduce costs through shared engineering and procurement data.
Developers are aligning with construction partners for projects ranging from 50 MW units to 345 MW plants. Major commitments include a $100 million investment in Kairos Power and a pipeline for up to eight Natrium plants for TerraPower.
The players
TerraPower
A nuclear innovation company developing advanced reactor technology for commercial electricity generation.
Kairos Power
A clean energy technology firm focused on the commercialization of fluoride salt-cooled, high-temperature reactor technology.
Hyundai Engineering & Construction
A global engineering and construction firm specializing in heavy infrastructure and energy facility projects.
Samsung C&T
A diversified global contractor with extensive experience in the engineering and construction of large-scale power infrastructure.
Fluor
A multinational engineering and construction services firm serving the energy, infrastructure, and industrial markets.
The details
Developers are mitigating execution risks by shifting from traditional vendor relationships to integrated equity partnerships with engineering, procurement, and construction (EPC) firms. This model allows developers to incorporate field-level construction constraints directly into the design phase. By sharing equity, both parties gain aligned interests in reducing long-term costs and resolving engineering bottlenecks early in the project lifecycle.
Timeline
August 2026: TerraPower named Hyundai Engineering & Construction as its EPC contractor.
August 2026: A trilateral MOU was signed by Samsung, Kairos, and Barnard.
September 2026: Samsung C&T finalized a $100 million investment in Kairos Power.
2030: Scheduled completion for Hermes 2 and Kemmerer demonstration plants.
Market Landscape
This strategy marks a departure from the traditional, siloed EPC project delivery model toward integrated equity-based project execution. It reflects a shift toward shared-risk partnerships to manage the intense capital and operational requirements of modern energy infrastructure.
Operators in the energy and construction supply chain should track these multi-year project pipelines for future procurement and subcontracting opportunities. Firms should review their own risk-sharing strategies, as equity-based alignment is becoming a standard tool for managing large-scale infrastructure projects.
The takeaway
The move toward equity-based partnerships suggests that developers are prioritizing long-term operational integration over simple turnkey contracting. Operators should monitor the progress of 2030 completion targets at the Hermes 2 and Kemmerer sites as benchmarks for the viability of this new project delivery model.
Further reading
Explore industry trends and labor dynamics in the United States Construction section.
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Do you believe small modular nuclear reactors are a viable solution for future national energy needs?
