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DL E&C signs $10 million deal with U.S.-based X-energy to develop small modular reactor design

Published: 25 Mar. 2026, 17:30 Updated: 25 Mar. 2026, 18:13

KIM JU-YEON
[email protected]

Dinkar S. Bhatia, fifth from left, chief commercial officer of X-energy, and Bae Jong-sik, sixth from left, deputy head of the power plant division at DL E&C, pose for a photo to mark the signing of an SMR standard design contract at the Korean construction firm’s headquarters in western Seoul. [DL E&C]

DL E&C will develop a standardized design for small modular reactors (SMRs) for U.S. nuclear energy provider X-energy in a $10 million deal, the Korean construction firm said Wednesday.

DL E&C will define the overall plant layout, component specifications and construction methods, creating a single design that groups similar parts into pre-built units.

This allows reactor modules to be mass-produced in factories and assembled on site in the United States, helping X-energy reduce costs as it scales up deployment.

DL E&C plans to complete the design by the first half of next year, with X-energy set to use the plan for its first SMR scheduled to begin operations in 2030.

With the module design, X-energy plans to build SMRs in Texas and Washington state to supply electricity to Amazon Web Services, whose cloud operations require large amounts of power. The U.S. startup, having worked with firms including Amazon and Dow, recently filed for an initial public offering on the Nasdaq. DL E&C has also invested $20 million in X-energy in 2023.

SMRs have gained strong momentum amid rising energy demand, particularly from computing infrastructure needed for AI. The global SMR market is expected to reach 85 gigawatts, or about 300 units, with a value of $500 billion by 2035, according to the United Kingdom National Nuclear Laboratory.

DL E&C said it is further exploring cooperation with its affiliate, DL Energy, a power producer and developer under the DL Group, on potential SMR projects. Under the arrangement, DL Energy would lead project development and investment, while DL E&C would handle engineering, procurement and construction, with DL Energy overseeing operations.

The project "represents an advanced business model to develop and design standardized SMRs," Yoo Jae-ho, head of DL E&C's plant business, said. "The company aims to lead the fourth-generation SMR market and further strengthen its energy value chain as a key partner to X-energy."

BY KIM JU-YEON [[email protected]]