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30 January 2026

Navigating Nuclear: Tennessee

KG
K&L Gates LLP

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Tennessee has been one of the centers of nuclear innovation in the United States since the first days of the Manhattan Project. Today, Tennessee remains a leader in the nuclear industry and is home...
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Tennessee has been one of the centers of nuclear innovation in the United States since the first days of the Manhattan Project. Today, Tennessee remains a leader in the nuclear industry and is home to the Oak Ridge National Laboratory, four nuclear power plants, and dozens of cutting-edge nuclear facilities, including sites for waste processing and fusion research. Although the US Nuclear Regulatory Commission (NRC) remains responsible for the regulation of nuclear power plants and fuel enrichment and fabrication facilities, the state of Tennessee, under a 1965 Agreement with the NRC's predecessor agency, is responsible for the regulation of byproduct material, source material, and special nuclear material in quantities not sufficient to form a critical mass.1 Nuclear companies operating in Tennessee need high-quality legal support to navigate the complex mix of state and federal regulations that govern the use of nuclear materials in the state. In January 2026, the American Nuclear Society named Tennessee the "epicenter" of nuclear growth in the United States.2

Tennessee Governor Bill Lee is a champion of the nuclear industry. In May 2023, the governor signed Executive Order 101,3 creating the Tennessee Nuclear Energy Advisory Council to further advance the nuclear industry in the state.4 That same year, Governor Lee and the Tennessee General Assembly created the Nuclear Energy Supply Chain Investment Fund, a US$70 million fund to facilitate nuclear energy business investment, workforce development programs, and site development.5 In addition to these statewide initiatives, local government and industry representatives have championed the industry for decades through the East Tennessee Economic Council6 and other groups and individuals. US Representative Chuck Fleischmann (TN-03), Chairman of the House Energy and Water Appropriations Committee and whose district includes Oak Ridge, has routinely championed the Oak Ridge community and the nuclear industry at large. For example, Rep. Fleischmann sponsored the Fiscal Year 2024 Energy and Water Appropriations Act, which included an US$800 million federal cost-shared grant program for the US Department of Energy (DOE) to support small modular reactors (SMRs) and other advanced nuclear technology.7 The Fiscal Year 2026 Energy and Water Appropriations Act also included increased funding to the NRC and funding for advanced reactor and SMR demonstration projects, among other nuclear priorities.8

Below, we provide a short summary of some of the advanced nuclear companies that are operating in Tennessee:

Kairos

Kairos9 is an advanced reactor10 developer that, as of the date of this alert, has received two construction permits from the NRC.11 Like many advanced reactors, Kairos's reactor uses alternative fuel and coolant, "pebble type" tristructural isotropic (TRISO) fuel and molten fluoride salt.12 Kairos has selected Oak Ridge as the site for its two low-power test reactors and has partnered with the Tennessee Valley Authority on a power purchase agreement to deliver 50 megawatts (MW) from its Hermes 2 plant. The 50 MW generated by Hermes 2 is part of Kairos's agreement with Google to "enable up to 500 MW" of nuclear power by 2035.13 Additionally, Kairos recently finalized a contract with DOE to receive high-assay low-enriched uranium (HALEU), sourced from DOE material, for the startup and operation of the Hermes 1 plant.14

Orano

Orano15 is a technology and services provider with expertise in decommissioning nuclear energy facilities, nuclear fuel management, and the sale of uranium, conversion, and enrichment services. Building on this expertise, Orano plans to construct a uranium enrichment facility near Oak Ridge, designed to provide "several million" separative work units16 of enrichment capacity.17 In January 2026, as part of a larger US$2.7 billion investment, DOE announced a US$900 million award to support this facility.18

EnergySolutions

EnergySolutions19 is an international nuclear services company and a global leader in the safe recycling, processing, and disposal of nuclear material. In Tennessee, EnergySolutions's Bear Creek Processing Facility in Oak Ridge provides safe processing of radioactive material.20 EnergySolutions recently won two US Navy nuclear waste contracts, including a corporate recycling and volume reduction contract that will include processing activities for recycling and volume reduction at Bear Creek.21 Additionally, EnergySolutions is establishing an advanced nuclear fabrication and manufacturing facility in Roane County, Tennessee, to support nuclear plant life extension and nuclear power plant construction as part of its nuclear services division.22

Radiant

Radiant23 is a microreactor (~1MW) developer working to provide "the world's first portable, zero-emissions power source that works anywhere."24 In 2025, Radiant announced plans to build its first "R-50" factory in Oak Ridge.25 This naming scheme acknowledges the Manhattan Project heritage of Oak Ridge (where sites included Y-12 and K-25) and Radiant's plans to build 50 reactors per year once the R-50 factory is fully operational.

Standard Nuclear

Standard Nuclear26 is a producer of TRISO fuel based in Oak Ridge. In January 2026, Standard Nuclear received a shipment of HALEU from DOE, the first such shipment to a commercial TRISO fuel fabricator in the United States. This HALEU will be fabricated into TRISO fuel for Radiant's advanced reactor demonstration, which is scheduled for later this year.27

X-Energy

X-Energy28 is a nuclear reactor and fuel-design engineering company working on advanced SMRs that use TRISO fuel. Long Mott Energy, LLC has applied for an NRC construction permit to build X-Energy's Xe-100 at a facility in Texas.29 In 2025, X-Energy's wholly owned subsidiary, TRISO-X, began above ground construction at its fuel fabrication facility in Oak Ridge, with an NRC licensing decision expected in the first half of 2026.30 The company plans to begin operation at the facility in 2028.

LIS Technologies

LIS Technologies31 is planning an enrichment plant called LIST Island that will be built on the footprint of the historic K-25 uranium enrichment site.32 The company is set to begin site preparation and nonnuclear construction this year, pending licensing, permitting, and final investment decisions, and it is targeting commercial operations before 2030.33

Oklo

Advanced reactor company Oklo34 is planning an "advanced fuel center" in Oak Ridge. The facility would recover and recycle used fuel from existing reactors into fuel for advanced reactors. Oklo is currently in pre-application discussions with the NRC.

Type One Energy

Fusion company Type One Energy35 is developing a stellarator fusion energy system. Type One Energy is working with the Tennessee Valley Authority and Oak Ridge National Laboratory on a project to demonstrate elements of its fusion pilot plant at a former fossil fuel plant in Tennessee.

The nuclear industry continues to grow in Tennessee, and the firm is well positioned to support clients who are interested in investing in this growing market. Our team in Nashville, in coordination with our national and international nuclear team, is available to support client projects in the state.

Footnotes

1 Agreement Between Atomic Energy Commission and State of Tennessee Discontinuance of Certain Commission Regulatory Authority and Responsibility Within the State (Aug. 18, 1965), https://www.nrc.gov/cdn/nmss/pdf/tnagreements.pdf.

2 Nuclear News Staff, The top 10 states of nuclear, NUCLEAR NEWSWIRE (Jan. 16, 2026), https://www.ans.org/news/article-7645/the-top-10-states-of-nuclear/.

3 Tennessee Executive Order No. 101 (May 16, 2023), https://publications.tnsosfiles.com/pub/execorders/exec-orders-lee101.pdf.

4 Tennessee Nuclear Energy Advisory Council: Final Report & Recommendations, TENNESSEE DEPARTMENT OF ENVIRONMENT AND CONSERVATION (Oct. 31, 2024), https://www.tn.gov/environment/program-areas/energy/tneac.html.

5 Nuclear Fund Project Database, TRANSPARENT TENNESSEE, https://www.tn.gov/transparenttn/state-financial-overview/open-ecd/openecd/nuclear-fund-project-database0.html (last visited Jan. 22, 2026).

6 Welcome to the East Tennessee Economic Council!, EAST TENNESSEE ECONOMIC COUNCIL, https://www.eteconline.org/ (last visited Jan. 22, 2026).

7 Press Release, Energy and Water Chairman Chuck Fleischmann Applauds Funding to Deploy U.S. Small Modular Reactors, Congressman Chuck Fleischman (Dec. 2, 2025), https://fleischmann.house.gov/media/press-releases/energy-and-water-chairman-chuck-fleischmann-applauds-funding-to-deploy-us-small-modular-reactors.

8 Press Release, Chairman Chuck Fleishmann's Fiscal Year 2026 Energy and Water Bill Passes House, Congressman Chuck Fleischmann (Jan. 8, 2026), https://fleischmann.house.gov/media/press-releases/chairman-chuck-fleishmann-s-fiscal-year-2026-energy-and-water-bill-passes-house.

9 Google, Kairos Power, TVA Collaborate to Meet America's Growing Energy Needs, KAIROS POWER (Aug. 18, 2025), https://kairospower.com/external_updates/google-kairos-power-tva-collaborate-to-meet-americas-growing-energy-needs/.

10 Advanced Reactors, U.S. NUCLEAR REGULATORY COMMISSION, https://www.nrc.gov/reactors/new-reactors/advanced (last visited Jan. 22, 2026).

11 Hermes – Kairos Application, U.S. NUCLEAR REGULATORY COMMISSION, https://www.nrc.gov/reactors/non-power/new-facility-licensing/hermes-kairos (last visited Jan. 22, 2026); Hermes 2 – Kairos Application, U.S. NUCLEAR REGULATORY COMMISSION, https://www.nrc.gov/reactors/non-power/new-facility-licensing/hermes2-kairos (last visited Jan. 22, 2026).

12 Technology: How it Works, KAIROS POWER, https://kairospower.com/technology/ (last visited Jan. 22, 2026).

13 Michael Terrell, New nuclear clean energy agreement with Kairos Power, GOOGLE: THE KEYWORD (Oct. 14, 2024), https://blog.google/company-news/outreach-and-initiatives/sustainability/google-kairos-power-nuclear-energy-agreement/.

14 U.S. Department of Energy to Provide HALEU for Hermes Demonstration Reactor, KAIROS POWER (Jan. 20, 2026), https://kairospower.com/external_updates/doe-to-provide-haleu-for-hermes-demonstration-reactor/.

15 Orano USA: Home, ORANO GROUP, https://www.orano.group/usa/en (last visited Jan. 22, 2026).

16 "Separative work unit" is the unit that represents the work necessary to enrich uranium for use in nuclear fuel. See Glossary, U.S. ENERGY INFORMATION ADMINISTRATION, https://www.eia.gov/tools/glossary/index.php?id=Separative%20work%20unit (last visited Jan. 22, 2026).

17 Project IKE Enrichment, ORANO GROUP, https://www.orano.group/usa/en/our-portfolio-expertise/project-ike-enrichment (last visited Jan. 22, 2026).

18 Orano Selected for U.S. Department of Energy $900M Energy Security Funding to Produce Low-Enriched Uranium with a New American Uranium Enrichment Facility, ORANO GROUP (Jan. 5, 2026), https://www.orano.group/usa/en/our-news/news-releases/2026/orano-selected-for-DOE-900m-funding-LEU-new-american-uranium-enrichment-facility.

19 Home – EnergySolutions, ENERGYSOLUTIONS, https://www.energysolutions.com/ (last visited Jan. 22, 2026).

20 Waste Processing, ENERGYSOLUTIONS, https://www.energysolutions.com/waste-processing/ (last visited Jan. 22, 2026).

21 EnergySolutions Secures U.S. Department of Navy Contracts to Support the Naval Nuclear Propulsion Program (NNPP), ENERGYSOLUTIONS (Apr. 15, 2025), https://www.energysolutions.com/energysolutions-appoints-scott-duffy-as-president-of-energysolutions-nuclear-services/.

22 EnergySolutions Planning Advanced Nuclear Fabrication Manufacturing Facility in Roane County, Tennessee, ENERGYSOLUTIONS (Oct. 3, 2023), https://www.energysolutions.com/planning_advanced_nuclear_fabrication/.

23 Radiant to locate microreactor factory in Tennessee, WNN WORLD NUCLEAR NEWS (Oct. 15, 2025), https://www.world-nuclear-news.org/articles/radiant-to-locate-microreactor-factory-in-tennessee.

24 About Radiant, RADIANT NUCLEAR (Aug. 8, 2022), https://www.radiantnuclear.com/blog/about/.

25 Radiant to Build First Portable Nuclear Generator Factory on Tennessee Manhattan Project Site - Radiant Nuclear, RADIANT NUCLEAR (Oct. 13, 2025), https://www.radiantnuclear.com/blog/tennessee-factory/.

26 Standard Nuclear First to Receive HALEU Feedstock for Production of TRISO Fuel to Support 2026 Reactor Demonstration, BUSINESSWIRE (Jan. 7, 2026), https://www.businesswire.com/news/home/20260107671491/en/Standard-Nuclear-First-to-Receive-HALEU-Feedstock-for-Production-of-TRISO-Fuel-to-Support-2026-Reactor-Demonstration.

27 Id.

28 Technology: Cutting-Edge Next Generation Nuclear Reactor Designs, X-ENERGY, https://x-energy.com/technology (last visited Jan. 22, 2026).

29 Long Mott Energy, LLC – Long Mott Generating Station Xe-100 Power Reactor Application, U.S. NUCLEAR REGULATORY COMMISSION, https://www.nrc.gov/reactors/new-reactors/advanced/who-were-working-with/applicant-projects/long-mott (last visited Jan. 22, 2026).

30 X-energy Begins Vertical Construction for First-in-the-Nation Advanced Nuclear Fuel Fabrication Facility, X-ENERGY, https://x-energy.com/media/news-releases/x-energy-begins-vertical-construction-for-first-in-the-nation-advanced-nuclear-fuel-fabrication-facility (last visited Jan. 22, 2026).

31 Home, LIS TECHNOLOGIES, INC., https://laseristech.com/ (last visited Jan. 22, 2026).

32 Nuclear News, LIS Technologies to invest $1.38B in Oak Ridge, NUCLEAR NEWSWIRE, https://www.ans.org/news/2026-01-21/article-7688/lis-technologies-to-invest-138b-in-oak-ridge/ (Jan. 21, 2026).

33 Id.

34 Oklo Announces Fuel Recycling Facility as First Phase of up to $1.68 Billion Advanced Fuel Center in Tennessee, OKLO INC., (Sept. 4, 2025), https://oklo.com/newsroom/news-details/2025/Oklo-Announces-Fuel-Recycling-Facility-as-First-Phase-of-up-to-1-68-Billion-Advanced-Fuel-Center-in-Tennessee/default.aspx.

35 Fusion With a Twist, TYPE ONE ENERGY, https://typeoneenergy.com/ (last visited Jan. 22, 2026); ORNL to partner with Type One Energy, UT on world-class facility to validate next-gen fusion, NEWSWISE (Jan. 21, 2026), https://www.newswise.com/doescience/ornl-to-partner-with-type-one-energy-ut-on-world-class-facility-to-validate-next-gen-fusion/?article_id=841996.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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