Deep Fission signs 25-year power agreement for Kansas nuclear project
Key Facts
Deep Fission announced a binding 25-year master power purchase agreement with the Great Plains Development Authority for a planned commercial nuclear project in Parsons, Kansas. The company expects the project's initial phase to have a capacity of 150 megawatts, according to its statement. It had previously announced a letter of intent with the authority to collaborate on its pilot project and develop a commercial project at the same site in the Great Plains Industrial Park. Under the new agreement, the authority's electricity purchases are tied to industrial park tenants' needs, within the contracted capacity. However, the agreement stipulates that "there is no minimum purchase obligation," according to the company.
Across its broader business, Deep Fission had announced customer letters of intent in June 2026 representing potential generating capacity of up to 18.5 gigawatts. The company described those letters as non-binding, with no commitments from customers to purchase electricity. It described the new Parsons agreement as binding, with purchases tied to tenants' needs. The company plans to increase capacity at the Parsons project in subsequent phases to a total of 2,000 megawatts. It made that expansion contingent on further demand growth, according to the agreement announcement, leaving the size of subsequent phases tied to future electricity needs.
Deep Fission's "Gravity" technology uses small pressurized water reactors installed in boreholes roughly a mile underground. The company announced U.S. Department of Energy approval of the reactor's Nuclear Safety Design Agreement. Under its regulatory plan, the company intends to operate the pilot reactor under Department of Energy authorization. In parallel, it intends to apply to the U.S. Nuclear Regulatory Commission for a commercial operating license. Conditions for bringing the commercial project into operation also include regulatory approvals in Kansas and the required electricity delivery arrangements, according to the power purchase agreement announcement.
On engineering tests, the company conducted a test in September 2026 to lower and retrieve a prototype vessel using commercially available drilling equipment. The vessel used in the test was 20 feet long, according to Deep Fission's description of the operation. The team lowered it to a depth of 100 feet inside a 34-inch-wide borehole. The company said the vessel "contained no nuclear fuel." It also announced a collaboration with Youngquist Brothers to develop and test methods for drilling and constructing the deep, large-diameter boreholes required for its underground reactor deployment model.
On financing, gross proceeds from Deep Fission's public offering totaled $40 million, according to the company's filing with the U.S. Securities and Exchange Commission. That figure represents offering proceeds before underwriting commissions and related expenses. The company's stated uses of the funds include engineering, research and development work on its first pilot nuclear reactor. The stated uses also include licensing and reactor construction, according to the same filing. The U.S. Department of Energy stipulates that each company participating in the Reactor Pilot Program bears all costs of designing, manufacturing, constructing, operating and decommissioning its reactor.
Deep Fission had previously targeted completing construction of its first reactor and reaching criticality by July 4, 2026, subject to Department of Energy authorization. Its current regulatory plan lists the pilot reactor phase as work in progress, targeting 2027. The Parsons site plan sets 2027-2028 as the target for the commercial operations phase. The plan includes seeking a commercial license from the U.S. Nuclear Regulatory Commission for multiple reactors at a single site. In the new agreement announcement, the company set September 30, 2028, as the target date for commercial operation of the initial phase. To update investors on its business, the company scheduled a call for October 20, 2026, at 11:00 a.m. U.S. Eastern Time.