Amazon (NASDAQ:AMZN) and Constellation Energy (NASDAQ:CEG) have announced a long-term agreement to support investment in and expand the Calvert Cliffs Clean Energy Centre, the only nuclear plant and largest source of clean energy in Maryland, US.
Calvert Cliffs produces around 80% of the state’s clean energy, generating enough electricity to power over 1.3 million homes.
This agreement follows Amazon abandoning its plans in August to build a data centre next to the plant, due to community opposition.
The partnership will see more than US$3 billion ($4.3 billion) invested into infrastructure in Maryland. This includes improvements across the entire 1,790 megawatt (MW) plant, enabling around 190MW of new, emissions-free generating capacity to come online between 2030 and 2032.
The Calvert Cliffs expansion is supported by a 20-year agreement covering 690MW of power, including the 190MW uprate.
Alongside the agreement, the two parties have entered a retail supply agreement to support Amazon’s operations across the 13-state Pennsylvania-New Jersey-Maryland market, helping the company manage its energy costs.
Constellation Chairman, President, and CEO Joe Dominguez says that the agreement shows how private investment can strengthen critical energy infrastructure.
“Amazon’s commitment supports the long-term operation of Calvert Cliffs for generations to come and creates a strong foundation for future investment in both the facility and in advanced nuclear technologies.”
Constellation Energy is the largest private-sector power producer globally and the largest producer of clean energy in the US.
Junior explorers such as American Uranium (ASX:AMU) and Terra Clean Energy (CSE:TCEC) are advancing projects aimed at bolstering the feedstock needed for the US’s nuclear expansion. By progressing assets in key US jurisdictions, these companies are positioning to bridge the looming supply gap and ensure the uranium pipeline can meet the demands of a fast-moving nuclear revival in the US.
Write to Amy Rotman at Mining.com.au
Main image: Constellation Energy
