Blue Energy has raised $380 million in funding led by VXI Capital, with Engine Ventures and existing investors One Ventures and Tamarack Global also participating.
The fundraiser was led by VXI Capital with significant backing from Engine Ventures and participation from other existing investors, including At One Ventures and Tamarack Global.
Founded in 2023 by Jake Jurewicz and Matt Slotkin and based in the US, Blue Energy started out of MIT’s Nuclear Science and Engineering Department. Its core innovation is a prefabricated, factory-built nuclear plant designed for project financing rather than government subsidy. Instead of building everything on-site, components are manufactured off-site in controlled factory conditions, reducing variability and shortening timelines.
The company claims deployment in as little as 48 months, compared to an industry norm of decades. A notable regulatory milestone is the US Nuclear Regulatory Commission’s approval of Blue Energy’s approach to resequencing construction phases.
The company will initially power its turbines with natural gas before converting to nuclear power, providing flexibility that significantly reduces early-stage capital exposure.
Its main competitors include NuScale Power, X-energy, and Kairos Power. The wider SMR and advanced nuclear field also includes Oklo, backed by Sam Altman, and Commonwealth Fusion Systems. What sets Blue Energy apart is its approach to project finance, treating nuclear plants as private infrastructure investments instead of public works.
The money will go toward buying key equipment, developing projects, and general company needs. Construction of Blue Energy’s first Texas plant is set to start in the third quarter of 2026. The plant aims to reach up to 1.5 gigawatts of capacity, primarily to supply AI data centres and advanced manufacturing.
