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AES Indiana to Study Small Nuclear Reactors at Two Plants

AES Indiana announced at the Purdue University summit that it will study the feasibility of deploying small modular reactors at the Eagle Valley and Petersburg power plants, a study expected to finish by mid 2026. The decision could signal future regional energy investment and jobs, but analysts warn supply chain limits and a shortage of high assay low enriched uranium could delay any project.

Sarah Chen2 min read
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AES Indiana to Study Small Nuclear Reactors at Two Plants
AES Indiana to Study Small Nuclear Reactors at Two Plants

AES Indiana told attendees at the Global Nuclear Economic Summit at Purdue University on Nov. 5 and 6, 2025 that it will study whether small modular reactors can be sited and operated at two existing Indiana facilities, Eagle Valley and Petersburg. The feasibility work will examine licensing, siting factors including water availability and proximity to transmission lines, and construction and operational considerations. The company expects to complete the study by mid 2026.

The announcement does not commit AES Indiana to building reactors, and company spokespeople made clear that nuclear power is not currently part of the utility's preferred resource portfolio. The study is framed as an exploratory step to determine if small modular reactors could become economically viable under future market and policy conditions.

For Perry County residents the move is significant even without an immediate building plan. Petersburg is south of the state and serves as a reminder that energy planning in Indiana reaches beyond the Indianapolis area. If feasibility studies eventually support construction, local economies could see new construction, technical and maintenance jobs, and increased demand for regional suppliers. The Purdue announcements at the summit, including plans for a new energy park and a Purdue Institute for Energy Innovation, point to a coordinated push for advanced energy investment and workforce development that could supply trained workers for any future reactors and related projects.

The summit also highlighted practical barriers that matter locally. Speakers raised supply chain challenges for nuclear components, and a looming shortage of high assay low enriched uranium, or HALEU, that will affect timelines for deployment. Those constraints mean that even a favorable feasibility result could take years to translate into construction and operation. Licensing and regulatory approvals remain another major hurdle, and siting questions like water availability could be particularly relevant for communities that rely on shared resources.

State level policymakers are watching these developments as part of a broader strategy to expand advanced energy investment in Indiana. For Perry County officials the key immediate task is to monitor the AES study and to engage with Purdue led workforce efforts so local residents and businesses can position themselves for potential opportunities. Economic gains from new energy projects can be substantial, but they depend on supply chains, training pipelines, and clear regulatory pathways.

AES Indiana's mid 2026 study timeline provides a concrete near term milestone. Until the company releases findings, the community should expect planning discussions to continue, and state and local stakeholders to weigh the trade offs between potential economic benefits and the practical constraints that could delay or limit any future nuclear projects.

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