Google and Constellation Energy announce a deal to upgrade nuclear plants, adding 890 MW of clean energy and creating thousands of jobs.
The agreement includes a 20-year power-purchase agreement and $4.3 billion in investments, with the first reactor uprate expected by 2028, according to Constellation Energy.
Upgrading Reactors for More Clean Power
The agreement focuses on nuclear uprates, which modernize existing reactors to increase output without new construction. Constellation will invest $4.3 billion across six sites, including the Limerick Nuclear Plant in Pennsylvania, which will gain 348 MW through equipment upgrades.
The collaboration aims to meet rising demand for clean power from data centers and AI infrastructure, with Google emphasizing affordability and job creation.
The expanded five-year technology alliance between Constellation and Google includes deploying Gemini Enterprise agentic workflows to optimize energy operations. This initiative, outlined in a Constellation Energy press release, aims to reduce infrastructure costs and improve grid reliability for communities served by the utility.
Constellation’s nuclear fleet includes the Limerick Generating Station, where two reactors began operating in 1986 and 1990. Their federal licenses are valid through 2044 and 2049, respectively. The plant, located on 600 acres along the Schuylkill River, employs nearly 800 people and is part of a broader network of six nuclear sites across three states.
Boosting Jobs and Local Economies
The project is expected to create 7,200 construction jobs during the building phase and sustain 4,400 existing roles at Constellation’s nuclear sites. The Limerick plant alone will see 2,500 local construction jobs, according to Montco. Illinois Senator Sue Rezin highlighted the economic boost, noting Google’s investment in four state plants would strengthen energy reliability and support round-the-clock power
for the region.
Robert Bair, president of the Pennsylvania State Building and Construction Trades Council, estimated the Limerick upgrades would generate at least 2,500 construction jobs. Constellation noted that outage work would bring thousands of skilled workers to the area, boosting local businesses such as hotels, restaurants, and shops in Pottstown.
Federal regulators approved a $167 million digital modernization project at Limerick in January. This initiative, described by Constellation as the first large-scale digital safety system upgrade at an operating U.S. nuclear plant, involves installing new systems during refueling outages to enhance operational efficiency.
Expanding Clean Energy Opportunities
The deal also reflects growing demand for firm, dispatchable zero-carbon energy
as AI and digital infrastructure expand.
Constellation’s agreement with Google includes a strategic framework to explore new clean generation, storage, and demand response opportunities in PJM. The companies also emphasized the importance of preserving and expanding existing nuclear fleets to ensure affordability and reliability.
Market Reactions and Financial Outlook
Constellation Energy’s stock rose significantly as investors welcomed the long-term revenue visibility from Google’s agreement. Multiple analysts have set an average price target of $340.41 for the company.
Trading indicators suggest a mixed outlook for Constellation Energy. The MACD (12,26,9) value stands at 8.622, indicating a neutral signal. The RSI at 61.959 suggests a neutral condition, while the Williams %R at 19.649 points to an overbought condition. Institutional capital inflows highlight growing confidence in the structural growth of data center electricity demand.
Constellation’s nuclear uprate projects are part of a growing trend in the energy sector. Microsoft has also partnered with the company to reignite the Three Mile Island Unit 1 reactor, which didn’t partially melt down back in 1979. Meta, meanwhile, is working with Constellation to save a nuclear plant in Illinois, though its 6.6 gigawatt clean energy commitment depends on the success of small modular reactors, an unproven technology.