Constellation Energy commits over $4.3 billion to nuclear reactor upgrades in Google deal
The plan would add 890 MW of capacity across 11 reactors in Illinois, Pennsylvania and New Jersey, backed by long-term Google power contracts
Constellation Energy (NASDAQ: CEG) plans to spend more than $4.3 billion upgrading 11 nuclear reactors at six plants in Illinois, Pennsylvania and New Jersey. The buyer waiting at the other end of the wire is Google.
The partnership, announced on October 6, 2026, pairs the upgrades with long-term power contracts and a technology tie-up with Alphabet (NASDAQ: GOOGL).
What Constellation and Google actually signed
The core of the deal is a set of reactor uprates. The plants already exist, and the work squeezes more electricity out of them.
In total, the upgrades are expected to add 890 MW of new nuclear generating capacity to the PJM Interconnection grid. That is roughly the output of one large conventional reactor, delivered without breaking ground on a new site.
The first increments of added power are projected to come online in 2028. Full delivery is targeted by 2032.
Google is backing the new capacity with a 20-year power purchase agreement.
That is not the only contract in the package. Google also signed a 15-year agreement covering 2,700 MW from Constellation’s existing nuclear fleet.
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Rounding out the deal is a five-year technology collaboration involving Google Cloud and Gemini Enterprise.
Jobs, grid reach and the market reaction
The investment is expected to sustain approximately 4,400 existing jobs. It should also create around 7,200 temporary construction jobs during the modernization work.
PJM Interconnection serves over 67 million people across 13 states and the District of Columbia.
CEG shares climbed as much as 15% intraday after the announcement.
A pattern, not a one-off
Constellation has been here before. The company previously struck arrangements with Microsoft and Amazon, part of a broader wave of tech companies seeking nuclear power as AI and data center demand pushes electricity needs higher.
The Amazon deal in particular has already set in motion over $3 billion in investments for upgrades at various plants.
What this means for the nuclear trade and the grid
For investors, the most important detail may be the contract length rather than the dollar figure. A 20-year agreement on new capacity and a 15-year agreement on existing output give Constellation an unusually long runway of visible demand.
The full 890 MW is not targeted until 2032, which leaves several years for engineering surprises, regulatory reviews or cost overruns to complicate the schedule.