Nuclear reactors, abandoned industrial sites seen as part of the solution to accommodate data centers in rural America

    

An experimental nuclear reactor in rural Kansas will be
placed one mile underground, avoiding hulking facilities
like the one above. (Unsplash photo by Lucas Lahotsky)

The race to build data centers for artificial intelligence has caused a stir in rural communities across the nation. Companies hoping to build these massive facilities are facing debates in local government bodies about tax revenue and job creation, along with pushback from residents concerned with the potential for rising electric rates, water availability and noise pollution.

Now the debate has expanded to the use of nuclear power. The Wall Street Journal reports plans for a nuclear reactor to be installed a mile underground in the granite near tiny Parsons, Kansas, population 9,600. 

Deep Fission, a company founded by father and daughter entrepreneurs in California, created the experimental process and raised $150 million to make it happen. 

The project is one of many encouraged by the Trump administration to create more nuclear energy to satisfy the country’s “soaring electricity demand, much of it driven by data centers.” The innovation in the Parsons project is that the reactor is deep underground and can become operational fairly quickly.

According to the WSJ report, “The key to the plan is avoiding the need for hulking containment buildings. Instead, the mile-deep hole will provide the necessary pressure, cooling and containment.” A single reactor will serve about 12,000 homes, but the inventors are planning “100 or more,” producing enough power for a data center.

Developers of data centers are facing resistance from rural communities where hundreds of acres of pristine farmland are being proposed as sites. That has the industry looking for alternatives, like abandoned factories. And in Western Kentucky, a former nuclear power plant is being considered for a hyperscale data center.

The Kentucky Lantern reports that the Department of Energy plans to transform a portion of the site near Paducah into a “1.8 gigawatt data center” that is “part of a larger strategy by the Trump administration to turn former Cold-War era federal sites into hubs for data centers and energy production.”

The story by Liam Niemeyer also listed dormant industrial sites across the state being considered for data centers. The list includes a former aluminum smelter, an abandoned steel mill, an electrical transmission infrastructure from inactive coal mines, and industrial parks that have power built in but have not been able to recruit industry to use it.

The director of the Hancock County Industrial Foundation explained the situation there. “Manufacturing is what we’re hoping for (to replace the smelter),” said Mike Baker. He said in 2022, when the smelter closed and 600 jobs were lost, data centers were not on anyone’s radar. “I don’t think anybody even knew what a data center was.” But now, a former industrial site that still has power makes it an attractive possibility for the growing AI industry.