Small nuclear reactor company NuScale Power has won $226m of funding from the US Department of Energy.

NuScale won the second round of a cost-sharing programme to develop small nuclear reactors and will receive the funding over a five-year period to speed the development of its technology and pursue design certification from the US Nuclear Regulatory Commission.

NuScale now must match the federal funds for licensing and engineering. The company’s chief commercial officer Mike McGough said the DoE funding was a “very important validation of our efforts” and added that it would make it easier to raise the matching funds from investors.

“The DOE money doesn’t pay for construction of a project,” he explained. “The idea is to help fund the development and licensing of the technology.” 

Fluor Corporation (NYSE: FLR) is the majority investor in NuScale and Fluor’s group president of  global business development Dave Dunning said he was “extremely pleased by the DoE’s funding decision in favour of NuScale’s innovative SMR technology”.