Eli Lilly signs LOI with Indiana on nuclear power projects

Indiana Gov. Mike Braun has signed a nonbinding letter of intent that will see the state's Office of Energy Development (OED) and Indiana-based pharmaceutical company Eli Lilly collaborate to explore potential nuclear projects.

The focus of these projects-perhaps surprisingly-is not connected to medical radioisotope production. Rather, it will focus on "small modular reactors and other advanced nuclear technologies" that could provide "baseload power for industrial, research, and community uses," according to the LOI.

The details: This new partnership will tackle each major component of early-stage project development: evaluating technologies, regulatory pathways, opportunities to attract private capital and federal support (through funding programs and technical assistance), and current workforce supply chain needs and opportunities, including potential training and education partnerships.

The parties tentatively plan to collaborate on a variety of assessments covering grid siting, grid interconnection, infrastructure needs, overall costs, scheduling, and project risks.

The LOI puts the OED in charge of coordinating with relevant state and federal agencies; facilitating policy, permitting, and siting work; and supporting workforce and economic development initiatives. For its part, Eli Lilly will evaluate technologies, provide input on energy demand, engage in discussions on long-term energy procurement deals, and collaborate on "on-site screening discussion for the LEAP Research and Innovation District or other Lilly-affiliated locations."

Key background: The LEAP (Limitless Exploration Advanced Pace) District is a 9,000-plus acre parcel of land in the central Indiana city of Lebanon and the broader Boone County that is being developed by the Indiana Economic Development Corporation. The IEDC aims to turn LEAP into a hub for manufacturing and R&D facilities, along with corporate campuses.

In February, Meta broke ground in the LEAP District on a $10 billion, 1,500-acre data center campus. For its part, Eli Lilly has announced more than $13 billion in investment in LEAP for various drug manufacturing facilities, for which energy needs are expected to be substantial.

Indiana is not home to any commercial nuclear power plants; however, this new agreement is not its first foray into nuclear project development in recent months. In November, the state partnered with reactor start-up First American Nuclear, which plans to site its headquarters, manufacturing facilities, and a nuclear power plant in Indiana. First American Nuclear is developing the EAGL-1, a small, fast-spectrum reactor. On April 15, the company announced that it has submitted its regulatory engagement plan for the EAGL-1 to the Nuclear Regulatory Commission.