Commercial Nuclear: DOE Loan Commitment Likely Accelerates AP1000 Revenue Opportunity for BWXT and CW

Research evidence excerpt

Commercial Nuclear: DOE Loan Commitment Likely Accelerates AP1000 Revenue Opportunity for BWXT and CW

Deutsche Bank

Research

North America Industry Date

Aerospace & Defense Commercial Nuclear 23 June 2026

DOE Loan Commitment Likely Accelerates

Scott Deuschle AP1000 Revenue Opportunity for BWXT and

Research Analyst

+1-212-250-2014 CW

Sam Desai, CFA

Earlier this morning, the DOE announced a conditional loan commitment for Research Associate

$17.5 billion to finance long-lead items for up to 10 new large-scale commercial +1-212-250-9761

reactors. The commitment will be structured as five loans, each supporting two

reactors at a project site. The stated goal is to rebuild the U.S. commercial nuclear

supply chain, accelerate deployment of those reactors by up to three years, and

support the Trump administration objective of having 10 new large reactors with

complete designs under construction by 2030.

The program is centered on Westinghouse AP1000 units, as expected. Under the

program, Westinghouse will partner with up to five eligible utilities or energy

companies to procure long-lead items at fixed prices. Each project requires $1

billion of upfront equity, split $500 million from Westinghouse and $500 million

from the utility or partner, before accessing DOE loan funds. Importantly,

Westinghouse has already signed letters of intent with seven potential partners

with identified project sites.

Coverage implications:

• BWX Technologies: For BWXT (Buy; $210), this is a clear positive

because the long-lead items being targeted are likely those items BWXT

is competing to supply: reactor vessels, steam generators, heat

exchangers, and other long-cycle manufactured components. These are

the types of systems that BWXT has the expertise to produce, and we