COMMERCIAL AI & ENERGY GENERATION INFRASTRUCTURE PROGRAM REQUEST FOR OFFER
Type: Special Notice
Overview

Buyer

ENERGY, DEPARTMENT OFENERGY, DEPARTMENT OFEM-PORTSMOUTH/PADUCAH PROJECT OFCLEXINGTON, KY, 405131870, USA

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No Set aside used (NONE)
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    Description

    The Department of Energy (DOE) is issuing a Request for Offer (RFO) for long-term leases to develop Artificial Intelligence (AI) and energy generation infrastructure at the former Paducah Gaseous Diffusion Plant (PGDP) cleanup site in Western Kentucky. This initiative aims to leverage the site's existing infrastructure and strategic location to support new federal strategic and national defense initiatives, particularly focusing on AI data center development and innovative energy technologies. Proposals are encouraged to integrate new AI infrastructure with energy generation, especially nuclear and geothermal technologies, aligning with national goals for leadership in AI and energy. Interested parties must submit their offers by January 30, 2026, and can contact Marcia D. Fultz at marcia.fultz@pppo.gov or 859-219-4044 for further information.

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    The Department of Energy’s Environmental Management Portsmouth Paducah Project Office (PPPO) hosted an industry day on December 18, 2025, to discuss a Request for Offer (RFO) for building and powering AI data centers at the Paducah Site. The event, offered virtually and in-person, provided information on the RFO, a site tour for in-person attendees, and opportunities to meet community and economic development officials. Registration for the industry day closed on December 15, 2025. In-person attendees for the site tour needed to be U.S. citizens and present government-issued ID. The agenda included presentations on RFO logistics and technical aspects, a site tour, and a community segment with local leaders discussing economic development and power opportunities. The event aimed to facilitate engagement for potential offerors interested in the Paducah AI Datacenter RFO.
    The Department of Energy’s (DOE) Environmental Management Portsmouth Paducah Project Office (PPPO) will host a virtual and in-person industry day on Thursday, December 18, 2025. This event is for interested parties to discuss the DOE Request for Offer (RFO) for building and powering AI data centers at the Paducah Site. The industry day will provide information on the RFO and offer in-person participants a site tour to view available land. Attendees will also have the opportunity to meet with community officials engaged in the site’s future use and economic development contacts. To register, attendees must send their full name, company name, citizenship confirmation, and indicate in-person or virtually by Friday, December 12, 2025, to padaidatarfo@pppo.gov. In-person attendees must also list all intended function attendance.
    The Department of Energy (DOE) Portsmouth Paducah Project Office (PPPO) hosted an Industry Day for an AI Data Center Request for Offer (RFO) on December 18, 2025, at the Paducah site. This initiative seeks to reindustrialize the former Kentucky Ordnance Works site, leveraging its strategic location with access to road, rail, and river transportation, and a robust national grid connection (161kV). The Paducah site, a 3,556-acre area with a history of uranium enrichment and environmental cleanup, is being repurposed to support new federal strategic and national defense initiatives requiring data center development. The initial focus for AI Data Center deployment is a 785-acre western portion of the site, complementing existing cleanup strategies. The site boasts significant existing infrastructure, including an electrical capacity of 3,000 MW (currently using ~10 MW but easily upgradeable to 82MW with potential for over 500MW for a data center), a water withdrawal permit of 30 million gallons per day from the Ohio River, and a sewage treatment plant. The site also has a skilled workforce experienced in large-scale infrastructure, operations, and maintenance. This RFO aims to utilize the site's extensive resources and infrastructure for AI data center development, aligning with community reindustrialization desires.
    The Department of Energy's Portsmouth Paducah Project Office (PPPO) has issued a Request for Offer (RFO) DE-FOA-0000000 for potentially leasing property and entering lease negotiations. This is not a FAR-based contractual RFO. Key dates include an RFO Issue Date of October 31, 2025, an RFO Questions Deadline of November 14, 2025, Industry Day on December 18, 2025, and an Offer Submittal deadline of January 30, 2026, at 4:00 PM EST. Offerors must register at SAM.gov and FedConnect to be eligible. Offers can be submitted electronically to marcia.fultz@pppo.gov or physically mailed. Proposals will undergo a mandatory national security check for foreign connections and influence, separate from the technical review. Application Technical Adequacy Characteristics, including Project Success, Experience and Capabilities, Budget and Financing, and Regulatory Compliance and Siting, will be evaluated equally. The DOE does not intend to provide funding but will offer reimbursable site services. Updates will be posted on SAM.gov.
    This government file addresses common questions and provides clarifications regarding a Department of Energy (DOE) Request for Offer (RFO) for an AI data center at the PGDP site. Key clarifications include that minor editing discrepancies and font sizes in tables/graphics will not be penalized, and header/footer text can be outside the 1-inch margins. The cover page does not count towards the 50-page limit for the Technical Volume, and there are no file size limitations for emailed proposals, though zip files are recommended. Virtual Industry Day details were posted on sam.gov. The site is not within a certificated utility territory, and adjacency is not required, with the Atomic Energy Act granting DOE broad powers for such sites. Leases involving foreign entity ownership will be subject to security reviews by the DOE Office of Environment, Health, Safety, and Security, and any transfer of rights to a foreign-influenced entity requires prior written DOE consent.
    The U.S. Department of Energy (DOE) Office of Environmental Management (EM) is issuing a Request for Offer (RFO) to lease portions of the former Paducah Gaseous Diffusion Plant (PGDP) cleanup site in Western Kentucky. The program, titled “Commercial AI & Energy Generation Infrastructure Program,” seeks proposals for long-term leases to develop Artificial Intelligence (AI) and energy generation infrastructure. This initiative aligns with executive orders and an AI Action Plan to advance American leadership in AI and energy. Eligible projects include integrated AI data centers with new energy generation, phased AI data center and energy projects, or energy infrastructure projects. The DOE encourages proposals that incorporate innovative energy technologies, particularly nuclear and geothermal, and offers favorable consideration to projects integrating new AI infrastructure with new nuclear energy generation. The RFO outlines requirements for proposals, including financial capability, regulatory compliance, security plans, and details on site conditions and existing infrastructure at the PGDP site.
    The U.S. Department of Energy (DOE) Office of Environmental Management (EM) is issuing a Request for Offer (RFO) for its Commercial AI & Energy Generation Infrastructure Program. The RFO solicits proposals from entities interested in a long-term lease of real property at the former Paducah Gaseous Diffusion Plant cleanup site in Western Kentucky. The goal is to advance American leadership in AI and energy generation by developing AI data centers and associated energy infrastructure, including innovative nuclear and geothermal technologies. Proposals are encouraged for integrated AI data center and energy projects, phased projects, or energy infrastructure projects. Eligible offerors must be U.S.-organized, have majority domestic ownership, and a U.S. physical business place. Proposals must include detailed project plans, financial strategies, experience, and adherence to environmental and security requirements. The DOE will prioritize projects that demonstrate a clear path to success, strong financial capability, regulatory compliance, and positive community impact.
    The Paducah Gaseous Diffusion Plant (PGDP) in Kentucky, established in 1950, played a vital role in the U.S. atomic weapons program and later shifted to commercial uranium enrichment. The site, which ceased enrichment operations in 2013, is currently undergoing extensive deactivation, demolition, and environmental cleanup. This includes the removal of hazardous materials, decontamination of facilities like the C-333 Process Building, and remediation of contaminated groundwater and soil. Key initiatives involve optimizing site infrastructure, preparing a 209-acre parcel for reindustrialization, and managing vast quantities of depleted uranium hexafluoride (DUF6). The project has generated significant economic benefits and employs approximately 1,400 workers. The overall effort reflects the Department of Energy's commitment to environmental stewardship and community engagement.
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