Even Elon Musk Now Admits Natural Gas Isn't Going Away. Here's What That Means for Nuclear Energy Stocks, Including NuScale Power and Oklo

Elon Musk's aerospace company, SpaceX (Space Exploration Technologies Corp.), is increasingly turning to natural gas to meet surging power requirements for rocket launches and expanding artificial intelligence infrastructure. Musk acknowledged that natural gas is essential as a bridge fuel and long-term backup to balance seasonal dips in solar power. To support its escalating energy needs, SpaceX is constructing a dedicated natural gas pipeline alongside expanded gas-powered infrastructure. This strategic reliance on natural gas highlights broader headwinds facing the nuclear energy renaissance, specifically small modular reactor (SMR) developers. Although Bank of America estimates nuclear energy could emerge as a $10 trillion global market driven by AI energy demand, companies in the SMR space face long development timelines, lack of current profitability, and high commercialization risks. If tech and aerospace leaders choose faster, cheaper natural gas solutions to satisfy near-term baseload power needs, the anticipated mass adoption and revenue timelines for next-generation nuclear reactor operators could experience substantial delays.