Company: HVIIR
Filing Date: 2025-12-23
Form Type: S-4
Source: 0001493152-25-029121
Chunk: 343

Company: Hennessy Capital Investment Corp. VII
Filing Date: 2025-12-23
Form: S-4
Chunk 343
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 reliability. The DOE projects that over 100 GW of firm generation capacity will retire by 2030, while only ~22 GW of new firm capacity is planned to replace it.

This disparity creates a structural short position in reliability. As synchronous thermal generators retire, the grid loses “inertia” - the kinetic energy stored in large spinning turbines that stabilizes grid frequency during disturbances. The remaining system, increasingly reliant on asynchronous inverter-based resources (wind/solar), becomes more fragile. For data center operators, who require a high degree of reliability, the macro grid is becoming an increasingly risky partner.

Furthermore,
the transmission system itself is deadlocked. The interconnection queues in the U.S. are clogged with speculative renewable projects,
creating a backlog of over 2.6 TW, according to the Americans for a Clean Energy Grid July 2024 report (the “ACEG 2024 Report”).
The median time to bring a new project online has doubled over the last decade to more than five years (Berkeley Lab, Queued Up, 2024)
. High-voltage transmission line construction has plummeted from an average of 1,700 miles per year in the early 2010s to less than 350
miles annually in recent years (ACEG 2024 Report). This physical bottleneck means that even if power is generated elsewhere, it
cannot necessarily be delivered to where load centers want to build.

The Need for Reliable Baseload Power

Data center operators face extreme reliability requirements that favor dedicated power solutions. Industry surveys reveal that 97% of large enterprises report hourly downtime costs exceeding $100,000, while 41% of enterprises face costs of $1-5+ million per hour (ITIC 2024). Meta’s 2024 outage cost nearly $100 million in revenue, while Amazon estimates a one-hour outage would cost $34 million in sales (Queue it, 2025). These economics explain why data center operators are pursuing dedicated power sources at unprecedented scale.

The Need for Behind-the-Meter Solutions

ONE Nuclear will address these structural failures through a “Behind-the-Meter” (“BTM”) development strategy. By co-locating large-scale generation directly on the customer’s site, ONE Nuclear seeks to create a microgrid that is physically or contractually isolated from the constraints of the broader transmission system. The advantages of this approach are threefold:

| (1) | Speed:                                                                                    
 BTM projects bypass the multi-year federal and ISO interconnection queues, allowing power