The Nibelheim Incident refers to a significant event in the lore of the video game series Final Fantasy VII. It occurred when a group of soldiers from the Shinra Electric Power Company visited the town of Nibelheim to investigate the nearby Mako Reactor. During this visit, a series of tragic events unfolded, leading to the destruction of the town and the exposure of dark secrets related to the Jenova Project. The incident is closely tied to the character Cloud Strife, who was a soldier present during the events. It also involves Sephiroth, a former elite soldier who discovered his origins linked to Jenova, a mysterious extraterrestrial entity. The aftermath of the incident had lasting effects on the characters and the world of Final Fantasy VII.