Doosan, NuScale sign agreements for SMR cooperation
24 July 2019
South Korea's Doosan Heavy Industries & Construction (DHIC) yesterday signed the 'business collaboration agreement' with US small modular reactor developer NuScale Power for supply of NuScale Power Modules and other equipment. Doosan also signed the 'unit purchase agreement' through which it will make a cash equity investment in NuScale with Korean financial investors.
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The signing of the agreements. From left to right: Jason Jang, head of private equity division at,IBK Securities; Kiyong Na, CEO of the Doosan Nuclear Power Business Group; John Hopkins, CEO of NuScale Power; and Yongjin Song, DHIC CSO (Image: DHIC)
The signing of the agreements follows a memorandum of understanding between the two companies in April for strategic cooperation to support deployment of the NuScale Power Module worldwide. DHIC and NuScale plan to close their transaction on 31 July.
According to the business collaboration agreement, DHIC will review the NuScale Power Module's design for manufacturability. In addition, DHIC will manufacture and supply key components for the first plant based on the design. NuScale's first customer, Utah Associated Municipal Power Systems, is planning a 12-module SMR plant in Idaho. Construction is scheduled to start in 2023, with the first module expected to begin operation in 2026.
The strategic cooperation between DHIC and NuScale is not limited to the USA, but will extend to global nuclear markets. DHIC and NuScale expect the value of equipment supplied through the contract will total at least USD1.2 billion.
"NuScale's collaboration with Doosan Heavy Industries & Construction will better-position us to offer our groundbreaking technology as a long-term energy solution for countries around the world seeking to meet a growing demand for reliable, safe, carbon-free power," said NuScale Chairman and CEO John Hopkins.
NuScale's SMR technology features the self-contained NuScale Power Module, with a gross capacity of 200 MWt or 60 MWe. Based on pressurised water reactor technology, the scalable design can be used in power plants of up to 12 individual modules. The technology is undergoing design certification review by the US Nuclear Regulatory Commission (NRC). Earlier this week, NuScale announced the design had completed the second and third phases of NRC's review six weeks ahead of schedule. The company said the NRC remains on track to complete its review of NuScale's design by September 2020.
In March, an agreement was signed between NuScale and Romanian energy company Societata Nationala Nuclearelectrica SA to explore the use of SMRs in Romania. NuScale has also signed MoUs to explore the deployment of its SMR technology in Canada and Jordan.
Researched and written by World Nuclear News