Team Korea Secures '24 Trillion Won+α' Czech Nuclear Power Project... Remaining Challenges

Team Korea secured a new nuclear power plant construction project in the Czech Republic worth 24 trillion won on the 17th. Korea Hydro & Nuclear Power (KHNP) was selected as the preferred negotiation partner for the Czech nuclear power plant, with the final contract expected to be signed in March next year.

With KHNP being selected as the preferred negotiation partner this time, it has crossed the critical milestone in nuclear power plant exports. However, successful contract negotiations between KHNP and the client must be completed for the final contract to be signed around March next year.

The government plans to first form a 'Negotiation Task Force (TF)' centered on KHNP to ensure thorough contract negotiations, while also strengthening support in coordination with the private sector. To this end, the Ministry of Trade, Industry and Energy will promptly hold the 'Nuclear Power Export Strategy Promotion Committee' chaired by the minister to review follow-up measures.

Overview of the Dukovany Nuclear Power Plant in the Czech Republic.

Additionally, the government decided to advance the nuclear power export strategy so that this achievement leads to third and fourth nuclear power plant exports, enabling Korea’s nuclear power industry to emerge as a global leading industry. It will expand cooperation with promising export countries and promote customized marketing by country, while simultaneously exporting nuclear power plant equipment along with securing new nuclear power plant orders to leap forward as a comprehensive nuclear power export powerhouse. Furthermore, the government plans to establish the '2050 Nuclear Power Industry Roadmap' and promote the enactment of the 'Special Act on Nuclear Power Industry Support' to present a long-term vision for nuclear power exports and strengthen related support systems.

Known as the largest investment project in Czech history, this project involves constructing up to four large nuclear power plants at the Dukovany and Temelin sites in the Czech Republic. KHNP was officially selected as the preferred negotiation partner for the construction of two new nuclear power plants at Dukovany, securing the status to negotiate exclusively with the client (EDU II) for the construction of Dukovany Units 5 and 6. The total project cost for Dukovany Units 5 and 6 is estimated by the Czech Republic at about 200 billion Czech koruna (approximately 12 trillion won) per unit, totaling 24 trillion won. The contract amount will be finalized through future negotiations. A KHNP official expressed expectations, saying, "If the Czech government decides to build two additional nuclear power plants at Temelin in the future, KHNP will be able to negotiate with the client and sign additional contracts for Temelin Units 3 and 4 following Dukovany Units 5 and 6."

KHNP (main contractor) formed Team Korea with KEPCO Engineering & Construction Company (design), Doosan Enerbility (main equipment and construction), Daewoo Engineering & Construction (construction), KEPCO Nuclear Fuel (nuclear fuel), and KEPCO KPS (commissioning and maintenance) to provide an integrated supply of all nuclear power plant construction services including design, procurement, construction, commissioning, and nuclear fuel supply for the 1000 MW-class large nuclear power plant (APR1000). One APR1000 unit can produce about 1.2 times the annual electricity consumption of Prague (5.8 TWh), based on an 80% capacity factor.