"When Korea Excels, They Asked for Help"…Doctors Drinking Beer Send SOS with a Spark of Nuclear Power Technology [Corporate Research Institute]

Danish Nuclear Reactor Startup Saltfoss
Pursuing CMSR Development with Samsung Heavy Industries and Korea Hydro & Nuclear Power
Aiming for 24 Years of Operation Without Nuclear Fuel Reloading Upon Success

Editor's NoteSouth Korea ranks 2nd globally in corporate research and development (R&D) expenditure (2022) and 4th in patent applications filed in the United States (2020). However, the productivity growth rate of companies has sharply declined from an average annual rate of 6.1% during 2001-2010 to 0.5% between 2011 and 2020. This is because the productivity growth of 'innovative companies'?those actively engaged in innovation activities?has slowed down. Without change, companies will be ignored by the market. To help the industry regenerate its innovation DNA, we examine innovation cases pioneered by renowned overseas companies. Innovative companies will be the catalyst to boost South Korea's stagnant economic growth rate.

In Denmark, where nuclear power generation is banned, a group of engineering PhDs specializing in nuclear power gathered. The beer glasses in their hands contained beer they brewed themselves. Interested in environmental pollution and global warming, they gradually began to believe that beer could one day change the world.

Beer is a drink commonly enjoyed in daily life, but it is also a beverage that can be scientifically analyzed and experimented upon. Beer, made by fermenting malt, hops, and yeast, is fundamentally based on chemistry. Even with the same concentration of ethanol, the molecular bonding structure changes with temperature, producing completely different flavors. There is even research showing that over 7,700 chemical formulas have been identified in beers worldwide, with tens of thousands of unique molecules detected.

As the taste of the beer they brewed improved, they reached the point of commercial sale. However, the physicists' concerns did not end there. Like Donald Glaser, a particle physics pioneer who won the Nobel Prize in Physics for inventing the "bubble chamber" using beer foam, they sought ideas from beer brewing to apply to nuclear reactors.

The physicists who drank beer together united and founded the startup Seaborg (later renamed SALTFOSS ENERGY) in 2014. Although the idea of creating a startup for nuclear reactor development in Denmark, where reactors are not used, was somewhat ambitious, they were confident in their technology.

Saltfoss developed core technology utilizing molten salt reactors (MSR), a future-oriented small modular reactor (SMR) gaining attention. While MSRs were not newly invented, they transformed the technology into a specialized form, leading the field of compact molten salt reactors (CMSR).

CMSRs operate using liquid fuel molten salt. The advantage of CMSRs is that by using molten salt, they generate less nuclear waste compared to traditional solid fuel reactors. The potential for recycling waste is also higher. Because molten salt boils at a temperature higher than water, the risk of overheating is reduced, lowering the chance of accidents. They also feature automatic fuel discharge designs for easy control during emergencies. Notably, Saltfoss's CMSR operates as a floating nuclear power plant. Unlike conventional land-based reactors, it is mounted on vessels, enabling stable power supply to island regions and military bases with limited power grids. It is also easy to relocate and, in case of accidents, does not cause damage to the mainland.

The challenge was how to commercialize the technology. There was no solution in Denmark. They looked abroad. Although several countries were candidates, they ultimately chose South Korea, a leader in nuclear power and shipbuilding technology.

"South Korea has a very strong tradition and industrial base in nuclear power and marine sectors. Additionally, South Korea has an impressive track record of successfully completing major nuclear projects domestically and internationally within budget and schedule."

Saltfoss co-founder and Chief Technology Officer (CTO) Andreas Vigand Schofield said in a written interview with Asia Economy that this was the reason for selecting South Korea as the preferred negotiation country. South Korea was the first country in the world to receive SMR approval and commercialize it. Their experience building the UAE's first nuclear power plant, Barakah, was also taken into account.

Klaus Negard, CEO of Saltforce Energy (left), and Andreas Bigand, CTO, are photographed inside the research lab at the Denmark headquarters. Saltforce Energy Korea branch.

CTO Andreas Vigand said, "To realize potential, industry leaders, investors, and policymakers must think in decades, not typical five-year cycles, and plan and invest with a long-term perspective."

In 2023, Saltfoss signed a consortium agreement with Samsung Heavy Industries and Korea Hydro & Nuclear Power, and is currently jointly developing a floating nuclear power plant using CMSR. If the consortium's development succeeds, technology enabling stable operation without refueling nuclear fuel for 24 years will be commercialized. Saltfoss aims to commercialize and export power generation facilities with a capacity of 200 MW. There is also potential for the Korea-Denmark joint venture to lead international standards in the CMSR field.

The recently changed company name, Saltfoss, is more intuitive. First, it reflects the use of molten salt (Molten Salt). FOSS describes a powerful waterfall in Old Norse, the language of the Vikings. Through the new clean energy MSR, it implies a continuous production of clean fuel like a waterfall, contributing to humanity.

Saltfoss foresees that SMR development like CMSR will play a crucial role in decarbonization and complement renewable energies such as wind and solar power. They expect that if Saltfoss's technology is applied not only to electricity but also to other energy-consuming sectors, achieving decarbonization goals will be easier.

CTO Andreas Vigand said, "It presents great potential not only for electricity but also for decarbonizing hard-to-abate sectors such as synthetic fuel production, cement manufacturing, and steel production. In conclusion, we can envision a promising future where diverse technologies and deployment strategies are tailored to meet the demands of specific energy markets."