South Korea signs $920m contract for UAE reactors

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South Korea signs $920m contract for UAE reactors

South Korea signs $920m contract for UAE reactors

Government owned Korea Hydro and Nuclear Power Co.  or KHNP inked a $920m deal with Emirates Nuclear Energy Corporation or ENEC to control four atomic reactors, which are now under development, in Barakah, Abu Dhabi, the first nuclear power station in the country.

This has been the first for the company that has been in the industry offering construction services and nuclear components to be responsible for maintenance and operation of a nuclear operation abroad.

In view of the signed contract agreement, Korea Hydro and Nuclear Power Co.  will dispatch a sum of 3,000 workers to the United Arab Emirates until 2030 – around 210 every year – beginning May, one year from now.

They will be in charge of the operations of four modern power reactor (APR)- 1400 atomic reactors that are under development as a major aspect of UAE’s undertaking to manufacture its first nuclear power station.

ENEC will pay for the work and living expense and other staff costs. The total amount of the deal is assessed to be $920m – $600m in service expenses and $320m for expat packages on lodging and education sponsorships.

Mohamed Al Hammadi, ENEC’s Chief Executive Officer said that ENEC is dedicated to delivering a world-class program on nuclear energy and as we move from construction to operations, we keep on improving, especially in the project management by large.

Cho Seok, president and CEO of KHNP, said: “It is virtually impossible for foreign countries to be enlisted to supervise a nuclear facility. We trust that KHNP will have the capacity to renew operations contract as soon as it expires in the year 2030 to fixate Korean presence in Barakah’s nuclear power plant site.

In 2009, KHNP took part in a consortium led by the state-run Korea Electric Power Corporation (Kepco) that won an the contract to construct four nuclear reactors in the United Arab Emirates. It was the first deal made by Korea’s to send out nuclear reactor technology.

KHNP has finished mounting the first of the four reactors in May, a year ago, after getting things started in July, 2012.

The end of construction of every one of the four reactors will be finished by May 2020.

“The project is instrumental and will bring numerous advantages, from creating job opportunities to the development of the new modern industrial sector. Clean, safe and dependable nuclear energy has a critical part to play in the future.

When these four reactors are done, the Barakah nuclear power plant will have the capacity to produce enough energy to meet almost 25% of the nation’s power requirements.

The new atomic plant will likewise have the capacity to lessen greenhouse gas emissions by up to 12 million tons yearly.