As the Donald Trump administration pushes to strengthen its domestic nuclear fuel (enriched uranium) supply chain, Korea will enter into a contract to secure additional U.S. nuclear fuel. Currently, it imports enriched uranium from France (38%), Russia (32%), the United Kingdom (25%), and China (5%).
According to the nuclear power industry on the 23rd, Korea Hydro & Nuclear Power will sign a revised nuclear fuel supply contract with Centrus in Washington, D.C., next week. The method will change from the existing 'conditional additional supply' to 'fixed quantity supply.'
KHNP signed a contract to receive nuclear fuel from Centrus for a decade in February. Given the current contract method, it may be difficult for KHNP to secure additional quantities of nuclear fuel depending on Centrus's inventory status. Changing to a fixed quantity supply method is expected to increase the overall supply volume. Recently, with the advancement of artificial intelligence (AI), electricity usage has risen, and with international tensions remaining unstable, the demand for uranium is on the rise.
Founded in 2023, Centrus is the only corporation approved by the U.S. Nuclear Safety And Security Commission (NRC) to produce high-purity low-enriched uranium (HALEU) used in next-generation reactors and small modular reactors (SMRs). This marks the first time in 70 years that the U.S. has embarked on domestic uranium extraction.
Centrus successfully produced an initial batch of 20 kgU (kilograms of uranium) of high-purity low-enriched uranium at its facility in Pike County, Ohio, in November 2023, and has since entered mass production of 900 kgU worth of high-purity low-enriched uranium annually.
The U.S. has resumed nuclear fuel production as a measure to reduce reliance on Russia. The country accounts for about 35% of global enriched uranium exports (as of 2023). To this end, President Trump issued an executive order in May directing the reconstruction of the U.S. nuclear fuel supply chain and announced plans to ban imports starting January 2028.
If this contract is signed, KHNP is expected to diversify its nuclear fuel suppliers, thereby enhancing the stability of its fuel supply.
A source familiar with the matter noted, 'This contract is a measure to strengthen Korea-U.S. resource security and nuclear power collaboration,' adding, 'As the U.S. pushes to build 100 reactors, Korea is expected to benefit as a nuclear partner of the free world.'