HD Hyundai said on the 21st that its institutional sector shipbuilding affiliate HD Hyundai Heavy Industries signed a "framework agreement (FA) for the supply of sodium reactors" with TerraPower, a U.S. next-generation small modular reactor (SMR) corporations.
Under this agreement, HD Hyundai Heavy Industries became the preferred bidder to manufacture and supply TerraPower's core facilities for the reactor equipment set (RES) of the sodium reactor. The agreement is an extension of the "strategic agreement to expand the manufacturing supply chain for the commercialization of sodium reactors" signed in Mar. last year, under which studies have been conducted on manufacturing feasibility, price competitiveness, and delivery schedules.
A sodium reactor refers to the Generation IV sodium-cooled fast reactor (SFR) developed by TerraPower. It generates electricity by cooling the heat produced by nuclear fission using fast neutrons with liquid sodium.
Generation IV nuclear plants are reactors that significantly improve sustainability, safety, reliability, and cost-effectiveness compared with the currently operating Generation III, and are classified by coolant type into SFR, molten salt reactor (MSR), and others. The SFR is a reactor type with high safety and power generation efficiency and produces less nuclear waste than existing reactors.
HD Hyundai plans to use the successful execution of the demonstration project as a springboard to expand business cooperation to commercial models.
Won Gwang-sik, head of the Offshore Energy Business Division at HD Hyundai Heavy Industries, said, "The signing of this agreement will not only strengthen the strategic partnership with TerraPower but also provide an important foundation for entering the global SMR market," adding, "We will secure global competitiveness by supplying sodium reactor equipment in a timely manner and establishing a continuous production base."
Chris Levesque, chief executive of TerraPower, said, "Through this partnership, we have been able to establish a foundation for the commercialization of sodium nuclear plants worldwide, including in the United States," adding, "Based on HD Hyundai's expertise and strong capabilities, we will be able to supply reliable and economical nuclear energy at scale."
On the same day, HD Hyundai also signed a "three-party business agreement for cooperation on next-generation sodium reactor projects" with TerraPower and Hyundai Engineering & Construction. Through this agreement, HD Hyundai will, together with Hyundai Engineering & Construction, carry out engineering, procurement, and construction and establish a base for supplying key equipment and materials, and plans to actively respond to next-generation nuclear power projects in the U.S. and global markets.