Centrus enters MOU for uranium enrichment investment

Centrus Energy has signed a memorandum of understanding with two South Korean companies to explore investment in Centrus’ uranium enrichment facilities at the Department of Energy’s Portsmouth Site in Piketon, Ohio.

The MOU between Korea Hydro and Nuclear Power (KHNP), POSCO International and Centrus is non-binding. But the deal also calls for the three companies to explore additional opportunities to collaborate, such as additional supply agreements for low-enriched uranium (LEU) and high-assay low-enriched uranium (HALEU) for future nuclear reactors, according to the Centrus Monday press release.  

South Korea has the fifth most nuclear reactors in the world with 26 all operated by KHNP. South Korea also has four additional reactors under construction, making KHNP the third largest nuclear plant operator, according to the press release.

POSCO is an international trading and energy infrastructure development company that is working to develop a next-generation high-temperature gas reactor powered by HALEU.

Along with the MOU, Centrus and KHNP also agreed to increase the supply volume of LEU under a contract they signed in February.

The February supply contract was signed to back the construction of a new uranium enrichment capacity at Centrus’ American Centrifuge Plant in Piketon, Ohio. The supply commitment, including the expanded uranium volumes, is contingent on Centrus receiving necessary federal funding to build the new LEU production capacity, according to the press release.

Secretary of Commerce Howard Lutnick and South Korea’s Minister of Trade, Industry and Energy Kim Jung-kwan attended the signing of the MOU that should deepen cooperation between the two nations in civilian nuclear energy, Centrus said.

South Korea is seen as “one of the largest potential export markets for U.S. enriched uranium,” Centrus said. This comes as South Korea is disallowed from uranium enrichment based on the Korea-U.S. Atomic Energy Agreement, a 123 Agreement.