Nothing can jeopardize final deal for Czech Dukovany project, says KHNP’s Prague office head

Nothing can jeopardize the final deal to build nuclear units at Dukovany, according to Min Hwan-chang, head of the Prague office of South Korean company KHNP. The company wants to begin working immediately with project investor Elektrárna Dukovany II (EDU II) on the next steps in preparing the project. Min Hwan-chang told reporters today.

EDU II and KHNP signed the final contracts for the construction of two nuclear units at Dukovany on Wednesday afternoon. The project still requires notification from the European Commission (EC). The Ministry of Industry and Trade is dealing with the Commission on this matter, primarily. The state had already received EC notification concerning one unit, but had to apply for a new one after deciding to build two units. The previously obtained notification will serve as a model, according to the ministry. “I believe it won’t be a problem to obtain it,” EDU II head Petr Závodský said of the notification on Wednesday.

South Korea’s KHNP won the nuclear tender last year, with the government preferring its bid over those of EDF and Westinghouse. The first unit at Dukovany is expected to be completed in 2036. The construction of new nuclear units in Czechia is expected to be the country’s largest-ever contract. At current prices, the cost of the currently preferred plan to build two reactors at Dukovany is 407 billion crowns.

“After signing the contract, KHNP will work closely with EDU II on detailed design and obtaining licences. In the coming months, we plan to open a construction office at Dukovany and mobilize qualified staff,” Min Hwan-chang said, describing the next steps.

The Korean company also plans to immediately expand cooperation with domestic suppliers by holding a supply chain management conference and offering support with the registration of qualified suppliers through the Localization Center, which is operated directly by KHNP. “Our goal is to achieve 60 percent localization over the course of the entire project through fair and transparent procurement,” the head of KHNP’s Prague office said.

He also reiterated the Korean company’s commitment to build the nuclear units on schedule and within budget.

The framework contract signed on Wednesday covers two agreements. The first is for the construction of two nuclear units at Dukovany, while the second covers the supply of nuclear fuel. The contract for the construction of the Dukovany units also includes an agreed option to build two additional units at Temelín.