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Nuclear Power

Sunday
08 Jun 2025

KHNP Sets Out Plans for USD18.6bn Czech Nuclear Project

08 Jun 2025  by world nuclear news   
Korea Hydro & Nuclear Power (KHNP) is preparing to initiate subcontract agreements and set up a project office at Dukovany following the official signing of an engineering, procurement and construction (EPC) contract to build two APR-1000 nuclear reactors in the Czech Republic. The project is valued at CZK 407 billion (USD 18.6 billion) and aims to commence construction in 2029.

The contract was signed shortly after the Czech Supreme Administrative Court annulled a previous court injunction related to a legal challenge by EDF. The court prioritized public interest in timely project execution.

KHNP was selected in July 2024 as the preferred bidder for constructing two new units adjacent to the current Dukovany Nuclear Power Plant, located around 200 kilometers southeast of Prague. The project owner is Dukovany II Nuclear Power Plant (EDU II), which is 80% owned by the Czech government and 20% by CEZ. The EPC contract also includes a fuel supply agreement covering the initial fuel load and five refills, spanning about ten years.

Further expansion is under consideration, with two additional units at Temelín Nuclear Power Plant being evaluated. KHNP has indicated readiness to sign future contracts for those units, pending government decisions and additional negotiations.

As the main contractor, KHNP will collaborate with its Team Korea partners: KEPCO E&C (design), Doosan Enerbility and Daewoo E&C (equipment and construction), KEPCO NF (fuel), and KEPCO KPS (commissioning and maintenance). Full-scale project execution will follow a kick-off meeting. KHNP will also hold two briefings in 2025 for Czech suppliers and has started developing a digital construction management system.

A site office will be established at Dukovany to coordinate site surveys and early-stage tasks. EDU II and KHNP will jointly conduct design, licensing, and pre-construction work targeting the 2029 construction start of Unit 5.

Czech Industry and Trade Minister Lukáš Vlček confirmed that Czech participation will start at 30% and rise to 60% by project completion. A framework agreement involving Škoda Power, KHNP, and Doosan was signed for supplying the turbine hall and steam turbine, accounting for up to 15–20% of the total contract value. This will engage various Czech subcontractors.

For South Korea, this project marks its second nuclear export success after the Barakah project in the UAE. KHNP President Hwang Joo-ho stated: “This contract is a testament to the international recognition of Korea’s nuclear technology and credibility.”

A legal case from EDF regarding the tender process is still pending, with a hearing scheduled for 25 June. EDF argues that KHNP’s bid may involve unpermitted state support. The European Commission is reviewing whether foreign subsidies were involved. KHNP denies the claims and supports the Czech court’s decision, while the Czech government states the contract does not fall under current EU subsidy regulations.

Currently, the Czech Republic generates about one-third of its electricity from nuclear sources, primarily from Dukovany and Temelín plants.

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