[Exclusive] Doosan Selected as Preferred Negotiation Partner for Spent Nuclear Fuel Dry Storage Project

KHNP to Conduct Final Bidding Today
Expecting to Secure Domestic Technology for Dry Storage System

Korea Hydro & Nuclear Power (KHNP) has selected Doosan Enerbility as the design contractor for its dry storage project for spent nuclear fuel (high-level radioactive waste). The government and KHNP are preparing to introduce a dry storage system as the current wet storage system is expected to reach its storage limit starting in 2030. Although the scale of this design contract is only about 30 billion KRW, it has attracted attention from the nuclear power industry as it will influence the multi-trillion KRW dry storage project planned for the future. ▶Refer to our September 7 article titled 'A 30 Billion KRW Nuclear Project with an 8 Trillion KRW Market at Stake... A Decisive Battle Between Korean and French Companies.'

According to KHNP and the nuclear industry on the 20th, KHNP selected Doosan Enerbility as the preferred negotiation partner in the bid for the 'PWR Spent Nuclear Fuel Dry Storage System Comprehensive Design Service' held at its headquarters in Gyeongju that afternoon. KHNP and Doosan Enerbility plan to finalize the contract as early as this month after detailed coordination.

In this project, Doosan Enerbility and the French state-owned company Orano competed until the final stage. Both companies passed the technical evaluation recently conducted by KHNP. Accordingly, KHNP selected the preferred negotiation partner through a lowest bid method. The domestic nuclear industry has been concerned that if a foreign company is selected as the design contractor, technology fees and material costs might be leaked overseas.

This is the first time that a dry storage system for spent nuclear fuel is being introduced domestically. Countries such as the United States, France, Japan, Russia, and China have already adopted this method.

Doosan Enerbility is known to have passed the technical evaluation by demonstrating the technological capabilities secured through a dry storage project jointly conducted with the U.S. nuclear design company NAC. Since signing a joint development agreement with NAC in 2015, the company has been developing related technologies. Since 2020, the two companies have been supplying dry storage casks to the TMI power plant in Three Mile Island, Pennsylvania, USA.

KHNP plans to place actual manufacturing orders to domestic companies after completing the design and licensing processes. Accordingly, the spent nuclear fuel dry storage system is expected to be produced with domestic technology from design to manufacturing. A nuclear industry official explained the significance, saying, “As domestic companies carry out the entire process from design to manufacturing, it lays the foundation for securing dry storage facility technology and also establishes a foothold for future overseas expansion based on domestic achievements.”

Currently, spent nuclear fuel in domestic nuclear power plants is stored using a wet storage method. This method involves placing water in large pools inside containment buildings to shield radiation and forcibly circulating cooling water by supplying power. However, starting with the Hanbit Nuclear Power Plant in Yeonggwang, Jeollanam-do in 2030, the wet storage system will sequentially reach its limit and will no longer be able to store waste.

In response, the government is promoting the introduction of a dry storage system. KHNP plans to build a temporary dry storage system within the power plants to store spent nuclear fuel until a permanent disposal site is selected. This design service pertains to the temporary dry storage system within KHNP, with a total project cost estimated at around 30 billion KRW.

However, since it will play a key role in finalizing specifications applicable to the entire first and second phases of the project and managing the manufacturing process, it has attracted industry attention. The nuclear industry expects the dry storage market within nuclear power plants to reach a total of 3 trillion KRW, and if the permanent disposal project is included, the market is expected to expand to 8 trillion KRW.

This content was produced with the assistance of AI translation services.