SEOUL, June 05 (AJP) - The state-run Korea Hydro & Nuclear Power (KHNP) has finalized a landmark agreement to construct two next-generation nuclear reactors in the Czech Republic — marking the country’s first overseas nuclear project in 16 years.
The agreement, signed June 4, paves the way for the construction of two reactors at the Dukovany site in southern Czechia. Valued at approximately 26 trillion won (around $17 billion), the deal is South Korea’s first major nuclear export since its 2009 contract to build the Barakah plant in the United Arab Emirates, and its first such project in Europe.
Czech Prime Minister Petr Fiala announced the deal’s completion shortly after the Czech Supreme Administrative Court lifted a lower court’s injunction that had temporarily blocked the signing.
“The government has concluded the final contract with KHNP,” Fiala said, formally welcoming South Korea into the European nuclear sector.
In May, France’s state-owned energy company EDF filed a last-minute injunction seeking to delay the contract’s finalization, citing procedural concerns. A Czech district court granted the motion, forcing a 24-hour postponement of the planned signing — even as South Korea’s Industry Minister, Ahn Duk-geun, had already arrived in Prague.
KHNP and Czech utility CEZ, the parent of Dukovany operator EDU II, swiftly appealed. The Supreme Administrative Court overturned the injunction on June 4, enabling both parties to finalize the previously prepared electronic contract. While EDF’s broader legal challenge — including a separate complaint lodged with the European Commission over alleged violations of foreign subsidy regulations — remains pending, the KHNP agreement is now legally binding.
The Dukovany project is central to the Czech Republic’s long-term energy strategy, which aims to boost energy security and phase out coal. The government plans to construct as many as four new nuclear units by 2050.
The current deal covers Dukovany Units 5 and 6, with an option to extend the partnership to two additional reactors at the Temelín site, subject to future approvals.
Described by Czech officials as the largest energy infrastructure project in the country’s modern history, the deal follows nine months of negotiations and over 200 bilateral meetings.
KHNP will lead a full EPC (engineering, procurement, and construction) effort, with support from a Korean industrial consortium dubbed “Team Korea” — comprising Korea Electric Power Technology, Doosan Enerbility, Daewoo E&C, KEPCO Nuclear Fuel, and KEPCO Plant Service & Engineering.
The project’s execution phase will begin with a kickoff meeting between KHNP and EDU II. KHNP has already begun establishing an on-site office and deploying internal systems to manage permitting, documentation, and scheduling. The company also plans to host briefings for Korean subcontractors later this year, outlining standards and procurement procedures. Construction of Dukovany Unit 5 is expected to begin in 2029, pending final regulatory approvals.
Hwang Joo-ho, president and CEO of KHNP, hailed the agreement as “a testament to the technological excellence and global confidence in Korean nuclear capability.”
He said the company intends to leverage this momentum to broaden South Korea’s nuclear export portfolio while promoting safe, low-carbon energy solutions.
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