Hyundai Engineering is accelerating its entry into the U.S. nuclear market by signing a long-term cooperation agreement with a next-generation small modular reactor (SMR) developer. The company plans to participate in technical consulting from the initial design phase and expand its collaboration into future nuclear construction projects.
On October 30, Hyundai Engineering announced that it had signed a comprehensive master service agreement (MSA) with First American Nuclear Co. (FANCO) at its headquarters in Gye-dong, Jongno-gu, Seoul, to advance the EAGL-1 project.
The signing ceremony was attended by Hyundai Engineering CEO Lee Han-woo and FANCO Nuclear Program Director George Malone, along with key executives from both companies.
This agreement builds on a preliminary agreement for the EAGL-1 project signed in July, moving it into a more concrete contractual phase.
The MSA establishes common contractual terms and responsibilities for long-term cooperation between the companies. Specific tasks will be defined through individual work orders as projects arise, detailing the scope, duration, and contract amounts.
The contract spans five years, with options for extension based on mutual agreement.
During the contract period, Hyundai Engineering will conduct feasibility studies, provide design and engineering technical consulting, and offer construction-related technical feedback for the EAGL-1 project. The company aims to enhance its potential for future construction participation by incorporating its experience in engineering, procurement, and construction (EPC) from the early design stages.
The EAGL-1, currently under development by FANCO, is a next-generation SMR based on a liquid metal-cooled fast reactor (LMFR) that uses a liquid alloy of lead and bismuth as coolant. It is designed to produce approximately 240 MW of power per single reactor and can be modularly arranged to expand power generation capacity according to demand.
The project also plans to implement a 'Bridge Power' solution, which will initially utilize existing power sources to meet early electricity demands before gradually transitioning to nuclear power. This strategy aims to secure stable power supply facilities, such as large data centers and industrial complexes, as key demand sources.
FANCO is currently advancing procedures for technology commercialization, including submitting a regulatory consultation plan to the U.S. Nuclear Regulatory Commission (NRC).
Through this agreement, Hyundai Engineering has established a foundation for collaboration from the early stages of next-generation reactor development in the U.S. However, the actual awarding of construction contracts and their scale will be determined as the project progresses.
As electricity demand rises due to the expansion of artificial intelligence (AI) and data centers, domestic construction companies participating in next-generation reactor development may see their business scope expand from design and technical consulting to construction.
A Hyundai Engineering representative stated, "We are expanding our global achievements in both large nuclear power plants and the next-generation energy construction market. Through this contract with FANCO, we aim to lead the commercialization of the EAGL-1 project and solidify our leading position in the U.S. SMR market."
* This article has been translated by AI.
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