Contract negotiations under way for Texas reactors

Mitsubishi Heavy Industries (MHI) and Comanche Peak Nuclear Power Company are in the process of negotiating engineering and procurement contracts and a preliminary construction plan for the proposed construction of two new reactors at the Texas site. The negotiations follow the signature of a memorandum of understanding (MoU) by the two companies on 1 July. The negotiations are expected to "significantly advance project development", according to the two companies, who are also in active discussions with US and Japanese financial institutions over financing for the project. Comanche Peak Nuclear Power, a joint venture of Luminant Generation Company and MHI, will own the two units as well as overseeing their development and construction. Luminant and MHI's US subsidiary Mitsubishi Nuclear Energy Systems are also involved in the MoU. Luminant submitted a combined construction and operating licence (COL) application to the US Nuclear Regulatory Commission (NRC) in September 2008 for the construction of Comanche Peak units 3 and 4 using MHI's US-Advanced Pressurised Water Reactor (US-APWR) design. The reactor design itself is still undergoing certification by the NRC.