The financial agreement involves a cash investment on part of IHI Corporation in NuScale Power, in turn it will become a preferred supplier of certain NuScale parts and products to the international nuclear market
IHI Corporation, a heavy-industry and manufacturing company based in Japan has signed an agreement with NuScale Power (a company with expertise in manufacturing small modular reactors) to invest capital and become a strategic global supplier for NuScale products.
IHI Corporation has several decades of experience in manufacturing components for nuclear power plants. However, it has lately been facing a paucity of demand in local markets. IHI President and CEO Hiroshi Ide said: “This strategic partnership with NuScale is a great opportunity for IHI. We want to support the move toward a carbon-neutral economy, and NuScale’s technology is safe, clean, reliable and closest to commercialisation among its competitors. IHI can support rapid deployment of NuScale’s technology by leveraging IHI’s extensive engineering and manufacturing experience in the nuclear industry.”
According to the agreement, IHI Corporation will invest capital in NuScale Power’s research, innovation and development of future projects. In addition to this, IHI Corporation will also supply specialised components manufactured by NuScale Power to markets and clients around the world.
NuScale Chairman and CEO John Hopkins said: “IHI’s welcome investment in NuScale Power compliments our effort to demonstrate how cleaner and safer advanced nuclear technology can bring numerous economic and environmental benefits to countries around the world as we all transition to clean energy. This announcement truly emphasizes the growing Japanese and global interest in NuScale’s innovative SMR design, and this new partnership is an exciting step for our technology and its international potential.”
IHI Corporation is the second Japanese conglomerate to take an active part in NuScale Power. Early last month, another major Japanese corporation, JGC Holdings announced a similar collaboration with NuScale Power. They announced an investment of €33 million in NuScale Power and also in exploring integrating SMRs with renewable energy, hydrogen production and seawater desalination.