Hyundai Engineering & Construction announced on the 21st that on the 19th local time it signed a business agreement with TerraPower and HD Hyundai Heavy Industries at Goldman Sachs’ headquarters in New York, United States, for the commercial deployment of the next-generation reactor “Natrium.” The move is aimed at expanding its business scope into fourth-generation nuclear power following large nuclear power plants, small modular reactors (SMRs), and nuclear decommissioning.

Attendees at the signing included Choi Young, Executive Vice President of Hyundai E&C’s New Energy Business Division; Chris Levesque, CEO of TerraPower; Kang Seok-joo, Executive Vice President of HD Hyundai; and Won Kwang-sik, Vice President of HD Hyundai Heavy Industries. The three companies agreed to discuss cooperation measures for TerraPower’s Natrium project currently under way in the United States and for expanding the subsequent commercial nuclear power plant market.

TerraPower is a U.S. nuclear power company that holds fourth-generation nuclear technology based on a sodium-cooled fast reactor using liquid sodium as a coolant. The Natrium reactor is to be applied to “Kemmerer Unit 1,” which is being pursued in the Kemmerer area of Wyoming. In March, the U.S. Nuclear Regulatory Commission approved a construction permit for Kemmerer Unit 1. This is regarded as the first commercial reactor construction permit issued in the U.S. in about 10 years and the first construction permit for a non-light-water reactor in more than 40 years.

TerraPower announced the groundbreaking of Kemmerer Unit 1 in April. However, several challenges remain before next-generation nuclear power can reach commercialization, including operating licenses, fuel supply, and construction cost management. Industry observers view that while the Natrium reactor may have advantages in terms of modularization and operational flexibility, its actual economic viability will depend on repeated construction of follow-up projects and the stabilization of the supply chain.

HD Hyundai Group participated in Natrium technology development by investing USD 30 million in TerraPower in 2022. HD Hyundai Heavy Industries is continuing its collaboration with TerraPower, including taking charge of manufacturing the reactor vessel for Kemmerer Unit 1.

Through this agreement, Hyundai E&C is exploring the possibility of participating in EPC for subsequent commercial Natrium units. The company plans to expand its role in the U.S. nuclear power market based on its experience in constructing large nuclear plants, including the Barakah Nuclear Power Plant in the UAE, and its capabilities in SMR projects.

A Hyundai E&C official stated, “This agreement represents a meaningful step in expanding our nuclear power value chain by laying the groundwork for participation in fourth-generation reactor projects,” adding, “By combining TerraPower’s advanced nuclear technology, HD Hyundai Heavy Industries’ manufacturing capabilities, and Hyundai E&C’s EPC execution capabilities, we will respond to growing global power demand.”

With the spread of AI data centers driving higher power demand, SMRs and next-generation nuclear power are increasingly cited as among the stable power supply sources. However, as variables remain on the path to commercialization—such as licensing, supply chains, and verification of economic feasibility—this agreement is interpreted as Hyundai E&C consolidating a cooperation base in the U.S. next-generation nuclear power market.

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