South Korea has announced plans to invest up to $120 billion in the construction of eight nuclear reactors in the United States. The investment is part of a broader $200 billion package being negotiated with the US, which also includes an Alaska LNG project and a large gas-fired power plant in Texas. The nuclear programme is expected to deliver up to 10.2 GW of new generating capacity.
The fleet of reactors will combine six Westinghouse AP1000 units with two reactors based on South Korea's APR1400 design. The AP1000 is a Generation III+ pressurised-water reactor already operating at Vogtle Units 3 and 4 in Georgia. The APR1400, also a Generation III+ design, has been deployed domestically in Korea and exported to the United Arab Emirates.
The programme is structured as a phased rollout, with an initial phase potentially comprising two AP1000 units followed by additional AP1000 and APR1400 units. The selection of sites is currently underway, with potential locations under discussion including sites in Texas, South Carolina, and Florida. However, no specific project sites have been confirmed.
The nuclear component forms roughly 60% of the broader $200 billion South Korean investment package. The investment is expected to give Korean firms a pathway to participate in US nuclear projects while retaining a role for Westinghouse technology. The deal also signals strong intent from South Korea to expand its presence in the US energy market.
South Korea is also exploring an equity stake in Westinghouse, although reports suggest the share would be below the 15% level previously sought. Final terms of the deal remain unsettled. The actual construction of any reactor will depend on securing project-level contracts, financing structures, and meeting long-lead equipment timelines that can span several years.
The investment in US nuclear reactors is part of South Korea's efforts to expand its presence in the global energy market. The country has been actively seeking opportunities to invest in energy projects abroad, including in the US. The deal is also expected to strengthen ties between South Korea and the US.
While the framework signals strong intent, the actual construction of any reactor will depend on several factors, including securing project-level contracts and financing structures. The US nuclear regulatory approvals will also be required before construction can begin. The investment is expected to have a significant impact on the US energy market.
Key points
- South Korea plans to invest up to $120 billion in eight US nuclear reactors.
- The investment is part of a broader $200 billion package being negotiated with the US.
- The programme is expected to deliver up to 10.2 GW of new generating capacity.
