Japan Joins Jordan's Efforts in Nuclear Development

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Researched by Industrial Info Resources (Sugar Land, Texas)--The future of Jordan's atomic energy policy is ripe for development, with the first research nuclear reactor on the way from Daewoo Engineering and Construction Company Limited (SEO:047040) (Seoul, South Korea) and the Korea Atomic Energy Research Institute (KAERI) (Daejeon, South Korea), paving the way for the country's first nuclear power stations. Tentative plans have Jordan's first nuclear power station set for completion toward the end of 2018, and the Jordan Atomic Energy Commission (Amman, Jordan) plans to announce the tender of its choice for reactor supplier by next spring. Major players involved in the bidding include Canadian and Russian firms, and Atmea (Paris, France), which is a 50:50 joint venture between Mitsubishi Heavy Industries (TYO:7011) (Tokyo, Japan) and Areva S.A. (EPA:CSI) (Courbevoie, France).

Atmea immediately began designing and developing the ATMEA-1, a 1,100-megawatt Generation III, mid-size, pressurized water reactor, which became available for licensing applications last December.

Since the 1950s, Japan and Jordan have had friendly relations. Jordan has been at the forefront of the Middle East peace process, and Japan has actively extended assistance over the years. In April, Jordan entered into talks with Japan regarding nuclear power generation. Jordan's King Abdullah II told Japan's then-Prime Minister Yukio Hatoyama about his desire to work with Japan to establish Jordan's nuclear sector. Not too long after the King's visit, however, Hatoyama stepped down, possibly hurting the chances of an alliance.

Last week, Japanese Prime Minister Naoto Kan expressed his sincere wish to extend as much assistance to Jordan in regard to nuclear power stations during the visit of Jordanian Prime Ministrer Samir Rifai. This follows the September 10 signing of a nuclear treaty pact between Jordan and Japan in hopes of boosting Atmea's chances of gaining the tender next year.

On Friday, Japan also announced the establishment of International Nuclear Energy Development of Japan Company Limited (JINED), a consortium of 13 Japanese companies aiming to win nuclear projects overseas. Among them is Mitsubishi Heavy Industries, the Japanese parent company of Atmea. The possibility of Atmea gaining Jordan's tender coupled with the failure to win the contracts for the United Arab Emirates' first nuclear power stations has driven the establishment of JINED. Korea Electric Power Corporation (NYSE:KEP) (Seoul) won the contracts from the United Arab Emirates in December of last year.

The other 12 companies involved in JINED, to be formally established on October 22, are as follows:

• Hokkaido Electric Power Company Limited (TYO:9509) (Sapporo, Japan)
• Tohoku Electric Power Company Limited (TYO:9506) (Sendai, Japan)
• Tokyo Electric Power Company Limited (TYO:9501) (Tokyo)
• Chubu Electric Power Company Limited (TYO:9502) (Nagoya, Japan)
• Hokuriku Electric Power Company (TYO:9505) (Toyama, Japan)
• Kansai Electric Power Company Limited (TYO:9503) (Osaka, Japan)
• Chugoku Electric Power Company Incorporated (TYO:9504) (Hiroshima, Japan)
• Shikoku Electric Power Company Limited (TYO:9507) (Takamatsu, Japan)
• Kyushu Electric Power Company Limited (TYO:9508) (Fukuoka, Japan)
• Toshiba Corporation (TYO:6502) (Tokyo)
• Innovation Network Corporation of Japan (Tokyo)

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