Japan's 912-Megawatt Tomari-3 Nuclear Reactor to Begin Commercial Operations by December 2009

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Researched by Industrial Info Resources (Sugar Land, Texas)--The three-loop Tomari 3 pressurized water reactor (PWR) at the Hokkaido nuclear power station in Japan will begin commercial production by December of this year. The Hokkaido Electric Power Company (TYO:9509) (Hokkaido, Japan), which will manage and operate the plant, began construction of the nuclear reactor in early 2003. The Tomari 3 reactor went critical on March 3, 2009, and is expected to generate about 912 megawatts (MW) of power. The nuclear power station, located on Japan's northernmost Hokkaido Island, consists of two other nuclear reactors, Tomari 1 and Tomari 2, each with a capacity of 579 MW, which went critical in 1989 and 1991, respectively.

The three-loop PWR technology reactor delivered by Mitsubishi Heavy Industries Limited (TYO:7011) (MHI) (Tokyo, Japan) will be the last in the series of second-generation nuclear technology implemented in Japan. PWR technology, which is a popular choice globally, is based on the use of pressurized water as a coolant in the reactor. The primary reactor unit collects heat generated in the reactor, while the secondary turbine system produces electricity from the steam collected in the reactor unit. In May 2006, Japan's government proposed to develop fast breeder reactors (FBR) as the next generation nuclear reactor technology in the country, and named it the "Basic National Technology." FBR technology uses liquid sodium as coolant and produces more nuclear fuel than it utilizes.

In April 2007, MHI was selected to design and develop FBR reactors in the country. The firm set up Mitsubishi FBR Systems (Tokyo, Japan) that year to carry out dedicated research, engineering and prototyping activity in this area. Mitsubishi FBR has indicated that its FBR demonstration unit will be ready by 2025 and the first commercial reactor is expected to go critical in 2050. While Mitsubishi has been involved in the development of the FBR technology since the 1960s, the Japanese government also set up an experimental FBR reactor in Joyo and a prototype FBR at Monju. The FBR technology will eventually replace the PWRs and Light Water Reactors in the country.

Japan, which imports about 80% of its total energy needs, has no proven uranium reserves of its own. The country presently has 53 nuclear reactors, which cater to 30% of the country's total power demand. The contribution of nuclear power to the country's energy mix is expected to be around 37% this year and 41% by 2017. The country also has three nuclear reactors, including Tomari 3, in various stages of construction and commissioning, which will add 3,300 MW of nuclear power generation capacity. Japan also plans to develop 13 additional nuclear power plants with a combined generation capacity of 17,915 MW.

In its bid to ensure sustained nuclear fuel security, the country is focusing on developing plants that will produce Mixed-Oxide (MOX) fuels. MOX fuels are blended oxides of plutonium and uranium, which can be used as an alternative to low-enriched uranium fuel. MOX fuels are produced by recycling the spent fuel in a reactor, and burning the uranium and plutonium recovered from this process. The utilization of MOX fuels is an effective way to dispose of weapons-grade plutonium and uranium, which otherwise would be classified as nuclear waste. This technique is also expected to considerably reduce environmental pollution. The Hokkaido Electric Power Company has written to the Ministry of Economy, Trade and Industry for permission to use up to 40% MOX in the Tomari 3 nuclear power plant. Japan has proposed to use MOX in at least 33% of its nuclear reactors by 2010. Recently, Japan Nuclear Fuel Limited (Rokkasho, Japan) announced plans to develop a MOX processing plant at Rokkasho in Amoro prefecture. The plant is expected to begin commercial operations by 2015.

Because of a lack of domestic uranium resources, Japan has been looking at acquiring stakes in uranium reserves overseas. In a recent development, a consortium of Japanese companies led by Toshiba Corporation (TYO:6502) (Tokyo, Japan) commenced operations at the $480 million Khorasan I uranium mine project in southern Kazakhstan. The mine is being developed in association with Canadian company Uranium One Incorporated (TSX:UUU) (Vancouver, British Columbia) and Kazakh state-controlled Kazatomprom (Almaty). The mine, which is estimated to have reserves of 80,000 tons, will produce about 180 tons of uranium this year. Upon full commissioning by 2014, the mine will yield about 3,000 tons per year of uranium, of which 2,000 tons per year will be supplied to Japan to feed its nuclear power plants.

In February of this year, Toshiba Corporation, Japan Bank for International Cooperation (Tokyo), and Tokyo Electric Power Company Incorporated (TYO:9501) (Tokyo) invested $220 million to purchase 117 million shares of Uranium One. The agreement, which gave the consortium a stake of 19.95% in the company, also included the option to buy 20% of Uranium One's annual production. Uranium One has mining interests in South Africa, the U.S., Kazakhstan and Australia.

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