The master service agreement – signed at Hyundai E&C’s headquarters in Gye-dong, Jongno-gu, Seoul, on 30 October – advances to the contract stage a framework agreement the two companies signed in July on First American Nuclear Co’s (FANCO’s) EAGL-1 project. A master service agreement is a basic agreement that predetermines common contractual conditions and responsibilities to be applied for continuous cooperation between companies; subsequently, whenever specific tasks arise, details such as the scope of work, duration, and contract amount are finalised through individual task orders.
EAGL-1 is a lead-bismuth cooled fast-spectrum small modular reactor (SMR) designed for factory fabrication and scalable, multi-unit deployment. It can operate in a closed-fuel cycle in which used fuel is continuously reprocessed and reused. FANCO submitted a regulatory engagement plan for the 240 MWe SMR to the US Nuclear Regulatory Commission in April, marking the start of its pre-application engagement with the regulator.
FANCO says its system will focus on mixed-oxide fuel and other transuranic fuels sourced from existing US Department of Energy stockpiles, although the EAGL-1 system is also capable of operating on high-assay low-enriched uranium. This “fuel-agnostic” approach means it can avoid major supply chain bottlenecks while helping reduce the nation’s stockpile of long-term nuclear waste, the company says. Its BridgePower solution offers customers the ability to generate immediate power using off-the-shelf package boilers that feed steam turbines, and later seamlessly transitions to nuclear energy by replacing the boilers with the EAGL-1 reactor, using the same turbine infrastructure, with minimal equipment and modification costs.
Under the framework agreement signed in July, Hyundai E&C and FANCO were to collaborate on the early stages of the project, including the design of the balance of plant (all support components and auxiliary systems of nuclear power generation necessary to deliver energy) for the EAGL-1 nuclear power plant, support for BridgePower solutions, constructability reviews, and modularisation strategies. The partners also planned to explore implementation measures to participate as an engineering, procurement, and construction (EPC) partner in the EAGL-1 Project in the future.
The master service agreement signed between Hyundai E&C and FANCO is valid for five years, but can be extended by mutual agreement. During the contract period, Hyundai E&C will perform tasks related to FANCO’s EAGL-1, including: constructability reviews; design and engineering technical consulting; and provision of technical feedback in the construction sector.
“In particular, it is evaluated that the possibility of future participation in the project construction has been increased by incorporating Hyundai E&C’s EPC know-how from the design stage,” the Korean company said.
In May, FANCO and Canadian engineering firm AtkinsRéalis formed a strategic alliance to establish a scalable framework for deploying FANCO’s EAGL-1 SMR and associated fuel facilities, with AtkinsRéalis providing engineering services.
In a statement, Hyundai E&C said: “Hyundai E&C is expanding its global achievements not only in large-scale nuclear power plants but also in the next-generation energy construction market. Through this contract with FANCO, we will lead the commercialisation of the EAGL-1 Project and further solidify our leading position in the US SMR market.”
Last month, Hyundai E&C announced the signing of memorandums of understanding with US SMR developers NANO Nuclear Energy and ARC Clean Technology.
