The BBC reports that the plan to build a nuclear power station in Cumbria, UK, has been put on hold while NuGen, the company developing it, carries out a strategic review.
NuGen was set up and co-owned by Engie and Toshiba, but last month Toshiba bought Engie’s stake under a contract stipulation triggered by the extraordinary change in circumstances (the Chapter 11 status of Toshiba subsidiary Westinghouse) giving it 100% control. This led to NuGen’s announcing the pause.
The £10m scheme, near Sellafield, has been dogged by uncertainty as it was rumoured Toshiba would withdraw from all nuclear operations outside Japan due to its announced multibillion-dollar losses. Further doubt entered when Westinghouse, which was set to provide the reactors, applied for Chapter 11 bankruptcy protection.
In a statement, NuGen said it was "undertaking a strategic review of its options following shareholder and vendor challenges". It commented: "The Moorside project remains a key infrastructure project focused on creating employment and economic prosperity in Cumbria and across the North."
Michael Starkie, mayor of the local authority Copeland, described the project as "crucial" to creating jobs in the area. He said: "I am reassured that the reasoning behind the strategic review is to ensure the project is on the right track and the commitment to its delivery is assured."
