The Forum on Energy weekly news roundup brings together a mix of global energy stories from around the web. It is published every Thursday and is available on Twitter via @forumonenergy
Areva Reveals Shake-Up
France’s Areva announced its plans to raise up to $9 billion in its restructuring bid. The state-controlled nuclear engineering group will be split into three. A new company, temporarily named New Co. will handle nuclear fuel for power plants, the reactor manufacturing unit will be taken over by the state-controlled utility EDF, and Areva itself will remain a holding company directly handle the already-protracted project to build a nuclear plant in Finland.
GAIN Awards Nuclear Development Vouchers
The U.S. Department of Energy’s Gateway for Accelerated Innovation in Nuclear (GAIN) initiative awarded the vouchers- for which businesses were invited to apply in March- to eight small businesses. In sum, the pilot project is worth $2 million, with each voucher worth somewhere from $50,000-$300,000. The eight businesses selected are Creare, Columbia Basin Consulting Group, Terrestrial Energy USA, Transatomic Power Corporation, Ceramic Tubular Products, Oklo Inc, CompoRex and BgtL, with proposals ranging from the development of novel materials to reactor technologies to energy storage systems.
Source: World Nuclear News
A review of the proposed joint venture between France’s EDF and China’s state-owned CGN by the European Commission determined that CGN is not independent from China’s central administrator for state-owned enterprises. As a result, the Commission, which has exclusive power over antitrust issues in the EU, decided it has the power to decide whether the deal should be cleared. This will set precedent for Chinese state-owned companies seeking to enter the EU through similar deals to face greater scrutiny in the future.
Japanese Analyst Switches from Bullish to Bearish on Nuclear
SMBC Nikko Securities Inc. analyst Hidetoshi Shioda, historically Kansai Electric Power Co.’s most bullish analyst, cut the Japanese utility’s rating to neutral from outperform, and cut his profit forecast and share price target. Before this development, his price target was the highest of 10 analysts who provide price targets on Bloomberg. Shioda reportedly believes that the utility won’t be able to operate any of its nuclear reactors through at least March 2019 as a local court challenge blocks restarts. Kansai Electric shares fell 5.6%.