BWXT Nuclear Energy Canada has been awarded a five-year CAD168m $130m) contract extension by Ontario Power Generation to assemble fuel bundles at its Peterborough plant.

The deal, announced on 12 March, extends a manufacturing arrangement to make fuel for the Darlington and Pickering nuclear plants to the end of 2023.  BWXT, formerly known as Babcock and Wilcox, operates the former General Electric-Hitachi nuclear division plant in Peterborough. BWXT bought the plant in 2016 and runs it at the site on a long-term lease with GE.

As part of the contract extension, BWXT's Arnprior operation, near Ottawa, produces zirconium-alloy tubes, while its Toronto facility makes natural uranium pellets. The components are then shipped to the Peterborough plant where they are assembled into fuel bundles.

The Darlington and Pickering plants supply about 35% of Ontario's electricity. BWXT has been manufacturing fuel for OPG since the early 1970s when the first fleet of Pickering reactors came online. Pickering comprises eight Candu reactor, six of which are in commercial operation and Darlington has four Candu units.