Japan's Kawasaki Heavy Industries (KHI) has signed a Memorandum of Understanding with nuclear power maintenance service provider Atox Company Limited regarding the transfer of its nuclear power business to Atox for an undisclosed sum. KHI said it will instead focus on the development of hydrogen technology.
KHI started its nuclear power business in 1969. It has since participated in commercial nuclear power plants, decommissioning/waste treatment, and nuclear new build projects in Japan.
"We have a large number of development and delivery records," the company said. "However, in light of recent changes in the energy market environment, the nuclear power business will be transferred to Atox. In the future, based on this agreement, we will proceed with sincere discussions toward the conclusion of a business transfer agreement."
The transfer excludes projects for which KHI receives orders prior to the closure of the transaction, scheduled to be completed on 1 April next year. The company will provide technical support to Atox until 31 March 2023.
KHI said it will focus on energy and environmental solutions, as set out in the Group Vision 2030 Business Plan. "We will promote hydrogen energy-related businesses," it said.
The company forecasts that the hydrogen market will be worth about USD 2.5 trillion in 2050. It has "already received numerous inquiries about projects from the likes of governments, private organisations, energy companies, and transportation companies in many countries around the world", KHI President and CEO Yasuhiko Hashimoto said in a 2 November presentation about the company's business plan.
Researched and written by World Nuclear News