Bulgaria's N-plant prepares to close old reactors

["Sandy Perle" <sandyfl@earthlink.net>]

Bulgaria's N-plant prepares to close old reactors

KOZLODUY, Bulgaria, June 16 (Reuters) - Bulgaria's nuclear power 
plant at Kozloduy is getting ready to close down two of its oldest 
reactors as promised to the European Union and to modernise the four 
remaining, its chief said on Friday 

``We are preparing for the closure of reactors one and two in 2002 or 
2003,'' Executive Director Yordan Yordanov told a news conference. 

Bulgaria, which started talks on joining the EU in March, had bowed 
to its pressure and agreed to close the two 440-megawatt reactors at 
the Soviet-designed plant before 2003. They were previously due to 
close in 2004 and 2005 respectively. 

A final decision over closing the a further two ageing reactors will 
be taken after Bulgaria updates its energy strategy in 2002 and 
negotiates with the European Commission. 

The understanding of the commission is that final closure of these 
reactors takes place in 2006 at the latest, officials have said. The 
current energy strategy of the Balkan country envisages shutdowns in 
2008 and 2010. 

But Yordanov said reconstruction of reactors three and four would 
continue, indicating that Bulgaria might want to keep them going for 
longer. 

``After their reconstruction we hope that they will reach an 
internationally acceptable safety level and we will be permitted to 
operate them to the end of their operational life,'' he said. 

Bulgaria gets almost half of its energy from the 3,760-megawatt 
Kozloduy plant, located some 200 km (120 miles) north of Sofia on the 
Danube River. 

The plant also has two more modern 1,000-megawatt reactors and two 
weeks ago the European Commission signed a 212.5 million euro ($223 
million) loan to help modernise them. 

The overall modernisation programme will cost 490 million euros and 
the balance of its cost is to be covered by U.S. and Russian credits 
and by plant's own funds, Yordanov said. 

Most of the work is carried out by a consortium, comprising Germany's 
Siemens AG, France's Framatome and Russia's Atomenergoexport. The 
remaining will be performed by U.S.-based Westinghouse. 

``We have already started the modernisation with our own funds and 
hope to be awarded a $90 million credit from a Russian bank within 
two months and another loan from a U.S. lending institution,'' 
Yordanov said. 

The plant, which was set up as a legal entity separate from the 
National Electricity Company (NEC) on April 28, has agreed with the 
NEC ``favourable prices'' for its production. Kozloduy plans to 
produce 17 billion kilowatt hours this year. 

Yordanov said prices agreed with the NEC, which is the country's 
single buyer under a programme for restructuring the energy sector, 
would help the Kozloduy plant make a profit this year and carry out 
its overhaul projects. 

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Sandy Perle					Tel:(714) 545-0100 / (800) 548-5100   				    	
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