nuclear-news

Uranium project in trouble – will apply for $2 billion govt loan

Uranium project faces more money quandaries Politico, By DARIUS DIXON | 11/6/13
A major project aimed at maintaining the nation’s ability to enrich its own uranium may soon find itself in another cash crunch.
USEC, the company behind the American Centrifuge Project, said Tuesday that it will enter a period of fiscal uncertainty after the end of the year, when it’s scheduled to finish a cost-share agreement with the Energy Department aimed at demonstrating the project’s technology. The company plans to reapply for a $2 billion loan guarantee from the agency as early as December, but that will leave a gap when USEC may not have the money to keep working on the Ohio project while DOE studies the application.
“In light of our liquidity, we do not have the ability to continue to fund ACP at its current levels beyond the end of 2013 without additional government support,” USEC President and CEO John Welch said Tuesday on a call with investors. “Even with their support, our ability to provide funding in 2014 will be limited.”
He said the company “could make a decision to demobilize or terminate the project in the near term.”…….

November 7, 2013 - Posted by Christina Macpherson | business and costs, Uranium