EQS-News: Essel Group ME / Key word(s): Miscellaneous
Essel Group Middle East makes strategic investment in lead-cooled nuclear
reactors
20-Oct-2016 / 11:31 GMT/BST
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20 October 2016
Essel Group Middle East makes strategic investment in lead-cooled nuclear
reactors
Essel Group Middle East ("EGME") has reached an agreement with LeadCold
Reactors ("LeadCold"), the Swedish-Canadian lead-cooled small nuclear
reactor technology company, to invest USD 18 million in the Group.
EGME's investment forms part of the company's strategic ambition to build
out its presence in the energy resources market globally and to deploy
capital where Management sees strong long-term fundamental needs for the
resources product.
LeadCold's Swedish Advanced Lead Reactor, or SEALER design can generate
low-carbon nuclear power production of 3-10 MW of electricity over a 10-30
year period, with no refuelling needs. The reactor uses break-through
corrosion resistant technology, and it is a safe, reliable and cost-
competitive base-load power generation source.
Gagan Goel, Managing Director of EGME, said: "This investment marks another
important step forward in the development of our energy resources business.
The SEALER unit that LeadCold Reactors has developed is an exciting
innovation, representing a world first in lead-cooled reactor technology.
We see a solid long-term investment opportunity from the commercialisation
of this unique reactor technology in the off-grid power generation market."
The investment from EGME is intended to enable LeadCold to complete a pre-
licensing design review of SEALER with the Canadian Nuclear Safety
Commission, and to aid R&D efforts necessary to obtain a license to build
commercial SEALER units in Canada. LeadCold intends to enter Phase 1 of the
pre-licensing review this year, with the eventual license for construction
to be granted by the end of 2021.
The SEALER units are intended for commercial off-grid use, for example in
Arctic communities and mining operations, where at present carbon-emitting
and costly diesel generators are the predominantly used base-load
generation technology.
The company is looking to launch its advanced technology across Canada's
Nunavut region, where it has identified an over-reliance on diesel, and
potentially across the Northwest Territories in the future, with its first
unit scheduled to be operational by around 2025. LeadCold estimates the
Nunavut region has energy needs of approximately 200 GWh, and the Northwest
Territories around twice this amount. In addition, the company sees scope
for reactor usage across Canada in up to 40 mining sites, which could use
2-4 reactors per mine.
Janne Wallenius, CEO and founder of LeadCold, said: "We are pleased to have
reached this agreement with Essel Group ME. The investment represents a
major funding milestone as we enter the initial phase of the Canadian pre-
licencing review process and will bolster our R&D capabilities."
-ENDS-
For further information please contact:
<pre>
Kriti Ladsaria, Essel Group Middle +971 4 2793955
East
Dorothy Burwell / Charles O'Brien / +44 20 7251 3801
Benita Barretto, Finsbury
</pre>
About Essel Group Middle East
Essel Group Middle East ("EGME") is a diversified natural resources company
with a focus on the exploration, development and production of oil, gas and
mining assets. The group targets assets in proven basins with near-term
production potential and it has operations in Kenya, Guinea, Ghana,
Liberia, Chad and Eritrea. EGME is backed by Essel Group, a global
conglomerate with a 40-year history spanning numerous industries including
the media, packaging, entertainment, infrastructure, education and metals.
For further information, please visit www.esselgroupme.com.
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513137 20-Oct-2016
EQS-News: Essel Group Middle East makes strategic investment in lead-cooled nuclear reactors
| Source: EQS Group AG