USEC, Taiwan Power Sign Fuel Supply Contract

Bethesda, MD - USEC Inc. has signed a contract valued at more than $200M with Taiwan Power Company to supply enriched uranium fuel to the utility's eight nuclear power reactors. Company adds that the new contract to supply the Taipei-based utility with enriched uranium fuel runs from 2009 through 2013.

"This new contract enhances USEC's longstanding relationship with Taipower and underscores our commitment to provide utilities with a reliable, competitive source of enriched uranium fuel for years to come," said John M.A. Donelson, USEC vice president, marketing and sales. "This strong commercial agreement is also a great example of the industry's support for USEC's next generation American Centrifuge uranium enrichment plant to be built in Piketon, Ohio."

According to USEC Inc., USEC is in the process of demonstrating and deploying the American Centrifuge, which will replace its existing gaseous diffusion technology and it is believed to be the most efficient uranium enrichment technology. The American Centrifuge Plant will use modular architecture that allows capacity to be added, thus allowing USEC to meet the growing demand for nuclear fuel. Enrichment is the process by which the concentration of the fissionable uranium isotope is increased in order to make fuel for nuclear power plants.

SOURCE: USEC Inc.