The U.S. LNG Export Boom Faces Challenges

By Tsvetana Paraskova - Oct 31, 2024

The U.S. LNG export industry faces delays due to contractor bankruptcies, litigation over environmental permits, and a temporary permitting pause under the Biden administration.

Despite challenges, U.S. LNG exports hit a record in 2023, surpassing Qatar and Australia.

Corpus Christi LNG Stage 3 and Plaquemines LNG are set to start operations by the end of 2024.



The U.S. LNG export industry has recently hit several stumbling blocks. And who will be America’s president in the next four years may not even be the biggest.

Litigation at court from environmental groups, a contractor bankruptcy, and President Joe Biden’s permit pause have combined to increase uncertainty for U.S. LNG project developers and exporters this decade.

Top LNG Exporter

The expansion of the LNG export infrastructure over the past five years and the flexibility in cargo destination of U.S. LNG have made America the world’s biggest exporter of liquefied natural gas. Soaring sales in Europe, which has scrambled to replace Russian pipeline gas, and more LNG projects coming online this decade boosted U.S. exports by 12% in 2023 from a year earlier. At 11.9 billion cubic feet per day (Bcf/d) of LNG exports, the United States easily beat its closest rivals – Qatar and Australia – to become the biggest LNG exporter last year, EIA data showed.

Utilization of U.S. LNG export capacity averaged 104% of nominal capacity and 86% of peak capacity across the seven U.S. LNG terminals operating in 2023 as relatively strong demand for LNG in Europe amid high international natural gas prices supported increased U.S. LNG exports last year.

This year, U.S. LNG exports are set to average 12.1 billion Bcf/d, slightly up from 2023, and 13.8 Bcf/d in 2025, per the EIA’s latest Short-Term Energy Outlook for October.

Two new projects, Corpus Christi LNG Stage 3 and Plaquemines LNG, are in the commissioning phase to start LNG export operations, and each of these facilities will begin exporting LNG by the end of 2024, the EIA said.

Uncertainties Lie Ahead

Going forward, delays at some fully-permitted projects have recently emerged, and they have nothing to do with the U.S. administration’s policy.

ExxonMobil and QatarEnergy have seen their $10-billion Golden Pass LNG export plant in Texas slip in the timeline to late next year, after the project faced delays due to the bankruptcy of Zachry Holdings, the lead construction contractor. The U.S. Federal Energy Regulatory Commission (FERC) has just granted a three-year extension to ExxonMobil and QatarEnergy to build their export plant.

Earlier in August, Exxon said it is delaying the start-up of Golden Pass LNG to late 2025 from the first half of next year after work at the facility stalled following the bankruptcy of the lead contractor.

Then there is the Rio Grande LNG project of NextDecade, which also faces delays due to a court ruling over its FERC authorization.

In early August, a U.S. appeals court vacated the remand authorization of NextDecade’s Rio Grande LNG export project issued by the Federal Energy Regulatory Commission on the grounds that the FERC should have issued a supplemental Environmental Impact Statement during its remand process.

This case and other litigation add another layer of uncertainty for U.S. LNG developers.

Of course, the biggest one now is President Biden’s pause on permitting from January until the Department of Energy can update the underlying analyses for authorizations. Under environmentalist pressure, the Administration said early this year that during the temporary pause DOE will carry out a new updated review on the impact of such projects on health and communities.

The consensus at Wood Mackenzie’s annual conference on ‘Gas, LNG and the Future of Energy’ last week was that the pause in LNG export authorizations would ultimately be seen as something between “a blip” and “a speed bump” for the U.S. LNG sector, wrote Ed Crooks, Senior Vice President, Americas, at WoodMac.

The 47th President and U.S. LNG

Some of the uncertainties for U.S. LNG could be cleared as soon as January when the 47th U.S. president will take office. Donald Trump has promised to immediately restart LNG permitting, while the Harris campaign hasn’t indicated if a president Harris would continue Biden’s permit pause.

However, analysts have expressed concerns that the U.S LNG export boom could be undermined if a Trump administration slaps a promised 60% tariff on China’s imports, which could lead to a Chinese retaliation with China avoiding new LNG purchases from the U.S. or re-selling U.S. cargoes.

After the U.S. election, “It seems highly likely that the pause will be lifted. But new requirements could be imposed on projects that would make securing an authorisation a slower and more complex process,” WoodMac’s Crooks says.

The industry is calling for the pause to be lifted.

“You gotta stop this crazy LNG pause from going forward,” Ryan Lance, chief executive at ConocoPhillips, said at the Gastech conference in Houston last month.

“We absolutely need permitting reform, and we need more infrastructure,” Lance added.

A Trump administration is widely expected to facilitate permitting and ease the regulatory burden on America’s oil and gas industry.


“But the primary determinants of US hydrocarbon production are the revenues and capital allocation strategies of the Majors and E&P companies, which are unlikely to be affected much by what happens in Washington,” according to WoodMac’s Crooks.

Even with President Trump, or likely precisely because of a Republican in the White House, the environmental campaign against LNG at U.S. courts will gain momentum, and U.S. LNG developers may have to contend with fresh delays stemming from legal challenges.

By Tsvetana Paraskova for Oilprice.com

FAA Clears Path for Air Taxi Takeoff

By Felicity Bradstock

- Oct 31, 202

The FAA has officially recognized air taxis as a new category of aircraft, paving the way for their commercial operation in the U.S.

Joby Aviation, a leading air taxi developer, has secured significant funding through a stock offering and a partnership with Toyota.

European air taxi companies face regulatory delays and financial challenges, highlighting the complexities of bringing this new technology to market.



Following years of big promises, the air taxi industry is now one step closer to providing innovative transport options to consumers in the U.S., as the Federal Aviation Administration (FAA) has formally recognised the new category of aircraft. However, the futuristic urban metropolises portrayed in so many movies of that past have yet to materialise, as, despite impressive aircraft developments in recent years, progress in many parts of the world has been hindered by regulatory delays.

This October, the FAA announced it would be formally recognising air taxis as a new category of aircraft. This is the first time in around eight decades that a new category has been added. The FAA also finalised training and pilot certification rules for air taxis. The organisation said in a statement, it’s “the last key step needed to get them flying safely.”

FAA Administrator Mike Whitaker recently wrote in a blog post, when air taxis do enter service, “they’ll be the first completely new aircraft category introduced to civil operations since helicopters in the 1940s.” This shows how far air transport has come in recent years, following years of modernisation of existing aircraft rather than innovation in new types of aircraft.

Air taxis are electric vertical take-off and landing (eVTOL) aircraft, which are small, electric vehicles that can take off and land vertically, without the need for a runway. Unlike a helicopter, which uses a singular large rotor, air taxis are designed to use several smaller rotors to fly, making them quieter and more compact. This is expected to give them greater access to residential areas that helicopters cannot normally enter.

Over 150 companies have been developing air taxi technology globally for around a decade. Most agree that the aircraft will resemble a drone in design. California-based Joby Aviation has designed its air taxi with six electric motors with propellors to lift the vehicle. The propellers can tilt, which allows the craft to manoeuvre in tight spaces and reach up to 200mph. The aircraft covers a range of up to 100 miles between charges, can fly at a height of over 10,000 feet above sea level, and can carry up to four people, including the pilot. Initially, air taxis will be operated by a pilot. However, most companies aim to achieve self-flying capabilities in the future.


Joby launched a test flight in New York City in 2023, signed a $131 million contract with the Air Force, and is expected to launch a ride-sharing service in the United Arab Emirates by 2026. However, companies hoping to launch air taxi services in the U.S. have been waiting on the FAA to make it possible. There have been delays in launching trial runs of the technology in other areas of the world due to regulatory hold-ups. For example, the German air taxi developer, Volocopter, intended to fly its aircraft at the 2024 Paris Olympics but gave up on plans due to certification delays with Europe’s air safety agency. Joby hopes to do what Volocopter could not and fly its air taxis at the 2028 Los Angeles Olympics.

Several other countries are optimistic about launching air taxi services within the next few years. The U.K.’s Department for Transport recently published its Future of Flight action plan, which outlines the aim to have the first eVTOL taxis over London within around two years.

While there is enthusiasm around the potential launch of air taxis in major cities worldwide, some aircraft companies are struggling. The German aerospace startup Lilium is reported to be on the brink of insolvency if it cannot raise financing from the Bavaria state government. The firm was once seen as Europe’s most advanced eVTOL company, but money problems have hindered progress. Lilium previously requested $54 million in loans from the federal government, which was rejected by lawmakers. This move has been criticised by those who view the rollout of EV aircraft as vital to achieving decarbonisation aims.

This October, California’s Joby announced a public offering of common stock, with the hope of raising $202 million. If achieved, the financing will be used for its “certification and manufacturing efforts, to prepare commercial operations and for general working capacity and other general corporate processes,” the firm stated in a regulatory filing. The price per share is $5.05.

Joby recently attracted $500 million in investment from Toyota, bringing the total investment from the Japanese automaker to $894 million. The two companies are working in collaboration in California, where Toyota shares its expertise and experience with the startup to support aircraft development. Joby and Toyota last year signed a long-term deal for Toyota to supply vital powertrain and actuation components for Joby’s eVTOL.


While some companies are struggling to raise the funds needed to carry their aircraft to completion, in the face of complex regulatory structures, others are progressing rapidly and expect to launch their first flying taxi trials this decade. Thanks to progress in regulatory structures in the U.S., we could be seeing air taxis arrive in New York and other cities in the near future, with trials in major cities in other countries expected shortly after.

By Felicity Bradstock for Oilprice.com

 

 Theme Song | The Jetsons | Warner Classics

 

 Jetson ONE - Newest Generation eVTOL at the VIP Event

   

 Jetson One: A personal flying vehicle just for having fun

Drought Dashes Hopes For U.S. Hydropower Capacity

By Irina Slav - Oct 31, 2024

Drought has been one big reason for hydro’s smaller contribution to dispatchable electricity this year.

Greater water use by industry and households has diminished water availability.

Ember: hydropower output this year has fallen to a record low of 5.2% of total generation, while nuclear has gone up by 1.3% to 17.6%.



Hydropower is, along with nuclear, the best of both worlds in terms of electricity. It is a zero-emission source of energy, and its output can be adjusted in response to demand—a dispatchable source. The problem? It depends on the weather, and because of this dependence, hydropower managed to drag the total share of low-emission power generation down this year, and boosted gas. Dispatchability matters.

Back in April, the Energy Information Administration forecast that hydropower output this year would jump by 6% over 2023, when it dipped to the lowest since 2001. “We expect hydropower to increase in nearly every part of the country, with notable increases in the Southeast and in the Northwest and Rockies,” the EIA wrote. “We expect other regions with significant hydropower generation to either increase slightly, such as in New York, or remain about the same, such as in California.”

None of this happened, however. Instead of growing, hydropower output this year has remained essentially unchanged from last year’s 23-year low, reducing the total share of dispatchable low-emission electricity generation in the total U.S. mix. Geothermal has not been able to help because it has not reached a massive enough scale of utilization. Wind and solar could not help, even with the substantial additions in capacity because of their weather dependence. So, generators turned to gas yet again to respond to growing electricity demand. Dispatchability matters.

The EIA did not seem to think so earlier this year. In May, a month after its forecast about hydropower generation, the agency forecast that wind, solar, and hydro would grow to account for a total 22% of U.S. power generation this year. Indeed, in an October 29 data highlight, the EIA said that wind and solar alone accounted for 22.6% of total generation. There is just one problem with that data highlight. It says nothing about demand.

Wind and solar together could eventually come to generate a third of U.S. electricity—on clear, windy days. Yet what’s important is the balance between supply and demand. With electricity, there’s no space for a shortage because a shortage means blackouts, so the grid needs to be perfectly balanced at all times.

Hydropower has been great at doing this because output at hydropower stations can be adjusted in the same way that output at gas and coal power plants can be adjusted, and at nuclear plants, too. Where output cannot be adjusted, save for so-called curtailment, which means dumping excess electricity, is wind and solar. Hydro, therefore, has been excellent at “covering” for these two. But only if there’s enough water in the dams.

For context, China experienced an extended drought in the last two years. It significantly reduced the amount of hydropower the country generated. This year, however, the weather changed and brought abundant rainfall to China. As a result, hydropower output surged, raising the total share of low-carbon energy in the country to elevated levels. Apparently, the opposite happened in the U.S. And, unlike the EIA predicted earlier in the year, low-carbon sources will not be able to meet rising demand.

Drought has been one big reason for hydro’s smaller contribution to dispatchable electricity this year. Another issue has been greater water use by industry and households, Reuters’ Gavin Maguire noted in a report on the latest data from the EIA. In it, Maguire also cited data from climate outlet Ember showing that hydropower output this year has fallen to a record low of 5.2% of total generation, while nuclear has gone up by 1.3% to 17.6%.

At the same time, demand for electricity has risen a lot faster, Maguire also noted, prompting generators to turn to the only dispatchable and weather-independent source of electricity available besides anathematized coal: natural gas. The rising share of natural gas in the U.S. energy mix this year has become yet another stark reminder of just how important it is for electricity supply to be available on demand.

By Irina Slav for Oilprice.com

 

Amentum contracted for Ignalina dismantling work

Friday, 1 November 2024

US-based company Amentum has been awarded a contract worth an estimated EUR5.5 million (about USD6 million) to consult for the first-of-a-kind dismantling of steam drum separators at units 1 and 2 of the Ignalina nuclear power plant in Lithuania.

Ignalina (Image: Amentum)

The seven-year contract with Ignalina Nuclear Power Plant (INPP) will be implemented under International Federation of Consulting Engineers (FIDIC) Yellow Book Conditions, administered by the European Bank for Reconstruction and Development (EBRD) and funded by European Commission grants.

Lithuania assumed ownership of the two RBMK-1500 units - light-water, graphite-moderated reactors, similar to those at Chernobyl - in 1991, after the collapse of the Soviet Union. It agreed to shut down the Ignalina plant as a condition of its accession to the European Union, with unit 1 shutting down in December 2004 and unit 2 in December 2009. The reactors are expected to be fully decommissioned by 2038, with most of the cost of the decommissioning being funded by the European Union via the EBRD and other funds.

Amentum said it will provide consultancy services to support INPP's Project Management Unit and carry out the duties of FIDIC Engineer for the dismantling contract. It will help INPP to manage the removal of the steam drum separators, which are large drums installed over the graphite core to divert steam to the turbines. The Project Management Unit will oversee the design and safety justification for dismantling and fragmentation of the drums and associated equipment. These are located in the plant’s radiologically contaminated primary circuit.

"We will deploy our extensive nuclear decommissioning and waste management experience from the UK, France, Czechia and Slovakia to this ground-breaking project,” said Andy White, who leads Amentum Energy & Environment International.

Amentum was created in early 2020 from the spin-off of US-based global infrastructure firm AECOM's Management Services business. Through its heritage firms, Amentum has been working at Ignalina for more than 20 years on projects including the delivery of the New Interim Spent Fuel Storage Facility and other facilities required for decommissioning.

In September, Amentum completed a merger with Jacobs Solutions Inc's Critical Mission Solutions and Cyber and Intelligence government services businesses to form an independent, publicly traded company called Amentum Holdings, Inc. The combination was described by Amentum CEO John Heller as transformational for the company, forming a "global leader in advanced engineering and innovative technology solutions".

 

Holtec highlights its used fuel assembly repairs at Angra

Friday, 1 November 2024

Holtec International said it repaired 125 damaged used fuel assemblies as part of the successful completion of its recent loading campaign of 480 used nuclear fuel assemblies into 15 HI-STORM FW dry storage casks at Angra unit 2 in Brazil.

(Image: Holtec)

Holtec said its team would return in early 2025 to load 75 damaged fuel containers from the Angra 1 site into 18 HI-STORM FW systems, also at the Complementary Dry Storage Unit for Spent Fuel (UAS).

Under a turnkey contract signed in 2017, Holtec of the USA supplied Eletronuclear with HI-STORM FW systems and related equipment for dry storage of used fuel from Angra units 1 and 2. Angra 1 is a Westinghouse-designed 609 MWe pressurised water reactor (PWR), while Angra 2 is a Siemens-designed 1275 MWe PWR. The units have different architectures and licensing bases, adding to the complexity of the project. Holtec modified their respective cask handling cranes and equipment for loading the fuel into the multi-purpose canisters and for moving the canisters to the dry storage facility.

PK Chaudhary, President of Holtec’s Nuclear Power Division with direct responsibility for Projects, Manufacturing & Supply Chain, said: "We thank Eletronuclear's team for their exemplary support for the Angra 2 used fuel storage campaign. We are gratified to see our innovative spent fuel storage solutions play a critical role at the Angra Nuclear Station. We look forward to a repeat success when our team returns to load used fuel at Angra 1 in early 2025."

The storage facility is designed to receive fuel elements after the cooling process in pools at the plants. They are stored in canisters made of steel and concrete to guarantee safety. It is a system which is used in the USA and is designed to withstand extreme events such as earthquakes and floods.

It includes physical security, radiation and temperature monitoring, an armoured access control centre and a storage warehouse with a technical workshop, designed and constructed by Holtec. The facility was constructed because the storage pools of both units were reaching full capacity. It is designed to hold up to 72 modules, with the capacity to receive used fuel until 2045.

Holtec said it used its Fuel Repair Device (FRD) to repair the damaged used fuel assemblies, technology which it used for the first time during refuelling at its Indian Point Nuclear plant in the USA last year. It says that its system renders a damaged fuel assembly that cannot be handled by normal means into one that can be handled in a normal manner using the plant’s existing fuel handling tooling and is "the only fuel repair technology available in the industry that involves no welding or introduction of any foreign material in the fuel pool".

Holtec says that in 2025 at Angra 1 it will load 18 HI-STORM FW systems with 75 damaged fuel containers and used fuel will be stored in MPC-37 canisters, each of which can contain 37 PWR used fuel assemblies.

 UH OH

IAEA says leak was detected in Zaporizhzhia reactor coolant pump support system

Friday, 1 November 2024

The International Atomic Energy Agency has reported that "a small water leakage was detected from an impulse line - essentially a small pipe - connected to" Zaporizhzhia nuclear power plant's first unit’s primary circuit, with repairs taking place and no "immediate issue for nuclear safety".

(Image: ZNPP)

According to the update from the IAEA, the repairs required the pressure in the primary circuit to be decreased to atmospheric levels and the operators of the plant - which has been under Russian military control since March 2022 - told them on Thursday the welding work had been completed and radiography checks of the welds were on-going.

Director General Rafael Mariano Grossi said: "The agency will continue to follow this issue closely, although we don’t see any immediate issue for nuclear safety. In general, we have identified regular equipment maintenance - which is vital to ensure sustainable nuclear safety and security - as a challenging area for the Zaporizhzhia nuclear power plant during the conflict."

All six of Zaporizhzhia's units have been in cold shutdown and, following this shutdown for maintenance, unit 1 is expected by the IAEA to be put back into cold shutdown.

The operators of the plant said on Telegram that a "microcrack in the pipeline was discovered and promptly eliminated", and after testing has confirmed the successful repair "it will be put into operation". The update added that radiation levels at the plant and surrounding area was unchanged.

The IAEA has had experts stationed at the Zaporizhzhia plant for more than two years, seeking to protect nuclear safety and security at the site, which is close to the frontline of the Ukrainian and Russian forces. The IAEA says the current team at the plant "continue to hear explosions daily, although no damage to the plant was reported".

There are also IAEA teams at Ukraine's three other operating nuclear power plants, with those at Khmelmnitsky reporting that drones had flown within 400 metres of the plant. Grossi said: "Frequent reports of drones flying near nuclear power plants continue to be a source of deep concern for nuclear safety and security. As we have stated repeatedly, any military activity in the vicinity of nuclear power plants represents a potential risk."

 

New company takes over UK's STEP fusion programme

Friday, 1 November 2024

Leadership of the UK's STEP (Spherical Tokamak for Energy Production) programme has transitioned to UK Industrial Fusion Solutions Ltd, a wholly-owned subsidiary of the UK Atomic Energy Authority.

Ian Chapman (left) and Paul Methven (Image UKIFS)

The establishment of UK Industrial Fusion Solutions Ltd (UKIFS) as a new delivery body for the UK's fusion programme was announced in February 2023 by then Science Minister George Freeman.

UKIFS will lead a public-private partnership that will design, build and operate the STEP prototype fusion plant at the West Burton power plant site in Nottinghamshire, England. The West Burton site was selected to host STEP in October 2022.

The UK Atomic Energy Authority (UKAEA) - which carries out fusion energy research on behalf of the government - said it will continue to be STEP's fusion partner, working alongside two industry partners – one in engineering and one in construction – to spearhead the development of a UK-led fusion industry.

"A major procurement exercise is currently under way to select STEP's strategic, long-term industry partners, with the shortlist expected to be announced by the end of the year," the UKAEA said.

"The launch of UK Industrial Fusion Solutions demonstrates significant progress and commitment to developing fusion as a viable clean energy source, and also to creating a UK-led fusion industry," said Paul Methven, CEO of UKIFS and Senior Responsible Owner for STEP. "STEP is a national endeavour with global impact, and we will continue to work closely with public and private sector partners to ensure the UK remains at the forefront of a revolutionary sustainable new energy source that will drive economic growth."

Ian Chapman, CEO of UKAEA, said: "UKIFS brings together an experienced team dedicated to translating decades of fusion research into a functioning prototype plant that will be capable of supplying low-carbon, safe, and sustainable energy to the grid. UKIFS will integrate partners in a national endeavour to build STEP as well as focussing on delivering enormous social and economic benefits to the UK, especially for the East Midlands region where the plant will be built."

The aim for the first phase of work on STEP is to produce a 'concept design' by the end of this year. The UK government is providing GBP220 million (USD285 million) of funding for this part. The next phase of work will include detailed engineering design, while all relevant permissions and consents to build the prototype are sought. The final phase is construction, with operations targeted to begin around 2040. The aim is to have a fully evolved design and approval to build by 2032, enabling construction to begin. The demonstration plant is due to begin operating by 2040.

The technical objectives of STEP are: to deliver predictable net electricity greater than 100 MW; to innovate to exploit fusion energy beyond electricity production; to ensure tritium self-sufficiency; to qualify materials and components under appropriate fusion conditions; and to develop a viable path to affordable lifecycle costs.

SPACE/COSMOS

Nuclear propulsion system proposed for European space missions

Friday, 1 November 2024

A consortium led by Belgian engineering firm Tractebel has completed the European Space Agency-commissioned RocketRoll project on nuclear electric propulsion for space exploration. The consortium has defined a comprehensive technology roadmap to equip Europe with advanced propulsion systems capable of undertaking long-duration missions.

Illustration of an NEP spacecraft (Image: ESA)

The RocketRoll project - or 'Preliminary European Reckon on Nuclear Electric Propulsion for Space Applications' - brought together leading stakeholders in aerospace and nuclear within a consortium led by Tractebel that includes the French Alternative Energies and Atomic Energy Commission (CEA), ArianeGroup, Airbus and Frazer Nash. It also included researchers from the University of Prague, the University of Stuttgart and engineers from OHB Czechspace and OHB System in Bremen.

The partners studied the feasibility of an electric nuclear propulsion (NEP) system where the electricity produced by a nuclear power reactor powers electric ion thrusters - ionising a gas and accelerating the ions produced, which are then ejected to generate thrust. This method's thrust is lower but continuous, and with far greater fuel efficiency it has higher speeds and could cut 60% off the Mars travel time of traditional chemical rockets.

"Thanks to its huge energy density, NEP offers disruptive advantages in terms of speed, autonomy, and flexibility," Tractebel said. "This innovative propulsion technology has the potential to transform space exploration and space mobility by enabling longer-duration missions, potentially shaping the future of interplanetary exploration."

The RocketRoll project, which started more than a year ago and concluded last month, has now submitted a technology roadmap to develop an NEP system, including a candidate design for a demonstrator spacecraft that could flight test NEP systems for deep space missions by 2035.

"I am proud to lead such an important initiative in nuclear electric propulsion, which could enable exploration and in-space logistics in Earth Orbit and beyond on a scale that neither chemical nor electrical propulsion could ever achieve," said Brieuc Spindler, Space Product Owner, Tractebel. "I am committed to navigating the intricate technical and strategic challenges ahead. By leveraging its nuclear expertise and innovative solutions, Tractebel helps advance space technologies and push the boundaries of the final frontier's exploration."

Currently, European space missions depend on external sources for nuclear capabilities. Tractebel says its strategy is to engineer a range of nuclear power solutions, from radioisotope to fission systems, while also contributing to developing a European value chain for nuclear solutions in space applications.

According to the European Space Agency: "NEP would enable exploration and in-space logistics in Earth Orbit and beyond on a scale that neither chemical nor electrical propulsion could ever provide. The ultimate raison d'être of NEP is to explore beyond Mars orbit where solar power is limited.

"In addition, NEP could have strong synergies with other space application. For instance, nuclear power could be used on the Moon or Mars surface to power future habitats or robotic exploration of the solar system, or in space for other purpose than propulsion."

AstroForge gets first-ever U.S. government license for deep space asteroid mining

The startup will be launching its “Odin” mission in January

By Rowan Dunne
NOV 1, 2024

Workers prepare the Odin spacecraft for launch next year. Photo credit: AstroForge

“We Mine Asteroids” is the motto of a California space startup that just became the first company to secure a commercial deep space license from the Federal Communications Commission (FCC). The agency provided this experimental certification on Oct. 18.

AstroForge will be sending a newly developed spacecraft 7 million miles away from the Earth in a historic attempt to extract critical metals from a distant asteroid. The company’s “Odin” vessel, being launched in January, is now authorized to establish communication networks capable of functioning over that vast distance with partners on the ground.

A rocket made by Elon Musk’s SpaceX, Falcon 9, will be assisting AstroForge to send Odin into orbit. Odin’s name means knowledge and wisdom seeker in Norse mythology.

Its journey will be part of the Intuitive Machines Inc (NASDAQ: LUNR) IM-2 lunar mission, AstroForge says. Intuitive Machines uses SpaceX’s rocket for their lunar endeavours.

“This was the last gate needed to launch Odin,” AstroForge chief executive, Matthew Gialich, said in an X post Monday. “Can’t wait to strap this thing to the side of the falcon and send it to the cosmos.”

The International Telecommunications Union has designated any distance greater than 2 million kilometres as “Deep Space.” Odin’s ability to tolerate the amount of radiation present at such great distances was a significant factor considered in its development.

Odin’s launch follows the failure of the Brokkr-1 cubesat satellite sent into space last April. It failed to communicate properly, but AstroForge learned lessons from the undertaking that have informed its upcoming launch of Odin.

AstroForge to launch larger craft by 2025-end: ‘Vestri’

Vestri, which is about twice the size of Odin, will be making its way to the same target asteroid by the end of next year. The space rock it will be landing on is anticipated to have rich iron content. It will attach itself to it with magnets.

This launch will be part of Intuitive Machines’ third mission next year.

“Vestri will assess the asteroid’s composition, giving us critical insights into the quality and quantity of valuable elements it holds,” AstroForge says.

AstroForge raised US$40 million in a Series A funding round led by Nova Threshold this August. The space tech company has secured a total of US$55 million.

“There is no question that Earth is running out of resources and current practices are incredibly destructive to our planet,” co-founder Jose Acain said in a recent interview. “AstroForge has found a solution that promises a resource-rich and sustainable future.”

Asteroids have the potential to be beneficial material sources for batteries, solar panels and many other technologies. A study published last year in the journal Planetary and Space Science determined that they can host a diverse array of valuable metals and minerals.

AstroForge just added a seasoned advisor who spent nine years working for SpaceX to its team. Hans Koenigsmann will now be overseeing operations at the company’s new facility in Seal Beach, California.

 

Candu Energy begins planning for Monark pre-licensing design review

Friday, 1 November 2024

AtkinsRéalis company Candu Energy Inc has announced it is entering into a special project with Canadian nuclear regulators to plan for a Pre-Licensing Design Review of the new Candu Monark reactor's suitability to be licensed and built in Canada.

(Image: AtkinsRéalis)

The 1000 MW Candu Monark, a Generation III+ reactor with the highest output of any Candu technology, was unveiled in November 2023. The conceptual design phase of the reactor was completed in September, and AtkinsRéalis plans to complete the preliminary engineering by 2027.

"Reactor development is a key differentiator for us as we have the exclusive licence to deploy one of only a few large reactor technologies available worldwide, and so we have extensive experience navigating the nuclear licensing process in Canada," said Joe St Julian, AtkinsRéalis President, Nuclear. "As the world enters a nuclear market super-cycle with estimated demand for 1,000 new reactor builds, we remain on track to complete the Candu Monark's design by 2027, positioning the first Candu Monark new build to begin as early as 2029 and be completed by the mid-2030s."

The special project will familiarise Canadian Nuclear Safety Commission (CNSC) staff with the design and allow them to provide feedback on what will be needed in a future pre-licensing design review.

The CNSC's optional vendor design review (VDR) process enables CNSC staff to provide feedback to a vendor early on in the design process. Such a review aims to verify, at a high level, that Canadian nuclear regulatory requirements and expectations, as well as Canadian codes and standards, will be met as well as helping identify, and potentially resolve, any fundamental barriers to licensing for a new design in Canada. AtkinsRéalis said it believes completion of a VDR was an added measure that offers predictability to a purchasing utility.

A typical VDR includes three phases, but since the Candu Monark's design heavily leverages the platform of past Candu reactor models which have fully completed all three phases of the regulator's VDR, as well as those that have already been licensed and built, the company said it has asked the CNSC to consider two possible types of pre-licensing design review: either a VDR, or a preliminary regulatory design assessment.

The special project between the CNSC and AtkinsRéalis will see the regulator's experts develop a schedule and estimate for both a VDR and a preliminary regulatory design assessment, reflecting the impact of the range of improvements and modernisations made to Candu Monark technology, their variance to past Candu designs that have already gone through all three VDR phases, and any relevant changes to regulatory requirements and expectations.

"AtkinsRéalis will then be able to evaluate which of these pathways will be most suitable in supporting the Candu Monark design programme, with the goal of seeking rigorous review and feedback on the Candu Monark's design in support of ensuring that any eventual Candu Monark new build project can be undertaken with confidence in the licensing costs and timeline," the company said.

NextEra No Longer Bullish on Nuclear SMRs

THAT WAS FAST

By Alex Kimani - Oct 31, 2024

NextEra Energy is exploring the reopening of the Duane Arnold nuclear plant amid rising data center interest but remains cautious on the viability of small modular reactors.

SMRs, though promising in terms of smaller size, lower fuel needs, and modular design, face significant challenges.

High production costs for HALEU, estimated to reach up to $25,725/kg, pose a substantial financial hurdle.

A week ago, renewables utility company NextEra Energy (NYSE:NEE) delivered a healthy third-quarter earnings report. During the third quarter earnings call, CEO John Ketchum told investors that the company is currently evaluating the possibility of reopening its Duane Arnold nuclear power plant in Iowa amid growing interest from data center companies.

According to Ketchum, Duane Arnold’s boiling water reactor makes it easier to restart and operate economically compared to other nuclear power plants. However, Ketchum said he was “not bullish” on small modular reactors (SMRs), adding that the company’s in-house SMR research unit has so far not drawn favorable conclusions about the technology.

“A lot of [SMR equipment manufacturers] are very strained financially,” he said. “There are only a handful that really have capitalization that could actually carry them through the next several years.”

Ketchum might have a valid point.

Small modular nuclear reactors (SMRs) are advanced nuclear reactors with power capacities that range from 50-300 MW(e) per unit, compared to 700+ MW(e) per unit for traditional nuclear power reactors. Given their smaller footprint, SMRs can be sited on locations not suitable for larger nuclear power plants, such as retired coal plants. Prefabricated SMR units can be manufactured, shipped and then installed on site, making them more affordable to build than large power reactors. Additionally, SMRs are supposed to offer significant savings in cost and construction time, and can also be deployed incrementally to match increasing power demand. Another key advantage: SMRs have reduced fuel requirements, and can be refueled every 3 to 7 years compared to between 1 and 2 years for conventional nuclear plants. Indeed, some SMRs are designed to operate for up to 30 years without refueling.

The U.S. Department of Energy has so far spent $1.2B on SMR R&D and is projected to spend nearly $6B over the next decade. Last year, the U.S. Nuclear Regulatory Commission (NRC) certified NuScale Power Corp.(NYSE:SMR) VOYGR 77 MW SMR in Poland, the first ever SMR to be approved in the country.

But there’s a big problem here because the fuel required to power these novel nuclear plants might be really expensive.

Three years ago, U.S. Nuclear Regulatory Commission (NRC) approved Centrus Energy Corp.’s (NYSE:LEU) request to make High Assay Low-Enriched Uranium (HALEU) at its enrichment facility in Piketon, Ohio, becoming the first company in the western world outside Russia to do so. A year later, the U.S. Department of Energy (DoE) announced a ~$150 million cost-shared award to American Centrifuge Operating, LLC, a subsidiary of Centrus Energy. HALEU is a nuclear fuel material enriched to a higher degree (between 5% and 20%) in the fissile isotope U-235. According to the World Nuclear Association, applications for HALEU are currently limited to research reactors and medical isotope production; however, HALEU will be needed for more than half of the SMRs currently in development. HALEU is only currently available from TENEX, a Rosatom subsidiary.

Centrus estimates that a full-scale HALEU cascade--which involves scaling-up its 16-centrifuge cascade at the Piketon plant to 120 centrifuges--could produce ~6,000 kg/y of the fuel. However, the company says that ramp-up will require “sufficient funding and offtake commitments.” Still, it represents a fraction of the 40 metric tons of HALEU the DoE estimates will be required by the sector by 2030. A 2023 survey by the Nuclear Energy Institute on U.S. advanced reactor developers estimated that the total market for HALEU could reach $1.6 billion by 2030 and $5.3 billion by 2035.


Last year, the Nuclear Innovation Alliance (NIA) published a report wherein they discussed production costs for HALEU. Here’s an excerpt from the report:

‘‘Calculated HALEU production cost for uranium enriched to 19.75% is $23,725/kgU for HALEU in an oxide form and $25,725 for HALEU in a metallic form under baseline economic assumptions but could be higher.’’

The report claims that a SWU (Separative Work Unit) is going to cost a lot more in a HALEU enrichment cascade compared to a standard LEU (Low-Enriched Uranium) enrichment cascade. SWU is the standard measure of the effort required to separate isotopes of uranium (U235 and U238) during an enrichment process in nuclear facilities(1 SWU is equivalent to 1 kg of separative work). NIA estimates that a LEU SWU will cost $150 but that a HALEU SWU will cost $1,000. According to the NIA, to save money, you’d make low-enrichment uranium first, then use the produced LEU as the feed for a HALEU enrichment cascade.



Source: Energy From Thorium


NIA reckons it might cost ~$2000/kgU to make HALEUF6 into HALEUO2, and as much as $4000/kgU to make HALEUF6 into HALEU-metal. At the end of the day, you'd end up with HALEU with 28 times the fissile content of natural uranium at over 100 times the price. In an interesting blog, Kirk Sorensen, founder of Flibe Energy, has worked out that it would cost anywhere from $10-$20/MWh on fuel costs alone to generate electricity from HALEU, multiples higher than for standard nuclear plants where fuel costs account for a small part of the overall electricity bill.

But, don’t give up on SMR tech just yet: Centrus’ shares have tripled over the past five weeks after the company signed a nuclear fuel supply deal with Korea Hydro & Nuclear Power (KHNP). The purchase commitment from KHNP covers a decade of deliveries of Low-Enriched Uranium (LEU) to help fuel Korea's large fleet of reactors.



Source: Seeking Alpha

By Alex Kimani for Oilprice.com