Seoul: The chief of South Korea's state-run Korea Hydro and Nuclear Power Co. (KHNP) has indicated that the delay in the finalization of a nuclear plant agreement with the Czech Republic is expected to be minor. Speaking in Prague, Whang Joo-ho, president and CEO of KHNP, described the delay as "slight" and anticipated a resolution in the near future.

According to Yonhap News Agency, the KHNP-led South Korean consortium was initially set to sign a contract with Elektrarna Dukovany II (EDU II), a subsidiary of the Czech state utility CEZ, for constructing two nuclear power units at the Dukovany nuclear power plant. This contract, estimated at 26 trillion won (approximately US$18.6 billion), was postponed due to a court injunction filed by French energy firm EDF, which had lost in the bidding process.

Whang emphasized that the Czech Cabinet has already approved all contract elements, suggesting that the deal's finalization should proceed without substantial hurdles. On Wednesday, the Czech Cabinet authorized EDU II to continue with the contract once the legal issue is settled. Prime Minister Petr Fiala expressed optimism that the court would soon acknowledge the project's significance for national security and energy stability.

The deal represents the largest public procurement in Czech history, aligning with the government's strategy to reduce reliance on fossil fuels and enhance nuclear energy usage. Currently, nuclear power accounts for about 40 percent of the Czech Republic's electricity, with plans to increase this to over 50 percent in the coming years.

The planned reactors will be built next to the existing four 510-MW units at Dukovany, operational since the 1980s. The first new unit is expected to begin trial operations in 2036, with the second following approximately two years later.

CEZ CEO Daniel Benes announced on Wednesday that the company would appeal the court's injunction, highlighting the project's critical role in national interests. However, the timeline for the Czech Supreme Administrative Court's ruling on the appeal remains uncertain.

Whang expressed hope for a swift resolution, pointing out the limited timeframe for the European country to transition from coal-fired power generation towards carbon neutrality.