SCE&G buys 5% stake in VC Summer-2-3 nuclear projects in the US

South Carolina Electric & Gas Company (SCE&G) and Santee Cooper, South Carolina's state-owned electric and water utility, have reached an agreement for SCE&G to acquire from Santee Cooper a 5% ownership interest in the two new 1,100 MW nuclear units which are currently under construction at V.C. Summer Station in Jenkinsville, South Carolina (United States). Under the terms of the transaction, SCE&G will own 60% of the new nuclear units (from the current 55%) and Santee Cooper 40% (from the current 45%).

The 5% ownership interest would be acquired in three stages, with 1% to be acquired at the commercial operation date of the first new nuclear unit, which is anticipated to be in late 2017 or the first quarter of 2018, an additional 2% to be acquired no later than the first anniversary of such commercial operation date and the final 2% to be acquired no later than the second anniversary date of such commercial operation date. The purchase price is anticipated to be approximately US$500m for the entire 5% interest based on current project cost. The agreement also provides that Santee Cooper will not transfer any of its remaining ownership interest in the two new units until both units have been completed. The transaction is subject to customary closing conditions, including receipt of necessary regulatory approvals.