Hyundai E&C signs master services agreement with US SMR developer FANCO

Hyundai Engineering & Construction announced Monday that it has signed a master services agreement with First American Nuclear, known as FANCO, a US developer of next-generation small modular reactors. The deal aims to deepen cooperation from the early design stage and accelerate the company's push into the American nuclear power market.

Senior executives from both companies attended the signing, including Hyundai E&C CEO Lee Han-woo and FANCO Nuclear Program Director George Malone. An MSA is a framework contract that establishes common terms, conditions and responsibilities for ongoing collaboration between companies; specific scope, duration and contract values are then confirmed through individual task orders as work arises.

The MSA builds on a preliminary agreement the two companies signed in July covering the EAGL-1 project, advancing that arrangement into a formal contractual relationship and laying the groundwork for long-term business cooperation.

The EAGL-1 project applies a modular design capable of generating approximately 240 MWe per reactor unit, with multiple reactors configured in a cluster that can be scaled up to match power demand. The project also features a bridge power solution that uses existing power sources to meet initial electricity needs before transitioning incrementally to nuclear generation, offering large-scale data centers and industrial complexes greater speed and flexibility in project deployment.

The contract runs for five years and may be extended by mutual agreement. During that period, Hyundai E&C will carry out constructability reviews, design and engineering consulting, and construction-sector technical feedback for FANCO's next-generation SMR EAGL-1. Incorporating its engineering, procurement and construction expertise from the design phase is expected to strengthen Hyundai E&C's prospects for participating in future construction work.

FANCO is developing the EAGL-1 as a liquid metal fast reactor that uses a lead-bismuth alloy as coolant. The company has submitted a regulatory engagement plan to the US Nuclear Regulatory Commission as part of its efforts to lay the groundwork for commercial deployment of the technology.

"Hyundai E&C is expanding its global presence not only in large nuclear power plants but also in the next-generation energy construction market," a company official said. "Through this agreement with FANCO, we will lead the commercialization of the EAGL-1 project and further solidify our leading position in the US SMR market."

Unlike conventional large nuclear power plants, SMRs integrate the reactor and key components into a single vessel and are designed so that parts can be mass-produced in modular form at a factory and assembled on site.