The move has been taken due to diminished prospects as a result of the ongoing nuclear incident in Japan.
NRG said it will cooperate and support its current partners and any prospective future partners in attempting to develop STP 3&4 successfully.
NRG expects to record a first-quarter 2011 pretax charge of approximately $481m, for the impairment of all of the net assets of Nuclear Innovation North America (NINA), the company’s nuclear development joint venture with Toshiba American Nuclear Energy (TANE).
The write down consists of $331m of NINA net assets funded by NRG along with $150m of net investment contributed by TANE.
NINA has suspended all detailed engineering work and other pre-construction activities and will focus on securing a combined operating license from the US Nuclear Regulatory Commission.
NINA will also obtain a loan guarantee from the U.S. Department of Energy while TANE will be responsible for funding ongoing costs to continue the licensing process.
NRG will incur one-time costs, related to a contribution to NINA, which are not expected to exceed $20m.
