Magnox expands with merger of RSRL

Posted by World Nuclear News on 1 April 2015 in WNN

The UK’s Magnox Limited and Research Sites Restoration Limited (RSRL) have today merged to form a single organization operating as Magnox Limited. The combined business will be responsible for 12 nuclear sites.

Cavendish Fluor Partnership (CFP) – a joint venture between the UK’s Cavendish Nuclear, part of Babcock International, and US-based Fluor Corporation – was awarded a contract by the Nuclear Decommissioning Authority (NDA) last September to manage 12 UK nuclear sites and their respective decommissioning programs. The 14-year contract is expected to be worth around £4.2 billion ($6.5 billion).

Through the contract, CFP became the new parent body organization (PBO) for site licence companies Magnox Limited and RSRL. Between them, Magnox Limited and RSRL are responsible for ten Magnox nuclear power plants, as well as the Harwell and Winfrith research centres. The sites are all owned by the NDA, which uses the PBO system to grant private companies the authority necessary to take charge of nuclear decommissioning. Successful contractors earn a fee that is a portion of the overall contract value, depending on performance.

Last month, the NDA said, “The 12 sites will unite under a single leadership team, with a simplified structure and a range of shared management systems.”

The UK’s chief nuclear inspector Andy Hill today granted new nuclear site licences to Magnox Limited for the Harwell and Winfrith sites. The Office for Nuclear Regulation (ONR) noted that these are the first licences it has granted since becoming a public corporation in April 2014.

Magnox Limited now holds the licences for ten Magnox plant sites – Berkeley, Bradwell, Chapelcross, Dungeness A, Hinkley Point A, Hunterston A, Oldbury, Sizewell A, Trawsfynydd and Wylfa – as well as the Harwell and Winfrith research sites.

Magnox managing director Kenny Douglas said, “It’s a huge achievement to bring the sites together within just seven months and that is testament to the team that has worked hard to achieve it. The decision to create a single Site Licence Company under the Magnox entity was taken after much consideration and engagement.”

He added, “All the sites share a strong history and heritage dating back many decades. Our challenge now is to come together as one organization and continue delivering safe and efficient decommissioning.”

Harwell closure manager Andy Staples said the next step will “see us share our experiences, find common systems and processes and work together closely to ensure we meet our challenge and successfully deliver the program.”