Daewoo E&C seeks gov't mediation in dispute over Czech nuclear project

Daewoo Engineering & Construction (E&C) said Monday it has asked the government to mediate a dispute with Korea's state-run nuclear power operator over a major nuclear reactor project in the Czech Republic. The company, which leads a construction consortium for the project, made the request to the Ministry of Trade, Industry and Resources after receiving formal notice Friday that Korea Hydro & Nuclear Power (KHNP) Co. had ended contract negotiations. "We have requested the ministry's mediation to resume contract negotiations and normalize the project as soon as possible," Daewoo E&C said in a statement. The Dukovany project, valued at about 25 trillion won ($17.5 billion), involves the construction of two 1,000-megawatt APR1000 nuclear reactors, a Korean-designed model, in the Czech Republic. Daewoo E&C said KHNP unilaterally ended the negotiations after rejecting its revised proposal submitted Thursday, citing the company's failure to adequately reflect rising construction costs. The builder argued it was unreasonable to require a construction contractor, which is not responsible for rea