British Energy Reports "Large Losses"

UK utility British Energy has reported "large losses" as it posted a four percent fall in nine-month core earnings.

The company reported investment in plants dropped from £195m in 2006 to £175m, while total output for the financial year to 3 February 2008 was 50.7 TWh, after total non-routine nuclear losses of 18.7 TWh.

In a statement, the company says the "level of large losses" have had a "significant impact on nuclear output".

However, CEO Bill Coley says the company is stepping up improvement at its Hinkley Point B and Hunterston B nuclear reactors.

British Energy also expects four of its nuclear reactors at Hartlepool and Heysham 1 to return to service in the second half of 2008 after modifications are made.

The company also states it is "well positioned" for a central role in building a generation of nuclear reactors promised by UK Prime Minister Gordon Brown at the start of 2008.

By Ozge Ibrahim