US-based Southern Company has agreed to a $3.4bn federal loan from the US Government to build two new units of the Vogtle nuclear plant in Georgia, US.
Georgia Power, a Southern subsidiary, owns the Vogtle station with two existing 1,100MW power stations and a 45.7% stake in the project to build two more units.
The loan guarantee will apply to future borrowings for the construction of the third and fourth units of Vogtle.
The guarantee covers up to 70% of Southern’s eligible projected costs, which is estimated at $6.1bn.
The new units will be added to the existing Vogtle station in 2016 and 2017.
The remaining stake in project is owned by Oglethorpe Power Corporation, the Municipal Electric Authority of Georgia and Dalton Utilities.