Leaders of S. Korea, Czech Republic agree to discuss nuclear energy push

Seoul, Prague sign MOU to encourage companies to join Ukraine's postwar reconstruction projects

President Yoon Suk Yeol (left) and his Czech counterpart Petr Pavel shake hands at a press conference held in Prague Castle in Prague, Thursday. (Yonhap)

PRAGUE -- President Yoon Suk Yeol and Czech President Petr Pavel agreed to strengthen diplomatic, economic and security ties between the two countries, at a time when South Korea is working to finalize the contract with Czech authorities over its 24 trillion won ($18 billion) nuclear export deal.

"(To jointly counter global crisis and threats of authoritarianism), our two countries have decided to bolster cooperation in key areas including politics, economy, culture, technology, diplomacy and security, and defense in line with the 35th anniversary of our diplomatic relations and 10th anniversary of comprehensive strategic partnership," Yoon said in a joint press conference with Pavel held at Prague Castle on Thursday.

Yoon held a summit with Pavel at Prague Castle, the Czech President's official residence, after arriving in the Czech Republic on Thursday. Yoon is set to hold talks Friday with Prime Minister Petr Fiala.

The leaders also agreed that the nuclear export deal would serve as a cornerstone for nuclear cooperation between the two countries.

"With the Dukovany nuclear power plant construction project in which Korea Hydro and Nuclear Power was selected as the preferred bidder working as an opportunity to enhance cooperative momentum between the two countries, we have decided to expand strategic cooperation in fostering high-tech industries, energy security and fighting climate crisis," Yoon said.

"The tender presents a tremendous opportunity for the Czech industries," Pavel said at the press conference. "We are seeking a high level of localization and would like Czech companies to participate in 60 percent of the construction procedure. This represents our desire for technological achievement in this field."

Earlier in July, a consortium of South Korean firms led by the state-run KHNP was selected as the preferred bidder for the Czech construction project to build at least two nuclear power units with 1,000 megawatts of capacity respectively in Dukovany, a city 170 kilometers southeast of Prague. Along with KHNP, Doosan Enerbility and Daewoo Engineering and Construction also make up the consortium.

The same consortium also has the exclusive right to a contract for two more units in Temelin, 100 kilometers south of Prague, if the Czech government approves the project.

President Yoon Suk Yeol (second from left, front) and Czech President Petr Pavel (left, front) walk on a red carpet in Prague Castle in Prague as Yoon is on the official visit to the Czech Republic Thursday. (Yonhap)

Yoon pledged that the South Korean government would pay special attention to the project so that the finalization of the deal would be "carried out smoothly."

Yoon and Pavel agreed to foster future-oriented growth by teaming up in the field of nuclear energy development, trade, investment, cutting-edge technology, science and transportation infrastructure.

The two governments also agreed to actively support companies from both countries that wish to participate in Ukraine's post-war reconstruction projects, enabling them to share business information, jointly develop projects, and attract joint investments through concrete cooperation. They also agreed to jointly respond to military exchanges between North Korea and Russia.

Before departing for Prague, Yoon told Reuters in a written interview released Thursday that the Czech project holds "paramount importance," adding that his trip was partly meant to solidify Prague's commitment to the signing of the deal as planned in March 2025.

The visit comes at a time of heightened uncertainty surrounding the nuclear energy bid, as US energy firm Westinghouse and French company EDF both appealed the Czech authorities' decision to select the South Korean consortium as the preferred bidder.

When asked about the potential obstacles by Westinghouse, Yoon said at the press conference that South Korea and the US "share a clear consensus" over the nuclear energy cooperation regarding intellectual property issues, adding that the South Korean government is working for an amicable solution to the conflict between companies in South Korea and the US.

Pavel said, "An arbitration of the dispute between South Korea and the US will be beneficial to all parties concerned, and reaching a sort of compromise instead of dragging time could be advantageous for both South Korea and the US." He added he has not ruled out a "bad scenario" but said there is little chance.

Yoon's visit to Prague follows that of South Korean special envoys in July, led by the director of national policy at Yoon's office, Sung Tae-yoon, and Minister of Trade, Industry and Energy, Ahn Duk-geun.

Czech national security adviser Tomas Pojar earlier in September reciprocated South Korean envoys' visit. According to Yoon's office, Pojar said during his meeting with Yoon that he was confident Prague "will conclude a final contract with Korea" for the Dukovany project.

Staff reporter Jung Min-kyung in Seoul contributed to this article. -- Ed.

By Son Ji-hyoung(consnow@heraldcorp.com)