Federal loan guarantee offer for Vogtle expansion extended again | The Augusta Chronicle

4
Jul

Federal loan guarantee offer for Vogtle expansion extended again | The Augusta Chronicle

The owners of Plant Vogtle have secured – for the third time – an extension to allow further negotiation with the U.S. Energy Department over its 2010 offer of up to $8.3 billion in federal loan guarantees to help finance two new nuclear reactors.

Georgia Power and co-owners Oglethorpe Power and Municipal Electric Authority of Georgia were conditionally approved in February 2010 for loan-guarantee financing, in which the government promises to assume a company’s debt if the company defaults. However, the details were never agreed on.

Two extensions have since expired, with the most recent deadline – June 30 – passing without any formal agreement in place.

Jeannice M.W. Hall, a Southern Co. spokeswoman, said in an e-mail Wednesday that the new extension sets a Sept. 30 deadline for completing the loan guarantee arrangements.

“There continues to be constructive dialogue in the Vogtle 3 and 4 loan guarantee negotiations between the company and the Department of Energy, and we are cautiously optimistic as we work with the DOE,” she said.

via Federal loan guarantee offer for Vogtle expansion extended again | The Augusta Chronicle.

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