The state-run Korea Hydro and Nuclear Power (KHNP) plans to invest US$40 million in TerraPower LLC, a U.S. small-sized nuclear reactor company founded by Bill Gates, an industry source said Friday.

If formally approved by KHNP’s board, it will mark the first investment by a state-run energy firm into a developer of small modular reactors.

KHNP “has pushed for investment into TerraPower,” the source said, adding that a final decision will be made at the company’s board meeting.

KHNP is expected to buy part of a TerraPower stake owned by SK Inc. and its affiliate. Last year, SK and its affiliate invested $250 million in TerraPower.

Source: Yonhap News Agency