New French reactor in doubt as GDF Suez pulls out

GDF Suez, the second largest utility in France, has withdrawn from the newest nuclear reactor project there. GDF Suez, 35% state-owned, was a partner with the leading - and fully government-owned - French utility, EDF in the new reactor construction project planned at Penly on the north coast. But despite shouldering 25% of the financing, Suez was prevented by EDF from operating the reactor, a role reserved for EDF. Suez depended on operating experience to market its expertise overseas. The withdrawal marks another blow to the French EPR reactor project already suffering from huge delays and cost over-runs at its French and Finnish construction sites.