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OTTAWA — An Ottawa-based company is suing the federal government and Atomic Energy of Canada Ltd. for $1.6 billion for abandoning the construction of two nuclear reactors.
The two Maple reactors were supposed to replace the 51-year old NRU reactor at Chalk River, northwest of Ottawa, which supplies about 65% of the world’s isotopes.
MDS Inc. is a life sciences company which has an exclusive 40-year contract with AECL to buy isotopes, tiny radioactive particles used to diagnose cancer and heart disease and refine them for use in imaging technology. The Maple 1 and 2 reactors at the Chalk River nuclear site were supposed to be online and producing medical isotopes by 2000, but eight years and $500 million later they still weren’t operational.
On May 16, the government decided to cut its losses and shelve the project all together.
The decision to scrap the Maples means medical patients around the world must rely on the NRU reactor built in 1957 to supply isotopes, but it’s only currently licensed to operate until 2011. The licence can be extended beyond 2011 but it is unlikely the NRU can run for another 40 years, which has prompted the $1.6 billion lawsuit.
There are currently no alternative plans for reactors to replace the NRU.
“We regret that MDS Nordion has decided to pursue litigation,” said Natural Resources minister Gary Lunn in an email statement. “Neither the government nor AECL accept the allegations made … accordingly we will be taking steps to defend AECL and the Crown.”