Gates and Buffett companies replacing coal with nuclear in Wyoming

TerraPower, a self-described "nuclear innovation company" co-founded by Bill Gates in 2006, is teaming up with a unit of Berkshire Hathaway's PacifiCorp to build a new type of nuclear reactor on the site of a coal plant in Wyoming the utility will be retiring. 

The effort was announced this week at a news conference in Cheyenne with Governor Mark Gordon that included taped comments from Gates.

He said the new "Natrium" nuclear technology, developed with GE Hitachi Nuclear Energy is "designed to make a dramatic change in performance, safety, and cost" and will be a "game-changer for the energy industry."

The new plant will feature a "small modular reactor" that produces less electricity than previous nuclear plants, but costs less and can be built more quickly.

And, as MIT's Jacopo Buongiorno told the Casper Star Tribune, building on the site of a retired coal plant allows the new reactor to use the existing connection to the electrical grid. In addition, "Using the already existent cooling system could save hundreds of millions of dollars."

A key element of the new plant is a "molten salt-based energy storage system." It's essentially a large battery that can store electricity so that it can be fed into the grid as needed, filling in gaps left when renewable energy sources are reduced because there isn't enough sun or wind.

The new reactor will be a "demonstration project" that "is intended to validate the design, construction and operational features of the Natrium technology."

Gates said it was made possible by the U.S. Energy Department's Advanced Reactor Demonstration Program, which provided $80 million of initial funding. 

The new plant's location will be announced by the end of this year.

BUFFETT AROUND THE INTERNET

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HIGHLIGHTS FROM THE ARCHIVE

At the 2011 Berkshire Hathaway annual meeting, Warren Buffett said, "I think nuclear power is important, and I think it's safe," but "I don't think nuclear power is going to go anyplace in the United States for a while."

Here's the full clip from CNBC's Warren Buffett Archive:

BERKSHIRE STOCK WATCH

BERKSHIRE'S TOP U.S. STOCK HOLDINGS - June 4, 2021

Berkshire's top holdings of disclosed publicly-traded U.S. stocks by market value, based on today's closing prices.

Holdings are as of March 31, 2021 as reported in Berkshire Hathaway’s 13F filing on May 17, 2021, except for Apple, Bank of America, and U.S. Bancorp, which also include shares held as of March 31, 2021 as disclosed in New England Asset Management’s 13F filing on May 17, 2021.

In addition to U.S. stocks, shares held as of December 31, 2020 of China's BYD, as listed in Buffett's 2020 letter to shareholders, are included. The price of those shares in U.S. trading is used to approximate the current market value of the position. The value of the stake as a percentage of the company's market value is fixed at what was listed as of December 31, 2020 in the letter.

The full list of holdings and current market values is available from CNBC.com's Berkshire Hathaway Portfolio Tracker.

QUESTIONS OR COMMENTS

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-- Alex Crippen, Editor, Warren Buffett Watch