Engie and Belgium government to take more time to conclude deal over Engie's nuclear assets

Engie and Belgian Government Extend Deadline for Nuclear Asset Deal Discussions

Extension of Nuclear Asset Deal Negotiations

Background of the Agreement

Nov 4 (Reuters) - French energy company Engie and the Belgian government will give themselves more time, until December 12, to conclude an earlier agreement whereby Belgium would buy Engie's nuclear assets in Belgium, said Engie on Wednesday.

Reasons for the Extension

Complexity and Scale of the Transaction

• "Given the current circumstances, and the complexity and scale of the contemplated transaction, the parties have agreed to allow additional time to continue their discussions," said Engie in a statement.

Valuation Differences

• Engie added that "significant differences remain, notably regarding the valuation of the transaction, and the parties wish to take the time needed to try to reconcile their positions."

Details of the Proposed Deal

Initial Agreement and Scope

• Engie and the Belgium government first struck this proposed deal in April.

• The proposed transaction would cover all nuclear activities currently owned and operated by Engie and its Electrabel unit, including Belgium's seven nuclear reactors.

Impact on Nuclear Operations

Suspension of Decommissioning Plans

• Belgian Prime Minister Bart De Wever said in April that the transaction would also involve suspending plans to decommission nuclear operations in Belgium.

(Reporting by Sudip Kar-Gupta)