AECL to study feasibility of 2nd N.B. reactor: report

New Brunswick hascommissioned Atomic Energy Canada Ltd. to study the possibility of building a second nuclear reactor, says a newspaper report.

"The province has struck a deal with [AECL]and Team Candu to launch a feasibility study, which will be paid for by Team Candu, on a second nuclear unit for Point Lepreau,"an anonymoussource told Irving-owned Moncton Times & Transcript.

The source told the newspaper Energy Minister Jack Keir will announce the Liberal government'sdecision soon.

The $2 million to $3 million study, which will take a minimum of six months to complete, will determine if there's a market for power generated by an additional reactor, the source said.

Asecond reactor at NB Power'sPoint Lepreau nuclear generating station on the Bay of Fundy was one of now premier Shawn Graham's election promises last summer.

NB Power was granted an interim rate increase of 9.6 per cent in June. Rising fossil fuel prices for the province's other power-generating facilities have been blamed for rising electricity prices.

French company Areva NP had previously approached the province for the job of building the reactor.