Centrica Extends Lifespan of Two UK Nuclear Power Stations

Centrica (LON:CNA) announced life extensions for two of its UK nuclear power stations, Heysham 1 and Hartlepool.

Centrica shares, which are down around 2% so far in Tuesday's session, have seen a YTD increase of 16.9%, reflecting growing investor confidence in the company's strategic direction and contribution to UK energy security.

The extensions push the stations' operational lifespan to March 2028, a year beyond previous expectations.

The extended operation of Heysham 1 and Hartlepool is projected to add approximately 3 TWh of electricity generation to Centrica's volumes between today and 2028.

The company said the additional output will further reduce the reliance on fossil fuels and support the UK's ambition for a clean and secure energy supply. These stations currently power over 4 million homes annually.

Centrica's commitment to nuclear power extends beyond existing stations. The company recently acquired a 15% equity stake in Sizewell C, a new 3.2GW nuclear power station currently under construction in Suffolk, with committed construction funding of £1.3 billion.

This long-term investment aims to provide zero-carbon baseload power for at least 60 years, supporting the UK's decarbonization goals.

The total life extensions announced since December 2024 are projected to add approximately 12 TWh to the Company's electricity generation volumes between 2026 and 2030.

Chris O'Shea, Chief Executive of Centrica stated, “The UK needs more reliable, affordable, zero-carbon electricity, so the extension of Heysham 1 and Hartlepool is great news.”

“We believe in having a diversified energy system, with nuclear power playing a key role in ensuring stability and sustainability for decades to come,” added O'Shea. Our recent investments in Sizewell C and the Isle of Grain LNG Terminal further underscores our commitment to securing the UK's energy future through a range of low-carbon technologies.”