Centrica said that it reached an agreement with the U.K. government to extend the life of the Sizewell B nuclear power station through to 2055.

The U.K. energy company said it signed a 20-year agreement with the government, which includes a guaranteed strike price of 70.50 pounds ($94.18) a megawatt-hour for the electricity it produces from April 2035 to March 2055.

Centrica owns 20% of Sizewell B, while France's EDF commands the remaining stake. The plant is located on the east coast in Suffolk and is the U.K.'s only pressurized water reactor. The plant generates around 3% of the country's electricity.

The contract, called a contract for difference, helps shield lower-carbon energy projects with high upfront costs from volatile electricity prices by guaranteeing a sale price. The contract is expected to be finalized later this year, Centrica said.

As part of the agreement, the companies will spend roughly 800 million pounds on the life extension.

Write to Adam Whittaker at adam.whittaker@wsj.com

(END) Dow Jones Newswires

July 08, 2026 17:30 ET (21:30 GMT)

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