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Monday, April 11, 2011

Japanese Crisis Is a Catalyst for Technology Profits

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Japanese Crisis Is a Catalyst for Technology Profits
By Ray Blanco
April 11, 2011


Dear Penny Sleuther,

Japan is still reeling from the major natural disaster that struck a couple weeks ago. Over the few weeks, the news media and blogs have been full of images and videos showing massive damage sustained by towns in northern Japan. It is truly painful to watch.

One of the major difficulties stemming from the earthquake/tsunami, as you know, has been damage to several nuclear reactors in the vicinity of the disaster at the Fukushima power plant. The plant’s emergency backup systems seem to have functioned properly after the earthquake. The reactors immediately shut down, and backup diesel electrical generators began supplying power to the coolant pumps.


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The tsunami that followed, however, damaged the diesel generators, and the result is that the reactors themselves have begun to overheat. Emergency measures are under way to cool the reactors, but the immediate vicinity has become dangerously radioactive for human beings. The Japanese are robotics experts. We need to develop better robots to cope with these kinds of situations.

I grew up, by the way, only a few miles away from a nuclear reactor. The fact is, in terms of lives lost, nuclear is far safer than other sources such as coal. Coal plants actually put more radioactive material into the environment than nuclear ones. Growing up, the only thing I remember anybody worrying about was the possibility of Fidel Castro sending a surprise strike from Cuba against the reactors. His supersonic Russian fighters are only a few minutes away from Florida, and Cuban pilots have been able to defect to U.S. airports without detection.

Right now, one of the greatest threats in Japan seems to be related to cooling ponds storing spent nuclear fuel rods at the site of the plant. These ponds are reported to be draining, and the spent rods are overheating. Like the U.S., Japan seems to prefer storing nuclear waste on-site. Looking at how an adverse reactor event can cause problems for waste fuel storage, this is a big mistake.

Simply storing nuclear waste may not be the best policy. If spent fuel rods are reprocessed, they can be used as fuel in next-generation nuclear reactors. Thorium-based fuel rods, for example, can use a “seed and blanket” design. Wastes such as plutonium are incorporated into the “seed” at the center of the rod. Burning these wastes as fuel reduces the really bad radioactive elements to a fraction of what they were originally. Of course, you also get plenty of electricity in the process.


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Boiling water uranium reactors like those at Fukushima require constant cooling to prevent meltdown. However, newer designs based around thorium fuels do not need water to prevent meltdown. They require water to sustain the reaction. Remove the water coolant, and the fission reaction ceases.

The reason for this is because of the speed of the neutrons produced by the radioactive decay of the nuclear fuel. In these newer designs, water is needed to slow the neutrons down enough for them to be able to sustain a fission reaction. Without water, the neutrons are moving too fast to split atoms.

My understanding is that the first reactor to experience severe problems after the tsunami was scheduled to be taken off line two weeks after the date of the quake. If the earthquake had occurred a few weeks later, events would have been different. Two other elderly reactors at the plant had already been shut down when the disaster struck.

The Fukushima plant uses early-generation reactors that are over 40 years old. The reactors were designed to withstand an 8.2 magnitude earthquake. The Tohoku earthquake, however, was a 9 on the Richter scale, and was shortly followed by a tsunami. The fact that these ancient designs have held up so well under such unimaginably catastrophic conditions actually demonstrates that nuclear technology is safe.


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We need to upgrade our reactors here in the U.S. as well. More than half of our reactors are over 50 years old. They need to be replaced with newer, safer designs. However, we are already seeing news stories about the events in Japan killing the so-called “nuclear renaissance” in the U.S. Germany has preemptively shut down many older reactors. It seems politically unlikely that we will be rolling out next-generation nuclear power here anytime soon… which I think is irrational.

Of course, this means we will turn to other sources for electricity. In a domestic environment in which new nuclear plants are not likely to be built, I suspect we will see increased use of wind turbine electricity generation.

China is planning massive growth in wind turbine installations. And, in the wake of the Fukushima meltdown, it is possible that Japan will grow domestic power generation with wind technology as well. This is an investment opportunity you don’t want to miss.

Ad lucrum per scientia (toward wealth through science),

Ray Blanco
Penny Sleuth

P.S.: Within the pages of Technology Profits Confidential I have a small-cap wind turbine company that is also working on a smart grid technology that will surely change the world. To learn about this amazing company, what they are working on, and how you can profit, simply click here.

Japanese Crisis Is a Catalyst for Technology Profits is featured at Penny Sleuth.



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