Cincinnati (AP) -- Department of Energy officials will not guarantee a loan to a company that had been developing a uranium enrichment plant project in southern Ohio.
DOE officials said today that the facility has promise but they don't believe it's ready to move forward.
Energy department officials asked USEC Inc. to withdraw its loan application so it can resolve technological and financial issues and be considered again in 12 to 18 months.
The Bethesda, Md.-based USEC Inc. says it is suspending project construction but is not withdrawing its application and will look for other financing.
Company spokeswoman Elizabeth Stuckle says the company believes the technology is ready to be deployed.
USEC has been developing the project in Piketon, about 65 miles south of Columbus. The company says the $3.5 billion project would create thousands of jobs.
(Copyright 2009 by the Associated Press. All rights reserved.)