The India-US civil nuclear deal seems to have helped to revive the fortunes of an as yet dormant nuclear power industry in the United States, where not a single plant has been built since 1973.

In the latest signs of a revival of the nuclear power industry in the US, Northrop Grumman Corporation has set up a joint venture with France's Areva SA  to build nuclear-reactor vessels, steam generators and other heavy equipment at Northrop's Newport News, Va, shipyard.

AREVA will hold 67 per cent and Northrop Grumman 33 per cent in the joint venture that is estimated to cost around $360 million.

The joint venture, Areva Newport LLC, plans to build a 300,000 sq ft world-class manufacturing and engineering in Virginia for Areva's third generation nuclear reactor, known as the Evolutionary Power Reactor, or EPR.

''Areva Newport News is powerful evidence of the reality of the US nuclear energy resurgence and our commitment to it," said Areva CEO Anne Lauvergeon.

''Areva intends to build one-third of all new reactors around the world and at least seven in the United States. AREVA Newport News is a key step in our dual strategy to increase domestic content in the new nuclear power plants we build and to produce in dollars area. Together with our Chalon/St Marcel plant in France, Areva strengthens its capabilities to supply the global energy renaissance,'' she added.

This joint venture would leverage Northrop Grumman's shipbuilding programme and expertise in building large nuclear and non-nuclear ships for the US Navy, said Mike Petters, corporate vice president and president Northrop Grumman Shipbuilding.

''Our shipbuilders embrace the opportunity to apply their considerable skills and training to a growing US energy sector, backed by the pro-growth environment of the Commonwealth of Virginia, employing the same dedication and commitment to domestic energy security that has been applied to national security," he said.

The facility, which would generate around 500 hourly and salaried jobs, could help stimulate the country's manufacturing sector through a planned resurgence of nuclear power.

''The nuclear power industry is bringing back 'made in America','' said Tom Christopher, CEO of AREVA Inc, the group's North American division. ''In addition to our joint venture with Northrop Grumman, we are working with Lehigh Heavy Forge in Bethlehem, Pa, to produce qualified forgings for the US EPR, further strengthening the US manufacturing sector. Each new Generation III+ nuclear power plant in the United States will create thousands of jobs and many more will be generated as industries gear up to supply the materials and components," he added.