July 7 (Bloomberg) -- Mitsubishi Heavy Industries Ltd., Japan’s largest heavy-machinery maker, will hold talks with Luminant of the U.S. to supply what it claims will be the world’s biggest nuclear reactors.

The Tokyo-based manufacturer and Dallas-based Luminant, a unit of Energy Future Holdings Corp. signed a non-binding agreement July 1, along with their Comanche Peak Nuclear Power Co. joint venture, and Mitsubishi Nuclear Energy Systems Inc., the companies said in a joint statement today.

Mitsubishi Heavy wants to start marketing its newly- developed 1,700-megawatt nuclear reactors in the U.S. and Europe as governments increase efforts to counter global warming by burning less coal. The company has said it intends to double nuclear plant revenue to 600 billion yen ($6.3 billion) in the next 10 years.

Comanche Peak Nuclear Power, 88 percent-owned by Luminant, will fund the costs of adding two 1,700-megawatt reactors to its plant near Dallas and operate them. The units will employ Mitsubishi Heavy’s advanced pressurized water reactor, or APRW, the companies said in their statement.

Mitsubishi Heavy aims to sign a final agreement with Luminant to design and supply reactors by June 30, 2012, spokesman Hideo Ikuno said by telephone in Tokyo.

The U.S. Nuclear Regulatory Commission is reviewing the design of Mitsubishi’s new reactors and is due to complete the study by December 2011, the companies said. Luminant submitted an application to build and operate the two new reactors to the commission last year.

Mitsubishi Heavy will double its staff in the U.S. to about 200 by March 2010 to expand its marketing, the companies said. The Japanese equipment producer plans to open offices in four major U.S. cities, including Dallas and Pittsburg, to supplement the Washington D.C. base that started operating in July 2006.

A 1,700-megawatt reactor can meet the power requirements of about 875,000 Texan households, according to the statement.

To contact the reporters on this story: Shigeru Sato in Tokyo at ssato10@bloomberg.net; Yuji Okada in Tokyo at yokada6@bloomberg.net.

Last Updated: July 7, 2009 00:45 EDT