A Canadian nuclear technology company has raised CAD$10 million (£4.8m) for a project.

Terrestrial Energy aims to bring its Integral Molten Salt Reactor (IMSR) technology to industrial markets in the 2020s.

MSRs are nuclear reactors that use a fluid fuel in the form of a molten fluoride or chloride salt, different to conventional nuclear systems that use solid fuel.

As an MSR fuel salt is a liquid, it functions as both the fuel – producing the heat – and the coolant – transporting the heat away and ultimately to the power plant.

The company claims IMSR will offer reliable power solutions for electricity production, both on and off-grid and also energy for industrial process heat generation.

It adds “the IMSR energy and heat capabilities have the potential to significantly extend the applicability of nuclear energy far beyond its current footprint”.

“With this profile, the IMSR is capable of driving the rapid global decarbonisation of the primary energy system by displacing fossil fuel combustion across a broad front,” it states.

Terrestrial Energy is currently developing a commercial demonstration power plant in Canada. It will use the funding to finance pre-construction and pre-licensing engineering to support further engagement with industry and nuclear regulators.

James Reinsch, Terrestrial Energy shareholder said: “Market need has never been greater for true game-changing energy innovation. Nuclear power is recognised as probably the only energy technology today that has the scale to displace polluting energy sources without sacrificing cost-competitiveness and perpetuating energy poverty for billions.”

Last week UK Energy Secretary Amber Rudd said small modular nuclear reactors (SMRs) will benefit from investment going forward following Chancellor George Osborne’s pledge to double spending on energy research, with a “major commitment” to SMRs.