The South Korean presidential office said Saturday it is in close discussions with the US government to resolve a dispute between the two countries' companies over a nuclear power plant construction project in the Czech Republic.

"We are in talks with the US government through various channels to smoothly resolve the dispute," an official at the presidential office said, referring to the conflict between the Korea Hydro & Nuclear Power Co. and American energy firm Westinghouse Electric Co.

A South Korean consortium, led by KHNP, was named as the preferred bidder for a nuclear power plant project in the Czech Republic last month, which is estimated at around 24 trillion won ($18.06 billion).

If a deal is finalized, it will mark the first time since 2009 that South Korea has won an overseas nuclear power plant construction project, following its contract to build the Barakah Nuclear Power Plant in the United Arab Emirates.

But the project is expected to be involved in an ongoing court case that Westinghouse raised against KHNP in 2022 to prevent the Korean company from exporting nuclear power plants to other nations under a US export control regulation.

Last year, a US district court dismissed the lawsuit, determining Westinghouse is not qualified to take the legal move as it "lacks a private cause of action," but the US energy firm appealed the ruling.

The presidential office said it plans to "closely consult" with the US on the matter to successfully export South Korea's nuclear power plant to the European country.

"The governments of South Korea and the United States also have reached a consensus that the two sides need to cooperate on all aspects of energy, from nuclear power to renewable energies, including hydrogen," the presidential office said.

President Yoon Suk Yeol is arranging a visit to the Czech Republic next month to deepen bilateral economic ties and discuss the nuclear power project.