A court Tuesday rejected a bid by local residents to force South Korea's oldest nuclear reactor to shut down immediately over fears of radioactive leaks.

The court in the southern city of Busan said the 30-year-old Gori-1 reactor is safe and being properly managed by its operator, state-run Korea Hydro-Nuclear Power Co, Yonhap news agency reported.

A group of 97 Busan residents had sought an injunction in April after the company decided in 2008 to extend the operations of the reactor, originally designed for only 30 years, for 10 more years.

The residents said extended use could lead to radioactive leaks.

Fears over nuclear power grew worldwide after Japan's earthquake and tsunami on March 11 badly damaged the Fukushima Daiichi plant.

Germany in May became the first major industrialised power to agree an end to nuclear power, with a phase-out to be completed by 2022.

"It is accepted that Korea Hydro is currently conducting proper technical management to keep under control potential risks stemming from the continued operation of the Gori-1 reactor," Judge Park Chi-Bong said in his ruling.

The court said major parts prone to wear have been replaced and new technology had been added to improve resistance to an earthquake or tsunami.

South Korea operates 20 nuclear plants, which generate some 35 percent of its electricity needs, and plans to build 12 more over the next 14 years.

The nation has vowed to stick to its atomic power development programme despite heightened concern following the Japanese crisis.

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