Construction plans
The Memorandum lays the ground for cooperation in the joint construction project in Argentina – a new power plant unit with a 1,200 MW Russian designed VVER reactor– and sets the signing of an NPP construction agreement as a top priority.
According to Sergei Kirienko, the work is already underway to draft the document. “We offer Argentina our latest 3+ Generation nuclear power technologies meeting the contemporary safety standards and showing greater economic efficiency. Backed by reliable operation of nuclear power plants, our unique expertise in nuclear construction is known all over the world. I am sure that the agreement we are working on will be mutually beneficial, focused on long-term cooperation and in line with abilities of the parties,” noted Mr. Kirienko.
As part of the ceremony, Rusatom Overseas, Rosatom’s agent on foreign markets, and the Argentinean nuclear power regulator Nucleoeléctrica Argentina S.A. signed a draft agreement on nuclear plant construction in Argentina. The agreement provides for the scope, rights, obligations and other terms of cooperation between the parties in the construction of the Russian designed nuclear power station.
Other documents signed during the official visit of the Argentinean President Kristina Kirchner to the Russian Federation were two memorandum of understanding between TVEL Fuel Company, the National Atomic Energy Commission of Argentina and INVAP S.E. The memorandums provide for a broad cooperation and joint initiatives in the field of nuclear energy, including deliveries of low-enriched uranium fuel and its components for the research and power reactors in Argentina, TVEL-manufactured zirconium components of the nuclear fuel cycle, and joint research and development projects.
Prospects for Argentina
Sergei Kondratiev, a nuclear energy expert with the Economic Department of the Energy and Finance Institute, views the agreement as an opportunity for Rosatom to further diversify its portfolio and improve revenue and margins. “Construction of a nuclear power plant in Argentina may become a symbol of its new energy policy,” believes Mr. Kondratiev. “In this context, Rosatom is definitely interested in new orders. We should also take into account that until recently Latin America has been a domain of American and European companies. This was the reason why Rosatom had no projects in this part of the world. The agreement with Argentina represents an entry into a new, promising market.”
The expert highlights that neighboring Brazil gives serious thought to nuclear energy as demand for electric power is growing at a fast pace while energy prices, mostly gas, are high enough and the most efficient hydro power plants have been already built. “It means that nuclear power stations may be an adequate response to the challenge of growing power demand. The deal opens favorable prospects for Rosatom particularly if other countries in the region follow Argentina and set their eyes on the Russian nuclear contractor.”
