The parties signed a Project Development Agreement aiming at a nuclear power plant supply contract for the Hankiviki-1 NPP in Finland. The construction site was chosen by Fennovoima back in 2011. In January 2012 the company received rector construction options from French Areva and Japanese Toshiba. The negotiations were going on for a year and the last changes in the offer were made this January. Soon, after considering the results of general assessment, the board of directors of the Finnish operator decided to stop application processing and pass to direct negotiation with Toshiba and also to start expediency consideration for a medium power reactor installation. Direct negotiations with Rusatom Overseas began in April 2013, that’s what Fennovoima decided to concentrate on right now.

Reference
Rusatom Overseas, a subsidiary of the State Atomic Energy Corporation Rosatom, was founded in 2011 with the aim of promoting Russian nuclear technology on the global market. Rusatom Overseas acts as an integrator of Rosatom’s complex solutions in nuclear energy, manages the promotion of the integrated offer and the development of Russian nuclear business abroad, as well as working to create a worldwide network of Rosatom marketing offices. Rusatom Overseas also acts as a developer of Rosatom’s foreign projects, which are implemented with the build-own-operate (BOO) structure. Dzhomart Aliev is the General Director of Rusatom Overseas.

The document signed determines the parties’ goals, the negotiations will continue until the end of the year, when the NPP construction contract is expected to be signed. In addition, negotiations on Rusatom Overseas acquiring 34% share in the capital of Fennovoima are being carried out. Today Fennovoima is owned by 60 companies representing industry, trade, and energy sectors from all around Finland. As says Rusatom Overseas, the Russian 1200 MW reactor is in accordance with the needs of Fennovoima’s owners. Besides Rusatom Overseas’ implementation model and the offer as a whole are suitable for Fennovoima’s project. The plant corresponds with IAEA and EUR requirements, and for licensing purposes it will be adapted to go in accordance with Finnish national safety standards. In Finland, two VVER-440 plant units have been used safely in Loviisa for decades, which also counts in favor of the Russian offer.