Rosatom is a state-run high-tech company that has often been praised by the national government for its achievements. Today, the company is an undoubted leader in global nuclear construction. Alongside construction, Rosatom companies have competencies in non-nuclear and non-energy areas. Their versatile product portfolio comprises nuclear medicine solutions and radiation uses in agriculture, sterilization of surgical instruments, water treatment and desalination, as well as additive manufacturing, green energy technologies, IT, petrochemical equipment and services, security systems, composite materials, small-sized hydro plants, and many more.

Rosatom set an ambitious goal of raising proceeds from its new products to 30% of the Group’s total revenue by 2030, and the company has made considerable progress on its way to the goal over the recent years. Two years ago Rosatom’s revenue from new products already amounted to 14%. “Rosatom regards new markets as new growth opportunities that can be leveraged with resources from its nuclear power businesses. Our activities on new markets are in line with Russia’s national strategy and global technology trends, and can be of great importance to national security, improvement of living standards, and development of cutting-edge industries,” notes Kirill Komarov, Rosatom’s First Deputy CEO for International Business.

Nuclear science and technology centers in demand

Rosatom’s another product, which is worth special attention, is nuclear science and technology centers built around research reactors. Such centers now attract particular interest from emerging nuclear countries. Two of them will be built by Rosatom in Bolivia and Zambia. The work is now underway in Bolivia, with a set of required project documents already signed. The center will feature a multi-purpose gamma irradiation unit, a 200 kW pressurized water research reactor, a cyclotron, an engineering department and several research laboratories.

AEM expertise

Over many years of Russia’s nuclear industry development, its companies have acquired great expertise enabling them to come up with their own products for key national industries, be it power generation, petrochemistry, metallurgy or defense. This is best exemplified by Atomenergomash (AEM), Rosatom’s mechanical engineering division. Not long ago, AEM’s Hungarian subsidiary Ganz EEM signed its first contract for the supply of small containerized hydropower plants to Georgia. Each plant consists of a turbine and a set of auxiliary equipment in a container. Small hydro power plants boast low generation costs, short delivery time, fast and easy installation. They can serve either as independent power sources or an alternative to cost-inefficient and non-eco-friendly generators.

AEM also offers proprietary water treatment and desalination solutions for industrial, agricultural and public purposes. Many countries where Rosatom is building or plans to build nuclear power plants are in need of fresh water. Russian engineers have relevant experience as Russian-made equipment was in operation at a water desalination plant in Kazakhstan for 40 years.

Nuclear medicine

Nuclear medicine is a stand-alone business area for Rosatom. Companies of the Russian nuclear group manufacture a range of medical equipment and isotopes. Not long ago Rosatom set up the production of molybdenum-99, an isotope that is widely used in cancer treatment. Russian-made medical isotopes are now supplied to other countries. Rosatom has also established a new division – Rusatom Healthcare – to foster the development of nuclear medicine. It is also set to promote radiation technology designed for use in irradiation and sterilization centers. The new company will integrate Russian products in the area of nuclear medicine and promote them on global markets. The new company has an authorized share capital of 480 million rubles ($8 million), with 100% shares held by AtomEnergoProm, a state-owned holding company in charge of Rosatom’s civil assets, according to the Russian e-disclosure database.

All-out diversification

These are only a few examples of how Rosatom develops its new businesses and products. Another direction Rosatom is heading for is the wind power market. Last year, the company won a contract for the construction of three wind parks in Southern Russia, with investments totaling 1 billion euros. Russia’s nuclear medicine is gathering a head of steam, with medical isotope sales geography expanding. New products are also offered by TVEL Group companies. It is hardly possible to capture all the new business interests of the Russian nuclear corporation in one article. This is why the RN team launches a series of reports on Rosatom’s new businesses to be published during this year. Follow our news.

Kirill Komarov, Rosatom’s First Deputy CEO for International Business:

“Developing new businesses will also help us improve the involvement of facilities and highly-skilled professionals that are no longer engaged in the basic production due to asset optimization measures.

It takes a lot of time and painstaking work to establish a new business. You need to have in mind many questions that are not easy to answer, such as: How will the market (and its requirements) change short term and by 2030? What will be our source of proceeds? What will our product offer? What are our current competences and what are those we aim for? What is the scope and structure of resources we need? What are our competitors doing? The list will go on and on.

At first, it’s reasonable to base the business on the competences available thanks to the enormous potential the nuclear industry has developed over the years that we can use when engineering new products for key industries, such as oil and gas, electricity, metallurgy, ship and aircraft construction, rocket and space systems, defense, etc.

For these industries, Rosatom is ready to offer solutions that can easily meet even the strictest requirements to safety, reliability and efficiency, which has been acknowledged both in Russia and abroad. The solutions include instruments, additive technologies, metal-working, IT, electric, power-generating, radiation, security systems, geophysical and many other technologies.

We never get complacent, even if we already hold quite a strong position at the market. Business models change, so we intentionally improve and increase our range of products, including maintenance, training and other services. As a result, a lot of our “traditional” areas, in fact, develop into “new” ones. That is how we established the NPP Service abroad, power supply business, energy effectiveness services, etc.

As far as cooperating with foreign partners is concerned, we really appreciate their experience and competences, especially in the areas that we are only starting to work in. If an area allows sharing of experience, as well as production and management methods, with our foreign partners, we will cooperate with them, when it seems reasonable.

Already in 2017, the Russian Venture Company will organize a roadshow for Rosatom Group companies to present their innovations in robotic science, healthcare, fuel and power solutions, additive technologies, and other areas. The roadshow will help them benchmark their products against peers, and venture funds will have an opportunity to share their ideas of rolling out or promoting new solutions on the market.”