Nuclearelectrica starts the selection procedure for investors for completion of Units 3 and 4

Nuclearelectrica today announced the initiation of the procedure for selecting competitive investors to complete the project on the construction of Units 3 and 4 of the nuclear power plant from Cernavoda.

“Considering the high technological level of the project, the requirements regarding creditworthiness/ financial capability, operational and commercial experience, as well as the technological and managerial capability required for the development and construction of the project, the first phase of the process consists of a qualification session of the interested investors”, states a notification sent to the Bucharest Stock Exchange.

The selection will be made based on the qualification documentation submitted by interested investors which includes a letter of interest, identification documents, documents proving the relevant expertise, as well as documents attesting the financial capability. The deadline to submit the documentation is September 8, 2014.

Those declared eligible will be further requested to submit letters of intent, along with substantiating documentation which will be evaluated in order to select the investor for the negotiation phase. Nuclearelectrica’s strategy in this regard supposes the setting up of a joint venture with the private investor selected in which will have an interest of 49 percent. Hence, the nuclear company’s initial contribution to the share capital of the project company will amount to maximum 2 million euro. Also, the value of the investment of Nuclearelectrica in EnergoNuclear, its subsidiary established in 2009 for developing the project, will be transferred to the company appointed to run the project, according to the notification in question.

Completion of this project which requires funds of about 5 billion euro, in addition to existing assets owned by Nuclearelectrica, EnergoNuclear and the Romanian state, is part of Romania’s Energy Strategy 2007-2020, being considered a priority for the development of the energy sector.  The two new units will use CANDU 6 technology and are expected to have an installed capacity of at least 720 MW each.