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Russia to finance construction of nuclear power plant in Finland

Rusatom Overseas and the Finnish Fennovoima nuclear consortium signed a contract on the construction of the nuclear power plant in the end of December 2013

State Nuclear Energy Coropration Rosatom Chief Sergei Kiriyenko ITAR-TASS/Alexander Astafyev

State Nuclear Energy Coropration Rosatom Chief Sergei Kiriyenko

© ITAR-TASS/Alexander Astafyev

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HELSINKI, February 25. /ITAR-TASS/. Russia intends to finance the construction of Hanhikivi-1 nuclaer power plant in north-western Finland from the Russian National Welfare Fund, State Nuclear Energy Coropration Rosatom Chief Sergei Kiriyenko told a news conference on Tuesday.

Rosatom won the tenders and gained support of the Russian government, which is prepared to invest into the project from the National Welfare Fund, Kiriyenko said. He explained that the funds would be borrowed from the budget reserve and that the money would not be needed in Russia for several dozen years. A number of banks had earlier declared that they were ready to finance the project on advantageous terms, Kiriyenko added.

Rosatom's affiliate "Rusatom Overseas" and the Finnish Fennovoima nuclear consortium signed a contract on the construction of the nuclear power plant in the end of December 2013.

Under the contract, Rusatom Overseas is to provide a nuclear reactor with a capacity of 1,200 Megawatt. Rusatom is entitled to 34% of shares at the Fennoima Charter capital.

The construction of the nuclear power plant will not start until 2015. According to media reports, the cost of the project is €6.5 billion, including €1.6 billion contributed by Fennovoima, and the Rusatom OverSeas financing the remainder.

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