US EXIM approves USD 99 mln loan to support development of small modular reactor in Romania
The US official export credit agency, EXIM Bank, has approved a financial commitment of up to USD 99 million to support the development of Romania’s 462 MW small modular reactor, or SMR, project near the village of Doicești.
The funds are designated for RoPower Nuclear SA, a joint venture equally controlled by the state-owned company Nuclearelectrica, which operates the Cernavodă nuclear power plant, and the private company Nova Power & Gas part of the E-INFRA group.
Earlier this summer, a South Korean investment fund also obtained preliminary national security approval from the Romanian government to acquire one-third of the capital in RoPower Nuclear SA.
The money will specifically go toward critical activities such as site development, obtaining regulatory approvals, and conducting detailed engineering work, according to RoPower Nuclear. The commitment is part of an initial USD 275 million funding package, which includes significant contributions from other international institutions like the US International Development Finance Corporation and private partners, according to Profit.ro.
"The small modular reactor project at Doicești is a strong signal from Romania, along with its strategic partner, the United States, regarding energy independence and security, innovation, and a pragmatic green transition from coal to nuclear energy," said energy minister Sebastian Burduja.
Romania’s planned SMRs make use of technology developed by US company NuScale. In November of last year, NuScale officially canceled a similar project in the United States, titled the Carbon Free Power Project located in Idaho, which was set to be the first of its kind. This came after investment costs for the CFPP were raised by over 75%, from USD 5.3 billion to USD 9.3 billion, due to rising material and equipment costs, as well as increased financing costs amidst soaring interest rates and high inflation.
Romania's Ministry of Energy estimates that the SMR project in Doicești will require a budget of USD 4.9 billion. According to RoPower Nuclear, the project will help Romania reduce carbon emissions by approximately 4 million tons annually.
(Photo source: Nuclearelectrica)
