EPCM Contract for Cernavoda NPP Units 3 and 4 Signed at COP29
EnergoNuclear, a Nuclearelectrica fully owned subsidiary, and FCSA Joint Venture comprised of Fluor B.V., Fluor Energy Transition Inc. Wilmington Bucharest Branch, Candu Energy Inc., an AtkinsRéalis company, Ansaldo Nucleare S.p.A., S&L Engineers, Ltd. and Sargent & Lundy Energie S.R.L signed the Engineering, Procurement and Construction Management (EPCM) LNTP phase contract for the advancement of Cernavoda NPP Units 3 and 4 at COP29 in Baku. The contract price for both the LNTP and subsequent FNTP phase of the EPCM contract is estimated at EUR 3,2 billion.
The EPCM contract, with an estimated duration of 108 months, is structured in two phases, namely the Limited Notice to Proceed (LNTP) phase (24-30 months) and later, subject to commercial terms being further refined and agreed and the Final Investment Decision being taken in in line with the Support Agreement between the Romanian State and SNN, the Final Notice to Proceed (FNTP) phase (80-84 months). It provides for EPCM-type services such as: design services required for developing specific types of documentation, project development and management services, engineering services, procurement assistance services, technical assistance services up to the commissioning of the Units and quality assurance and development of an integrated quality assurance system, applied in the Contractor’s offices and also on site.
“Today marks a major milestone in the advancement and ultimately completion of Romania’s strategic Cernavoda NPP Units 3 and 4 project. The EPCM contract represents the very foundation of the project. We are honored to work on this contract and project with highly professional, internationally recognized partners such AtkinsRéalis, Fluor Corporation, Ansaldo Nucleare, Sargent and Lundy as the success of a project derives from both expertise and robust technology. Units 3 and 4, CANDU technology, will provide Romania with energy security and clean energy in a safe and sustainable manner. Once Units 3 and 4 are connected to the grid, 66% of Romania’s clean energy will be provided by nuclear energy, showcasing, one more time, the critical role of nuclear energy in deep decarbonization. I express my strong appreciation to the EnergoNuclear team, SNN team and our partners for their professionalism and joint efforts into building together a solid project,” stated Cosmin Ghita, Chief Executive Officer, Nuclearelectrica.
“CANDU technology has served Romania well and is the right choice for the next 60 years,” said Joe St. Julian, President, Nuclear, AtkinsRéalis. “The last seven CANDU reactors built around the world, and the ongoing life extension of 10 CANDU reactors in Ontario, have been conducted on time and on budget. We will employ our unmatched nuclear power know-how as the steward of this technology, to ensure a similarly successful outcome for the build of these two new units in Romania.”
The signing of the EPCM LNTP Phase contract for Cernavoda NPP Units 3 and 4 leads the transition into the second FNTP phase of developing the project by the end of which the Final Investment Decision for advancement to Stage III (Construction) will be adopted. At the end of FNTP phase, the project feasibility shall be re-examined based on the new technical and economic indicators and the Final Investment Decision shall be adopted, therefore enabling the advancement to Stage III.
“We’ve worked with the United States and Romanian governments since the inception of their 2020 intergovernmental agreement to enable cooperation to advance the Cernavoda projects and the civil nuclear power sector in Romania,” noted Sargent & Lundy Chairman, President and CEO Victor Suchodolski. “We bring our comprehensive large-scale integrated nuclear plant design expertise to help provide safe, reliable and sustainable solutions to Romania. Together, we’re striving to meet the world’s growing energy needs while reducing carbon emissions.”
“This project is a significant milestone that brings Italy together with key international partners. In light of growing electricity demand, nuclear power plays a vital role in energy security and in the transition to cleaner energy,” mentioned Daniela Gentile, CEO of Ansaldo Nucleare. “This agreement not only emphasizes the importance of international collaboration and Europe’s commitment to nuclear energy but also reflects confidence in Ansaldo Nucleare’s 60 years long expertise”.
“Nuclear energy is a safe and clean source of reliable baseload electricity, which is critically important to meeting growing power demands globally,” added Pierre Bechelany, President of Fluor’s LNG & Power business, who attended the signing. “Fluor is pleased to be a part of such an important project for Romania and eastern Europe.”
Through the development of the CANDU Units 3 and 4 Project, Romania will reach about 19,000 indirectly generated jobs, and the contribution of nuclear energy in the total energy production at national level will reach 33%, considering an increase in consumption of 2.1% per year. 20 million tons of CO2 will be avoided annually with 4 units in operation. In addition to the positive impact on energy stability and the achievement of decarbonization targets, nuclear power projects also contribute to the development of the domestic supply chain.
