“Rosatom” found 10 billion in Turkey

“Rosatom” found 10 billion in Turkey

After many years of negotiations, Rosatom decided on a pool of Turkish investors, who will receive 49% in the project of the Akkuyu nuclear power plant under construction. A consortium of three large multi-profile corporations Cengiz Holding, Kolin Insaat and Kalyon Insaat, which already have energy assets in their portfolios, will receive a stake. The parties do not disclose the transaction value, but Turkish companies invest in the project in proportion to their participation. Thus, the consortium’s contribution will be about $ 10 billion, but, experts say, the financial situation of new investors is fairly stable and they have access to loans from Turkish state-owned banks.


“All the companies included in the consortium are very large contractors who have good relations with the Turkish authorities, therefore the decision on their participation in NPP capital was expected,” said Volkan Ozdemir, director of the Turkish Institute of Energy Markets and Politics. He also notes that Cengiz and Kolin are significantly present in the energy sector of Turkey: they jointly control about a third of the market for the distribution and sale of electricity in the country, they also have generation. According to the expert, the financial position of these companies is quite strong, and, if necessary, “they can easily turn to state-owned banks”. At the same time, Cengiz Holding is already a contractor for the construction of hydraulic structures of the nuclear power plant.



The consortium of Turkish companies Cengiz Holding AS, Kolin Insaat and Kalyon Insaat can get up to 49% in Akkuyu Nukleer AS (it builds and will operate the Akkuyu nuclear power plant). Yesterday, Rosatom signed a consortium term sheet with the main terms of the transaction. The deal itself, according to the first deputy head of state corporation Kirill Komarov, is planned to be closed before the end of the year. “After signing the term sheet, we will officially address the Turkish government for approving these shareholders and this deal. As soon as we receive it, we will start working on legal documents, “explained Mr.


Akkuyu will be the first nuclear power plant in Turkey, it should consist of four blocks of 1.2 GW, Moscow and Ankara signed an intergovernmental agreement on its construction in 2010. This is the first and so far the only NPP abroad that will belong to Rosatom – it is built according to the BOO (build-own-operate) scheme. The return of investments is expected due to fixing the tariff – USD 12.35 per kWh for 75% of the electricity of the first two units and 25% for the third and fourth generation, on the Russian side the project is co-financed by the state loan. The state corporation has not yet started active construction: in the near future, the Turkish Atomic Energy Agency should issue a permit for the construction of a non-nuclear part of the nuclear power plant.

Last June 15, Akkuyu Nukleer received a license for generation until 2066. The main license for the construction of “Rosatom” should be granted in March 2018,


The total cost of the project was previously estimated at USD 20 billion, and part of that amount was planned to be attracted by selling a non-controlling interest (according to intergovernmental agreement, Rosatom’s share should not be less than 51% ). According to the terms of the term sheet, the Turkish consortium invests in the project of building the nuclear power plant in proportion to the repurchased share. The construction model assumes that the completion of the third and fourth power units Akkuyu will be partly financed through the development of the first two.

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Arnaud Lefevre

Arnaud Lefevre is the Chief Executive Officer of Dynatom International. Arnaud is in charge of the international development of the business portfolio.