Real estate business at Nuclearelectrica: The company will buy a land from the group of businessman Teofil Mureșan, for mini-rectors / How the Ministry of Energy explains the decision

The Ministry of Energy has asked the nuclear shareholders to agree with the purchase, through the company Ropower, of the land on which the mini-reactors would be built from Nova Power & Gas. The shareholders approved this business on Wednesday. The amounts necessary for the real estate investment have not yet been made public, but would be provided by Nuclearelectrica, by loan. The land is located in the Doicești area, Dâmbovița county.

The Ministry of Energy asked the nuclear shareholders to agree with this real estate investment before the investment decision in the nuclear mini-reactors from Doicești was taken.

The owner of the land is Nova Power & Gas SRL, a company that is the Nuclearelectrica partner even in the project company, Ropower, who would make the purchase. Nova Power & Gas has as main field of activity the supply of gases and the businessman Teofil Mureșan, his brother Simion Mureșan, and Marian Pantazescu, is controlled.

Ropower Nuclear SA, the project company, is owned in equal levels by the state company Nuclearelectrica SA and by the company Nova Power & Gas, being established in September 2022.

The CEO and president of the American developer Nuscale, John Hopkins, said that the final investment decision is expected at the end of 2025. At this time, the 462 MW mini-reactors (SMR) are in two phase of engineering and design studies (Feed 2). Only after these studies will be completed, will we know whether or not the mini-reactors will be built in Romania.

Ministry of Energy: Holding the land is a necessary condition to make the final investment decision

The Ministry of Energy transmitted, at the request of HotNews, that “the ownership of the land represents a necessary condition to make the final investment decision, to maintain the project calendar and to obtain all the necessary authorizations for carrying out an investment project of this kind”.

Asked what is the purpose of purchasing the land, the Ministry of Energy replied that it represents a necessary condition for the development of the SMR Doicești project. The Ministry of Energy argues that for making final investment decisions it is necessary to complete the technical studies and obtain all the authorizations from the competent authorities, certificate of urbanism and environmental agreement.

“Obtaining these authorizations is closely linked to the prior security of a property right over the Doicești site,” said the Ministry of Energy.

“In order to limit the speculative risks, Ropower Nuclear SA, being a project company, can call on the loan, this financial approach being specific to the initial stages of major projects. In the account of the loan granted, SN Nuclearelectrica SA will have a mortgage 1 on the land, based on a mobile mortgage contract that will be concluded between SN Nucle. The Ministry of Energy also shows.

According to him, the land will be sold at the market value established on the basis of an evaluation report accepted by the parties, prepared by an independent authorized evaluator.

The Ministry of Energy also says that the Doicești site was chosen following the analysis and evaluation of several sites on the territory of Romania.

Ropower works with loans guaranteed by nuclearelectrica

Ropower company, which is half a private, half state, does not have the money needed for the land, as it does not have for the design of the mini-rectors from Doicești, developed by the Americans from Nuscale. This is the reason why it is borrowed from nuclearelectrica or with guarantees from nuclearelectrica.

The technical studies in the second stage are expensive, the estimated value of these services are $ 156 million. The exact amount will be established according to the number of hours performed and the costs incurred by the service provider.

These studies are conducted by the American company Fluor Corporation, as the main contractor, and nuscale, the American company that develops the mini-reactors, as a subcontractor.