ROSATOM
STATE ATOMIC ENERGY CORPORATION “ROSATOM”
Rosatom Global Development: South African Perspective Nuclear Africa 2014 Congress
Nikolay Drozdov Director, International Business, State Corporation “Rosatom” President, JSC “Rusatom – International Network”
March 18-20, 2014 Midrand, South Africa
Rosatom: an overview
www.rosatom.ru
2
Rosatom offers complete solution from uranium supplies to NPP construction operation and decommissioning Key Activities of Rosatom*
Guaranteed supply of complete life-cycle products and services Flexible capabilities of NPP supply from components and services to turn-key and BOO projects
Fuel fabrication Mining TVEL
Conversion and enrichment TVEL Tenex
Gas centrifuges manufacturing TVEL
www.rosatom.ru
15 research organizations
ARMZ
Being a state corporation Rosatom is taking advantage of unique industry access to privilege resources
* Boxes include names of key Rosatom’s subsidiaries in the relevant sector
Research and development
Power equipment NPPs engineering and services & construction AEP ASE SPbAEP Gidropress NiAEP OKBM NUKEM Technologies
Spent nuclear fuel treatment Nukem Technologies Mayak, GHK
Atomenergomash Rusatom Service
Power Generation Rosenergoatom
The content of this presentation is for discussion purposes only, shall not be considered as an offer and doesn’t lead to any obligations to Rosatom and its affiliated companies. Rosatom disclaims all responsibility for any and all mistakes, quality and completeness of the information.
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Nuclear Innovation – Variety of Applications
Nuclear Icebreaker Fleet - #1 nuclear fleet in the world - Assures stable functioning of Northern Sea Route
Fast Reactors (Gen IV) - #1 fast neutron reactor in the world - #1 operating fast neutron reactor in the world - Broad development programme
Small and Medium Size Reactors - Variety of different designs with referent parameters - #1 floating NPP in the world is being built - #1 successful public-private partnership for developing SMR
Radiation Technologies - Isotope production - Nuclear medicine - Irradiation facilities www.rosatom.ru
The content of this presentation is for discussion purposes only, shall not be considered as an offer and doesn’t lead to any obligations to Rosatom and its affiliated companies. Rosatom disclaims all responsibility for any and all mistakes, quality and completeness of the information.
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Rosatom - Key figures
40+ countries
Revenue
Current Rosatom business presence
275 000 people
EBITDA
Number of employees
30 nuclear units Simultaneous implementation
Contract portfolio for the 10-year term * - 2012 Annual Report figures
www.rosatom.ru
The content of this presentation is for discussion purposes only, shall not be considered as an offer and doesn’t lead to any obligations to Rosatom and its affiliated companies. Rosatom disclaims all responsibility for any and all mistakes, quality and completeness of the information.
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Rosatom Global Operations
#1 in key segments
5 continents. More than 40 countries.
Europe Finland, Sweden, the Netherlands, Belgium, Germany, France, Spain, GB, Switzerland, Czech Republic, Slovakia, Hungary, Lithuania, Bulgaria, Slovenia
in uranium enrichment
CIS Russia, Ukraine, Kazakhstan, Belorussia, Armenia
North America USA, Canada, Mexico
in new NPPs construction
Asia China, Japan, South Korea, Vietnam, India, Bangladesh, Mongolia MENA Turkey, Libya, Morocco, Algeria, Egypt, Iran, Jordan
Latin America
Russian electricity generation Venezuela, Argentina, company, 25,2 GWe installed capacity Brazil
Australia Africa Namibia, South Africa, Tanzania
www.rosatom.ru
The content of this presentation is for discussion purposes only, shall not be considered as an offer and doesn’t lead to any obligations to Rosatom and its affiliated companies. Rosatom disclaims all responsibility for any and all mistakes, quality and completeness of the information.
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Target Map of Rosatom Regional Marketing Offices
Prague Kiev
Astana
Paris Istanbul
New York
Beijing
Mumbai
- Regional office Singapore
Rio de Janeiro
Johannesburg
North America: USA (New York)
Western Europe: France (Paris)
Eastern Europe: Ukraine (Kiev)
Latin America: Brazil (Rio de Janeiro)
Middle East and Northern Africa: Istanbul
China (Beijing)
Central Europe: Czech Republic (Prague)
Central and Southern Africa: South Africa (Johannesburg)
India (Mumbai)
www.rosatom.ru
Middle Asia (Astana) South-Eastern Asia (Singapore)
The content of this preсоsentation is for discussion purposes only, shall not be considered as an offer and doesn’t lead to any obligations to Rosatom and its affiliated companies. Rosatom disclaims all responsibility for any and all mistakes, quality and completeness of the information.
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Post Fukushima: responsible vendor approach
www.rosatom.ru
The content of this preсоsentation is for discussion purposes only, shall not be considered as an offer and doesn’t lead to any obligations to Rosatom and its affiliated companies. Rosatom disclaims all responsibility for any and all mistakes, quality and completeness of the information.
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Fukushima accident haven’t strongly affected the plans for nuclear energy development globally Eastern Europe
North America
Western Europe
150
135
38
24 24
32 29
Russia 31
Korea
113 113 114 114 111 99
120 123 114114
47 44
34 32 24 24
38 38 2012 2020 2030
30 31
2012 2020 2030
China
2012 2020 2030
120 124
21 21
74
2012 2020 2030
18
MENA
54
22
India
13
Installed capacity 12 12
-12%
17 11
2012 2020 2030
South Africa 652
36 37 37
South-East Asia
2012 2020 2030
-11%
World
62 2012 2020 2030
19 19
Latin America
66
26 27
10
GW, reference scenario
Japan* 2012 2020 2030
34
2012 2020 2030
5 5 10 7
9,4 7
588 2012 2020 2030
2012 2020 2030
Rosatom’s portfolio
515 460 2012 2020 2030
21
365 365 12
2012
2020
2030 2010 2011
Rosatom’s scenario before Fukushima
Rosatom’s scenario after Fukushima
www.rosatom.ru
Source: Rosatom analysis
* Does not include national nuclear power program potential strategy revision (to be revised shortly) The content of this preсоsentation is for discussion purposes only, shall not be considered as an offer and doesn’t lead to any obligations to Rosatom and its affiliated companies. Rosatom disclaims all responsibility for any and all mistakes, quality and completeness of the information.
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Nuclear – the only source that meets all the challenges
Affordability of electricity
GHG emissions free & environmental friendly
Fighting with “energy hunger” of growth regions
Meeting UNFCCC targets
Social & economical benefits Giving the boost growth and supporting sustainable development www.rosatom.ru
The content of this preсоsentation is for discussion purposes only, shall not be considered as an offer and doesn’t lead to any obligations to Rosatom and its affiliated companies. Rosatom disclaims all responsibility for any and all mistakes, quality and completeness of the information.
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Nuclear power brings more than just energy Additional gains from nuclear energy development
Growth of demand in other sectors of economy
Job creation
Industry and construction sector development
Electricity export opportunities
Development of science and education
Social infrastructure development
Tax payments growth Country’s reputation growth at regional level
Energy security development
content of this presentation is for discussion purposes only, shall not be considered as an offer and doesn’t lead to any obligations to Rosatom and www.rosatom.ru The its affiliated companies. Rosatom disclaims all responsibility for any and all mistakes, quality and completeness of the info rmation.
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Rosatom safe and mature VVER technology is one of the most referenced‌ VVER Global Fleet
Finland
Russia
Germany Ukraine
Bulgaria
Armenia China Iran
Czech Republic Slovakia
Hungary
India
Country
Constructed
In operation
Armenia
2
1
Bulgaria
6
2
China
2
2
Czech Republic
6
6
Finland
2
2
Germany
6
-
Hungary
4
4
Iran
1
1
India
1
1
Russia
17
17
Slovakia
6
4
Ukraine
15
15
TOTAL
68
55
All Russian designed reactors, including 37 VVER units operating outside Russia, successfully passed stress-tests, among those - 18 VVER units in 5 EU countries Rosatom actively supported and is confident in the results www.rosatom.ru
The content of this presentation is for discussion purposes only, shall not be considered as an offer and doesn’t lead to any obligations to Rosatom and its affiliated companies. Rosatom disclaims all responsibility for any and all mistakes, quality and completeness of the information.
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…and is highly welcomed worldwide… Great Britain Czech Republic 2 Slovakia 1 Hungary 2
4
Finland 1 Belorussia 2
Nigeria
2 Brazil 4
Argentina 2
Russia 9
Ukraine 2 Kazakhstan 2 5 Armenia China 1 Turkey 2 4 2 India Bangladesh 2 Vietnam 3 2 Jordan 12 2 Malaysia 2 Saudi Arabia Indonesia 2 2
South Africa 8
30
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In progress Tendering process/ negotiations
30
Potential
Rosatom NPP construction perspective backlog – more than 80 units www.rosatom.ru
The content of this presentation is for discussion purposes only, shall not be considered as an offer and doesn’t lead to any obligations to Rosatom and its affiliated companies. Rosatom disclaims all responsibility for any and all mistakes, quality and completeness of the information.
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‌ being a part of Rosatom unique integrated NPP construction solution Energy Solution
Modern NPP design (Gen III+) NPP construction and life cycle management support (fuel, services, modernization) Operation & maintenance
Regulation, Infrastructure and Public acceptance
Industrial Solution
Creation and development of regulatory base NFC facilities construction, SNF & RW management, Social-political programmes support
Rosatom Integrated Solution
NPP equipment manufacturing, service & works localization, Technology transfer, Certification of local suppliers, participation in Rosatom third countries projects
Financial Solution
Knowledge, skills, human capital Personnel education & training (incl. traineeship on NPP sites),
BOO projects implementation;
R&D base development,
Partnership projects
State credits,
NPP operation experience exchange
- basic principle
www.rosatom.ru
The content of this presentation is for discussion purposes only, shall not be considered as an offer and doesn’t lead to any obligations to Rosatom and its affiliated companies. Rosatom disclaims all responsibility for any and all mistakes, quality and completeness of the information.
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Akkuyu NPP project profile Key parameters Akkuyu is the first Rosatom’ foreign NPP project configured on BOO principles
• Project value – $ 20 bn. • Implementation period – 2011-2023 • Legal basis – Intergovernmental Agreement of May 12, 2010
• Reactor design – NPP-2006 (VVER-1200) • Total capacity – 4 800 MW (4 units)
• PPA period – 15 years, fixed price terms
Project highlights • First NPP project in Turkey
Turkey
• Sound Russian and Turkish State encouragement • Strong support to Turkey with regulatory system establishment and personnel training
Site – Akkuyu, province Mersin, Turkey
• The project is implemented in close cooperation with Turkish partners, involvement of Turkish suppliers mainly in civil construction
• International investors are welcome to join the project with up to 49% Akkuyu SPV stake
www.rosatom.ru
The content of this presentation is for discussion purposes only, shall not be considered as an offer and doesn’t lead to any obligations to Rosatom and its affiliated companies. Rosatom disclaims all responsibility for any and all mistakes, quality and completeness of the information.
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Rosatom and South Africa – sustainable and prominent cooperation
www.rosatom.ru
The content of this presentation is for discussion purposes only, shall not be considered as an offer and doesn’t lead to any obligations to Rosatom and its affiliated companies. Rosatom disclaims all responsibility for any and all mistakes, quality and completeness of the information.
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Rosatom is not new to Africa and understands its needs Key principles of Rosatom activities
Tunisia
Morocco Algeria
Industrial partnership (localization)
Egypt
Job creation
Investment attraction
Niger Senegal
Sudan
Infrastructure development
Nigeria Ghana
IGA for NPP construction signed in 2012
Social responsibility CAR Uganda
Tanzania Uranium exploration and mining projects development since 2008 Uranium enrichment product supplies since 1995 PBMR fuel project implementation in 2000-s MoU with NECSA signed in 2012 Marketing office opened in 2012
Case: Mkuju River project
Kenya Uranium exploration and mining project acquired in 2011
Biggest mining project in Tanzania Social infrastructure development (water, energy, roads)
Zimbabwe Namibia Botswana
South Africa
More than 5000 local jobs to be created
Strict fulfillment of environmental requirements and supporting initiatives around Selous park
content of this presentation is for discussion purposes only, shall not be considered as an offer and doesn’t lead to any obligations to Rosatom and www.rosatom.ru The its affiliated companies. Rosatom disclaims all responsibility for any and all mistakes, quality and completeness of the info rmation.
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Rosatom already has a successful story of mutually beneficial cooperation with South Africa Pebble Bed Modular Reactor Starting 2000, Nukem Group was involved in the construction of the PBMR fuel plant: • 4 contracts with PBMR were signed throughout the project timeline
• The project was terminated by the decision of the SouthAfrican Government in 2009.
Other cooperation areas
www.rosatom.ru
Enriched Uranium Products & Nuclear Fuel • Russian JSC “Tenex” is a traditional supplier of enriched uranium products to South Africa’s Koeberg NPP
• Russian VO “Izotop” collaboration with NTP Radioisotopes Pty. on radioisotope products supply
A consortium of Rosatom’s organizations participated in the isotope reactor construction tender (DIPR project) until it was frozen early in 2012. A Memorandum of Understanding between ASE-NIAEP, Nukem Technologies and NECSA was signed on November 25, 2013 (strategic partnership in design, engineering, procurement and construction of complex capital buildings).
The content of this presentation is for discussion purposes only, shall not be considered as an offer and doesn’t lead to any obligations to Rosatom and its affiliated companies. Rosatom disclaims all responsibility for any and all mistakes, quality and completeness of the information.
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Russian - South-African Cooperation in Nuclear Field – Prospective Cooperation
A new era of Russian – South-African cooperation backed by strong presidential support from both sides
“
There is great potential for the development of our cooperation in energy sector, first of all, in nuclear power. Russia is ready to provide South Africa assistance not only in the construction of NPP units (based on cutting-edge technologies), but also in creation of the whole national nuclear industry – from uranium mining, NPP and research reactors construction up to design and nuclear power equipment manufacturing.
”
Vladimir Putin, President of the Russian Federation (March 27, 2013)
www.rosatom.ru
The content of this presentation is for discussion purposes only, shall not be considered as an offer and doesn’t lead to any obligations to Rosatom and its affiliated companies. Rosatom disclaims all responsibility for any and all mistakes, quality and completeness of the information.
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Russian - South-African Cooperation in Nuclear Field – Prospective Cooperation Strategic partnership in nuclear field: comprehensive support in re-establishment of South African Nuclear Energy cluster and further joint activities on global market (in particular, in Africa)
Construction of research reactor Nuclear fuel cycle: guaranteed supply
Industrial development
Construction of new NPPs (9,6 GW) Personnel education and training
Financing support Other related areas
www.rosatom.ru
The content of this presentation is for discussion purposes only, shall not be considered as an offer and doesn’t lead to any obligations to Rosatom and its affiliated companies. Rosatom disclaims all responsibility for any and all mistakes, quality and completeness of the information.
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Partnership with Rosatom in localization could bring numerous opportunities to South Africa‌ Localization interaction subjects Savings from local deliveries
Revenue generation
Development of base for safe operation of new NPP Diversification of supplies
Rosatom
Local Suppliers
Government of South Africa
Technology transfer
Profits
Higher taxes amounts from salaries & company profits
Higher employment Improved GDP per capita Multiplication effects
Rosatom localization program is a Win-Win Strategy to support RSA economy through involvement of local suppliers into nuclear program www.rosatom.ru
The content of this presentation is for discussion purposes only, shall not be considered as an offer and doesn’t lead to any obligations to Rosatom and its affiliated companies. Rosatom disclaims all responsibility for any and all mistakes, quality and completeness of the information.
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…and result in significant effects to South Africa’s economy
www.rosatom.ru
The content of this presentation is for discussion purposes only, shall not be considered as an offer and doesn’t lead to any obligations to Rosatom and its affiliated companies. Rosatom disclaims all responsibility for any and all mistakes, quality and completeness of the information.
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Rosatom has already started active dialogue with South Africa’s nuclear industry
The 1st Regional Forum of Nuclear Suppliers “Atomex – Africa” was organized by Rosatom and held in Johannesburg on November 25, 2013 The Forum was attended by more than 200 participants from around 40 companies Rosatom presented its approach to working closely with South African suppliers of goods and services
This is just the beginning of the long journey of successful and fruitful cooperation
Join us at the International Forum “ATOMEXPO 2014” (9-11 June, 2014, Moscow, Gostiny dvor)
6th
www.rosatom.ru
The content of this presentation is for discussion purposes only, shall not be considered as an offer and doesn’t lead to any obligations to Rosatom and its affiliated companies. Rosatom disclaims all responsibility for any and all mistakes, quality and completeness of the information.
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Rosatom’s marketing office in Johannesburg
The re-established office will perform the role of the regional coordination hub for Rosatom’s activities not only in the Republic of South Africa, but also in the whole region of Central and Southern Africa
Mr. Alexander Kirillov
Sandton Convention Centre 161 Maude St, Sandton 2196, South Africa
Director, South African office, JSC “Rusatom – International Network” Nigeria Ghana
Kenya
Rosatom’s Marketing Office in South Africa was opened in July, 2012 as a branch of JSC “Rusatom Overseas”
In April, 2014 the office will be reopened as the subsidiary of JSC “Rusatom – International Network”
www.rosatom.ru
Tanzania
Namibia
Contact information: E-mail: aikirillov@rosatom.co.za Phone: 011 784 2554/2552/2469
The content of this presentation is for discussion purposes only, shall not be considered as an offer and doesn’t lead to any obligations to Rosatom and its affiliated companies. Rosatom disclaims all responsibility for any and all mistakes, quality and completeness of the information.
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Thank you for your attention!
Nikolay Drozdov Director, International Business, State Corporation “Rosatom” President, JSC “Rusatom – International Network” E-mail: NiSDrozdov@rosatom.ru Phone: +7 (499) 949-25-37 www.rosatom.ru
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Back-Up Slides
www.rosatom.ru
Rosatom Gen III+ NPP design
What is VVER? (Water-Water Power Reactor)
Protection from outer impacts
Forefront of nuclear technology – Generation 3+ reactor Proven and mature solutions – 1400 reactor years of total operating time
A high level of internal safety gained through evolution of design
Most demanded capacity suitable for various grid conditions – 10001200 MWe
Long – run facility – design lifetime of the main equipment: 60 years
High performing source of supply – availability factor ≈ 92 %
www.rosatom.ru
Hurricanes, tornadoes
Airplane crash Snow load
Tsunamis, floods
Outside explosions Earthquakes
Meets all current Russian and international safety standards and the IAEA requirements Widely referenced by utilities EUR certified
The content of this presentation is for discussion purposes only, shall not be considered as an offer and doesn’t lead to any obligations to Rosatom and its affiliated companies. Rosatom disclaims all responsibility for any and all mistakes, quality and completeness of the information.
Construction of a nuclear power plant brings numerous opportunities to suppliers Potential for external sourcing
Exclusive Russian supply NSSS**
Civil construction & engineering*
~10-15% Other Equipment
~50% ~35-40%
Examples of realized supplies • • • • • •
Valves, pumps and piping (6%) Other equipment (5%) Air cooling systems (3%) Turbine and generator equipment (6%) Electrical equipment (9%) I&C (6%)
Rosatom is ready for and has extensive experience in sourcing & localizing goods and services for new NPP construction projects
~ 15% - Russian supply ~ 30-40% - local content
~ 45-50% - global sourcing
Orders volume for 2013-2030 – more than $300 bln.
* Including design, project management, erection and commissioning works, training , etc. **Nuclear steam supply system
www.rosatom.ru
The content of this presentation is for discussion purposes only, shall not be considered as an offer and doesn’t lead to any obligations to Rosatom and its affiliated companies. Rosatom disclaims all responsibility for any and all mistakes, quality and completeness of the information.