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RAOS Project Oy considers Fennovoima reasons for terminating the Hanhikivi 1 delivery contract unfounded RAOS Project Oy, PUBLISHED 07.05.2022 RAOS Project Oy confirms that Fennovoima Oy has informed it of the termination of the contract for delivery of the Hanhikivi 1 nuclear power plant. We are extremely disappointed that Fennovoima has taken the decision to terminate the contract, as already stated before. The arguments presented by our Finnish partners for the termination contradict the actual status of the project and Fennovoima's earlier statements noting the progress and prospects for its successful completion. Project has progressed in accordance with the schedule The project suffered some early delays, which is not unusual in complex nuclear construction projects, where safety and quality have the priority, but has recently progressed with the finalization of the design. RAOS Project has at the end of 2021 and in accordance with the agreed updated schedule, delivered the necessary documents of the preliminary safety analysis report and the technical safety assessment of the design, demonstrating that the plant conforms with the safety levels applicable to new nuclear power plants in Finland, which were updated in 2018 and 2019. Fennovoima accepted the plant supplier's safety assessment in January 2022, but has delayed delivery of the documents to the Radiation and Nuclear Safety Authority (STUK) as Fennovoima's own independent safety assessment has not progressed on schedule. RAOS Project has done everything in its power to expedite this work, but to ensure the required independence of the license applicant Fennovoima, the plant supplier can not by law carry out these important responsibilities. Rosatom is experienced and capable nuclear power plant supplier Rosatom is currently implementing several nuclear newbuild projects in Russia and abroad, among these well-progressing construction works in China, India, Bangladesh, Belarus and Turkey, the projects abroad in construction stage involving altogether 15 reactor units of essentially the same type as Hanhikivi 1. In China and in India, six reactors with similar technology have generated power with high reliability already for several years. The Hanhikivi 1 project must comply with unique and continuously improved STUK safety regulations, which require a comprehensive safety demonstration prior to start of construction of the nuclear facility. Contrary to Fennovoima's claims, at the end of 2021 all essential safety case documents were ready for STUK's review, with progress dependent on Fennovoima, which job it was at this stage to coordinate directly with STUK to obtain final clarifications and documents. The decision of the Finnish partners to terminate the Hanhikivi-1 NPP project is non-market and politically motivated. Rosatom has sufficient resources and the necessary organizational flexibility to fulfill its contractual obligations even in a difficult current environment. Above all, we remain concerned for the safety of our Ukrainian colleagues, their families and others close to them, and hope for a speedy return of peace. In the meantime, RAOS Project has drawn up contingency plans and, for example, explored options for forging of the reactor pressure vessel for Hanhikivi 1 elsewhere than the Kramatorsk plant in Ukraine. Rosatom strictly adheres to the principle of unconditional fulfillment of its obligations in all its activities. We are open to discuss possible options for the project to recommence when conditions permit, and remain fully capable of its successful completion. In the meantime, we have no other choice but to defend ourselves and demand compensation for this unlawful termination.
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