OREANDA-NEWS. November 02, 2010.  At the 7th meeting of the Economic Cooperation Committee of the Russia-Ukraine Interstate Commission held in Kiev under the chairmanship of the Prime Ministers of the Russian Federation and the Ukraine TVEL (FC), a Rosatom fuel company, and Nuclear Fuel, a Ukrainian state concern, signed an agreement for construction of a plant that will produce nuclear fuel for the VVER-1000 reactors in the Ukraine.

The agreement was signed by President of TVEL FC Yuri Olenin and General Director Nuclear Fuel Concern Tatiana Amosova.

TVEL Fuel Company was selected by the Ukrainian party as the partner on the basis of the tender results. The decision was passed by the Ukrainian Cabinet on September 22, 2010.

The agreement signed on October 27 became a basic document for both of the companies and a landmark for their further activities within the framework of the first steps towards the implementation of the project. In particular, the parties clarified the key terms and parameters for the plant that are based strictly on TVEL’s bid.

The agreement also emphasizes the importance of obtaining licenses and authorizations, needed for plant construction, qualification and operation, from the Ukrainian competent authorities in due time. At present the Ukrainian party is conducting crash site selection for the plant location.

In the near future the parties will agree on, sign and approve an outline plan of project implementation activities at the nuclear agencies of the two countries, and will proceed with the creation and registration of a joint company, in which a stake of 50% plus one share will be owned by the Ukrainian authorized organization.

The document reinforces TVEL’s intention to transfer technologies of all nuclear fuel production stages by 2020, provide technological support of plant operations, including introducing leading-edge technologies, train personnel and qualify the plant.

In addition, TVEL will provide access for the Ukrainian party to partial financing of the project. TVEL also stated its readiness to supply all nuclear fuel components and parts that will be missing until localization is completed, and to provide uranium enrichment services from Russia.

The agreement also provides for an opportunity for the plant to supply its products to third-party states in the future.