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Russia and China seal power agreements

7 November 2007 - Russia has signed deals to help China develop another uranium enrichment facility and to build two more nuclear reactors for a power station on China's eastern coast, nuclear officials said.

State nuclear firm Tenex said it signed a deal to help China build a fourth gas centrifuge enrichment facility to produce low-enriched uranium suitable for use in civilian power stations.

The Federal Atomic Energy Agency said its building contractor, Atomstroiexport, also signed a deal to build two more reactors at the Tianwan plant in Jiangsu province, where Russia finished building two reactors this year.

"The Tianwan atomic station has become a glittering example of mutually beneficial cooperation between China and Russia in the sphere of nuclear energy," Atomstroiexport said in a statement.

President Vladimir Putin, who rules the world's second-biggest oil exporter, says relations with China are at a historic high, and Chinese President Hu Jintao describes Putin as his "good friend."

The agreement for the nuclear reactors at Tianwan is preliminary and does not set a time frame or price for the reactors, but it is potentially worth several billion dollars.

Each Russian nuclear reactor is worth about $2bn and takes about five years to build, but China could get a discount because Russia has already built two reactors there.

The first 1 GW reactor began commercial operation in May and the second in July.




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