Agreements in place for construction of Hinkley Point C nuclear power station
EDF and CGN sign a Strategic Investment Agreement for joint investment for two EPR reactors at Hinkley Point C
Agreement covers wider UK partnership to develop new nuclear power stations at Sizewell and Bradwell
Contracts between UK Government and EDF in final agreed form
Contracts with top four suppliers for Hinkley Point C in final agreed form
EDF and China General Nuclear Power Corporation (CGN) are today signing a Strategic Investment Agreement for the construction and operation of the proposed Hinkley Point C nuclear power station in Somerset. The signings are due to take place in the presence of the Chinese President, Xi Jinping, and the British Prime Minister, David Cameron, in London.
Conditions to allow the Hinkley Point C project to go ahead are in place. These are the signing of the Strategic Investment Agreement, all the agreements between EDF and the UK Government being in a final agreed form, as are the contracts with the key suppliers. Under the Strategic Investment Agreement, EDF’s share in Hinkley Point C will be 66.5% and CGN’s will be 33.5%. Without reducing this initial stake below 50%, EDF intends in due course to bring other investors into the project.
China General Nuclear Power Corporation (CGN) will make its investment in the UK through its new company called General Nuclear International (GNI).
EDF and CGN have agreed the Heads of Terms of a wider UK partnership for the joint development of new nuclear power stations at Sizewell in Suffolk and Bradwell in Essex. Terms will be in final form before the final investment decision for Hinkley Point C.
Today’s signing paves the way for the Hinkley Point C project to go ahead and sets the steps for a final investment decision subject to:
- finalisation of long form documentation based on Heads of Terms signed today
- finalisation by EDF of its financing plan
- approval by the boards of EDF and CGN
- clearance by merger control and other governmental authorities in China and Europe.
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