The Board of the European Investment Bank (EIB) has approved a €800m ($914m) loan for Romania’s Cernavodă NPP unit 1 Refurbishment Project. This represents a major financing boost for one of Romania’s largest strategic energy projects, said state-owned nuclear utility SN Nuclearelectrica (SNN).
In April, the European Commission (EC) opened an in-depth investigation to assess whether Romania’s plans to grant public support for the refurbishment and lifetime extension of unit 1 is in line with EU State aid rules.
The EIB loan serves as a main pillar of a diversified funding approach combining Nuclearelectrica’s own equity with international loans. The initial preliminary phase was previously backed by a €540m loan signed in September 2025 with a banking syndicate led by JP Morgan SE. Before the corporate loan agreement is finalised and signed, Nuclearelectrica will present the terms for formal shareholder approval at an upcoming General Meeting.
“The involvement of renowned international banking institutions in ensuring the external financing of the Cernavodă NPP unit 1 Refurbishment Project represents a historic step for the development of the civil nuclear energy sector, at the same time attesting to the development of a robust project, properly managed from a technical, operational and financial point of view,” said Cosmin Ghita, General Manager of Nuclearelectrica. “The unit 1 Refurbishment Project is carried out in compliance with the highest standards and practices in the industry. A refurbished unit 1 means another 9% a year of clean energy for the period 2030-2060.”
Romania’s two 650 MWe Candu pressurised heavy water reactors at the Cernavodă NPP began operation in 1996 and 2007 with a 30-year design life. A further 30 years of operation is possible following refurbishment. Work to extend unit 1 began in 2017 and is currently in the second of three phases, expected to be completed in 2026. This involves preparatory measures. The third phase, scheduled for 2027 to 2029 will see the unit shutdown for refurbishment.
In January, Romania notified the EC of its plan to support the refurbishment of Cernavodă 1 while maintaining the same electricity generation capacity of 706 MWe, so it can operate for another 30 years. It currently supplies approximately 10% of Romania’s electricity. As the estimated lifetime of the reactor expires in 2027, the extension of its operating life is crucial to ensure the long-term availability of low-carbon electricity.
The rehabilitation project is expected to cost approximately €1.9bn. The funds will finance key component replacements (such as fuel channels and feeder tubes) and system upgrades to extend the operational life of the reactor for another 30 years.
A major scheduled outage is planned from 2027 to 2030 to execute the heavy retubing and engineering works, with the reactor resuming operations in 2030. The main Engineering, Procurement, and Construction (EPC) contract for the Cernavodă 1 refurbishment was signed with a highly specialised international consortium in December 2024.The alliance comprises:
- Candu Energy (AtkinsRéalis) (Canada): The original technology supplier for the plant’s reactors. They are severally liable for the engineering, design services, and equipment procurement for the Nuclear Side of the Plant (NSP).
- Korea Hydro & Nuclear Power (KHNP) (South Korea): Responsible for construction management, major component replacement, and building key site infrastructure, such as the radioactive waste storage facility.
- Ansaldo Nucleare (Italy): Responsible for the engineering, design, and procurement of equipment for the Balance of Plant (BOP) systems.
- Canadian Commercial Corporation (CCC) (Canada): A federal Crown corporation acting as the prime contractor to guarantee government-backed commercial execution.
While the collective contract dictates a unified framework, the individual financial allocations and responsibilities among the major partner organisations break down as follows. KHNP holds a contract share valued at approximately €840m. Their payout covers on-site construction management, the building of the radioactive waste storage facility, and the high-precision replacement of major components.
Candu Energy holds a contract portion valued at $937m. This funds specialized Candu-6 design services, engineering, and the highly critical procurement of nuclear steam plant components. The remaining balance of the €1.9bn envelope covers Ansaldo Nucleare’s balance-of-plant engineering alongside CCC’s project management and commercial implementation guarantees.
Beyond the primary consortium, Nuclearelectrica has signed separate strategic agreements to advance the refurbishment with: Arabelle Solutions (France) – contracted to execute the specific turbogenerator refurbishment and upgrades; and Canadian Nuclear Partners (Laurentis Energy Partners) – serving as the specialised Project Management Organisation (PMO) to oversee training, outage management, and commissioning.
