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Russia to build Turkey's first nuclear power plant
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Russia to build Turkey's first nuclear power plant
AFP - 45 minutes ago
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ANKARA (AFP) - – Russia on Wednesday signed a multi-billion-dollar deal to build Turkey's first nuclear power plant as President Dmitry Medvedev hailed the accord as a sign of expanding ties with the NATO member.
"This agreement opens a new page in our cooperation... Our talks today showed that Turkey and Russia are strategic partners not only in words but in deeds," Medvedev told a joint news conference with Turkish Prime Minister Recep Tayyip Erdogan after the signing ceremony.
The deal to build and operate the plant at Akkuyu, on Turkey's Mediterranean coast, was one of some 20 agreements signed by the two countries which Medvedev said would generate about 25 billion dollars (19.7 billion euros) of investment.
"It really looks rather impressive," he said.
Erdogan said construction of the plant would begin after both countries' parliaments ratify the accord, and take seven years to complete.
Russia has long looked to build Turkey's first nuclear power plant, but a Turkish court last year scrapped a tender won by a Russian-led consortium to build four reactors with a total capacity of 4,800-megawatts at Akkuyu.
The deal "is a very big contract," Sergei Kiriyenko, the head of Russian nuclear corporation Rosatom, told reporters. "An approximate price of such a project is around 18-20 billion dollars."
Kiriyenko said Russia would own the plant, holding "no less than a controlling stake" in the facility.
"Russia has never before owned a nuclear power station outside its territory," he said.
Erdogan said he and Medvedev discussed further cooperation in the energy sector in projects to carry Russian gas and oil to Western markets via Turkey, which has emerged as a major transit hub between East and West.
He cited Moscow's South Stream pipeline project to supply gas to Europe bypassing Ukraine, as well as Ankara's proposal for an oil pipeline from Turkey's Black Sea port of Samsun to the Mediterranean port of Ceyhan, which already serves as a terminal for conduits from Azerbaijan and Iraq.
"We are determined to take this step," he said of the Samsun-Ceyhan conduit, which, he added, would be completed with a joint refinery at Ceyhan.
The project, estimated by Russian officials to cost some three billion dollars, is aimed at easing tanker traffic in the congested Bosphorus Strait and reducing the environmental threat that tanker accidents pose to Istanbul.
Last year, Turkey secured a Russian pledge to supply oil to the conduit in return for backing South Stream, aimed at protecting Moscow's dominant share in the European gas market.
Ankara, which also backs the European Union's rival Nabucco pipeline, agreed to allow Russian exploration work for the project in its Black Sea waters.
Turkey and Russia aim to ramp up trade volume to 100 billion dollars over the next five years, Erdogan said.
The two countries also signed a deal mutually lifting visas for stays of up to 30 days, a major boost to investors and millions of Russians holidaying at Turkey's Mediterranean coast each year.
Despite sometimes shaky political ties, economic exchanges between the two countries have boomed since the collapse of the Soviet Union in 1991.
In 2009, their trade volume stood at 22.9 billion dollars, making Russia one of Turkey's top commercial partners.
Russia's military intervention in Georgia in 2008 briefly strained relations with Turkey, which has close ties with the former Soviet republic, its northeastern neighbour.
Russia is Turkey's main gas supplier, providing about 60 percent of the country's gas imports.
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