Fermi Energy and Samsung sign cooperation agreement
Seoul, South Korea
Fermi Energia AS and Samsung C&T Corporation Engineering and Construction Group (Samsung C&T) signed a cooperation agreement to prepare the construction of two BWRX-300 small modular reactors in Estonia. This is an important step in Estonia's nuclear energy development, which aims to ensure energy security and support the achievement of climate neutrality.
Under the cooperation agreement, Fermi Energia and Samsung C&T will develop the necessary framework for the construction of small reactors of up to 600 MWe. The collaboration will focus on key areas of the project, including the establishment of an Engineering, Procurement and Construction (EPC) partnership, site feasibility assessment, cost estimation and financing strategies. The agreement foresees that Samsung C&T, as one of the main partners, will have the opportunity to become the lead EPC contractor for the Estonian small reactor project. The new cooperation agreement builds on the Memorandum of Understanding signed between the two companies in November 2024.
"The conclusion of this cooperation agreement provides the prerequisites for the cost-efficient and timely construction of small reactors in Estonia," said Kalev Kallemets, CEO of Fermi Energia. "Since the restoration of independence, Estonia has implemented bold and decisive reforms, becoming an open and technology-friendly economy. Estonia's GDP per capita is USD 30 000, comparable to South Korea's USD 33 000. The Estonian people have always been receptive to innovative technologies, and we understand the role of nuclear energy in the competitiveness of the Finnish economy and in affordable energy supply. Nuclear energy is not an easy technology and in a small country like Estonia it can only be realised in cooperation with reliable and democratic partners. South Korea is already an important partner in Estonia's defence industry, and Samsung C&T's experience in nuclear power and large power projects is key to keeping small reactor projects in Estonia and across Northern Europe on track and on budget."
According to the agreement, Fermi Energy and Samsung C&T will work together in the upcoming Pre-FEED (Pre-FEED) phase to agree on the terms and conditions of the project and prepare a preliminary budget. The agreement also includes a plan to carry out a full-fledged engineering design (FEED) phase, which will lay the foundation for applying for regulatory permits and starting construction.
The cooperation also extends beyond Estonia - both parties see a wider potential for small reactors across Northern Europe. Through this partnership, Samsung C&T aims to participate in at least 10-15 BWRX-300 reactor projects across the region, achieving economies of scale and reducing the risks associated with project implementation.
