Aug 10 2006
RUSAL, the world's third largest aluminium producer, and Russia's Federal Atomic Energy Agency (ROSATOM) have signed a memorandum of cooperation outlining their intention to development and construction of aluminium and energy producing facilities.
The Memorandum outlines agreement on shared research into long-term investment projects, including the creation of new atomic power stations, the modernization of existing atomic facilities and the prospects for further co-operation within the frameworks of the program for development of the atomic energy in Russia.
As a global leader and national champion in Russia's fast-evolving and high energy consumption aluminium industry, RUSAL is best suited to partnering in this project. It is able to secure a high level of investment and a stable consumption schedule, the two factors necessary to support Russia's nuclear energy development plans.
RUSAL's strategy as an energy and metals company is to grow aluminium production to 5 million tonnes per year through the expansion of the current capacities and the construction of greenfield smelters secured by long-term energy supply.
RUSAL and ROSATOM will establish a joint Project Office to co-ordinate activities. The Office will deal with issues such as the preparation of a feasibility study of the project, the selection of possible project sites and the development of future cooperation terms. After the necessary feasibility studies are complete, RUSAL and ROSATOM should work out a scheme to fulfill the project and sign the appropriate agreements.