Fennovoima is afraid that the Russians will collect the 800 million euro receivables

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Fennovoima: “The risks of legal actions initiated by the Russian Rosatom have increased significantly.” Fennovoima terminated the contract with the Russian Rosatom in May. Jenni Gä[email protected] at 12:34

The energy company Fennovoima says that the risks of legal actions initiated by the Russian Rosatom have increased “significantly”.

The company says about the matter in its 2021 financial statements, which were submitted to the trade register on July 7.

Fennovoima terminated the contract (EPC contract) for the construction of a nuclear power plant in Pyhäjoki's Hanhiniemi at the end of April.

– Although the grounds for Fennovoima's termination of the contract are strong, there is nevertheless a risk that Rosatom group companies may take legal action against Fennovoima, the financial statements state.

There are large sums of money at stake.

– The most significant foreseeable risks are related to the recovery of losses and damages caused by the breach of the EPC agreement and the recovery of the unpaid advance payment of EUR 799.8 million according to the EPC agreement.

– Although no demands have yet been made against Fennovoima, according to Fennovoima, there is a risk that the Rosatom group companies will also try to make demands on Fennovoima, the financial statements state.

According to Fennovoima, the outcome of any litigation or arbitration is uncertain and involves risks and costs.

– This applies equally to damages that Fennovoima may claim from Rosatom group companies as well as damages that Rosatom group companies may claim from Fennovoima.

According to Fennovoima, after the EPC contract is terminated, there are also risks of additional costs related to handing over the construction site from RAOS Project Oy to Fennovoima and which are caused by the work needed to preserve the site.

Talouselämä was the first to report on the matter.

Fennovoima has two owners: Voimaosakeyhtiö SF (66%) and Russian-owned RAOS Voima (34%).

Vomaosakeyhtiö SF is the domestic majority owner of Fennovoima. Its shareholders include large companies operating in Finland, such as Outokumpu, SSAB, SRV and Fortum, as well as numerous local energy companies.

4.8. 2022 at 13.10. Talouselämä was the first to report on the matter, not Kauppalehti.

Fennovoima only 800 million euros in receivables from Russian creditors

Aerial view of the Hanhikivi power plant site. Stock photo from last spring. Vesa RantaTalouselämä: The Pyhäjoki nuclear power plant site is under the control of the Russian Rosatom 13.5.2022 17:56 Fennovoima terminated the contract with the Russian Rosatom 2.5.2022 13:02 Fennovoima withdrew the construction permit application for the Hanhikivi 1 nuclear power plant 24.5.2022 10:18

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