PARIS (Reuters) – French nuclear fuels company Orano signed an agreement for a 400 million euro ($433.20 million) loan with the European Investment Bank, it said on Monday, to help fund the expansion of its nuclear enrichment facility in southern France.
State-owned Orano is expanding the facility to meet an expected growth in demand for nuclear fuel as European countries make plans to build new nuclear reactors, in addition to six new reactors planned in France.
The expansion, to cost 1.7 billion euros, will raise fuel production at the site by 30%.
The remaining financing will come from the company’s own financing capacities and the debt market, a spokesperson said.
France relies on nuclear energy production for about 70% of its power, but is still reliant on Russia for a large portion of its enriched fuel.
“In the current geopolitical context, this support for our activities from the EIB will help to strengthen security of supply in the European Union,” said Orano CEO Nicolas Maes.
($1 = 0.9224 euros)
($1 = 0.9234 euros)
(Reporting by Forrest Crellin; Editing by Tomasz Janowski)
