Rolls-Royce joins forces with Fortum to explore SMR projects

Rolls-Royce SMR has teamed with Fortum up to explore opportunities to develop small modular reactors in Scandinavia, as Europe pivots towards nuclear projects in a bid to ramp up supply security.

The two energy companies signed a memorandum of understanding to jointly in Finland and in
Sweden.

Rolls-Royce SMR was established in November 2021 – focusing on bringing modularised, factory-built SMRs to the nuclear sector, capable of generating 470MW of low-carbon electricity for at least 60 years.

Fortum’s strategic priorities are to deliver reliable clean energy and drive decarbonisation in
industries in the Nordics.

This agreement is part of Fortum’s newbuild feasibility study exploring the prerequisites for new nuclear in Finland and Sweden.

It owns and operates the Loviisa nuclear power plant – the first nuclear power plant in Finland – and is one of the cleanest energy producers in Europe.

Alan Woods, director of strategy and business development for Rolls-Royce SMR, said: “The importance of energy security has increased dramatically and we see our unique approach to nuclear new build – focusing on delivery capability and cost effectiveness – as the best solution to providing low-carbon energy for generations to come. We look forward to working with Fortum during their feasibility study.”

Laurent Leveugle, Fortum’s head of newbuild feasibility added: “Fortum is happy to start a collaboration with Rolls-Royce SMR which is one of the forerunners in the small modular reactor industry. We are especially interested in learning more about Rolls-Royce SMR’s delivery model considering Rolls-Royce’s historical industrial experience.”

Any potential investment decision on any nuclear projects will be made at a later date.

Rolls-Royce has secured £210m from Downing Street to develop SMRs in the UK – however, its plans have been held up amid ministerial concerns over funding.

Chancellor Jeremy Hunt has announced plans for an SMR competition – inviting companies to pitch proposals, including Rolls-Royce.