EDF to ink Hinkley Point deal tomorrow; China and Areva could take 40% stake
EDF Energy of France is to sign an agreement on the proposed British nuclear facility at Hinkley Point tomorrow, 21 October, The Sunday Telegraph reported. The unsourced report said UK ministers are thought likely to reveal the subsidy deal guaranteeing multi-billion-pound revenues for EDF.
Based on an estimated strike price of GBP 92.50 (EUR 109.27)/MWh over 35 years, EDF could see GBP 83bn guaranteed revenues, according to an analysis carried out by CF Partners for the Telegraph. The report noted that EDF and its partners have yet to finalise Treasury-backed debt for the project and the subsidy deal will first have to secure state-aid approval from the EU.
China General Nuclear Power Corporation and China National Nuclear Corporation are to acquire stakes in Hinkley Point which could amount to as much as 30% of the GBP 14bn project, the report said. It added that the French reactor supplier Areva could acquire 10%.
Source Sunday Telegraph