The Export-Import Bank of Korea is initiating financial cooperation with local contractors to support Turkey's new nuclear power project. The bank aims to enhance competitiveness in securing contracts by proactively preparing financial support for the Sinop nuclear power project, which is being pursued by Korea Electric Power Corporation (KEPCO).
On November 3, the Export-Import Bank announced that it signed a memorandum of understanding (MOU) on financial cooperation for the nuclear power project with Turkey's Nuclear Power Corporation (TÜNAŞ) in the presence of the leaders of both countries.
This agreement expands upon a nuclear cooperation MOU signed between KEPCO and TÜNAŞ in November of last year, focusing on the financial sector. As KEPCO conducts a preliminary feasibility study for the Sinop nuclear power project, the Export-Import Bank will participate in reviewing funding options from the project's early stages to support contract acquisition.
Under the agreement, both parties will assist in analyzing the financial model for the new nuclear power plant and establishing a funding structure, as well as exchanging information for the feasibility review of financial support. A working group will also be established to jointly explore financial support options tailored to the project's need for large-scale, long-term funding.
Turkey aims to enhance energy security and achieve carbon neutrality by securing 7.2 gigawatts (GW) of nuclear power capacity by 2035 and 20 GW by 2050. The Sinop project involves the construction of four Korean-designed nuclear reactors (APR1400), with KEPCO continuing negotiations to secure the main contract.
The Export-Import Bank plans to assess project risks and the feasibility of financial support based on its experience in financing the Barakah nuclear power project in the United Arab Emirates, aiming to establish a competitive funding structure in the future.
"Winning large overseas nuclear power contracts hinges on both technical expertise and the ability to secure substantial long-term funding," said Export-Import Bank President Hwang Gi-yeon. "We will actively support Team Korea's bid for the Turkey nuclear project by providing optimal financial solutions."
* This article has been translated by AI.
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