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Plant supplier updated its claim in the ICC arbitration concerning the delay to the OL3 project

9.2.2016

​The plant supplier building the Olkiluoto 3 nuclear power plant unit, the AREVA-Siemens consortium, updated its claimed amount in the course of the ongoing International Chamber of Commerce (ICC) arbitration proceedings concerning the delay to the OL3 project.

​The plant supplier’s monetary claim, updated in February 2016, is approximately EUR 3.52 billion in total. The sum is based on the supplier’s updated analysis of events that occurred through September 2014, with certain claims quantified to 31 December 2014. The sum includes penalty interest (calculated to 30 June 2016) and payments allegedly delayed by Teollisuuden Voima (TVO) under the plant contract amounting to a combined total of approximately EUR 1.45 billion, as well as approximately EUR 135 million in alleged loss of profit.

The proceedings were initiated in December 2008 by the OL3 supplier. TVO has considered and found the earlier claims by the supplier to be without merit, and will scrutinize the updated claim. The arbitration proceedings may continue for several years.

– Despite the arbitration, the project progresses and has reached its final phases. Testing of the various systems is going on in Olkiluoto and TVO continues to support the supplier to complete the remaining tasks. According to the schedule updated by the supplier in September 2014, regular electricity production in the unit will commence at the end of 2018, says Risto Siilos, SVP in charge of legal affairs at TVO.

In 2012, TVO submitted a claim and defense in the arbitration proceedings. In July 2015, the company updated its quantification estimate of its costs and losses to amount to approximately EUR 2.6 billion until December 2018.

Teollisuuden Voima Oyj procured the OL3 nuclear power plant unit from the AREVA-Siemens consortium on a fixed-price turnkey contract. The supplier consortium companies (AREVA GmbH, AREVA NP SAS and Siemens AG) are jointly and severally liable for their obligations under the contract.

For further information, please contact:
Risto Siilos, Senior Vice President, Business Support Services, tel: +358 2 8381 5100

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