Report: RDIF, Turkey’s state wealth fund to ink joint fund deal on Fri

MOSCOW, Mar 9 (PRIME) -- The Russian Direct Investment Fund (RDIF) and Turkey’s sovereign wealth fund will sign an agreement to create a joint investment fund on Friday at a meeting of a cooperation council of the two countries, Turkish news agency Anadolu reported on Thursday citing Russian Energy Minister Alexander Novak as saying.

“One of the most important documents that are being prepared for signing during discussions on March 10 is a protocol on a joint investment fund of Turkey and Russia. The Russian Direct Investment Fund will act as a co-founder of the fund on the Russian side, while the sovereign wealth fund will become the co-founder on the Turkish side,” Novak said as cited by Anadolu.

Previously, RDIF CEO Kirill Dmitriev said that first deals will be financed by the joint fund in January–March 2017, and they will cover projects in the agriculture. Russia and Turkey planned to contribute U.S. $500 million to the fund each, he said earlier.

TURKISH STREAM

The regulatory framework for construction of the Turkish Stream natural gas pipeline has been prepared, he said.

“At the same time, AllSeas company, with which we signed an agreement, will use the most contemporary technologies in construction of the second thread of the Turkish Stream,” he said, adding that works on the pipeline project are going on in accordance with the schedule.

The pipeline’s first thread will be launched in late 2019, he said.

On October 10, 2016, Russia and Turkey signed an agreement to build the pipeline, which will consist of two branches with a capacity of 15.750 billion cubic meters each. One of them is to supply gas to Turkey and the other to transit gas to the European countries through Turkey.

AKKUYU PLANT

Novak also said that the Akkuyu nuclear power plant may be constructed in Turkey by 2023 if Ankara provides all necessary approvals. “If all necessary approvals are done by the Turkish side, the plant will be constructed by 2023, when Turkey celebrates the 100th anniversary of creation of the Republic of Turkey,” he said.

Kursad Tosun, director for licensing and government relations at project company Akkuyu Nuclear, said that it filed documents to receive a license for the plant’s construction from the Turkish Atomic Energy Authority on March 3, Anadolu reported citing a presentation of Tosun.

The company also filed a request to the Turkish Energy Market Regulatory Authority requesting a license for power production, he said.

Igor Kogai, head of department for quality assurance and standardization of Akkuyu Nuclear, said that the company will design, construct, service, exploit and withdraw out of service the plant in line with a build-own-operate model. The company plans to start construction in October–December and it is now in negotiations with local power sales company TETAS on the purchases of power, he said.

Russia and Turkey signed an agreement on construction and operation of the Akkuyu plant with four 1,200-megawatt VVER reactors in 2010. The agreement envisages that Russian investors will own 51% in Akkuyu Nuclear, while 49% may be owned by private investors or international financial institutions.

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