Rolls-Royce indicated its memoranda of understanding with the two Chinese nuclear industry firms would help it expand its expertise in low-carbon energy markets worldwide, engineering support, nuclear components, supply chain management, nuclear instrumentation, nuclear control technology

Rolls-Royce Inks Two Deals with Chinese Nuclear Vendors

June 24, 2014
Memos propose engineering, parts supply, other cooperation with SNPTC and CGN SNPTC builds Westinghouse reactors CGN operates four plants, seven in development

Rolls-Royce Holdings plc has entered into two “memoranda of understanding” with Chinese vendors of civil nuclear reactors, giving the power systems developer a more solid position in that energy sector, in the U.K. and in foreign markets. The first MoU involves a company called SNPTC; the second with a firm known as CGN.

SNPTC is the State Nuclear Power Technology Corporation, a general contractor that built China’s first AP1000 units nuclear reactors, and now is developing the larger CAP1400 version of that Westinghouse passive core cooling reactor design. “By working together with overseas partners, SNPTC is working on providing safe, clean, economic and reliable energy by advanced nuclear technology, products and services,” according to that company’s statement.

Jason Smith, Rolls-Royce’s Nuclear division president, said: “I am proud that we have built a partnership with SNPTC based on mutual trust. I look forward to exploring how we can broaden our work together in our domestic and international markets.”

Rolls stated the MoU would explore collaboration in areas like engineering support, provision of components and systems, supply chain management, and instrumentation and control technology.

The second MoU is with CGN, or China General Nuclear Power Group, which operates four nuclear power plants in China, with five more under construction and two others planned.

Rolls said this memo would explore possible collaboration in engineering support, provision of components and systems, emergency diesel generators, supply chain management, and instrumentation and control technology.

U.K. Energy and Business Minister Michael Fallon stated: "This deal brings a real boost to the U.K. economy. Closer cooperation between the U.K. and China could be worth hundreds of millions of pounds to British businesses.

“We are making the most of Britain's low-carbon energy to maximize jobs and business opportunities, get the best deal for customers, and reduce our reliance on expensive foreign oil and gas imports," he added

In addition to its well-known expertise in aircraft and industrial engines, Rolls-Royce has nuclear power industry capabilities, including consultation with governments and operators, supply chain management, manufacturing, and technical engineering support. It claims to supply safety-critical instrumentation and control technology to more than 70% of all nuclear reactors in operation or under construction in China, and nearly 40% of all emergency diesel generators there.

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