- TUBACEX has established a consortium with the Russian company Tubes 2000 for the production and supply of equipment for what will be the country’s first nuclear power plant in El Dabaa.
- This non-binding statement assesses the development of manufacturing capabilities in Egypt, with an expected annual turnover of €100 million as from 2020.
TUBACEX and the Egyptian Government have signed a letter of intent with the aim of analyzing together the collaboration channels for what will be the country’s first nuclear power plant in El Dabaa. This statement has been signed in consortium with the Russian company Tubes 2000, specialized in the production and supply of nuclear energy equipment, and contemplates, should the negotiations conclude, the possibility of developing local manufacturing capabilities.
This way, the company continue working on its diversification strategy by betting on growing markets and maintaining its commitment in demand segments that allow to reduce its dependence on Oil and Gas. Specifically, in the last few months the nuclear sector has shown recovery after three years of being paralyzed, highlighting this project which might mean an expected annual turnover of €100 million as from 2020.
El Dabaa (Egypt) is a project that is made up of four nuclear power plants with the capacity of generating 1,200 megawatts each. JSC Atomstroyexport, an engineering company that belongs to the Russian State-run Nuclear Energy Corporation “Rosatom”, will lead the construction which is to begin in June 2020.
The development of local capabilities under the future potential agreement would mean a boost for the plants that the Tubacex Group has in Spain, Italy, and Austria, the operational synergies of which allow to have a semi-finished product that can be completed in Egypt.
Jesús Esmorís has valued this statement as an opportunity to position the company in a sector for which the company has its own manufacturing capabilities, able to supply the most complex components in the market.