Russia and Hungary have signed a general framework agreement for developing two nuclear reactors of 1,200MW capacity each for the Paks nuclear power plant, which is located in central Hungary.
Both countries agreed to construct the new units in January 2014, reports Russian news agency TASS.
Atomenergoproekt, the subsidiary of Russian state nuclear power corporation Rosatom, is expected to start the construction work in 2018.
The agreement refers to the plant’s design, operation and maintenance, said Hungarian government commissioner for the project Attila Aszodi at a news conference.
Located 5km away from the Paks town in Hungary, this is the first and only nuclear power project in the country.
The development will require an estimated investment of €12.5bn, with Russia contributing almost 80% of the costs as a loan, reports The Moscow Times.
The Paks facility presently houses four VVER-440 reactors, which accounts for 50% of the nation’s nuclear energy output.
Two more reactors will be added to the facility during the development, which is expected to more than double the plant’s capacity.
The two reactors are expected to go online in 2025 and 2026, according to Aszodi.
Image: Paks nuclear facility in Hungary. Photo: courtesy of Barna Rovács (Rovibroni).