The Government of Armenia has established a closed joint-stock company to build a new NPP in line with a decision taken in August 2024. The Minister of Territorial Administration & Infrastructure, David Khudatyan, told reporters that progress has been made on the construction of a new NPP and that the government is still reviewing potential proposals for the project.
“The government has established a closed joint-stock company to develop a proposal for a new nuclear power plant model. It will later oversee the technical requirements and supervision before handing it over to operators. The staffing structure will soon be approved, and we are simultaneously working on extending the lifespan of the existing plant. We have a set of mandatory actions to follow, and I am not concerned about falling behind schedule.”
The new state company managing the nuclear project will receive funding earlier than initially planned. This decision was approved during a government session. Initially, the state budget allocated AMD200m ($508,000) as the company’s charter capital, scheduled for the fourth quarter of 2025. However, due to the significance and urgency of the project, the government decided to move the funding to the first quarter of 2025 for earlier disbursement.
Khudatyan said he does not consider it expedient to publish the list of possible suppliers until a decision has been made. However, in January 2024, officials said Armenia planned to build a new NPP within 8-10 years and that various options were being investigated, including technologies from Russia, the USA, and South Korea.
The Ministry of Territorial Administration and Infrastructure also announced that an American company was conducting a feasibility study on the construction of a small modular reactor (SMR). In February, Prime Minister Nikol Pashinyan stated that the government
Foreign Minister Ararat Mirzoyan has confirmed plans for nuclear new build. “Armenia, guided by high safety and protection standards during the operation of the Armenian Nuclear Power Plant and with the ultimate goal of a smooth transition to new capacities by 2036, has chosen a transparent and open policy for the safe and peaceful use of nuclear energy and will continue to follow this policy, taking the necessary measures to strengthen and maintaining nuclear safety and protection.” He added: “Armenia has already initiated preliminary processes for the selection and further construction of a new NPP. We are also currently studying in detail the features of small modular reactors.”
The currently operating Armenian NPP at Metsamor was built in the 1970s with two Soviet-supplied VVER-440-V230 units but was closed following a devastating earthquake in 1988. However, unit 2 was recommissioned with Russian help in 1995 following severe energy shortages. In March 2014, the Armenian government decided to extend the plant’s service life to 2026.
In November 2021, it was announced that the service life of Metsamor 2 had been extended to 2026 after collaboration with Rosatom. The modernisation was mostly implemented under a loan agreement signed between Armenia and Russia in 2015. However, in 2020, the Armenian government decided to provide a loan worth AMD 63.2bn from the state budget for the work, noting that it would use only 60% of a $270m Russian loan intended to finance the modernisation.
In December 2024, following a meeting of the Armenian-Russian intergovernmental commission it was decided to extend the life of the plant until 2036. The Armenian government allocated $65m for the implementation of the programme, which is being undertaken by Russian company Rusatom Service.
