Rolls-Royce and Areva strengthen nuclear co-operation

Friday, 17 February 2012

Rolls-Royce, the global power systems company, and AREVA have further strengthened their strategic collaboration on nuclear build projects with an agreement signed in Paris today. 

The two companies have agreed how Rolls-Royce will support the delivery of AREVA’s EPRTM reactor in the UK and internationally. This builds on the significant progress made since the two companies signed an initial agreement in March 2011.

Rolls-Royce will manufacture complex components and provide engineering and technical services for the first of two EPRsTM to be built at Hinkley Point, Somerset where AREVA is providing the Nuclear Steam system.

Once contracted, the work could be worth a total of £400 million in revenue to Rolls-Royce for the four EPRsTM  currently planned by EDF Energy in the UK, with much of this work providing direct benefit to the UK supply chain, potentially supporting several hundred highly skilled jobs.
UK Prime Minister David Cameron said: “I am delighted that Rolls-Royce and AREVA have today announced their intention to work together on global civil nuclear projects. This industrial collaboration will deliver significant growth and create more than 1,000 high quality manufacturing jobs in the UK over the next few years.”
Lawrie Haynes, President-Nuclear, Rolls-Royce, said: “This is an important agreement and I look forward to continuing the strong partnership we have built with AREVA.  Rolls-Royce has broad nuclear experience, a strong track record and an extensive nuclear certified supply chain.  Together with AREVA, we will work to successfully deliver new civil nuclear projects in the UK and around the world.”

Luc Oursel, CEO AREVA, said: “Since our original commitment in March, we have widened and deepened the scope of our cooperation. Today’s agreement indicates how far we have travelled. We look forward to working with Rolls-Royce across a range of opportunities.”

Rolls-Royce has significant nuclear skills, with a large existing nuclear certified supply chain. It supports a number of key phases of the nuclear programme, including providing advice to governments and operators, supply chain management, and manufacturing and technical engineering support. The Group also provides safety-critical instrumentation and control systems to all 58 operating nuclear power facilities in France and to more than 50 others across Europe, the USA and other international markets.

  1. Rolls-Royce is a world-leading provider of power systems and services for use on land, at sea and in the air, and has established a strong position in global markets - civil aerospace, defence aerospace, marine and energy.
  2. As a result of this strategy, Rolls-Royce has a broad customer base comprising more than 500 airlines, 4,000 corporate and utility aircraft and helicopter operators, 160 armed forces, more than 4,000 marine customers, including 70 navies, and energy customers in more than 80 countries.
  3. Annual underlying revenues were £11.3 billion in 2011, of which more than half came from the provision of services. The firm and announced order book stood at £62.2 billion at 31 December 2011, providing visibility of future levels of activity.
  4. Rolls-Royce employs over 40,000 people in offices, manufacturing and service facilities in over 50 countries. Over 11,000 of these employees are engineers.
  5. In 2011, Rolls-Royce invested £908 million on research and development, two thirds of which had the objective of further improving the environmental performance of its products, in particular reducing emissions.
  6. Rolls-Royce supports a global network of 28 University Technology Centres, which connect the company’s engineers with the forefront of scientific research.
  7. The Group has a strong commitment to apprentice and graduate recruitment and to further developing employee skills.
  8. Rolls-Royce has a large and highly experienced nuclear skills base with approximately 3,000 employees in the UK, France, the Czech Republic, North America and China.
  9. Rolls-Royce provides nuclear power utility vendors and operators with integrated, long-term solutions and support services spanning the whole reactor lifecycle, from concept design through to obsolescence management and plant life extension. With nuclear expertise including component manufacturing, licensing, project and supply chain management as well as world-class engineering, the company has been a key player in the industry for over 50 years.
  10. As the lead industrial partner, Rolls-Royce is supporting the development of the UK’s Nuclear Advanced Manufacturing Centre that will bring together an industrial consortium of around 30 companies from the UK nuclear supply chain. University partners will lead key research themes.

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