HELSINKI Jan 10 Finnish retailer Kesko Oyj
is allowed to walk away from the Fennovoima nuclear
project, an arbitration court ruled on Tuesday.
Kesko, which owned about 2 percent of Fennovoima at the
time, said in 2014 it wanted out of the project, but
Fennovoima's Finnish owners said Kesko had committed to further
financing for the 6-7 billion euro ($6.4-7.4 billion) plant.
Finland's court of arbitration dismissed that claim on
"This is the end of the case. We are happy with the
decision," Kesko spokesman Lauri Peltola said.
Fennovoima declined to comment and its Finnish owners'
consortium, Voimaosakeyhtio SF, was not available for immediate
The project has seen several of its original investors opt
out, including Germany's E.ON.
Russian state-owned nuclear company Rosatom agreed in 2013
to take a large stake in the project, and to supply the reactor.
Facing concerns about an increase in Russia's influence on
Finland's energy sector, however, the Finnish government then
set a requirement for 60 percent local ownership in the project.
That threshold seemed out of reach and the project was close
to collapse in 2015 before Finnish utility Fortum
Prior to the arbitration ruling, the project was 66-percent
owned by Voimaosakeyhtio SF, which includes Finnish utilities
and industrial companies, while Rosatom held 34 percent,
Fennovoima's website showed.
The reactor is due to come on stream in 2024.
($1 = 0.9427 euros)
(Reporting by Jussi Rosendahl; editing by Jason Neely)