Czech conglomerate CEZ Group may sign $10B Temelin nuclear plant expansion deal in 2015

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Czech conglomerate CEZ Group could sign a contract with the winner of a multi-billion dollar tender to expand the Temelin nuclear power plant in the second quarter of 2015, CEZ chief executive Daniel Benes said.

According to Reuters, CEZ has delayed picking a supplier as it waits for the government to finalize a national energy strategy. The utility group has pushed the decision from the end of 2013 to either 2014 or 2015. CEZ is also negotiating a guaranteed price for power produced by the new plant.

Benes told weekly magazine Ekonom that talks with Westinghouse, the US unit of Japan's Toshiba, and a consortium including Russian engineering company Atomstroyexport would continue. Talks with the bidders could end up with the signing of a contract some time in the second quarter of 2015, Banes added.

CEZ has been in talks with the Czech Republic over a guaranteed price for the power. This is something the company, analysts and some shareholders see, as vital for proceeding with a project estimated to cost around $10 billion, the report said.

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