Rolls-Royce has secured £ 85million in funding from the Qatar Investment Authority (QIA), the state of Qatar’s sovereign wealth fund, for its new low-carbon nuclear power business.
Rolls-Royce SMR is developing a new technology service to provide affordable, low-carbon nuclear power. According to the company, a single power plant will occupy about a tenth the size of a conventional nuclear production site and will power about a million homes.
Warren East, Managing Director of the Rolls-Royce Group, said: “I am extremely pleased to report that we have further strengthened our relationship with Qatar, thanks to QIA’s investment in the Rolls-Royce SMR business.
“We have been successful in raising the capital we need to establish Rolls-Royce SMR and it is encouraging to confirm that the company is now poised for success.”
QIA will join Rolls-Royce Group, BNF Resources UK Ltd and Exelon Generation Ltd as shareholders of Rolls-Royce SMR, taking a ten percent stake.
Mansoor bin Ebrahim Al-Mahmoud, Managing Director of QIA, said: “QIA invests in the energy transition and finances technologies that make it possible to generate low-carbon electricity.
“We will continue to seek investments that match our mandate to deliver long-term value to future generations through sustainable and responsible investments. “
Business and Energy Secretary Kwasi Kwarteng added: “This investment is a clear vote of confidence in the UK’s global leadership in nuclear innovation and follows the $ 210 million investment. government pounds sterling in the development of small modular reactors.
“This represents a huge step forward in our plan to deploy more clean and affordable energy, ensuring greater energy independence in the UK, highly skilled jobs and cheaper and cleaner electricity in homes. “
The Rolls-Royce SMR business is now fully funded, having secured £ 490million through commercial equity and UK Research and Innovation Grants (UKRI).