Russia and Kazakhstan signed an agreement on Thursday in Astana to build Kazakhstan’s first nuclear power plant, marking a major energy project for the Central Asian nation. The plant, to be built at the village of Ulken on the shores of Lake Balkhash in southeastern Kazakhstan, is expected to cost about $16.5 billion, according to Kazakhstan’s atomic energy agency. The deal also includes a Russian export credit to help finance construction.
Kazakhstan President Kassym-Jomart Tokayev said the agreement on the Balkhash nuclear power plant has “an important role,” thanking Russian President Vladimir Putin for Moscow’s support during the talks. Putin said the project would make a significant contribution to Kazakhstan’s energy supply.
The project will be led by Russia’s state nuclear corporation Rosatom, which won the contract over China National Nuclear Corporation, France’s EDF and Korea Hydro & Nuclear Power. The plant is planned to include two VVER-1200 III+ reactors. Officials said the total cost includes about $2 billion for security and infrastructure.
Construction is set to begin in 2027, with the first reactor expected to enter service in early 2034. Kazakhstan has long considered nuclear power, and a 2024 referendum supported building the plant and confirmed Ulken as the site.
Kazakhstan is the world’s largest uranium producer, but its energy system remains heavily dependent on coal-fired power plants, with some hydroelectric generation and a growing renewable sector. The country also imports electricity, largely from Russia, because many of its domestic plants are old and struggling to meet demand.
The move comes despite Kazakhstan’s complicated nuclear history. The country was the site of hundreds of Soviet-era nuclear weapons tests, leaving environmental damage and long-term health concerns that have made some residents wary of atomic energy. Still, officials say new nuclear capacity is needed to help secure future power supplies for the nation’s 20 million people and support economic growth.
Kazakhstan has also approved a second nuclear plant, with state-run CNNC selected as the main constructor.
