Bulgaria is seeking new investors for its nuclear plant project in Belene following the withdrawal of German utility RWE AG (RWE.XE), Economy and Energy Minister Traicho Traikov said in an interview Friday.
"We will invite new investors via an international tender. We have already discussed the possible participation of French, Italian and Russian companies in it," Traikov told the daily 24 Hours.
"The plant will be built if there are investors," he said, while suggesting that Belene was not "vital" for Bulgaria's energy mix.
RWE, which held 49% in the Belene project, said Wednesday it was pulling out of a joint venture agreement with the state-owned National Electricity Company, the owner of the other 51%.
The German group cited the economic crisis, lack of funding for the project and no definitive agreement with Russia's Atomstroyexport, which is to build the 2,000-megawatt nuclear power plant.
Traikov said that RWE's two main conditions for joining the project--to have the necessary funding secured and a contract with the constructor signed by July 31--hadn't been met in time.
"Now, despite the three-month extension of the deadline obtained by the new government, we have neither the EUR5 billion for the construction nor a contract with Atomstroyexport," Traikov said.
Initially, the cost of building the plant was estimated at EUR4 billion but that didn't take into account infrastructure costs and loan interest payments.
"In all, Belene would cost over EUR10 billion," the minister said.
Bulgaria would now have to start all over again to find the funding, the investors and restart talks with Atomstroyexport.
For its part, the Russian group said Thursday that work on Belene was continuing according to plan.
Media reports have speculated that the government could freeze the project until it finds new investors within the next 18 months, or shelve it completely.