Studsvik sells SVAFO to nuclear utilities

Monday, 9 March 2009

Studsvik of Sweden has sold its SVAFO subsidiary - a non-commercial company responsible for managing historic radioactive waste - to the country's four nuclear power producers.
 

Studsvik's R2 reactor will be transferred to SVAFO (Image: KTH)

SVAFO was established to be responsible for coordinating and managing historic waste - primarily from government research activities - under the so-called 'Studsvik Act' of 1988/89. Its operations are financed by the Nuclear Waste Fund to which owners of the four nuclear utilities pay fees. Studsvik acquired SVAFO in May 2003.
 
OKG, Ringhals, Forsmark Kraftgrupp and Barseback Kraft will now take over ownership of SVAFO. The transfer will take place at book value, Studsvik said, without residual obligations for Studsvik regarding the transferred shares and facilities.
 
SVAFO's responsibilities include remediation following uranium mining in Ranstad; management of radioactive waste in the Studsvik area; decommissioning the shut down reactors at Ågesta, the test reactor at Studsvik (R2), and other nuclear facilities in the Studsvik area. This work is expected to be completed by 2045.
 
The transfer of the shut down R2 reactor from Studsvik to SVAFO will happen "as soon as possible," Studsvik said. However, this will require the government to issue a nuclear licence to SVAFO.
 
Magnus Groth, president and CEO of Studsvik, said, "This is a natural change of ownership that means that Studsvik can concentrate fully on commercial operations."
 
Henrik Stridsman, SVAFO's acting CEO said that the deal is 'positive' for business. He said, 'With the funders of our business as the owner, our mission is clear and interesting opportunities are now open to share knowledge and pool resources.'