18th Jun 2014 12:27
LONDON (Alliance News) - Rolls-Royce Holdings PLC Wednesday said it is to partner with China General Nuclear Power Corp, its second such agreement with a Chinese nuclear reactor vendor in the space of two days.
The agreement for the FTSE 100 engineering firm is one of a slew high-profile bilateral deals signed during Chinese Premier Li Keqiang's ongoing visit to the UK. Contracts worth GBP14 billion were signed between British and Chinese companies on Tuesday, Prime Minister David Cameron said at a joint press conference with Li, including major deals by BP PLC and Royal Dutch Shell PLC with China National Offshore Oil Corp.
In its statement, Rolls-Royce said the memorandum of understanding will result in the two parties cooperating more closely in the field of civil nuclear power in China, the UK and other overseas markets.
"China represents one of the world's largest civil nuclear markets in which Rolls-Royce has been supplying safety-critical technology and solutions for 20 years," Jason Smith, president of nuclear for Rolls-Royce, said in a statement.
"I am delighted that we have built a partnership with CGN based on mutual trust. I look forward to exploring how we can broaden our work together in our domestic and international markets," Smith added.
The agreement will see Rolls-Royce and CGN explore possible collaboration in areas such as engineering support, provision of components and systems, emergency diesel generators, supply chain management and instrumentation and control technology.
UK Energy and Business Minister Michael Fallon said: "This deal brings a real boost to the UK economy. Closer cooperation between the UK and China could be worth hundreds of millions of pounds to British businesses. We are making the most of Britain's low carbon energy to maximise jobs and business opportunities, get the best deal for customers, and reduce our reliance on expensive foreign oil and gas imports."
The latest agreement comes after Rolls-Royce Tuesday said that it had entered a memorandum of understanding with Chinese nuclear reactor vendor State Nuclear Power Technology Corp.
Rolls-Royce shares were Wednesday quoted at 1,015 pence, up 0.4%.
By Samuel Agini; [email protected]; @samuelagini
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