Welcome to the U.S.-Ukraine Business Council

U.S.-Ukraine Business Council (USUBC)
Washington, D.C., Monday, March 31, 2008

Holtex Westinghouse

(Left to right in photo) Dr. Kris Singh, President of Holtec International, Mr. Anders Jackson, Vice President of Westinghouse, and Mr. Yuri Kovrizhkin, President of Energoatom, toast recent contract signings with two USA companies, Westinghouse for supply of nuclear fuel and with Holtec for supply of spent fuel transport systems.

KYIV - Westinghouse Electric Company and Holtec International, two
of the most respected names in the nuclear energy field, Sunday signed
contracts with Ukraine to provide support in the country's efforts to
develop new sources of nuclear fuel and to provide safe and secure
storage for nuclear waste.

The two contracts were signed by Yuriy Kovrizhkin, president of Ukraine's
national nuclear energy generation company Enerhoatom. The Westinghouse
contact was signed by Andres Jackson, Vice President, European LWR
Fuel Business and the Holtec International contract by President/CEO Dr.
Kris Singh.

Among those attending the signing ceremonies were William H Taylor, Jr.,
U.S. Ambassador to Ukraine, officials of the Ministry of Fuel and Energy
of Ukraine, and officials of the United States Department of Energy. The
contracts were signed just before George Bush, president of the United
States, pay his first official visit to Ukraine, March 31st and April 1st.


Both of the nuclear firms, Westinghouse and Holtec, are members of the
U.S.-Ukraine Business Council (USUBC). "Today is one of the most
important days since Ukraine's independence as the efforts of these two
internationally known companies will go a long way to assuring that Ukraine
has greater energy independence," said Morgan Williams, SigmaBleyzer,
who serves as USUBC president.

"This is made more important by the fact that for Ukraine, energy and
political independence are closely interdependent. I join all of the USUBC
members in toasting the success of these two great member companies, as
we all work to assist Ukraine on its path to Euro-Atlantic integration and
a strong democratic, private market driven nationhood," Williams stated.

Michael Kirst, a member of the USUBC executive committee, who serves
as Vice President, Central and Eastern European Fuel, for Westinghouse,
has been working has been working on the Ukraine project for many years
with the long-run goal to finally sign a real commercial contact with

Williams said, "Michael Kirst is to be congratulated for his outstanding work
to keep all the parties at the table for so long and for the key role he played
in the final successful outcome. USUBC also congratulates the officials
of the Ukraine government and the U.S. government who also have worked
on this program for several years."

"Holtec's International President/CEO Dr. Kris Singh, William Woodward.
Vice President Nuclear Projects and Kevin Cuthill, head of Holtec Ukraine are
also to be congratulated for their work in expanding Holtec's operation in

Nuclear power occupies one of the most prominent places in the Ukrainian
economy with more than 38,000 employed in the industry.  For recent years, with only 22.8 percent of the installed capacity, nuclear power plants
during autumn and winter maximum loads generated about 53 percent of the country's electricity.

At the same time, shares of nuclear electricity generation are stable: in
1996 it was 43.8  percent, in 2000 - 45.3 percent, in 2004 - 53.2 percent,
in 2005 - 52.3 percent, in 2006 - 46.4 percent, in 2007 - 47.4. Currently
there are 15 operating power units at Ukrainian NPPs, including 13 units
with VVER 1000 and 2 units with VVER 440 new generation). Ukraine's
Zaporizha NPP is the largest nuclear generating facility in Europe.

Russia's TVEL corporation is now the monopoly provider of nuclear fuel
for Ukraine's four nuclear power plants and Ukraine now ships all of their
nuclear waste to Russia and pays Russia over $100 million a year for
storage costs.


PITTSBURGH, PA, March 30, 2008 -- Westinghouse Electric Company
today announced it has won a five-year contract to provide nuclear fuel
supplies to three Ukrainian reactors beginning in 2011. Ukraine relies on
nuclear power generation for nearly 50 percent of its energy requirements.

The genesis of Westinghouse's introduction into the Ukrainian nuclear
fuel marketplace was an award in 2000 by the U.S. Government for the
development of an alternative nuclear fuel supply which successive
Ukrainian governments have supported.

This contract represents a major commitment from both Westinghouse
and Ukraine in ensuring that alternative and competitive nuclear fuel
supplies are available to the benefit of Ukraine's nuclear energy provider
and, ultimately, its citizens.

Aris Candris, Westinghouse Senior Vice President, Nuclear Fuel, said
this contract is significant because it represents one of the largest
energy supply diversification commitments in the history of Ukraine,
greatly increasing the country's overall energy security.

"Westinghouse is extremely pleased to receive this landmark award that
represents nearly one-quarter of Ukraine's annual nuclear fuel needs. The
high confidence in Westinghouse's capabilities and competitiveness by the
nuclear utility, Energoatom, through this contract marks an important
milestone in the development of a competitive marketplace in Ukraine and
throughout Central and Eastern Europe for nuclear fuel."

Westinghouse, a group company of Toshiba Corporation, is the world's
pioneering nuclear power company and is a leading supplier of nuclear plant
products and technologies to utilities throughout the world. Westinghouse
technology today is the basis for approximately one-half of the world's
operating nuclear plants.


KYIV - March 30, 2008 - The National Nuclear Energy Generating Company
of Ukraine "Energoatom" and the New Jersey-based company "Holtec
International" signed an amendment to their 2005 contract for the certification, manufacturing, and testing of the Holtec International Dual Purpose Canister Spent Fuel Management System (HI-STORM 190) in Ukraine.

The deployment of HI-STORM 190 in Ukraine will store used fuel from the
Khmelnytsky, Rivne and South Ukraine Nuclear Power Plants.

The contract amendment was signed at a ceremony on March 30, 2008 in
Kyiv by Energoatom President Yuriy Kovrizhkin and Holtec International
President/CEO Dr. Kris Singh. Attending the signing ceremony were United
States Ambassador to Ukraine William Taylor, officials of the Ministry of
Fuel and Energy of Ukraine, and representatives of the United States
Department of Energy.

Today's contract signing accomplishes a major milestone in advancing the
commercial relationship between Energoatom and the United States nuclear

Furthermore, it will provide commercial opportunities to Ukrainian firms to
establish long-term export business relationships with the American nuclear
industry, send a positive signal to the Western nuclear industry for
investment in Ukraine, create high-skilled employment opportunities for
Ukrainian workers, and transfer sophisticated technology to the country.

This contract amendment, which is based on the contract signed on December 26, 2005, for design, licensing and construction of the Ukrainian Central Spent Nuclear Fuel Storage Facility, will enable Ukraine to implement its strategic decision for an effective management of the backend of its fuel
cycle on an expedited schedule.

The amendment will facilitate an accelerated realization of Ukraine's goal
to enhance its energy security through the establishment of a domestic spent fuel storage infrastructure in Ukraine.

"With the successful  completion of work on this Amendment, Holtec and
Ukraine will together insure that Ukraine's used fuel management is second
to none in terms of the quality of technology and its inherent safety",
asserted Holtec's President and CEO during his brief remarks at the signing

The cost of commissioning such systems can be recovered in about two years of shipping fees that Ukraine currently pays to export its spent fuel.

This contract amendment will enable Holtec to carry out safety evaluations
and to manufacture critical use equipment for the packaging, handling and
transporting of used fuel.  Such work will be engineered to exceed all IAEA

A significant portion of the capital equipment will be manufactured in
Ukraine under a technology transfer program to a qualified factory in
Ukraine. Holtec plans to expand the company's operation center in Kyiv to
accelerate localization of the used fuel management technology know-how.

Holtec International was selected in 2004 to assist Ukraine in managing its
spent fuel.  This selection was conducted through a comprehensive, open and transparent international tender conducted by Energoatom and based on the overall merit of Holtec's commercial proposal and technology.

Holtec International, founded in 1986, is a global technology company that
has supplied equipment to over 150 power plants worldwide.  Its products
are licensed by the U.S. Nuclear Regulatory Commission and by competent
authorities in Brazil, China, Korea, Mexico, Spain, Switzerland, Taiwan,
United Kingdom, and the United States.

Based on its technology and experience, Holtec International was also
selected to complete construction of the donor-funded Chornobyl Interim
Spent Nuclear Fuel Storage Facility to store approximately 22,000 fuel
assemblies from the Chornobyl reactors.


Ukrainian News Agency, Kyiv, Ukraine, Wed, March 26, 2008

KYIV - Ukraine's national nuclear energy generation company Enerhoatom
intends to sign a contract with Westinghouse Electric Company (US) on
commercial supplies of nuclear fuel for Ukrainian nuclear power plants for
2010 on March 30. Fuel and Energy Minister Yurii Prodan has announced
this at an expanded session of the Cabinet of Ministers.

"March 30 we are signing a contract with Westinghouse for delivery of
alternative nuclear fuel to Ukraine," said the minister.

The deliveries will start after qualification of nuclear fuel by relevant
supervisory agencies and its licensing by the State Nuclear Regulatory

The volume of supplies will be determined by the Ukrainian side prior to
shipment, according to the ministry's press secretary.

Prodan during a telephone conversation on February 19 announced, the
US company may supply over 100 fuel assemblies for nuclear reactors
VVER-1000 in 2010 (the first batch can include 120 - 144 fuel assemblies.

As Ukrainian News reported, the nuclear fuel qualification program was
implemented in Ukraine with United States government grants from 1996 to
2003, after which the United States suspended it because it determined that
it should be implemented as a commercial project.

The nuclear fuel qualification project gives a chance to bring US fuel to
Ukrainian standards, after which it would be able to use it at Ukrainian
nuclear power plants.

In 2005, Enerhoatom installed six fuel assemblies manufactured by
Westinghouse at the 3rd reactor of Southern Ukrainian NPP.

The next move in the project implementation will be loading into the reactor
in 2009 of 42 US-made assemblies more.


Interfax Ukraine, Kyiv, Ukraine, Thursday, February 26, 2008

KYIV - Waste nuclear fuel storage facility two at the Chonobyl NPP could
be launched in 2010, according to Emergencies Minister, Volodymyr Shandra.

"Holtec company met our requirements and halved the terms for the
realization of the project," he told the press in Kyiv on Monday after a
meeting with CEO Holtec International (the United States) Kris Singh. Holtec
International has been a general constructor of the facility since September

Ihor Hramotkin, the director general of the Chornobyl NPP, which ordered
the construction of the waste nuclear fuel storage facility two, told the press
on Monday that Holtec International gave a concept for modification of the
waste nuclear fuel storage facility, using U.S. technologies, to the state

"This is a technical document, which stipulates principles, according to
which decisions on storing dry fuel will be made," he said, adding that if
the state company and the State Committee for Nuclear Regulation of
Ukraine approves them, the principles will be a basis for the project for the
building of the new storage facility at the Chornobyl NPP.

He said that the old constructions are being inspected, and later decisions
on whether to use them will be made.

Singh said at the briefing that Holtec International would use the existing
objects as much as possible if the State Committee for Nuclear Regulation
of Ukraine confirms the possibility of using them safely.

He said that the company plans by the end of 2008 to complete inspection of
constructions and build a large-scale copy of a penal, where fuel assemblies
will be stored.