The Egyptian Minister of Electricity and Renewable Energy, Mohamed Shaker, stated that Russia’s Rosatom has started construction on the Dabaa nuclear power plant, reported Daily News Egypt.

Shaker added that the Russian company started preparations for the establishment of Dabaa nuclear power plant, despite not receiving any financing, nor contracts signatures. He concluded that all the technical procedures and negotiations for the Dabaa plant have been completed and only the legal aspects are pending to finalize the agreement.

El Dabaa nuclear plant, with investments worth $25b, will operate with a production capacity of 4,800MW. Russia will grant Egypt a loan to finance the building and operation equipment of the facility.  The term of the loan is 13 years over the period from 2016 until 2028, with a 3% annual interest rate.

In related news, on the sidelines of the G20 Summit held in China, the Egyptian President, Abd El Fatah El Sisi, met with the Russian President, Vladimir Putin, to discuss bilateral cooperation over the past two years, including energy collaboration and the establishment of industrial zones. The Egyptian president marked the establishment of Egyptian-Russian industrial zones, which are aimed to further expand the countries’ partnership.