Effective Development Strategy
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RESPONSIBLE Annual Report 2015. Short version PEOPLE13 | Strategy of TVEL Fuel Company Success stories INTERVIEWS WITH TOP MANAGERS OF TVEL JSC Leadership positions at the Fuel Company Oleg A. Grigoriev EFFECTIVE What are the medium- and long-term objectives of TVEL JSC? Natalia V. Nikipelova DEVELOPMENT Aleksey A. Grigoriev A team that stands STRATEGY strong and united Vladimir V. Rozdestvensky Innovation clusters of Second Business Core Yury A. Kudryavtsev Looking to the future Gennady N. Lisavkin Guided by the Values of ROSATOM Natalya S. Sobakinskaya Safety is a shared responsibility Kirill G. Bocharov Where do you see the Company in 10 years from now? Yakov Y. Kop INTERACTIVE VERSION: WWW.TVEL2015.RU 2 TVEL JSC RESPONSIBLE PEOPLE Annual Report 2015. Short version TVEL JSC RESPONSIBLE PEOPLE Annual Report 2015. Short version 3 In 2015 the Russian Being a leader nuclear industry managed to reach the target levels is a tough job in all indicators The year 2015 was definitely successful for Against the background of the difficult TVEL JSC: The Company fulfilled unex- market conditions we managed to fully ceptionally all contractual commitments to accomplish our plans for production and Russian and foreign customers. Leadership supply of products, significantly increase positions of the Company are confirmed by productivity and efficiency, strengthen the highest quality products and the latest our position in the traditional markets technological solutions. and enter the new ones. ALEXENDER M. YURI A. LOKSHIN OLENIN Chairman of the Board President of of Directors of TVEL JSC TVEL JSC First Deputy Director General for Operational Management of ROSATOM State Corporation n 2015 the Russian nuclear industry of the Paks Nuclear Point Plant in Hunga- Company launched the construction works The Russian nuclear industry shall steadi- he year 2015 that passed under the sign to the Temelin Nuclear Power Plant (Czech TVEL Fuel Company is fully aware of its JSC accounts for one third of ROSATOM to- Imanaged to reach the target levels in all ry. The new signed commitments ensure of the mixed nitride uranium-plutonium fuel ly face new challenges of 2016. One of the Tof the 70th Anniversary of the Russian nucle- Republic). Despite the fact that SNS are responsibility for environmental safety both tal revenue. indicators and in some of them there was opportunities to deliver the Russian low-en- fabrication module for BREST-OD-300 reac- key factors ensuring ROSATOM global lead- ar industry was notably a success. Against not used in VVER reactors in Russia, TVEL of its personnel and of the relevant territo- The strategic goals of the Company in- registered a significant exceedance of the riched nuclear fuel and its components for tor in Seversk industrial site. ership positions is innovative and techno- the background of the difficult market con- JSC having an effective scientific and tech- ries. The year 2015 marked the completion clude growth in the markets of the front end planned values. research and power reactors in Argentina. The world’s largest uranium enrichment logical development of TVEL Fuel Company. ditions we managed to fully accomplish our nological complex in its reserve coped of the Federal Target Program “Nuclear and nuclear fuel cycle, development of general Despite the difficult economic condi- The year 2015 was definitely successful plant, Ural Electrochemical Integrated Success on the global market, develop- plans for production and supply of products, with the challenging order of the Czech Radiation Safety Assurance for 2008 and industrial production, increase in opera- tions, ROSATOM proceeded with increas- for TVEL JSC: The Company fulfilled unex- Plant JSC, placed into operation two new ment of new business lines, financial results significantly increase productivity and effi- partners. up to 2015”. There were accomplished 37 tional efficiency, social and environmental ing the portfolio of foreign orders. Follow- ceptionally all contractual commitments to units of 9th generation gas centrifuges, as prove that the Company is headed in the ciency, strengthen our position in the tradi- The Company delivered new age TVSA-12 activities in seven sites of the Company for acceptability. Within the next two or three ing the year results, the orders portfolio Russian and foreign customers. Leadership well as testing of 9+ centrifuges has start- right direction. tional markets and enter the new ones. fuel to the Kozloduy NPP. Now the Bulgarian the total amount RUB 9.6 bln. years we need to achieve 30% increase in for the ten-year period made USD 110.3 bln positions of the Company are confirmed by ed. These achievements can significantly I am sure that knowledge, competence, The key events of our foreign trade activ- Nuclear Power Plant will be operated on the Being a socially responsible company, orders portfolio and revenue, labor produc- (against USD 101.4 bln in 2014), while the the highest quality products and the latest improve the efficiency of the uranium en- experience and professionalism of the work- ities include signing the additional agree- fuel with higher consumer properties and, TVEL Fuel Company takes an active part tivity, while reducing expenditures and pro- projects portfolio reached the number of technological solutions. richment process. ers will allow TVEL Fuel Company to guaran- ment to the fuel contract with the Chinese thus, with improved economic efficiency. in supporting socially significant projects duction costs. 34 NPP Power Units worldwide. Proceeds The year 2015 can be justifiably consid- The first Federal Target Program on Nu- tee high-quality solutions to its all ambitious corporations JNPC and CNEIC for the Tian- TVEL pays unchangingly considerable organized in the cities of its business op- Our plans remain unchangingly ambi- of ROSATOM from foreign contracts in- ered as the year of the beginning by Rus- clear and Radiation Safety Assurance was targets and to remain the flagship of the nu- wan NPP 3.4 Power Units transition to the attention to development of non-nuclear erations. In 2015 TVEL JSC and its subsid- tious. Maintaining leadership is a challeng- creased by more than 20% and amounted sian nuclear experts to develop and master completed in the past year. In the course clear industry further on, taking its rightful 18-month fuel cycle operation mode. The business lines. In 2015 a number of new iaries sponsored a number of charitable ing task. But only the most daring initiatives up to USD 6.26 bln. a whole range of new technologies for the of this program accomplishment the po- place in the Russian economy! contract with the Department of Atomic areas of the general industrial activities initiatives in the total amount of more than impart driving force to business develop- TVEL Fuel Company entered into new nuclear power of the future, and, primarily, tentially dangerous facilities of the nucle- Energy, Government of India, ensures sup- showed convincing results. Sales growth in RUB 139 mln. ment. agreements and contracts in 2015. Particu- the technology of closed nuclear fuel cycle ar “heritage”, that are primarily associat- plies of enriched uranium fuel pellets for comparison with 2014 on such non-nuclear TVEL Fuel Company is one of the world larly, the signed ten-year contract provides that allows generating electric power without ed with spent nuclear fuel and radioactive the nuclear fuel complex in Hyderabad. products as titanium milling, calcium and leaders in nuclear fuel production. We hold for fuel supplies and related services for irradiated fuel disposal problems. Within the waste, were transferred into a stable, con- In 2015 we exported a batch of nuclear calcium injection wire, lithium compounds 17% of the world fabrication market and de- prospective Power Units No. 5 and No. 6 framework of the project “Proryv” TVEL Fuel trolled status. fuel with secondary neutron sources (SNS) and automotive catalysts is more than 35%. liver fuel to 14 countries. The share of TVEL 4 TVEL JSC RESPONSIBLE PEOPLE Annual Report 2015. Short version TVEL JSC RESPONSIBLE PEOPLE Annual Report 2015. Short version 5 Key Results 2015 of TVEL Fuel Company Highlights January RUB mln RUB bln RUB mln Mastering the production of new product — calcium 189,017 86.6 55,734 injection wire for metallurgical melts treatment — on Revenue (net) from sale of prodcuts Adjusted free cash flow Net income the basis of the existing calcium metal production in ChMP JSC. Production of the full cycle of this prod- uct in Russia was not available before. % February RUB mln USD bln Start of works under the long-term contract for fuel 43.5 15,296 10.3 supplies to the power units being constructed in the EBITDA margin Dividends paid in 2015 Export orders portfolio for products and Paks Nuclear Power Plant in Hungary. services of FE NFC for a 10 year period Center of Energy Efficiency INTER RAO UES LLC com- pleted the large-scale project on development and introduction of the energy management system into TVEL Fuel Company. 8.4 RUB mln / person March May July October Labor efficiency Signing of the contract for fuel pellets supply to the The efforts of VNIINM JSC in the metrology support Signing of the additional agreement to the fuel con- Start of modified fuel TVSA-12 supplies to the Kozlo- BWR reactor of the American design to the Tarapur of MOX fuel production were recognized with a gold tract with JNPC and CNEIC on the Tianwan NPP 3, duy NPP (Bulgaria). Atomic Power Station in India. medal at the Moscow International Innovative Forum 4 Power Units transition to the 18-month fuel cycle “Precision measurements — the basis of quality and operation mode will allow to increase the portfolio Within the International Scientific Collaboration Pro- UEIP JSC placed into operation the power unit No. 58 safety 2015”. of foreign orders for the engineering services to the gram ECP JSC and AMoRE signed the contract for of the separation production updated pursuant to amount about USD 6 mln.