In January 2013 Rosatom and the Finnish company Fennovoima signed a contract to build the Hanhivirta-1 nuclear power plant. The agreement called for a 1200 MW reactor with an estimated investment of 7‑7.5 billion euros and was projected to cover about ten percent of Finland’s electricity demand. These figures defined the scale of the undertaking that both parties hoped would deliver modern, low‑carbon energy to the Nordic market.
By early 2022 tensions had surfaced. On April 1 2022 Fennovoima notified Rosatom of its intention to terminate the agreement, and a month later, on May 1 2022, it formally ended the Hanhikivi-1 construction contract, citing project delays and the prevailing political situation. Shortly after the termination Fennovoima launched arbitration proceedings seeking the return of 1.75 billion euros in advance payments it had made to the Russian partner.
Before the international arbitration court weighed in, a Dispute Resolution Board had already examined the dispute. On December 1 2022 the board rejected Fennovoima’s financial claims against Rosatom, finding that the Russian company’s position on cost recovery was sound. This early decision hinted that the contractual disagreements would face scrutiny in other forums.
Following the ICC ruling, Rosatom continued to press its financial claims.
The pivotal moment arrived on October 10 2026 when the International Court of Arbitration of the International Chamber of Commerce issued its ruling. The tribunal declared Fennovoima’s unilateral termination of the Hanhivirta-1 contract unlawful. Importantly, the court noted that at the time of the termination the project was progressing dynamically and that Rosatom’s companies were meeting licensing requirements and making progress in obtaining the necessary construction permits. The decision reinforced Rosatom’s argument that the cancellation was premature and unjustified.
Following the ICC ruling, Rosatom continued to press its financial claims. The Russian corporation filed six separate claims amounting to roughly three billion euros, aiming to recover incurred costs and to compensate for the dilution of its equity stake. That dilution had occurred after Fennovoima issued additional shares in late 2022, reducing Rosatom’s share from 34 percent to just 3 percent. Parallel to the ICC case, Rosatom’s subsidiaries lodged claims in the Moscow Arbitration Court on May 1 2025, extending the dispute into Russian jurisdiction.
Rosatom’s CEO Alexey Likhachev welcomed the tribunal’s outcome but cautioned that it was not the end of the road. He emphasized that, had the parties avoided litigation and continued joint implementation, Finland would have received a newest‑generation nuclear plant delivering inexpensive and green electricity. The projected output—enough to meet about a tenth of the country’s power needs—remains a point of discussion about what might have been.
The Moscow Arbitration Court proceedings, initiated in May 2025, represent another front where Rosatom seeks to recover costs and address the equity dilution. While the ICC ruling addressed the legality of the termination, the Russian court will consider the financial ramifications of the collapsed project, including the claims tied to the reduced stake and the alleged losses suffered by Rosatom’s affiliates.
Likhachev framed the ICC victory as an important step but stressed that Rosatom will continue to prove its case in various instances. The legal saga, which began with a 2013 contract and has spanned arbitration panels in Paris and Moscow, remains unresolved. As both sides prepare for further hearings, the future of the Hanhikivi-1 site—and the potential for a nuclear contribution to Finland’s energy mix—hangs in the balance of ongoing litigation.