(Yicai Global) May 9 -- China General Nuclear Power and Societatea Nationala Nuclearelectrica, Romania's state-owned nuclear giant, have inked an agreement to develop two new reactors in the Cernavoda plant in southeastern Romania. 

CGN and Nuclearelectrica penned a preliminary deal yesterday to set up a joint venture regarding Cernavoda's planned units No. 3 and No. 4, state-backed Xinhua News Agency reported.

The pair will make an implementation plan for the nuclear project and lay a foundation for the construction during the JV's two years of existence, Anton Anton, Romania's energy minister told Xinhua. 

Nuclearelectrica will invest EUR2 million (USD2.2 million) in the JV for a 49 percent stake while CGN will hold the remaining 51 percent. The report did not disclose the size of Shenzhen-based CGN's investment. 

CGN started talking with Bucharest-based Nuclearelectrica in 2010 to build the No. 3 and No. 4 reactors, with an estimated total investment of EUR7.2 billion (USD8.1 billion). The No. 2 unit was completed in 2007, and the first and the second unit now collectively produce around 17 percent of the European country's electricity.

The two new units will improve Romania's energy mix and bring about 19,000 jobs, Vice Prime Minister Viorel Stefan said at the ceremony.

Editor: Emmi Laine