Russia signs $25 billion deal with Iran to build four nuclear plants
Europe, Middle East, News September 27, 2025 Comments Off on Russia signs $25 billion deal with Iran to build four nuclear plants3 minute read
Iran and Russia have signed a $25 billion agreement for the construction of four nuclear power reactors in southern Iran, state news agency IRNA reported on September 26, 2025.
The deal was concluded between the Iranian government and Russia’s state-owned nuclear corporation Rosatom and will see the building of four Generation III units with a combined capacity of over 5,000 megawatts in Hormozgan Province.
According to IRNA, the facilities will be built on a 500-hectare site in the coastal city of Sirik, located across the Gulf from the United Arab Emirates and Oman. Each unit will have a capacity of 1,255 megawatts, with the total expected to reach 5,020 megawatts once completed.
The agreement was signed during the Atom Expo 2025 exhibition in Moscow, part of World Atom Week, which Russia has described as the largest international nuclear gathering of the year. Iranian Vice President Mohammad Eslami and Rosatom Director General Alexey Likhachev formalized the deal at Iran’s dedicated pavilion.
Officials from both countries said the agreement was a demonstration of “developing cooperation in the peaceful use of nuclear energy.”
Broader Context
The announcement comes as the United Nations Security Council prepares to vote on a resolution backed by China and Russia to delay the reimposition of international sanctions against Iran under the so-called “snapback mechanism.” France, Germany, and the United Kingdom are supporting the measure’s reactivation, which would restore sanctions suspended under the 2015 nuclear deal.
Russia has consistently opposed reimposing sanctions, calling instead for diplomacy to preserve the nuclear agreement. Moscow has also backed Tehran after U.S. and Israeli strikes on Iranian nuclear sites in June. At the time, Israel alleged without evidence that Iran was on the verge of developing nuclear weapons.
Iran has firmly denied those accusations and Iranian President Masoud Pezeshkian told the United Nations General Assembly earlier this week that Tehran will “never seek to build a nuclear bomb.”
Iran currently operates one nuclear power plant in the southern city of Bushehr. Also built with Russian assistance, it has a generating capacity of 1,000 megawatts. Officials have said the country needs further capacity to address energy shortages during periods of peak demand.
The new facilities in Hormozgan Province are expected to significantly increase the availability of electricity while diversifying the country’s energy infrastructure. The location near Kouhestak, southeast Iran, was chosen for its access to the Gulf and strategic energy corridors.
Rosatom had announced earlier in the week that it signed a memorandum of understanding in Moscow on expanding nuclear cooperation with Iran, without specifying details. The new deal builds on that framework, clarifying both the scale and scope of the projects.
Symbolism of the Deal
The agreement was signed during the 80th anniversary of Russia’s nuclear industry, with World Atom Week events featuring representatives from more than 100 countries. Iran’s pavilion drew notable attention, with officials highlighting the country’s technological progress and desire to emphasize the peaceful nature of its nuclear program.
Russian President Vladimir Putin also attended the World Atom Assembly, underscoring the significance Moscow places on nuclear energy partnerships. Delegations from China, Belarus, Kazakhstan, and Uzbekistan joined the gathering, showcasing their own civilian nuclear achievements.
For Iran, the deal is a signal of continued alignment with Russia as international scrutiny of its nuclear activities intensifies. For Moscow, it represents both an economic partnership and a political statement against Western pressure.
Related Articles
IRIA Exclusive
IRIA Publications
Regions
