Iran-Russia Small Nuclear Power Plants Agreement (2025)

On 24 September 2025 in Moscow, a memorandum of understanding was signed between Iran and Russia, establishing a strategic cooperation agreement for the construction of nuclear power plants based on small modular reactors in Iran. The document was signed by Aleksey Likhachev, Director General of Rosatom, and Muhammad Ismaili, President of the Atomic Energy Organization of Iran and Deputy President of Iran.

General Framework of the Agreement

The memorandum of understanding on the construction of small nuclear power plants between Iran and Russia was signed on 24 September 2025 in Moscow. The agreement was concluded between the Russian State Nuclear Energy Corporation Rosatom and the Atomic Energy Organization of Iran (AEOI).

The memorandum was signed by Aleksey Likhachev, Director General of Rosatom, and Muhammad Ismaili, President of the Atomic Energy Organization of Iran and Deputy President of Iran. Both parties emphasized that the document constitutes a strategic project.

The agreement envisages the construction of small-scale nuclear power plants on Iranian territory and comprehensive cooperation in this field. The talks were conducted during an official visit to Moscow, bringing together delegations from both sides.

Content of the Agreement

The memorandum of understanding provides for the construction of nuclear power plants in Iran based on small modular reactors (SMRs). To this end, the relevant institutions of both countries have agreed to cooperate on design, engineering and complementary studies.

The Atomic Energy Organization of Iran stated that these reactors will play a significant role in advancing the country’s nuclear technical knowledge and technological capabilities and will contribute to the emergence of new industrial sectors in the production of equipment and devices for energy plants.

The document specifies that cooperation between Iran and Russia will be based on respect for their national laws and international obligations, with the goal of peaceful use of nuclear energy. Thus, the agreement encompasses not only construction activities but also the advancement of nuclear technology within the framework of sustainable development and energy security.

Diplomatic and International Context

The memorandum of understanding is grounded in the peaceful use of nuclear energy. It was prepared in line with the two countries’ objectives of sustainable development and energy security, while also aiming to promote technological progress.

The signing ceremony took place during Iran’s delegation visit to Moscow and was held within the framework of the World Atomic Energy Week forum, which was held in Moscow from 25 to 28 September 2025.

The talks were conducted in an atmosphere of mutual trust, transparency and constructiveness. It was noted that relations between the Atomic Energy Organization of Iran and Rosatom are built upon experience gained from previously implemented projects.

It was stated that Iran’s pursuit of this cooperation is influenced in particular by electricity outages experienced during peak demand periods in the summer months. Currently, the only operational nuclear power plant in the country is the 1 gigawatt facility at Bushehr.

Sanctions and International Reactions

The memorandum of understanding was signed at a time when new sanctions threats against Iran’s nuclear program were under discussion. The United Nations Security Council decided not to lift economic sanctions against Iran and indicated that these sanctions could be reinstated as of 28 September 2025.

Russia was one of the four countries that voted against the reimposition of sanctions in the Security Council vote. Iran declared that the reinstatement of sanctions would effectively suspend its cooperation with the International Atomic Energy Agency (IAEA).

European countries (E3: United Kingdom, France and Germany) asserted that Iran had violated its obligations under the 2015 nuclear agreement by increasing its uranium stockpile to forty times the permitted level. This situation has brought into focus the “snapback” mechanism provided for in the agreement, which allows for the automatic re-imposition of sanctions.

Iran reiterated that it has no intention of developing nuclear weapons and affirmed that its activities are pursued exclusively for peaceful purposes. Additionally, during the year, attacks were carried out by the United States and Israel on certain nuclear facilities in Iran, which Russia condemned.

Iran’s Long-Term Plans and Existing Cooperation

Iran’s nuclear energy strategy aims to achieve a total installed capacity of 20 gigawatts (GW) by 2040. As part of this plan, eight new nuclear power plants are envisaged, four of which are to be located in Bushehr, while the remaining projects will be carried out by Russia subject to Iran’s official announcements. Muhammad Ismaili, President of the Atomic Energy Organization of Iran, stated that site selections for the plants have been finalized, contract negotiations are underway, and with the agreement, design and engineering work has entered the operational phase.

Iran’s existing nuclear cooperation with Russia began with the construction of the Bushehr plant. This VVER-type unit, with a capacity of approximately 915 megawatts electric (MWe), was built and commissioned by Russia. Construction of two additional VVER-1000 reactor units at the same site is currently ongoing. During the Moscow talks, the parties reviewed the progress of ongoing projects, conducted technical assessments regarding the construction and operation of existing plants, and identified new areas for cooperation.