Iran announced Friday that it has signed a multibillion-dollar nuclear development agreement with Russia, further elevating its ambitions in nuclear energy amid mounting geopolitical pressures.
According to Breitbart, the $25 billion deal will see Russian state nuclear firm Rosatom construct four new nuclear reactors in southern Iran, as Europe prepares to reimpose sanctions over Tehran’s controversial nuclear program.
According to Iranian state media, the memorandum of understanding was signed on Friday and represents a key phase in Iran's plan to ramp up domestic nuclear energy capabilities. The signed agreement calls for the development of four large reactors at the Hormoz Nuclear Power Plant, located in Hormozgan province along the Persian Gulf.
Each reactor will be capable of generating approximately 1,255 megawatts of power. Once the planned work is complete, the facility will produce 5,000 megawatts in total, significantly increasing Iran’s civilian energy production capacity. The Hormoz plant will complement Iran’s only currently operational nuclear facility in Bushehr, which produces around 1,000 megawatts. The Bushehr plant was also built in cooperation with Russia and went online in 2011.
First Reactor Expected to Start by 2031
Iranian officials said the first of the four new reactors at the Hormoz site is expected to begin operation by 2031. This marks a long-term commitment to nuclear development, which authorities insist is aimed solely at peaceful energy production. Iranian Vice President Mohammad Eslami, who also serves as the head of the Atomic Energy Organization of Iran (AEOI), traveled to Moscow this week to finalize the MOU with Rosatom’s CEO, Alexey Likhachev. Eslami represented Iran at the World Atomic Week energy forum, held in the Russian capital on Thursday, September 25.
While in Moscow, Eslami emphasized that planning for the Hormoz project has been ongoing for two years and is now entering a new phase. “Based on the strategic plan, this project has been in development for two years and is expected to move into the contract and design phase within days,” he said.
Plans for Small Modular Reactors are Also Advancing
In addition to the Hormoz reactors, Iranian officials confirmed plans to expand their use of small modular reactors, or SMRs. These reactors are smaller and often seen as more flexible energy sources, particularly useful in regions with less developed infrastructure. While the government touts its nuclear advances as a sign of technological self-sufficiency, the international community has raised concerns. The United States and the three European nations involved in the 2015 nuclear agreement — France, Germany, and the United Kingdom — have long accused Iran of lacking transparency in its nuclear activities.
In August, the European trio informed the United Nations Security Council of their intention to activate the "snapback" mechanism to reimpose sanctions that had been lifted under the 2015 Joint Comprehensive Plan of Action (JCPOA). The 30-day countdown on that action will expire on Sunday.
Russia and China Seek a Delay of Sanctions
Opposition to the European plan has emerged, with Russia and China pushing for a postponement of six months on any new sanctions. These diplomatic disagreements highlight the broader geopolitical stakes tied to Iran’s nuclear ambitions. Iranian leaders continue to reject accusations that their program has military dimensions. Eslami stated, “Iran’s nuclear program has no military objectives, and they know it.” He has accused Western nations of pursuing political pressure under pretenses.
In a clear message to the Western powers, Eslami added, “To Washington, London, Paris, and Berlin I say: you cannot subdue the proud Iranian nation. Stop deceiving the world and clinging to hegemonic policies. Our program is fully transparent, and we will not retreat.”
Government Defends Nuclear Efforts as Crucial for Growth
Iranian officials have characterized the country's nuclear industry as the result of a persistent national effort. “Fifty years of perseverance by Iran’s nuclear experts have transformed this proud industry into a pioneering force in science and technology,” Eslami remarked during the Moscow forum. He argued that collaboration with Russia was vital to transitioning from research to project implementation. “We have conducted extensive studies and research, completed design work, and developed the necessary industrial capacity. Cooperating with Russia in this area was crucial to advancing a specific project from planning to implementation,” Eslami explained.
Iranian Foreign Minister Abbas Araghchi took a firmer tone against Europe, accusing France, Germany, and the United Kingdom of backing what he described as American “maximum pressure” tactics. “The decision of the three European countries to activate the mechanism known as the rollback was fundamentally in line with the inhumane policy of maximum pressure of the U.S. government,” he said.
Future of Iran's Nuclear Deal Remains Uncertain
As the deadline for the snapback mechanism approaches, the future of diplomatic engagement with Iran regarding its nuclear ambitions hangs in the balance. Iran continues to insist that all enrichment efforts serve peaceful purposes, while critics point to uranium enriched to near-weapons-grade levels as cause for alarm.
Whether or not the United Nations Security Council agrees to delay sanctions could shape the course of Iran’s partnership with Russia and its broader role on the international stage. For now, Tehran’s commitment to expanding nuclear infrastructure remains firm. This newest deal serves both strategic and symbolic roles — showcasing Iran’s resolve against Western pressure while deepening alliances with Eastern powers like Russia and China.
