Nuclearelectrica loses RON 1B at BVB — NRG-IA

Massive correction at BVB: Nuclearelectrica loses RON 1 billion in minutes Nuclearelectrica (SNN) shares recorded a sharp 5% drop at the opening of Thursday's trading session, instantly wiping out RON 1 billion from the company's market capitalization, according to Bucharest Stock Exchange data analyzed by Ziarul Financiar. This rapid reaction from the capital market follows the announcement of a complete production shutdown at the Cernavodă Nuclear Power Plant. The sell-off on the trading platform reflects the immediate vulnerability of the company's revenues to climate-induced operational disruptions. Investors reacted promptly to the risk of reduced cash flows estimated for the third quarter. SNN shares, traditionally considered highly stable defensive assets and favored by major private pension funds, faced massive selling pressure from the opening seconds of the session. Trading volume surged well above the daily average, confirming that the reactor shutdown decision has short-term implications for the overall market sentiment toward the issuer. According to official reports analyzed by Ziarul Financiar, this correction represents one of the most severe daily adjustments over the past year for the state-owned nuclear operator. The temporary loss in capitalization directly impacts local investment portfolios and highlights the company's structural dependence on the hydrological conditions of the Danube, an external factor that management cannot directly control through administrative decisions. Severe drought and critical Danube flow block cooling circuits The direct cause of this stock depreciation is the controlled shutdown of both nuclear reactors at Cernavodă, an extreme measure forced by the dramatic drop in the Danube's flow rate. To ensure absolute nuclear safety of the facilities, the operator must maintain minimum water flows for the secondary cooling circuits. When water levels in the suction basin drop below technical safety limits, standard operating procedures dictate the controlled disconnection of the turbogenerators from the National Energy System. The prolonged lack of precipitation in the Danube basin and extreme temperatures have accelerated the decline in flow rates to levels far below multi-annual averages. Although Nuclearelectrica has implemented periodic dredging and intake canal optimization in recent years to ensure a steady water inflow, the severity of this season's drought has exceeded the technical operational limits of both 700 MW units, forcing their successive shutdown. Major baseload energy deficit and pressure on spot market prices The consequences of this double shutdown extend rapidly beyond stock market screens, directly impacting the physical balance of the National Energy System (SEN). Cernavodă normally provides approximately 18% to 20% of domestic electricity production, serving as Romania's main source of baseload energy, characterized by constancy and low marginal costs. The sudden loss of 1,400 MW of production capacity leaves a massive gap in the national grid. To cover this deficit and maintain grid frequency, the transmission system operator Transelectrica and energy suppliers are forced to rely on emergency imports through European interconnectors or activate gas and coal-fired thermal power plants, which have much higher production costs. This reconfiguration of energy flows puts immense pressure on spot market prices (PZU) managed by OPCOM, where trading tariffs can experience significant spikes during peak hours, directly affecting suppliers' procurement costs. Hydrological monitoring and uncertain timeline for reactor restart The recovery outlook for Nuclearelectrica's stock prices depends entirely on the evolution of the Danube's flow rate and hydrometeorological forecasts for the coming days. The company could not provide a fixed timeline for reconnecting the reactors, stating that technical startup procedures will begin as soon as water levels allow safe and proper supply to the cooling circuits. Until hydrological parameters stabilize, SNN shares could remain under heavy selling pressure. Institutional and retail investors will closely monitor daily reports issued by the National Administration of Romanian Waters and Nuclearelectrica's official announcements on the BVB. Beyond the immediate revenue losses from unsold power, the financial community is evaluating the risk of such extreme climate events becoming recurrent, which could force a reevaluation of the company's risk profile and long-term plans for expanding capacity with Units 3 and 4.