Foster Wheeler Awarded Contract for Cooperation on a Utility Circulating Fluidized-Bed Steam Generator in Korea
ZUG, Switzerland--(BUSINESS WIRE)-- Foster Wheeler AG (NAS: FWLT) announced today that a subsidiary of its Global Power Group has been awarded a contract by Doosan Heavy Industries & Construction Co., Ltd. for cooperation in the design of a circulating fluidized-bed (CFB) steam generator for the Yeosu Thermal Power Plant 1 Project for Korea South East Power Co., Ltd. (KOSEP).
Doosan Heavy Industries & Construction will supply the major equipment, including the CFB boiler and turbine generator for the Yeosu 1 project which will replace an existing heavy-oil fired unit.
Foster Wheeler will provide the design review of the 350 MWe (gross megawatt electric) CFB steam generator for Doosan Heavy Industries & Construction Co., Ltd., Foster Wheeler's licensee for Utility CFB technology in the region.
Foster Wheeler has received a full notice to proceed on this contract. The terms of the agreement were not disclosed, and the contract value will be included in the company's third-quarter 2012 bookings. Commercial operation of the new steam generator is scheduled for the first quarter of 2015.
"We are gratified by the way in which high-end utility clients around the world continue to embrace Foster Wheeler's advanced CFB technology," said Tomas Harju-Jeanty, President and Chief Executive Officer of Foster Wheeler Energia Oy Group. "This is our second contract for KOSEP for repowering of an older utility plant - and stands as yet another example of the way in which the fuel flexibility and environmental performance of the CFB make it a natural choice for many utility clients."
"With the growing use of low-quality coal, of which there are large reserves, demand for CFB boilers is increasing not only in Korea but also in foreign countries," said Dongsoo Suh, head of the Power Business Group at Doosan Heavy Industries & Construction. "The Foster Wheeler CFB eco-friendly technology is highly efficient in reducing fuel costs due to its ability to use these low-quality coals as fuel."
Foster Wheeler AG is a global engineering and construction company and power equipment supplier delivering technically advanced, reliable facilities and equipment. The company employs approximately 12,000 talented professionals with specialized expertise dedicated to serving its clients through one of its two primary business groups. The company's Global Engineering and Construction Group designs and constructs leading-edge processing facilities for the upstream oil and gas, LNG and gas-to-liquids, refining, chemicals and petrochemicals, power, mining and metals, environmental, pharmaceuticals, biotechnology and healthcare industries. The company's Global Power Group is a world leader in combustion and steam generation technology that designs, manufactures and erects steam generating and auxiliary equipment for power stations and industrial facilities and also provides a wide range of aftermarket services. The company is based in Zug, Switzerland, and its operational headquarters office is in Geneva, Switzerland. For more information about Foster Wheeler, please visit our Web site at www.fwc.com.
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Foster Wheeler AG news releases may contain forward-looking statements that are based on management's assumptions, expectations and projections about the Company and the various industries within which the Company operates. These include statements regarding the Company's expectations about revenues (including as expressed by its backlog), its liquidity, the outcome of litigation and legal proceedings and recoveries from customers for claims and the costs of current and future asbestos claims and the amount and timing of related insurance recoveries. Such forward-looking statements by their nature involve a degree of risk and uncertainty. The Company cautions that a variety of factors, including but not limited to the factors described in the Company's most recent Annual Report on Form 10-K, which was filed with the U.S. Securities and Exchange Commission and the following, could cause the Company's business conditions and results to differ materially from what is contained in forward-looking statements: benefits, effects or results of the Company's redomestication or the relocation of our principal executive offices to Geneva, Switzerland; the benefits, effects or results of our strategic renewal initiative; further deterioration in global economic condition; changes in investment by the oil and gas, oil refining, chemical/petrochemical and power generation industries; changes in the financial condition of our customers; changes in regulatory environments; changes in project design or schedules; contract cancellations; changes in estimates made by the Company of costs to complete projects; changes in trade, monetary and fiscal policies worldwide; compliance with laws and regulations relating to our global operations; currency fluctuations; war, terrorist attacks and/or natural disasters affecting facilities either owned by the Company or where equipment or services are or may be provided by the Company; interruptions to shipping lanes or other methods of transit; outcomes of pending and future litigation, including litigation regarding the Company's liability for damages and insurance coverage for asbestos exposure; protection and validity of its patents and other intellectual property rights; increasing global competition; compliance with debt covenants; recoverability of claims against customers and others by the Company and claims by third parties against the Company; and changes in estimates used in our critical accounting policies. Other factors and assumptions not identified above were also involved in the formation of these forward-looking statements and the failure of such other assumptions to be realized, as well as other factors, may also cause actual results to differ materially from those projected. Most of these factors are difficult to predict accurately and are generally beyond the Company's control. You should consider the areas of risk described above in connection with any forward-looking statements that may be made by the Company. The Company undertakes no obligation to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise. You are advised, however, to consult any additional disclosures the Company makes in proxy statements, quarterly reports on Form 10-Q, annual reports on Form 10-K and current reports on Form 8-K filed or furnished with the Securities and Exchange Commission.
Foster Wheeler AG
Julie Stanisz, 908-730-4047
Jan Rogers, 908-713-3288
Scott Lamb, 908-730-4155
KEYWORDS: Europe Asia Pacific South Korea Switzerland
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