The Babcock & Wilcox Company
) won a contract to render engineering, procurement and
construction services to Interstate Power and Light Company.
Babcock & Wilcox will execute the deal, worth $290 million,
through its affiliate within its power generation segment - Babcock
& Wilcox Construction Co. ('BWCC").
Interstate Power and Light Company will employ the services to set
up environmental control systems at Ottumwa Generating Station
power plant in Ottumwa, Iowa.
Babcock & Wilcox's contribution for the deal involves $43
million for the design and delivery of environmental equipment. The
rest of the deal will be conducted by BWCC along with its joint
venture partner - Burns & McDonnell Engineering Company.
The joint venture will work toward site construction, including the
manufacture of two spray dry absorber (SDA) systems to control the
effects of sulfur dioxide (SO2). They will also set up two pulse
jet fabric filter baghouses to minimize the particulate emissions
at the 726 megawatt (MW), coal-fired Ottumwa facility.
BWCC and Kansas City-based Burns & McDonnell will also extend
engineering works for the other parts of the plant and supply
flues, fans, foundations and electrical job.
The companies have already commenced their work at the construction
site and start up and commissioning of environmental equipment is
slated to be largely completed by January 2015.
Headquartered in Charlotte, North Carolina, Babcock & Wilcox is
engaged in providing clean energy technology and services for the
nuclear, fossil, and renewable power markets worldwide. The company
operates in four business units: Power Generation, Nuclear
Operations, Technical Services and Nuclear Energy.
Earlier, in August 2010, The Babcock & Wilcox Company
McDermott International Inc.
) and began trading on the New York Stock Exchange under its
Babcock & Wilcox currently retains a Zacks #3 Rank, which
implies a Hold rating for a period of one to three months.
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