Boiler island contract awarded

A Foster Wheeler subsidiary has been awarded the contract for a 385MW circulating fluidised-bed (CFB) boiler island to be located in Lappeenranta in eastern Finland.

Foster Wheeler's Finnish subsidiary ,Foster Wheeler Energia, has been awarded a contract by Kaukaan Voima Oy Helsinki, Finland for a 385MW circulating fluidised-bed (CFB) boiler island to be located in Lappeenranta in eastern Finland.

The new biomass power plant will supply process steam and electricity to adjacent UPM-Kymmene's pulp and paper mill, as well as district heat and electricity to Lappeenrannan Energia.

Foster Wheeler has received a full notice to proceed on this contract, which will be included in Foster Wheeler's second-quarter 2007 bookings.

The terms of the contract were not disclosed.

Foster Wheeler will design and supply the 385 thermal MW CFB boiler and auxiliary equipment, including a feed water system, flue gas cleaning system and the boiler house, and will carry out the erection and commissioning of the boiler island.

The boiler will be designed to burn biomass or a combination of biomass and peat.

Commercial operation of the new boiler is scheduled for spring 2010.

"This is a significant win for Foster Wheeler", said James Stone, President and Chief Executive Officer, Foster Wheeler Energia.

"This project, which is the largest biomass-fired CFB ever awarded to Foster Wheeler, reflects Kaukaan Voima's confidence in Foster Wheeler as a supplier of state of the art CFB boilers and is another example of Foster Wheeler's commitment to supply technologically advanced and cost-effective solutions to our customers".

"The new power plant, to be built in Lappeenranta, is a continuation in UPM's long-term strategy to use biomass efficiently".

"The fuels used at the new power plant will be biomass-based side products from the site and residues from forest harvesting", states Anja Silvennoinen, Vice President, energy, UPM.

Kaukaan Voima is owned by Pohjolan Voima (PVO) and Lappeenrannan Energia.

Pohjolan Voima is a privately owned group of companies in the energy sector, which produces electricity and heat for its shareholders in Finland.

Lappeenrannan Energia is a municipal energy company owned by the City of Lappeenranta.

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