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Foster Wheeler Awarded Contract for Circulating Fluidized-Bed Steam Generator by Yuen Foong
Yu Paper

Foster Wheeler

Foster Wheeler Ltd. announced today that a subsidiary of its Global Power Group has been awarded a contract by Yuen Foong Yu Paper Manufacturing Co., Ltd (YFY) for the design and supply of a circulating fluidized-bed (CFB) steam generator to be located at its Chiutang Mill in Kaoshiung, Taiwan. This is the third CFB order awarded to Foster Wheeler by YFY. YFY previously purchased a CFB boiler for their Yangzhou Mill in China in 2005 and a CFB boiler for their Hsin Wu Mill in 1988.

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 bookings for the third-quarter of 2008.

The 50 MWe (gross megawatt electric) CFB steam generator is designed to burn bituminous coal as well as tires and sludge. YFY has been burning tires and sludge successfully at its existing Foster Wheeler CFB boiler at Hsin Wu Mill. Construction is expected to begin in the spring of 2009 with commercial operation scheduled for 2011.

"The ability to burn alternative fuels that would otherwise go to landfills was paramount in their decision to select Foster Wheeler as the supplier," said Byron Roth, chief executive officer of Foster Wheeler Power Group Asia.

"We have a long relationship with Foster Wheeler via the supply of their CFB boilers at our facilities," said C. C. Huang, president of YFY Co-Generation Company, a subsidiary of YFY. "The units perform very well and we wanted to continue this relationship with another CFB in our portfolio at our Chiutang Mill."

Posted 04/11/08

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