2008-04-07 23:33:46 -
www.shawgrp.com - The Shaw Group Inc. Financial Contact: Chris Sammons, 225-932-2546 or Media Contact: Sean Clancy, 225-987-7129 The Shaw Group Inc. (NYSE: SGR) announced today that the Nuclear Division of its Power Group and Westinghouse Electric Company, its AP1000(TM) nuclear power plant consortium partner, have signed a letter of intent with Progress Energy Florida, a subsidiary of
Progress Energy (NYSE: PGN) to complete negotiations toward an engineering, procurement and construction (EPC) contract for two Westinghouse AP1000 nuclear units planned for construction in Levy County, Fla. The letter of intent also authorizes Shaw to continue with limited site development activities and authorizes Westinghouse to make commitments for the procurement of long lead-time materials for the proposed nuclear units.
"Clearly, America's nuclear renaissance is underway, and Progress Energy is a leader in planning new nuclear power plant construction. This project will help diversify Florida's energy portfolio and help meet the growing demand for electricity in an emission-free and cost-effective manner," said J.M. Bernhard Jr., Shaw's chairman, president and chief executive officer.
On March 11, Progress Energy Florida filed a Petition for Determination of Need with the Florida Public Service Commission and, in the coming months, Progress Energy plans to submit a combined construction and operating license application with the U.S. Nuclear Regulatory Commission for the project. The first unit is expected to be operational by 2016, pending regulatory approvals and a final decision by Progress Energy to move forward with the project.
"We look forward to working with Progress Energy and Westinghouse to finalize the EPC contract that will provide Progress and its customers with the most advanced power plants available in the world today," Mr. Bernhard added. "By selecting the AP1000 consortium, Progress has demonstrated its confidence in the most advanced nuclear technology that will safely deliver clean, reliable power and in a team whose nuclear experience dates back to America's first commercial nuclear power plant. Today, the AP1000 consortium is working to deliver four new AP1000 units at two locations in China."
The Shaw Group Inc., a 20 percent owner of Westinghouse Electric Company, is a leading global provider of technology, engineering, procurement, construction, maintenance, fabrication, manufacturing, consulting, remediation and facilities management services for government and private sector clients in the energy, chemicals, environmental, infrastructure and emergency response markets. A Fortune 500 company with nearly $6 billion in annual revenues, Shaw is headquartered in Baton Rouge, La., and employs approximately 27,000 people at its offices and operations in North America, South America, Europe, the Middle East and the Asia-Pacific region. For further information, please visit Shaw's Web site at www.shawgrp.com.
The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for certain forward-looking statements. The statements contained herein that are not historical facts (including without limitation statements to the effect that the Company or its management "believes," "expects," "anticipates," "plans" or other similar expressions) and statements related to revenues, earnings, backlog or other financial information or results are forward-looking statements based on the Company's current expectations and beliefs concerning future developments and their potential effects on the Company. There can be no assurance that future developments affecting the Company will be those anticipated by the Company. These forward-looking statements involve significant risks and uncertainties (some of which are beyond our control) and assumptions and are subject to change based upon various factors. Should one or more of such risks or uncertainties materialize, or should any of our assumptions prove incorrect, actual results may vary in material respects from those projected in the forward-looking statements. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. A description of some of the risks and uncertainties that could cause actual results to differ materially from such forward-looking statements can be found in the Company's reports and registration statements filed with the Securities and Exchange Commission, including its Form 10-K and Form 10-Q reports, and on the Company's Web site under the heading "Forward-Looking Statements." These documents are also available from the Securities and Exchange Commission or from the Investor Relations department of Shaw. For more information on the company and announcements it makes from time to time on a regional basis, visit our Web site at www.shawgrp.com.
¶ -- Parties Working to Finalize Engineering, Procurement and
Construction Contract
¶ -- Procurement of Long Lead-Time Materials Underway
¶ -- Shaw to Continue Limited Site Development Activities
