29th Sep 2014 08:11
LONDON (Alliance News) - AMEC PLC said Monday that it has been selected to deliver Sellafield's Box Encapsulation Plant project in West Cumbria in a joint venture with Jacobs Engineering Group and Balfour Beatty PLC.
AMEC, the engineering and project management company, said the four-year reimbursable framework contract, awarded by Sellafield Limited, has a potential value range of between GBP240 million and GBP336 million.
Under the terms of the waste treatment contract, the joint venture partners will share the financial terms equally, said FTSE 250-listed AMEC. The joint venture will deliver the complete life cycle of services to the project, which addresses the cleanup of one of the most hazardous legacy facilities on the Sellafield site; from project management, design, engineering, procurement, installation, and construction management through to inactive commissioning.
Work is scheduled to begin immediately.
The Box Encapsulation Plant project is designed to treat Magnox reactor waste currently stored at Sellafield by containing it in concrete and getting it ready for long term storage.
Shares in AMEC were Monday morning trading 0.99% higher at 1,117.00 pence per share. Balfour Beatty trades 22.78% lower at 173.68 pence per share after the FTSE 250-listed construction group said Monday that it expects its Construction Services UK division to take another GBP75 million hit to its profit this year and said it has appointed auditors KPMG LLP to undertake a detailed independent review of the contract portfolio within the business.
By Alice Attwood; [email protected]; @AliceAtAlliance
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