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Fluor to support new nuclear plants at South Texas Project

Fluor Corporation announced that its Power Group was awarded a contract by Toshiba International Corporation, a U.S. business unit of the Toshiba Corporation, for engineering, procurement and construction-related services for two new nuclear reactors planned for the South Texas Project (STP) Nuclear Generating Station in Bay City, Texas.

Later this year, STP's 44-percent owner, NRG Energy, Inc. plans to apply to the U.S. Nuclear Regulatory Commission (NRC) for a combined construction and operating license (COL) to build two Advanced Boiling Water Reactors (ABWRs), known as STP Units 3 & 4, which will be adjacent to the two existing reactors (STP Units 1 & 2). NRG announced on Aug. 9, 2007, that it had contracted with Toshiba to provide key reactor components as well as early engineering, procurement and construction-related services for these planned reactors.

NRG has stated it intends to utilize a three-step, decision-making and contracting approach to move this planned project forward. Fluor will support Toshiba in the first developmental phase of the project by providing project planning, estimating, engineering, procurement and construction-related services. The second phase - design, procurement and construction planning - is expected to begin in late 2007 and will conclude when the NRC issues the combined construction and operating license (COL), currently expected in late 2010. The third phase - construction - is intended to begin immediately upon NRC's issuance of the COL.

The value of this first phase will be booked in the third quarter 2007. Future awards for the second and third phases will be booked as they are awarded.



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