The Shaw Group Inc. (NYSE: SGR) today announced that Shaw and
Westinghouse Electric Company, its AP1000 Consortium partner, have
signed definitive contracts with State Nuclear Power Technology
Company of China (SNPTC), Sanmen Nuclear Power Company, Shandong
Nuclear Power Company Ltd., and China National Technical Import &
Export Corporation (CNTIC) to provide four AP1000 nuclear power plants
in China. Shaw will provide engineering, procurement, commissioning,
information management and project management services for the four
unit construction program. Shaw has previously announced the addition
of approximately $700 million for this program to its backlog of work.
Specific terms of the contracts were not disclosed.
The comprehensive, definitive contracts signed today follow the
selection of the Westinghouse/Shaw AP1000 Consortium to build the
first four nuclear power plants in China's nuclear expansion program
as originally announced in December 2006. Based on framework
agreements signed in March of this year, preliminary design,
engineering and long lead time procurement work is already underway.
The four plants are to be constructed in pairs on China's eastern
coast at Sanmen in Zhejiang province and Haiyang in Shandong province.
Construction is expected to begin in 2009, with the first plant in
Sanmen to begin operations in late 2013. The remaining three plants
are expected to come on line in 2014 and 2015.
J.M. Bernhard, Jr., chairman, president and chief executive
officer of Shaw, said, "These historic contracts signed today will
result in delivery of clean, safe, reliable and economical baseload
generation for China. We are excited to lead the nuclear renaissance
with our partner, Westinghouse, whose advanced, third generation
AP1000 technology clearly has world-recognized benefits for utilities
and consumers alike. With this four-unit AP1000 program underway, our
nuclear project teams are able to leverage valuable experience as new
build nuclear programs in the United States continue to move forward."
Richard F. Gill, president of Shaw's Power Group, stated, "We are
extremely pleased to finalize these definitive contracts for four
AP1000 units with SNPTC, Sanmen Nuclear Power Company, Shandong
Nuclear Power Company and CNTIC. It has been a pleasure working with
these clients through the planning and contracting process and now we
are ready to deliver this significant AP1000 program."
Westinghouse, a group company of Toshiba Corporation, is the
world's pioneering nuclear power company and a leading supplier of
nuclear plant products and technologies to utilities throughout the
world. Westinghouse, with Shaw, supplied the world's first pressurized
water reactor in 1957 in Shippingport, Pa. Today, Westinghouse
technology is the basis for approximately one-half of the world's
operating nuclear plants, including 60 percent of those in the United
States.
The Shaw Group Inc. 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,
chemical, environmental, infrastructure, and emergency response
markets. A Fortune 500 company with nearly $5 billion in annual
revenues, Shaw is headquartered in Baton Rouge, Louisiana and employs
approximately 25,000 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 website 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.