BWXT Subsidiary Awarded Six-Year, $505 Million Contract for Highly Enriched Uranium Downblending Services
Business Wire 28-Sep-2018 6:45 AM
BWX Technologies, Inc. (NYSE:BWXT) announced today that its Nuclear
Fuel Services, Inc. (NFS) subsidiary was awarded a contract valued at
$505 million for the downblending of 20.2 metric tons of highly enriched
uranium (HEU) to produce low enriched uranium (LEU) suitable for use as
commercial nuclear reactor fuel and for national defense programs.
NFS will provide downblending services to the Tennessee Valley
Authority, with work expected to begin in early 2019 and run through
mid-2025. The work supports the Department of Energy's National Nuclear
Security Administration's (NNSA) defense programs objectives. Under
prior contracts, NFS has downblended about 70 metric tons of HEU for the
NNSA. This is the largest single downblending contract in NFS history.
"We are exceedingly pleased to partner with TVA to perform this critical
work for the NNSA," said Rex Geveden, BWXT's president and chief
executive officer. "This contract award speaks to the truly unique
capabilities in nuclear materials processing at BWXT and edifies one of
our key lines of business."
Downblending is a process in which HEU is mixed with natural uranium to
make LEU, which can then be used for a variety of commercial and
national defense purposes. BWXT has been downblending HEU since 1995,
when it was selected by the U.S. Government to downblend a stockpile of
HEU as part of Project Sapphire.
Forward Looking Statements
BWXT cautions that this release contains forward-looking statements,
including statements relating to the performance, timing, impact and
value, to the extent contract value can be viewed as an indicator of
future revenues, of the downblending contract. These forward-looking
statements involve a number of risks and uncertainties, including, among
other things, modification or termination of the contract and delays. If
one or more of these or other risks materialize, actual results may vary
materially from those expressed. For a more complete discussion of these
and other risk factors, please see BWXT's annual report on Form 10-K for
the year ended December 31, 2017 and subsequent quarterly reports on
Form 10-Q filed with the Securities and Exchange Commission. BWXT
cautions not to place undue reliance on these forward-looking
statements, which speak only as of the date of this release, and
undertakes no obligation to update or revise any forward-looking
statement, except to the extent required by applicable law.
About BWXT
Headquartered in Lynchburg, Va., BWX Technologies, Inc. (NYSE:BWXT)
is a leading supplier of nuclear components and fuel to the U.S.
government; provides technical and management services to support the
U.S. government in the operation of complex facilities and environmental
remediation activities; and supplies precision manufactured components,
services and fuel for the commercial nuclear power industry. With
approximately 6,250 employees, BWXT has 11 major operating sites in the
U.S. and Canada. In addition, BWXT joint ventures provide management and
operations at more than a dozen U.S. Department of Energy and NASA
facilities. Follow us on Twitter @BWXTech and learn more at www.bwxt.com.
About NFS
Nuclear Fuel Services, Inc. (NFS) in Erwin, Tennessee, is a
subsidiary of BWX Technologies, Inc. The facilities manufacture various
components for naval nuclear reactors used in submarines and aircraft
carriers, as well as components for the commercial nuclear industry.
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