BETHESDA, Md.--(BUSINESS WIRE)--June 21, 2004--USEC Inc. (NYSE:USU) announced today that it has selected Fluor Enterprises, Inc., a subsidiary of Fluor Corp. (NYSE:FLR), to provide engineering, procurement and construction management services for USEC's American Centrifuge Plant in Piketon, Ohio. This next-generation uranium enrichment facility is expected to be operational by the end of the decade.
Fluor's responsibilities over the next two years will include design and detailed engineering from its Greenville, SC operations center for USEC's 3.5 million SWU (separative work unit) American Centrifuge Plant. Award value for the design and engineering work was not disclosed. In 2006, USEC and Fluor expect to agree on terms for a fixed-price contract covering all major aspects of plant construction, apart from centrifuge machines. USEC will announce its centrifuge machine manufacturers at a later date.
"Fluor is an excellent company for us to partner with to build the American Centrifuge Plant," said USEC Senior Vice President Ron Green. "They're one of the world's leading engineering and construction companies, with broad experience and a solid reputation for building world-scale projects on a cost-certain basis. They're also very familiar with our project, having played a major role in the design of the U.S. Department of Energy's (DOE) original centrifuge plant, at the same site as our facility."
"Our entire team is committed to the success of USEC's American Centrifuge program, which is vital for U.S. energy security and the growth of nuclear power," said Henry Van Dyke, a senior vice president within Fluor's Industrial group. "Although we build projects all over the world, we're particularly pleased for this opportunity to return to Piketon to help finish a project we began 25 years ago."
In the 1980s, Fluor was responsible for major design elements of DOE's Gas Centrifuge Enrichment Plant (GCEP). DOE canceled the project in 1985 before the plant was completed, but key infrastructure, including process buildings large enough to house 20 football fields, remains in place. USEC plans to use this infrastructure for the American Centrifuge Plant.
USEC's American Centrifuge is based on the same proven technology developed by DOE, but with expected improvements in efficiency through the use of state-of-the-art materials, control systems and manufacturing processes. As a result, American Centrifuge is anticipated to be the world's most efficient uranium enrichment technology.
"USEC's American Centrifuge Plant will play a key role in supporting our nation's energy security and national security interests, while providing a reliable, competitive fuel source for the world's nuclear power plants," Green said. "We are excited that Fluor has joined our team to help ensure the success of this important project."
This news release contains forward-looking information (within the meaning of the Private Securities Litigation Reform Act of 1995) that involves risks and uncertainty, including certain assumptions regarding the future performance of USEC. Actual results and trends may differ materially depending upon a variety of factors, which are described in USEC's periodic filings with the Securities and Exchange Commission. These SEC filings are available on USEC's website, www.usec.com.
USEC Inc., a global energy company, is the world's leading supplier of enriched uranium fuel for commercial nuclear power plants.
CONTACT:
USEC Inc.
Elizabeth Stuckle, (301) 564-3399
or
Fluor Enterprises, Inc.
Jerry Holloway, (949) 349-7411
SOURCE: USEC Inc.