CDI parent company Holtec signs Purchase and Sale Agreement with Entergy Corp; CDI (a jointly owned company by Holtec and SNC-Lavalin) finalizing contracts for decommissioning two US nuclear power plants
MONTREAL, Aug. 1, 2018 /CNW Telbec/ - Comprehensive Decommissioning International, LLC (CDI), a joint company of SNC-Lavalin (TSX: SNC) and Holtec International, is finalizing specific contract details with Holtec Decommissioning International, Inc. to enter into two discrete multi-year nuclear decommissioning contracts, each worth hundreds of millions of dollars.
This follows Purchase and Sale Agreements (PSAs) that Holtec International has signed with Entergy Corp. (NYSE: ETR) for the acquisition of the Entergy subsidiary that owns the Pilgrim Nuclear Power Station located in Plymouth, Massachusetts and the Entergy subsidiary that owns the Palisades Power Plant located in Covert, Michigan. The PSA and license transfers are subject to U.S. Nuclear Regulatory Commission (NRC) approvals.
Subject to finalizing the terms of decommissioning contracts, CDI will be responsible for decommissioning the plants, beginning with Pilgrim in 2020. This will include the demolition and cleanup of the two plants and sites. Pilgrim's accelerated decommissioning by CDI is expected to be completed within eight years; decades earlier than if Entergy selects the maximum SAFSTOR option for the site.
"CDI is committed to decommissioning both Pilgrim and Palisades safely and in an environmentally responsible and ethical manner," said Mark Morant, President, US Nuclear, SNC-Lavalin. "These projects are vitally important to the local communities and we look forward to accelerating the safe clean-up of the shuttered nuclear plant sites to restore most of the land to unrestricted use in the shortest time possible," added Dr. Krishna P. Singh, President and CEO of Holtec International.
CDI was formed earlier this year with the goal of performing accelerated decommissioning of retired nuclear power plants using innovative technologies to cut the total time elapsed to release plant sites for unrestricted use to eight years or fewer, leaving only the spent fuel (ISFSI) on site, pending local regulatory approvals (with the exception of the temporary dry storage installation).
Entergy had previously announced its intention to retire Pilgrim by June 1, 2019 and Palisades in the spring of 2022. The PSAs signed by Holtec and Entergy allows for the sale of each Entergy subsidiary to Holtec after plant closures and satisfaction of other closing conditions.
About CDI
Comprehensive Decommissioning International (CDI) is an international decommissioning company based in the US, providing comprehensive project solutions for the accelerated retirement of nuclear power plants. CDI's global operations provide expertise and technological innovation to protect the public in an environmentally responsible, safe and ethical manner. CDI is committed to the enrichment of the communities in which it operates, employing financially sustainable business practices that ensure the upholding of obligations made as a trusted steward of legacy nuclear materials. Cdi-decom.com
About SNC-Lavalin
Founded in 1911, SNC-Lavalin is a global fully integrated professional services and project management company and a major player in the ownership of infrastructure. From offices around the world, SNC-Lavalin's employees are proud to build what matters. Our teams provide comprehensive end-to-end project solutions - including capital investment, consulting, design, engineering, construction, sustaining capital and operations and maintenance - to clients across oil and gas, mining and metallurgy, infrastructure, clean power, nuclear and EDPM (engineering design and project management). On July 3, 2017, SNC-Lavalin acquired Atkins, one of the world's most respected design, engineering and project management consultancies, which has been integrated into our sectors. www.snclavalin.com
About Holtec International
Holtec International is a privately held energy technology company with operation centers in Florida, New Jersey, Ohio and Pennsylvania in the US, and globally in Brazil, Dubai, India, South Africa, Spain, UK and Ukraine. Holtec's principal business concentration is in the nuclear power industry. Holtec has played a preeminent role since the 1980s by densifying wet storage in nuclear plants' spent fuel pools deferring the need for and expense of alternative measures by as much as two decades at over 110 reactor units in the US and abroad. Dry storage and transport of nuclear fuel is another area in which Holtec is recognized as the foremost innovator and industry leader with a dominant market share and an active market presence in eighteen countries. Among the Company's pioneering endeavors are the world's first below-ground Consolidated Interim Storage Facility being developed in New Mexico and a 160-Megawatt walk away safe small modular reactor, SMR-160. The SMR-160 is developed to bring cost competitive carbon-free energy to all corners of the earth including water-challenged regions. Holtec is also a major supplier of special-purpose pressure vessels and critical-service heat exchange equipment such as air-cooled condensers, steam generators, feedwater heaters, and water-cooled condensers. Virtually all products produced by the Company are built in its three large manufacturing plants in the US and one in India. Thanks to a solid record of consistent profitability and steady growth since its founding in 1986, Holtec has no history of any long-term debt and enjoys a platinum credit rating from the financial markets. Nearly 100 US and international patents protect the Company's intellectual property from predation by its global competitors and lend predictable stability to its business base. To learn more about Holtec International, visit: www.holtecinternational.com
SOURCE SNC-Lavalin
