Montreal, July 24, 2014 – SNC-Lavalin (TSX: SNC) has announced the signing of a formal memorandum of understanding (MOU) with the China National Nuclear Corporation (CNNC) to jointly develop and pursue power generation, mining and metallurgy and nuclear-related environmental protection projects.
The agreement was signed by Preston Swafford, Chief Nuclear Officer, SNC-Lavalin Group Inc. and President and CEO, Candu Energy Inc., and Qian Zhimin, President, CNNC. Also in attendance were representatives from the Chinese National Energy Administration and the Government of Canada.
Under the agreement, SNC-Lavalin will work with the CNNC to develop reactors using Advanced Fuel CANDU (AFCR) technology in China.
In a second agreement Candu Energy, a unit of SNC-Lavalin, will work with China Nuclear Power Engineering Company Ltd. to build two nuclear reactors in Romania.
Developed by SNC-Lavalin’s wholly-owned subsidiary, Candu Energy, AFCR technology uses both recycled uranium- and thorium-based fuels to deliver high-performing reactors with strong environmental benefits.
The MOU also provides a framework for collaboration between SNC-Lavalin and CNNC on uranium mining projects in China, and the pursuit of international project opportunities in various high-growth sectors and markets.
“We are pleased to sign this strategic partnership agreement with CNNC to develop nuclear and uranium projects in China, while pursuing high-potential opportunities abroad,” said Preston Swafford. “These projects have the potential to generate billions of dollars for the Canadian and Chinese economies, while supporting China’s growing demand for energy.”
Since 1967, SNC-Lavalin has been providing a complete range of services to the nuclear industry in Canada and around the world.
SNC-Lavalin Nuclear Inc., (formerly CANATOM NPM), a wholly owned subsidiary of SNC-Lavalin, has an extensive depth of expertise in engineering, procurement and construction (EPC) for the Balance of Plant (BOP) systems for both greenfield power stations and major refurbishments.
In China, the Qinshan Units 1 & 2 New Build Project consists of 2 x 700 MW CANDU nuclear generating units. Atomic Energy of Canada Limited (AECL), developer and owner of the CANDU technology, engaged SNC-Lavalin Nuclear to provide design, procurement, engineering, site project construction and commissioning management services related to the BNSP portion of the project. The project started in 1996 and the plant achieved commercial operation in 2003, ahead of schedule and within budget.
As noted in a Globe and Mail Report on Business article this week, the MOU with CNNC could lead to new business opportunities for SNC-Lavalin in Argentina as well as in China and Romania.
The company has developed successful business relationships with the major players in the nuclear industry around the world, and has actively participated in the development of quality assurance standards for the Canadian nuclear industry. It has continually led the industry in meeting national and international nuclear quality assurance requirements.
For more information check here: www.snclavalin.com