August 12, 2008
B&W Volund to Supply Biomass Gasification Plants to Advanced Renewable Energy
Denmark-based Babcock & Wilcox Volund, a subsidiary of the Babcock & Wilcox Power Generation Group, has signed an agreement potentially worth up to $156 million, to supply biomass plants that use its combined cycle gasification technology to Advanced Renewable Energy in Italy.
Under the terms of the 10-year agreement, Babcock & Wilcox Volund (B&WV) will be the exclusive supplier to Advanced Renewable Energy (ARE) using combined cycle gasification technology in as many as 25 small-scale, biomass-fueled power plants. B&WV anticipates orders for six plants in 2008, with the first scheduled for commercial operation in the first quarter of 2010.B&WV has previously licensed its gasification technology in Japan and continues to pursue licensing opportunities around the world. Each of the power plants, to be built in Italy, will be designed to produce 4MW of electricity using wood chip biomass.
Brandon Bethards, president of the Babcock & Wilcox Power Generation Group, said: "Through this agreement with ARE, B&W will continue to expand the reach of its innovative combined cycle gasification technology, one that provides a cost-effective solution for small, renewable-fired power plants in Europe and around the world."