– Edited By Tom Lamar –
The Shaw Group Inc. today announced it has initiated discussions with Toshiba Corporation aimed at extending the companies’ relationship. These discussions center on extending the companies’ Westinghouse AP1000 nuclear power technology relationship for an additional four years.
“The long-term construction of nuclear power plants requires a long-term commitment to our partners, something we are proud to do,” said J.M. Bernhard Jr., Shaw’s chairman, president and chief executive officer. “Toshiba, Westinghouse and Shaw have worked together successfully both in the U.S. and China. The continuation of our agreement will further solidify our joint commitment for the realization of nuclear power on a worldwide basis.”
If concluded, the agreement also would extend the Japanese yen-denominated option to sell Shaw’s investment in Westinghouse to Toshiba through 2017. Shaw also intends to evaluate financing extension opportunities related to the limited recourse yen-denominated bonds currently outstanding.
Shaw and Westinghouse are under contract to provide engineering, procurement and construction services for six new AP1000 nuclear power units in the U.S., the first contracts awarded in nearly 30 years for new nuclear power plants, as well as four units currently under construction in China. The AP1000 is the world’s first Generation III+ nuclear power technology.