B&W Provides Update on U.K. Renewable Projects
September 27 2017 - 5:55AM
Business Wire
Babcock & Wilcox Enterprises, Inc. (B&W) (NYSE:BW)
reported that it has identified a structural steel issue at a
renewable energy project in the United Kingdom. Management believes
that the issue is the result of an engineering error by a
subcontractor, and work has been stopped at the project pending
further investigation. Additionally, while the issue has not
manifested itself in other projects, the company has proactively
stopped work at two renewable projects in the United Kingdom that
have similar engineering designs.
“We are working diligently to assess the situation. Keeping in
mind that the safety of our employees and subcontractors is our top
priority, we chose to stop work temporarily at all three projects,”
said Jimmy Morgan, senior vice president of B&W’s Renewable
segment. “We presently expect the total cost impact to the first
project will be in the range of $10 to 15 million. We also
presently expect the total cost impact to the other two projects to
be below that amount. These estimates do not take into account
possible recoveries from third parties, which we intend to actively
pursue.”
About B&W
Headquartered in Charlotte, N.C., Babcock & Wilcox is a
global leader in energy and environmental technologies and services
for the power and industrial markets, and has been transforming our
world for 150 years. B&W companies employ approximately 5,000
people worldwide. Follow us on Twitter @BabcockWilcox and learn
more at www.babcock.com.
Forward-Looking Statements
B&W cautions that this release contains forward-looking
statements, including, without limitation, statements relating to
the cost and schedule to complete certain renewable energy projects
underway in the United Kingdom and the potential effects of the
matters identified in this release. These forward-looking
statements and the consequences of these matters are based on
management’s current expectations and involve a number of risks and
uncertainties, including, among other things, our ability to
successfully address productivity and schedule issues in our
Renewable segment, including our efforts to enhance its resources
and infrastructure; the actual cost impacts of the matters
identified in this release on the renewable energy projects,
including the amount of any recovery from third parties; timely
completion of engineering work; productivity of subcontractors;
disruptions experienced with customers and suppliers; our ability
to maintain sufficient sources of liquidity to fund our operations,
including sufficient bonding and surety capacity to meet customer
requirements; the inability to retain key personnel; and adverse
changes in the industries in which we operate. If one or more of
these risks or other risks materialize, actual results may vary
materially from those expressed. For a more complete discussion of
these and other risk factors, see B&W’s filings with
the Securities and Exchange Commission, including our most
recent annual report on Form 10-K and subsequent quarterly reports
on Form 10-Q. B&W cautions not to place undue reliance on these
forward-looking statements, which speak only as of the date of this
release, and undertakes no obligation to update or revise any
forward-looking statement, except to the extent required by
applicable law.
View source
version on businesswire.com: http://www.businesswire.com/news/home/20170927005568/en/
Babcock & WilcoxInvestors:Chase Jacobson,
704-625-4944Vice President, Investor
Relationsinvestors@babcock.comorMedia:Ryan Cornell,
330-860-1345Public Relationsrscornell@babcock.com
Babcock and Wilcox Enter... (NYSE:BW)
Historical Stock Chart
From Apr 2024 to May 2024
Babcock and Wilcox Enter... (NYSE:BW)
Historical Stock Chart
From May 2023 to May 2024