Steel ‘issue’ halts UK RE project

Babcock & Wilcox (B&W) Enterprises has identified a “structural steel issue” at an unnamed UK renewable energy project. 

The company said it 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”.

It added that the issue has not manifested itself at other projects, but the company has “proactively stopped work at two renewable projects in the UK that have similar engineering designs”.

B&W renewables senior vice president Jimmy Morgan said the expected cost impact to the first project is in the range of $10m (€8.5m) to $15m, while the cost to the other two projects will be lower.

“These estimates do not take into account possible recoveries from third parties, which we intend to actively pursue,” he said.

B&W has been engaged to work on a number of bioenergy and energy from waste projects in the UK in recent years.

Image: sxc