Fluor Corporation announced that it was awarded a contract for engineering, procurement and construction management (EPCM) services by LDK Solar Co., Ltd., for the world's largest new polysilicon facility in Xinyu City, Jiangxi, People's Republic of China. Fluor originally booked the front-end engineering and design (FEED) work for this project in the third quarter of 2007. Fluor booked the remainder of the $1 billion project in the first quarter of 2008.
Fluor's scope of work includes full EPCM services using a design-build approach, which also includes the trichlorosilane plant, chemical vapor deposition reactors, converters, and associated utilities, offsites and infrastructure. The new facility will be located adjacent to LDK Solar's existing solar wafer manufacturing facilities at its Xinyu City headquarters.
"Fluor and LDK Solar are dedicated to bringing this fast-track project online to meet the increasing worldwide demand for polysilicon-based renewable energy sources," said David Seaton, president of Fluor's Energy & Chemicals Group. "With the increasing importance of the China market for Fluor's energy & chemicals clients, we expect this world-class, state-of-the-art polysilicon facility to set the stage to meet this growing demand."
Fluor's Greenville, S.C.; Manila, Philippines, and Shanghai operations are performing FEED, detailed design and procurement, with the construction management team located in Xinyu City.
"We are pleased that Fluor will work with us to achieve high-quality construction management standards during this significant endeavor. Our partnership with a leading EPCM service provider reiterates our commitment to remaining on schedule and within budget in completing this polysilicon plant," said Xiaofeng Peng, chairman and chief executive officer, LDK Solar.
When the project is completed, it is expected to produce up to 15,000 metric tons per year of polysilicon and 90,000 metric tons per year of trichlorosilane. To date, the entire worldwide production of polysilicon is about 100,000 metric tons per year.
Construction at the site began in August 2007, with the mechanical completion of the first manufacturing line expected to be December 31, 2008. All three lines are scheduled to be completed by July 2009. The number of construction craft labor is expected to peak to as many as 8,000 workers.
The design and construction of the polysilicon plant will incorporate world-class recognized environmentally-friendly standards including the implementation of state-of-the-art western recycling technology.