License Agreement for Advanced Pulverized-Coal Technology in India signed by Foster Wheeler

Foster Wheeler AG announces that a subsidiary of its Global Power Group has entered into a 20-year agreement with BGR Boilers Private Limited, an affiliate of BGR Energy Systems Limited, to provide an advanced technology license for wall-fired subcritical and supercritical pulverized-coal (PC) steam generators to be sold in India.

The terms of the agreement were not disclosed. The contract value will be booked immediately upon the approval of the Indian Government, whose approval is necessary for BGR to enter in such a contract. Future royalty payments will be booked over the life of the agreement.

In addition, the two companies have agreed to cooperate on multiple prospective projects under separate contracts within the next five years, with Foster Wheeler providing the engineering and design along with selected major components.

"This agreement with BGR to jointly serve the domestic power market in India, represents a major step forward in our strategy to steadily expand our global presence," said David J. Parham, executive vice president of Global Sales and Marketing, Foster Wheeler Global Power Group. "As India's need for electric power continues to increase, the Foster Wheeler-BGR team will be positioned to add value by providing the Indian power generators with high-quality advanced technology to meet their growing power production needs."