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Global Power gets $565 million contract extension from Tennessee

Staff writer |
Global Power announced new contracts with its current customers, the Tennessee Valley Authority (TVA) and Energy Northwest, as well as changes in its relationship with Southern Company.

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The Tennessee Valley Authority has awarded a contract extension valued at $565 million over an anticipated three-year term to GUBMK Constructors, a joint venture owned by Worley Parsons Group, AECOM and Global Power's wholly-owned subsidiary, Williams Industrial Services Group.

Through Williams Industrial Services Group, Global Power owns one-third of GUBMK Constructors. GUBMK Constructors will continue to provide TVA with maintenance and modification services for TVA's fossil and hydro fleet that they have performed since the original contract was signed in November 1991.

Southern Company has previously informed the Company that it will not extend the term of an existing maintenance and modification contract with Williams. However, Global Power continues to provide project-based services to Southern Company.

In addition, Global Power is actively pursuing a pipeline of new prospects to mitigate the impact for future years.

Terence Cryan, President and CEO of Global Power, commented, "While we are understandably disappointed with the loss of Southern Company's long-standing maintenance and modification service contract, we appreciate the continued ork on capital projects our Nuclear Services group has been providing Southern.

"Our focus has been on diversifying our revenue sources and, in effect, this change brings serious clarity to that goal."

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