Oct 25, 2002 — Foster Wheeler Ltd. on Thursday announced that it has completed work on a 2,100 MW (6 x 350 MW) coal-fired plant in Shanxi province, about 800 km south west of Beijing – the first coal-by-wire power plant to be undertaken in the People’s Republic of China (PRC), for Yangcheng International Power Generating Co. Ltd.

“Coal-by-wire” is the name given to a program in which PRC power plants are sited adjacent to coal mines rather than near the final consumers of the power being generated.

Putting these units into commercial operation is a major milestone in the development of the PRC’s electricity-generation modernization program, especially its west-to-east development program. Foster Wheeler provided engineering, procurement and delivery of six 350 MW steam generators, coal-handling equipment, and ash removal systems, with these generators using Foster Wheeler’s double-arch fired technology.

This single steam generator order is believed to be the largest ever placed in China.

Foster Wheeler Energy Group was awarded an approximately $360 million contract, funded by The Export-Import Bank of the United States (Ex-Im Bank), to design and equip the Yangcheng power station, and also acted as co-consultant to Yangcheng on civil works, commissioning and erection of the plant.
Orders for the plant were placed in 1996 and the first steam generator started before the end of 1999.
Other steam generators were then started up at approximately five-month intervals through July 2002. The new power plant was built on the site of the coal mine, in Shanxi Province, and the electricity generated is transmitted over a 740 km, high-voltage transmission line to Jiangsu.

Foster Wheeler’s delivery of materials and equipment in line with the project schedule was a major factor in the entire Yangcheng plant achieving commercial operation four days ahead of the original project schedule set in 1996.

Shanxi Province, China’s major coal producer, now has an installed capacity of 6,500 MW, and is able to produce approximately 30 billion kWh of electricity for other Chinese provinces annually.

As part of China’s new power supply strategy, the Yangcheng plant will supply power to the eastern coastal province of Jiangsu, as part of the country’s effort to substitute electricity transmission for coal transport (coal-by-wire). Historically, power stations were built close to population centers, and coal was transported to them – an expensive process that also led to transport congestion and other environmental issues.

Foster Wheeler Ltd. is a global company offering, through its subsidiaries, a broad range of design, engineering, construction, manufacturing, project development and management, research, plant operation and environmental services. The corporation is based in Hamilton, Bermuda, and its operational headquarters are in Clinton, N.J. For more information about Foster Wheeler, visit our Web site at www.fwc.com.