Foster Wheeler (Nasdaq: FWLT) has been awarded a contract to design and supply a circulating fluidised-bed steam generator for a new biomass plant in South Korea.

The Dangjin 4 biomass plant will be built by South Korean conglomerate GS Group in Dangjin, a city in South Chungcheong Province.

Switzerland-headquartered Foster Wheeler will design and supply a 105 MW CFB steam generator and auxiliary equipment for the boiler island, including a baghouse for flue gas cleaning. The steam generator will be designed to burn palm kernel shells (pictured) with co-firing of coal, and wood pellets as back-up fuel.

“Biomass residue from palm oil industries is an abundant renewable energy fuel in Southeast Asia,” said Gary Nedelka, chief executive of Foster Wheeler Global Power Group.

The value of the contract has not been disclosed.