Sumitomo SHI FW gets biomass boiler order for 109-MW Korean plant

Sumitomo SHI FW, a unit of Japan’s Sumitomo Heavy Industries Ltd (TYO: 6302), will design and supply the boiler island for a 109-MW biomass power project in South Korea.

The contract has been awarded by Hyundai Engineering & Construction Co Ltd (KRX:000720), which is in charge of the Daesan Biomass Power Plant’s engineering, procurement and construction (EPC). The facility is to reach commercial operation by end-2020 and be owned and operated by a unit of CGN New Energy Holdings Co (HKG:1811).

In its press release today, Sumitomo SHI FW said its contract is for the design and supply of the circulating fluidized bed (CFB) steam generator and auxiliary equipment for the boiler island. The company has already supplied more than 30 CFB steam generators in Korea, but this will be its third for a power plant whose primary fuel is biomass.

Canadian company Pinnacle Renewable Holdings Inc (TSE:PL) was awarded in April a contract to supply 315,000 tonnes of industrial wood pellets annually to Daesan, commencing in 2021.

The Daesan project is to help CGN Korea meet the renewable portfolio standard (RPS) introduced by the Korean government, in line with the country’s clean energy goals.

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