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KBR to Provide Engineering Services to Chemetall Foote

KBR (NYSE: KBR) announced that its Downstream business unit has been awarded a contract to provide engineering and procurement services to Chemetall Foote Corp. for the addition of lithium hydroxide production at its current operation in Kings Mountain, North Carolina.

The project is funded in part by a $28.4 million grant from the U.S. Department of Energy to expand and upgrade the production of lithium materials for advanced transportation batteries.

The award of this contract follows the execution by KBR of various development services from Front-End Loading Feasibility through the current stage of the project. KBR will work in support of Chemetall Foote to help the company meet its goal of increasing lithium hydroxide production in response to an increase in demand and forecasted growth of electric vehicles. The project is expected to be completed by the end of 2011.

“This award is significant as it represents a growing and relatively new industry within the energy sector,” said John Quinn, President, KBR Downstream. “We are proud to build upon our existing relationship with Chemetall Foote and look forward to applying and expanding our capabilities in a growing market.”

The DOE grant funding is provided under the Electric Drive Vehicle Battery and Component Manufacturing Initiative (DE-FOA-0000026) of the American Recovery and Reinvestment Act of 2009 (ARRA) that provides up to approximately $2 billion in federal stimulus funding to support the creation of American jobs while promoting the development of U.S.-based advanced battery production for the EDV market.

Source: http://www.kbr.com/

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