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Nalcor, SNC-Lavalin sign EPCM agreement for Lower Churchill hydro project

Nalcor Energy has issued a letter of intent for the engineering, procurement and construction management (EPCM) contract for components of Phase 1 of the Lower Churchill hydropower project to SNC-Lavalin.

A C$6.2 billion (US$6.1 billion) deal recently was reached to develop the proposed Lower Churchill hydropower project.

The EPCM contract includes the Muskrat Falls Generating Facility and the Labrador Island Transmission Link. The contract does not include the Strait of Belle Isle subsea crossing or the Maritime Link. Nalcor Energy will conduct the work related to the strait crossing using a specialized contractor and a decision on an EPCM contractor for the Maritime Link will be done in conjunction with Nalcor's partner, Emera Inc.

Engineering and procurement for the Lower Churchill Project will be performed primarily from St. John's. As the project progresses, construction management will occur predominantly at the Muskrat Falls generating site in Labrador, as well as at various transmission locations in Labrador and on the island.

Nalcor said the project includes a pair of generating facilities at Muskrat Falls and Gull Island, with a combined capacity of more than 3,000 MW. The Muskrat Falls facility, with a capacity of 824 MW, will be the first developed, Bloomberg reported previously.

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