Muskrat Falls power plant back on track

By Mike Hayes04 January 2017

Italian construction firm Astaldi and Muskrat Falls Corporation have agreed a new contract for work to be undertaken on a hydroelectric plant in Canada.

The Lower Churchill Project, referred to as the Muskrat Falls Project, includes an 824 MW hydroelectric facility in the Province of Newfoundland and Labrador, Canada.

Astaldi’s remit is to construct the plant’s powerhouse and carry out civil works on its intake and spillway, but disputes arose over costs and delivery time.

Astaldi says these issues have now been addressed and a new contract has been agreed, with a total value of CAD1.83 billion (US$1.37 billion).

Filippo Stinellis, Chief Executive Officer of the Astaldi Group, said, “The constructive dialogue built and developed with the Client over the past years has allowed us to reach a full understanding over our contract’s objectives and timing. The challenging work and its environment have made the negotiation process complex and we are satisfied for having reached this agreement.”

Stan Marshall, Chief Executive Officer of Nalcor Energy, said, “This agreement will provide certainty for the completion of the construction of the powerhouse and intake civil works by Astaldi and will ensure the continued progress by Astaldi in fulfilling their full contract.”

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