A joint venture led by Babcock has been selected as preferred bidder to demolish and clean up the Dounreay nuclear site in Scotland.
The Nuclear Decommissioning Authority (NDA) confirmed yesterday that the Babcock Dounreay Partnership (BDP) – a joint venture between Babcock, CH2M HILL and URS, with Babcock holding a 50 per cent share – will take ownership of Dounreay Site Restoration Limited.
The annual NDA budget for the contract is around £150 million.
Peter Rogers, chief executive of defence and energy giant Babcock, said: “The announcement that Babcock Dounreay Partnership has been chosen as preferred bidder for one of the UK’s biggest and most significant nuclear decommissioning programmes reflects not only our market leadership in nuclear engineering services but also our ability to successfully deliver highly complex projects in very demanding environments.”
There will be a three-month transition phase for the contract between the NDA and BDP to be finalised.
The formal award of the contract is planned for 2 April 2012, with the project expected to run for 10 years to ensure all major decommissioning work is complete, including the retrieval and disposal or storage of wastes and fuel, as well as the demolition of the majority of buildings.
The overall completion date is 2025 with the cost expected to be £2.6 billion.