MONTREAL, QUEBEC--(Marketwired - Nov. 29, 2016) - Velan Inc. (TSX:VLN)
Velan Inc.'s wholly owned subsidiary located in Lyon, France, has been awarded important contracts for the supply of nuclear class valves to China Nuclear Power Engineering Corporation (CNPEC), China Nuclear Power Engineering Co. Ltd. (CNPE), China Nuclear Energy Industry Corporation (CNEIC), and State Nuclear Power Engineering Corporation Ltd (SNPEC).
These nuclear valve orders represent a sales value of about US$36 million (EUR33 million) recorded in backlog of the 2016-2017 fiscal year. The valves are scheduled for delivery from 2018 until 2019.
For CNPEC, the orders are for valves for the two new generation Hualong HPR1000 nuclear plants of Fangchengang Units 3 and 4. The scope of supply consists of critical nuclear-classified forged valves, and high-pressure gate, globe, and check valves with electric actuators.
For CNPE and CNEIC, both of which are part of the China National Nuclear Corporation (CNNC), Velan France received orders for the supply of nuclear-classified valves for the two new nuclear power plants to be built in Jiangsu province, at Tianwan Units 5 and 6. The scope of supply is mainly high-pressure forged valves with electric or pneumatic actuators for service inside nuclear containment vessels.
Velan France signed contracts with SNPEC for the supply of ASME Class 1 valves for the new reactors CAP1400 located in Rongsheng Units 1 and 2, and for 6 reactors CAP1000 located in Sanmen Units 3 and 4, Haiyang Units 3 and 4, and Lufeng Units 1 and 2.
Michel Monier, Director of Nuclear-China at Velan, stated: "Velan was the very first valve company to get N stamp approval from ASME in 1970. Today, Velan has three manufacturing plants certified to ASME in North America and in France. It is really exciting to work on ASME nuclear projects in China, especially since the new CAP1400 and CAP1000 projects represent a significant part of the future of the nuclear industry in China. With these new orders, Velan valves have now been selected for over 60 Chinese nuclear power plants."
Tom Velan, CEO of Velan Inc., stated: "Most new nuclear projects launched in China are Generation 3 advanced design, where only the most reliable, proven valves are selected. Given Velan's long history in this highly demanding industry, the company is well positioned to offer high-quality and cost-effective products. And we are honored to share our technical expertise with the Chinese design institutes with whom we work."
About Velan: Velan Inc. (www.velan.com) is a world-leading manufacturer of industrial valves with sales of US$426.9m in its last reported fiscal year. The company employs approximately 1,900 people and has manufacturing plants in nine countries. Velan Inc. is a public company with its shares listed on the Toronto Stock Exchange under the symbol VLN.
This press release may contain information and statements of a forward-looking nature concerning the future performance of Velan Inc. and its subsidiaries. These statements are based on suppositions and uncertainties as well as on management's best possible evaluation of future events. As a result, readers are advised that actual results may differ from expected results.