BURLINGTON, ON, Dec. 4, 2015 /CNW/ - Yesterday's announcement that the Province and Bruce Power have reached an amended agreement to enable the refurbishment of the Bruce Units has paved the way for a long-term agreement that is good news for Laker Energy's facilities in Burlington and Oakville.
Bruce Power and Laker Energy Products have entered into an agreement to start the process to secure key long-lead reactor components including end fittings, liners and feeder pipes. The agreement will allow the process of procuring these critical components for the Unit 6 refurbishment set to start in 2020 at a cost of between $25 - $35 million.
By building on a successful Unit 6 refurbishment this agreement could also lay the ground work for additional business for Laker for future refurbishments at Bruce Power over the next 20 years that could require an additional spend of over $120 million on the same components.
"Laker Energy is extremely pleased to have the opportunity to be part of one of the largest nuclear manufacturing projects in Canadian history," said Chris Hughes, President, Laker Energy Products. "Ontario's nuclear industry has a bright future, and this is very good news for not only Laker but the Burlington and Oakville communities providing the potential for long-term jobs and investment."
The company, recognizing the requirement for nuclear power in Ontario's Long-Term Energy Plan, recently purchased a second manufacturing facility, this one a 65,000 square foot building. Both Laker facilities will service the domestic and international nuclear markets. The company purchased its new plant specifically to manufacture fuel channel end fittings and liners, while tripling its machining capability and hiring an additional 40 employees.
Laker Energy Products, which has its head office and main manufacturing plant in Burlington, solely services the CANDU nuclear power sector, which has 19 operational reactors in Canada and many more across the world. Laker has received orders for previous plant life extension projects as well as upcoming new-build projects in Argentina, Romania, China and the UK.
"Together, with strong suppliers like Laker Energy Products, Bruce Power will continue to produce over 30 per cent of Ontario's power at 30 per cent less than the average price of electricity," said Duncan Hawthorne, Bruce Power's President and CEO. "I also believe that as we continue to successfully deliver this incremental investment program with Laker that we will also create a strong foundation here in Ontario to allow firms like Laker to continue to win work internationally".
Hon. Kevin Flynn, MPP Oakville and Minister of Labour, praised the deal and Ontario's nuclear industry for providing affordable electricity jobs, innovation and economic activity across the province.
"Laker Energy Products is an Ontario success story and is creating high-tech jobs in Ontario while building a capability to serve both the domestic and international nuclear industry," said the Hon. Kevin Flynn, MPP. "Our Long Term Energy Plan was developed for exactly this reason – to provide a framework for long-term decision making an investment in the nuclear sector that will create jobs in communities throughout Ontario"
Eleanor McMahon, MPP Burlington, shared in the excitement of the announcement and recognized the positive economic impact nuclear has in Burlington and now Oakville.
"I congratulate Laker Energy Products and Bruce Power on this continued partnership as they work together to ensure a clean, affordable and reliable supply of electricity for many years to come while at the same time creating and securing jobs and spurring economic growth throughout Ontario. I'm thrilled that this agreement between Bruce Power and the Province has enabled this type of success right here in our community."
About Laker Energy Products
Founded in 1995, Laker Energy Products is a leading manufacturer and material organization supplying fuel channel, feeder and fuel handling components to the CANDU® nuclear power industry. With both domestic and international customers, Laker Energy Products is a fully integrated, high-precision machining, assembly and testing company. Laker Energy Products' head office and manufacturing facility is in Burlington and has a second facility in Oakville, Ontario.
About Bruce Power
Bruce Power operates the world's largest operating nuclear generating facility and is the source of roughly 30 per cent of Ontario's electricity. The company's site in Tiverton, Ontario is home to eight CANDU reactors, each one capable of generating enough low-cost, reliable, safe and clean electricity to meet the annual needs of a city the size of Hamilton. Formed in 2001, Bruce Power is an all-Canadian partnership among Borealis Infrastructure Management (a division of the Ontario Municipal Employees Retirement System), TransCanada, the Power Workers' Union and the Society of Energy Professionals. A majority of Bruce Power's employees are also owners in the business.
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SOURCE Bruce Power
Image with caption: "Bruce Power (CNW Group/Bruce Power) (CNW Group/Bruce Power)". Image available at: http://photos.newswire.ca/images/download/20151204_C5951_PHOTO_EN_558252.jpg
Image with caption: "Laker Energy Products Ltd (CNW Group/Bruce Power)". Image available at: http://photos.newswire.ca/images/download/20151204_C5951_PHOTO_EN_558250.jpg
For further information: Chris Hughes, 905-332-3231, email@example.com; John Peevers, 519-361-6583, firstname.lastname@example.org