Newmont TS Power Plant: Fluor Construction, Engineering, and Procurement Services Put Safety First With Coal-Fired Power Plant in Nevada.

Projects

Home

Projects

TS Power Project

View Projects

Executive Summary

Client's Challenge

Fluor's Solution

Conclusion

Newmont Mining contracted with Fluor for engineering, procurement, construction and commissioning of a new 242-megawatt coal-fired power plant in northeastern Nevada. Because Fluor delivered the project five weeks before the contract deadline, Newmont was able to produce reliable power, realize power cost savings at its Nevada mines and generate power revenue earlier than anticipated. In October 2009, Fluor was awarded the Project Management Institute's (PMI's) "2009 Project of the Year Award" for work performed on the Newmont project. The PMI award is the organization's highest honor and was supported by Newmont's project manager. Also, in 2009, Power magazine named the Newmont power project a "Top Plant" for its many innovations and state-of-the-art technologies.

Rising energy costs represent approximately a quarter of the cost of gold production at Newmont’s various Nevada mine sites. Following a series of power options studies, Newmont selected a PRB coal-fired plant and Fluor as a strategic partner for the EPC (engineering, procurement, and construction) contract.

Several challenges were apparent, such as a lack of available housing, limited supply of craft resources, cold weather impacts, and high transportation costs. Local employment levels at the surrounding mines were high, reducing the availability of local labor.

Newmont also required that several infrastructure additions be completed. This included a new rail loop to accommodate the incoming Powder River Basin Coal deliveries, a five-mile transmission line and a two-mile raw-water HDPE pipeline.

View larger

Fluor performed EPC services at the plant site in Dunphy, Nevada. The project consisted of a 242 megawatt (gross) coal-fired boiler, steam turbine generator, dry scrubber, baghouse, selective catalytic reduction system, carbon injection systems, cooling tower, and 100-acre evaporation pond.

Fluor’s scope of work included implementing world-class design features such as a leading-edge DCS system and advanced-cycle design steam temperatures. Fluor mitigated challenges by driving a culture of proactive and continuous risk assessment. This approach enabled the team to continually identify and mitigate various risks throughout execution.

Consequently, the project achieved 4.4 million safe work hours. Additionally, the TS project was awarded the prestigious Nevada Safe Partner award by the state of Nevada in 2007.

Fluor achieved substantial completion of the project five weeks ahead of Newmont Mining’s contract deadline. Moreover, the project completed successful performance tests in April, enabling Newmont to declare commercial operation of the plant on May 1, 2008.

Fluor’s early delivery of the TS Power Plant enabled Newmont Mining to begin power production and revenue generation earlier than anticipated.

Despite cold winters, sparse housing, and a workforce shortage, Fluor managed to deliver the project to a valued client not only ahead of schedule but with a government-lauded safety record. Newmont Mining was also impressed with Fluor’s commitment to project quality and safety. Newmont’s project manager acknowledged Fluor’s performance as “a shining example of dedication in achieving client satisfaction.” Newmont subsequently presented Fluor with a recognition and appreciation award for outstanding performance.

Next: Client's Challenge