The UK subsidiary of Singapore-based SembCorp Utilities has announced plans to develop a £36 million ($72 million) CHP project at its Wilton site, near Teesside in the northeast of England. The project, the third announced by the company in the UK, will see Aker Kvaerner provide the engineering design, construction and commissioning work for the CHP plant in a deal worth £26 million ($52 million).

The natural-gas-fired plant will include a gas turbine and heat recovery steam generator providing 40 MWe and up to 162 tonnes per hour of steam to the site distribution system. Work is to start immediately and the plant is expected to be operational by the end of 2008. The new project will supply the recently announced Ensus bio-ethanol production plant and follows a £20 million ($40 million) CHP plant, also built by Aker Kvaerner, at the Wilton power station in 2004 and Wilton 10, the £62 million ($124 million) wood-fuelled biomass power station due to enter operation later this year.