The agreements cover products sold by ATI Wah Chang, an ATI operating company. Total potential revenue from the two agreements is estimated to be over $250m.
The agreements are with two companies in the nuclear energy industry. One agreement is an extension of a 40-plus year relationship with a nuclear fuel and component company. The other is a new multi-year contract with a nuclear steam system supplier.
Patrick Hassey, chairman, president and CEO of ATI, said: “We are pleased to announce the signing of long-term agreements with these nuclear energy customers. ATI brings a 50-year history in the nuclear energy market of unsurpassed quality, production capability, and technical innovation to benefit our customers and their supply chains.
“Our previously announced zirconium sponge expansion project is expected to be completed in 2010. This expansion doubles our reactor-grade zirconium sponge capacity to approximately 8 million pounds per year, making ATI the world’s largest producer of this critical metallic product. This capacity coupled with our integrated manufacturing capabilities enable ATI to continue to grow our position as a critical supply chain partner to the global nuclear energy market.”
