(EnergyAsia, November 9 2011, Wednesday) — Engineering giant Foster Wheeler AG said one of its subsidiaries has signed a 20-year agreement with Essar Projects India Ltd (EPIL), a subsidiary of Essar Group, to provide a technology license for utility-sized circulating fluidised-bed (CFB) steam generators to be sold in India.

The terms of the agreement were not disclosed, and the contract value was included in the second-quarter 2011 bookings. Future royalty payments will be recorded over the life of the agreement.

Gary Nedelka, CEO of Foster Wheeler Global Power Group, said: “By providing Foster Wheeler with full access to the fast-growing power market in India, this agreement with Essar allows Foster Wheeler to further demonstrate our world-class utility CFB technology and increase our market penetration in this region of the world.”

Alwyn Bowden, CEO of Essar Projects Ltd, said:

“Essar Projects has entered into this licensing agreement with Foster Wheeler because they are the undisputed technology market leader in CFB combustion. EPIL believes that CFB technology is the future for the Indian market given the constrained fuel supply situation and the ever increasing environmental concerns.

“Foster Wheeler’s CFB technology addresses both of these customer concerns with world-class products that will provide the necessary boost to expand and consolidate Essar Projects’ position as one of the key players in power plant construction in India.”