ABB Ltd. (ABB - Analyst Report) recently received a major contract from Mongolyn Alt Corporation to provide electrical equipment package. The contract is for the Mongolyn Alt Corporation’s greenfield copper and molybdenum project Tsagaan Suvarga. ABB expects to complete deliveries between Dec 2013 and May 2014; while the first plant start-up is scheduled for Sep 2014.
The electrical package is expected to help Tsagaan Suvarga copper and molybdenum plant achieve safe and energy efficient operation even under severe climate conditions. Located approximately 560 km south of Ulaanbaatar, Mongolyn Alt Corporation is one of Mongolia’s largest national mining companies having three open-pit coal mines in operation. The Tsagaan Suvarga project has a daily production capacity of 40,000 tons of copper and is expected to become the third largest copper mine in Mongolia.
The electrical package to be supplied by ABB will comprise 22/6.6 kV switchgear, DC power supply, uninterrupted power supply, transformers, 400 V motor control centers, variable-speed drives, variable-speed multi drives and a power management system based on the state-of-the-art Extended Automation System 800xA and IEC 61850. All this will be integrated under ABB’s E-house format.
ABB’s e-house is an innovative approach to meet all the electric equipment requirements of industrial plants, particularly the oil and gas sector and mining sector given its demanding safety requirements. E-house is a complete integrated system with switchgear, drives, periphery distribution equipment and automation shipped fully functional and ready to go.
Under an E-house, the electrical and control equipment for the industrial plant are placed inside a single pre-fabricated steel building. Each e-house is built as per the specific needs of the plant and is tested before installation.
The advantages of e-house are its flexibility to different types of projects, improved safety and shorter construction times. Therefore, with the help of this E-house package, Mongolyn Alt Corporation will able to operate under extreme temperatures varying from -35 to +40°C.
With the help of ABB’s electrical package, Mongolyn Alt Corporation expects to generate maximum operations to achieve optimum production levels with minimum energy costs.
Based in Zurich, Switzerland, ABB is a leader in power and automation technologies that enable utility and industry customers to improve performance while lowering the environmental impact. ABB currently has a Zacks Rank #3 (Hold). However, some other stocks which are worth considering at the moment are Quanta Services Corporation (PWR - Analyst Report), Harris & Harris Group, Inc. and Willdan Group, Inc. (WLDN). All the three have a Zacks Rank #2 (Buy).