WC Monitor
8/7/2015
DOE Extending BWXT Uranium Conversion Contract
The Department of Energy on Wednesday said it would extend by nine months BWXT Conversion Services’ contract to operate depleted uranium hexafluoride conversion plants in Paducah, Ky., and Portsmouth, Ohio.
“The Department of Energy (DOE) Office of Portsmouth/Portsmouth Project Office (PPPO), intends to issue a noncompetitive modification to Contract Number DE-AC30-11CC40015 to extend the period of performance for up to nine (9) months from January 2, 2016 to October 2, 2016 with BWXT Conversion Services, LLC (BWCS) to operate depleted uranium hexafluoride (DUF6) conversion facilities at Paducah, Kentucky and Portsmouth, Ohio,” DOE said in a FedBizOpps notice. “The activities include (but not limited to): cylinder surveillance and maintenance, surveillance and maintenance for the DUF6 conversion facilities and associated equipment, operate the conversion facilities to convert DUF6 to uranium oxide, reuse and/or transport and dispose of the DUF6 conversion process end-products and wastes, sell the aqueous hydrofluoric acid (AqHF) product, and other activities necessary for the success of the DUF6 conversion at each site. “
BWXT Conversion Services said it is converting more than 800,000 metric tons of DUF6 into depleted uranium oxide form, which DOE says is more stable for “reuse, storage, and/or transportation and disposition.” The department in April issued a draft request for proposals for a new $400 million-$600 million contract to operate the two plants.
DOE said it would be both “impracticable” and harmful to its mission to try to find another short-term operator for the plants while it seeks to complete the new long-term contract: “Awarding the proposed contract to another source would result in unacceptable delays and substantial additional costs to the Government, as the new source would require time to implement the immediate requirements. An interruption to the services currently being provided by BWCS would compromise the mission of the DOE. Based on the time constraint and expected increase in cost inherent in awarding to another contractor, it is not in the best interest of the Government to award to any vendor other than BWCS. It has been determined to be in the best interest of the government to extend the current contract beyond the present period of performance.”
