Babcock & Wilcox News

CHARLOTTE, NC

(CHARLOTTE, N.C. – May 1, 2014) – The Babcock & Wilcox Company (B&W) (NYSE:BWC) is pleased to announce that the U.S. Department of Energy has selected its subsidiary, Babcock & Wilcox Power Generation Group, Inc. (B&W PGG), to receive a $2.5 million award for Phase 2 development of iron-based Coal Direct Chemical Looping (CDCL) technology.

Researchers with B&W PGG and The Ohio State University (OSU) have collaborated on the development of CDCL technology- an advanced process for clean power generation and carbon dioxide (CO2) capture at potentially lower cost than other CO2-capture technologies.

“Innovative solutions to capture and sequester CO2 are essential to coal’s future as a clean energy option in the United States,” said B&W PGG President and Chief Operating Officer J. Randall Data. “We appreciate the DOE’s continued support of our research and development efforts and look forward to adding CDCL technology to B&W PGG’s suite of advanced power generation systems and CO2 capture options.”

CDCL technology was developed and successfully tested at bench scale at OSU’s labs in Columbus, Ohio. B&W PGG is leading the commercial design effort for this novel technology, and research and testing are ongoing at the B&W Research Center in Barberton, Ohio and at OSU’s labs.

The CDCL process uses a unique fuel reactor design where coal reacts with iron oxide-based oxygen carrier particles. The chemical reaction converts the coal to a concentrated stream of CO2 for use in enhanced oil recovery or for permanent storage, and reduces the iron-oxide.

The reduced oxygen carrier particles are re-oxidized in a second reactor where heat is liberated, which can be used to produce steam for the generation of electricity. B&W PGG’s experience in circulating fluidized bed and bubbling bed technology was utilized in the development of the commercial scale design. In Phase II, B&W PGG and its collaborators will test the CDCL process at a laboratory-scale.

About B&W
Headquartered in Charlotte, N.C., The Babcock & Wilcox Company is a leader in clean energy technology and services, primarily for the nuclear, fossil and renewable power markets, as well as a premier advanced technology and mission critical defense contractor. B&W has locations worldwide and employs approximately 12,000 people, in addition to approximately 10,200 joint venture employees. Learn more at www.babcock.com

Cautionary Statement Regarding Forward Looking Statements
B&W cautions that this release contains forward-looking statements, including statements regarding management’s plans for the CDCL technology. These forward-looking statements involve a number of risks and uncertainties, including, among other things, difficulties in financing or developing the CDCL technology and changes in the demand for or competitiveness of CO2 capture technology generally. If one or more of these or other risks materialize, actual results may vary materially from those expressed. For a more complete discussion of these and other risk factors, please see B&W's filings with the Securities and Exchange Commission, including our annual report on Form 10-K for the year ended December 31, 2013 and subsequent quarterly reports on Form 10-Q. B&W cautions not to place undue reliance on these forward-looking statements, which speak only as of the date of this release, and undertakes no obligation to update or revise any forward-looking statement, except to the extent required by applicable law.