Ultrasystems Sells Interest in Power Plants
Ultrasystems Inc. said it sold 66% of its interest in two waste-wood-fired power plants in Maine, a transaction that will produce a pre-tax gain of about $2 million for the third quarter.
The Irvine-based engineering and development company, which owned a one-half stake in each plant, said an unidentified investor made the purchase. McDermott Inc. of New Orleans retains its 50% stake in the plants.
The company said each of the plants will cost about $46 million and will produce 27,000 kilowatts of electricity, or enough for 25,000 households. When completed, each plant will burn about 280,000 tons of waste wood a year, saving about 275,000 barrels of oil.
Construction on the plants began this week; they are expected to be operational in early 1987.
Ultrasystems said it will retain a 17% ownership in each power plant and will operate them jointly with McDermott. Power will be sold to Bangor Hydroelectric Co. of Bangor, Maine.