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KENNECOTT AWARDS CONTRACTS TO 3 CALIFORNIA COMPANIES

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Kennecott has awarded contracts for engineering and construction management of its pending $880 million smelter and refinery modernization to three companies based in California.

Fluor Daniel Inc., headquartered in Irvine; Davy McKee Corp. and Bechtel Corp., both based in San Francicso, won the contracts for the massive modernization plan announced in March.Kennecott spokesman Gregory H. Boyce said Fluor Daniel and its joint-venture partner, Davy McKee, were awarded the engineering and construction management contract for the new smelter, to be constructed immediately east of the existing smelter.

Bechtel will head engineering and construction management of the refinery portion of the project, which Boyce said will allow for processing of the additional copper produced at the new smelter by increasing refinery capacity by 40 percent from 220,000 tons to 310,000 tons annually.

Kennecott currently exports 40 percent of its copper concentrate, but Boyce said the new smelter will allow all concentrate to be processed in Utah.

A new precious metals refinery is included in the modernization.

Boyce said engineering and construction of the smelter and refinery will create 3,300 jobs during the three years until the project's completion, and some 500 Utah companies will benefit through contracts created by the project.

Pending applications for various government permits, work is scheduled to start next year and be completed in late 1995.

Boyce said the new smelter will capture 99.9 percent of the sulfur contained in the copper concentrate feed, making it "the cleanest, most environmentally efficient operation in the world." He said it also will reduce sulfur dioxide emissions to about 200 pounds per hour, or about one-twentieth of the level allowed in the state's air-quality plan.