AMG Advanced Metallurgical Group N.V. ("AMG", EURONEXT AMSTERDAM: "AMG") announced that its Engineering Systems Division's nuclear joint venture was awarded a contract by Shaw Areva MOX Services LLC for detailed engineering of sintering furnace systems for the production of mixed oxide nuclear fuels.

AMG's Engineering Systems Division's 50% owned nuclear joint venture, Furnaces Nuclear Applications Grenoble S.A., designs and produces sintering systems for a number of nuclear applications. This contract with Shaw Areva MOX Services is for the detailed engineering of two sintering furnaces for the Shaw Areva MOX Fuel Fabrication Facility at the Savannah River Site, in Aiken, South Carolina, USA. The second phase of the contract, expected to be awarded within twelve months, will involve the production, testing and delivery of the sintering systems. AMG expects the total value of the two contracts to be in excess of $30 million. These vacuum-type sintering systems will be used in the production of mixed oxide (MOX) uranium and plutonium nuclear fuel for light water reactors.

The Shaw Areva MOX Fuel Fabrication Facility is a major component in the United States' program to dispose of surplus weapon-grade plutonium. The United States has approximately 34 tonnes of surplus weapons grade plutonium stored at government sites around the country. Shaw Areva MOX Services LLC will process surplus weapon-grade plutonium, remove impurities, and mix it with uranium oxide to form MOX fuel pellets for reactor fuel assemblies. These fuel assemblies will be used to power commercial nuclear reactors.

When operational, the Shaw Areva MOX Fuel Fabrication Facility will be capable of converting 3.5 tonnes of weapon-grade plutonium into MOX fuel assemblies annually.

About AMG
AMG, incorporated in the Netherlands, is a global leader in the production of highly engineered specialty metal products and advanced vacuum furnace systems. AMG serves growing industries worldwide with its unique combination of metallurgical engineering expertise and production know-how. AMG is a market leader in many of its products and systems, which are critical to the production of key components for the aerospace, energy (including solar and nuclear), electronics, optics, chemicals, construction and transportation industries. AMG has two operating divisions of businesses, Advanced Materials and Engineering Systems, and owns majority interests in publicly-listed companies Timminco Limited (TSX: "TIM") and Graphit Kropfmühl AG (Deutsche Börse: GKR.DE)