Perma-Fix Environmental Services Inc (NASDAQ:PESI), a nuclear-services company, announced Monday that the federal government has awarded its services segment, via a joint venture, a $15 million contract.
In a statement, CEO Mark Duff said the company and its partner will support Lawrence Berkeley National Laboratory through the Department of Energy with remediation, construction, and waste management services. The contract runs for the next 18 months but could be expanded to nearly $20 million.
He said the award was made to a Joint Venture partnership between Perma-Fix and Engineering/Remediation Resources Group Inc (ERRG). Both companies have been working together on similar projects for several years.
The award further increases Perma-Fix’s funded backlog and bolsters its services segment revenues beginning in the first quarter of 2020, he said.
“The Perma-Fix/ERRG JV was able to leverage our recent experience conducting complex remediation and demolition in radiological environments with potential for additional expansion as the project evolves,” Duff added. "This win builds on our momentum established over the last two quarters to position Perma-Fix for continued growth in our Services Segment."
Based in Atlanta, Perma-Fix’s nuclear waste services include management and treatment of radioactive and mixed waste for hospitals, research labs and institutions, federal agencies, including the DOE, the Department of Defense (DOD), and the commercial nuclear industry.
The company's stock recently traded up 1.3% to $7.61 a share in New York.
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