SYKESVILLE, Md. –
GSE Systems, Inc. (“GSE” or “the Company”) (NYSE MKT: GVP), the
world leader in real-time high-fidelity simulation systems and training
solutions to the power and process industries, today announced that it
has been awarded a contract to design, engineer and deliver three full
scope simulator systems to an existing client, a major nuclear power
plant operator based in the southern United States. GSE will deliver a
second reference plant simulator to each of three nuclear plant sites
over the next 18 to 24 months, dramatically enhancing the simulation
capabilities of the customer’s fleet. Work will commence immediately.
Addressing future training needs exacerbated by an aging workforce and
the need to expand the nuclear reactor operator workforce, the new full
scope simulation systems will significantly enhance each plant’s ability
to train more people, at higher throughput and with enhanced
capabilities, for workforce development and on-going training.
In addition to producing the replicated hardware necessary to deliver
the additional reference plant simulators at each site, GSE will be
adding additional capabilities to each simulator. One of the most
significant upgrades is the addition of the Electric Power Research
Institute’s (EPRI) Modular Accident Analysis Program (MAAP5) to the
simulators. The MAAP5 code has been used to assess the likelihood of
core damage and radiological transport in the event of a severe
accident. GSE will integrate MAAP5 in each simulator, enabling the
utility to train on scenarios associated with the connection of external
power and water sources, as part of the diverse and flexible (FLEX)
response strategy developed by the nuclear industry to address
challenges such as those experienced at the Fukushima Daiichi power
station. Potential FLEX strategies can be evaluated in the simulator for
effectiveness and potential improvements. With severe accident
simulation capabilities added to existing training scenarios, the
simulator will support additional training scenarios relating to
degraded reactor core conditions that result in fuel melting, including
cladding oxidation and hydrogen generation, vessel failure, containment
failure, and fission product release.
The simulator’s instructor station will include GSE’s new multi-media
interface. By integrating audio-visual recordings of training sessions
with the simulation software, GSE is enabling instructors to provide
more valuable feedback to trainees on their performance. The new
multi-media interface will be used to record inputs from multiple fixed
and trainable digital cameras and microphones deployed overhead in the
simulator main control room. The audio and video recordings are
synchronized with the simulator events, and support run or freeze, snap,
and backtrack commands. This enhanced capability will make debriefing
sessions much more informative and will aid instructors in the
evaluation of scenarios and trainee actions. All of these enhancements
will serve to make the time spent in the simulator much more productive.
“On behalf of GSE, we are delighted and honored for the opportunity to
serve our long standing customer with whom we have enjoyed an excellent
relationship over the years,” said Kyle J. Loudermilk, Chief Executive
Officer and President of GSE. “This project significantly enhances our
customer’s capabilities and validates GSE’s unique ability to add value
to one of the largest nuclear power plant operators in the world. GSE’s
talented staff, proprietary software and technology platform, and
commitment to client success demonstrate our nuclear simulation
know-how, creativity, and drive to deliver an excellent solution. We
look forward to a highly collaborative approach with our customer
throughout the project.”
Interim Chief Operating Officer Christopher D. Sorrells added, “This
contract increases our current backlog by approximately 60% to around
$75 million. While much of the contract is hardware oriented, our deep
technical know-how and unique technology platform enable us to provide
the simulators in a manner that no one can match within our industry.
This award illustrates our focused efforts on our core expertise within
the nuclear industry, and we expect to generate further momentum as we
execute our strategy of focusing on the power industries, particularly
nuclear power. As this project illustrates, the nuclear industry is in
need of a highly skilled and continually trained workforce. Given that
the nuclear industry is expanding globally, accelerated in part by the
growing awareness of the need for carbon-free sources of stable
electricity generation at scale, we believe GSE is in an excellent
position to capture value for our shareholders as we unlock the true
potential of our state-of-the-art simulation and training platform.”
ABOUT GSE SYSTEMS, INC.
GSE Systems, Inc. is the world leader in real-time high-fidelity
simulation and training solutions to the power and process industries.
Its comprehensive and modular solutions help customers achieve
performance excellence in design, training and operations. GSE’s
products and services are tailored to meet specific client requirements
such as scope, budget and timeline. The Company has approximately 300
employees, over four decades of experience, more than 1,100
installations, and hundreds of customers in over 50 countries spanning
the globe. GSE Systems is headquartered in Sykesville (Baltimore),
Maryland, with offices in St. Marys, Georgia; Chennai, India; Nyköping,
Sweden; Stockton-on-Tees, UK; and Beijing, China. Information about GSE
Systems is available at www.gses.com.
FORWARD LOOKING STATEMENTS
We make statements in this press release that are considered
forward-looking statements within the meaning of Section 27A of the
Securities Act of 1933, as amended, and Section 21E of the Securities
Exchange Act of 1934. These statements reflect our current expectations
concerning future events and results. We use words such as “expect,”
“intend,” “believe,” “may,” “will,” “should,” “could,” “anticipates,”
and similar expressions to identify forward-looking statements, but
their absence does not mean a statement is not forward-looking. These
statements are not guarantees of our future performance and are subject
to risks, uncertainties, and other important factors that could cause
our actual performance or achievements to be materially different from
those we project. For a full discussion of these risks, uncertainties,
and factors, we encourage you to read our documents on file with the
Securities and Exchange Commission, including those set forth in our
periodic reports under the forward-looking statements and risk factors
sections. We do not intend to update or revise any forward-looking
statements, whether as a result of new information, future events, or
otherwise.
View source version on businesswire.com: http://www.businesswire.com/news/home/20160317006130/en/
Company
GSE Systems, Inc.
Chris Sorrells, 410-970-7802
Interim
Chief Operating Officer
or
The Equity Group Inc.
Devin
Sullivan, 212-836-9608
Senior Vice President
dsullivan@equityny.com
or
Kalle
Ahl, CFA, 212-836-9614
Senior Associate
kahl@equityny.com