Charah Solutions, Inc. (NYSE: CHRA) shares spiked about 40% after the provider of mission-critical environmental services announced Friday that it has been awarded a marketing contract by Dominion Energy for the beneficiation and utilization of up to 8.1 million tons of reclaimed ponded coal ash at its Chesterfield Power Station in Chester, VA. Dominion Energy is headquartered in Richmond, VA.
As part of the agreement, Charah Solutions will install processing and transportation infrastructure in 2021 to facilitate rail transportation of the ash from Chesterfield Power Station to cement kiln feed markets. The beneficiated ash product will replace other currently utilized virgin raw materials in the production of Portland cement at multiple cement kiln locations in the eastern U.S. for the next 10+ years and help supply the growing demand for concrete in the construction industry. In addition, every ton of coal ash used to replace traditional virgin raw materials in the production of cement reduces carbon dioxide emissions entering the atmosphere.
“Charah Solutions is nationally recognized in the power generation industry as a total solutions company, providing unparalleled service and innovation to meet the evolving and increasingly complex needs of our utility partners,” said Scott Sewell, Charah Solutions President and CEO. “Many utilities, like Dominion Energy, are experiencing an increased need to retire and decommission older generating assets while improving the environment. We have been proud to partner with Dominion Energy on their sustainability efforts for many years and are delighted to extend our relationship at this site for the next 12 years.”