(Adds background, details on wind turbines, full year forecast)
NEW YORK, May 14 (Reuters) - Engineering and construction company Fluor Corp (FLR.N) said on Wednesday it signed a $1.8 billion contract with Scottish and Southern Energy (SSE.L) to build a 500-megawatt wind farm off the Suffolk Coast in Britain.
Fluor said the project would be the world’s largest offshore wind farm.
Construction work on the offshore site is expected to begin in summer 2009. Work to prepare for an onshore substation has already started.
Construction is expected to be completed in 2011.
Siemens AG (SIEGn.DE) also signed an 800 million euro deal to supply 140 wind turbines for the project.
Fluor had been developing the wind project, called the Greater Gabbard Offshore Wind Farm, with Scottish and Southern Energy and had owned a 50 percent stake in the project.
It sold its stake to Scottish and Southern Energy for $80 million and will record a one-time gain of 50 cents per share in the second quarter from the sale.
Fluor raised its full year earnings per share forecast to $6.60 to $6.90, an increase of 35 cents a share. The company’s previous forecast had already include 15 cents per share of initial cash proceeds from the sale. (Reporting by Michael Erman; editing by John Wallace and Derek Caney)