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GE Gas Turbine Technology to Provide Additional Power to City of Surgut, Russia’s Oil Producing Capital

SURGUT, RUSSIA—July 29, 2011—To meet the growing energy requirements of Surgut and manufacturing facilities of Western Siberia, Surgutskaya GRES-2, the largest thermal power plant in Russia, today celebrated the official inauguration of a plant expansion that features two new GE (NYSE:...

GE Gas Turbine Technology to Provide Additional Power to City of Surgut, Russia’s Oil Producing Capital

SURGUT, RUSSIA—July 29, 2011—To meet the growing energy requirements of Surgut and manufacturing facilities of Western Siberia, Surgutskaya GRES-2, the largest thermal power plant in Russia, today celebrated the official inauguration of a plant expansion that features two new GE (NYSE: GE) 9FA Gas Turbines and a steam turbine. As a result, the total installed capacity of Surgutskaya GRES-2, owned by E.ON Russia, has increased by 800 megawatts (MW) and now produces 5,600 MW.

Generation units are constructed using modern, high-efficiency gas turbine technology. The efficiency rate of 55.9 percent allows power plant operators to reduce costs of electric power generation. The higher efficiency means less fuel is needed to produce the required power. Similar to Surgutskaya GRES-2’s currently installed equipment, the new generation units use natural gas or associated petroleum gas fuel, which supports the government initiative to increase the use of associated petroleum to 95 percent by 2012.

The implementation of advanced energy technologies allows Surgutskaya to improve its environmental performance. The new generating units will reduce CO2 emissions by more than 2 million tons, while the NOx emissions will be less than 50mg per cubic meter, which is five times less than conventional steam power plants.

“To make the most efficient and economical use of Russian’s energy resources while minimizing environmental impact, the new generating units will allow Surgutskaya to address the increasing demand for inexpensive electric power in this fast-developing region,” said Ruslan Pakhomov, executive director, GE Energy in Russia. "The environmental aspect also was crucial in this project. Reducing greenhouse gas emissions and burning less fuel for electric power generation complies with our ecomagination strategy aimed at using innovative technologies to address environmental challenges around the world."

Construction of the two new generating units of Surgutskaya GRES-2 began in the second quarter of 2008, with complex trials held in May and June 2011.

The launch of the new generating units in Surgut continues a series of recent GE projects that support the development of Russia’s energy infrastructure. Over the last three months, GE announced a power plant project in Berezniki, the large industrial center in the Ural Federal District; a framework agreement with one of the largest energy companies of Russia on manufacturing high-capacity gas turbines; and the launch of the GE Energy Power Technology Center in the Kaluga region, which provides maintenance services for power generation equipment.

Back in 2008, OGK-4 and GE signed a long-term services agreement, which is intended to maintain plant availability, effective outage planning and plant efficiency for the next 12 years of operation.

About GE

GE (NYSE: GE) is an advanced technology, services and finance company taking on the world’s toughest challenges. Dedicated to innovation in energy, health, transportation and infrastructure, GE operates in more than 100 countries and employs about 300,000 people worldwide. For more information, visit the company's Web site at www.ge.com.

GE also serves the energy sector by providing technology and service solutions that are based on a commitment to quality and innovation. The company continues to invest in new technology solutions and grow through strategic acquisitions to strengthen its local presence and better serve customers around the world. The businesses that comprise GE Energy—GE Power & Water, GE Energy Services and GE Oil & Gas—work together with more than 90,000 global employees and 2010 revenues of $38 billion, to provide integrated product and service solutions in all areas of the energy industry including coal, oil, natural gas and nuclear energy; renewable resources such as water, wind, solar and biogas; as well as other alternative fuels and new grid modernization technologies to meet 21st century energy needs.

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