• $100 Million in New Contracts Awarded to GE Oil & Gas by PetroChina;
• GE to Supply Six Gas Turbine-Driven Compression Trains and Nine Electric Motor-Driven Compressors for WEPPII;
• Underlines GE’s Role as a Major Supplier of Mission Critical Pipeline Compression Technology in Asia.
In two contracts amounting to nearly $100 million, GE (NYSE: GE) will supply six gas turbine-driven compressor trains and nine electric motor–driven compressors to PetroChina for the Eastern portion of the second West-to-East Pipeline (WEPPII).
PetroChina is the owner and developer of the massive WEPPII project, which runs through 13 provinces and autonomous regions and is playing a major role in supporting China’s long-term energy growth and security. Since 2005, GE has supplied compression equipment and turbine technology for WEPPII, as well as for the first West-to-East Pipeline (WEPPI), with contract wins totaling approximately $700 million.
Claudi Santiago, president and CEO, GE Oil & Gas, said: “These latest PetroChina contract awards further underline GE’s role as a major supplier of high-tech oil and gas equipment to support critical energy infrastructure projects in the region. GE’s expanding installed-based includes more than 120 gas turbine and 110 electric motor driven compressor trains for pipeline projects vital to energy supply in China and Asia.”
Santiago added: "GE is committed to supporting its customers in China by further expanding our strong localized presence. We have invested hugely in resources and capabilities to extend and strengthen our local work-force, including in engineering, manufacturing, project management, sales and field-service engineering functions.”
The compression equipment for the latest WEPPII contracts will include PCL compressors driven by GE PGT25+ gas turbines. Based on aeroderivative gas turbine technology initially developed by GE’s aviation business, the PGT25+ is an example of how GE Oil & Gas brings reliable, high-technology products developed from other GE businesses for application in the oil and gas industry. Cross-fertilization of engineering expertise is a major differentiator that GE brings to customers in a wide range of industries.
The PGT25+ gas turbines will be manufactured in both Cincinnati, Ohio, of the United States and Florence, Italy, and the compressors in Florence, Italy, with shipment to China expected between the second half of 2011 and the third quarter of 2012.
GE Oil & Gas has been active in China for more than 30 years and is a leading player in the refinery and petrochemical sectors of the country’s oil and gas business. With the growing demand for natural gas transmission, as illustrated by the two West-to-East pipeline projects, GE Oil & Gas has greatly expanded its role as a supplier of pipeline compression equipment in the country and the region.
Currently, GE’s compressors and aeroderivative gas turbines are operating on nearly 30 Chinese pipeline compression stations. Committed to helping its customers meet their challenging schedules, while continuing to focus on performance and reliability, GE Oil & Gas redesigned the packaging of turbocompressor units and also simplified normal installation and commissioning procedures, resulting in reduced installation time and site activities.
About GE Oil & Gas
GE Oil & Gas (ge.com/oilandgas) is a world leader in advanced technology equipment and services for all segments of the oil and gas industry, from drilling and production, LNG, pipelines and storage to industrial power generation, refining and petrochemicals. GE Oil & Gas also provides pipeline integrity solutions, including inspection and data management, and designs and manufactures wire-line and drilling measurement solutions for the oilfield services segment. GE Oil & Gas exploits technological innovation from other GE businesses, such as aviation and healthcare, to continuously improve oil and gas industry performance and productivity. GE Oil & Gas employs more than 16,000 people worldwide and operates in over 100 countries.
About GE Energy
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.com/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.
GE (ge.com) 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.
Ken Darling, Masto Public Relations
P: +1 518 786 6488 / E: kenneth.darling[.]ge.com.
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