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Siemens Awarded a More than $200 Million Contract from TransCanada's Keystone Pipeline Project to Supply the Project Between Canada and the United States

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Siemens Industry, Inc.
390 Kent Ave.
Elk Grove Village, IL, 60007

Press release date: December 19, 2007

December 19, 2007

ATLANTA - Siemens today announced it has been awarded a more than $200 million USD (150 million Euro) contract from TransCanada Corporation (TransCanada), to supply the Keystone Pipeline project (Keystone) with electrical equipment, electrical power supply and pumping equipment. The 2,148 mile (3,456 kilometer) pipeline project will have the capability to transport crude oil from the oil sands in Northern Alberta to U.S. markets in the Midwest and Cushing, Oklahoma area.

With the support of Siemens Industrial Solutions and Services Group (I&S), Siemens Canada Limited and the U.S. based Siemens Energy & Automation, Inc. will deliver 37 pumping stations, including pump skids, a series of electrical houses and 19 substations, to supply pumping electrics and portions of electrical distribution along 1,781 miles (2,867 kilometer) of this crude oil pipeline project.

The Canadian portion of the project involves the conversion of existing TransCanada Mainline facilities from natural gas to crude oil transmission service and the construction of pipeline, pump stations and terminal facilities in Canada and the United States. The in-service date for Keystone is expected to be fourth quarter of 2009 and will initially deliver capacity of 435,000 barrels per day (bpd). Keystone will expand capacity to 590,000 bpd and extend its reach with the Cushing, Oklahoma delivery point expected to be in-service in late 2010.

"The oil and gas market segment, and the oil sands in particular, is strategically important for Siemens and this order represents a significant milestone as it presents a homogenous cross-border customer solution with Siemens in Canada, and the United States," said Siemens Canada President and CEO, Guenther Scholz.

"This solution is unique in that it brings together a seamless approach of technology for our customer and guarantees delivery and pricing from both sides of the border," said Dennis Sadlowski, President and CEO of Siemens Energy & Automation, Inc.

About Siemens Industrial Solutions and Services

The Siemens Industrial Solutions and Services Group (I&S) is the integrator of systems and solutions for industrial and infrastructure facilities and global service provider for the plant and projects business covering planning, installation, operation and the entire life cycle. I&S uses its own products and systems and process technologies in order to enhance productivity and improve competitiveness of companies in the sectors of metallurgy, water treatment, pulp and paper, oil and gas, marine engineering, open-cast mining, airport logistics, postal automation, intelligent traffic systems and industrial services. In fiscal 2007 (to September 30) I&S employed a total of 37,000 people worldwide and achieved total sales of EUR 8.894 billion, according to U.S. GAAP.

About Siemens in Canada

Siemens is one of the largest and most diversified companies in the world, providing innovations in areas such as automation and control, power, transportation, medical, information and communications, and lighting. In Canada, Siemens is headquartered in Mississauga, Ontario, with more than 6,000 employees located in 76 offices, with manufacturing facilities in Quebec and Ontario. Sales for Siemens in Canada for fiscal 2007 (ended September 30), were $2.3 billion.

Further information is available at:

About Siemens Energy & Automation, Inc.

Siemens Energy & Automation, Inc. is one of Siemens' operating companies in the U.S. Headquartered in the Atlanta suburb of Alpharetta, Ga., Siemens Energy & Automation, Inc. manufactures and markets one of the world's broadest ranges of electrical and electronic products, systems and services to industrial and construction market customers. Its technologies range from circuit protection and energy management systems to process control, industrial software and totally integrated automation solutions. The company also has expertise in systems integration, technical services and turnkey industrial systems. More information is available at:

Siemens AG (NYSE:SI) is one of the largest global electronics and engineering companies with reported worldwide sales of $107.4 billion in fiscal 2006. Founded nearly 160 years ago, the company is a leader in the areas of Medical, Power, Automation and Control, Transportation, Information and Communications, Lighting, Building Technologies, Water Technologies and Services and Home Appliances. With its U.S. corporate headquarters in New York City, Siemens in the USA has sales of $21.4 billion and employs approximately 67,000 people throughout all 50 states and Puerto Rico. Eleven of Siemens' worldwide businesses are based in the United States. With its global headquarters in Munich, Siemens AG and its subsidiaries employ 475,000 people in 190 countries.

For more information on Siemens in the United States:

Internet Keystone project:
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