Siemens Secures Order for the First Carbon-Neutral Pipeline Compressors in the U.S.


Erlangen, Germany, May 13, 2009

Siemens Energy has received an order in the U.S. for the supply of three pipeline compressor trains. The purchaser is Ruby Pipeline LLC, a subsidiary of El Paso Pipelines.

The pipeline compressors feature electric drives and will be deployed at the head station in Roberson Creek, Wyoming. The compressor trains are scheduled to be shipped in the summer of 2010 and the pipeline is expected to begin operation in early 2011. Through the purchase of electricity from renewable energy sources, carbon offsets or renewable energy
credits, Ruby will become the first CO2-neutral pipeline in the U.S.

The Siemens scope of supply encompasses three STC-SV(08-5-A) pipeline compressors, three 17-megawatt electric motors and three perfect-harmony drives. The 621-mile-long (1,000-kilometer-long) pipeline is around 42" (one meter) in diameter and will transport approximately 35 to 42 million cubic meters (1.3 to 1.5 Bcf) of natural gas per day from the Rocky Mountains to the west coast of the U.S. The pipeline will provide needed supply diversity to the states of Oregon, California, Idaho, Nevada and Washington. The equipment trains will be packaged at the company's facility in Houston, Texas.

"This order shows that Siemens is on the right track as a provider of comprehensive solutions in the oil and gas business," said Tom Blades, CEO of the Oil & Gas Division of the Siemens Energy Sector. "With our compressors, motors and drives, we can offer fully integrated pipeline solutions and thus optimally meet our customers' requirements in terms of pipeline efficiency and operational reliability."

The Siemens pipeline portfolio encompasses compressors with electric drives or gas turbine drives, transformers, substations, breakers and automation, communications and safety equipment. These solutions contribute toward meeting customer requirements such as pipeline operational reliability, safety, efficiency and operability.

Siemens AG

Corporate Communications and Government Affairs

Wittelsbacherplatz 2, 80333 Munich

Germany

Media Relations: Eva-Maria Baumann

Phone: +49 9131 18-3700

E-mail: eva-maria.baumann@siemens.com

Siemens AG

Energy Sector - Division Oil & Gas

Freyeslebenstr. 1, 91058 Erlangen, Germany

Siemens has solutions for onshore and offshore applications involving the extraction, separation, gathering and treatment of crude oil and natural gas, enhanced oil recovery and leading-edge technology for post-separation treatment.

The Siemens Energy Sector is the world's leading supplier of a complete spectrum of products, services and solutions for the generation, transmission and distribution of power and for the extraction, conversion and transport of oil and gas. In fiscal 2008 (ended September 30), the Energy Sector had revenues of approximately EUR22.6 billion and received new orders totaling approximately EUR33.4 billion and posted a profit of EUR1.4 billion. On September 30, 2008, the Energy Sector had a work force of approximately 83,500. Further information is available at: http://www.siemens.com/energy.

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