Qatalum Facility to Help Spur Economic Growth and Job Creation in Qatar
DOHA, QATAR-August 6, 2008-GE Energy today announced a long-term service agreement for a greenfield plant that is the cornerstone of Qatalum's plans to become the world's largest producer of aluminum. Under the agreement, GE will help to ensure the reliability and efficiency of Qatalum's power supply, critical to the success of this milestone project. Once completed, Qatalum will have the capacity to produce 585,000 metric tons of high-quality aluminum products for the export market, in a step towards helping meet the world's growing demand for aluminum.
Under a 16-year multi-million dollar contractual services agreement (CSA), GE Energy will supply a full range of services for GE gas turbines at the Qatalum power plant, which will generate approximately 1,350 megawatts of power for the aluminum production facility located in Mesaieed, Qatar. Last year, in consortium with Doosan Heavy Industries, GE won the contract to supply four GE 9FA-class gas turbines for the facility, which will provide high levels of efficiency in combined cycle operations, through the advanced combustion system hardware, designed to significantly reduce gas turbine emissions.
"The Qatalum project represents a key milestone in Qatar. GE has been successfully supporting industrial customers for over a century and we fully understand the vital role that reliable energy plays in enabling a company such as Qatalum to support its growth objectives," said Joseph Anis, GE Energy's region executive for the Middle East. "Our customized CSAs are designed to help improve reliability and availability of gas turbines, as well as to provide localized technical excellence, all of which will help Qatalum establish a significant role in the world's aluminum producing industry."
The project and its associated power plant is in line with Qatar's strategy to diversify the use of its natural resources, by establishing basic industries in the country with the potential to develop value-added metallurgical and manufacturing industries downstream of the aluminum plant.
"GE Energy's strong global reputation for leading technology and high-quality services was a key factor in the company's selection for this important project," said Truls Gautesen, CEO of Qatalum. "We have already started to work with GE on the equipment supply and are confident that the service agreement will support our goal of reliable power for the production of aluminum in the years ahead."
Qatalum, a joint venture between Qatar Petroleum and Norsk Hydro Aluminum, expects the new facility to enter commercial operation in 2010. Phase one of the project will have a capacity of 585,000 metric tons of high-quality aluminum products per year.
The latest agreement further expands GE's contractual services role in the Middle East and GE's growing role in Qatar. GE's relationship with Qatar's natural gas and LNG industries goes back more than 35 years. Today, several other GE businesses operate in Qatar, ranging from water technologies and security to advanced materials, appliances and lighting. Last month, GE Oil & Gas established a Qatar Service Center in Ras Laffan; in addition a ConocoPhillips & GE Water Sustainability Center is scheduled to open in Qatar in late 2008 and GE's Advanced Qatar Technology & Research Center in mid-2009.
GE has a long-standing presence in the Middle East dating back to the 1930s and GE Energy now employs more than 750 people in the region. GE's gas turbine technology is already well established in the region with 1,017 turbines installed in key locations.
GE currently has more than 230 CSAs in place with customers around the world. Under a CSA, GE provides maintenance, including parts, services and repairs, for a fixed price over a specified period of time. Benefits to the customer include performance guarantees, fixed maintenance costs and access to GE's latest technology and global experience.
About GE Energy
GE Energy (www.ge.com/energy) is one of the world's leading suppliers of power generation and energy delivery technologies, with 2007 revenue of $22 billion. Based in Atlanta, Georgia, GE Energy works in all areas of the energy industry including coal, oil, natural gas and nuclear energy; renewable resources such as water, wind, solar and biogas; and other alternative fuels. Numerous GE Energy products are certified under ecomagination, GE's corporate-wide initiative to aggressively bring to market new technologies that will help customers meet pressing environmental challenges.
GE is a diversified global infrastructure, finance and media company that is built to meet essential world needs. From energy, water, transportation and health to access to money and information, GE serves customers in more than 100 countries and employs more than 300,000 people worldwide. For more information, visit the company's Web site at www.ge.com. GE is Imagination at Work.
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