Russian Oil and Gas Sites Use GE's Jenbacher Engines to Reduce Flaring of Waste Gas, Site Emissions


Special Engine Design Helps Russian Producers Comply with New Anti-Flare Gas Legislation

JENBACH, Austria--11 March 2009-- GE Energy is supplying 12 of its Jenbacher gas engines to support Russian oil and gas producer Monolit LLC's project to reduce emissions by utilizing previously wasted gas at a Western Siberian production facility. At the facility, the waste gas-or Associated Petroleum Gas (APG)-will be separated into liquefied natural gas and other "transportable" products (including propane, butane, and ethane) for the chemical industry.

Monolit is the latest operator to install GE's Jenbacher engines in Russia as the country seeks to aggressively curtail industry emissions from the flaring of waste gas in order to help meet its environmental goals. A new national law requiring producers to utilize 95 percent of their APG is scheduled to go into effect on January 1, 2012.

Monolit, a division of the Roza Mira Group, will use APG to fuel GE's containerized Jenbacher engines. The project marks the first time GE has installed its special APG-standardized, Type 4 engine version. The units feature a low compression ratio ensuring maximum output with low methane numbers, as well as a specific engine management system and remote engine diagnostics to assure high engine availability levels despite varying gas compositions. The modular design of GE's containerized engines also allows them to be relocated to other sites when APG volume decreases in one area.

GE's Jenbacher units will generate more than 15 (megawatts) MW of power to support production activities at the Monolit site in Shapinskoe, 150 kilometers south-east of Khanti-Mansiysk in the Western Siberian lowlands.

By utilizing the APG from nearby drilling fields at Shapinskoe for onsite power generation, Monolit will avoid the need to transport diesel fuel over long distances, thus delivering significant environmental benefits. According to the customer, the utilization of APG for onsite power generation will help save up to about 536,000 tons of carbon dioxide (CO2) equivalents per year in total at the gas processing facility and gas engine plant.

"GE's Jenbacher gas engines are able to withstand Russia's harsh climate conditions, which makes them ideally suited for the oil and gas industry's onsite power requirements in Western Siberia," said Andrey Nepomnyashchiy, CEO of Monolit.

"We are very pleased to support Monolit's project to reduce its site emissions by utilizing part of the associated petroleum gas in GE's Jenbacher engines," said Prady Iyyanki, CEO of GE Energy's Jenbacher gas engine business. "This project illustrates how GE's gas engines are helping meet the unique requirements of our Russian oil & gas industry customers as a growing number recognize how we can help them comply with environmental regulations and cost predictability.

"More than 300 of GE's Jenbacher engines are supporting APG projects worldwide, providing the basis for our standardized APG gas engine technology," Iyyanki said.

In 2008, Monolit's flare gas reduction initiative received first prize in an ecological project contest sponsored by the Russian Federation.

Monolit's gas engine order was arranged by Max Motors, one of GE's authorized distributors for Jenbacher gas engines in Russia. The project's units are scheduled to be installed during the summer of 2009. Commercial operation is expected to begin in the third quarter 2009.

GE Energy's Jenbacher gas engine business is a leading manufacturer of gas-fueled reciprocating engines, packaged generator sets and cogeneration units for power generation. GE's gas engine technology covers an output range of 0.25 to 4 MW and can operate on a broad variety of gases, while offering high levels of efficiency, durability, and reliability.

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 2008 revenue of $29.3 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. In addition to various cogeneration applications, GE's Jenbacher biogas, landfill gas and coal mine methane engines previously received ecomagination certification, underscoring the environmental and economic benefits offered from the utilization of generating energy from high methane content waste streams.

About GE

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.

For more information contact:
Martina Streiter
GE Energy
t: +43 5244 600 2470
e: martina.streiter@ge.com

Ken Darling
Masto Public Relations
t: +1 518 786 6488
e: kenneth.darling@ge.com

Tom Murnane
Masto Public Relations
t: + 1 518 786 6488
e: tom.murnane@mastopr.com

Attention Editor
e: information@mastopr.com

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