GE announces new partnerships in high-growth power generation markets

Business Wire, Dec 6, 1994

SCHENECTADY, N.Y.--(BUSINESS WIRE)--Dec. 6, 1994--GE Power Systems (GEPS) has forged a number of new partnerships to strengthen technology and service presence in rapidly emerging world power generation markets.

The new relationships include:

- A joint venture with Kirovsky Zavrod of St. Petersburg, Russia, for the production of heavy-duty gas turbines. GE expects a robust gas turbine market in Russia driven by the upgrade of the Russian gas pipeline and electrical capacity additions. This new agreement together with the previously announced acquisition of Nuovo Pignone, the world's leading manufacturer of pumps and compressors, solidifies GE's leadership position in Russia.

- An agreement with Indonesia's Agency For Strategic Industries to establish a gas turbine manufacturing base for aeroderivative and heavy-duty turbines, generators and mechanical drive systems. GE anticipates double-digit annual growth in capacity additions in the region over the next decade spurred by petroleum exploration and the region's need for more electrical capacity.

- An agreement with Tenaga Nasional Berhad (TNB), Malaysia's largest utility, to provide GE engineering services and training to TNB and to assist the utility in establishing a Malaysian Service and Repair Center to service a rapidly growing installed base of gas turbines.

- A joint venture with Bharat Heavy Electricals Ltd. (BHEL) of New Delhi, India, to establish a service engineering and repair facility for maintaining the growing fleet of GE-designed gas turbines in India, Sri Lanka, Bangladesh and Mauritus.

"These agreements will substantially strengthen GE presence in some of the fastest growing power generation markets in the world," said David Genever-Watling, president and CEO of GE Power Systems. "They join a growing list of GE partners who have played a major role in making GE power generation technology number one in the world."

The new agreements follow on the heels of other ventures announced earlier in 1994, highlighted by GE's major acquisition of an 80 percent share of Nuovo Pignone.

GE also signed, in April of 1994, a 10-year agreement with SKODA, the leading industrial manufacturer in the Czech Republic, to supply GE technology on SKODA-designed and constructed power plants in Eastern Europe, the CIS, Middle East and Vietnam.

GEPS is one of GE's major businesses and is the world's largest supplier of power generation equipment. GEPS has three regional headquarters serving the global market -- GEPS Asia in Hong Kong, GEPS Europe in London and GEPS Americas in Schenectady, NY -- in addition to local sales offices and service centers worldwide.

CONTACT: Masto, Dagastine & Associates Inc.

Howard T. Masto, or Ken Darling, 518/786-6488