01 November 2012

GE and Russian JV partners to invest $170mn in 6FA gas turbine manufacturing facility in Russia

- Rybinsk facility to start producing gas turbines in Q2’2014 

Rybinsk, Russia – 31 October 2012 – GE and two Russian joint venture partners, INTER RAO UES and United Engine Corporation, today held a groundbreaking ceremony for the Russian Gas Turbines LLC Manufacturing Facility. 

The new plant will manufacture, sell and service 77 MW highly efficient, low-emission 6FA industrial gas turbines in Russia and CIS countries. The production facility will be built near Rybinsk in the Yaroslavl region with an initial capacity of 14 units per year and will start operations in Q2’2014. 

The plant will help address Russia’s growing need for high-performance, mid-sized power blocks in cogeneration and combined heat and power applications. With its output of 77 megawatts, high exhaust energy, full packaging and robust design, the 6FA gas turbine is well suited for a wide variety of applications, including industrial cogeneration and district heating. 

The cost of the construction and commissioning of the turbine manufacturing plant is estimated at $170 million. The investment will come both from the JV’s participants’ own budgets and external financing. 

“We are pleased to break ground on our new facility with our valued partners INTER RAO UES and UEC and bring GE gas turbine production capability to the Russian energy market”, said GE Chairman and CEO Jeff Immelt. “Today is an important milestone in our near 90-year history in Russia and reflects our confidence in the power of partnership to support the modernizing of the Russia’s infrastructure”. 

“Efficient power generation is a priority for the Russian economy, and we believe the development of this new facility in Rybinsk will help localize technology for the sector in a region known for its professional workforce. The facility will employ many highly skilled engineers and create hundreds of additional jobs for partners and suppliers,” stated Ron Pollett, President & CEO of GE in Russia & CIS. 

GE has been operating in Russia since the early 20th century, starting with the Soviet Union’s electrification and then with the sale of locomotives and oil and gas equipment. Today, GE is represented across Russia in multiple industries: healthcare, transportation, aviation, electric power, oil and gas, water treatment, financial services, lighting and intelligent platforms. With a head office in Moscow, GE has over 3,200 employees and reported 2011 revenues of US $2 billion in Russia. GE has established training centers for Energy and Healthcare in Moscow. 

INTER RAO UES, JSC is one of Russia’s largest electric power companies, controlling a number of generation and distribution assets in Russia and abroad. The total installed capacity of the electric power stations of INTER RAO UES Group is 28,000 MW. 

United Engine Corporation is a leading Russian industrial group for manufacturing civil and military aircraft engines, LV propulsion systems, industrial gas turbines for electric power generation, gas pumping units and marine engines. The UEC group of companies includes more than 85% of the main companies supporting the design, serial production and after market for these industries as well as the key suppliers of to the Russian gas turbine industry. 

Source: GE