MHI enters Russian power plant market

27 September 2007

Mitsubishi Heavy Industries (MHI) has signed an agreement with Russia's Renova Group and Ural Turbine Works (UTZ) to manufacture, supply and service gas and steam turbines in the Russian market.


Under the agreement, MHI, Japan's biggest machinery maker, will license its manufacturing technologies for large-size gas turbines (100 to 300 MW) and steam turbines to UTZ, which is part of the Renova Group.


The agreement also calls for a joint venture to be established in Russia between MHI, UTZ and Teploenergoservice-EK (TES), a steam turbine maintenance service provider, to launch a local after-sales service business for gas and steam turbines.


In addition, MHI and Renova will consider the possibility of MHI providing Renova with other of its technologies in the area of power generation, for example in heat recovery steam generators.


The collaborative agreement between MHI and Renova is targeted at the expanded business projected to come from expansion of Russia's market for power generation facilities, including new nuclear power plants. MHI said it will now "aggressively promote its products and services to Russia's expanding power generation equipment market."


Russia is advancing a large-scale power generation capacity expansion program that calls for the addition of 60,000 MW over a five-year period, including renewal of aged power plants. In addition, the federal program 'Development of Nuclear Power and Industry Complex for 2007-2010 and until 2015' calls for Russia to double its nuclear power capacity by 2030.


In July, French engineering group Alstom and Russia's Atomenergomash finalized details of a joint venture for the manufacture of the conventional islands of Russian nuclear power plants. The joint venture will manufacture the entire conventional island of nuclear power plants (essentially most of the nuclear power plant except the reactor), drawing on Alstom's 'Arabelle' half-speed turbine technology.


The partnership - to be known as Alstom Atomenergomash LLC - will be based at Podolsk, near Moscow.


Further information


Mitsubishi Heavy Industries
Ural Turbine Works


WNA's Nuclear Power in Russia information paper

WNN: Alstom and Atomenergomash finalize partnership
WNN: Mitsubishi Heavy prepares for global market

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