Contract for the production of basic power equipment to restore the Sayano-Shushenskaya HPP signed
JSC "RusHydro" (ticker symbol: HYDR; MICEX, RTS and LSE) and JSC "Power Machines" announce that a contract has been signed for the production of hydro-power equipment to restore the Sayano-Shushenskaya HPP.
In accordance with conditions established in the contract, "Power Machines" will prepare 10 hydro-turbines, 9 hydro-generators with a capacity of 640 MW per generator and 6 excitation systems. Furthermore, "Power Machines’" specialists will demonstrate installation monitoring services and will also carry out set up and initial operation work. The production period covered by this contract is 2011 — 2012 and the value of the contract (not including VAT) is RUR 11.7 billion. Negotiations on conditions for preparing accessory equipment, installing equipment and transporting the equipment are currently ongoing.
Production of the first hydro-unit (turbine + generator) is planned for January 2011 and additional production will be carried out on two to two-and-a-half month intervals. Looking only at 2011, the Company ("Power Machines") will produce 6 new hydro-units; the remaining equipment will be produced in 2012.
The new hydro-units’ operational lifespan will be up to 40 years — a 25% increase compared to previous units — and they will operate at 96.6% efficiency. The turbines will be outfitted with more effective protection that will enable automatic work stoppages when output exceeds the regimes’ limits. The capacity of the new hydro-units will be within the same limits as those that previously operated at the HPP.
"During recent years, "Power Machines" has carried out extensive scientific and experimental-design research work on building hydro-turbines," stated Igor Kostin, "Power Machines’" General Director. "To fulfill the Sayano-Shushenskaya HPP order, "Power Machines" will be able to utilize the results of this work, taking into account corrections that are necessary based on "Rostechnadzor’s" investigation of the August accident."
According to Evgeny Dod, Chairman of RusHydro’s Management Board, "This large transaction is vitally important for the restoration of the Company’s Sayano-Shushenskaya HPP and it is also extremely critical, particularly in terms of delivery guarantees and technical tracking, for the equipment operating process."
"Power Machines" enterprises are currently working on fulfilling a large order for the Boguchanskaya HPP, in full accordance with a concluded long-term contract. Based on the terms of the contract, "Power Machines" provides for the design, production and delivery of 9 hydro-turbines and 9 hydro-generators, each with a nominal capacity of 333 MW, to the Boguchanskaya HPP project. Furthermore, specialists at the Petersburg Power-Machine Building Company will monitor installation and will also carry out set up and initial operating work at the site. As of now, "Power Machines’" subsidiaries are building the fourth and fifth hydro-turbines and are also at work on the fourth and fifth hydro-generators. Bringing on line hydro-units at the Boguchanskaya HPP — which is being built through a joint effort of RusHydro and UC "Rusal" in the Krasnoyarskaya Krai — is now seen as the most acceptable and effective method to quickly replace capacity from the Sayano-Shushenskaya HPP, which has temporarily been lost because of the unprecedented accident that occurred at the HPP on August 17th, 2009.
Shares / ADR