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GE Technology Bringing Higher Efficiency, Lower Emissions to Portugal’s Refinery Sector

April 6, 2010

Matosinhos Cogeneration Plant is Second Galp Energia Project to Use GE’s Frame 6B Gas Turbines

BELFORT, FRANCE—April 6, 2010—GE (NYSE: GE) is shipping two Frame 6B gas turbines for one of the largest cogeneration facilities in Portugal, Galp Energia’s Matosinhos Cogeneration Plant near Porto. Replacing older oil-fired technology at the site, the gas turbines will increase the plant’s efficiency and reduce its environmental impact in line with the Portuguese Government’s regulation to promote efficiency and reduce CO2 emissions. Approved in January 2010 and in support of the European Union cogeneration directive, a new Portuguese law decree will regulate cogeneration on a national level.

The Frame 6B gas turbines are expected to provide all of the steam requirements for the nearby Galp Energia’s Matosinhos refinery and also will enable Galp Energia to produce electricity and sell it to Portugal’s national grid. The Matosinhos cogeneration turnkey project is being developed for Galp Energia by the consortium Ensulmeci-Efacec Cogeraçao do Porto, ACE, formed by two of the major Portuguese engineering, procurement and construction companies.

“The modernization of our refineries with GE Frame 6B gas turbines supports the growing interest in Portugal to implement cogeneration as a more efficient, cleaner way to produce electricity and meet our process steam needs,” said Ricardo Manzoni of Galp Energia. “The use of 6B technology at the Matosinhos plant will enable us to avoid emissions of over 400,000 tons of carbon dioxide per year.”

The new gas turbines are the third and fourth GE 6B gas turbines selected by Galp Energia to modernize power and steam production for its refineries in Portugal. The first two 6B machines recently entered commercial operation at a cogeneration plant that supports the Sines petrochemical industrial park. Both the Sines and Matosinhos cogeneration plants have power capacities of 80 megawatts.

GE‘s scope of supply for the Matosinhos project also includes gas turbine auxiliary equipment, technical advisory and training services, during construction and commissioning. A contractual service agreement also has been signed, providing for ongoing maintenance of the GE gas turbines.

“Nearly 50 GE Frame 6B gas turbines have been committed or installed for cogeneration projects throughout the Iberian region, including the Matosinhos and Sines plants,” said Ricardo Cordoba, president of GE Energy for Western Europe and North Africa. “The Frame 6B delivers both excellent reliability and versatility, as well as an ability to run in complex load situations and on a variety of fuels, all while employing a Dry Low NOx combustion system that limits emissions. The Frame 6B fits the needs of cogeneration applications across a variety of industries, including chemical and petrochemical production and will help increase the efficiency of power generation for this sector.” 

The GE Frame 6B gas turbine is one of the most widely used gas turbines ever manufactured. More than 1,100 of these units are in service or on order worldwide and have accumulated more than 60 million operating hours in a wide range of applications. The 6B gas turbines for the Matosinhos project are being shipped to Portugal from GE’s gas turbine manufacturing facility in Belfort, France.

About GE

GE (NYSE: GE) is a diversified infrastructure, finance and media company taking on the world’s toughest challenges. From aircraft engines and power generation to financial services, medical imaging, and television programming, GE operates in more than 100 countries and employs about 300,000 people worldwide. For more information, visit the company's Web site at www.ge.com

GE serves the energy sector by developing and deploying technology that helps make efficient use of natural resources. With nearly 85,000 global employees and 2009 revenues of $37 billion, GE Energy www.ge.com/energy is one of the world’s leading suppliers of power generation and energy delivery technologies. The businesses that comprise GE Energy—GE Power & Water, GE Energy Services and GE Oil & Gas—work together to provide integrated product and service solutions 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.

About Galp Energia

Galp Energia is an integrated operator that is present throughout the whole oil and natural gas value chain, namely in Exploration & Production, Refining & Marketing and Gas & Power. Its activities are expanding strongly worldwide and are predominantly located in Portugal, Spain, Brazil, Angola, Venezuela, Mozambique, Cape Verde, Guinea-Bissau, Swaziland, Gambia, East Timor, Uruguay and Equatorial Guinea.

Galp Energia’s strategy is to develop its potential as an integrated multi-energy operator, thereby creating long term value for its shareholders. The investment in the new cogenerations plants will contribute to improving the refineries’ energy efficiency and is in line with the upgrade of Galp Energia’s downstream assets. For further information about Galp Energia, please visit www.galpenergia.com.

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