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Siberian Energy Producer Ramps Up Power Efficiency; Taps GE Technology

June 8, 2011

Aeroderivative Units Will Provide Reliable, Efficient Power to One of Russia’s Largest Cities

MILAN, ITALY and OMSK, RUSSIA—June 8, 2011—PJSC EnergoMashinostroitelny Alliance (EM Alliance) today announced it has reached an agreement to use GE’s (NYSE: GE) highly reliable and energy-efficient aeroderivative gas turbine technology to update and expand the Omskaya TETs-3 power plant in the Siberian city of Omsk.

Omsk is a major transport hub and industrial center with growing demands for electricity from both industrial facilities and the general population. EM Alliance is one of the country’s largest energy companies, serving the growing energy needs for the region.

Under the terms of the agreement, GE will supply two 32-megawatt (MW) LM2500+G4 gas turbines, which have roots in the jet engines that power the world’s airlines, where high reliability and energy efficiency are paramount. Powered by natural gas, the LM2500+G4s will be used in a combined-cycle configuration along with a steam turbine to generate further power, bringing total plant output to 90 MW. Units will be delivered in March 2012, while the power plant is expected to begin commercial operation in November 2012. GE also will provide a range of services under a separate customer service agreement.

“EM Alliance is not just a leader in the Russian power industry but has strong global experience as well. GE’s aeroderivative technology will be a great asset for this noteworthy project and will help the city of Omsk to manage its rapid growth,” said Ruslan Pakhomov, GE Energy executive director, Russia. “It is one of many important energy projects taking place throughout Russia in accordance with government initiatives for energy efficiency and the modernization of the electricity sector.”

The highly flexible jet engine-based technology also helps energy companies take advantage of the growing trend to use abundant, cleaner-burning natural gas for power generation. In addition to being a cleaner-burning fuel and a better fit for flexible, efficient power generation, emerging exploration and production technologies are bringing record amounts of natural gas to market. This increase in global natural gas production will help ensure reliable supply and a consistent price structure, making the fuel an economically viable, dependable solution moving forward. Natural gas also enables the integration of more renewable energy onto power grids by filling the gap when the sun isn’t shining and the wind isn’t blowing.

The technology further boosts efficiency because waste heat is recovered from the exhaust of the gas turbine, converted to steam and then fed to a steam turbine to provide additional energy output.

GE has been operating in Russia since the early 20th century and today has 2,500 employees in the country. GE is represented across the country in multiple industries: healthcare, transportation, aviation, electric power, oil and gas, water treatment, financial services, media, appliances, lighting and intelligent platforms.

About GE

GE (NYSE: GE) is an advanced technology, services and finance company taking on the world’s toughest challenges. Dedicated to innovation in energy, health, transportation and infrastructure, 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 also serves the energy sector by providing technology and service solutions that are based on a commitment to quality and innovation. The company continues to invest in new technology solutions and grow through strategic acquisitions to strengthen its local presence and better serve customers around the world. The businesses that comprise GE Energy www.ge.com/energy—GE Power & Water, GE Energy Services and GE Oil & Gas—work together with more than 90,000 global employees and 2010 revenues of $38 billion, 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; as well as other alternative fuels and new grid modernization technologies to meet 21st century energy needs.

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