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Press Release

Egypt Selects GE Technology for US$300 Million in Electricity Contracts to Power Country's Growing Needs

September 20, 2011

  • GE will supply six advanced F-technology gas turbines to support Cairo's growing electricity requirements
  • GE-led consortium wins expansions at Giza North and Banha Power Plants; projects will add 2,250MW
  • These contracts constitute the largest power generation order between GE and Egypt

Dubai, UAE
; September 21, 2011: GE (NYSE:GE) has signed contracts totaling US$300 million to supply six gas turbines and associated services to the Egyptian Electricity Holding Company for two new combined-cycle power plants near Cairo that will support Egypt's rapidly growing energy needs.

GE and its consortium partner, SEPCO III, have been selected for the expansions of Giza North and Banha power plants. The projects will add 2,250 megawatts of capacity to the country's power grid, or 10% of capacity to the country's grid, supporting residents and businesses in Cairo. These US$300 million contracts constitute the largest power generation order between GE and Egypt.

According to Egypt's Ministry of Electricity and Energy, the country experienced 13% growth in electricity demand from 2009 to 2010, and the growth is expected to continue at a rate of approximately 11% over the next five years. The Giza North and Banha plants are scheduled to enter service by the middle of 2013, in time to help the country meet its peak power demands during the summer.

GE will supply four Frame 9FA Gas Turbines for Giza North and two 9FA Gas Turbines for Banha, along with installation and technical services. The 9FA Gas Turbines are equipped with GE's advanced Dry Low NOx (DLN) combustion technology to support lower emissions at Giza North and Banha power plants. GE's advanced DLN combustion technology is designed to help gas turbine operators meet lower emissions requirements without the injection of diluents. More than 700 GE DLN combustors have compiled more than 23 million hours of operation on almost 800 units worldwide.

His Excellency Dr. Hassan Younis, Egypt's Minister for Electricity and Energy, said: "Egypt is heralding a new era in its growth story, with a focus on the all-round development of all economic sectors. Driving this is the power industry, which is being upgraded and strengthened to meet the needs of the people, and boost business efficiencies. The partnership with the major industrial energy companies will accelerate the development of the country's power sector, and in turn, the overall economy."

Mahmoud Balbaa, Chairman, Egyptian Electricity Holding Company, said: "GE's advanced technology produces power with high efficiency and promotes energy sustainability in Egypt. We are pleased to be working with an industry leader such as GE to support us in meeting the growing power demands in Cairo and the country."

Joseph Anis, GE Energy's president and CEO for the Middle East said: "Strong economic growth in Egypt continues to drive the need to increase the country's supply of reliable electricity. With the Giza North and Banha projects, we continue our commitment to supply the technology and services that will help our customers throughout the region meet their long-term power generation and delivery objectives."

The Engineering Procurement & Construction (EPC) company for the Giza North and Banha power plants is China-based SEPCO III. GE and SEPCO III have successfully collaborated on several other projects around the world and in the Middle East region. This is the first time that both companies have joined in a consortium partnership structure for a power project in Egypt.

GE's F technology, proven in more than 36 million hours of operation worldwide, offers high efficiency and low emissions in combined-cycle operation. The two new plants plan to operate at 56% combined-cycle efficiency while meeting emissions standards of 25 ppm NOx (Nitrogen Oxides). Natural gas will be the primary fuel for both plants.

The four 9FA Gas Turbines at Giza North, located 30 kilometers northwest of Cairo, will have a total capacity of 1,000 megawatts, while the plant will generate 1,500 megawatts in combined-cycle operation. The two 9FA Gas Turbines at Banha, which is 40 kilometers northwest of Cairo, have a total capacity of 500 megawatts and the plant's combined-cycle output will be 750 megawatts. The gas turbines are scheduled for shipment to the project sites in the second quarter of 2012.

The Giza North and Banha projects build on GE's strong technology presence in Egypt. Since 1974, nearly 70 GE gas turbines have been installed in Egypt, and they are generating more than seven gigawatts, a quarter of the country's installed capacity.

GE has been present in Egypt since 1974. Over the years, GE has played a key role in infrastructure projects across the country in various sectors including power, oil & gas, healthcare and transportation. Today, there are more than 100 employees working for GE in Egypt. GE is committed to remaining a long-term partner in the economic development of the country.

Kelly Home
ASDA’A Burson-Marsteller
[email protected]
+971 4 4507 600

Caroline Wehbeh
GE Communications Leader, North Africa
[email protected]
+971 4 429 6318

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