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Press Release

GE Gains US$70 Million Contract to Supply Equipment for Gas Processing Plant in Algeria

July 16, 2003

GE Gains US$70 Million Contract to Supply Equipment

for Gas Processing Plant in Algeria

FLORENCE, Italy--(BUSINESS WIRE)--July 16, 2003--GE Oil & Gas has

received a contract of US$70 million to supply gas turbines with

process gas compressor, turbo generator and expander trains for a gas

processing plant at In-Amenas, Algeria.

In-Amenas is Algeria's largest wet gas joint development project,

and is jointly owned by Sonatrach, the Algerian national energy

company; and BP, the world's second largest petroleum and

petrochemicals group and the largest foreign investor in Algeria.

In-Amenas will produce 9 billion cubic meters annually and 50,000

barrels per day of liquids, with the first gas production forecasted

for the fourth quarter of 2005.

Under its contract with the project's EPC contractor - a joint

venture between JGC Corporation of Japan and KBR of the United States

- GE will supply:

-- Three residual gas compressor trains comprised of GE MS5002D

gas turbines with auxiliary equipment, gearbox multipliers,

BCL606 compressors and control cabinets. At ISO conditions,

the gas turbines have a power output of 32.6 megawatts and

thermal efficiency of 30.3%. They are equipped with LHE

combustors that enable low nitrogen oxide (NOx) emissions.

These gas turbines will be mechanical drive units and will

include a heat recovery steam generator to produce hot water

for process use.

-- Three turbo generator trains comprised of GE MS5001PA gas

turbines with relevant auxiliaries, gearboxes, synchronous

generators and control cabinets. These gas turbines will be

used for power generation and will have a power output of 26.3

megawatts with 28.5% efficiency at ISO conditions. They also

use LHE combustors.

-- Three expander trains comprised of Frame 50 expanders,

compressors, and auxiliaries.

All of the equipment will be shipped during the second quarter of

2004. The plant will use natural gas as its primary fuel.

The In-Amenas joint development project further expands the

presence of GE technology in Algeria. GE has been active in Algeria

since the 1960s and today, there are more than 500 GE turbines and

compressors installed for oil and gas applications across the country.

GE Oil & Gas is headquartered in Florence, the home of Nuovo

Pignone, a long-time leader in gas compression and turbo generation

products. GE Power Systems acquired ownership of Nuovo Pignone in 1994

and has continued to expand its oil and gas business by acquiring or

developing partnerships with other technology and experience leaders

in the industry.

About GE Power Systems

GE Power Systems (www.gepower.com) is one of the world's leading

suppliers of power generation technology, energy services and

management systems with 2002 revenues of nearly $23 billion. Based in

Atlanta, GA, GE Power Systems provides equipment, service and

management solutions across the power generation, oil and gas,

distributed power and energy rental industries.

--30--AK/at*

CONTACT: GE Power Systems, Atlanta

Dennis Murphy, 770-859-6948

[email protected]

or

Masto Public Relations

Howard Masto or Ken Darling, 518/786-6488

[email protected]

[email protected]


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