Alstom signs agreements in Russia energy sector, including hydropower equipment plant deal

Alstom has signed a series of agreements in the Russian power generation sector, including an agreement to build a manufacturing facility for hydropower equipment.

The first agreement, signed with RusHydro, Russia’s largest hydropower generation company, is for the creation of a joint hydropower manufacturing facility in Ufa City in the Republic of Bashkortostan, Russia, in which Alstom will hold 50 percent (minus one share), Alstom reported.

The plant will manufacture hydropower equipment for small hydro plants with capacities of up to 25 MW, medium-sized hydropower plants with capacities of up to 100 MW and pumped-storage hydro plants with capacities of up to 150 MW, as well as auxiliary equipment.

Notably, the plant will provide equipment for the integrated modernization of the Kubansky Cascade hydropower complex, for which Alstom, the Russian United Energy-Construction Corp. and RusHydro signed an agreement in May 2011.

Alstom will carry out the rehabilitation of equipment and install a new instrumentation and control system. Its partner OEK will be responsible for all civil works. The protocol for the establishment of the facility was signed in February 2011 in Ufa, in the presence of the president of the Russian Federation Dmitry Medvedev.

Russia has more than one hundred hydropower plants, with the total installed capacity of 45,000 MW, the fifth largest in the world, Alstom said.

Alstom and Enova will assess available capabilities and technologies of both companies and set up broad areas of cooperation. In addition, Alstom signed three agreements with TGKs, operated by IES Holding (the power generation arm of the Renova Group) to deliver, between 2012 and 2013, five GT13 gas turbines to the three power stations Akademicheskaya (1 engine), Nizhneturinskaya (2 engines) and Novogorkovskaya (2 engines).

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Alstom signs agreements with RusHydro, other Russian energy companies

Alstom announced it has signed strategic agreements with major Russian energy companies to jointly provide power generation products and services for Russia’s power industry in the fields of hydropower generation, thermal power generation, nuclear power generation and electricity transmission.

The agreements were signed in the presence of Vladimir Putin, Russian prime minister, Francois Fillon, French prime minister, Sergei Shmatko, Russian energy minister, Patrick Kron, chairman and CEO of Alstom, and Philippe Joubert, president of Alstom Power.

Kron said: “Russia is playing an increasingly important role in the global economy and is looking to modernize and increase its power generation capacity to meet its growing demand for power. Alstom’s technology and service expertise, when combined with local partners’ manufacturing and service capabilities, offers an ideal solution for securing this energy future. Russia has become over the last few years a strategic market for Alstom, both in the field of rail infrastructure and of power generation and electicity transmission.”

In the field of hydropower generation, Alstom Power has signed a strategic cooperation agreement with RusHydro JSC, Russia’s biggest hydropower generation company, to jointly exploit opportunities in the booming Russian hydropower industry. The agreement covers four key directions of cooperation: Reconstruction and modernization of the Kubanski cascade hydropower complex in Southern Russia; cooperation for the development of hydropower activities; cooperation in areas of R&D and investment; and local manufacturing of hydropower equipment in the Republic of Bashkortostan, Russia.

The Kubanski cascade project will include the installation of a new instrumentation and control system as well as a site security system, following an earlier memorandum of understanding signed between the two parties in September 2010.

In other news, RusHydro Group announced it has consolidated approximately 25 percent of shares of JSC Krasnoyarsk HPP. The 6,000-MW Krasnoyarsk HPP is the second-largest hydro project in Russia, behind only the Sayano-Shushenskaya hydroelectric project.

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