Press Information
Tokyo, May 19, 2011 - Mitsubishi Heavy Industries, Ltd. (MHI) has received an order from POSCO Power Co., Ltd., the largest independent power producer in Korea, for two sets of gas turbine combined-cycle (GTCC) power generation plant equipment to fire by-product gases at POSCO's Pohang Works. Each power plant has a capacity to generate 145 megawatts (MW), making for a collective capacity of 290 MW. The equipment will be delivered between 2012 and 2013. The order represents the third from POSCO for GTCC power plants firing by-product gases from iron-making furnaces; it brings the cumulative number of GTCC plants ordered to MHI to five units, with collective power generation capacity of 720 MW.
The power plants will be operated by POSCO Power. MHI will be responsible for the design and manufacture of the gas turbines, steam turbines, gas compressors and electrostatic precipitators (dust collectors) - the core equipment of the power generation facility - as well as peripheral equipment. Mitsubishi Electric Corporation will supply the generators and Mitsubishi Corporation will handle the trade particulars.
Earlier, in 2005 MHI received an order from POSCO for a 146 MW FINEX gas-fired GTCC plant for the Pohang Works; this was followed by an order in 2008 for two blast-furnace-gas (BFG) fired GTCC plants for the company's Gwangyang Works. All three power plants have already gone into operation.
Because by-product gases of iron works have a lower calorie heating value than natural gas, which is widely used for GTCC power generation, stable operation of by-product-gas fired gas turbines requires advanced combustion technology. MHI established its proprietary BFG-GTCC power generation technology in the 1980s, including the development of dedicated BFG combustors. The company has an abundant track record in the delivery and operation of by-product-gas GTCC plants throughout the world and currently enjoys approximately 60% share of the global market. MHI believes this track record and its technological lead contributed greatly to the company's winning of the new order from POSCO, in combination with full marks given to the outstanding reliability, efficiency and economy of MHI equipment.
As global demand for steel continues to expand amid the rapid economic growth of emerging nations, steelmakers worldwide are focusing on enhancement of their production facilities and related efficiency. At the same time, all companies are keen to save energy and lighten environmental burdens in the iron-making process. Going forward MHI intends to further strengthen its by-product-gas fired GTCC power plant marketing activities as the technology and solution to satisfy these needs.
Note: The FINEX process requires neither coking of coal nor sintering of iron ore. It is expected to enable reductions in facility investment and production costs, including raw material costs, compared with conventional blast furnace processes.
About MHI Group
Mitsubishi Heavy Industries (MHI) Group is one of the world’s leading industrial groups, spanning energy, smart infrastructure, industrial machinery, aerospace and defense. MHI Group combines cutting-edge technology with deep experience to deliver innovative, integrated solutions that help to realize a carbon neutral world, improve the quality of life and ensure a safer world. For more information, please visit www.mhi.com or follow our insights and stories on spectra.mhi.com.