Press Information

MHI Receives Order for Two Steam Turbine Generators
For Haiyang Nuclear Power Plant in China

-- Contract Signed at Diaoyutai State Guesthouse in Beijing --

No.1217
Print

Tokyo, January 31, 2008 - Mitsubishi Heavy Industries, Ltd. (MHI) has received an order from Shandong Nuclear Power Co., Ltd. in China for two packages of a steam turbine generator (STG) for the Haiyang Nuclear Power Plant to be built in Haiyang, Shandong Province. The contract was signed at the Diaoyutai State Guesthouse in Beijing on January 31. The STG packages, proposed by MHI jointly with Harbin Power Equipment Co., Ltd. (HPEC), will be used as turbine generator systems for two 1,200 MWe (electric megawatt) class nuclear reactors. This is the second order from China for STGs for nuclear power plant (NPP) use, following an order for two units for the Sanmen NPP signed in September 2007.

The Haiyang NPP will be built in the city of Haiyang on the southern tip of Jiaodong Peninsula, facing the Yellow Sea. The two power configurations are slated to go on-stream in 2014 and 2015, respectively. The contract calls for the MHI/HPEC team to supply two steam turbines, two generators, and peripheral equipment such as condensers.

The turbines on order are MHI's most advanced high-performance, high-efficiency units with 54-inch class rotating blades. MHI's Takasago Machinery Works will design and manufacture the turbines, including rotors and blades. Mitsubishi Electric Corporation will supply the generators. HPEC will be responsible for turbine casings, piping and associated facilities. Mitsubishi Corporation will handle the trade particulars.

Shandong Nuclear Power, in which China Power Investment Corporation (CPI) holds a 61% equity stake, will build and operate the Haiyang NPP. HPEC is one of three major thermal power generation equipment manufacturers in China, and it boasts a strong record in the supply of boilers, turbines and generators.

In addition to the STGs for the Sanmen NPP, MHI has previously received overseas orders for NPP-use turbine generators for the newly built Laguna Verde NPP in Mexico and the Fourth NPP in Taiwan (two units each) and orders for a replacement turbine rotor for the Vandellos NPP in Spain and the Krsko NPP in Slovenia.

MHI was awarded the new order from China in successful competition against global nuclear power equipment suppliers. MHI believes its success owes not only to its proven track record but also to the high evaluation accorded to its technological expertise, capacity to adapt to the customer's needs, and collaboration with its Chinese partner.

The new order from China, coming on the heels of the Sanmen NPP STG order, is very meaningful as it further solidifies MHI's position for full-scale entry into the Chinese market for new NPPs, which is expected to become increasingly robust in the coming years. On the momentum provided by this latest order, MHI will now further strengthen its marketing activities targeting the rapidly growing Chinese market.