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MHI Receives Order for Two 800 MW Supercritical-Pressure Steam Turbines
For Andhra Pradesh Power Development Company Limited of India

No.1283
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Tokyo, February 13, 2009 - Mitsubishi Heavy Industries, Ltd. (MHI) has received an order for two 800 megawatt (MW) supercritical-pressure steam turbines* for Andhra Pradesh Power Development Company Limited (APPDCL) of India. The two turbines, slated for delivery in late 2010, are for APPDCL's Krishnapatnam Thermal Power Project in Andhra Pradesh state, in southeastern India. The new coal-fired power station to be built near Krishnapatnam is aimed at easing tight electricity supplies associated with the country's robust economic growth.

MHI will supply the steam turbine components, Mitsubishi Electric Corporation (MELCO) the generator components, to L&T-MHI Turbine Generators Private Limited in Mumbai, a joint venture established by MHI, Larsen & Toubro Limited (L&T) and MELCO in 2007 to manufacture and market steam turbines and generators. The joint venture will manufacture and supply the steam turbines as its first product. L&T is a high technology-driven engineering and construction organization and one of the largest companies in India's private sector.

Supercritical-pressure coal-fired power generation uses higher steam temperatures and pressures than subcritical-pressure power generation, and is more fuel-efficient and friendlier to the environment. By reducing coal consumption relative to power output, carbon dioxide (CO2) emissions can be reduced. However, supercritical type generation requires more sophisticated technology in equipment design to withstand the high temperature and pressure levels, and machining of high-strength component materials is more difficult. MHI has vast experience with these systems, having already delivered many units in Japan and abroad.

India averaged 6% real GDP growth throughout the 1990s, and the pace has subsequently accelerated further, reaching roughly 9% in fiscal 2007 on expanding domestic demand. In the current fiscal 2008, although a slowdown amid the global financial crisis is expected, the country's growth rate is projected to remain at around 7%. Along with economic development, India's gap between electricity supply and demand has become increasingly serious. To cope with this energy supply issue, many large-scale coal-fired power plant construction projects are under way in various regions of India.

MHI has been responding to India's energy situation through its aforementioned local JV and through aggressive marketing activities in the country together with L&T. With the gathered momentum gained through the latest order, going forward, MHI will further strengthen its activities to develop the market for highly efficient supercritical-pressure steam turbines and boilers in India, where many projects to construct thermal power generation plants are planned. In this way, it looks to contribute to the global effort to combat environmental issues.


Note: Supercritical turbines are engineered to operate at steam pressures above water's critical point: 22.1MPa (about 220 times greater than normal atmospheric pressure) and 374.2°C (705.2°F/647.15°K). Specifically, the turbine will be operated in the environment of about 250 atmospheric pressures.