01 January 2009

Iraq’s Ministry of Electricity and GE Energy signed an agreement last month for power generation equipment and services valued at nearly $3 billion to provide much-needed electricity to support Iraq’s future economic development.

The contract is a significant milestone as the country seeks to rapidly develop its energy infrastructure and increase its electricity production. Under the agreement, GE Energy is providing heavy-duty frame 9E multi-fuel gas turbines capable of supplying 7,000 MW of electricity. Iraq plans to install the units at key sites around the country to provide needed support for the electricity grid. GE’s 9E gas turbine technology has proven reliability and performance in more than 400 applications worldwide.
“We are honoured that Iraq has chosen GE to support its efforts to expand the country’s energy infrastructure,” said John Krenicki, GE vice chairman and president and CEO of GE Energy. “Electricity is the backbone for quality of life and economic growth. We can bring the strength and dependability of GE’s advanced power generating technology and services to Iraq’s mission to address long-term electricity demand.”
Currently, Iraq’s daily power generation output averages less than 6,000 MW, while the demand is typically more than 10,000 MW. The turbines can provide a platform for power stability helping address electricity shortages and position Iraq for future economic growth.
“GE Energy has been active in the Middle East for many decades, participating in the development of many economies around the region,” said Joseph Anis, GE Energy’s region executive for the Middle East. “We remain committed to the region, applying our global capabilities and experience to assist countries like Iraq in building strong energy infrastructure to support their overall economic and social growth.”
The agreement follows Iraq’s previous order with GE in May 2008 for eight gas turbines capable of generating 600 MW to meet short-term power requirements in Iraq.
As part of the agreement, GE Energy will also provide technical advisory services, performance testing and spare parts to support the reliable operation of the turbines. In addition, GE will provide technical and management training in order to help Iraq strengthen its power sector workforce.
GE has a long history with Iraq, one that dates back to the 1970s. There are 120 GE power turbines installed in Iraq today. Since 2003, GE has been supporting Iraq infrastructure needs in power generation, oil and gas, water processing, aviation, and healthcare. “We are proud of our heritage in Iraq and hope to build on this foundation by continuing this successful partnership well into the future,” concluded Krenicki.

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