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Tognum Expands Asian and Onsite Energy Business

Posted on November 19, 2008

The Tognum group is expanding its Asian business in the area of onsite energy generation. The company reported that a consortium led by Tognum subsidiary MTU Friedrichshafen GmbH will deliver ten emergency power supply gensets using Series 20V956TB33 diesel engines with an electrical power output of 6000 kW for two Chinese nuclear power stations. The order value is at approximately US$82 million. Consortium partners include the joint venture between MTU and the Chinese Norinco Group, Shanxi North MTU Diesel Co. Ltd., and energy generation supplier AREVA NP.

“This contract both serves to expand our onsite energy business, as well as providing a significant contribution to our Asian operations,” explains Volker Heuer, Chairman of the Executive Board and CEO of Tognum AG. “It goes to show that our strategic growth initiatives are paying off.” Other strategic Tognum group drivers include the expansion of the product portfolio in the area of drive and propulsion systems and the focus on the high-margin After Sales business.

Within the consortium, MTU is the main contributor to the development and the engineering of the entire emergency power supply system. A variety of components for the diesel engines and mechanical genset accessories are provided by Chinese suppliers in order to comply with the local content requirements, while other components are manufactured in the MTU plant in Friedrichshafen and by other European suppliers. The gensets will be assembled and tested in the MTU JV’s new factory in Datong, China. The emergency power supply gensets will be delivered from 2011 to 2014.

AREVA NP as the Consortium partner in charge of providing the main electrical portions of the scope also contributed to the local content, by cooperating with Chinese generator manufacturer SEMC.

For more information: WWW.TOGNUM.COM

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