Wärtsilä to deliver its largest power plant project ever - close to EUR 200 million order from Brazil

Wärtsilä Corporation, Stock exchange release, 14 May 2010 at 09:00 UTC+2

Wärtsilä, a leading global supplier of decentralised power plant solutions, has been awarded a major contract for building a power plant in Brazil. This turnkey contract is valued at close to EUR 200 million and the plant will have an electrical output of 380 MW. The order is taken into Wärtsilä’s order book during the second quarter 2010. Commercial operation of the power plant is scheduled for January 1, 2012. This project represents the largest power plant ever built by Wärtsilä anywhere in the world.

The order has been placed by Energética Suape II SA, a company jointly owned by CIBE Participação SA and Petrobras. An Operations and Maintenance (O&M) contract is also under negotiation between Wärtsilä and the customer.

“The high overall efficiency of the Wärtsilä engines, together with the company’s ability to provide a total power solution, including operation and maintenance if required, were key factors in us selecting Wärtsilä. Furthermore, as Wärtsilä already has a number of large power plants in the area, the company can readily deliver us strong local support,” explains Mr. Wilson Brasil, President of Energética Suape II SA.

The plant will be powered by Wärtsilä 20V46 generating sets, running on heavy fuel oil. The electricity will be fed to the national grid to supplement the country’s primarily hydropower generation, which is subject to seasonal fluctuations. Hydro power accounts for some 90 percent of Brazil’s electricity production. The customer’s specific requirements are for a power plant capable of providing fast response to the changing grid load needs. Wärtsilä’s flexible solution is ideally suited for this kind of application.

The new power plant will be built in the Suape industrial district of the town of Cabo in the province of Pernambuco, North Eastern Brazil. Wärtsilä has delivered or has under construction a total of 22 power plants in Brazil. These power plants, together with this new order, will produce a combined generating capacity of more than 2000 MW.

For further information, please contact:

Mr Vesa Riihimäki
Group Vice President
Wärtsilä Power Plants
Tel: +358 40 50 45929

Mr Atte Palomäki
Group Vice President, Communications & Branding
Wärtsilä Corporation
Tel: +358 40 547 6390

For investor information, please contact:

Ms Josephine Mickwitz
Director, Investor Relations
Wärtsilä Corporation
Tel: +358 400 784 889

Wärtsilä in brief

Wärtsilä is a global leader in complete lifecycle power solutions for the marine and energy markets. By emphasising technological innovation and total efficiency, Wärtsilä maximises the environmental and economic performance of the vessels and power plants of its customers. In 2009, Wärtsilä’s net sales totalled EUR 5.3 billion with more than 18,000 employees. The company has operations in 160 locations in 70 countries around the world. Wärtsilä is listed on the NASDAQ OMX Helsinki, Finland.