Pipeline Deal In China Powers Rolls-Royce Growth
THE Rolls-Royce group has won two additional major contracts worth more than 120 million US dollars from PetroChina. Rolls-Royce will supply and install power systems on the West-to-East Gas Pipeline Project (WEPP).
The contracts include extension of Rolls-Royce's involvement in the initial WEPP line 1 and the western section of line 2, a second west-to-east pipeline being constructed.
Three RB211-powered gas compressor packages and a single motor-driven compressor have been ordered for line 1 of the WEPP pipeline to increase installed horsepower at various stations along the pipeline. Crossing 10 Chinese provinces from the western Gobi desert to Shanghai in the east, this 4,000-kilometre line has a capacity of 17 billion cubic metres (bcm) of natural gas a year.
In addition, six RB211 compressor packages have been ordered for the 2,450km western section of line 2 that is being constructed to transport gas from the Chinese border with Kazakhstan in the west to Zhongwei, the intersection point between the regions of Ningxia, Gansu and Inner Mongolia.
When completed and fully operational, this line is designed to have a capacity of 30bcm of natural gas a year - broadly equivalent to the annual domestic consumption of natural gas in the UK.
Rolls-Royce has been building a strong presence in civil aerospace, marine and energy in China for more than 45 years. Together with its associate company, International Aero Engines, Rolls-Royce powers more than 400 aircraft of 12 Chinese airlines, including Hong Kong and Macao.
The north-east Asia headquarters of the Rolls-Royce global marine business is based in Shanghai where the company also runs a manufacturing facility. It also has a successful turbine component joint venture in Xian, and is growing its component and materials purchasing in China.
Rolls-Royce also leads the field in developing high quality technical and managerial training programmess with a range of Chinese organisations including government organisations, the Civil Aviation Administration of China, and Aviation Industries of China.
Tony Ruegger, oil and gas vice-president for the Rolls-Royce energy business, said: "We are very pleased to once again be selected by PetroChina to provide Rolls-Royce power and compression equipment for their growing pipeline network. These latest orders emphasise the increasing success of Rolls-Royce equipment and expertise in China, one of the world's most important energy markets."
The contracts increase the number of RB211 gas turbine packages ordered for the original WEPP line to19 and the number of motor-driven units to six. Fifteen RB211 sets and five motor-driven compressors are already in operation, and an additional RB211 set is undergoing installation.
Total operating experience now exceeds 250,000 hours, with one engine installed at station one, Lunnan, Xinjiang Province, having recorded more than 23,000 hours.
The gas compressors for all nine newly ordered gas turbine packages plus the single motor drive unit will be model RFBB-36, also designed and manufactured by Rolls-Royce.
The UK group employs about 38,500 skilled people in offices, manufacturing and service facilities in 50 countries. Businesses are headquartered in the UK, US, Canada, Germany, Scandinavia, Singapore and China.
Rolls-Royce today has a broad customer base comprising more than 600 airlines, 4,000 corporate and utility aircraft and helicopter operators, 160 armed forces, more than 2,000 marine customers, including 70 navies, and energy customers in nearly 120 countries, with an installed base of 54,000 gas turbines.




























