Siemens Energy said it has received an order from state-owned Israeli utility Israel Electric Corp (IEC) for the supply of components for three gas turbine power plants.

The order also contains an option for the supply of components for another power plant.

The plants are scheduled to come on line by the summer of 2010. The order volume is approximately EUR200 million ($256 million).

For the power generating stations Ramat Hovav, Hagit and Eskhol, each with an installed gas turbine capacity of 287 MW, Siemens will supply three SGT5-4000F gas turbines, three air-cooled generators, the exhaust stack and the air intake system. The order also covers the electrical and instrumentation & control equipment for the turbine-generators, fuel conditioning systems and engineering work.

The facilities will initially be operated as gas turbine power plants and then be converted by IEC in a second phase to combined cycle stations.

"Siemens has already outfitted the Haifa, Hagit and Gezer facilities with power plant equipment. Securing the order for the new power plant projects in Israel once again demonstrates that we are making good progress with the expansion of our component business.

"Our advanced gas turbine technology will significantly contribute toward climate-friendly, reliable and at the same time economic power supply in Israel," said Michael Suess, CEO of the Fossil Power Generation Division of Siemens Energy.

"Over the next few years Israel's power demand will rise significantly. Against this backdrop it is important that the country's installed power plant capacity is further expanded.

"IEC will be building five new power plants in the next two years. Siemens is helping us to quickly implement these plans," said Amos Lasker, CEO of IEC.

The Siemens Energy Sector is the world's leading supplier of a complete spectrum of products, services and solutions for the generation, transmission and distribution of power and for the extraction, conversion and transport of oil and gas.

In fiscal 2007 (ended September 30), the Energy Sector had revenues of approximately EUR20.3 billion and received new orders totaling around EUR28.5 billion and posted a profit of EUR1.8 billion. The Energy Sector had a work force of 73,500 at the beginning of fiscal 2008. - TradeArabia News Service