Projects in Belarus Maxim Zubov Date 21.05.2013 Siemens Belarus
Power Generation in Belarus made by Siemens Gas Turbine installed Steam Turbine installed Gas Turbine under Construction Installed / Under Construction Capacity, MW 852 Novolukoml Vitebsk Lukomlskaya GRES, SGT5-4000F Steam Turbine under Construction Installed / Under Construction Capacity, MW 27 Grodno JSC GrodnoAzot, 4xSGT-300 Minsk Borisov Minsk TPP-2, 2xSGT-600 Borisov RK-3, SGT-800 Borisov RK-3, SST-400 Mogilev Mogilev RK-3, 2xSGT-300 Soligorsk Brest Bereza Berezovskaya GRES, 2xSGT-700 Berezovskaya GRES, SGT5-4000F JSC Belaruskali,2xSGT-300, 2xSGT-700 JSC Belaruskali, 2xATP1-G-5537 Gomel Installed / Under Construction Capacity, MW 879 Siemens Belarus 2
Tender Procedure Tender Stage Comments 1. Prequalification Financial and Commercial documentation Technical details Detailed reference list Bid bond 2. Technical Prequalification Phase Technical clarification 3. Price Negotiation Can be several iteration 4. Contract Negotiation Delivery Customs Credits loan Siemens Belarus 3
Introduction Subject: Location Customer and End user Fuel Financing Partner(s) Background 1 x SGT-800 + on-site services Belarus, Minsk region, Borisov, Zhodino CHP RUE Minskenergo Single; Natural gas 80% - International Bank for Reconstruction and Development 20% - RUE Minskenergo Siemens RE Entry to Order Book Q1 FY 2012 Other Details New GTCC-65 unit shall replace one steam generator (50 t/h) and one hot water boiler (100 Gcal/h) to enhance plant s efficiency. First tender in Jan. 2011. SIT AB submitted SGT-800 indoor package budget proposal to Technopromexport (TPE) local EPC. Tender was declared invalid because only TPE submitted its bid. Current Status Re-Tender is announced. OOO Siemens is requested to submit SGT-800 firm offer EPC Siemens Belarus 4
Customer profile, opportunity profile and Compelling event b2 Minskenergo is one of SIX regional affiliates of Belarus State Electric Energy Company (BELENERGO). Each affiliate operates power generation facilities, grids and district heating network located in its region respectively. b1 Belarus Ministry of Energy BELENERGO Minskenergo Mogilevenergo Grodnoenergo Vitebskenergo Gomelenergo Brestenergo Siemens Belarus 5
Слайд 5 b1 b2 - Describe the customer s project or application. - What are the customer s business objectives for the project? - What is the total cost and/or budget for the project? - How does the project affect the customer s overall business? - And most importantly what is the compelling event, if any, that means the customer has to buy a GT by a certain date. barat00p; 14.11.2006 Describe the customer s business conditions. Include finance, revenue, profit and key performance indicators. Identify the customer s major lines of business, affiliations, products, and markets. Include information about recent mergers and acquisitions. barat00p; 14.11.2006
Customer profile, opportunity profile and Compelling event Opportunity Profile & Compelling event BELENERGO and Minskenergo activities for power generation facilities, grids and district heating network upgrade are regulated by State Program for Power System Modernization. Together with the Governmental support this Program enjoys financial arrangements provided by international financial institutions (World Bank and others). SIEMENS IP references in Belarus: - Grodno Azot (2 x SSC-300x2 in operation), - Belkaliy ( 1xSSC-300, 2xSSC-700 delivery stage) - Mogilev RK-3 repowering (2 x SGT-300, just selected with Technoserv AS EPC) - Minsk CHP-2 (2xSGT-600 in operation) - Beresovskaya GRES (2xSGT-700 in operations) Siemens Belarus 6
Opportunity Profile & Compelling Event Main project idea is to enhance Zhodino CHP efficiency. New GTCC-65 unit shall replace one steam generator (50 t/h) and one hot water boiler (100 Gcal/h). Involvement of the International Bank for Reconstruction and Development (long term credit for 80% of the project cost for 15 years + 3 years deferring of payment) substantially increases its feasibility. Siemens Belarus 7
Site Location Borisov Zhodino CHP is located in Borisov, 80 km North-East of Minsk Siemens Belarus 8
Current Project Set-Up SIT AB SОOО SGT-800 Supply Erection & Commissioning Supervision + Training RUE Minskenergo Siemens Belarus 9
Why shall we offer Local Extended Scope? (For Discussion) The Customer needs complete delivery of the main equipment from GT supplier (Siemens). The Customer is very sensitive to price of equipment. Local Extended Scope is a possible way to win the tender due to more competitive price, DDU delivery, local contract with payments in Euro. Surgutneftegas considers that local content is easier to maintenance. Siemens Belarus 10