MHI Receives Full-turnkey Order to Build Coal-fired Power Plant in Chile

The plant now on order will be built in Huasco, approximately 700 kilometers north of Santiago, Chile's capital. It will be situated adjacent to the four units previously delivered by MHI, and will consist of a boiler, steam turbine, generator, steam condenser, and removal systems for sulfur oxides (SOx) and nitrogen oxides (NOx), and particular materials. MHI will manufacture and supply all major equipment except the generator and electrical equipment. The company is also responsible for construction work at the site. The generator and electrical equipment will be manufactured and supplied by Mitsubishi Electric Corporation.

MHI attributes its winning of Guacolda's order for a fifth unit to the utility's high evaluation of the company's diverse capabilities: specifically, the environmental performance of its power plants, which comply with Chile's increasingly tight emission controls; its swift delivery schedules, which consistently meet the demands of power suppliers; and the proven operational record of its previously delivered power plants, in addition to the company's EPC (engineering, procurement and construction) project execution ability.

Due to rising international copper prices and other contributing factors, Chile's real gross domestic product (GDP) grew 6.1% in 2010 and 6.0% in 2011; and steady expansion is expected to continue in 2012 also. This economic growth is driving robust growth in the nation's demand for electricity.

Going forward, MHI looks to further strengthen its marketing activities in Central and South America, especially in Chile in response to that country's steady economic development.