MHPS Receives Order for Two H-25 Gas Turbines for Major Chinese Paper Firm Lee & Man Paper Manufacturing Ltd. -- Core Equipment for a 62MW Class Natural Gas-Fired Cogeneration Facility at the Company’s Dongguan Factory --

･ Private generation facility, operations to start in 2020
･ System to provide high-efficiency and eco-friendly power, in response to stricter environmental regulations and measures promoting the use of natural gas

YOKOHAMA, JAPAN (May 15, 2019) - Mitsubishi Hitachi Power Systems, Ltd. (MHPS) has received an order for two H-25 gas turbines from Lee & Man Paper Manufacturing Ltd., a major Chinese paper manufacturing company, for a factory at its headquarters in Dongguan, Guangdong Province.

The units will be utilized as the core equipment of a natural gas-fired cogeneration system. This non-utility generation facility will have an output of 62 megawatts (MW) of electric power, as well as provide steam for the 150 tons per hour (t/h), during duct-firing, to the manufacturing process through a heat recovery boiler utilizing the exhaust from the gas turbine. Operations are scheduled to start in 2020.

As with the previous H-25 gas turbine project orders received from Chinas, this order was placed through Harbin Guanghan Gas Turbine Co., Ltd. (HGGT), a member of China Shipbuilding Industry Group, a major producer of ships and marine machinery. Positive results from conventional projects led to this latest order.

The facility for this order is a co-generation, non-utility power plant comprising the H-25 gas turbines, heat recovery boilers, and auxiliary equipment. MHPS will supply the main and auxiliary machinery for the gas turbines through HGGT, and dispatch engineers to the site to oversee installation and provide guidance during commissioning.

Lee & Man Paper Manufacturing, listed in Hong Kong in 2003, is a large-scale paper manufacturing company conducting business in China and other parts of Asia. In addition to the Dongguan factory where these gas turbines will be installed, the company has manufacturing locations in Guangzhou, Jiangsu Province, Jiangxi Province, Chongqing, and Southern Vietnam. The Dongguan factory currently has a coal-fired boiler to provide electric power and steam, but is switching to a gas turbine co-generation system in response to stricter environmental regulations in the Chinese market, and measures to promote the use of natural gas. The new system will enhance operational efficiency, and help curb the environmental load.

The H-25 is a heavy-duty gas turbine(Note) with outstanding reliability confirmed by its record of long operating hours. Since the initial order in 1987, MHPS has established a solid track record of operating performance, selling more than 180 units worldwide (including this latest order). In March, MHPS concluded a technology licensing agreement (TLA) with China Shipbuilding Industry Group, the same as with HGGT, and began licensing the H-25 system. This arrangement is expected to further enhance MHPS's presence in the Chinese market.

MHPS provides total solutions in thermal power generation with a full range of products, from high-efficiency, large-capacity power generation systems to energy-saving systems for industrial applications, using small to medium-sized gas turbines. Going forward, MHPS will continue to offer the H-25 gas turbine for the large-scale power generation market, as well as proactively market it as the standard in energy-saving systems for industry and distributed power generation. By precisely meeting the varied needs of customers, MHPS will contribute to economic development and the lessening of environmental loads in countries and regions worldwide.

• Heavy-duty gas turbines are designed to maintain steady output over long-term, continuous operation, while also allowing for easier and less frequent maintenance.