Kawasaki to Provide Two 150 MW Steam Turbine Power Facilities to Factory in Indonesia

Tokyo, April 25, 2016 — Kawasaki Heavy Industries, Ltd. announced today that it has received an order from Taiwanese company Formosa Heavy Industries Corp. (FHI) for two 150 MW class steam turbine power generation facilities. The equipment will be used at a factory belonging to PT Asahimas Chemical (ASC), an Asahi Glass Co., Ltd. subsidiary in Indonesia.

This steam turbine equipment will be installed at ASC's new high-efficiency, coal-fired power station to be built in their factory in Cilegon City, Banten Province, Indonesia. Kawasaki will provide two sets of steam turbine equipment for power generation purposes, each with a generation capacity of approximately 150 MW, which is the largest power output achieved by a Kawasaki-made steam turbine. ASC is making efforts to strengthen its factory's production capacity for caustic soda (NaOH), polyvinyl chloride (PVC) and other such products, and by installing these new high-efficiency power generation facilities the company aims to achieve major power-cost reductions while mitigating the environmental impact of their operations. Kawasaki plans to ship the first set of steam turbine equipment at the end of May 2017 and the second set at the end of September 2017.

FHI is the core company in the Formosa Plastics Group, the largest private-sector corporate group in Taiwan. The company undertakes engineering projects for power plants and other plant facilities, manufactures boiler equipment, and pursues other such operations. FHI has a wide range of experience in these fields, particularly within the Southeast Asian market.

Kawasaki manufactured its first industrial steam turbine equipment in 1956 and has completed and delivered more than 370 such facilities to this day. FHI decided to order turbine facilities from Kawasaki based on high overall evaluation of the latter's turbine equipment performance, life-cycle costs, follow-up services and other strengths.

Moving forward, Kawasaki plans to leverage its advanced technological capabilities and customer trust earned through a wide range of successful product deliveries in order to secure new orders and boost sales in areas such as private power generation systems and equipment for independent power producers (IPPs), all as part of efforts to expand business activities in the energy and environment fields.