GE Oil & Gas Wins US$500 Million Petrobras Contract

  GE Oil & Gas Wins US$500 Million Petrobras Contract

GE Technology Will be Used on Four New Floating Production, Storage and
Offloading Units (FPSOs), All of Them for the Santos Basin (São Paulo State),
in the Pre-Salt Fields

Business Wire

RIO DE JANEIRO -- January 15, 2013

GE Oil & Gas (NYSE: GE) has won a contract worth more than US$500 million to
supply turbomachinery equipment and services to Petrobras, a world leader in
deep-water oil production. The contract will serve the four new floating
production, storage and offloading units (FPSOs P-74, P-75, P-76 and P-77) in
the Cessão Onerosa region of the Santos Basin pre-salt fields, in the state of
São Paulo.

“Our focus is to seek partnerships like this, where GE can offer its expertise
to support the economic development of Brazil,” said Reinaldo Garcia,
president and CEO of GE Latin America. “The country continues to assume an
increasingly strategic position to the company's business globally, and
Petrobras is one of the most important partners we have.”

The main benefits of GE’s proposal include an aggressive delivery cycle, high
equipment reliability and efficiency, improved performance, emissions control
and extended equipment life. In the pre-salt fields, GE’s technology will face
some of the most challenging conditions.

“This contract with Petrobras demonstrates GE’s technological offshore
leadership and our capacity to face our clients’ most difficult challenges,”
says João Geraldo Ferreira, president and CEO of GE Oil & Gas for Latin
America. “This win was the result of the collaboration between the different
product and business lines at GE, demonstrating the strength of the company’s
integration.”

GE Oil & Gas will supply the main turbomachinery equipment to the four new
FPSOs. The technology will generate primary energy for the FPSOs using gas
turbines and advanced generators, moving gas through pipelines using
compressors and re-injecting CO[2] and natural gas back to the well to enhance
the recovery of the oil. The scope of supply, which also takes in technology
from other GE businesses, such as Power Conversion and Power & Water,
includes:

  *16 powergen turbogenerators composed of PGT25+ gas turbines and electric
    generators.
  *Eight turbocompression trains driven by LM2500+ gas turbines.
  *32 electric motor driven compressors for gas main, export services and
    CO[2] re-injection.

In addition to core equipment, the new contract includes technical assistance
for installation and commissioning start-up and extensive services, such as
repair, dedicated local field service engineers and customer training. As with
previous major Petrobras contracts, significant local components will be
involved. Packaging, testing, logistics and sourcing operations will be some
of the stages carried out entirely in Brazil. The installations where these
operations will be held will start being prepared at the beginning of this
year. GE also will carry out training to supply the necessary competencies to
operate and maintain the equipment. Training will cover 9,600 man-hours.

About GE

GE (NYSE: GE) works on things that matter. The best people and the best
technologies taking on the toughest challenges. Finding solutions in energy,
health and home, transportation and finance. Building, powering, moving and
curing the world. Not just imagining. Doing. GE works. For more information,
visit the company's website at www.ge.com.

About GE Oil & Gas

GE Oil & Gas is a world leader in advanced technologies and services with
35,000 employees in more than 100 countries supporting customers across the
industry—from extraction to transportation to end use. Making the environment,
health and safety, quality and integrity our highest priorities is The Way We
Work. Our technologies and services include: surface and subsea drilling and
production, monitoring and diagnostics, measurement and controls, large-scale
LNG, pipeline compression and inspection, well site and industrial power
generation, technologies for the refining and petrochemical industries, and
modular CNG and LNG units for transportation sectors. Through our customized
service solutions, training programs and technologies, GE Oil & Gas partners
with customers to maximize their efficiency, productivity and equipment
reliability; develop their next generation workforce; and fully benefit from
the megatrends of natural gas, the growth of subsea and hard-to-reach reserves
and the revolution in asset health management.

Follow GE Oil & Gas on Twitter @GE_OilandGas.

Contact:

GE Oil & Gas
Fabio Pianini, +39 055 423 8872
fabio.pianini@ge.com
or
Sean Gannon, +1 212-587-5059
sean.gannon@ge.com
or
Masto Public Relations
Ken Darling or Kate Culman
+1 518-786-6488
kenneth.darling@ge.com
kate.culman@mastopr.com
 
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