ABB wins $27 million power contract in Kuwait

Substation will connect new petrochemical complex to national grid

Zurich, Switzerland, November 7, 2005 - ABB, the leading power and automation technology group, said today it has won a $27 million order to install a 275-kilovolt substation in Kuwait.

The contract is with EQUATE Petrochemical Company, a joint venture of the Kuwaiti government and private petroleum companies manufacturing plastics and chemicals. The project will bring electrical power from the Kuwaiti grid to a new ethylene and derivatives petrochemical complex called Olefins II.

"ABB industrial substation solutions provide reliable, stable power systems for important projects like this one," said Peter Smits, head of ABB's Power Technologies division. "Our short delivery time was one of the main reasons for winning the contract." ABB booked this order in the third quarter of 2005.

A consortium led by ABB and including Japanese cable manufacturer EXSYM will execute the project, worth $62 million in total. Limited space in the complex and strict safety requirements led to the selection of ABB's gas insulated technology, which allows a very compact substation design.

The contract scope is for design, manufacture, erection and commissioning of 275-kilovolt and 33-kilovolt switchgear, power transformer, control, protection and substation automation systems.

The Olefins II complex is in the Shuaiba Industrial Area about 60 kilometers from Kuwait city, and includes an ethylene plant with an output of 600,000 metric tons per annum and an ethane cracker with an output of 850,000 metric tons per annum.

ABB also recently won a contract to refurbish Doha West, one of the largest desalination and steam power plants in Kuwait, providing one quarter of the country’s power and more than 150 million cubic meters of drinking water per year.

ABB (www.abb.com) is a leader in power and automation technologies that enable utility and industry customers to improve performance while lowering environmental impact. The ABB Group of companies operates in around 100 countries and employs about 103,000 people.

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    A reliable power supply is key for petrochemical processes. ABB's gas-insulated substations are compact and reliable.

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