GE Energy Signs $730 Million Agreement With EDP (for wind turbines)

GE Energy Signs $730 Million Agreement With EDP

GE Energy has signed an agreement with the renewable area of EDP – Energias de Portugal, SA to supply wind turbines totaling more than 500 megawatts of new capacity for wind projects to be developed during 2008 and 2009 in Europe and the United States. Total value of the agreement will be $730 million, bringing GE Energy’s recent wind turbine order announcements to more than $1 billion.

Under the frame agreement with EDP, GE will:

• Supply Neo Energia, the European renewable branch of EDP, with 80 2.5xl wind turbines for new wind projects in Europe.
• Provide Horizon Wind Energy LLC, EDP’s American branch, with 201 1.5-megawatt wind turbines for projects in the United States, at sites yet to be determined. EDP, Portugal’s largest power group, purchased Houston-based Horizon earlier this month, as part of an expansion into the North American wind energy industry.

Sixty-six of the 2.5xl units will be provided for new wind farms in Spain. These projects are owned by the wind farm developer Neo Energia, EDP’s platform for Europe, which accounts for about 14% of the Iberian wind market. Fourteen of the GE 2.5xl machines will be supplied for a new wind farm located in Belgium, also belonging to an affiliate of Neo Energia. All of the U.S. projects will be owned by EDP-owned Horizon Wind Energy or affiliates. Sixty-seven of the GE wind turbines for the U.S. projects and 30 turbines for the European projects are expected to be commissioned before the end of 2008.