BEIJING -
Caterpillar Inc, based in Peoria, Illinois, has
been selected to provide 60 methane-gas-powered
generator sets to produce 120 megawatts of power
at the Sihe Coal Mine in Jincheng City, located in
China's Shanxi province.
The Shanxi Jincheng Anthracite Coal Mining
Group Co Ltd is the project developer for the
methane gas power project, which is
expected to be the largest of
its kind in the world when it is fully
operational.
"The residents of Shanxi
province will benefit from this power plant, which
is a great example of the progress that is
possible when companies like Caterpillar and its
dealers work closely with industry and
government," said Stu Levenick, Caterpillar group
president with responsibility for China. "This
project will improve environmental and economic
conditions and mine safety, while increasing trade
between the United States and China."
Methane gas is found in coal seams and can
be hazardous if not properly managed and
ventilated from mines. The power plant project is
expected to improve methane gas ventilation at the
mine site, improving safety while providing an
environmentally friendly fuel source to generate
electricity.
Historically, the methane has
been vented into the atmosphere, generating
greenhouse gas emissions. By capturing the
previously vented methane gas and converting it
into electricity, the Caterpillar generator sets
will significantly reduce greenhouse gas emissions
while also improving the capacity of the local
power grid. It's estimated the project will reduce
greenhouse gas emissions by 4.5 million tons over
a 20-year period.
"Caterpillar has a
strong commitment to safety and environmental
stewardship, and we are honored to be a partner in
this important project supporting China's efforts
to pursue sustainable economic development,"
Levenick added.
It is anticipated the
planned power generation plant at the Sihe Coal
Mine will use 60 Caterpillar G3520 generator sets,
paralleling switchgears and four steam turbines
driven by recovered exhaust heat to produce 120
megawatts of power. Project partner Shanghai Electric Group
Co Ltd will provide the steam turbines.
The entire methane-fired power plant is
expected to be fully operational in 2007.
Caterpillar will work closely with dealer WesTrac
China Limited on product commissioning and ongoing
support for this project. "For more than 20 years,
our Lafayette, Indiana, Large Engine Center has
produced the 3500 series of engines for use in
electric power projects all over the world," said
Bill Rohner, Caterpillar vice president with
responsibility for the Electric Power Division.
"The engines that will be the heart of this coal
methane power plant have a proven track record and
will provide years of dependable electricity for
the people of Shanxi province," Rohner said.
Caterpillar, founded in 1925, has a long
history in China. The company sold its first
products there in 1975 and opened an office in Beijing in 1978. Beijing
is home to Caterpillar's marketing headquarters
for China, and it is also the headquarters for Cat
China Financial Leasing. In the 1980s, Caterpillar
launched technology transfer agreements with
Chinese manufacturers who began building
Caterpillar licensed products.
Caterpillar's expansion in China
accelerated in the early 1990s with the
establishment of a more significant local
production strategy. Today, Caterpillar operates
13 facilities - both joint-venture and
wholly-owned businesses - which, together with its
network of independent Caterpillar dealers, offer
Caterpillar products and services to customers in
China.
With 2005 sales and revenues of
US$36.339 billion, Caterpillar is a leading
manufacturer of construction and mining equipment,
diesel and natural gas engines and industrial gas
turbines.
