Industrial & Marine Turbine Forecast

Siemens Demag Delaval Tornado

10 Year Unit Production Forecast2004 - 2013

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

Years

0

5

10

15

20

25Units

9 10 15 19 23 23 22 21 19 19

Orientation

Description. The Tornado is a single-shaft/twin-shaft axial-flow industrial gas turbine machine in the 6-7 MW class.

Note: In April-August 2003, the Siemens Power Generation Group (PG) acquired the industrial turbine business of Alstom SA, Paris, France, in two transactions. In the first transaction, Siemens took over the small (up to 15 MW) gas turbine machine business. In the second transaction, it acquired the medium-sized (up to 50 MW) gas turbine machine and steam turbine (up to 100 MW) machine businesses. After completion of the transactions, Alstom Power was melded into PG’s Industrial Applications Division, with the name Demag Delaval Industrial Turbomachinery Limited; that division’s headquarters is in Duisberg, Germany.

In this report, Siemens’ Demag Delaval Industrial Turbomachinery Limited entity is referred to DDIT.

Sponsor. The Tornado was privately developed by the then-Ruston Gas Turbines Limited, an entity that

later became a part of European Gas Turbines Limited, the latter of which later became a unit of Alstom.

Power Class. The power output/rating of the Tornado is 6.75 MWe for electrical generation, and 10,300 bhp (7,680 kW) for mechanical load drives.

Status. In production.

Total Produced. At the start of 2004, at least 230 Tornado machines had been built and installed.

Application. Electrical generation, including cogeneration; mechanical load drives, including gas compression and pumping.

Price Range. Estimated in 2004 U.S. dollars at US$2.6-$2.8 million for a Tornado-equipped gas turbine generator package, and US$2.4 million-$2.6 million for a gas turbine-equipped mechanical driver package.

For electrical generation, prices in 2004 calendar year U.S. dollars are for a basic electric power skid-mounted generator package including one simple-cycle (open

October 2004

Outlook Projected production should be split two-thirds for mechanical

drive and one-third for electrical generation

Machine’s availability with DLE combustion systems for low NOx levels will add to its appeal for electrical generation

Use of Tornado on FPSO vessels seen as new market arena for this very capable machine

cycle) single-fuel gas turbine, air-cooled electric generator, skid and enclosure, inlet and exhaust ducts with silencers, standard control and starting systems, and a conventional combustion system.

For mechanical drive gas turbines, prices in 2004 calendar year U.S. dollars are for a basic natural gas-fired skid-mounted simple-cycle (open cycle) gas turbine prime mover equipped with inlet and exhaust ducts, exhaust silencer, acoustic enclosure, standard

engine controls, and basic auxiliaries needed for an operational installation.

Competition. The DDIT Tornado competes most actively in the electrical generation arena against the Kawasaki M7A-02, Solar Taurus 70, and the Zorya-Mashproekt UGT-6000 (Orenda GT6001).

In the mechanical load drives arena, the Tornado competes most actively against the Solar Taurus 70.

June 1996

ContractorsSiemens AG (Demag Delaval Industrial Turbomachinery Limited [DDIT]), http://www.pg.siemens.com, Waterside South, PO Box 1,

Lincoln, LN5 7FD England, United Kingdom, Tel: 44 1522 584000, Fax: 44 1522 584900, Prime

Hitachi Limited, http://www.hitachi.com, 6, Kanda-Surugadai 4-chome, Chiyoda-ku, Tokyo, 101-8010 Japan, Tel: 81 3 3258 1111, Fax: 81 3 3258 2507, Licensee

Takuma Company Limited, http://www.takuma.co.jp, 2-2-33 Kinrakuji-cho, Amagasaki-shi, Hyogo, 660-0806 Japan, Tel: 81 6 6483 2609, Fax: 81 6 6483 2751, Licensee

Altair Filters International Limited, http://www.altairfilter.com, Omega Park, Alton, GU34 2QE Hants, England, United Kingdom, Tel: 44 1420 541188, Fax: 44 1420 541298 (Acoustic Equipment)

Voith Turbo GmbH & Co KG, http://www.variable-speed.com, PO Box 1555, Crailsheim, 74555 Germany, Tel: 49 7951 32 0, Fax: 49 7951 32 500, Email: vs.drives@voith.com (Type PT 90 SP Gear Units)

Wood Group Fuel Systems Limited, http://www.johnwoodgroup.co.uk, Wellshead Industrial Estate, Unit 22, Aberdeen, AB21 7GA Scotland, United Kingdom, Tel: 44 1224 255800, Fax: 44 1224 255805 (Fuel Nozzles)

Technical DataDesign FeaturesAxial Compressor. A 15-stage axial-flow compressor of subsonic design provides a pressure ratio of 12.3:1 for the single-shaft model, and 12.6:1 for the twin-shaft model. Compressor blades and stator vanes are of 17-4 PH steel, while the discs are forged of Jethete 152 material (1.5 percent Ni-Cr-Mo steel). Cast-iron compressor casing is horizontally split for easy access and maintenance.

The gas turbine has variable inlet guide vanes and stators for smooth startup and reliable part-load performance. Segmented compressor turbine stators are provided for the single-shaft model. Power turbine stator stages are cast as a complete ring.

Combustor. The combustor has eight reverse-flow tubular combustion chambers that are positioned circumferentially to allow easy removal. The combustor casing is split vertically to provide access. Chambers are made of Nimonic 75, and use film cooling. For the conventional combustion arrangement, there are two retractable high-energy igniters, and cross lighting between chambers is featured.

For the Dry Low Emissions (DLE) combustion arrange-ment, there are high-energy igniters in each combustor. For the single-shaft machine, steam injection is an option for power enhancement.

Turbine. The turbine features a two-stage high-efficiency design. Both versions have a two-stage overhung compressor turbine in which the first two blade rows are air cooled.

For the single-shaft Tornado, the power turbine is mechanically coupled to the compressor turbine.

For the two-shaft machine, the Tornado has a two-stage high-efficiency free power turbine in which the Stage 2 rotor blades have interlocking shrouds for mechanical

integrity. The power turbine rotates in a counter-clockwise direction when viewed from the driven equipment item.

The power turbine has a maximum continuous design speed of 11,525 rpm and minimum design speed down to 7,000 rpm. Flexible coupling joins the compressor turbine and power turbine assemblies. Two-stage power turbine has solid blades cast of IN713LC; blades are unshrouded. Segmented nozzles are standard with four vanes per segment. Discs are of austenitic chrome steel (FV 488E), connected by a single center bolt. Nozzle segments are cast in IN713LC.

Fuel System. Both variants of the Tornado can operate on natural gas or distillate fuel, with a dual-fuel capability available. The ability to burn nonstandard fuels is optional. The machine variants have an automatic changeover capability allowing the change from primary to secondary fuel at any load.

Exhaust Emissions Control. The Tornado is available with a single- or a dual-fuel Dry Low Emissions (DLE) combustion system, with VGV modulation for part-load emissions control. DLE NOx levels are <25 ppm on gas fuel. Steam or water injection can also be used for emissions control on conventional combustion.

Bearings. Tilting pad journal and thrust bearings are standard.

Gearbox. The single-shaft Tornado features hot-end drive via an integral speed-reducing gearbox. Output speeds of 1,500 rpm and 1,800 rpm are available to meet 50 Hz and 60 Hz operation.

For the two-shaft Tornado, there is direct drive of compressors without a gearbox for full load speed from 8,000 rpm to 11,500 rpm. Gearbox options are available for other mechanical drive applications. The

auxiliary gearbox is mounted directly off the compressor inlet bearing housing.

Lubrication. Standard equipment includes an integral lubricating oil system, a gearbox-driven pump, an AC motor-driven pump, and a DC motor-driven emergency pump.

Starting. Starting is normally accomplished by a variable-speed AC motor.

Control System. The machine is equipped with a Rustronic Series 3000 PLC-based system with local control and processing capability installed on the under base structure.

Dimensions. Approximate dimensions and weights of a DDIT Tornado (single-shaft) power generation package (typical standard equipment) are as follows:

GENERATOR SET

Metric Units English Units Length (with package-mounted controls) 12.5 meters 41 feetLength (without package-mounted controls) 10.9 meters 35.75 feetWidth 2.4 meters 7.83 feetHeight (to top of enclosure) 3.3 meters 10.83 feetWeight 56 250 kg 124,000 pounds

Approximate dimensions and weights of a DDIT Tornado (twin-shaft) compressor package and pump package (typical standard equipment) are as follows:

COMPRESSOR PACKAGE PUMP PACKAGE

Metric Units English Units Metric Units English Units Length 10.5 meters 34.41 feet 10.4 meters 34.08 feet Width 2.4 meters 7.83 feet 2.4 meters 7.83 feet Height (to top of enclosure) 3.4 meters 11.16 feet 3.4 meters 11.16 feet Weight 43 000 kg 94,798 pounds 38 000 kg 83,775 pounds

Performance. Approximate performance parameters of a DDIT Tornado for electrical generation are as follows:

ELECTRICAL GENERATION

Equivalent Metric Units English Units

Output (ISO Base Load) 6.75 MWe 9,050 shpHeat Rate 11 419 kJ/kWh 10,823 Btu/kW-hrPressure Ratio (ISO) 12.3:1 12.3:1Compressor Speed 11 053 rpm 11,053 rpmTurbine Inlet Temperature 996°C 1,824°FAir Flow (ISO) 29.0 kg/sec 63.9 lb/secExhaust Temperature 466°C 870°F

Approximate performance parameters of a DDIT Tornado for mechanical load drive duty are as follows:

MECHANICAL LOAD DRIVE

Metric Units English UnitsOutput (ISO Base Load) 7,680 kW 10,300 bhpHeat Rate 10 746 kJ/kWh 7,595 Btu/shp-hrPressure Ratio (ISO) 12.6:1 12.6:1Compressor Speed 11 100 rpm 11,100 rpmTurbine Inlet Temperature 1036°C 1,896°FAir Flow (ISO) 29.3 kg/sec 64.6 lb/secExhaust Temperature 490°C 914°F

June 1996

Variants/UpgradesThe DDIT Tornado gas turbine machine is available in a single-shaft arrangement for electrical generation and in a two-shaft arrangement for various mechanical load drives.

Program ReviewBackground. The prime manufacturer of the Tornado gas turbine machine is Siemens DDIT. The Tornado is manufactured in Lincoln, England, U.K.

Firms that have been licensees or associates on the Tornado program include the following: Hitachi Limited; Tokyo, Japan Stewart & Stevenson Services Incorporated;

Houston, Texas, USA Takuma Company Limited; Hyogo, Japan

Ruston Gas Turbines began developing the Tornado in 1977. The Tornado is a two-shaft machine that can easily be converted to a single-shaft unit for generation applications. It borrows heavily from the design of the TB5000 series, with the exception of the freestanding accessory gearbox (included is the use of air-cooled turbine components to achieve higher turbine inlet temperatures and improved efficiency).

The single-shaft arrangement is achieved by fitting a coupling between the compressor turbine and power turbine rotor, and is intended for generator drive with output shaft speeds of 1,800 rpm and 1,500 rpm to suit 60 Hz and 50 Hz cycle machines. The output shaft speeds of the two-shaft engine are designed to drive gas compressors in the range of 7,500 rpm to 12,000 rpm, and to drive centrifugal pumps at 3,000 rpm, 3,550 rpm, or 6,000 rpm.

The Tornado design is uniquely simple, employing a single rotor with heavy duty casings, allowing full site maintenance to be carried out.

Power Generation. The generator set package is very compact, providing a small footprint and a high power-to-weight ratio.

The single-shaft configuration provides excellent load acceptance and rejection characteristics, allowing robust and reliable operation in all applications.

Industrial Power Generation. The Tornado is the ideal unit for industrial power generation, particularly in cogeneration or combined heat and power. In applications where the Tornado’s high temperature exhaust is passed through a waste heat recovery unit or

boiler, overall thermal efficiency of up to 95 percent can be achieved.

Steam or hot water generated is used in industrial process or district heating schemes. The steam raised may also be used in small-scale combined cycle applications in conjunction with a steam turbine. Alternatively, exhaust heat may be utilized for drying of industrial products.

Power Generation in the Oil and Gas Industry. The Tornado’s compact arrangement, on-site maintain-ability, and inherent reliability have made it the gas turbine of choice for the oil and gas industry. The Tornado is employed on offshore platforms and Floating Production Storage and Offloading (FPSO) vessels worldwide.

Onshore, the Tornado is the ideal power generator for oil field service, refinery application, emergency and standby power generation. Cogeneration in the oil and gas industry provides highly efficient solutions for crude oil and glycol heating as well as steam generation.

Dry Low NOx. Alstom had, for several years, been working on a dry low NOx combustor system for all its small industrial machines. Its system was a hybrid premix combustor that could meet current and planned European Union (EU) NOx emission standards. Over 600 hours of rig testing were carried out in 1993 on wet/dry low NOx systems. High-pressure rig and engine testing continued through 1994, with the Typhoon becoming the first EGTL machine to be sold with the DLN system in 1994. Sales of the DLN system on Tornado began in 1995.

Tornado Mobile Power Package. In 1979, Ruston introduced the mobile power station incorporating its already-popular TB5000. The Nomad 10, using a single Tornado gas turbine machine, had a rating of 5.9 MW. The Lincoln-based firm launched the Nomad 10 with an eye to the market in southern Asia for mobile power generation.

Steam Injection. EGTL/Alstom developed steam injec-tion systems for several of the machines in its product line, including the Tornado and TB5000. The systems

June 1996

were originally designed to reduce NOx emissions levels from exhaust gases through the introduction of high-pressure steam into the gas turbine’s combustion chamber. EGTL’s work has demonstrated that improvements in performance can be achieved: up to 55 percent increase in power, with efficiencies of approximately 40 percent. In addition to steam injection for the Tornado and TB5000, water injection systems are available.

The 6.75 MWe Tornado unfired heat recovery steam generation has an exhaust gas mass flow of 29.0 kg/sec at 472°C. The gas temperature leaving the boiler is 120°C. The mean specified heat is 0.26 kcal/kg/°C.

Mechanical Drive. The mechanical drive package is very compact, providing a small footprint and a high power-to-weight ratio.

The twin-shaft configuration provides excellent speed and load turndown characteristics to allow maximum flexibility of operation.

Compressor Applications. Due to the high output speed of the power turbine and its ability to operate at full load at reduced speed, most compressor drive applications can be met without the need for a speed changing gear between the power turbine and gas compressor.

The Tornado offers exceptional performance for the drive of centrifugal compressors for gas injection, pipeline transmission and boosting, gas processing, and refrigeration applications. Where required, the exhaust heat of the Tornado can be recovered for process provision, thus raising overall efficiency.

DDIT offers a completely integrated gas compression package solution with common control and auxiliary systems. Alternatively, Tornado driver packages are available for customer integration.

Pump Applications. The Tornado gas turbine provides an ideal drive solution for pumping applications. These include crude oil and product transmission and water injection. Drive from the power turbine is usually via a speed-reducing gearbox. The excellent load-speed characteristics of the Tornado provide operators with maximum flexibility for flow turndown and pressure control.

DDIT offers a completely integrated pump package solution. Alternatively, Tornado driver packages are available for customer integration.

Licensees. Hitachi in Japan has installed at least eight Tornado machines, all for generation duty, in Japan. Takuma has installed two machines in Japan. Stewart & Stevenson installed 15 machines, including eight machines in Brazil.

FundingFrench, U.K. or U.S. government funding, if any, specifically pertaining to the DDIT Tornado gas turbine machine has not been identified.

Recent ContractsNo military contracts specifically pertaining to the DDIT Tornado have been awarded or have been received during the past year.

Recent Sales. Recent non-military contracts/non-military sales involving the Tornado include the following:

AwardContractor (millions) Date/DescriptionThe Boeing Company

EUR3.2 Jun 2003 – 1 Tornado gas turbine compressor set for a Polysonic Wind Tunnel project in St. Louis, Missouri.

SPIE CAPAG-SAIPEM GEIE

EUR40.0 Feb 2003 – A follow-on total of 15 Tornado gas turbine pump drivers to six stations on the OZ2 pipeline in northern Algeria (for Phase II of the project).

Wintershall AG EUR3.0 Dec 2002 – 1 Tornado gas turbine generator set package for Wintershall’s Jakhira oil facility in Libya.

Single Buoy Moorings Inc

N/A Jun 2002 – 2 Tornado gensets for an FPSO vessel. The order also included 2 Typhoon gas turbine pump drivers and 2 Cyclone gas turbine compressor drivers. The FPSO vessel became operational off West Africa in 1Q2003.

AwardContractor (millions) Date/DescriptionThermodyn EUR12.0 Feb 2002 – 3 Tornado gas turbine compressor drivers for the Gaz de France

compressor station at Voisines. The contract contains an option for a fourth unit to be installed at the same compressor station.

TotalFinaElf $24.0 Jan 2002 – A total of seven Tornado machines for oilfield application in Iran, at the Dorood Project on Kharg Island (3 water injection pump drivers; 3 generating sets, 1 compressor driver).

June 1996

TimetableMonth Year Major Development

1977 Development of Tornado machine begins1981 Contract placed for first machine1982 First production machine operational1983 GEC Ruston formed

Jul 1984 First order from USA garneredApr 1985 First U.S. machine commissionedEarly 1990 EGT formed

1996 Tornado offered with low NOx burners1996 EGTL/Hitachi wins order from Asahi Chemical Company

Mar 1999 Alstom and ABB merge power generation businessesMay 2000 Alstom and ABB split; Alstom Power remains in turbine business

2001 Several orders placed for Tornado gensets for FPSO vesselsSep 2001 Three Tornado gas turbine generating sets begin commercial operation at oil field in

western SiberiaNov 2001 Alstom wins US$36-million contract for 15 gas turbines for major pipeline in Algeria

(Phase I)Jan 2002 Tornado machines ordered for Iran’s Dorood Project on Kharg IslandJun 2002 Alstom wins third successive order for gas turbines for FPSO vesselsFeb 2003 Alstom wins EUR40-million follow-on contract for 15 gas turbines for major pipeline in

Algeria (Phase II)Apr-Aug 2003 Siemens PG acquires part of the gas turbine business of Alstom SAJun 2003 Siemens awarded contract by The Boeing Company for Tornado compressor set for a

Polysonic Wind Tunnel project in St. Louis, MissouriBy end of 2004 Algeria takes delivery of 35 Tornado machinesThru 2013 Continued production/aftermarket support of DDIT Tornado projected

Worldwide DistributionAt of the start of 2004, at least 230 DDIT (previously Alstom) Tornado gas turbine machines had been manufactured and delivered to customers in 35 countries worldwide. Major customer nations include Algeria (30 machines), France (10), Japan (12), The Netherlands (12), Russian Federation (11) U.K. (26) and USA (18). By the end of 2004, Algeria will have taken delivery of 35 Tornado machines.

Forecast RationaleDue to the high output speed of the Tornado’s power turbine and its ability to operate at full load at reduced speed, most compressor drive applications can be met without the need for a speed changing gear between the power turbine and gas compressor. The machine offers exceptional performance for the drive of centrifugal compressors for gas injection, pipeline transmission and boosting, gas processing, refrigeration applications, and a variety of other duties. The Tornado also provides an ideal drive solution for pumping applications, including crude oil and product transmission and water injection. Drive from the power turbine is usually via a speed-reducing gearbox. The machine’s excellent load-speed characteristics provide operators with maximum flexi-bility for flow turndown and pressure control.

As Siemens becomes involved in more and more power projects of all sizes, it will piggyback the Tempest into projects in which other Siemens machines are set to be installed, including land-based power projects and FPSO vessels.

With its many benefits, the Tornado should continue to fare well in garnering new as well as follow-on orders, such as the 15-machine follow-up order from Algeria. The machine is well suited for duty in the Russian Federation and other nations of the former Soviet Union, as well as in North Africa.

The machine has been well received in power schemes on three FPSO vessels, where its size melds well with other gas turbines on board those vessels.

The Tornado is competing actively against Solar’s Taurus 70 and Kawasaki’s M7A-02 for simple-cycle generation and cogeneration applications, particularly in Europe and Japan. The ability of the Tornado to offer substantial energy savings in combined heat and power installations, where overall plant efficiencies are desirable, should mean continued interest in the machine. In the mechanical drive arena, the Tornado also faces stiff competition from the Solar Taurus 70.

The agreements with Hitachi and Takuma should spell ongoing success in the Far East/Asia/Oceania region, though sales here will not likely be as strong as in Europe or the Middle East. Once the economic problems in Asia are ironed out, we expect sales to again arise.

Overall, in the decade 2004-2013, we project that DDIT in the U.K. will build 180 Tornado machines, with two-thirds of the machines going to customers for various mechanical load drive applications.

Ten-Year OutlookESTIMATED CALENDAR YEAR PRODUCTION

High Confidence Level Good Confidence Level Speculative Level Total

Engine/Machine Application thru 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2004-2013 SIEMENS DEMAG DELAVAL (DDIT)

TORNADO GENERATION (a) 135 2 4 6 6 8 8 7 7 6 6 60TORNADO MECHANICAL DRIVE (a) 95 7 6 9 13 15 15 15 14 13 13 120

TOTAL PRODUCTION 230 9 10 15 19 23 23 22 21 19 19 180

(a) Totals include installation by Licensees.

June 1996