GP signs contract extension for Ansan CCPP

Service Power Generation of Power and Gas at Siemens Korea signed a contract for Long Term Service Agreement(LTSA) extension for S-Power Ansan Cogen Combined Cycle Power Plant which was jointly invested by Samchully Group and Korea South-East Power.

While the commercial operation started from July 2014, S-Power has suffered from worsening profitability which was caused by economic slowdown and supply & demand issues in Korea power market. Siemens Korea was able to extend the commercial operation contract with enhanced technology which met the customer’s higher value and lower cost expectation. According to the contract extension, the new order net amount has increased up to 25 million EUR.

“The contract was meaningful that the customer’s management conditions could lead to an opportunity for both companies to find benefits” said Mr. BumJun Suk, Vice President of Siemens Korea Gas and Power. “We expect that Siemens Korea being responsible on customer’s difficulties, listening to their needs and providing proper solutions with enhanced technology, will deliver positive impression and message to our other potential customers.”