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2003 Press Releases-10

Tokyo, Japan - June 26, 2003

Yokogawa Selected to Modernize Control System for
Mongolia's Largest Power Station


Yokogawa Electric Corporation (Yokogawa) announces that the government of Mongolia has awarded a contract exceeding US $5 million (¥650 million) to Yokogawa to supply a Distributed Control System (DCS) for the Package 2 Rehabilitation Project (Phase 2) at the country's 4th Thermal Power Plant. The scope of the Package 2 Rehabilitation Project is four coal-fired boilers, units five through eight, each of which generates 420 tons per hour of steam.

The 4th Thermal Power Plant is located in Ulaanbaatar, Mongolia's capital city. The plant has a total of eight coal-fired boilers and six turbine generators (3 x 100 MW and 3 x 80 MW) which supply approximately 70% of the power and 60% of the hot water used in Ulaanbaatar. The plant was constructed by the former Soviet Union and operated with that country's assistance from 1983 to 1991. Following the break-up of the Soviet Union, the lack of spare parts for this aging facility led to numerous breakdowns and power outages. Further problems for this facility included the low combustion efficiency of its boilers, the lack of air pollution controls, and an outmoded control system.

In 1995 the Japan Bank for International Cooperation (JBIC) financed an Overseas Development Assistance (ODA) loan for the first phase of a project to modernize the plant's first four boilers and thereby ensure a stabile power supply for the country and reduce air pollution. In 1997 Yokogawa was awarded a contract by the Mongolian government to participate in this project. Based on the high evaluation that it gave to the company's performance in Phase 1 of this project, the Mongolian government selected Yokogawa as the first bidder in the open tender for Phase 2 of the plant rehabilitation project, which will modernize four of the plant's boilers, units five through eight. Once again this project is being financed according to the terms of an ODA loan agreement signed by the JBIC and the Mongolian government.

For phase 2 of this project, the Mongolian government has selected Yokogawa's latest DCS, the CENTUM CS 3000 R3. The scope of this project is the provision of an integrated operation system including field instrumentation for the four boilers. A training simulator is also being provided to train staff in the operation of the new control equipment to maximize both plant efficiency and safety. The control system at the 4th Thermal Power Plant will be retrofitted progressively, with the first changeover scheduled for the end of 2004 and the final unit being completed by the end of 2005.

This project will be a joint Yokogawa effort. Yokogawa's Japan headquarters will be leading the overall project. The Global Power Solutions Center (GPSC), which was established at Yokogawa Australia in 2001 to pursue and implement power industry solutions worldwide, will be executing engineering and providing control equipment. TechComm Simulation, a wholly owned Yokogawa subsidiary in Australia that is known worldwide for setting the standard in simulation technology, will supply the training simulator.



About Yokogawa
Yokogawa's global network of 19 manufacturing facilities and 89 companies spans 32 countries. Since its founding in 1915, the US$4 billion company has been engaged in cutting-edge research and innovation, securing more than 7,500 patents and registrations, including the world's first digital sensors for flow and pressure measurement. Industrial automation and control, test and measurement, information systems and industry support are the core businesses of Yokogawa.
For more information about Yokogawa, please visit our web site at www.yokogawa.com.

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