First J-Series Gas Turbine in the Americas is Operational

GRDA is Now Selling Power to the Grid Less Than 45 Days After First
Fire

CHOUTEAU, Okla.–(BUSINESS WIRE)–A new 495 megawatt combined cycle power plant equipped with a Mitsubishi
Hitachi Power Systems (MHPS) M501J gas turbine at the Grand River Energy
Center in Oklahoma has achieved a significant milestone by sustaining
reliable power generation just 45 days after first fire. Achieving
reliable power generation output means the Grand River Dam Authority
(GRDA) is now able to sell electricity to the grid.

“This is our 23^rd J-Series gas turbine installed globally,
and our first in the Americas. This is an important milestone for our
company, and we’re proud to announce that the MHPS gas turbine at the
Grand River Energy Center has responded flawlessly during the startup
process and has significantly exceeded its performance guarantee,” said
Paul Browning, MHPS Americas President and CEO. “GRDA is now able to
sell power to the grid ahead of schedule. Successful and smooth
commissioning is critical for MHPS, because our team is preparing to
commission eleven more J-Series turbines in North America during the
next 12-24 months.”

The gas turbine was delivered on time to the site, successfully achieved
1^st Fire on March 14 in its first attempt and only two days
later synchronized to the grid to first produce electricity for GRDA and
MISO Power Pool customers. Since then, the facility successfully
conducted steam blows well ahead of schedule and quickly resumed
operation on time. On April 27, (less than 45 days after 1^st
Fire), while operating in combined cycle, the test team successfully
demonstrated sustained operations above GRDA’s “Sellable Power”
milestone. The commissioning team achieved this contract milestone 35
days ahead of the June 1 contract deadline. Since then, the plant has
completed its fine screen removal outage and is currently finishing
tuning as it approaches final performance demonstrations scheduled for
June 2017. Thus far the GRDA “J” machine exceeded all performance
expectations.

Upon reaching the Sellable Power milestone, Charles Barney, GRDA Vice
President and Assistant General Manager for Fuel & Generation Projects
stated in a letter of commendation to MHPS, “I want to bring to your
attention the overall excellent performance of the MHPS team working on
commissioning GREC Unit 3.” From the EPC’s perspective, “MHPS delivered
their turbine on time, they’re exceeding their performance guarantee and
the unit has been exceptionally reliable. Our team remains ahead of
schedule,” said Kevin Kimball, Project Sponsor for TIC.

The MHPS turbine installed at the Grand River Energy Center is the first
J-Series to be built at the Savannah Machinery Works in Savannah,
Georgia. It is paired in combined cycle with a steam turbine that was
built at the MHPS Nagasaki Works in Japan. The unit also features a
generator from Mitsubishi Electric Co. As part of the project GRDA
signed a 25-year long term service agreement with MHPS.

“GRDA issued an aggressive challenge to MHPS when they told us they
wanted to build the most efficient combined cycle power plant in the
United States,” Browning said. “This is the 23^rd straight
turbine that we’ve delivered to a site on time and we’re confident it
will be the 23^rd J-Series gas turbine to exceed its
performance guarantees. Record-breaking performance, combined with an
unparalleled reliability record, make the J-Series the gas turbine of
the future. We have received orders for an additional 13 J-Series
turbines in the Americas, several of which have already been delivered
to site.”

GRDA broke ground on Grand River Energy Center Unit 3 in January 2015.
The environmentally friendly natural gas facility will replace an older,
coal-fired facility on the same site. The new power plant is on schedule
to be fully operational this summer.

About Grand River Dam Authority

Headquartered in Vinita, GRDA is Oklahoma’s state-owned electric
utility; fully funded by revenues from electric and water sales instead
of taxes. GRDA’s low-cost, reliable power touches 75 of 77 counties in
the state and serves as an important economic development engine for
Oklahoma. At no cost to Oklahoma taxpayers, GRDA also manages 70,000
surface acres of lakes in the state, including Grand Lake, Lake Hudson
and the W.R. Holway Reservoir. Today, GRDA’s 500 employees continue to
produce the same “power for progress” that has benefited the state for
75 years. The efforts of Team GRDA facilitate over $450 million in
economic activity in Oklahoma annually.

About Mitsubishi Hitachi Power Systems Americas, Inc.

Mitsubishi Hitachi Power Systems Americas Inc. is enabling the power
plant of the future. Headquartered in Lake Mary, FL, MHPS employment in
the Americas has grown from five in 1999 to more than 2,000 today. The
company has large manufacturing and repair facilities in Florida,
Georgia, Missouri and Texas, including the world’s most modern heavy
duty gas turbine and steam turbine factory in Savannah. MHPS utilizes
three repair centers to provide service parts and repairs to a rapidly
expanding installed base throughout the Americas and to service the
fleets of other Original Equipment Manufacturers (OEMs) around the
world. Products and services for the electric power generation industry
include the world’s largest and most efficient gas turbines, steam
turbines, geothermal turbines, boiler and environmental control systems.
MHPS (MHVYF:US) is a subsidiary of Mitsubishi Heavy Industries
headquartered in Tokyo, Japan. (7011:JP) Learn more at www.mhpsa.com.

Contacts

Mitsubishi Hitachi Power Systems Americas Inc.
Media Contact:
David
Rosenberg, +1-407-562-0563
[email protected]
or
Customer
Contact:
David Hunt, +1-407-688-6438
[email protected]