Press Presse…

                                                      Press Presse Prensa

                                                      Energy Sector
                                                      Division Fossil Power Generation


                                                      For the trade press
                                                      Erlangen, Germany
                                                      June 16, 2008




Siemens to supply coal gasification technology for the first time to Australia


Gasification technology developed by Siemens Energy has for the first time been
selected for a project in Australia. Australian Energy Company (AEC) Ltd., an inde-
pendent project development company, has acquired a license for two 500-
megawatt coal gasifiers. The two gasifiers are destined for a fertilizer plant in La-
trobe Valley, Victoria, where they are to be used to convert lignite to ammonia. In an
adjacent plant the ammonia will be used to produce the fertilizer urea. After com-
missioning in 2012, the plant will have an annual production capacity of approxi-
mately 1.2 million tons of urea.


The fertilizer production plant is located in Victoria in the vicinity of the Loy Yang mine and
will use the extensive lignite available there as feedstock for fertilizer production. As of
2015, a second phase of the project makes provision for the carbon dioxide generated dur-
ing fertilizer production to be transported via a pipeline for storage in the carbon dioxide
dumps in Bass Strait off the south coast of Australia.


"We have opted for Siemens gas gasification technology because it is easy to operate and
very robust. It is particularly well suited to the grade of coal mined at Loy Yang," said Allan
Blood, Chairman of AEC.




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Siemens AG                                             Reference Number: EFP200806.043 e
Corporate Communications and                           Press Office Energy
Government Affairs                                     Gerda Gottschick
Media Relations                                        P.O.Box 32 20, 91050 Erlangen, Germany
80200 Munich                                           Phone: +49-9131 18-85753; Fax: -7039
                                                       E-mail: gerda.gottschick@siemens.com
"Our technology is first choice for such applications because it was specially developed for
the conversion of lignite containing salt," explained Guido Schuld, head of Siemens Fuel
Gasification Technology.

"Siemens Fuel Gasification Technology is part of the Siemens Energy Sector. Siemens
entrained flow gasification technology with its characteristic cooling screen has been con-
tinuously developed over a period spanning more than thirty years. The technology can be
used for a wide range of fuels and is characterized by high conversion rates, high availabil-
ity and low maintenance," said Schuld.




The Siemens Energy Sector is the world's leading supplier of a complete spectrum of products, services and
solutions for the generation, transmission and distribution of power and for the extraction, conversion and
transport of oil and gas. In fiscal 2007 (ended September 30, based on IFRS), the Energy Sector had reve-
nues of approximately EUR20 billion and received new orders totaling around EUR28 billion and posted a
profit of EUR1.8 billion. The Energy Sector had a work force of 73,500 at the beginning of fiscal 2008. Fur-
ther information is available at: www.siemens.com/energy.

All figures represent the sum of the nonconsolidated figures for the Power Generation and Power Transmis-
sion and Distribution Groups and for the Oil and Gas activities of the Industrial Solutions and Services
Group.




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Siemens AG                                                    Reference Number: EFP200806.043 e
Corporate Communications and                                  Press Office Energy
Government Affairs                                            Gerda Gottschick
Media Relations                                               P.O.Box 32 20, 91050 Erlangen, Germany
80200 Munich                                                  Phone: +49-9131 18-85753; Fax: -7039
                                                              E-mail: gerda.gottschick@siemens.com