Siemens Canada awarded 270-MW wind power order for South Kent project

Tillsonburg facility ramps up production for fulfillment of agreement customers

OAKVILLE, ON, March 18, 2013 /CNW/ - Siemens Canada has been awarded a milestone order by Samsung Renewable Energy Inc. (Samsung) and Pattern Energy Group LP (Pattern) for the supply and commissioning of 124 wind turbines for the South Kent wind project. The 270-MW project, located in the Municipality of Chatham-Kent in Southwestern Ontario, will generate enough energy for up to 100,000 Ontario homes. The SWT-2.3-101 turbines to be installed for the project have a maximum power rating of up to 2.3 megawatts (MW) each and a rotor diameter of 101 meters at a hub-height of 99.5 metres.

All blades for the project will be manufactured by Siemens at the company's wind turbine blade facility in Tillsonburg, with production and hiring ramping up to capacity in order to fulfill the agreement. Towers for the project will be manufactured at CS Wind's facility in Windsor using Ontario-made steel. Combined, Siemens and CS Wind are expected to create up to 600 jobs in the Province associated with the South Kent and subsequent projects. The Tillsonburg plant is the first production facility of its kind in Ontario. The investments by Siemens and CS Wind, totaling more than $100 million (CAD) demonstrate the progress of the Green Energy Investment Agreement between Samsung and the Ontario Government and underscore the significance of the Green Energy Act as part of the Province's commitment to economic development and environmental sustainability.

According to the Canadian Wind Energy Association, Canada is the ninth largest producer of wind energy in the world with current installed capacity at roughly 6,500 MW. Siemens holds a leading position in the Ontario market; and subsequent to the South Kent order, Ontario will join Washington, Texas and Iowa as territories in North America with more than 1,000 MW of Siemens installed capacity.

Installation of the wind turbines for the South Kent project is scheduled to begin this year, with the start of operations expected for spring 2014. The deal also includes a three-year service agreement.

In order to enhance its proximity to its installed base, including the service of the South Kent project, Siemens has also established its first Canadian wind turbine service and maintenance distribution centre in Chatham, Ontario. The distribution centre will house commonly used parts that are critical to wind turbine operations and distribute them to wind farms based in Ontario. In addition, the facility will incorporate a training center focused on developing and maintaining the technical skills required for Siemens service technicians.

Chatham was chosen as the location for the centre based on its proximity to Siemens' customer base at wind farms in the province as well as its local government support of renewable energies and local investment.

Quotes:

• "The approval of South Kent is a huge win for wind in Canada and we're excited to be moving forward with our partners and to ramping up production in Tillsonburg. We're encouraged by the overall progress of wind projects in Ontario, are proud to base our Canadian operations in the province and are eager to help to bring renewable energy to Canadians."
  Jacob Andersen, Vice President, Wind Power, Siemens Canada
  
  
• "I'd like to congratulate Siemens for this important milestone. It will help supply Ontario with clean, renewable energy and support good jobs in southwestern Ontario."
  The Honourable Bob Chiarelli, Ontario Minister of Energy
  

• "Increasingly, renewable energy providers consider Chatham-Kent to be a community where new research and development is under way, skilled workers are ready, education and training are encouraged, and industry support services can be strategically located along major transportation routes. We are growing a broad base for our long term involvement in the renewable energy sector, and that bodes very well for our local economy."
  The Honourable Randy Hope, Mayor, Chatham-Kent
  

About Siemens Canada 

For more than 100 years the innovative ideas from Siemens have helped make Canada a better place. From the Atlantic to Pacific oceans, more than 4,500 employees in Canada work together to provide answers that last in the fields of industry, energy, healthcare and infrastructure solutions for cities. Since it was federally chartered in 1912, Siemens has stood for technical achievements, innovation, quality and reliability. Sales for Siemens in Canada in fiscal 2012 (ended September 30), were $2.1 billion CAD. The company has 53 offices and 14 manufacturing/assembly facilities across Canada. Further information is available at www.siemens.ca.

This press release may contain forward-looking statements based on the beliefs of the management of Siemens Canada Limited and its affiliates. The words "anticipate," "believe," "estimate," "forecast," "expect," "intend," "plan," "should," and "project," are used to identify forward-looking statements. Such statements reflect the management's current views with respect to future events and are subject to risks and uncertainties. Many factors could cause the actual results to be materially different, among others, changes in general economic and business conditions, changes in currency exchange rate and interest rates, introduction of competing products, lack of acceptance of new products or services and changes in business strategy. Actual results may vary materially from those projected here. Siemens Canada Limited and its affiliates do not intend or assume any obligation to update these forward-looking statements.

SOURCE: Siemens Canada Limited