GE Energy invests in Kaluga

March 20, 2009

GE, Magna to invest $54 mln in construction of plants in Kaluga region

    Russia's Kaluga region has signed $54 
million   worth   of investment agreements with General Electric and Magna 
Technoplast, the regional economic development ministry told Interfax. 
      The   agreements   were signed this week as part of a presentation on 
the Kaluga region at the Foreign Ministry in Moscow. 
      "The   investment   agreement   signed with General Electric envisions 
the construction    of   a   plant   that   will   repair   power facilities and 
produce   their components on the territory of the Rosva industrial park. 
The plant    is   to   be brought on stream in 2010. It will employ about 60 
individuals. The cost of the project is estimated at about $29 million," 
a ministry spokesman said. 
      The   agreement   with Magna envisions the construction of a plant in 
the Grabtsevo     techno-park    that    will   produce   car   components   for
Volkswagen's   plant   in Kaluga. Construction is to be completed in 2010. 
Investment   in   the   project   will total $25 million, and the plant will 
employ about 200 people. 
      GE   Energy,   a   division   of General Electric, said earlier that it 
intends   to   invest   up   to $50 million in the construction of a service 
center in    the   Kaluga   region   for   its   Jenbacher gas turbines and gas 
engines.   GE   plans   to start servicing its equipment in Kaluga in 2011. 
The company has similar service centers in the U.S., Western Europe, the 
Middle East and Singapore. 
      GE   Energy   has   said   it could start producing gas turbines at the 
plant after 2011. 
      GE   Energy   is   one   of   the   world's leaders in technology for the 
production   and   transmission   of   electricity.   The   company   increased
turnover 33% to $29.3 billion in 2008. 
      GE   Jenbacher   produces   gas   turbines   and is based in Austria. GE 
bought the company in 2003. 
      Canada's   Magna   International   is   the most diversified automotive 
supplier   in   the   world. The company designs, develops and manufactures 
automotive systems, assemblies, modules and components, and engineer and 
assemble   complete   vehicles,   primarily   for sale to original equipment 
manufacturers   of   cars   and   light   trucks.   The company has production 
facilities   and engineering centers in Europe, Asia as well as North and 
South America.   – I