Baku, Azerbaijan - Iran and Germany's engineering giant Siemens signed memorandum of understandings (MOU) early this month to strengthen their cooperation in order to modernize the energy infrastructure in Iran.
The deals include buying the technology to produce the class F turbines of Siemens with the trade name of SGT5-4000F as well as delivering F class gas turbines and generators for the Bandar Abbas power plant, in southern Iran.
While Deputy Head of Iran's Chamber of Commerce Pedram Soltani, said that the contract value reachs $3.5 billion, the company rejected to comment on the issue.
Siemens does not comment on the value details, Yashar Azad, a spokesman with the German company told Trend March 10.
Regarding Bandar Abbas power plant, Azad said that it is the first contract for the supply F class gas turbines under the term of license agreement.
"Siemens scope is to supply two F class Econopacs consisting of a gas turbine plus a generator," he said, adding the order volume here is in the higher double-digit million Euro range.
Azad further said that Siemens will supply the gas turbines and generators to Iranian industrial group MAPNA and the EPC (engineering, procurement and construction) will be performed by MAPNA itself.
"First unit will be shipped within the next few weeks," he added.
"The gas turbines for the Bandar Abbas power plant will be the first machines that we deliver but we expect orders for more machines in this calendar year," the spokesman noted.
Regarding the reports about transferring the technology for production of Class F gas turbines to the Islamic Republic, Azad said that a long-term technology license agreement was signed between Siemens and MAPNA for the local manufacturing of Siemens F class gas turbines by MAPNA in Iran.
"Under the terms of this agreement MAPNA will work with Siemens to deliver F class gas turbines and associated generators into the Iranian market and defined neighboring countries," he said.
"The first six gas turbines will be completely manufactured by Siemens and then we will gradually shift the value add to MAPNA," he added.
Azad further said that the license agreement is a real breakthrough for Siemens into the Iranian market that offers promising growth opportunities.
© Trend News Agency 2016
