The Globe and Mail

Go to the Globe and Mail homepage

Jump to main navigationJump to main content

Globe Investor

News Sources

Take control of your investments with the latest investing news and analysis

Press release from Business Wire

GE, KTZ and Transmashdiesel Create a Joint Venture to Produce Diesel Engines in Kazakhstan

<ul> <li class='bwlistitemmargb'> <b>GE, KTZ & Transmashdiesel sign agreement to create a joint venture company to build Evolution Series diesel engines in Astana, Kazakhstan for CIS region.</b> </li> <li class='bwlistitemmargb'> <b>The JV Company will build a new 97,000 Sq. Ft. facility to build up to 400 Evolution Series diesel engines per year.</b> </li> <li class='bwlistitemmargb'> <b>Evolution Series diesel engines will be utilized in rail, marine and stationary power application in CIS Region.</b> </li> </ul>

Tuesday, December 04, 2012

GE, KTZ and Transmashdiesel Create a Joint Venture to Produce Diesel Engines in Kazakhstan14:56 EST Tuesday, December 04, 2012 ASTANA, Kazakhstan (Business Wire) -- GE Transportation, a leading global provider of rail, mining and transportation-related equipment, has signed an agreement with Limited Liability Company «Transmashdiesel» and JSC National Company Kazakhstan Temir Zholy's (KTZ) subsidiary JSC Remlokomotiv to create a joint venture company to produce diesel engines in Astana, Kazakhstan. The formation of the JV is subject to various conditions precedent, including government and regulatory approvals. GE, KTZ and Transmashdiesel Create a Joint Venture to Produce Diesel Engines in Kazakhstan (Photo: General Electric) The JV will produce approximately 400 Evolution Series diesel engines a year to serve rail, marine and stationary power customers in the Commonwealth of Independent States (CIS) region. GE's Evolution Series diesel engine is the company's most successful and technologically advanced, fuel efficient, and low emissions engine to date. GE has produced over 5,000 Evolution Series diesel engines since introducing it in 2005. It is also one of GE's most prominent “Ecomagination” products. “Ecomagination” is GE's initiative to help customers meet demand for more energy-efficient products while generating profitable growth for the company. The Evolution Series locomotive represents a $400 million investment by GE over eight years. The innovative diesel electric locomotive is equipped with a 12-cylinder diesel engine that produces the same 4,400 horsepower as its 16-cylinder predecessor. The joint venture partners plan to invest approximately $90 million to build a new, approximately 97,000 square foot diesel engine facility in Astana, Kazakhstan. The new JV intends to manufacture, sell, service, and provide spare parts for Evolution Series diesel engines. The plant is scheduled to be operational by the end of 2014 KTZ's wholly owned subsidiary JSC Lokomotiv Kurastyru Zauyty (LKZ) already operates a 460,000 square foot locomotive assembly facility in Astana, Kazakhstan's capital and second largest city. The plant can assemble approximately 100 Evolution Series locomotives a year. About GE Transportation GE Transportation, a unit of GE (NYSE: GE), solves the world's toughest transportation challenges. GE Transportation builds equipment that moves the rail, mining and marine industries. Our fuel-efficient and lower-emissions freight and passenger locomotives, diesel engines for rail, marine and stationary power applications, signaling and software solutions, drive systems for mining trucks, and value-added services help customers grow. GE Transportation is headquartered in Erie, Penn., and employs approximately 12,000 employees worldwide. For more information visit the company's website at www.getransportation.com Photos/Multimedia Gallery Available: http://www.businesswire.com/multimedia/home/20121204006572/en/ GE TransportationMichael Ricci, +1-814-875-4104 (office)michael.ricci@ge.comORGE Russia/CISElena Ushakova, Press-secretary, +7 495 739 69 19elena.ushakova@ge.com