GEC and Kvaerner share in Chinese dam contract

GEC Alsthom, the Anglo-French engineering group, and Kvaerner, the Norwegian engineering group, appear to have won an important part of an $800m (pounds 500m) contract to provide eight of the first 14 turbines to be installed at The Three Gorges dam in China.

The dam, which will attempt to tame the Yangtse River, will be the largest in the world and will cost up to US$30bn (pounds 19bn) to build. But statements from the two companies yesterday left the precise status of the contracts in doubt.

A statement from Kvaerner in Oslo said its Kvaerner Design and Technology unit had been chosen to deliver the eight turbines. The core components for five of the turbines will be produced under the management of Kvaerner Energy in Norway and China. The three other turbines will be produced by GEC Alsthom based on a Kvaerner design, the company said. But a parallel announcement from GEC Alsthom in Paris said talks with China over its participation in the Three Gorges dam project had not been completed.

"We have high hopes that the contract will be finalised in coming weeks, but it has not been finalised yet," a GEC Alsthom spokesman said.

Industry sources suggested GEC Alsthom was not satisfied with the size of its part of the contract and hoped to negotiate better terms before the final signature. According to the sources, GEC Alsthom's share of the total pounds 500m order is around pounds 125m, less than that of the rival bidder Siemens, the German electronics giant.

Other consortia bidding for a share in the contract include Siemens and Voith of Germany and General Electric of the US, and Asea Brown Boveri the jointly owned Swiss and Swedish engineering group based in Zurich. Last week a Seimens spokesman in Peking was quoted by Agence France Presse as saying its consortium would supply six of the 14 turbines and generators required for the first phase of the project, while ABB would provide eight generators.

The Chinese Yangtse Three Gorges Project Development, the Chinese government body awarding contracts has so far refused to be drawn on the winning bids, although its has promised an announcement in the next few days.

The initial contract for turbines and generators is only a small part of the total cost of the project but is being keenly fought because of the toe-hold the winning suppliers will create in potentially the world's biggest market.

When finished in 2009 the project will have created a dam, capable of generating enough electricity to supply 10 per cent of China's electricity needs.

Suggested Topics
PROMOTED VIDEO
Arts and Entertainment
Rita Ora will replace Kylie Minogue as a judge on The Voice 2015
tv
Life and Style
tech
Life and Style
Alan Turing, who was convicted of gross indecency in 1952, was granted a royal pardon last year
life
Arts and Entertainment
Sheridan Smith as Cilla Black and Ed Stoppard as her manager Brian Epstein
tvCilla Episode 2 review: Grit under the glamour in part two of biopic series starring Sheridan Smith
Life and Style
life
Arts and Entertainment
Tennis player Andy Murray's mum Judy has been paired with Anton du Beke for Strictly Come Dancing. 'I'm absolutely delighted,' she said.
tvJudy Murray 'struggling' to let Anton Du Beke take control on Strictly
Life and Style
Vote with your wallet: the app can help shoppers feel more informed about items on sale
lifeNew app reveals political leanings of food companies
News
ebooksAn unforgettable anthology of contemporary reportage
Arts and Entertainment
The cover of Dark Side of the Moon
musicCan 'The Endless River' carry on the tradition? See for yourself
Sport
New Zealand fly-half Aaron Cruden pictured in The Zookeeper's Son on a late-night drinking session
rugby
Extras
indybest
Voices
A new app has been launched that enables people to have a cuddle from a stranger
voicesMaybe the new app will make it more normal to reach out to strangers
Arts and Entertainment
Salmond told a Scottish television chat show in 2001that he would also sit in front of a mirror and say things like,
tvCelebrity Trekkies from Alex Salmond to Barack Obama
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

IT Project manager - Web E-commerce

£65000 Per Annum Benefits + bonus: Clearwater People Solutions Ltd: If you are...

Trainee / Experienced Recruitment Consultants

£20000 - £25000 per annum + OTE £40,000: SThree: SThree are a global FTSE 250 ...

Trainee Recruitment Consultant - Soho

£20000 - £25000 per annum + OTE £40000: SThree: As a Recruitment Consultant, y...

Trainee Recruitment Consultants - Banking & Finance

£20000 - £25000 per annum + OTE £40,000: SThree: SThree Group have been well e...

Day In a Page

Secret politics of the weekly shop

The politics of the weekly shop

New app reveals political leanings of food companies
Beam me up, Scottie!

Beam me up, Scottie!

Celebrity Trekkies from Alex Salmond to Barack Obama
Beware Wet Paint: The ICA's latest ambitious exhibition

Beware Wet Paint

The ICA's latest ambitious exhibition
Pink Floyd have produced some of rock's greatest ever album covers

Pink Floyd have produced some of rock's greatest ever album covers

Can 'The Endless River' carry on the tradition?
Sanctuary for the suicidal

Sanctuary for the suicidal

One mother's story of how London charity Maytree helped her son with his depression
A roller-coaster tale from the 'voice of a generation'

Not That Kind of Girl:

A roller-coaster tale from 'voice of a generation' Lena Dunham
London is not bedlam or a cradle of vice. In fact it, as much as anywhere, deserves independence

London is not bedlam or a cradle of vice

In fact it, as much as anywhere, deserves independence
Vivienne Westwood 'didn’t want' relationship with Malcolm McLaren

Vivienne Westwood 'didn’t want' relationship with McLaren

Designer 'felt pressured' into going out with Sex Pistols manager
Jourdan Dunn: Model mother

Model mother

Jordan Dunn became one of the best-paid models in the world
Apple still coolest brand – despite U2 PR disaster

Apple still the coolest brand

Despite PR disaster of free U2 album
Scottish referendum: The Yes vote was the love that dared speak its name, but it was not to be

Despite the result, this is the end of the status quo

Boyd Tonkin on the fall-out from the Scottish referendum
Manolo Blahnik: The high priest of heels talks flats, Englishness, and why he loves Mary Beard

Manolo Blahnik: Flats, Englishness, and Mary Beard

The shoe designer who has been dubbed 'the patron saint of the stiletto'
The Beatles biographer reveals exclusive original manuscripts of some of the best pop songs ever written

Scrambled eggs and LSD

Behind The Beatles' lyrics - thanks to Hunter Davis's original manuscript copies
'Normcore' fashion: Blending in is the new standing out in latest catwalk non-trend

'Normcore': Blending in is the new standing out

Just when fashion was in grave danger of running out of trends, it only went and invented the non-trend. Rebecca Gonsalves investigates
Dance’s new leading ladies fight back: How female vocalists are now writing their own hits

New leading ladies of dance fight back

How female vocalists are now writing their own hits