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Press Release

MHPS Receives Order for Refurbishment of Waste Heat Recovery Boiler for PASAR, Copper Smelting and Refining Company in the Philippines
-- Total Upgrade of Pressure-Resistant Components Made by Other Manufacturer; Target on Expanding Local Servicing Operations --

No. 177

・ Work will be carried out smoothly and efficiently through new local servicing company established in June
・ Local boiler manufacturing capability will also be leveraged, to further cultivate competitive superiority in the Philippine market

YOKOHAMA, JAPAN (September 5, 2019) - Mitsubishi Hitachi Power Systems, Ltd. (MHPS) has received an order for refurbishment of a waste heat recovery boiler in operation at Philippine Associated Smelting and Refining Corporation (PASAR), located on Leyte Island in the Philippines. The order, received through the group company MHPS (Philippines) Inc. (MHPS-PHL) and MHPS (Philippines) Plant Services Corporation (MHPS-PSC), calls for total renewal of the pressure-resistant components of the boiler, which was manufactured by a competing company and has been in operation since 1993.

PASAR was originally founded in the 1980s as a state-owned enterprise to perform copper smelting and refining, one of the Philippines' key industries. Today the company is an affiliate of Glencore International AG, a multinational corporation based in Switzerland, engaged in mine development and metals trading. The waste heat recovery boiler in operation at PASAR generates steam from the waste heat produced during the copper smelting process. The steam is largely returned for use in the smelting process, and is also employed for in-house power generation.

PASAR selected MHPS to refurbish its waste heat recovery boiler based on its firm trust in the high quality of MHPS Group's products and construction services demonstrated by a solid track record, combined with its strong evaluation of MHPS' total solution services carried out in close cooperation with local boiler manufacturers and local servicing and engineering bases.

Through the years, in the Philippines market MHPS has received and completed numerous orders for thermal and geothermal power generation installations. As power demand has increased in tandem with the country's economic growth, there has been growing need for equipment renewal, greater production capacity, and plant servicing. In view of this situation, on June 22 this year MHPS newly established MHPS-PSC to further expand its plant servicing operations in the Philippines. The new entity was created through the local subsidiary MHPS (Philippines) Inc. (MHPS-PHL).

MHPS-PSC is also aiming to boost its share within the broad Southeast Asian market by leveraging the synergy generated through coordination with MHPS-PHL, which is a boiler manufacturer. In this respect, the newly ordered total refurbishment work on a product not made by MHPS will serve as a litmus test of MHPS-PSC's effort to expand the range of its business operations in the Philippines. MHPS will support this effort fully by working closely with both MHPS-PSC and MHPS-PHL.

MHPS' foremost strength is its ability to provide total solutions in power generation facilities. The company's comprehensive product lineup spans from high-efficiency large-capacity power generation systems, to energy-saving systems employing small and medium-sized gas turbines, to geothermal power generation equipment. Going forward, the company will precisely respond to diverse needs, including effective reuse of waste heat as seen in the newly received order, as its way of ensuring stable power supplies, reducing environmental loads, and thereby contributing to industrial development around the world.

From left, MHPS-PHL President Yukio Nakata, PASAR President Adam D.Purkis, and MHPS-PSC President Vincent V. Engracia
From left, MHPS-PHL President Yukio Nakata, PASAR President Adam D.Purkis, and MHPS-PSC President Vincent V. Engracia