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Rolls-Royce Wins $10M Power Contracts

5 January 2001

    LONDON - Rolls-Royce has won contracts worth $10.6 million to supply 
engines for power generation projects in Spain and Bangladesh.

    In Spain, Rolls-Royce will supply seven engines to its client Cinca Verde,
S.C.P.A. for use in a cogeneration project at a fish farming facility at
Aliaga in the Aragon region.

    The Bergen KVGS-18G3 lean burn gas engines will produce electricity for
the Spanish national grid, with the exhaust heat from the engines being used
in the farm's production facility.

    The station will be built by Cinca Verde, part of Barcelona-based Grupo
Walter, which is one of Spain's largest independent power producers using
natural gas and already owns 13 Rolls-Royce Bergen gas engines at other power
stations in the country.

    In Bangladesh two more contracts have been won.  Three Bergen KVGS-18G3
gas engines will be supplied for a power station for a cement-grinding mill
close to Dhaka in the Narayangonji district.  As the mill, owned by Scancem,
is not connected to the country's national grid, the facility depends on the
Bergen engines for its power.

    Rolls-Royce will provide the engines to Meghna Energy Limited, a
subsidiary of Rolls-Royce Power Ventures (RRPV), who will be responsible for
building, owning and operating the power station.

    In a separate contract, two KVGS-18G3 engines have been ordered by Global
Heavy Chemicals Ltd, part of Opsonin Group of Industries, for a factory in the
Dhaka region producing caustic soda. The engines are due for delivery in
June 2001.

    These contracts are the latest success in Asia for Rolls-Royce
reciprocating engines and follow an order announced in June to supply a Bergen
gas engine to another cement grinding mill in Bangladesh for its client
Confidence Cement.

    Notes:
    Elsewhere in Spain, Rolls-Royce Bergen gas engines have been supplied
since 1992 with 83 engines due to be in marine or land applications by 2001.

    In May last year Rolls-Royce won its first order for Bergen lean burn gas
engines in India for Garden Silk Mills Ltd, an Indian textile company whose
main business is to produce silk sarees and dress materials at Vareli near
Surat in Gujarat.

    Rolls-Royce plc is a global company providing power on land, sea and air.
The company has established leading positions in civil aerospace, defence,
marine and energy markets.  Its core gas turbine technology has created one of
the broadest product ranges of aero engines in the world, with 55,000 engines
in service in over 150 countries.  Customers include more than 500 airlines,
2,400 corporate and utility operators and 160 armed forces, using both fixed
and rotary wing aircraft.

    Rolls-Royce is the global leader in marine power systems with a broad
product range and full systems integration capability.  Over 2,000 marine
customers and more than 30 navies use Rolls-Royce propulsion.  The company is
investing in new products and capabilities for energy markets, which include
the oil and gas industry and power generation. It also develops its own power
projects through Rolls-Royce Power Ventures Ltd.

    Rolls-Royce pioneered gas turbine technology for aerospace, power
generation and marine propulsion and is involved in the major future
programmes in these fields.  These include the Trent aero and industrial
engines, the Eurofighter Typhoon and Joint Strike Fighter combat engines, the
WR-21 marine engine and leading edge water jet propulsion systems.