Improvement of Shell`s energy supply in Godorf refinery / STEAG starts new IPP-project with Deutsche Shell

Essen, Germany (ots/PROTEXT) - Deutsche Shell GmbH, Hamburgand STEAG AG, Essen have agreed to a co-operation to optimize thesupply of energy for the Shell refinery Cologne-Godorf (annualcrude distilling capacity of 9 Mio t). Therefore, they founded ajoint venture (REG Raffinerie-Energie Gesellschaft mbH) in whichSTEAG holds a share of 80 % and Shell of 20 %. REG is taking over the existing power plant investing 70 MioEuro into flue gas cleanup facilities for the oil fired boilersand efficiency improvements. REG plans to provide the refinerywith a more efficient supply of power and steam out of themodernized utilities complex. The planning of the modificationshas already started. The new parts of the complex are expected totart up by mid 2003, subject to the usual permit procedures. As a consequence of the project executed by REG, the Cologne-Godorf refinery complex will achieve a further optimization ofthe energy supply in co-generation. "This project will improvethe environmental situation around the refinery further, inparticular by reducing NOx-, SO2- and particulates -emissions",said Willem Schoeber, Shell Godorf refinery manager. It preparesthe site for future developments and strengthens its strategicposition. With this project STEAG, as IPP (Independent Power Producer),takes another important step in the supply of energy forrefineries. After the new construction of a refinery power plantin LEUNA, STEAG in co-operation with Shell now uses and broadensits expertise in an existing refinery to improve the economy andenvironmental situation in Godorf. Marc Grünewald, STEAG-IPP managing director, states: "Inprinciple, it is our intention to develop a long-term co-operation in this area with Shell, also on an internationalbasis. We would welcome similar projects in the area of energysupply of refineries and chemical plants, and we consider thisproject an excellent start with Shell." ots Original TextService: STEAG AG Internet: www.presseportal.de Contact Shell:Katja Konrad Public Relations Direktion Services Deutsche ShellAG Raffinerie Köln Godorf Postfach 50 12 64 50972 Köln Germany T.++49-2236 - 75 87 57 F ++49-2236 - 75 82 03Katja.K.Konrad@OPE.shell.com Contact STEAG: Dr. PeterRzeznitzeck Pressesprecher/Head Media Relations STEAG AGRuettenscheider Strasse 1-3 45128 Essen Germany T. ++49-201-801-2427 F ++49-201-801-1195 peter.rzeznitzeck@steag.de

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