Nov 29, 2011

Dresser-Rand Receives Grants from Innovation Norway for Green Technology

Houston, Texas, Nov. 29, 2011 - Dresser-Rand, a global supplier of rotating equipment solutions to the oil, gas, petrochemical, and process industries, has been awarded 4 million NOK ($684,000 USD) in public grant funding by Innovation Norway (IN). The grant will be used to support testing for a new, environmentally friendly turbine-generator set, known as the Dresser-Rand KG2-3G unit.
KG2 gas turbines for power generation have a 99.3 percent start reliability, full-load throw-on capacity, and minimal maintenance requirements. Dresser-Rand KG2 gas turbines are ideal for standby and continuous power supply onshore and offshore. The KG2 generator set has been specifically designed to meet requirements for power from 1 MW to 10 MW (single and multiple units). More than 900 units have been delivered for standby, industrial and oil and gas applications worldwide.

IN, a development funding arm of the Norwegian government that supports environmental initiatives,  awarded Dresser-Rand the funding because the KG2-3G turbine is expected to drastically reduce fuel consumption, decrease CO2 emissions 35 percent, and decrease NOx and CO emissions 80 percent when compared to the rating of the KG 2-3E turbine. The KG 2-3G gas turbine is the third generation of the all- radial KG2 gas turbine product line, which was first installed on the island of Røst off the Norwegian coast in 1968 for a power generation application.

"We are thrilled to have the support of Innovation Norway in this testing program, and our primary goal is to prove that the KG2-3G can meet the same standards for durability, ruggedness and endurance as current turbines on the market, while reducing harmful gas emissions," said Odd Guldsten, vice president and general manager of Dresser-Rand operations in Kongsberg, Norway.

The unit will be installed at the WINGAS Transport GmbH site in Greifswald, Germany, where the North Stream pipeline comes into Europe from Russia. WINGAS will provide natural gas for the field test in exchange for the heat and power produced by the KG2-3G turbine. The electric power will be exported and the exhaust heat used to heat pipeline gas coming out of the Baltic Sea.

"We believe in the importance of producing power through more efficient and environmentally friendly systems, and we look forward to further optimizing our pipeline stations," said Klaus Haussmann, executive expert at WINGAS Transport. "Adding this small industry gas turbine should close demand gaps in our operations, and we expect to see promising results from this testing."

The KG2-3G also comes with an acoustic enclosure for onshore installation and is suitable for a variety of applications, including biofuel systems. The equipment is scheduled for delivery in January 2012, and the test is planned for up to 8,000 hours of field operation.

About Dresser-Rand
Dresser-Rand is among the largest suppliers of rotating equipment solutions to the worldwide oil, gas, petrochemical, and process industries. The Company operates manufacturing facilities in the United States, France, United Kingdom, Spain, Germany, Norway, India, and China, and maintains a network of 45 service and support centers (including 6 engineering and R&D centers) covering more than 140 countries. Dresser-Rand has principal offices in Paris, France, and Houston, Texas.

This news release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, without limitation, the Company's plans, objectives, goals, strategies, future events, future revenue, or performance, capital expenditures, financing needs, plans, or intentions relating to acquisitions, business trends, executive compensation, and other information that is not historical information. The words "anticipates", "believes", "expects," "intends", "appears", and similar expressions identify such forward-looking statements. Although the Company believes that such statements are based on reasonable assumptions, these forward-looking statements are subject to numerous factors, risks, and uncertainties that could cause actual outcomes and results to be materially different from those projected. These factors, risks and uncertainties include, among others, the following: potential for material weaknesses in its internal controls; economic or industry downturns; the variability of bookings due to volatile market conditions, subjectivity clients exercise in placing orders, and timing of large orders; volatility and disruption of the credit markets; its inability to generate cash and access capital on reasonable terms and conditions; its inability to implement its business strategy to increase aftermarket parts and services revenue; its ability to implement potential tax strategies; competition in its markets; failure to complete or achieve the expected benefits from any future acquisitions; economic, political, currency and other risks associated with international sales and operations; fluctuations in currencies and volatility in exchange rates; loss of senior management; environmental compliance costs and liabilities; failure to maintain safety performance acceptable to its clients; failure to negotiate new collective bargaining agreements; unexpected product claims and regulations; infringement on its intellectual property or infringement on others' intellectual property; its pension expense and funding requirements; difficulty in implementing an information management system; and the Company's brand name may be confused with others. These and other risks are discussed in detail in the Company's filings with the Securities and Exchange Commission at www.sec.gov. Actual results, performance, or achievements could differ materially from those expressed in, or implied by, the forward-looking statements. The Company can give no assurances that any of the events anticipated by the forward-looking statements will occur or, if any of them does, what impact they will have on results of operations and financial condition. The Company undertakes no obligation to update or revise forward-looking statements, which may be made to reflect events or circumstances that arise after the date made or to reflect the occurrence of unanticipated events except as required by applicable laws. For information about Dresser-Rand, go to its website at www.dresser-rand.com.