Hms Hydraulic S Regulatory News (HMSG)

27 Jan 2012 09:05

HMS Hydraulic Machines & Systems Group plc

(the "Company", and together with its subsidiaries, the "HMS Group")

HMS GROUP TO PRODUCE PUMPING EQUIPMENT FOR ROSTOV AND BALTIC NUCLEAR POWER PLANTS

Moscow, Russia - HMS Group (LSE: HMSG), the leading pump manufacturer and provider of flow control solutions and engineering services for oil and gas fields in Russia and the CIS, today announces that it has concluded the agreements for production and delivery of large run of specialist pumps for Baltic and Rostov nuclear power plants (NPP) totaled Rub 613 mn (cca $20 mn).

The Baltic NPP is being constructed in Kaliningrad region of Russia and will comprise two generating units with total capacity of 2.3 GW. The ordered pumping equipment will be delivered for both 1st and 2nd generating units of Baltic NPP.

Rostov NPP is situated in Rostov region and currently is one the major power plants in the south of Russia, generating more than 15% of annual power supply in the region. The pumping equipment will be produced for 4th generating unit of the NPP that is currently under construction.

Artem Molchanov, Managing Director (CEO) of HMS Group, commented:

"We have a solid expertise in design and manufacturing of specialist pumps for nuclear power industry both domestically and worldwide. The pump systems produced by HMS Group are installed on a number of Russian power plants, including Rostov, Kursk and Leningrad power stations as well as international ones like Tianwan (China) and Kudankulam (India). The Group devotes particular attention to safety standards of pumps for nuclear application. All the equipment produced according to the contract will be tested on the new unique testing facility launched in the end of 2011."

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The HMS Group is the leading pump manufacturer and provider of flow control solutions and related services to the oil and gas, nuclear and thermal power generation and water utilities sectors in Russia and the CIS. The HMS Group's products are mission-critical elements of projects across a diverse range of industries. It has participated in a number of large-scale infrastructure projects in Russia, including providing pumps and modular equipment to the Vankor oil field and pumping stations on recent trunk pipelines projects linking Russia's core oil producing areas to export ports on the Pacific Ocean and Baltic Sea. The Group reported revenues of RUB 20.6 billion, adjusted EBITDA of RUB 4.4 billion and profit for the period of RUB 3 billion for the nine months ended September 30, 2011. The HMS Group's global depositary receipts ("GDRs") are listed under the symbol "HMSG" on the London Stock Exchange.

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