Israel Electric selects Vogt Power to Supply HRSG for Combined Cycle Plant

January 5, 2010

Danvers, MA – Vogt Power International Inc., located in Louisville, KY, a subsidiary of Babcock Power Inc., based in Danvers, MA, announced today it has been selected to supply Israel Electric Corporation (IEC) one Heat Recovery Steam Generator (HRSG) for IEC’s Tzafit Power Station located near Kfar Menahem, Israel.

Vogt Power will design, manufacture and deliver one three pressure level, natural circulation HRSG for Unit 4, to be installed behind a General Electric 9FA gas turbine. The simple cycle to combined cycle conversion is expected to increase the plant output to365 megawatts of generation capacity, at ISO conditions. Phase II of the Tzafit Power Station is scheduled for completion in 2011.

“We are looking forward to working with IEC as they increase their natural gas fueled power generation assets,” said Steve Kapsalis, President and CEO of Vogt Power. “The recent natural gas discoveries in southern Israel will provide new opportunities for our products throughout the region.”

IEC is the sole integrated electric utility in the State of Israel and generates, transmits and distributes substantially all the electricity used in the State of Israel. The State of Israel owns approximately 99.85% of IEC.

Babcock Power Inc. (www.babcockpower.com) is one of the world’s leading suppliers of technology, equipment and services to the power generation industry. Babcock Power designs, manufactures and services heat recovery steam generators through its Vogt Power International Inc. subsidiary located in Louisville, KY; provides heat exchangers and after market services, including moisture separator reheaters, steam surface condensers and feedwater heaters for fossil-fired and nuclear plants through its Thermal Engineering International (USA) Inc. subsidiary located in Santa Fe Springs, CA; and provides new steam generators, environmental solutions (including SCRs, flue gas scrubbers and mercury removal
systems), and a complete portfolio of after market solutions to the electric utility and waste-to-energy industries for any OEM’s boiler through its subsidiaries located in Worcester, MA.