HOUSTON, May 18 /PRNewswire-FirstCall/ -- Dresser-Rand Group Inc. ("Dresser-Rand" or the "Company") (NYSE: DRC), a global supplier of high-speed rotating equipment and service solutions, announced today that Dresser-Rand S.A. has signed a Memorandum of Understanding (MOU) with Kazak company KazTurboRemont (KTR) to establish a long-term business relationship focusing on the service and repair of mission critical rotating equipment including compressors and industrial gas turbines used in oil and gas applications and other industries. In addition, the MOU contemplates the companies potentially pursuing business opportunities on new equipment with the intent to develop localization capabilities.
KTR is a private company headquartered in Astana, Kazakhstan, and operates a state-of-the-art service and repair facility in Atyrau. The company specializes in the maintenance and modernization of gas turbine and gas pump units. The company's clients are primarily located in Kazakhstan, which today is one of the world's leading producers of oil and gas.
This agreement is consistent with Dresser-Rand's business strategy of service solution expansion and localization in rapidly expanding markets outside North America and is in accordance with the industrial innovation development plan in Kazakhstan. The agreement compliments a recently added dimension to Dresser-Rand's service portfolio with extension into the attractively large and growing industrial gas turbine repair and field services segment.
"The agreement with KTR provides our two organizations with a tremendous opportunity to build a leading aftermarket service and repair business in this important region of the world," said Nicoletta Giadrossi, Dresser-Rand's vice president and General Manager, Europe, Middle East and Africa. "KTR has earned a reputation as a high-quality service provider for a wide-range of rotating equipment. Together, we can increase our penetration into the sizeable installed base of compressors, steam turbines and industrial gas turbines in the region."
"We are thrilled with the agreement with KTR as it is another important step aligned with Dresser-Rand's service globalization strategy," said Luciano Mozzato, Dresser-Rand's executive vice president, Services Worldwide. "It is also perfectly consistent with our desire to play an important role into the industrial gas turbine market"
KTR's Managing Director, Askhat Usserov, commented, "We are extremely excited to be working together with Dresser-Rand to further develop the business of service and repair of industrial gas turbines and other rotating equipment in Kazakhstan and surrounding regions, such as central Asia and Russia."
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, Germany, Norway, India, and China, and maintains a network of 39 service and support centers covering more than 140 countries.
KazTurboRemont (KTR) is the first domestic based enterprise in Kazakhstan specializing in maintenance and modernization of gas turbine and gas pump units. KTR also produces equipment component parts and spools for the oil and power-generating sectors (replacement parts for gas turbine units, pumps of various function, gas electric power stations and other). KazTurboRemont is capable of servicing gas turbines manufactured in Europe and Russia.
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 bookings, revenues, 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", "outlook", 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; 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; 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. For information about Dresser-Rand, go to its website at www.dresser-rand.com.
SOURCE Dresser-Rand Group Inc.