ROLLS-ROYCE WINS RUSSIAN AND AFRICAN ENERGY CONTRA

18 November 2003

             ROLLS-ROYCE WINS RUSSIAN AND AFRICAN ENERGY CONTRACTS             

Rolls-Royce Energy has won two offshore contracts - one worth $24 million for
turbine power generation packages and associated waste heat recovery units for
Russia's largest single integrated oil and gas project, and the other, for
which the value has not been disclosed, for equipment for a Nigerian project in
the Gulf of Guinea.

The Russian contract, from Sakhalin Energy Investment Company (SEIC), is for
two RB211 gas turbine power generation units for Phase II of an offshore oil
and gas production platform near Sakhalin Island, Russia. SEIC is jointly owned
by Shell (55%), Mitsu (25%) and Diamond Gas (part of Mitsubishi 20%) under a
production sharing agreement (PSA), which was the first agreement of its sort
to be signed in Russia.

For the Nigerian project, Rolls-Royce will supply five gas turbine driven
compressor sets for an offshore platform in the East Area Project, operated by
Mobil Producing Nigeria. The five turbines will form part of an order from
Siemens Demag Delaval Turbomachinery B.V. All five units will be installed on
an offshore platform where they will `gather' natural gas produced as a
by-product from existing oil production facilities

The operating environments in both areas are technically demanding. For Russia,
Rolls-Royce will design the offshore gas turbine packages to withstand severe
conditions, including winds exceeding 90 mph, 19 metre high waves and
temperatures as low as -35C. Offshore structures are exposed to enclosing ice
sheets and iceberg impacts from October through December.

Sakhalin Island, located east of Siberia and north of Japan in the Sea of
Okhotsk, is one of the most productive and seismically active areas in the
world.

Tom Curley, President of the Rolls-Royce Energy Business, said: "The Russian
order represents our ability to design and develop equipment suitable for some
of the harshest installation conditions in the world. It is not only a
testament to the ruggedness of our products, but also our package design
expertise.

"The Nigerian order emphasizes the high strategic importance of the offshore
West Africa market for the Rolls-Royce Energy business and this latest order
further strengthens our presence in this market."

In the technically-demanding region of the Gulf of Guinea, off the coast of
West Africa, one of the most prolific oil and gas regions in the world,
Rolls-Royce will supply five RB211-6562 mechanical drive units, a spare RB211
gas generator and allied equipment. Each of the 40,000 horsepower RB211 sets
will drive a Demag Delaval centrifugal barrel compressor.

All the Rolls-Royce equipment for Russia will be packaged in the company's
Liverpool, UK, facility for delivery in the third quarter of next year.
Equipment for Nigeria will be packaged at Mount Vernon, Ohio, for delivery
between the first and third quarters of next year.

For further information please contact

Gary Hyman

Head of Communications-Energy Business

Rolls-Royce

Tel: [phone]

Email: [e-mail]

Web www.rolls-royce.com