GBP36M Power Business Won

Rolls-Royce PLC
5 March 2002


                                                                  5 March 2002


ROLLS-ROYCE WINS £36M POWER BUSINESS IN BRAZIL

Rolls-Royce has won a £25 million order for power generation equipment in
Brazil. The order includes a third RB211 Dry Low Emission (DLE) gas turbine for
a power station and is in addition to a new long-term service agreement valued
at a further £11 million, it was announced today in Brazil.

The power station, designed and built by Rolls-Royce for a fertilizer plant
operated by Petrobras at Fafen in the state of Bahia, will be converted to
combined cycle operation.

The new equipment complements two RB211 units ordered in 2000. The six-year
service agreement will improve the cycle efficiency and operating economics of
the station, which began operating in November last year.

Ordered by Fafen Energia, a joint venture between Energen (a 100 per cent owned
subsidiary of Electricidade de Portugal, the national power company of
Portugal), and Petrobras, the combined cycle plant will meet expanding demand
for power in Brazil.

Tom Curley, President of the Rolls-Royce Energy business said: 'This
significant, repeat order and the long-term service agreement also represent a
significant development for the power generation market in Brazil.

'They also emphasise the strengths of the RB211 for power generation worldwide
and follow a series of similar orders during the past two years.'


On-line operation for the extension is based upon a particularly fast-track
schedule with the third RB211 due to enter service in November 2002, with
hand-over of the completed plant due in the third quarter of 2003.

Each of the three RB211 units will fire heat-recovery steam generators for the
production of steam. In addition the installation of a 50MW steam turbine will
allow the Fafen site to generate a total of 130MW of electrical power together
with 42 Tonne/Hour of process steam.

The original order marked a strategic breakthrough for Rolls-Royce into the
Brazilian power generation market by confirming the first sale of the company's
gas turbines for land based electrical power generation in the country.

Rolls-Royce has also established a project management team based in Sao Paulo to
work with Brazilian suppliers and engineering partners on this important power
project.

In addition to their power generation applications Rolls-Royce gas turbines have
been successfully sold into Brazil's oil and gas sector with over twenty engines
either installed or on order.



For further information:

Martin Brodie

Head of Corporate Media Relations

Rolls-Royce plc

Tel:  [phone]

Fax: [phone]

Email: [e-mail]


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