Re Contract

30 November 2011

  ROLLS-ROYCE ENHANCES ROLE IN BRAZIL OIL AND GAS INDUSTRY WITH NEW PETROBRAS 
                    CONTRACTS VALUED AT UP TO $650 MILLION

Rolls-Royce, the global power systems company, has been awarded new contracts
with a potential value of $650 million by Petrobras, a world leader in deep and
ultra-deep water oil and gas exploration and production, to support its
production activities offshore Brazil.

Rolls-Royce will supply Petrobras with thirty-two RB211 gas turbine power
generation packages, including waste-heat recovery units, to meet the power
generation requirements of eight separate Floating Production Storage and
Offloading (FPSO) vessels. The FPSO's, used for the processing of hydrocarbons
and storage of oil, will operate in the petroleum rich Lula (formerly Tupi) and
Guará oilfields, located in the pre-salt area of the Santos Basin off the coast
of Brazil.

The new gas turbine power generation packages will be delivered in groups of
four, with the first units scheduled for delivery in the first quarter of 2013.
Four gas turbine generating sets will be installed on each of the eight FPSO's.
To ensure that the FPSO vessels operate at peak performance levels, Rolls-Royce
will also provide Petrobras with long-term services, technical support and
training.

Andrew Heath, Rolls-Royce, President - Energy said: "We are delighted that
Petrobras has again selected Rolls-Royce power generation technology to help
meet its aggressive offshore oil and gas production objectives. Rolls-Royce has
a strong record of equipment and services supply to Brazil's energy sector and
we are committed to supporting all our customers in the country with reliable,
technology solutions and a strong localised presence."

Francisco Itzaina, Rolls-Royce, Regional Director - South America said:
"Rolls-Royce is committed to continuing to expand its technology presence and
manufacturing capabilities in Brazil, and to stimulate the local economy
through job creation, skills development and training. To fulfil these
contracts we will further develop our local supply chain to provide critical
components required for our gas turbine power generation equipment."

In February Rolls-Royce announced plans for the construction of a new 
$100 million-plus purpose-built gas turbine assembly and test facility in 
Santa Cruz in the state of Rio de Janeiro which is expected to become operational 
in the first quarter of 2013. Equipment from these contract awards, scheduled for
installation in the Lula (Tupi) and Guará oilfields, will be among the first
units to be assembled and tested at the new Rolls-Royce facility.

The latest contract award increases the number of Rolls-Royce RB211-powered
industrial gas turbine units installed in Brazil over the last 10 years to
sixty-two. The combined total amount of energy generated by these units is
equivalent to 1.8 gigawatts of electric power, enough to supply energy to over
seven million people.

Rolls-Royce has been active in Brazil for over 50 years and now has more than
500 employees across the country.

Notes to Editors:

 1. Rolls-Royce is a world-leading provider of power systems and services for
    use on land, at sea and in the air, and has established a strong position
    in global markets - civil aerospace, defence aerospace, marine and energy.
   
 2. As a result of this strategy, Rolls-Royce has a broad customer base
    comprising more than 500 airlines, 4,000 corporate and utility aircraft and
    helicopter operators, 160 armed forces, more than 4,000 marine customers,
    including 70 navies, and energy customers in nearly 120 countries, with an
    installed base of 54,000 gas turbines.
   
 3. Annual underlying revenues were £10.8 billion in 2010, of which more than
    half came from the provision of services. The firm and announced order book
    stood at £61.4 billion at 30 June 2011, providing visibility of future
    levels of activity.
   
 4. Rolls-Royce employs over 39,000 skilled people in offices, manufacturing
    and service facilities in over 50 countries. Over 11,000 of these employees
    are engineers.
   
 5. In 2010, Rolls-Royce invested £923 million on research and development, 
    two thirds of which had the objective of further improving the environmental
    performance of its products, in particular reducing emissions.
   
 6. Rolls-Royce supports a global network of 28 University Technology Centres,
    which connect the company's engineers with the forefront of scientific
    research.
   
 7. The Group has a strong commitment to apprentice and graduate recruitment
    and to further developing employee skills.
   
 8. In 2008 Rolls-Royce established a service support centre in Macaé,
    primarily dedicated to supporting the routine repair and maintenance of 
    gas turbines supplied to Petrobras for its offshore operations.
   
About the Lula (formerly Tupi) and Guará oilfields

 1. The Lula (Tupi) and Guará oilfields located in the pre-salt area of the
    Santos Basin are estimated to have between 8 and 12 billion barrels of
    recoverable oil. The Santos Basin is located some 300 kilometres south east
    of São Paulo, off the coast of Brazil and is 352,260 square kilometres in
    size.
   
 2. "Pre-salt" is a rock formation of carbonate composition, which occurs under
    dense layers of salt at deep water depths. Since pre-salt has a high crude
    oil storage potential, it provides a new extraordinary frontier market for
    the extraction of oil reserves.
   
 3. The Tupi B.V. consortium is comprised of Petróleo Brasileiro (PETROBRAS),
    BG E&P Brasil Ltda. And PETROGRAL Brasil Ltda., holders respectively of
    65%, 25% and 10% of the undivided rights. The Guara B.V consortium is
    comprised of Petróleo Brasileiro (PETROBRAS), BG E&P Brasil Ltda. and
    REPSOL YPF Brasil Ltda., holders respectively of 45%, 30% and 25%, of the
    undivided rights.
   
For further information, please contact:

Investor relations:
Mark Alflatt
Director of Financial Communications
Rolls-Royce Holdings plc
Tel: [phone]
E: [e-mail]

Media relations:
Josh Rosenstock
Director of External Communications
Rolls-Royce Holdings plc
Tel: [phone]
E: [e-mail]

www.Rolls-Royce.com