Press Release

Doosan Enerbility is stepping up its efforts and working with a group of small-to-medium sized local partners to penetrate the 7F gas turbine services market, which is forecast to become a market with an annual value over KRW 1 trillion in the future.

On November 12th, Doosan Enerbility announced that it had signed a contract with Korea Southern Power (KOSPO) on replacing the casings for eight gas turbines which are to be deployed at the Shinincheon Combined Cycle Power Plant. By securing this contract for the casings on the heels of the previously won contracts for turbine rotors* and hot parts(DART)**, Doosan has managed to gain recognition for the three major capabilities that are regarded as being essential in the gas turbine services business.
* Contracts signed with KOSPO in 2022 and 2024 for the lifetime extension of two gas turbine rotors and six rotors respectively
** DART (Doosan Advanced Re-engineered Turbine) program is a national project of increment for performance from 7FA.03 to 7FA.04 which supplies in Busan Combined Cycle Power Plant 2025

The turbine casing refers to the outer covering of gas turbines which typically operate under high temperature and pressure. This is a component that requires the highest level of expertise in not only manufacturing, but in the installation process as well. For this reason, in the past such gas turbine services had been mostly handled by the global original equipment manufacturers. By emerging victorious in the competitive bidding held this time for the large-scale casing replacement project, Doosan Enerbility will now be able to pick up its pace in the gas turbine business. Given that gas turbine services is a recurring business* which can be a source of long-term stable revenue and underlying profit, it helps ensure a stable business operation for companies.
* A business that continues to generate ongoing revenue and profit for the company even after the initial sales of the product

For this project, Doosan Enerbility will be handling the entire casing replacement process using local expertise, starting from the design to material fabrication and processing to installation, in collaboration with 13 small-to-medium sized local partners in Korea. Doosan already has a history of having worked in collaboration with 17 small-to-medium sized local enterprises on developing local expertise for key services such as turbine rotor lifetime extension and supply of hot parts.

The recently won contract entails providing services for the 7F gas turbine (150MW), a product made by a global manufacturer. A total of more than 900 units of 7F gas turbines have been supplied worldwide, with more than 650 of these currently operating in the States. Doosan Enerbility plans to cooperate with its U.S. subsidiary, Doosan Turbomachinery Services (DTS), which is located in Houston, to target the gas turbine services market in the U.S.

“This contract holds significance as we managed to have 100 percent of all the key technologies for gas turbine services locally procured,” said Seungwoo Sohn, CEO of Doosan Enerbility’s Power Services Business Group. “And by drawing on our solid track record in the Korean market, we also plan to collaborate with our local partners on targeting the global market for 7F gas turbine services, including the States, which is forecast to become a market with an annual value surpassing KRW 1 trillion.”

▲Doosan Enerbility employees installing the rotor blade inside the turbine casing during the final assembly of the initial product in Sept 2019.