(By Balaseshan) Alcoa Inc. (NYSE: AA), the world's largest aluminum producer, said its unit has received a long-term contract from Siemens Energy to supply blades and vanes for heavy-duty gas turbines.
Siemens Energy is a supplier of products, solutions and services in the energy technology field. The terms of the agreement signed between Alcoa Power and Propulsion (APP) and Siemens Energy were not disclosed.
Alcoa parts made in the U.S. and Europe will be used in, among others, the Siemens F-Class turbine which generates enough power to supply the energy needs of a city of 300,000 residents.
The Alcoa contract builds upon a 30-year relationship with Siemens and provides the opportunity to collaborate on technology to further improve industrial gas turbine performance.
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Alcoa Power and Propulsion, a major business unit of Alcoa, is a player in airfoil and structural investment castings. Serving the aerospace, defense, energy and industrial markets, its products are primarily used in jet engines and industrial gas turbines.
AA is trading up 0.52% at $8.69 on Thursday. The stock has been trading between $7.97 and $10.92 for the past 52 weeks.