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September 22, 2004 No.1019

Order for World's Largest EPB Shield Tunneling Machine From Spain
-- First Fruit of MHI's JV in Spain --
Tokyo, September 22, 2004 - MHI-Duro Felguera, S.A., a joint venture between Mitsubishi Heavy Industries, Ltd. (MHI) in Japan and Duro Felguera, S.A. in Spain, has received an order to supply the world's largest earth pressure balanced (EPB) tunnel boring machine (TBM)*, with a diameter of 15 meters, to Spain's Dragados-FCC UTE. Design work will be performed by MHI and manufacturing will be handled by Felguera Construcciones Mecánicas, S.A., a Duro Felguera affiliate. Plans call for machine fabrication to be completed in July 2005.

  EPB Shield Tunneling Machine with a diameter of 12 meters
   
The colossal EPB tunneling machine will be used for construction of a bypass tunnel on Madrid's M30 loop highway planned by that city's municipal government. The tunnel, scheduled to open in March 2007, is expected to help solve the chronic traffic jams, frequent accidents, noise and lack of greenery at the chosen site.

MHI is Japan's largest TBM manufacturer, with a record of more than 1,650 units delivered to date. Deliveries to Europe include units for the Channel Tunnel under the Straits of Dover (machine diameter: 5.6 & 8.6 meters) and for the Lyon Motorway Tunnel in Lyon, France (11 meters). To Spain, in August 1995 a unit with 4.88-meter diameter was delivered for water system construction in Cadiz, and in July 2003 two 10-meter machines were supplied for the high-speed railway linking Córdoba and Málaga. The high evaluation given to those TBMs, along with the reliability of the Spanish partner as a manufacturer close to the work site, helped MHI-Duro Felguera win the new order for the world's largest EPB TBM.

Spain is currently making rapid progress in developing its infrastructure, including high-speed railways, subways and motorways, using funds provided by the EU and other sources, and this is creating increased demand for tunneling machines. The recent acceptance of eastern European countries into the EU is also expected to spark similar infrastructure improvements throughout Europe. MHI-Duro Felguera was established in April 2003 with the aim of bringing new convenience, utility and services to European TBM users amid this growing demand. The TBM ordered for Madrid's M30 marks a first step in that direction.

* Earth pressure balanced (EPB) shield tunneling machine: A shield tunneling machine is a cylindrical-shaped machine used for underground tunneling. The cutter head, equipped with hard metal cutter picks installed on the front of the machine, rotates and excavates the ground in front of it. The segment erector, set to the rear side of the machine, assembles segments into a circular ring during excavation.

EPB is a tunneling method for maintaining ground stability in front of the machine. The EPB shield rotates its cutter head to excavate and go forward while simultaneously filling the chamber behind its cutter head with the soil removed by the rotating motion in front of the machine. The soil deposited into the chamber pushes and balances against the pressure of the ground that naturally tends to flow into the chamber, and thereby prevents the ground from collapsing.

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About Mitsubishi Heavy Industries
Mitsubishi Heavy Industries, Ltd. (MHI), headquartered in Tokyo, Japan, is one of the world's leading global heavy machinery manufacturers, with consolidated sales of 2,593 billion yen (US$21.6 billion) in fiscal 2002 (year ended March 31, 2003). MHI's diverse lineup of products and services encompasses shipbuilding, steel structures, power plants, chemical plants, steel plants, environmental equipment, industrial and general machinery, aircraft, space rocketry and air-conditioning systems.

For more information, please visit the MHI website (http://www.mhi.co.jp).


PRESS CONTACT:
Hideo Ikuno: h.ikuno@daiya-pr.co.jp
Tel: +813-6716-5277, Fax: +813-6716-5929
Daiya PR (in charge of public relations for Mitsubishi Heavy Industries, Ltd.)
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