Perini Commissions First New Power Plant in Iraq Since 1976

FRAMINGHAM, Mass.--(BUSINESS WIRE)--Aug. 25, 2004--Perini (NYSE:PCR) made history in August 2004 when the new power plant being completed in Buzurgan, Iraq was connected to the Iraqi electrical grid. This is the first new power plant to be constructed and commissioned in Iraq since 1976. Coming at the height of summer, when temperatures reach in excess of 130 degrees Fahrenheit, the new electric power is a welcome addition for the people of southern Iraq. More importantly, the plant is located in a remote area which had been poorly served by the pre-war electrical distribution system. The plant will also furnish reliable power to a nearby oil field operation, which is critical to maintaining the efficient production of oil and improving Iraq's economy in the short term.

The new plant is a 40 MW, GE LM6000PC, which was designed and equipped to utilize either natural gas or diesel as the operating fuel. In October, there was nothing at the site but a high voltage transmission tower, with gas wells burning in the distance. Perini's team designed and constructed the plant, as well as the adjacent switchyard to connect to the nearby 132kV transmission line. The team included POWER Engineers of Boise, Idaho as the lead design engineer, with Tetra Tech and General Electric's Aero Energy and Industrial Systems divisions providing specialized support. According to Scott Lancaster of G.E.'s Aeroderivative & Package Services, "this installation and erection of this equipment went faster than any of the others I have erected."

“this installation and erection of this equipment went faster than any of the others I have erected.”

Perini is nearing completion on another 40 MW generator installation at an existing power plant in southern Iraq, and has just turned over two refurbished 63 MW generators at a second existing plant to the Ministry of Electricity. Together with the Buzurgan plant, these projects will contribute nearly 200 MW to the national grid, enough to service an estimated 600,000 Iraqi homes. In April, Perini completed the rehabilitation of 360 kilometers of high voltage transmission line and towers in southeastern Iraq, and the rehabilitation of nine low voltage substations in central Iraq. All of these projects, for a combined value of $370 million, were awarded under a previously announced contingency contract with the U.S. Army Corps of Engineers. The new power will benefit the local population, which now receives 15 to 24 continuous hours of power a day, according to Colonel Thomas Koning of the Corps. This is in comparison to approximately only three hours of power per day before the war. Colonel Koning recently spent six months in southern Iraq as the District Engineer of the Corps' Gulf Region Division - South District.

Robert Band, President and Chief Operating Officer, stated, "This has been some of the most challenging work ever undertaken by our company. While we have a history of completing complex projects in short time frames in our U.S. markets, to complete this amount of work in just 10 months in Iraq was quite a feat. It is a real tribute to the dedication and team spirit of our employees, subcontractors and the U.S. Army Corps of Engineers. We are very proud of the entire team."

About Perini Corporation

Perini Corporation is a leading construction services company offering diversified general contracting, construction management and design-build services to private clients and public agencies throughout the world. We have provided construction services since 1894 and have established a strong reputation within our markets by executing large complex projects on time and within budget while adhering to strict quality control measures. We offer general contracting, preconstruction planning and comprehensive project management services, including the planning and scheduling of the manpower, equipment, materials and subcontractors required for a project. We also offer self-performed construction services including sitework, concrete forming and placement and steel erection. We are known for our hospitality and gaming industry projects, sports and entertainment, educational, and healthcare facilities as well as large and complex civil construction projects.

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