JOINT IMPLEMENTATION PROJECT DESIGNS DOCUMENT FORM Version 01 - in effect as of: 15 June 2006 CONTENTS

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1 Joint Implementation Supervisory Committee page 1 JOINT IMPLEMENTATION PROJECT DESIGNS DOCUMENT FORM Version 01 - in effect as of: 15 June 2006 CONTENTS A. General description of the project B. Baseline C. Duration of the project / crediting period D. Monitoring plan E. Estimation of greenhouse gas emission reductions F. Environmental impacts G. Stakeholders comments Annexes Annex 1: Contact information on project participants Annex 2: Baseline information Annex 3: Monitoring plan This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.

2 Joint Implementation Supervisory Committee page 2 SECTION A. General description of the project activity A.1. Title of the project activity: Title: N 2 O abatement project at 9 th ACHEMA UKL-7 plant Sectoral scope: Chemical industry Version: 01 Date: May 30, 2012 A.2. of the project activity: SC ACHEMA is a manufacturer of chemicals based in Jonava, Lithuania. The company is the biggest nitrogen fertilizers producer in Lithuania. Company has over 1,500 employees and annual fertilizers production exceeds 2 million tons. There are tens of various items in ACHEMAs product list nitrogen and compound fertilizers, adhesives, resins, industrial gases, other chemical products and intermediates. This project relates to the UKL-7 nitric acid production technology used in ACHEMA for further processing and production of finalised goods. ACHEMA already operates two types of nitric acid plants including N 2 O Abatement: one plant Grande Paroisse type (GP, France design, registered as JI project 0064) and nine UKL-7 type Russian design plants (eight of them were registered as JI project 0089). On 3 rd of June 2011 UNFCCC has confirmed a new ACM0019/v methodology N 2 O abatement from nitric acid production, which allows implementing JI projects at plants which start of operation is after 2005 years. Based on this new methodology arise an opportunity to implement JI project at ninth UKL-7 type plant, which has been put into operation in September of Whereas project at ninth UKL-7 plant will be implemented only in 2012, default N 2 O baseline emissions factor based on ACM0019 methodology section Data and parameters not monitored is as follows EF default, 2012 = 3.9 kg N 2 O/ t HNO 3. Nitrous oxide is an unwanted by-product of the process of oxidising ammonia to create nitric oxide, which is required for the production of nitric acid. The emissions of 1 tonne N 2 O corresponds to 310 tonnes CO 2 e. The aim of the project activity is to reduce N 2 O emissions in the tail gas by installing the secondary de- N 2 O catalyst inside the basket of ammonia oxidation reactor (burner), right below the primary platinum gauze catalyst. The secondary catalyst decomposes N 2 O into N 2 and O 2 gas. On April of 2012 in ammonia burner of ninth UKL-7 type plant was installed secondary catalyst for N 2 O decomposition, which allows to reducing ~ 65,000 CO 2 eq. emissions during 2012 year. A.3. Project participants: Name of Party Private and /or public entity (ies) project participants Indicate whether the Party involved wishes to be considered as project participant (Yes/No) Lithuania (host) SC ACHEMA No A.4. Technical description of the project activity: A.4.1. Location of the project activity: A Host Party(ies): Lithuania A Region/State/Province etc.: Jonavos region This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.

3 Joint Implementation Supervisory Committee page 3 A City/Town/Community etc.: Jonalaukio village, Ruklos county A Detail of physical location, including information allowing the unique identification of the project (maximum one page): SC ACHEMA plant is located near to town of Jonava at confluence of rivers Neris and Sventoji. Picture 1 Source: Picture 2 Source: 1:112,000, Position: N E This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.

4 Joint Implementation Supervisory Committee page 4 A.4.2. Technology(ies) to be employed, or measures, operations or actions to be implemented by the project: Information on the plant The ninth UKL-7 nitric acid plant at ACHEMA was constructed on September of The plant has a rated capacity 350 tonnes of nitric acid per day. This plant consists of ammonia and air preparation, feeding system, ammonia burner, heat exchange system, turbine and absorption tower. Tail gas with N 2 O is emitted to the atmosphere through the stack. Information about formation of nitrous oxide emissions In the ammonia burners ammonia is burned with air in the presence of a precious metals Platinum/Rhodium catalyst (the primary catalyst ), which is located inside the burner. In the presence of the primary catalyst, nitrogen reacts with oxygen and forms nitrogen oxide (NO). In the production process of nitric acid (HNO 3 ), N 2 O is produced as a lateral material from ammonia (NH 3 ). 1. NH3 + 2 O2 HNO3 + H2O (overall desirable reaction) 2. 4 NH3 + 5 O2 4 NO + 6 H2O (desirable in the NH3 oxidization process) 3. 2NO + O2 2 NO2 (desirable in the NO oxidization process) 4. 3 NO2 + H2O 2 HNO3 + NO (desirable in the NO2 absorption process) 5. 4 NH3 + 3 O2 2 N2 + 6 H2O (undesirable) 6. 4 NH3 + 4 O2 2 N2O + 6 H2O (undesirable) 7. 2 NH3 + 8 NO 5 N2O + 3 H2O (undesirable) Through the sixth and seventh reactions, some N 2 O is generated in the process. Technology to be employed by the project The project entails the installation of: Secondary N 2 O abatement technology, Specialized monitoring equipment that is installed at the tail gas stream after the abatement of N 2 O emissions. Catalyst Technology The secondary N 2 O abatement catalyst will be installed in the ammonia burner downstream after platinum gauzes. The secondary catalyst will be placed in the appropriate support system. The gap between the edge of the support structure and inside wall of the ammonia burner will be sealed to avoid gasses passing around the secondary catalyst. In this way the technology will ensure that all gases which pass through the primary catalyst also will pass through the secondary catalyst. In addition NO x is reduced in a separate catalyst bed by reduction with ammonia. In the presence of the secondary catalyst at 800 C C temperature the N 2 O breaks down into N 2 and O 2 following the reaction: 2N 2 O = 2N 2 +O 2 Neither of these gases are greenhouse gases. This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.

5 Joint Implementation Supervisory Committee page 5 Figure1. Image flow of secondary catalyst The secondary catalyst destroys from 90% to 95% of the N 2 O. The secondary catalyst has been installed at ninth UKL-7 plant on April of For information about the technology installed for measuring and recording the emissions of nitrous oxide from the plant, see below the section D.1.2. IMPLEMENTING OF JI PROJECTS IN ACHEMA JI projects (0064 and 0089) at ACHEMA are implemented in accordance with AM0034 methodology/version 02 Catalytic reduction of N 2 O inside the ammonia burner of nitric acid plants. In accordance to the conditions of applicability specified in this methodology (AM0034 methodology, section Applicability and in PDD of ACHEMA UKL-7 plant N 2 O abatement project, section B1, Justification of methodology) one of the main requirements was, that the nitric acid plant should be put into operation till 31st of December In 2007 years, from the beginning of the implementation of JI projects, at SC ACHEMA were operated eight UKL-7 type and one GP type plants, which had begun operation before the above date. Ninth UKL - 7 type plant has been built near to existing eight UKL-7 type plants and put into operation in 13 th of September This was the main reason for this plant to the JI project with 1-8 units was not included. On 3 rd of June 2011 UNFCCC has confirmed a new ACM0019/v methodology N 2 O abatement from nitric acid production, which allows implementing JI projects at plants which start of operation is after 2005 years. Based on this new methodology arises an opportunity to implement JI project at 9 th UKL-7 type unit. This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.

6 Joint Implementation Supervisory Committee page 6 A.4.3. Brief explanation of how the anthropogenic emissions of greenhouse gases by sources are to be reduced by the proposed JI project, including why the emission reductions would not occur in the absence of the proposed project, taking into account national and/or sectoral policies and circumstances: Brief description of additionality discussed in B.2. IPPC permit No.2/15 issued to ACHEMA on December 28, 2004 (updated due to nitric acid production on April 30, 2008) creates a degree of balance between voluntary actions taken by ACHEMA and mandatory emission limit values imposed into the IPPC permit. Gradual imposition of emission limit values according to a realistic implementation schedule of N2O abatement techniques generates significant environmental benefit because this is compatible with JI and so reductions begin as soon as the JI project is implemented. A Estimated amount of emission reductions over the crediting period: Length of the crediting period from 18/04/2012 till 31/12/2012 Estimate of annual emission reductions in tonnes of CO 2 equivalent Total estimated emission reductions over the crediting period (tonnes of CO 2 equivalent) For the calculation of the estimated emission reductions it was take into account: The rated capacity 350 thno 3 /day, ( t HNO 3 per crediting period) A default factor (EF default, y ) (see B.1.) for calculating baseline emissions (BE n ), Whereas project at ninth UKL-7 plant will be implemented only in 2012, default emission factor based on ACM0019 methodology section Data and parameters not monitored is determined as follows EF default, 2012 = 3.9 kg N 2 O/ t HNO 3 A reduction efficiency of 90 %. Below are submitted the following estimates: (( )* 100))/3.9 = 89,62% 3.9 is EF default, 2012, N 2 O kg/t HNO 3, ( ) is likely to achieve the N 2 O emissions reduction, kg/t HNO 3 A.5. Project approval by the Parties involved: On 20 th of October 2011 Lithuanian Ministry of Environment has approved JI Project Idea Note at the ninth UKL-7 type plant in Letter of Endorsement No. (10-2)-D SECTION B. Baseline B.1. and justification of the baseline chosen: Applicable baseline and monitoring methodology: ACM0019 Version : N 2 O abatement from nitric acid production Methodological tools referred to in ACM0019 as in this PDD: This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.

7 Joint Implementation Supervisory Committee page 7 Tool to determine the mass flow of a greenhouse gas in a gaseous stream (Version ) Tool to calculate project or leakage CO 2 emissions from fossil fuel combustion (Version 02) In this project this toll is not applicable, whereas the tertiary N 2 O abatement system will be not installed at the ninth UKL-7 type plant. Justification of the methodology The chosen baseline methodology ACM0019 is applicable for N 2 O abatement projects at new nitric acid production lines having started operations after 2005 and in which secondary N 2 O abatement technology is installed inside the burner. Applicability Condition Methodology ACM0019 In the case that the nitric acid plant started commercial operation before the implementation of the CDM project activity, the project participants shall demonstrate that there was no secondary or tertiary abatement technology installed in the respective nitric acid plant; Continuous real-time measurements of the N2O concentration and the total gas volume flow can be carried out in the tail gas stream after the abatement of N2O emissions throughout the crediting period of the project activity; No law or regulation which mandates the complete or partial destruction of N2O from nitric acid plants exists in the host country where the CDM project activity is implemented. In addition, the applicability conditions included in the tools Tool to determine the mass flow of a greenhouse gas in a gaseous stream The mass flow of a particular greenhouse gas is calculated based on measurements of: (a) the total volume flow or mass flow of the gas stream, (b) the volumetric fraction of the gas in the gas stream and (c) the gas composition and water content. The flow and volumetric fraction may be measured on a dry basis or wet basis. The tool covers the possible measurement combinations, providing six different Justification The ninth UKl-7 plant was commissioned in 13 th September of In this plant till 18th April of 2012 (date starting of JI project activity) secondary or tertiary abatement technology was not installed. Continuous real-time measurements of the N2O concentration and the total gas volume flow are carried out from 18 April of According to IPPC in 2011 year max. legal emissions from UKL-7 plants (JI Project at 1-8 UKL plants (0089) and at ninth UKL plant) were t N 2 O, actual emissions were t N 2 O. Regulated max. legal emissions in 2012 year t N 2 O. After implementing of JI project at ninth UKL-7 plant actual emissions will be less than EU ETS requirements take effect in 2013 (according Article 10a of Directive 2003/87/EC). Accordingly the applicable legal requirements don t force the implementation of JI project at ninth UKL-7 plant in At ninth UKL-7 type plant for the measurement Option B and for the moisture content Option 1 will be. This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.

8 Joint Implementation Supervisory Committee page 8 calculation options to determine the mass flow of a particular greenhouse gas (Options A to F shown in Table 1). Typical applications of this tool are methodologies where the flow and composition of residual or flared gases or exhaust gases are measured for the determination of baseline or project emissions. Methodologies where CO2 is the particular and only gas of interest should continue to adopt material balances as the means of flow determination and may not adopt this tool as material balances are the cost effective way of monitoring flow of CO2. The underlying methodology should specify: (a) The gaseous stream the tool should be to, (b) For which greenhouse gases the mass flow should be determined, (c) In which time intervals the flow of the gaseous stream should be measured, and (d) Situations where the simplification offered for calculating the molecular mass of the gaseous stream (equations (3) or (17)) is not valid (such as the gaseous stream is predominantly composed of a gas other than N2). Tail gas stream. For N 2 O gases. On 2 s interval or shorter. Not applicable. Tool to determine the remaining lifetime of equipments The tool provides guidance to determine the remaining lifetime of baseline or project equipment. The tool may, for example, be used for project activities which involve the replacement of existing equipment with new equipment or which retrofit existing equipment as part of energy efficiency improvement activities. Methodologies referring to this tool should clearly specify for which equipment the remaining lifetime should be determined. The remaining lifetime of relevant equipment shall be determined prior to the implementation of the project activity. Project participants using this tool shall document transparently in the CDM-PDD how the remaining lifetime of applicable equipment has been determined, including (references to) all documentation used. Under this tool, impacts on the lifetime of the equipment due to policies and regulations (e.g. environmental regulations) or changes in the services needed (e.g. increased energy demand) are not considered. Methodologies referring to this tool Not applicable. Gas turbines, up to 50MW capacity-default value for technical lifetime hours Not applicable. This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.

9 Joint Implementation Supervisory Committee page 9 shall, where applicable, provide specific guidance on how regulations that warrant the replacement of the equipment before it has reached the end of its technical lifetime should be addressed. Tool to calculate Project or leakage CO 2 emissions from fossil fuels combustion This tool provides procedures to calculate Project and/or leakage CO 2 emissions from the combustion of fossil fuels. It can be used in cases where CO 2 emissions from fossil fuel combustion are calculated based on the quantity of fuel combusted and its properties. Methodologies using this tool should specify to which combustion process j this tool is being. Not applicable. In SC ACHEMA fossil fuel will not be used. The applicability criteria of the chosen methodology are met by the project: The plant was started up in N 2 O abatement technology wasn t installed at the plant till now. The plant is equipped with a complete Automated Monitoring System (AMS) which continuously monitors N 2 O concentration gas flow of the tail gas stream. The AMS is installed and maintained in accordance with European Norm EN The project activity will not increase NO x emissions The project will not affect the plant s nitric acid production levels The project will not lead to any material change in other greenhouse gas emissions within the project boundary Baseline N 2 O emission factor for this project (nitric acid production) in 2012 will be determined in accordance with ACM0019 methodology (Version ) section Data and parameters not monitored. EF BL,N2O,n Data unit kg N 2 O/tHNO 3 Source of data (to be) used Baseline N 2 O emission factor for nitric acid production in monitoring period n The default N 2 O baseline emission factor will vary every year. In year 2005, the emission factor will be 5.1 and then it will decrease every year until it reaches a final value of 2.5 in the year The value of 2.5 will remain constant after 2020, as provided in the following table Year Emissions factor (kgn2o/thno3) This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.

10 Joint Implementation Supervisory Committee page Year n 2.50 Default N 2 O baseline emissions factor in 2012 is 3.9 kg N 2 O/ t HNO 3. Value will be used for calculations of baseline and projects emissions P NA,n Data unit t HNO 3 Nitric acid produced in the monitoring period n Data and parameters are monitored throughout the crediting period. Source of data (to be) used HNO 3 flow from blowing column measured via orifice plate and differential pressure transmitter IDP10-B. HNO 3 concentration is measured via refractometer DTR-M-GP. 100% HNO 3 production log is calculated in DCS Foxboro acc. to formula: (L9_HNO3_conc/100)*L9_Flow_HNO 3 Will be monitored Specified in the Methodology AM Ongoing quality assurance acc to manufacturers recommendations and acc. to Nitric acid UKL-7 (1-9) plant N 2 O monitoring system maintenance procedure within QAL3 scope provided Data will be archived in electronic and paper form for at least 2 years after end of the crediting period This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.

11 Baseline Joint Implementation Supervisory Committee page 11 Data unit Source of data (to be) used GWP N2O tco 2 e/tn 2 O Global warming potential of N 2 O valid for the commitment period. Data is determined once and remain fixed throughout the crediting period and are available at the stage of determination regarding the PDD Relevant decision by CMP 310 Specified in the methodology B.2. of how the anthropogenic emissions of greenhouse gases by sources are reduced below those that would have occurred in the absence of the JI project: According to the baseline and monitoring methodology ACM0019 (Version 1.0.0), the project activity is considered to be additional in the absence of regulations requiring the abatement of N 2 O emissions. The operator of the nitric acid plant has no economic incentives to take any N 2 O abatement measure because this entails capital and operation costs but no financial benefits. In the absence of any regulation, the baseline scenario is emitting N 2 O to the atmosphere with no N 2 O abatement measure being implemented. ACHEMA closely followed the developments of new methodologies which would allow it to register a JI project at its new nitric acid plant (Ninth UKL-7 plant was started up in 2008). The decision to implement an N 2 O abatement project was taken on 09/08/2011. The only advantage of N 2 O abatement is reduction of this potential greenhouse gas in order to introduce climate change mitigation measures. JI project implementation and the use of ERUs sale proceeds is the only possible solution for reducing N 2 O emissions at the nitric acid plant of ACHEMA. B.3. of how the definition of the project boundary is to the project: The spatial extent of the project boundary encompasses the facility and equipment for the nitric acid production process from the inlet of the ammonia burner to the outlet of the tail gas section. If the project activity introduces only secondary catalyst and no tertiary N 2 O abatement, then the only gas to be included as project emissions is the N 2 O that is not destroyed and is still present in the tail gas stream of the plant. The situation using a secondary abatement technology is illustrated in Figure 1. The greenhouse gases included in or excluded from the project boundary are show in Table 1. Source Gas Included? Justification /Explanation CO 2 No The Project activity has no influence on NH 3 oxidation at the primary these types of emissions, if present CH 4 No catalyst gauze N 2 O Yes Included, main emission source This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.

12 Project activity Joint Implementation Supervisory Committee page 12 NH 3 oxidation at the primary catalyst gauze Operation of a tertiary N 2 O Abatement facility CO 2 No The Project activity has no influence on CH 4 No these types of emissions, if present N 2 O Yes Included, main emission source CO 2 No In SC ACHEMA case, fossil fuels will CH 4 No not be used as reducing agent for additional tail gas heating and/or for decomposing the tail gas (this is a tertiary N 2 O abatement facility). In this case the fossil fuels are mainly converted to CO 2. CO 2 emissions arising from the production of ammonia are assumed to be small and not taken into account N 2 O Yes Included The boundary of the project will be from the inlet of the Ammonia Oxidation Reactor to the outlet of the stack of the nitric acid plant. The inlet of ammonia into the ammonia oxidation reactors of ninth plant is the first point in the project boundary and the gas emission from the stacks is the last point in the nitric acid production process included into the project boundary. B.4. Further baseline information, including the date of baseline setting and the name(s) of the person(s)/entity(ies) setting the baseline: Date of baseline is set 10/04/2012. Contact person Mr. Andrejus Šostakas is a representative of the Project participant, listed in Annex 1. Baseline will be set 3.9 kg N 2 O/ t HNO 3 based on ACM0019 methodology section Data and parameters not monitored. SECTION C. Duration of the project / crediting period C.1. Starting date of the project: The starting date of a JI project activity is 18 th April of On this date at the ninth UKL plant begins real action with installed secondary catalyst. C.2. Expected operational lifetime of the project: The existing nitric acid plant, with a design capacity of 350 t/day 100 % nitric acid, was commissioned in 13 th September of Main equipment which determine lifetime of the plant is gas turbine GTT-3M. This turbine consists of axial compressor, turbo compressor and gas turbine. According to the Tool to determine the remaining lifetime of equipment default value for technical lifetime of gas turbines up to 50MW is hours. Based on this statement ninth UKL-7 nitric acid plant has a remaining operational lifetime of at least 17 years from current date. C.3. Length of the crediting period: The period for crediting of ERUs is from 18 th April 2012 to 31 st December This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.

13 Joint Implementation Supervisory Committee page 13 SECTION D. Monitoring plan D.1. of monitoring plan chosen: PURPOSE OF THE MONITORING PLAN The purpose of the monitoring plan is to describe the system used to monitor emissions of N 2 O from the plant in such a way that is compliant with the prescriptions of the ACM0019/Version PLANT DESCRIPTION The UKL-7 nitric acid plant comprises recently nine production lines, each with its own burner, absorption column and expansion turbine. Each production line represents a separate nitric acid production unit independent from each other. The tail gasses from each line are after expansion turbines led to a common stack bus and vented through two interconnected stacks (please see Picture 1). The design and technical data (technology, size, capacity, etc.) of ninth UKL-7 type plant are similar to the eight already operating the UKL-7 type plants, which are in scope of the JI project No 0089 ACHEMA UKL-7 plant N 2 O abatement project. MONITORING SYSTEM ARCHITECTURE Picture1. Layout of nitric acid plant Throughout the crediting periods of the project activity, the N 2 O concentration and volume flow of the tail gas are monitored continuously. In order of being able to calculate the baseline emission factor expressed as tonnage of N 2 O in t CO 2 e per 1 tonne of HNO 3 (100%), it is necessary to include also HNO 3 measurement, and in order of being able to document normal operating conditions it is necessary to include also operating conditions measurement. Because of this we use the term Monitoring System (MS) to describe entire monitoring system directly and indirectly used for the JI purposes, while Automated Measurement System (AMS) covers only N 2 O emissions and tail gas mass volume part of the MS. This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.

14 Joint Implementation Supervisory Committee page 14 Monitoring System (MS) in scope of the JI project No means: 1. Monitoring system measuring operational conditions; a. Ammonia volume flow b. Ammonia temperature c. Ammonia pressure d. Primary air volume flow e. Primary air temperature f. Primary air pressure g. Oxidation temperature h. Oxidation pressure i. Injected steam flow j. Injected steam pressure k. Injected steam temperature 2. Nitric acid 100% concentrate production; a. Nitric acid concentration b. Nitric acid flow c. Nitric acid temperature 3. Measurement devices for measurement of N 2 O concentration and tail gas flow, temperature and pressure (AMS) a. N 2 O concentration in the stack b. Stack volume flow rate c. Stack gas temperature d. Stack gas pressure Incorporation of the measurements used for JI project of ninth plant into the MS is presented by the diagram below: Picture 2. Incorporation of the measurements used for JI project of ninth UKL-7 plant into the MS This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.

15 Joint Implementation Supervisory Committee page 15 Monitoring system of ninth UKL-7 plant MONITORING PLAN N 2 O concentration is measured by an extractive measurement system. Tail gas samples are taken from respective tail gas duct at sampling point located after expansion turbines and transported by heated sample line to the Monitoring room B (Picture 1) located in the main production hall. N 2 O concentration is continuously measured by a separate N 2 O concentration meter XENTRA Tail gas flow is measured by ultrasonic DURAG DF-L 200 flow meter. The principle of operation is based on ultrasound impulse rate through the entire duct cross-section. The sensors are located at the longest horizontal part of duct to ensure the highest possible accuracy of measuring (please see Picture 3). Picture 3. Location of volume flow sensors This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.

16 Joint Implementation Supervisory Committee page 16 Measured data of N 2 O concentration, tail gas flow rate, pressure and temperature as well as nitric acid 100% concentrate production and operational condition parameters are sent on a 2 seconds basis in a form of 4-20 ma signals to the data logger for further proceeding. The monitoring system provide separate hourly average values for the N 2 O concentration and the volume flow of the tail gas based on 2 seconds interval readings that are recorded and stored electronically. These N 2 O data sets are identified by means of a unique time / date key indicating when exactly the values were observed. All measurements are conducted with calibrated measurement equipment according to relevant industry standards. The correction factors derived from the calibration curve of the QAL2 audit for the monitoring components as determined during the QAL2-test in accordance with EN14181 will be to both the N 2 O concentration and the volume flow of the tail gas. EN14181 compliance According to the requirements of the AM0019 methodology the implemented N 2 O automatic measurement system (AMS) and its maintenance complies with requirements of the European Norm The AMS devices have following QAL1 certificates: - MCERTS Product conformity certificate Sira MC030013/03 for Servomex 4900 Multigas Analyzer, issued 19 November 2008; - Certificate TUEV Rheinland Immisionsschutz und Energiesysteme GmbH for D-FL-200, issued 16 October For the implemented monitoring system there was the QAL2 test carried out on 11th-16th December of 2011 by an independent laboratory AIRTEC certified according to ISO Results of the calibration and validation are valid. The QAL2 corrective factors set for N 2 O concentration, tail gas flow rate, pressure and temperature will be for project calculation of emissions parameters mean hourly values. Ongoing quality assurance during operation (QAL3) procedures is performed acc. to EN and specifications of manufacturers. This template shall not be altered. It shall be completed without modifying/adding headings or logo, format or font.

17 Joint Implementation Supervisory Committee page 17 D.1.1. Option 1 Monitoring of the emissions in the project scenario and the baseline scenario: D Data to be collected in order to monitor emissions from the project, and how these data will be archived: Data unit Source of data (to be) used Q N2O,tail gas,n t N 2 O Amount of N 2 O released through the tail gas of the project plant to the atmosphere in monitoring period n Calculated acc. to formula PE N2O,n = (Q N2O,tailgas,n + Q N2O,by-pass ) * GWP N2O Q N2O,by-pass = 0 Specified in the Methodology AM00019 Data unit Source of data (to be) used calculations/determination) GWP N2O tco 2 e/tn 2 O Global warming potential of N 2 O valid for the commitment period. Data is determined once and remain fixed throughout the crediting period and are available at the stage of determination regarding the PDD Relevant decision by CMP 310 Specified in the Methodology AM00019 Data unit F N2O, tail gas,h kg N 2 O/h Mass flow of N 2 O in the gaseous stream of the tail gas in the hour h Will be monitored throughout the crediting period

18 Joint Implementation Supervisory Committee page 18 Source of data (to be) used N 2 O concentration: N 2 O analyzer. Stack gas volume: Ultrasonic flowmeter Will be monitored Specified in Methodological Tool Tool to determine the mass flow of a greenhouse gas in a gaseous stream (Version ) N2O concentration and volume flow of the tail gas will be monitored continuously. The monitoring system is installed and maintained for crediting period based on EN It will provide separate hourly average values for the N2O concentration and volume flow based on 2 seconds (or shorter) intervals that are recorded and stored electronically and paper form for at least 2 years after end of the crediting period Both the flow meter and analyzer have QAL1 certificates, according to EN1418 QAL 2 test and calibration have been performed by laboratory AIRTEC with EN accreditation. Ongoing quality assurance acc to manufacturers recommendations and acc. to Nitric acid UKL-7 (1-9) plant N 2 O monitoring system maintenance procedure within QAL3 scope provided This parameter will be monitored in Options B h n Data unit - Number of hours in monitoring period n during which the plant was in operation Data and parameter are monitored throughout the crediting period. Source of data (to be) used Distributed control system Foxboro Will be monitored The design temperature of ammonia oxidation burner under the primary gauzes is 600 C and this operational approximate temperature corresponds to the real operation hours of the ammonia oxidation reactor. This temperature is measured continuously via a thermocouple. Operational hours are determined as those hours where upon the measured temperature is in excess of 600C. The thermocouple meter will be maintained and calibrated in accordance with the manufacturer s recommendations. Ongoing quality assurance acc. to Nitric acid UKL-7 (1-9) plant N 2 O monitoring system maintenance procedure within QAL3 scope provided. Data will be archived in electronic and paper form for at least 2 years after end of the crediting period EF BL,N2O,n Data unit kg N 2 O/tHNO 3 Baseline N 2 O emission factor for nitric acid production in monitoring period n

19 Joint Implementation Supervisory Committee page 19 Source of data (to be) used The default N 2 O baseline emission factor will vary every year. In year 2005, the emission factor will be 5.1 and then it will decrease every year until it reaches a final value of 2.5 in the year The value of 2.5 will remain constant after 2020, as provided in the following table Year Emissions factor (kgn2o/thno3) Year n 2.50 Default N 2 O baseline emissions factor in 2012 is 3.9 kg N 2 O/ t HNO 3. Value will be used for calculations of baseline and projects emissions P NA,n Data unit t HNO 3 Nitric acid produced in the monitoring period n Data and parameters are monitored throughout the crediting period. Source of data (to be) used HNO 3 flow from blowing column measured via orifice plate and differential pressure transmitter IDP10-B. HNO 3 concentration is measured via refractometer DTR-M-GP. 100% HNO 3 production log is calculated in DCS Foxboro acc. to formula: (L9_HNO3_conc/100)*L9_Flow_HNO 3 Will be monitored

20 Joint Implementation Supervisory Committee page 20 Specified in the Methodology AM Ongoing quality assurance acc to manufacturers recommendations and acc. to Nitric acid UKL-7 (1-9) plant N 2 O monitoring system maintenance procedure within QAL3 scope provided Data will be archived in electronic and paper form for at least 2 years after end of the crediting period V t,db Data unit Source of data (to be) used Calculated acc to formula V t,db = V t,wb /(1+v H2O,t,db ) m 3 dry gas/h Volumetric flow of the gaseous stream in time interval t on a dry basis Specified in the Methodology AM00019 v N2O,,t,db Data unit m 3 gas N 2 O /m 3 dry gas Volumetric fraction of greenhouse gas N 2 O in a time interval t on a dry basis Data and parameter are monitored throughout the crediting period. Source of data (to be) used N 2 O concentration measured via an infrared N 2 O gas analyzer XENTRA Will be monitored Specified in the Methodology AM00019 The requirements of the latest version of EN will be, as per ACM Ongoing quality assurance acc. to manufacturer s recommendations and Nitric acid UKL-7 (1-9) plant N 2 O monitoring system maintenance procedure within QAL3 scope Calibration includes zero verification with an inert gas (e. g. N 2 ) and at least one reading verification with a standard gas (single calibration gas or mixture calibration gas). All calibration gases have a certificate provided by the manufacturer and are under their validity period.

21 Joint Implementation Supervisory Committee page 21 This parameter will be monitored in Options B. Data will be archived in electronic and paper form for at least 2 years after end of the crediting period ρ N2O,t Data unit kg gas N 2 O /m 3 gas N 2 O Density of greenhouse gas N 2 O in the gaseous stream in time interval t Data is determined once and remain fixed throughout the crediting period and are available at the stage of determination regarding the PDD Source of data (to be) used Pt MM N 2O Calculated acc to formula Ru Tt Only N 2 O gases will be determined. Data unit Source of data (to be) used P t Pa Absolute pressure of the gaseous stream in time interval Data and parameter are monitored throughout the crediting period. Absolute pressure measured via pressure transmitter DMP331i Will be monitored Specified in the methodology ACM The QAL 2 test and calibration according to EN1418 have been performed by laboratory AIRTEC with EN accreditation. Ongoing quality assurance acc to manufacturers recommendations and acc. to Nitric acid UKL-7 (1-9) plant N 2 O monitoring system maintenance procedure within QAL3 scope provided The requirements of the latest version of EN will be, as per ACM Data will be archived in electronic and paper form for at least 2 years after end of the crediting period Data unit MM N2O kg/kmol Molecular mass of greenhouse gas N 2 O Data is determined once and remain fixed throughout the crediting period and are available at the stage of determination regarding the PDD

22 Joint Implementation Supervisory Committee page 22 Source of data (to be) used 44,02 Data unit Source of data (to be) used R u Pa. m 3 /kmol.k Universal ideal gases constant Data is determined once and remain fixed throughout the crediting period and are available at the stage of determination regarding the PDD 8,314 T t Data unit K Temperature of the gaseous stream in time interval Data and parameter are monitored throughout the crediting period. Source of data (to be) used Temperature measured via sensor Pt100, temperature transmitter INPAL 420. Will be monitored Specified in the methodology ACM The QAL 2 test and calibration according to EN1418 have been performed by laboratory AIRTEC with EN accreditation. Ongoing quality assurance acc to manufacturers recommendations and acc. to Nitric acid UKL-7 (1-9) plant N 2 O monitoring system maintenance procedure within QAL3 scope provided The requirements of the latest version of EN will be, as per ACM Data will be archived in electronic and paper form for at least 2 years after end of the crediting period

23 Joint Implementation Supervisory Committee page 23 V t,wb Data unit m 3 wet gas /h Volumetric flow of the gaseous stream in time interval t on a wet basis Data and parameter are monitored throughout the crediting period. Source of data (to be) used Ultrasonic gas flow meter D-FL-200 Will be monitored Specified in the methodology ACM The QAL 2 test and calibration according to EN1418 have been performed by laboratory AIRTEC with EN accreditation. Ongoing quality assurance acc to manufacturers recommendations and acc. to Nitric acid UKL-7 (1-9) plant N 2 O monitoring system maintenance procedure within QAL3 scope provided The requirements of the latest version of EN will be, as per ACM This parameter will be monitored in Options B. Data will be archived in electronic and paper form for at least 2 years after end of the crediting period Data unit Source of data (to be) used v H2O, t,db m 3 H 2 O/m 3 dry gas Volumetric fraction of H 2 O in the gaseous stream in time interval t on a dry basis Calculated acc to formula: v H 2 O, t, db= m H 2O, t, db MM MM H 2O t, db Data unit m H2O,t,db kg H 2 O/kg dry gas Absolute humidity in the gaseous stream in time interval t on a dry basis

24 Joint Implementation Supervisory Committee page 24 Source of data (to be) used The mean value among three consecutive measurements performed in the same day (at least 2 hours each) shall be considered. measurements should coincide with the Annual Surveillance Test (associated with requirements of the EN standard) or the calibration of the flow meter for the gaseous stream CH 2O, t, db Calculated by formula m H 2 O, t, db = 6 10 p t, db, n Measurements according to the USEPA CF42 method 4-Gravimetric determination of water content According to the USEPA CF42 method 4 Monitoring is required if Option 1 described in the Determination of the absolute humidity of the gaseous stream section of the tool is. Data unit Source of data (to be) used MM H2O kg H 2 O/kmol H 2 O Molecular mass of H 2 O 18,0 Data unit Source of data (to be) used C H2O,t,db,n mg H 2 O/m 3 dry gas Moisture content of the gaseous stream in time interval t on a dry basis at normal conditions Will be measured

25 Joint Implementation Supervisory Committee page 25 Data unit Source of data (to be) used ρ,t,db,n kg dry gas/m 3 dry gas Density of the gaseous stream in time interval t on a dry basis at normal conditions Pn MM Calculated acc to formula ρ,t,db,n = R T t, db u n Data unit Source of data (to be) used MM t,db kg dry gas/kmol dry gas Molecular mass of the gaseous stream in time interval t on a dry basis 28,0 Based on tool as a simplification the volumetric fraction of only the gases N 2 O and is considered in the emission reduction calculation in the underlying methodology must be monitored and the difference to 100% may be considered as pure nitrogen Data unit Source of data (to be) used P n kpa Absolute pressure at normal conditions Data is determined once and remain fixed throughout the crediting period and are available at the stage of determination regarding the PDD

26 Joint Implementation Supervisory Committee page ,325 Data unit Source of data (to be) used T n K Temperature at normal conditions Data is determined once and remain fixed throughout the crediting period and are available at the stage of determination regarding the PDD 273,15 D of formulae used to estimate project emissions (for each gas, source etc.; emissions in units of CO 2 equivalent): Project emissions include emissions of N 2 O which have not been destroyed by the project activity and, in case of the installation of a tertiary N 2 O abatement facility, CO 2 emissions resulting from the operation of the N 2 O abatement facility. Project emissions are calculated as follows: PE n = PE N2O,n + PE CO2,tertiary (1) Where: PE n - Project emissions in monitoring period n (t CO 2 e) PE N2O,n - Project emissions of N 2 O from the project plant in monitoring period n (t CO 2 e) PE CO2,tertiary,n - Project emissions of CO 2 from the operation of the tertiary N 2 O abatement facility in monitoring period n (t CO 2 ). PE CO2,tertiary = 0, whereas the tertiary N 2 O abatement system will be not installed at the ninth UKL-7 type plant, accordingly PE n = PE N2O,n (2)

27 Joint Implementation Supervisory Committee page 27 Project emissions of N 2 O from the project plant (PE N2O,n ) The N 2 O emissions from the project activity include two emissions source: (a) The N 2 O contained in the tail gas stream of the plant which is released to the atmosphere; and (b) In the case of a tertiary N 2 O abatement, the N 2 O contained in any by-pass streams to the tertiary N 2 O abatement facility. Accordingly, PE N2O,n is determined as follows: PE N2O,n = (Q N2O,tailgas,n + Q N2O,by-pass ) * GWP N2O (3) Where: PE N2O,n - Project emissions of N 2 O from the project plant in monitoring period n (t CO 2 e) Q N2O,tail gas,n - Amount of N 2 O released through the tail gas of the project plant to the atmosphere in monitoring period n (t N 2 O) Q N2O,by-pass,n - Amount of N 2 O released through the bay-pass to a tertiary N 2 O abatement system to the atmosphere in monitoring period n (t N 2 O) GWP N2O - Global warming potential of N 2 O valid for the commitment period. Q N2O,by-pass = 0, whereas the tertiary N 2 O abatement system will be not installed at the ninth UKL-7 type plant, accordingly PE N2O,n = Q N2O,tailgas,n * GWP N2O (4) Determination of Q N2O,tail gas,n The amount of N 2 O emissions from the tail gas stream of the project plant shall be determined using the Tool to determine the mass flow of a greenhouse gas in a gaseous stream. In applying the tool, the following provisions apply: Throughout the crediting periods of the project activity, the N 2 O concentration and volume or mass flow of the tail gas are monitored continuously. The installed monitoring system is maintained throughout the crediting period based on the European Norm (2004), or any more recent update of that standard; The monitoring system should provide separate hourly average values for the N 2 O concentration and the volume or mass flow of the tail gas based on 2 seconds (or shorter) interval readings that are recorded and stored electronically. These N 2 O data sets shall be identified by means of a unique time/date key indicating when exactly the values were observed; The correction factors derived from the calibration curve of the QAL2 audit for the monitoring components as determined during the QAL2-test in accordance with EN14181 must be to both the N 2 O concentration and the volume or mass flow of the tail gas. This can either be automatically to the raw data recorded by the data storage system at the plant or it can be to the calculated hourly averages as part of the calculation of project emissions; If data for either the N 2 O concentration or the volume or mass flow of the tail gas are not available for more than 1/3 of any hour while the plant was in operation, the value for that hour shall be replaced with the maximum value of N 2 O concentration or volume or mass flow of the tail gas observed during the monitoring period. If data for neither the N 2 O concentration nor the volume or mass flow of the tail gas are available for more than 1/3 of any hour while the plant was in operation, the maximum value of mass flow of N 2 O calculated during the monitoring period shall be to any such hour. Values observed during five operating hours before and after a plant start-up and shut-down shall not be used for the determination of the maximum values. The hourly values are then aggregated for the duration of the monitoring period n, as follows:

28 Joint Implementation Supervisory Committee page 28 h h n Q N2O,tail gas,n = F N2O,tailgas,h *10-3 (5) h 1 Where: Q N2O,tail gas,n - Amount of N 2 O released through the tail gas of the Project plant to the atmosphere in monitoring period n (t N 2 O) F N2O, tail gas,h - Mass flow of N 2 O in the gaseous stream of the tail gas in the hour h (kg N 2 O/h) h n - Number of hours in monitoring period n during which the plant was in operation. Application of methodological tool Tool to determine the mass flow of a greenhouse gas in a gaseous stream (v02.0.0) requirements This tool provides procedures to determine the mass flow of a greenhouse gas in gaseous stream. The tool can be used to determine the mass flow of the following gases: CO 2, CH 4, N 2 O, SF 6 and /or PFCs. In this project we will use the tool to determine N 2 O. The mass flow of a particular greenhouse gas is calculated based on measurements of: (a) the total volume flow or mass flow of the gas stream, (b) the volumetric fraction of the gas in the gas stream and (c) the gas composition and water content. The flow and volumetric fraction may be measured on a dry basis or wet basis. The mass flow of a greenhouse gas i in a gaseous stream (F i,t ) is determined through measurement of the flow and volumetric fraction of the gaseous stream. Table 2 shows the different ways to make these measurements and the corresponding calculation option for F i,t. Table 2 Option Flow of gaseous stream Volumetric fraction A Volume flow-dry basis dry or wt basis B Volume flow-wet basis dry basis C Volume flow-wet basis wet basis D Mass flow-dry basis dry or wet basis E Mass flow-wet basis dry basis F Mass flow- wet basis wet basis The determination of the absolute humidity is required for Options B and E. It can be determined from measurement of the moisture content (Option 1), or by assuming the gaseous stream is dry or saturated in a simplified conservative approach (Option 2). At ninth UKL-7 type plant for the measurement Option B and for the moisture content Option 1 will be. The mass flow of greenhouse gas N 2 O (F N2O,,t ) is determined as follows: F N2O,,t = V t,db * v N2O,,t,db * ρ N2O,,t (6) With ρ N2O,t = (7) Where: P t MM N 2O R u T t

29 Joint Implementation Supervisory Committee page 29 F N2O,t - Mass flow of greenhouse gas N 2 O in the gaseous stream in time interval t (kg gas/h) V t,db - Volumetric flow of the gaseous stream in time interval t on a dry basis (m 3 dry gas/h) v N2O,,t,db - Volumetric fraction of greenhouse gas N 2 O in the gaseous stream in a time interval t on a dry basis (m 3 gas i/m 3 dry gas) ρ N2O,t - Density of greenhouse gas N 2 O in the gaseous stream in time interval t (kg gas i/m 3 gas i) P t - Absolute pressure of the gaseous stream in time interval t (Pa) MM N2O - Molecular mass of greenhouse gas N 2 O (kg/kmol) Ru - Universal ideal gases constant (Pa. m 3 /kmol.k) - Temperature of the gaseous stream in time interval t (K) T t The volumetric flow of gaseous stream in time interval t on a dry basis (V t,db ) is determined by converting the measured volumetric flow from wet basis to dry basis as follows: V t,db = V t,wb /(1+v H2O,t,db ) (8) Where: V t,db - Volumetric flow of the gaseous stream in time interval t on a dry basis (m 3 dry gas/h) V t,wb - Volumetric flow of the gaseous stream in time interval t on a wet basis (m 3 wet gas/h) v H2O, t,db - Volumetric fraction of H 2 O in the gaseous stream in time interval t on a dry basis (m 3 H 2 O/m 3 dry gas) The volumetric fraction of H 2 O in time interval t on a dry basis (v H2O, t,db ) is estimated according to equation (9) v H 2 O, t, db= (9) m H 2O, t, db MM MM H 2O t, db Where: v H2O, t,db - Volumetric fraction of H 2 O in the gaseous stream in time interval t on a dry basis (m 3 H 2 O/m 3 dry gas) m H2O,t,db Absolute humidity in the gaseous stream in time interval t on a dry basis (kg H 2 O/kg dry gas) MM t,db Molecular mass of the gaseous stream in time interval t on a dry basis (kg dry gas/kmol dry gas) MM H2O Molecular mass of H 2 O (kg H 2 O/kmol H 2 O) m H 2 O, t, db= C H 2O, t, db, n 6 10 p t, db, n Where: m H2O, t,db - Absolute humidity of the gaseous stream in time interval t on a dry basis (kg H 2 O/kg dry gas) C H2O,t,db Moisture content of the gaseous stream in time interval t on a dry basis at normal conditions (mg H 2 O/m 3 dry gas) ρ,t,db,n Density of the gaseous stream in time interval t on a dry basis at normal conditions (kg dry gas/m 3 dry gas) The density of the gaseous stream on a dry basis at normal conditions (ρ,t,db,n ) is determined as follows: Pn MM ρ,t,db,n = R T t, db u (11) n (10)