OIL & GAS BOOST YOUR ENERGY WITH ORC TECHNOLOGY.

OIL & GAS BOOST YOUR ENERGY WITH ORC TECHNOLOGY.

ABOUT US Since 1980 Turboden is an Italian firm and a global leader in the design, manufacture, and maintenance of Organic Rankine Cycle (ORC) systems which generate electric and thermal power exploiting multiple sources, such as renewables (biomass, geothermal energy, solar energy), traditional fuels, and waste heat from industrial processes, waste incinerators, engines or gas turbines, highly suitable for distributed generation. 2

TURBODEN IS A GROUP COMPANY OF MHI One of the world's leading heavy machinery manufacturers, with consolidated sales of over $36 billion (in fiscal 2015) Foundation July 7, 1884 AIRCRAFT, DEFENSE & SPACE POWER SYSTEMS INDUSTRY & INFRASTRUCTURE 3 Integrated Defense & Space Commercial Aviation Mitsubishi Aircraft Corporation Mitsubishi Regional Jet - MRJ Renewable Energy Division - TURBODEN Mitsubishi Hitachi Power Systems - MHPS Nuclear Energy Division MHI Marine and Machinery & Equipment MHI Aero Engines MHI Compressor Co. - MCO Primetals Technologies MHI Engine & Turbochargers MHI Nichiyu Forklift MHI Environment & Chemical Engineering

MAIN FIELDS OF APPLICATION WASTE HEAT RECOVERY GEOTHERMAL WASTE TO ENERGY BIOMASS OIL&GAS CONCENTRATED SOLAR POWER STEAM&POWER 4

OIL & GAS APPLICATION Turboden ORC units allow to produce useful power (up to 20 MW per single shaft) by recovering waste heat from gas turbines/reciprocating engines exhaust gas and from the hot streams that can be found in the O&G downstream, midstream and upstream sectors. ORC technology finds its natural application in natural gas compression stations, but also in the exploitation of flare gas, hot water from exhausted oil wells and refinery hot streams. Oil & Gas Plants: 4 Total Capacity: 9.3 MWe In operation: 2 Under Construction: 2 5

THE ORC CYCLE HOW IT WORKS The ORC turbogenerator uses medium-to-high-temperature thermal oil to preheat and vaporize a suitable organic working fluid in the evaporator (3>4>5). The organic fluid vapor rotates the turbine (5>6), which is directly coupled to the electric generator, resulting in clean, reliable electric power. The exhaust vapor flows through the regenerator (6>7), where it heats the organic liquid (2>3) and is then condensed in the condenser and cooled by the cooling circuit (7>8>1). The organic working fluid is then pumped (1>2) into the regenerator and evaporator, thus completing the closed-cycle operation. 6

ENERGY EFFICIENCY IN THE O&G BUSINESS Gas turbines Associated Petroleum Gas Refinery hot streams Gas turbines Gas compressor stations Gas storage GTs Oil pumping stations Sea water injection systems Internal combustion engines Boilers Gas turbines Hot stream used for treatment and then dissipated Thermal oil used in Oil&Gas processes Geothermal water in oil fields Associated hot water Waste heat streams available in different O&G processes and facility can be exploited as energy sources by energy efficiency technologies as Organic Rankine Cycle (ORC). The ORC transforms the waste heat into useful power. This permits to: 1. 2. 3. Reduce the domestic consumption of primary energy Obtain a reliable source of electricity Reduce the CO 2 country emissions 7

ORC-BASED HEAT RECOVERY SYSTEM IN GAS COMPRESSOR STATIONS 8

Internal combustion engine(s) scenario Gas turbine(s) scenario OVERALL PLANT PERFORMANCES GT useful power** Exhaust gas* 18 30 % ORC useful power** ORC unit 80 68 % Thermal power 2% Thermal losses ORC additional power 30-35% 2% Thermal losses 80 72 % Thermal power ORC unit Exhaust gas* 18 26 % Useful power** ICE useful power** 9 * min. flow to ORC: 10-15 kg/s **mechanical or electric ORC additional power 10%

ORC POTENTIAL COMPARED TO GAS TURBINE SHAFT POWER 10 NOTE: Indicative values assuming ambient ISO conditions. Gas Turbines operating at nominal load; calculations based on Gas Turbine exhaust gas properties as reported in specific suppliers web sites.

HEAT RECOVERY EXCHANGER CONFIGURATION Exhaust gas heat recovery exchangers (EGHEs) characteristics: EGHEs installed in by-pass to the main exhaust gas ducting in order to avoid any impact on the gas turbines operation in any circumstance. EGHEs completely isolable with a diverter prior to the EGHEs and an insulation valve right after it. Diverter equipped with air sealing to ensure 100% insulation. This permits to insulate the EGHEs, ensuring gas turbines operation even in case of major issues on the EGHEs. Pneumatic safety-closed diverter to avoid any impact on gas turbines operation even during emergency situation. EGHE equipped with sparking detector, flame detector and thermocouples in different bundle position to ensure the maximum safety of the system False air fan installed in order to keep the EGHE temperature at acceptable level even in case of gas turbines particular operation cases Exhaust stack By-pass duct 3-way diverter valve 11

PARTIAL LOAD EFFICIENCY COMPARISON WITH OTHERS TECHNOLOGY 50% partial load; efficiency : ORC 90% / Steam 70% 30% partial load; efficiency: ORC 80% / Steam 55% NOTE: with partial load, steam turbine presents high risk of erosion (and for this reason, is not suitable to operate at partial loads or it requires particular control system with dedicated operators). 12

REFINERY HOT STREAMS HEAT RECOVERY OF LOW ENTHALPY STREAMS (e.g. hot kerosene) O&G facilities present different low enthalpy sources: - Kerosene hot streams in refineries - Exhaust gases of distillation columns - Condensing steam in gas treatment process - Exhausted or not used wells - others.. KEROSENE PRODUCTION PROCESS DM water heater Air fin cooler Air fin cooler Water cooling from unit to storage ENERGY EFFICIENCY IMPROVEMENT: A. Plant power consumption reduction B. CO 2 emission reduction and fuel-free additional electricity to reduce plant power consumptions 13

FLARE GAS EXPLOITATION: PLANT CONFIGURATION 14

REFERENCE PLANT IN CANADIAN GAS COMPRESSOR STATION OF TRANSGAS Reference project, TransGas plant: Heat recovery from Solar CENTAUR 40 gas turbine in a Gas Compressor station in Canada Gas Turbine prime power: 3.5 MWm Gas Turbine efficiency: 28% ORC electric power: 1MWe (more than 28% of Gas turbine shaft power) In operation since IV quarter 2011 More than 28,500 hours of operation Registered availability: 95% 15

UZBEKISTAN O&G 1 ST REFERENCE (1/2) Heat recovery from 3 GE LM 1600 gas turbines in Hodzhaabad gas compressor station operated by SC Uztransgaz. Three thermal oil heat exchangers employed, one on each gas turbine, and a common thermal oil loop to feed the ORC unit. ORC electric power: 1 MW island mode operation, the ORC unit will cover the compressor station captive consumption Project status: under construction ORC solution with air-cooled condenser, no water needed Containerized solution, limited activities on site required Fully by-passable solution with no impact on the gas turbines operation Installation on existing compressor plant with complicated layout, without affecting operation of gas pumping units 16

UZBEKISTAN O&G 1 ST REFERENCE (2/2) Features fully containerized unit, suitable for climatic and seismic conditions of Uzbekistan minimization of on-site activities with consequent reduction of EPC costs optimization of operation & maintentance activities possibility to use existing personnel of Customer 17

UZBEKISTAN O&G 2 ND REFERENCE Heat recovery from 1 GE LM 2500 gas turbine in Shurtan gas compressor station operated by SC Uzneftegazdobycha. The ORC working fluid (not-flammable type) is directly evaporated in the heat recovery exchanger. ORC electric power: 5.5 MWe island mode operation, the ORC unit will cover the compressor station captive consumption Project status: under construction ORC solution with air-cooled condenser, no water needed Modularized solution, limited activities on site required Fully by-passable solution with no impact on the gas turbines operation Compact footprint with 2-levels configuration 18

TURBODEN REFERENCE APG EXPLOITATION Site: Perm, Russia Customer/End user: LUKoil Status: in operation since September 2015 Heat source: flare gas burning (boiler designed to burn gas with a minimum lower calorific value of 4,500 kcal/nm3 Heat source temperature: thermal oil at 300 C Inlet/Outlet water temperature: 65/95 C Electric power: 1.8 MW Net electric efficiency: 18% Project description Flare gas from oil extraction wells is burned to heat up thermal oil which is used to feed up an ORC CHP unit. The electricity produced reduces the plant consumptions, whereas the hot water produced is exploited in oil refinery processes including warming up of refined products to be pumped. 19

HR FROM ENGINES: REFERENCE PROJECTS Project ORC module Site Engines Pisticci I 18 HR SPLIT (1.8 MWe) Start up: Q2 2010 Pisticci (IT) 3 x 8 MWe Wartsila Diesel engines Termoindustriale 6 HR SPLIT (0.6 MWe) Start up: Q4 2008 Pavia (IT) 1 x 8 MWe MAN Diesel engine Pisticci II 40 HR SPLIT (4 MWe) Start up: Q2 2012 Pisticci Scalo (IT) 2 x 17 MWe Wartsila Diesel engines Cereal Docks 6 HR DIR. EXCH. (0.6 MWe) Start up: Q1 2012 Portogruaro (IT) 1 x 7 MWe Wartsila Diesel engine E&S Energy 6 HR SPLIT (0.6 MWe) Start up: Q2 2010 Catania (IT) Ulm 10 HR cogenerative (1 MWe) Start up: Q3 2012 Senden (DE) Kempen 6 HR cogenerative (0.6 MWe) Start up: Q1 2012 Kempen (DE) Gas engines 2 x 1 MWe JGS/GE gas engines + 3 x 0.8 MWe JGS/GE gas engines + 1 x 0.6 MWe JGS/GE gas engine 2 x 2 JGS/GE gas engines (+ additional heat from the process) Mondopower 10 HR (1 MWe) Start up: Q4 2012 Chivasso (IT) 1 x 17 MWe Wartsila Diesel engine HSY 14 HR (1.3 MWe) Start up: Q4 2011 Ämmässuo, Espoo (FIN) 4 x 4 MWe MWM gas engines Fater 7 HR DIR. EXCH. (0.7 MWe) Start up: Q2 2013 Pescara (IT) 1 x 8 MWe Wartsila Diesel engine Ortadogu I 2 x 20 HRS ACC (2.3 MWe each) UC Odayeri (TR) 28 x 1.4 MWe JGS/GE engines + 4 x 1.2 MWe MWM engines Ortadogu II 1 x 20 HRS ACC (2.3 MWe) UC Komurcuoda (TR) 12 x 1.4 Mwe JGS/GE engines 20

WHY TURBODEN PART OF MITSUBISHI HEAVY INDUSTRIES GROUP Turboden fully embraces MHI values, pillars of its philosophy and vision Turboden leverages the financial stability of its mother company and the technical support to satisfy customer needs CAPABILITIES & EXPERIENCE With With more than 35 35 years years of of the ORC technology. know-how of the ORC Total technology capacity of 520 We, 343 Excellence plants, in R&D 36 countries. and turbine Global designexperience experience, Turboden holds the Total capacity of 534.7 MWe, 352 plants, 38 countries Global presence CUSTOMER ORIENTATION Always dedicated to the success projects of the customers Customers are followed also in the after-sales, thanks to our service department Ready to provide optimized solutions for our clients High availability High customer satisfaction 21

KEY POINTS ORC TECHNOLOGY 22

INNOVATION Since its foundation in 1980, Turboden attitude to technical innovation has made it the technology leader in the development and realization of ORC turbogenerators operating at high temperature as in biomass and heat recovery applications. THE TURBINE More than 60 different axial turbines were designed and realized for various projects, from 2 to 6 stages reaching up to 20 MW of power and in some cases exceeding isentropic efficiency 90%. WORKING FLUIDS More than 10 different working fluids were used by Turboden, e.g. silicon fluids, hydrocarbons, old and new generation refrigerants, depending on the application. Along time and with an important R&D effort, Turboden developed a deep understanding of fluid properties, thermal stability an flammability, key factors in the decision of the best fluid for each specific application. A successful ORC installation begins with the right fluid selection. 23

INNOVATION OPERATING TEMPERATURES Turboden unique knowledge of fluids and attitude to innovation has allowed to increase operating temperature continuously improving efficiency levels in power only and CHP configurations. Today turbine inlet temperature exceeding 300 C is standard technology and represents a leadership in its field. The latest development of Turboden is in biomass application, where a new ORC unit operates at very high temperatures (about 400 C) either in CHP mode (generating medium pressure steam to feed industrial users) or in power only solution (exceeding 30% of gross electric efficiency). DIRECT EXCHANGE Turboden is the pioneer in the development of systems with Direct Exchange (DE) between hot gas (the primary heat source) and the ORC working fluids. When technically possible, avoiding the heat transfer media allows reducing the investment cost and slightly improving the ORC performances. Since 2007, Turboden has sold about 10 ORC DE plants for heat recovery from Diesel engines, gas turbine, hot gas from metallurgical production process, biomass fired plant, cement plants. Turboden has the capability to successfully deploy DE solutions to recover heat from various types of heat sources. 24

AFTER-SALES SERVICE Qualified staff is exclusively dedicated to the customer assistance, both from remote and on-site, with the aim of optimizing the management of the plants. The customer can choose the most suitable service package thanks to the wide range of services offered DEDICATED STAFF: 3 Senior Engineers, 29 Engineers, 16 Specialized Technicians, 4 Back-office Specialists COVERAGE: 3 service subsidiaries and 4 international service partner companies ASSISTANCE: Turboden 24/7, the call center service h24, 7 days per week CUSTOMIZED SERVICES: unique reference for assistance requests; staff dedicated to on-site and remote technical assistance; support of an international network of companies able to provide technical assistance; wide range of services provided; prompt assistance and customized after-sales services; dedicated spare parts warehouse. 25

GLOBAL AND PROVEN EXPERIENCE GLOBAL AND PROVEN EXPERIENCE 26 PLANTS: 352 COUNTRIES: 38 TOTAL CAPACITY: 534.7 MWe CUMULATIVE OPERATION TIME: 10 million hours ENERGY GENERATED: 8.2 thousand GWh AVARAGE AVAILABILITY: 98% Last update: August 2017 Doc: 15-COM.P-10-rev.12

AN EXTENSIVE NETWORK OF INSTITUTIONAL RELATIONS 27

«Turboden turbine has been operating optimally as expected during these 5 years. There were no unplanned shutdowns. Turboden after-sales department is responsive and available when needed in arranging the overhauls, spare parts,» Plant manager ESOL lesna predelava d.o.o. «We selected Turboden maintenance package to be sure our operation is not interrupted during the cold winter when surprises are not needed. It is easy to use TOS portal and get support in short notice. Turboden personnel works in the background and monitors our Turboden unit so that our staff can focus to other parts of the plant. Service visits have been planned together and everything has been working smoothly.» Plant manager Toholammin Energia Oy CUSTOMERS SAY «Turboden service personnel are always professional, efficient and courteous. They are well-trained to perform the tasks required for service or intervention and are quick to follow up on any questions or concerns I may have.» Plant manager Nechako Green Energy Ltd. «Most of the occurring issues can be solved with the help of remote maintenance access by highly qualified engineers with a profound knowledge of our plant. Besides that, technically competent staff is available on site for repair and preventive maintenance at any time.» Plant manager Bezirksklinikum Mainkofen 28