Evonik. Power to create. - STEAG Energy Services GmbH

Evonik.Power to create.

Platzhalter TitelbildWho builds powerplants worldwide?Evonik Energy Services GmbHWe do.

Model of foundation100 %74,99 %25,01 %Black AreaWhite AreaRAG AGEvonik Industries100 % 100 %RAGBeteiligungs-GmbHChemicalsEnergyReal EstatePage | 3

A resolute management teamDr. Klaus EngelChairman of the Executive BoardDr. Wolfgang ColbergChief Financial OfficerRalf BlauthChief Human Ressources OfficerPage | 4

A global corporationEvonik has production anddistribution sites in 52countries acrossthe globe and operates inmore than 100 countries.Production anddistribution sitesPage 5

Chemicals Business Area• Focus: specialty chemicals• A global leader• Sales in 2009: €10 billion• Leading market positions account for over80 percent of sales• Market-driven R&D and modern innovation management• 20 percent of sales come from products, processes andapplications developed in the past five years• Over 100 production facilities in 28 countries• Balanced spectrum of business lines and end-markets plusclose collaboration with customersPlatzhalter BildPlatzhalter BildPage 6

Energy Business Area• Focus: Hard coal-fired power plants and renewable energies• A technology leader in planning, building and operatinghard-coal power plants• Sales in 2009: € 2.6 billion• Germany’s fifth largest power generator• International success with power plants in Turkey, Colombiaand the Philippines• Strong position in the fields of biomass and geothermalenergy in Germany• Objective: Make use of opportunities, especially for buildingand operating international power plants; step up renewableenergies business• Seeking a partner for the Energy Business Area: an investorcould take a stake in the energy business area as a whole orinvest in individual projectsPlatzhalter BildPlatzhalter BildPlatzhalter BildPage 7

Real Estate Business Area• Focus: residential property• One of the largest residential real estate companies inGermany• Around 60,000 residential units of its own, plus a50 percent stake in THS which owns about 75,000 residentialunits• Sales in 2009: € 0.4 billion• Active property management with a strong regional focus• Objective: Amalgamate Evonik Immobilien GmbH and THSGmbH to form a new entity• Creation of the third largest residential real estate company inGermany with about 130,000 residential units and businessvolume of over € 800 millionPlatzhalter BildPlatzhalter BildPlatzhalter BildPage 8

Business Line PowerPower Plant SitesBased on decades of experience…WeiherFenneWalsumLünenHerneVoerdeBergkamenBexbach724 MW466 MW560 MW507 MW960 MW2,234 MW780 MW773 MW… treading new paths in the energy business.InfracorLeunaKöln-GodorfTermopaipaIskenderunMindanaoWalsum600 MW162 MW211 MW165 MW1,320 MW232 MW .790 MW19962004199920032006COD 2010COD = commercial operation datePage | 9

Evonik Energy ServicesEnergy in focus!Platzhalter Titelbild

Evonik Energy Services Group• Sales93.1 million EUR * 1• Employees 726* 2* 1 in 2009* 2 incl. unconsolidatedsubsidiaries, which arenot available-for-sale.Evonik Energy ServicesNuclear Technologies Energy TechnologiesPlant Services System TechnologiesDesign, construction,decommissioning anddismantling of nuclear plantsDesign, site supervision andcommissioning of powerplantsOperation & Maintenance,Control- and AcceptanceMeasurements, Staff services,training measuresEnergy Management SystemsOperation Management SystemsCommunication TechnologiesSite ITPage | 11

Sites in GermanyForellstraße 100in HerneTesting ServicesGewerkenstraße 38in GelsenkirchenRüttenscheider Straße 1-3in EssenHeadquarters ofEvonik Energy Services GmbHCommunicationTechnologiesWetzbach 35in ZwingenbergSystem Technologiesbranch officePage | 12

OrganisationManagement BoardDr. Gilgen, von Heesen, Dr. SchwaraNuclear Technologiesvon HeesenPower SolutionsDr. GilgenCommercial DepartmentDr. SchwaraNuclear TechnologiesN. SchröderNuclear EngineeringNuclear I&C /Electrical SystemsNuclear PhysicsEnergy TechnologiesDr. BeneschPlant and ProcessEngineeringCivil EngineeringElectrical, APCand I&CControlling / CommercialProject ExecutionT. SchmukalControlling BLEnery Services /SubsidiariesCommercial ProjectExecutionNuclear InternationalDecommissioning &DismantlingNuclear ProjectsSystem TechnologiesM. HayProject ManagementEnergy ManagementSystemsOperation ManagementSystemsCommunicationTechnologiesCommercial ProjectManagement / ShareholdingManagementDr. SchwaraSite ITPlant ServicesE. RothOperation &MaintenanceTesting ServicesOpus PersonaldienstleistungenTrainingSubsidiariesEvonik Energy Services, LLC (USA) 100 %Evonik Energy Services do Brasil Ltda. 100 %Evonik Energy Services (India), Pvt. Ltd. 100 %STEAG encotec West Africa, Ltd. (Nigeria) 97 %BTU STEAG O&M Services 50 %Page | 13Brennelement-Zwischenlager Ahaus GmbH 45 %

1. Energy Technologies2. Nuclear Technologies3. Plant Services4. System Technologies5. New energy activities6. Subsidiaries

Energy TechnologiesEngineering services in Germany and abroad for the planning,construction supervision, rehabilitation or modernisation of power plants aswell as environmental and industrial facilities. The specialist knowledge insophisticated power plant technology is complemented by efficient projectmanagement capabilities.Platzhalter BildScope of services:●●●●●Design, realization and optimisation of plants and processes, focussingon energy, waste water and environmental protection systemsProject related construction worksSolutions for electrical and control systemsMajor project managementTechnical consultingPage | 15

Plant & Process EngineeringNew references●Ayas power plant project in TurkeyConclusion of a framework engineering contract covering support inpreparation of the approval documents and drafting of the technicalcontract documents for building a power plant unit of the 600 MWelclass.Platzhalter BildConstruction of new coal-fired power plant Medupi in SouthAfricaSupport and advice in the area of engineering, quality assurance andproject management during the construction of one of the largest powerplants in the world, consisting of six units with an output of 800 MWeach. Quality assurance and quality installation of the components,contract management, strategic and organizational consulting.Solar thermal power plantsTechnical assistance within the feasibility study for construction of apurely solar thermal power plant in Jordan and heat balance calculationsusing the company‘s proprietary software EBSILON ® Professional.Platzhalter BildPlatzhalter BildPage | 16

Civil EngineeringNew references●Walsum 10 construction projectPerformance of all planning tasks like preliminary design, final designand approval planning, site preparation and supervision of construction.Platzhalter Bild●Preparation of the Herne 5 new-build projectPreliminary and layout planning, preparation of permit applications andimplementation planning and assistance in contract awarding forseveral individual projects like rehabilitation of the track installations anddemolition of the cooling towers.Platzhalter Bild●Planning of a disposal center for radioactive wastesPreparation of a conceptual study and performance of the preliminaryand design planning in due consideration of Russian standards andregulations for disposal of reactor sections from retired nuclearsubmarines.Platzhalter BildPage | 17

Electrical and I&CNew references●Modernisation of the instrumentation and control system in theBergkamen power plantPerformance of the overall project planning and commissioningmanagement by conversion from conventional miniaturized mosaictechnique to full-scale VDU operation.Platzhalter Bild●Grid connection of power plantsImplementation of dynamic network analysis for connection of a newpower plant via a suitable grid connection point. Already done inEvonik‘s coal-fired power plants and for Stadtwerke Düsseldorf.Platzhalter Bild●Rehabilitation of the distributed control system at Shoubra El-Kheima Power Plant in EgyptEstablishment of a data base of the existing control equipment anddefinition of the required measures for every item of the controlequipment. Preparation of international request for tender documentation,implementation of the international competitive tendering procedureand tender evaluation.Platzhalter BildPage | 18

1. Energy Technologies2. Nuclear Technologies3. Plant Services4. System Technologies5. New energy activities6. Subsidiaries

Nuclear TechnologiesDesign, planning and construction of nuclear facilities, covering the fieldsof civil engineering, mechanical and process engineering, electricalengineering, instrumentation and control (I&C) engineering, communicationtechnology, plant safety, radiation protection and calculations.Platzhalter BildDecommissioning and dismantling of nuclear facilities, taking into accountsafety and economic aspects.Scope of services:Development of specific concepts in due consideration of safety andeconomic aspectsDecommissioning and dismantling of nuclear facilitiesPreparation of licensing documents and support during the licensingproceduresDesign and construction of nuclear plantsNuclear and physical calculations based on proven, recognizedsoftwarePage | 20

Nuclear EngineeringNew referencesPilot conditioning plant in GorlebenImplementation of design planning and preparation of the approvaldocumentation. Construction and commissioning of the “hot cellfacility” as general contractor (in a consortium).Platzhalter BildKarlsruhe vitrification facilityPerformance of preliminary, approval and implementation planning.Site supervision, review of documents for approval relative to sitesupervision and construction supervision.Platzhalter BildDismantling of nuclear power plant ObrigheimPreparation of the documents for permit application and execution,assistance in contract awarding for the different contract sections,looking after the construction of the on-site-interim storage facility upto commissioning of the facility and the storage of the loaded casks.Platzhalter BildPage 21

Nuclear PhysicsNew references CFD calculations for the electrostatic precipitators at theIskenderun power plant in TurkeyPlatzhalter BildPerforming of calculations and design of optimisation measures for theelectrostratic precipitators. Optimisation of pressure losses in the burnerintake air duct. Performance of calculations in the Würenlingen interimstorage facilityPlatzhalter BildPerformance of a crash simulation to determine the effects of a containerdrop to the bottom of the storage shaft on the integrity and stability of theconcrete container. Calculations were performed with the aid of specialFEM software. Compilation of an extensive technical report.Page 22

Electrical Systems und Nuclear I&CNew referencesUranium Enrichment Plant GronauExecution of the complete planning of electrical and instrumentationequipment and commissioning of two special crane systems.Platzhalter BildConstruction of a new waste water treatment system inLubmin, GreifswaldPerformance of the overall planning of electrical and instrumentationfrom design to implementation planning. Execution of the completecontrol technology.Platzhalter BildPage 23

Nuclear InternationalDecontamination & DecommissioningNew referencesDesign of the disposal center for radioactive wastes onSayda Bay in RussiaPreparing of a conceptual study and preliminary planning in dueconsideration of Russian standards and regulations, constructionalequipment of the caissons with dismantling machines, high pressurepress, decontamination systems, evaporation equipment, dryinginstallations, release measurement facility and radiation protection.Platzhalter BildDismantling and transport of components from the AVRresearch reactor in JülichConstruction of the material lock for removing of the reactor vessel,removing of the reactor vessel, implementation of nuclearcalculations, arrangement of provision of crane and lifting equipment.Transfer of the components, weighing approx. 2,300 Mg, to theinterim storage facility.Platzhalter BildPage 24

1. Energy Technologies2. Nuclear Technologies3. Plant Services4. System Technologies5. New energy activities6. Subsidiaries

Plant ServicesOperation and maintenance of gas-fired thermal power stations, gasturbines, CCPP and steam power plants from consulting support toresponsible plant management and full scope O&M as well as optimizingmaintenance. Plant Services is currently expanding its activities. Until now ithas acted strictly to manage the operation of power plants. Its role willhenceforth extend to project work which encompasses the management ofpower-plant operations while at the same time placing it in the position of aminority shareholder in those plants (“asset light” scheme).Platzhalter BildPerformance of check and acceptance measurements and of SCR catalystservices.Training of operation staff, execution of training measures as well aspersonnel leasing and recruitment.Scope of services:●●●●Operation and maintenanceMeasurements in Power Plants, catalyst servicesCourse of instruction and trainingStaff deploymentPage | 26

Operation & MaintenanceNew references●Large-scale project SepetibaDrawing up of concepts for the use of the existing primary energysources for electricity production, preparation of functional bidsolicitation, asstistance in obtaining and evaluating the bids and in theawarding of contracts, owner support.Platzhalter Bild●Power plant Afam VI in NigeriaProviding of the operating staff during commissioning and readyingoperation of the plant. Maintenance of the gas turbines and servicing ofthe ancillary systems.Platzhalter Bild●Operation and Maintenance at the Canoas power plantOperation, maintenance, inspection and repair work, regular gas turbinemaintenance, procurement of consumables and spare parts for theplant and ancillary systems. Monitoring of the gas turbine inspection.Platzhalter BildPage | 27

Operation & MaintenanceProject management worldwideRades II 471 MW2004 - 2010El Kureimat 1,300 MW2001 – 2006ONGC 30 MW2003 - 2007Haldia 116 MW2006 - 2012Afam V/VI 900 MWCSA Sepetiba 490 MW2007 - 2016Canoas 170 MW2001 - 20112005 - 2009NigeriaIndiaHazira 156 MW2001 - 2010Vedanta 2,400 MW2010 - 2017Goa 30 MW2006 - 2011Agua del Cajón 680 MW1999 - 2002Ikot Abasi 540 MW2002 - 2004Brazil / ArgentinaPage | 28

Plant ServicesTesting ServicesAccredited testing laboratory and inspection body for powerplants and industrial plants.Scope of services:●●Acceptance measurementCheck and emission measurementThermography●Determination of catalyst activity by means of testing ina bench reactorCoal distributionFlue gas cleaning●Catalyst servicesTurbine and generatorefficiencyCatalyst test benchNoise abatementSteam generator technologyPage | 29

Testing ServicesAccreditation of the Measuring Technology unitTesting laboratory according to DIN EN ISO/IEC 17025Inspection body according to DIN EN ISO/IEC 17020Validity: 5 yearsScopes of accreditationTesting laboratory Determination of catalytic activity and conversion rate in bench reactors Gas analysis (CO, SO2, SO3, O2, NO, NO2, NH3, HF, HCl, Hg) Measurement of particulate matter contained in raw and clean gas Thermography (thermal imaging) Measurement of temperature, pressure, moisture and volume flow Determination of coal mass flow, sieve analyses Online measurement of pulverized coal mass flow distribution Sampling for determination of heavy metals in particulate and filterpassingsubstancesInspection body Acceptance inspection of electrostatic precipitators, air heaters, feedpumps, turbines, fans, flue gas desulfurization plants Acceptance inspection/optimisation of DeNOx systems

Testing ServicesNew references●Control measurements at the Leuna power plantMeasurement of the distribution of nitrogen oxide, sulfur dioxide, sulfurtrioxide and ammonia in the flue gas. A mobile measuring truck wasused to perform the measurments.Platzhalter Bild●Inspection by infrared thermographyRegular inspection of the switchgears in several Evonik power plantsby an expert for electro-thermography.A positive side effect: insurance companies grant discounts oninsurance premiums if infrared thermal imaging is done on a regularbasis.Platzhalter BildPage | 31

Plant ServicesTrainingThe Training department at Plant Services is a global service provider forpower plant-related training and continued professional developmentcourses.The training courses are practical in orientation and structured in modules,allowing the contents to be tailored to suit every client.What sets us apart from other training providers is our strong footing in thepower business. As part of Evonik Steag GmbH, we utilize our power plantsand draw on them for our training measures, making it easier tocommunicate in practical form otherwise dry theoretical content.Scope of services:● Range of courses for technicians, operators, shift engineers andmanagement.● Simulator training● Training on the job in Evonik Steag GmbH power plants● Training courses in Egypt, Russia, Nigeria, Libya, China, India,Turkey, Mongolia, Argentina and BrazilPage | 32

1. Energy Technologies2. Nuclear Technologies3. Plant Services4. System Technologies5. New energy activities6. Subsidiaries

System TechnologiesIT systems for cost and process optimisation of processes, systemintegration, development of proprietary software programs.Services focus on:●●●●●●●Operation management systemsEnergy management systemsPlanning and optimisation systemsSystem services, system integration/network technologyTelecommunication / radio technologyFire alarm and intruder alarm systemsSite ITPage | 34

Energy Management SystemsNew references●Enhancement of energy efficiency at Rütgers GermanyInstallation of a data server including visualization system forclarification of the energy procurement and supply situation of the plant.Implementation of a model-based optimizing energy pooling forreduction of the variable operating costs.Platzhalter Bild●Statistical Process Control at the Lünen power plantApplication of the cycle calculation system SR::EPOS for utilization ofsaving potentials and addition of the sootblower management system tooptimize boiler cleaning.Platzhalter BildEBSILON ® ProfessionalEBSILON ® Professional is a highly integrated cycle calculation systemunder Windows, suitable for almost any stationary modeling ofthermodynamic cycles by library symbols.New: EbsSolar – a module for simulating solar thermal plants.Platzhalter BildPage | 35

Operation Management SystemsNew references●IT Security in control system networksCoverage of all components, analysis of IT security, recognition oftypical focal points, creating of a risk analysis, development of a packageof measures.Platzhalter Bild●Mobile maintenance using RFID and PDAIdentification of plant parts by means of an RFID chip (Radio FrequencyIdentification). The employee gets a list of all switching operations to becarried out downloaded to a PDA (Personal Digital Assistant). Themaintenance can be started.Platzhalter Bild●Server virtualizationIn a powerful, dedicated computer system, many servers are operatedindependently of each other. With the aid of virtualization, the majority ofthe physical servers set up individually so far are no longer required. Theeffects are cost savings and improved flexibility and scalability of thesystems.Platzhalter BildPage | 36

Communication TechnologiesNew references●Fire alarm system for the coal handling facilities of theMindanao power plant, PhilippinesOn-site assessment of the situation, drawing up of a fire alarm conceptand detailed engineering and implementation planning for the earlydetection system. Staff training.Platzhalter Bild●seNet ® substitute for company radio at the Scholven and Horstpower plantsOn-site stocktaking, drawing up of a concept and detailed planning.Installation work and training of the plant fire services.Platzhalter BildPage | 37

1. Energy Technologies2. Nuclear Technologies3. Plant Services4. System Technologies5. New energy activities6. Subsidiaries

Wind energy●●Objective: Establishment of a wind park portfolio in Europe and Turkey,the country where EES‘ wind activity is mainly focused onPartnership with the wind park developer Germania Windpark GmbHOur expertise covers:●●●●●Technical and commercial project development, including• Micrositing and basic layout• Grid connection• Commercial model and feasibility studyProject financing (equity and loan)Project planning and purchasingConstruction and commissioningOperation & maintenance (incl. cutting edge monitoring systems)Page 39

Concentrating Solar Power●●Concentrating Solar Power (CSP)Solar Topping = linking of CSP facilities to existing power plantsFocus of services offered:●●●●●●●Site-specific Solar Topping / Stand aloneMeteo data, concepts for power plants and energy storageEngineering, tendering, construction supervisionOperational management of CSP facilitiesInvestments in CSP projectsCooperation within the “Project House” of Evonik Degussa Evonik is Associated Member of Desertec IndustriesOperational optimisation by simulation software (EbsSolar)In cooperation with the German AeorspaceCenter (DLR) EES developed a “solar library”for the EbsSolar simulation softwarePage 40

1. Energy Technologies2. Nuclear Technologies3. Plant Services4. System Technologies5. New energy activities6. Subsidiaries1. Evonik Energy Services India2. Evonik Energy Services LLC, USA3. Evonik Energy Services do Brasil

Evonik Energy Services (India) Pvt.Ltd.Registered Office:Sales 2009:NoidaEmployees: 215*€ 6,2 millionEvonik Energy Services (India) offers engineering services for modernizationand construction of power plants. It also provides operation andmaintenance services for thermal power plants and waste treatment plants.The subsidiary develops specific software solutions for energy managementsystems partnering with the System Technologies division.Platzhalter BildScope of services:●●●EngineeringEngineering services for modernisation and construction of powerplantsPlant Services- Operation and Maintenance- Testing Services- TrainingSystem TechnologiesDevelopment of specific software solutions for energy managementsystems, configuration of and service for such systems; training ofusers*data 04/2010Page | 42

Evonik Energy Services (India) Pvt.Ltd.New references●Feasibility study for renovation and modernisation of Bandelpower plantExecution of destructive and non-destructive testing of components of the210 MW power plant. Determination of the residual life of the componentssubject to stress in the previous 20 years of operation.Platzhalter Bild●Operation and maintenance for the Haldia power plant in WestBengal, IndiaResponsibility for operating and maintaining the plant, plantmanagement, procurement management, development of new site andO&M procedures.Platzhalter Bild●PADO – Online optimisation in power plantsPADO (Plant Performance Analysis Diagnosis and OptimisationSoftware) for power plant optimisation and service life monitoring.Engineering support and local engineering support, trouble shooting andwarranty services.Platzhalter BildPage | 43

1. Energy Technologies2. Nuclear Technologies3. Plant Services4. System Technologies5. New energy activities6. Subsidiaries1. Evonik Energy Services India2. Evonik Energy Services LLC, USA3. Evonik Energy Services do Brasil

Evonik Energy Services LLC, USARegistered Office:Sales 2009:Employees: 29*Kings Mountain, North Carolina€ 9,3 millionIn the US, Energy Services is active in marketing the business lines‘environmental capabilities, offers SCR (Selective Catalytic Reduction)catalyst management and runs the world‘s most modern catalystregeneration facility. Additionally, the services include consulting as wellas plant optimisation and retrofitting.Platzhalter BildScope of services:●●●Regeneration of catalystsBasic idea of Power Inland- License from Integral- own deploymentPopcorn Ash ScreensPatented filter, developed in the Voerde power plantEngineeringMarketing of environmental know-how*data 04/2010Page | 45

Evonik Energy Services LLC, USANew references●Catalyst Regeneration for Bexbach power plantThe catalysts were shipped in sea containers to America and wereprocessed throughout different steps of the unique regeneration process.Then the modules were shipped back to the Bexbach power plant.Platzhalter Bild●In-situ cleaning of catalysts at the Wagner power plant in USACleaning with a customized Shaker. Removing, cleaning on-site and reinstallationprior to start of operation within the planned outage schedule.Platzhalter Bild●Due Diligence of flue gas desulfurization and selective catalyticreduction equipmentDue to stricter environmental requirements resulting from EuropeanUnion directives it was necessary to make substantial retrofits to theemissions abatement installations at the Moneypoint power plant(Ireland). Surveying of the flue gas desulfurization (FGD) and theSelective Catalytic Reduction (SCR).Platzhalter BildPage | 46

1. Energy Technologies2. Nuclear Technologies3. Plant Services4. System Technologies5. New energy activities6. Subsidiaries1. Evonik Energy Services India2. Evonik Energy Services LLC, USA3. Evonik Energy Services do Brasil

Evonik Energy Services do BrasilRegistered Office: Rio de JaneiroSales 2009:€ 7,1 millionEmployees: 20*Platzhalter BildGrowing industrial production and increasing prosperity have causedenergy needs to rise sharply.This is where Evonik Energy Services do Brasil comes in, which has beenpresent in Brazil since 1974.Evonik Energy Services is offering O&M and engineering services. Fromconceptual work to site management and subsequent operation, we makean important contribution to enable Brazil‘s energy balance to keep pacewith the demands of a rapidly growing economic power.Scope of Services:●●Operation and maintenanceServices in core areas of engineering*data 04/2010Page | 48

Evonik Energy Services do BrasilNew referencesOperation and Maintenance at the Canoas combined cyclepower plant in BrazilOperation, maintenance, inspection and repair work, regular gas turbinemaintenance, procurement of consumables and spare parts, gas turbineinspection.placeholder visualLarge-scale project SepetibaDrawing up of concepts for the use of the existing primary energysources for electricity production, preparation of functional bidsolicitation, assistance in obtaining and evaluating the bids and in theawarding of contracts, owner support.placeholder visualFramework contract for long-term assistance in BrazilMPX plans to build gas and coal-fired power plants with a total installedcapacity of about 9,000 MW in Brazil and Chile during the next fewyears. Our supporting services for MPX focus on the classic, centralareas of engineering as Owner‘s Expert, on operation and maintenance,on training, and on O&M software tools.placeholder visualPage 49

Platzhalter BildEvonik Energy Services –knowledge on energyPage 50