[PPT] - Aalborg Energie Technik a/s AET Presentation 08-11-2016 Hans PowerPoint Presentation

SLIDE 1

Aalborg Energie Technik a/s

Page 1

Hans Christensen

Aalborg Energie Technik a/s, Alfred Nobels Vej 21 F, DK-9220 Aalborg East, Tel +45 96 32 86 00, www.aet-biomass.com

AET Presentation

08-11-2016

SLIDE 2

Not only ”Know How” – also ”Know Why”

AET is an independent and leading provider

f biomass fired energy systems.

AET offer complete solution for design, supply, service, operation & maintenance and retrofit for:

Boiler plants
Cogeneration plants
Power plants

within the range of 25 – 170 MWt.

Aalborg Energie Technick a/s

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SLIDE 3

Not only ”Know How” – also ”Know Why”

1996: AET was founded
1998: First turnkey project: Pfleiderer Gütersloh (DE)
2002: Awarded “Entrepreneur of the Year” by E&Y

First turnkey project in Austria

2003: Awarded “Gazelle Prize” by Børsen
2006: AET plants were awarded BAT by EU IPPC

First turnkey project in UK (WWEP)

2008: First O&M Contract (WWEP: 6 years)

Increase of equity to 7,5 mEUR

2009: First boiler contract in France and Italy
2010: Awarded “Export Prize” by Franco-Danish

Chamber of Commerce

2013: 4th order by GDF Suez in France (now ENGIE)
2014: AET employee head count increased to 100
2015: TGP (UK): turnkey and 20 years O&M (cons.)

Rønne (DK): fuel conversion Revenue: 34 mEUR, Balance Sheet: 25 mEUR (draft)

AET History

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10,0

20,0 30,0 40,0 50,0 60,0 2012 2013 2014 2015d 2016e

Solvency Ratio (%)

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Not only ”Know How” – also ”Know Why”

AET Business

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Focus

Right solution to customer
High performance
High availability
Fulfil time schedule
Dedicated to biomass
Project management
Develop products & skills
Best plants in EU (BAT)
Customers are ambassadors
Well-known BRAND
Growth

0,0 10,0 20,0 30,0 40,0 50,0 60,0 70,0 2012 2013 2014 2015d 2016e

Revenue (mEUR)

20 40 60 80 100 120 2012 2013 2014 2015d 2016e

Employees (yearly average)

SLIDE 5

Not only ”Know How” – also ”Know Why”

AET Added Value Chain & Core Competences

Page 5 Sales Design Procurement & Transport Customer inquiry Offer sent to customer Design approved Erection approved Contract signed & effective Take Over Warranty period ends Erection & Commissioning Warranty After Sales / O&M Tender Prospect Project identification

Heat balance
Process integration
Overall & detailed design
Plant layout
Detailed engineering
PLC Programming
SCADA Programming
Erection supervisors
Commissioning engineers
Project Management
Basic Engineering support Sales
After Sales Service – O&M
Customised business tools
Open and proactive communication

Lifetime ends

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Not only ”Know How” – also ”Know Why”

AET Team

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CEO

Hans Erik Askou

Sales & Service

Hans Erik Askou

Customers & Markets Contracts & Specifications Service & After Sales Operation & Maintenance Marketing

Technology

Jens Jørgen Nørgaard

Basic Technology/ Engineering Boiler Design/ Construction Electrical Engineering Business Tools Control & SCADA/ Instrumentation IT

Project

Kim K. Dyrholm

Project Management Plant Engineering Erection Commissioning

Finance

Jan Højmark

HR Purchasing Economy Administration Secretary

CEO

Hans Erik Askou

SLIDE 7

Not only ”Know How” – also ”Know Why”

Full Scope and Service – Service Your Need

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Biomass Biomass treatment system Biomass storage system AET Combust. System AET Biomass Dosing Flue gas treatment system CEMS & stack Flue gas AET Biomass Boiler Water treatment system Water storage system Feed water system Water Customer Process and Systems Authorities Finance Steam Turbine Generat. High voltage system Power Conden- ser Heat / Cool Waste Water Bottom ash storage Fly ash storage Ashes Authorities Supervision Control and Data Acquisition AET head

ffice

Operation & Maintenance AET head

ffice

SLIDE 8

Not only ”Know How” – also ”Know Why”

AET Core Components – Your Benefit

Core Components: Dosing Bin Rotary Valves Spreader Stoker Travelling Grate Overfire Air System Air Pre-heaters Boiler Fly Ash Re-injection Dust Firing System SNCR DeNOx Integrated Cyclones Control software

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Advantages: Uniform fuel dosing Uniform air injection Staged air injection Ideal combustion Low oxygen content Very limited refractory Lower flue gas velocities Lower carry over Less soot blowing Lower wear and tear Compensate fuel moisture Quick fault finding

1000 1100 1200 1300 1400 1500 1600 1700 1800 1900

10 20 30 40 50

Adiabatic temperature (°C) Fuel Moisture (%)

O2 = 3 % O2 = 9 %

Outcome for You: Lower emissions Higher performance Lower in-house cons. Lower fuel cost Higher availability Lower O&M cost Longer lifetime One Service Company

SLIDE 9

Not only ”Know How” – also ”Know Why”

Pannovosges (1994) Neumarkt (1997/2001) Gütersloh (2000) These three Aalborg-plants are mentioned as example by BAT ("Best Available Technology") in EU "IPPC Report for Large Combustion Plants", July 2006 (p. 310-312).

Best Available Technology (BAT)

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SLIDE 10

Not only ”Know How” – also ”Know Why”

Fuel from industries:

Sawmill residue
Olive grains/stones
Shea nuts/-flour
Composted wood
Rape seed extraction
Bio-Pellets
Sunflower pellets
Saw dust
Silo waste
Draff (distillers grain)
Dertal (tall oil)

Fuel from forest:

Timber
Trimmings from forest
Tree roots/stumps
Bark
Brash

Agro residues:

Sorghum
Miscanthus
Maize
Straw

High Fuel Flexibility – Low Fuel Cost

Contaminated fuel:

Waste wood
Demolition wood
Chipboard waste
Sander dust
Railway sleepers
RDF (EBS/SBS)

Other fuels:

Poultry litter
Meat and Bone Meal
Sludge

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SLIDE 11

Not only ”Know How” – also ”Know Why”

AET Track Record – High Performance

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Reference Plant Commis- sioning Year Boiler Efficiency - Guaranteed Boiler Efficiency - Actual Emissions Within Limits? Delivery Time - Guaranteed [months] Delivery Time - Actual [months] Did AET Pay Liquidated Damages? Tilbury Green Power*/*** 2017 92,0% 28 Østkraft*** 2016 Cofely - Biolacq Energies*** 2016 92,3% 93,5% Yes 3½ + 22 3½ + 22 No Cofely - BES VSG 2015 92,2% 93,3% Yes 8 + 24 8 + 24 No Cofely - SODC Orléans 2015 92,1% 92,6% Yes 4½ + 22 4½ + 22 No Rothes - CoRDe 2013 91,8% 91,8% Yes 2 + 24½ 2 + 24½ No Zignago Power 2012 92,0% 92,6% Yes 24½ 24½ No Cofely - BCN 2011 91,5% 93,0% Yes 6 + 22½ 6 + 22½ No Verdo - Randers** 2009 na na Yes na na No Western Wood Energy Plant* 2008 91,3%* 92,0%* Yes 24 23½ No FunderMax - Neudörfl 2006 91,0% 91,8% Yes 21 21 No Linz - Mitte* 2006 89,0%* 89,5%* Yes 20 19½ No Schneider - Biopower* 2004 91,0% 91,2% Yes 15 15 No Boehringer Ingelheim** 2004 na na Yes na na No Kronoply - Heiligengrabe 2002 90,3% 91,0% Yes 18 18 No Pfleiderer - Neumarkt** 2001 na na Yes na na No Pfleiderer - Gütersloh 2000 90,3% 91,3% Yes 2 + 19 2 + 19 No MRE - Glandford Power Station** 1999 na na Yes na na No

* Actual customer guarantee is plant net efficiency. ** Retrofit project. *** Under construction.

SLIDE 12

Not only ”Know How” – also ”Know Why”

AET Service – Support of High Availability

Page 12 Regular inspection

AET PDMS System

On-line & remote support Capacity increase Spare parts Full O&M contract On-site support Control / SCADA upgrade Lifetime extension Fuel conversion Emission measurement Emission reduction Thermodynamic calculation Efficiency

ptimisation

Feasibility study Combustion system upgrade Availability

ptimisation

SLIDE 13

Not only ”Know How” – also ”Know Why”

AET Biomass References

Side 13

2017 Tilbury Green Power 125 MW UK Waste wood 2016 Østkraft, Rønne 106 MW Denmark 0-100%oil, 0-75%coal, 0-50%biomass 2015 Cofely - Biolacq 54 MW France Clean wood 2015 Cofely - BES VSG 50 MW France Clean wood, DerTal 2015 Cofely - Orleans 37 MW France Clean wood 2013 Helius - CoRDe 34 MW UK Wood, draff (distillers grain) 2012 Zignago Power 49 MW Italy Clean wood, energy crops 2011 Cofely - Grand Couronne 55 MW France Clean wood, forest wood 2009 Energi Randers 2 x 95 MW Denmark 0-100 % coal & 0-100 % biomass 2008 Western Wood E. P. 48 MW UK Forest wood, clean rec. waste w. 2006 FunderMax - Neudörfl 50 MW Austria Waste wood, sander dust 2005 Linz Strom - Linz 35 MW Austria Forest wood, bark 2004 Boehringer Ingelheim 70 MW Germany Waste wood 2004 Schneider - Biopower 27 MW Germany Wood residue, sawmill dust 2002 Kronoply 64 MW Germany Waste wood, bark, sander dust 2002 Energi Randers 2 x 95 MW Denmark 100 % coal & 0-40 % biomass 2001 Pfleiderer - Neumarkt 100 MW Germany Waste wood, sander dust 2000 Pfleiderer - Gütersloh 60 MW Germany Waste wood, sander dust 1999 EPR, Fibrogen 51 MW England Poultry litter, MBM 1997 Pfleiderer - Neumarkt 78 MW Germany Waste wood, sander dust 1996 Rettenmeier 21 MW Germany Wood residue, sawmill dust 1994 Egger - Rambervillers 50 MW France Waste wood, sander dust 1993 EPR - Fibrogen 51 MW UK Poultry litter 1992 EPR - Fibropower 48 MW UK Poultry litter 1992 Dong Energy - Grenå (CFB) 80 MW Denmark Straw, coal 1990 Midtkraft - Århus (MCFB) 20 MW Denmark Wood, straw, coal 1988 Dong Energy - Slagelse 34 MW Denmark Straw 1987 Norske Skog - Follum 35 MW Norway Bark, waste wood, sludge At AET Employee at Aalborg Industries

SLIDE 14

Not only ”Know How” – also ”Know Why”

AET Track Record – High Performance

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Reference Plant Commis- sioning Year Boiler Efficiency - Guaranteed Boiler Efficiency - Actual Emissions Within Limits? Delivery Time - Guaranteed [months] Delivery Time - Actual [months] Did AET Pay Liquidated Damages? Tilbury Green Power*/*** 2017 92,0% 28 Østkraft*** 2016 Cofely - Biolacq Energies*** 2016 92,3% 93,5% Yes 3½ + 22 3½ + 22 No Cofely - BES VSG 2015 92,2% 93,3% Yes 8 + 24 8 + 24 No Cofely - SODC Orléans 2015 92,1% 92,6% Yes 4½ + 22 4½ + 22 No Rothes - CoRDe 2013 91,8% 91,8% Yes 2 + 24½ 2 + 24½ No Zignago Power 2012 92,0% 92,6% Yes 24½ 24½ No Cofely - BCN 2011 91,5% 93,0% Yes 6 + 22½ 6 + 22½ No Verdo - Randers** 2009 na na Yes na na No Western Wood Energy Plant* 2008 91,3%* 92,0%* Yes 24 23½ No FunderMax - Neudörfl 2006 91,0% 91,8% Yes 21 21 No Linz - Mitte* 2006 89,0%* 89,5%* Yes 20 19½ No Schneider - Biopower* 2004 91,0% 91,2% Yes 15 15 No Boehringer Ingelheim** 2004 na na Yes na na No Kronoply - Heiligengrabe 2002 90,3% 91,0% Yes 18 18 No Pfleiderer - Neumarkt** 2001 na na Yes na na No Pfleiderer - Gütersloh 2000 90,3% 91,3% Yes 2 + 19 2 + 19 No MRE - Glandford Power Station** 1999 na na Yes na na No

* Actual customer guarantee is plant net efficiency. ** Retrofit project. *** Under construction.

The table is missing the latest two turnkey contracts for JG Pears in UK and Akuo Energy in France.

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Not only ”Know How” – also ”Know Why”

Year Customer Boiler Service & supply Fuel

2017-2037 Tilbury Green Power (UK) 125 MW 20 year O&M Agreement Waste wood 2016 Østkraft (DK) Up to 106 MW Fuel conversion to biomass/ coal/oil from coal/oil, with AET Dual Fuel Spreader Biomass, coal and oil 2016 TripleNine Fish Protein 9, Thyborøn (DK) 2 x 20 MWt AET SNCR DeNOx plant Coal 2016 Kronoply - Heiligengrabe (DE) 65 MW SH 1 exchange Demolition wood (A1-A2) & dust 2016 Morsø Fjernvarme (DK) Several SCADA for several boiler plants, including emergency back-up plants Oil, gas 2016 Eramet (NO) 55 MW SCADA and PLC control for boiler and steam turbine CO gas 2015 International Paper (FR) 50 MW CO and NOx measurement. Fly ash re-injection system. AET System for fuel dosing. Clean wood, sludge 2015 Kronoply (1) - Heiligengrabe (DE) 30 MW Superheater replacement Dust fired 2015 Egger - Pannosvosges (FR) 46 MW Economiser replacement Clean wood, demolition wood (A1- A2) & dust 2015 Cofely BCN (FR) 55 MW AET SNCR DeNOx plant Clean wood, forestry wood 2014 Novopan (DK) 27 MW AET SNCR DeNOx plant Waste wood, sander dust 2014 Zignago Power (IT) 50 MW District heating system, including tail end heat exchanger Clean wood, energy crops 2013 → Zignago Power (IT) 50 MW Regular inspection Clean wood, energy crops 2012-13 Verdo - Randers (DK) 2x95 MW Redesign and supply of new superheater 2 & 3 Clean wood & dust/coal 2012 → Cofely BCN (FR) 55 MW Regular inspection Clean wood, forestry wood 2012 WWEP (Wales) 48 MW Supply of new superheater 4 Forest Wood, clean rec. waste wood 2011 Schneider - Biopower (DE) 27 MW Upgrade of boiler, supply steam turbine and steam/water cycle Clean wood, demolition wood (A1- A2) & dust

Major After Sales References

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SLIDE 16

Not only ”Know How” – also ”Know Why”

AET References in Europe

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SLIDE 17

Not only ”Know How” – also ”Know Why”

Your Biomass Business – Our Challenge

Process integration? Heat need, variation…..? Availability? Need from process, back-up …. Performance? Efficiency, power, emissions…

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Operation & Maintenance O costs, M costs ….? Biomass fuel? Clean wood, waste wood, dust…? …?

P R O J E K T 4 x x x

Tender material AET AET AET AET 26.09.2013 26.09.2013 07.10.2013 11.11.2013 11.11.2013 Clean wood Clean wood Waste wood Waste wood Waste wood Average load max load Operating hours pr year h/a 8.000 8.300 8.300 8.300 8.300 Electricity generator terminals kW 1.900 8.984 8.730 21.500 20.600 Inhouse consumption kW

500
900
900
1.500
1.500

Net Electricity kW 1.400 8.084 7.830 20.000 19.100 Cycle efficiency, net % 89,00% 65,40% 60,30% 44,60% 49,40% Heat supply (steam) KW 15.800 15.500 15.500 15.500 20.200 Fuel heat kW 19.326 36.061 38.690 79.596 79.555 Fuel consumption Wet ton/h 8,54 15,94 10,53 21,67 21,66 Gross efficency

91,6%

67,9% 62,6% 46,5% 51,3% Fuel consumption Wet ton/a 68.324 132.271 87.413 179.835 179.740 Ash production ton/a 683 1.323 2.185 4.496 4.494 Heat sales MWh/a 126.400 128.650 128.650 128.650 167.660 Electricity sales (net) MWh/a 11.200 67.097 64.989 166.000 158.530 Electricity purchase MWh/a Fuel cost Euro/ton dry 80,0 92,0 74,9 74,9 74,9 Fuel cost Euro/MWh fuelheat 17,7 20,3 15,3 15,3 15,3 Heat price (fuel+50%) Euro/MWh 39,8 39,8 39,8 39,8 39,8 Heat incentive price (RHI) Euro/MWh 20,0 20,0 20,0 20,0 20,0 Electricity sales price Euro/MWh 142 142 142 142 142 Electricity purchase price Euro/MWh 60 60 60 60 60 Ash cost Euro/ton 80 80 80 80 80 Income from heat sale Euro/a 5.028.192 5.117.697 5.117.697 5.117.697 6.669.515 Income from CHP incentive (RHI) Euro/a 2.528.000 2.573.000 2.573.000 2.573.000 3.353.200 Income from electricity sale Euro/a 1.595.177 9.556.420 9.256.156 23.642.801 22.578.875 Total income pr year Euro/a 9.151.369 17.247.117 16.946.853 31.333.498 32.601.589 Fuel cost Euro/a 2.732.971 6.084.463 4.909.132 10.099.521 10.094.223 Electricity purchase Euro/a Ash cost Euro/a 54.659 105.817 174.827 359.670 359.481 Consumables (water, gas/oil…) Euro/a 123.685 149.654 160.563 330.325 330.152 Insurance, other costs Euro/a 200.989 389.100 417.464 858.845 858.395 Repair and maintenance Euro/a 1.125.000 1.290.000 1.380.000 2.137.500 2.137.500 Staff cost Euro/a 675.000 675.000 675.000 675.000 675.000 Total operating cost Euro/a 4.912.305 8.694.034 7.716.986 14.460.861 14.454.750 EBITDA Euro/a 4.239.064 8.553.083 9.229.868 16.872.637 18.146.839 Capital service dept Euro 2.160.315 3.763.130 3.972.193 6.759.696 6.759.696 Net profit 1. full year Euro 2.078.749 4.789.953 5.257.675 10.112.940 11.387.143 Profit per year / equity % 22% 29% 30% 34% 38% Simple pay back year 7,6 6,5 6,4 5,9 5,5

C O N F I D E N T I A L

B

u s i n e s s C a s e s

→ Heat balance, process, concept, scope, layout, price….

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Not only ”Know How” – also ”Know Why”

QUESTIONS?

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