Geothermal Field Development & Power Plant EPC …

1 Geothermal Field Development & Power Plant EPC ServicesOverview of the Mannvit-Technip collaborationDecember 2010 Mannvit & Technip CollaborationTop notch combined value in Geothermal Development servicesOur collaboration offers Geothermal projectdevelopers and financers with asingle point source of responsibilityfor Geothermal Development servicesCollaboration effective since October 2009US Western StatesIndonesiaRegional FocusWAORIDUTNVCAAK2 IntroductionExperience combined in Geothermal developmentMannvitis an Icelandic consulting and engineering service provider in all phases of Geothermal project Development comprising: Geothermal exploration, feasibility studies and resource assessmentsResource assessments and drilling engineeringConceptual design, process packages and detailed engineering supportPower Plant operational and training servicesTechnip is a global Engineering, Procurement, and Construction (EPC) service provider to the energy industries with services including.

2 Project management expertise, including complex project integrationRisk assessment and financial engineeringPreliminary, detailed engineering and designGlobal procurement and construction management services3 Mannvit In BriefIndependent consultants in Geothermal developmentAbout 400 employees including subsidiaries Employee owned100 specialists dedicated to the Development of Geothermal energyGeothermal Development Consultancy active in:IcelandCentral and Eastern EuropeUSAL atin AmericaIndonesiaOffices inIceland HeadquartersHungary, Germany and UKIceland's premier consulting and engineering service provider 440 years of Geothermal Development ExperienceGeothermal research & Exploration surveysReservoir assessments and simulationEnvironmental consultingFeasibility studiesDrilling engineering, design and supervisionProcurement & Tender evaluationPower Plant engineering and detailed designProject & Construction managementPower Plant operational servicesService spanning all aspects of Development and utilization5 MannvitDecades of experience in Geothermal developmentUNIDO Manual tailored to Geothermal project needsGeothermal Reporting Code.

3 Qualified Person with CanGEACost Estimate Classification System AACE InternationalProject Management with MaProMannvit certified Quality system, ISO 9001 Experience, standards and project management6 Combined heat and Power 300 MWe& 400 MWthOver 60 boreholes drilled, depth range 1,500 3,000 mProject cost 1,000 M Field Development since 2002 Mannvit sRoleProject managementOverall Plant designDetailed mechanical design of plantDetailed design of HVAC systemBid preparation and tender evaluationSite supervisionCommissioningAcceptance testTraining of operatorsEnvironmental impact assessmentProject Example Hellishei iPower PlantReykjavik Energy as valued client for over 40 years7 Since 2006 Mannvit has provided PannErgywith day-to-day consultancy service regarding utilization of Geothermal energy in HungaryMannvit s RoleProject management and EPCME valuation of potential Geothermal areasResearch.

4 Exploration and developmentDrilling engineering servicesEnvironmental Impact AssessmentReservoir engineering and monitoringDesign of Power plantDesign of central district heating systemProject Example Geothermal Field DevelopmentIntegrated approach to project development8 Technip In BriefRecognized leader in the execution of EPC energy projectsA leading global provider of engineering, technologies and project management services, serving the energy industry for 50 yearsMulti-local: 23,000 team members in 46 countries, industrial assets (manufacturing plants , spoolbases, construction yard) on five continents, and operates own fleet of 19 specialized vessels for pipeline installation and subsea constructionHighly integrated capabilities: products, technologies, assets, know-howBusiness activities organized in 3 complementary segments.

5 Subsea, Offshore and OnshoreKey contributor to Development of sustainable solutions to the energy challenges of the 21stcentury9 Technip Three SegmentsSUBSEAONSHOREOFFSHORE Design, manufacture and supply of deepwater flexible and rigid pipelines, umbilicals, and riser systems Subsea construction and pipeline installation services Five state-of-the-art flexible pipe and umbilical manufacturing plants Five spoolbasesfor reeled pipeline assembly A constantly evolving fleet strategically deployed in the world's major offshore markets Engineering and fabrication of fixed platforms for shallow waters (TPG 500, Unideck ) Engineering and fabrication of floating platforms for deep waters (Spar, semi-submersible platforms, FPSO) Leadership in floatovertechnology Two construction yards Gas treatment and liquefaction (LNG), Gas-To-Liquids (GTL) Oil refining (refining, hydrogen and sculpture units) Onshore pipelines Petrochemicals (ethylene, aromatics, olefins, polymers, fertilizers) Biofueland renewable energies Cogeneration Projects Non-oil activities (pyrotechnics, life sciences, metals, buildings and infrastructures) Project Management ServicesTechnip Project Execution ApproachQuality Control in Project Execution Do it right the first time Upfront Project Execution Planning.

6 Continual risk : Continuous Improvement in Productivity Update work processes and minimize : Extend and continually update our worldwide knowledge of suppliers / : Plan our own construction management solutions. Form partnerships as needed. Work with local Project Execution ApproachConstruction Driven and State of the Art Project ExecutionThe Start-upPackagesApproachTHE CLIENTC onstructionE+P DeliveryEngineeringTHE MAKE IT HAPPEN FACTORFEED frozen prior toEPC start12 Technip Project ExamplesRecognized Leader in the Execution of EPC Energy ProjectsClients:Air Products, Port Arthur I, TX: Frame 6 GT integrated w/SMRAir Products, Port Arthur II, TX: Frame 7 GT integrated w/SMRE xxon-Mobil, Torrance, CA: GT integrated with SMRT exaco, Wilmington, CA: SMR steam to Steam TurbineSyncrude, AB, Canada: SMR steam to Steam TurbineAir Products, Wilmington, CA: SMR steam to Steam TurbineScopes of Work:EPC / EPCM / EPTypes of Contract.

7 Lump Sum / ReimbursableProject DescriptionsElectric Power production in 20 118 MWe rangeGas turbines -GE frames 5 (25 MW), 6 (38 MW) or 7 (85 MW)Gas Turbine exhaust (GTE) used as combustion air in Steam Methane Reformer (SMR)Hydrogen / Cogeneration Projects, USA & Canada13 Technip Project ExamplesRecognized Leader in the Execution of EPC Energy ProjectsHyWind Project, MWeOffshore Wind Turbine in 220 metres water depthSPAR buoy concept with 100 m draftSubsea Power cables to onshore local grid65 m high steel tower for Siemens wind turbine generator14 Combined Experience and ExcellenceMannvitIceland's Premier Consulting & Engineering Service ProviderGeothermal Consulting Engineers since 1960sExperienced in all Stages of Geothermal DevelopmentWell Positioned to Assess Resource RisksTechnipProject Execution ExcellenceHighly Experienced EPC ContractorGlobal Procurement NetworkConstruction Management SolutionsFinancial StrengthAttractive and Market Competitive Solutions15 Value PropositionMannvit and Technip s collaboration offers single point source of responsibility for Geothermal

8 Developers and their investorsConsulting and EPC contracts in Geothermal Project DevelopmentRisk managementEngineering & DesignProcurementConstruction managementPower Plant start-up services Operations supportGeothermal consultingGeothermal explorationGeothermal reservoir engineeringFeasibility studiesDrilling engineering servicesProject management1617 Geothermal Service MapServices include: Air & Water quality Soil investigations Environmental modelling Project management Strategy assessment Operational licenses Environmental monitoring Environmental mitigation Environmental Impact AssessmentServices include: Data mining & review Geological mapping Geochemical sampling & analysis Well siting Databases and data management Geophys.

9 Exploration: Resistivity Gravity Seismic interp. GIS services & cartographyServices include: Conceptual modeling Reservoir modeling Underground cold & heat storage Resource assessments & code classification Well testing and evaluation Reservoir monitoring Well logging Surface runoff & groundwater modelingServices include: Pad preparation Well design Bid preparation Tender evaluation Supervision of drilling contracts Drilling Engineering Mud logging Inspection Work over programs Drilling supervisionServices include: Feasibility studies Cost estimations Conceptual design Process design Overall Plant design Site layout & planning Equipment specifications Bid preparation and bid evaluation Site supervision Commissioning Acceptance test Training of operators Project managementEnvironmentalConsultingGeother malExplorationGeothermalDrillingReservoi rEngineeringPowerplantsMannvit-TechnipQu alifiedExperiencedDedicatedExecution ExcellenceFinancial StrengthGeothermal A-ZYour Partners in Geothermal Development1819 Annex20 Project Management.

10 The Technip Way Bidding Discipline Control of Project Execution Global Procurement Network21 Bidding DisciplineEnsure appropriate risk/reward achieved on each contractEach project is evaluated on its own meritsNo market share or asset utilization target supersedes this ruleTENDERCostEstimation,Legal & FinancialReviewManagementAuthorizationto Tender(ATT)BIDCost, Legal& FinancialUpdateManagementAuthorizationto Commit(ATC)AWARD22 Control of Project ExecutionSeniorManagementReportingSVP Project ManagementSVP Global ProcurementSVP Cost and PlanningSupportReportingMonitoring (Monthly Project Reviews)CostControlConstructionInstallat ionEngineeringProcurementProject DirectorFull AuthorityReportingTwo principles are implemented concurrently:-Project Director: single point of accountability for each project -Senior Management: hands-on policy, supported by central expertise23 Global Procurement NetworkEPC internet-based procurement systemHoustonLos AngelesKuala LumpurAberdeenParisRomeRio de JaneiroD sseldorfRegionalProcurement ManagerGlobalProcurement OfficerCommodity Family ManagersA worldwide network for increased flexibility and competitiveness