STX Wind Power Business

I. STX Group

II. STX Heavy Industries

III. STX Wind Power Business

IV. Wind Turbine Analysis

V. Track Records

VI. Global Networks of STX Group

1

(unit :USD 1billion)

I. STX Group

1. Group Introduction

2

Foundation

May, 2001

About 52,000

(including foreign corporation, partner companies)

Domestic 15 / Foreign 46

(excluding 28 foreign office)

∙ KRX (Korea Exchange)

: STX, STX Pan Ocean, STX Offshore &

Shipbuilding, STX Engine, STX Metal

∙ SGX : STX Pan Ocean

* STX Pan Ocean : Korea, Singapore dual listing

Employees

Affiliated Companies

Listed company

25

28

15

0.9

2007 2008 2009

1.2

0.2

2007 2008 2009

Sales

Sales Profit Asset

Order

16

28 29

2007 2008 2009

16

24 22

2007 2008 2009

I. STX Group

2. Group Brief History

3

History

1976.12 – Established SSangyong Heavy Industries

2001.05 – Firm name changed to STX

2001.06 – Established STX Metal

2001.10 – Acquired STX Offshore & Shipbuilding

2002.11 – Acquired STX Energy

2004.02 – Established STX Heavy Industries

2004.11 – Acquired STX Pan Ocean

(formerly Pan Ocean shipping)

2005.02 – Acquired STX Construction

2005.05 – STX Engine, Acquired STX Radar SYS

2007.03 – Commenced construction of

STX Dalian Shipbuilding complex

2007.10 – Acquired STX Europe (formerly Aker Yards)

2007.11 – Established STX Solar

2009.08 – Acquired STX Windpower B.V.

(formerly Harakosan Europe)

2010.01 – Acquisition the business & manufacturing

right in China

4

• Holding Company• S & P Business• 2,000 employees

• Global networks with81 overseas offices

• 18 shipyards in 8 countries• Total 51,000 employees

Shipping & Trading• Top Class Shipping Company• Operating 500 Fleets PanOcean

Shipbuilding & Machinery

• 44,300 employees

• Global Top Shipbuilder• Offshore Fixed & Floating Facility EPC Contractor

Offshore & Shipbuilding

• The Greatest World Class Shipbuilding Complex Dalian Shipbuilding Complex

• Global Top Cruise & Offshore Contractor• 15 yards in 6 Countries

Europe

• 4-Stroke High Speed Engine / Gen-set• Underwater Acoustic & Radar System

Engine

• Diesel Engines & Parts, Cargo Oil Pump System• Shipbuilding Machines & Materials

Metal

Corporation

Plant & Construction• 2,700 employees

• Onshore Plant EPCI Contractor Heavy Industries

• Industrial Plants, Housing and Infrastructure Construction

Energy

• 1,000 employees

• Oil & Gas E&P Business

• Steam Power Plant and Wind Energy Energy

• Solar EnergySolar

• 2-Stroke Marine Engine / Gen-set

Windpower B.V • Wind Energy

• 3,000 employees

As of March. 2010

3. Group at a Glance

I. STX Group

I. STX Group

4. Business Structure

5

Business Group

Shipping &

Trading

Shipbuilding &

MachineryEnergy

Construction

& Plant

Shipping & Trading Shipbuilding & Machinery

Energy Plant ∙ Construction

STX Pan Ocean

STX Corporation

STX Offshore & Shipbuilding

STX Heavy Industries(Shipbuilding dpt)

STX Engine

STX MetalSTX Europe STX Dalian

STX Energy

STX CorporationSTX Solar

STX Construction

STX Heavy Industries (Industrial plant dpt)

STX Windpower B.V.

STX Dalian

6

I. STX Group

5. Business Value Chain

Business

Area

Offshore Plant Onshore Plant TransportationE & P

Affiliates

From Upstream – Investment, Exploration & Production

To Downstream – Transportation, Storage & Distribution

Oil & Gas Field

Development

Exploration &

Production

FPSO

LNG FPSO/FSRU/SRV

Drillship

Semi-Submersible Rig

Pipe Laying Vessel

OCV / OSV

Fixed Platform

Planning

Feasibility Study

License Arrangement

Engineering

Procurement

Construction

Operation

Shipbuilding

/ Transportation

• LNG Carrier

• LPG Carrier

• VLCC

• Product Carrier

Oil Terminal

Service Station

Distribution

ValueChain

Corporation

Energy Offshore

& Shipbuilding

Dalian

Europe

Energy

Construction

Offshore

& Shipbuilding

PanOcean

Corporation

Energy

Heavy Industries

Windpower B.V Dalian Windpower

1. History of STX Wind Power Business

STX HI Wind Power Plant Business

Construction of Jeju Haengwon wind farm as EPC in 1999

Accumulated installation capacity is over 75MW in Korea by 2009

Experience of V90- 3.0MW installation

Acquisition of Harakosan Europe in Aug, 2009

STX Windpower B.V.

Lagerwey established:1979

Zephyros established for 2MW WT, based on Lagerwey 750kW:2002

Zephyros was acquired by Harakosan Co. Ltd.: 2005

Harakosan Europe was acquired by STX Heavy Industries: 2009

Renamed as STX Windpower B.V.

STX Dalian Windpower

Established in Aug, 2009

7

II. STX Heavy Industries

2. Organization

8

General ManagementDivision Group

Engine & ShipbuildingMaterial Group

Plant Business Group

CEO

STX Windpower B.V.

(Netherlands)

STX Dalian Windpower Co.,

Ltd.(China)

Mr. Hyung Jin, Choi Mr. Kwang Taek, YooMr. Dae Woo, RhyewMr. Ki Yeon, Lee

Mr. Hyuk Jong, Yeoh

Mr. Kwang Taek, Yoo

II. STX Heavy Industries

Wind PowerDivision

Established in Feb. 2004

Location

-R&D Center : Seoul, Changwon

-Factory : Changwon

Capital : USD 286 million

Sales

HQ in Changwon

HQ in Seoul Changwon Office

II. STX Heavy Industries

3. STX Heavy Industries Introduction

2006 2007 2008 2009

350 559 908 1,098

(Unit : USD 1million)

9

BUSAN Port

MASAN Port

INCHEON

Airport

4. STX Windpower B.V.

10

History

1979. Lagerwey Establishment

2005. Changed name to Harakosan Europe

2009. Changed name to STX Windpower B.V.

Engineering center

: Lelystad, Netherlands

Factory: Den Helder, Netherlands

Amsterdam

II. STX Heavy Industries

Shipping Berth

Fabrication ShopObservatory

Engine Shop

Machinery shop

Casting shop

Dry Dock & G/C(900t * 224m)

5. STX Dalian Windpower Co., Ltd.

Windpower Factory

II. STX Heavy Industries

Total : 5,500,000㎡

1. Wind Power Generator Technology Tendency

III. STX Wind Power Business

12

2. Direct-Drive vs Conventional Drive

III. STX Wind Power Business

13

Direct coupling

Rotor – Generator

Less moving parts

Ease of Maintenance

Lower installation cost

due to light weight hoist

assemblies

Direct-Drive

Gearless

Gear box coupling

Rotor - Generator

Complicated moving parts

High need of Maintenance

Higher installation cost

Conventional Drive

Geared

Integrated design

Single bearing concept

Min. number of components

No transport restrictions

minimum hoisting capacity

RMU, transformer, converter and cooling systems in Tower

3. STX Wind Power Generator Introduction

III. STX Wind Power Business

14

4. Advantage of STX Wind Generator

III. STX Wind Power Business

Cost Advantages during operation of life-time

• Maintenance Costs Saved due to Light Weight

• Excellent Availability (over 95%) due to DD Type

• Removal of Potential Risk due to Gearless Type15

5. STX 93 (2MW New Model)

III. STX Wind Power Business

Rated Wind Speed 11 m/s

High Energy production in low wind area

Low Installation cost

More simplicity and lower numbers of

components

All interior space is connected & over

pressurized (Patent EP1218638)

16

Key Features

6. Wind Turbine Concise Specifications

III. STX Wind Power Business

17

STX 72 STX 87 STX93

Main Specification

Rated Power 2,000kW 2,000kW 2,000kW

Cut-in Wind Speed 3m/s 2.5m/s 3m/s

Rated Wind Speed 12m/s 11.5m/s 11m/s

Cut-out Wind Speed 25m/s 25m/s 20m/s

IEC Class Ⅱ A II A Ⅲ B

Max. Turbulence 0.16 0.16 0.16

Rotor

Material Glass fibre reinforced Glass fibre reinforced Glass fibre reinforced

Length of Blade 34m 40m 45.3m

Diameter 70.65m 87.6m 93.3m

Swept area 3,920㎡ 5,024㎡ 6,837㎡

Rotational Speed Variable Variable Variable

Tower

Hub Height 65m, 83m, 100m 65m, 83m, 110m 60m, 80m, 88m

Generator

Type

Direct-Gearless-Drive

Permanent Magnet

Synchronous Generator

Direct-Gearless-Drive

Permanent Magnet

Synchronous Generator

Direct-Gearless-Drive

Permanent Magnet

Synchronous Generator

Voltage 660V, 50/60Hz 660V, 50/60Hz 660V, 50/60Hz

Control

Pitch System Active Active Active

Yaw System Active Active Active

Corrosion protection technology Patent for offshore WTG

Original technology for High efficiency Direct Drive WTG

Installation and Construction know-how for 3MW WTG (3.0MW x 16 units, Korea)

Installation and Construction know-how for WTG less than 2MW (Total 32 units, Korea)

STX HI Wind Power Business Vision

Large

capacity

WTG

(over 3MW)

2015

Global

Top

7

Offshore

Wind Farm

Development

STX Technology advantage

7. Vision of STX Heavy Industries Wind Power Business

III. STX Wind Power Business

18

19

1. Types of Wind Turbine Generator

IV. Wind Turbine Analysis

Generator Type Drive Type

Vestas, GE, Siemense

Vestas, GE, Gamesa,

Acciona, Nordex, Dewind

Kenersys

GE, Clipper windpower,

Winwind

No Exist

No Exist

Enercon, M Torres

STX, Goldwind, Mitsubishi,

GE (Scanwind)

SCIG

DFIG

EESG

PMSG

Geared

Gearless

Geared SCIG

Geared DFIG

Geared EESG

Geared PMSG

Gearless SCIG

Gearless DFIG

Gearless EESG

Gearless PMSG

20

2. Analysis of PMSG

PMSG DD PMSG 1G PMSG 3G

Merit■ High Efficiency

■ Simple Structure

■ Low Maintenance Cost

■ Reduced Size & Weight of Generator

■ Low Manufacturing Cost of Generator

Demerit■ Large & Heavy Weight of Generator■ High Manufacturing Cost of Generator

■ High Maintenance Cost for Gearbox■ Risk of the Reliability

Company STX GE Vensys/Goldwind Siemens Hyundai Multibrid, Winwind GE, Samsung H.I

IV. Wind Turbine Analysis

0

10

20

30

40

50

60

70

80

90

100

20 30 40 50 60 70 80 90 100

Dri

ve

tra

in e

ffic

ien

cy

Wind speed (% of rated)

DFIG PMHS PMMS PMDD

Turbine power

Annual wind distribution

21

3. Comparison : STX vs ENERCON

STX ENERCON Remarks

Generator PMSG DD EESG DD Gearless Type

Efficiency Highest High Lost in the Coil Winding

Cost High High Coil & Core

Maintenance Lowest Low Exciter, Rotating, Rectifier

Weight Acceptable High- STX : 46.4kg/kNm

- ENERCON : 66.5kg/kNm

Generators concepts EESG DD PMSG DD

Stator air-gap diameter, m 5 5

Stack length, m 1.2 1.2

active material weight, ton

Iron 32.5 18.1

Copper 12.6 4.3

PM — 1.7

total cost, kEuro 45.1 24.1

generator active material 287 162

generator construction 160 150

converter 120 120

sum of generator system cost 567 432

total cost (incl. margin for company costs) kWh/Euro 2117 1982

annual energy yield, MW h 7740 7890

annual energy yield/total cost, kW h/Euro 3.67 3.98

IV. Wind Turbine Analysis

22

4. Comparison Chart

Bad Good1 5

Geared

SCIG

Geared

DFIG

Geared

EESG

Geared

PMSG

Gearless

EESG

Gearless

PMSG

Vestas

GE

Vestas

GE, Nordex

Kenersys Clipper

Samsung

Enercon STX

Efficiency 1 3 3 3 4 5

Weight 4 4 3 4 1 2

Cost 5 4 3 3 1 2

Maintenance 2 1 1 3 3 5

Production 2 3 3 4 5 5

Total 14 15 13 17 14 19

IV. Wind Turbine Analysis

1. STX Heavy Industries

V. Track Records

Hankyung Wind Power Plant

Installed Power Capacity : 21 MW

Location: Hankyung in Jeju (Korea)

Developer: Korea Southern Power

Service Provided: EPC

Scale : V90-3.0 MW x 5units

NM72-1.5MW x 4 units(Vestas)

Saemangeum Wind Power Plant

Install Power Capacity : 7.9 MW

Location: Kunsan in Jeonbuk Province (Korea)

Developer: Jeonbuk Province Government

Service Provided: EPC

Scale : V52-850 kW x 4 units

/ NM48-750kW x 6unit (Vestas)

23

Jeju Sung-san Wind Power Plant

Installed Power Capacity : 20 MW

Location: Sung-san in Jeju (Korea)

Developer: Korea Southern Power

Service Provided: EPC

Scale: V80-2.0 MW x 10 units

Jeju Sam-dal Wind Power Plant

Installed Power Capacity: 33 MW

Location: Sam-dal in Jeju (Korea)

Developer: Hansin Energy

Service Provide: Transportation & Installation

Units: V90-3.0 MW x 11 units

1. STX Heavy Industries

V. Track Records

24

1. STX Heavy Industries

Q’ty Output [MW]

STX HI 48 89.350

V. Track Records

25

Project Name Customer Capacity Completion Remark

Jeju Hangwon Wind Power Plant Jeju Province, Korea 3,750 kW Oct., 2002NM48/750

x 5 sets

Saemangeum Wind Power Plant(1st) Jeonbuk Province, Korea 1,500 kW Dec., 2002NM48/750

x 2 sets

Saemangeum Wind Power Plant(2nd ) Jeonbuk Province, Korea 1,500 kW Oct., 2003NM48/750

x 2 sets

Jeju Hankyung Wind Power Plant (1st) Korea Southern Power, Korea 6,000 kW Apr., 2004NM72C/1500

x 4 sets

Saemangeum Wind Power Plant (3rd) Jeonbuk Province, Korea 1,500 kW Sep., 2004NM48/750

x 2 sets

Jeju Green Village Wind Power Plant Jeju Province, Korea 1,700 kW Feb., 2006V52-850

x 2 sets

Saemangeum Wind Power Plant (4th) Jeonbuk Province, Korea 3,400 kW Nov., 2007V52-850

x 4 sets

Jeju Hankyung Wind Power Plant (2nd) Korea Southern Power, Korea 15,000 kW Mar., 2008V90-3.0

x 5 sets

Jeju Seongsan Wind Power Plant (1st) Korea Southern Power, Korea 12,000 kW Mar., 2009V80-2.0

x 6 sets

Jeju Samdal Wind Power Plant

Transportation & InstallationNAMHAI Co., Ltd., Korea 33,000 kW Nov.,2009

V90-3.0

x 11 sets

Jeju STX Energy Wind Power Plant STX Energy, Korea 2,000kWUnder

Construction

V80-2.0

x 1set

Jeju Seongsan Wind Power Plant (2nd) Korea Southern Power, Korea 8,000 kWUnder

Construction

V80-2.0

x 4 sets

V. Track Records

2. STX Windpower B.V.

Fujian site Wind Power Plant (2008)

Installed Power Capacity: 26 MW

Location: Fujian (China)

Scale: STX72-2.0 MW x 13 units

Hogsara Wind Power Plant (2007)

Installed Power Capacity: 6 MW

Location: Hogsara (Finland)

Scale: STX72-2.0 MW x 3 units

26

V. Track Records

2. STX Windpower B.V.

Muroran site Wind Power Plant (2006)

Installed Power Capacity: 2 MW

Location: Muroran (Japan)

Scale: STX72-2.0 MW x 1 units

27

Taichung harbour Wind Power Plant (2005)

Installed Power Capacity: 42 MW

Location: Taichung (Taiwan)

Scale: STX72-2.0 MW x 21 units

2. STX Windpower B.V.

V. Track Records

28

Project Name Site Location Capacity Completion Remark

PMDD Prototype Netherlands 2 MW 2002STX72-2.0MW

x 1 unit

Taichung harbour Wind Power Plant Taiching, Taiwan 44 MW 2005STX72-2.0 MW

x 22 units

Muroran site Wind Power Plant Muroran, Japan 4 MW 2006,20071#STX72-2.0 MW

1# STX82-2.0 MW

Shimane Prefecture

Wind Power Plant Shimane Prefecture, Japan 24 MW 2006, 2009

STX82-2.0MW

x 12 units

Hogsara Wind Power Plant Hogsara, Finland 6 MW 2007STX72-2.0 MW

x 3 units

Datang Bayinxile Wind Power Plant Inner Mongolia, China 4 MW 2007STX72-2.0MW

x 2 units

Fujian site Wind Power Plant Fujian, China 26MW 2008STX72-2.0 MW

x 13 units

Inner Mongolia site

Wind Power Plant Inner Mongolia, China 44MW 2008

STX72-2.0 MW

x 22 units

Shanxi site Wind Power Plant Shanxi , China 48MW 2008STX72-2.0 MW

x 24 units

KIER Offshore Wind Power Plant

(Korea Institute of Energy Research)Jeju Province, Korea 4 MW

Under

Construction

STX72-2.0 MW

x 2 units

Atra Eco Wind Power Plant Constanta, Rumania 12MWUnder

Negotiation

STX72-2.0MW

X 6 units

European Wind FarmsPoland, Rumania, Hungary,

Bulgaria, Czech Republic 220MW

Under

Negotiation

STX82-1.5MW

STX93-2.0MW

Iraqi Wind Farms Iraq 50MWUnder

Negotiation

STX82-1.5MW

STX93-2.0MW

29

EuropeOslo Office (Norway)

Antwerp Office (Belgium)

Denmark Branch (Denmark)

London Office (U.K.)

STX Finland Cruise (Finland)

STX France Cruise (France)

STX Europe ASA (Norway)

STX Norway AS (Norway)

STX Norway Offshore (Norway)

STX Romania

STX Romania Offshore

Athens Office (Greece)

Azerbaijan Office (Azerbaijan)

AmericaNew Jersey Office (USA)

New Orleans Office (USA)

Portland Office (USA)

STX US Marine (USA)

STX Canada Marine (Canada)

Rio de Janeiro Office (Brazil)

STX Brazil Offshore

STX Latin America (São Paulo, Brazil)

Santiago Office (Chile)

AsiaSTX Dalian Shipbuilding Complex (China)

STX Dalian Heavy Industries (China)

Shanghai Office (China)

Beijing Office (China)

Mumbai Office (India)

Jakarta Office (Indonesia)

Tokyo Office (Japan)

Mongolia Office (Mongolia)

Singapore Office (Singapore)

Taiwan Office (Taiwan)

Hanoi Office (Vietnam)

STX Vietnam Offshore

Middle EastDubai Office (UAE)

Tehran Office (Iran)

Africa Lagos Office (Nigeria)

OceaniaMelbourne Office (Australia)

STX Global Network 81 Overseas Offices

VI. Global Networks of STX Group

Thank You!!

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