IMMA Compact Power Ship

IMMA

Compact Power Ship

Crude Oil to Electricity on Barge

IMMA Global San. Ve Tic. A.S.

www.immaglobal.com [email protected]

IMMA Global – Intro Page 2/14 Floating Compact Power Plant May 2018 Floating Compact Power Plant May 2018

1 Executive Summary 1.1 IMMA Global Group at a Glance IMMA Global Group is a Turkish – Belgium joint-venture with worldwide partnerships and joint-ventures as a dedicated manufacturer and supplier of

1. Mining Machinery including turn-key crushing & screening solutions with entire required auxiliary equipment, transporting, accommodating and facilitating solutions with worldwide partners as Sandvik, Metso, Mercedes-Benz, ABB

2. Steel Structures as a unique and custom based projects for accommodation (from low-cost housing till multi-floor apartments), schools, kindergarten, hospital/clinic, hangars, facilities, etc. with a quick and reliable cost effective building solutions as per EU standards.

3. EPC Contracting for primary & secondary oil processing, grain processing, storage areas, refurbishing and renovating/upgrading

4. Ship building and repair of tanker ships (up to Suezmax ships), oil rigs, jack-up barges, accommodation barges, tugboats, crew-boats, etc.

IMMA has developed a unique processing process for primary and secondary crude oil processing and distilling. In this project the obtained products are are brought by a highly effective solution without entering a hydro-cracking or a catalytic-cracking method, which enables a cost effective investment for crude oil refine. As you'll see in the following pages the final products will be sufficient for this investment and develop the business in terms of pay-back period and enlarging the investment area as power plantation or product enriching. Unlike current other methods which use additives to increase the octane, IMMA utilizes the method of isomerisation and aromatization to refine. Our plan calls for setting up a power generating unit, to be built on a barge with a capacity of from 2,5MWe up to 1 GWe on a modular basis structure to multiple the units and/or divisions to enable an increase capacity & quality. This unique processing process brings the highest rate of cost/benefit ratio in limited volumes as a compact crude oil processing to produce in-house the required HFO, SRFO, LFO, LPG, etc. IMMA's solution is a minimized regular hydro-cracking method of crude oil processing via utilizing the method of isomerisation and aromatization. The methodology is based on a processing of hydrocarbons obtained through the direct distillation of crude oil, namely the straight-run gasoline (fraction at 85-180°C). In order to process straight-run gasoline, we use the process of "Metaforming", which increases the octane number of the crude, followed by the production of motor fuels of Euro 3 and Euro 4 standards (trade marks of AI-92, AI-95 & AI-98). The purpose of IMMA's oil refinery is to be a solution supplier for major distilled oil products as gasoline, LPG, diesel and fuel-oil with a cost effective investment, low costed operating and limited timeline. So to be able to come with local potential solution provider.

* Source: Opec World Oil Outlook 2015 This business plan calls for setting up a modular mini processing solution with each has the capacity to process 3.600 bpsd of crude to naphtha and produce raw material for power generating.


IMMA brings a unique solution to generate power from crude oil by 2 processes:

I. CRUDE OIL: Major refined oil products as diesel (Euro2, Euro3 or Euro 4), gasoline (AI92, AI95, etc), LPG and fuel-oil

II. POWER GENERATING:HFO/LFO power plant So IMMA’s Compact PowerShip calls for 3 major elements:

1. Crude Oil Processing: Setting up various modular mini processing solution with each has the capacity to process 112.000 bpsd of crude to naphtha and produce gasoline, diesel, LPG, kerosene and fuel-oil through the same process.

2. HFO Power Plant: “Heavy Fuel Oil” power plant to produce electricity 3. Floating Units:

(a) processing (b) Power Plant (c) Accommodation

Those will be installed on a floating barge to enable a flexible mobilization in terms of start-up and off-shore investment advantages.


2 IMMA Crude Oil Processing

IMMA’s unique and conventional crude oil processing generates gasoline, diesel, LPG, kerosene and fuel-oil through the same process. 2.1 Our Projection for crude processing consists of:

1. Crude Distillation Unit 2. Kerosene Treater 3. Naphtha Reformer 4. Liquefied Petroleum Gas Unit 5. Power Plant 6. Tank Farm

2.2 Our Project Overview: PROJECT : Crude Oil processing

CAPACITY : 3.600 bpsd*

EXECUTIVE SUMMARY : To setup a turnkey brand new state of the art crude oil refinery plant with Equipment and Machinery of IMMA Global Group to site. The refinery is to process 31-42 API crude oil to produce hydrocarbon fuels such as: (a) AI92 or AI95 Gasoline (b) Euro-3, Euro-4 or Euro-5 Diesel (c) LPG (d) Naphtha based solvents, (e) Motor Sprits, (f) Kerosene (g) SRFO / HFO

i. Sales of fuel-oil to the market ii. Converting to electricity with a power plant

PURPOSE : IMMA Global Group obtains a unique mini refinery project in the following pages via own know-how, manufacturing and EPC abilities to handle this project with compact structure and financials. The plant project road-map can easily be handled in a short period to start up and supply the market demands. 2.3 The Technology: IMMA's Unique Crude & Reforming Process IMMA's technology is based on processing the crude to achieve major products. Obtained 2 major processing for oil processing of Mini Refinery Plant, as a complete solution from crude oil to high-octane refined oil products. Our solution will consist of 2 major units: 1. Primary Basic processing Plant: Crude Oil Processing 2. Metaforming – Secondary, “Naphtha” Processing

Mini-refineries for the production of motor fuels (oil) are fully equipped modular units, suitable for immediate installation on the site and to be launched within three weeks after the equipment is delivered to the to the prepared construction site.

* 3.600 bpsd is a preliminary estimated figure to show & generate some ideas for this introduction.


Fractionation of stable gas condensate (low-octane gasoline) and release of fraction of 30-80°С and 80-200°С. Catalytic isomerisation and aromatization. of fractions 80-200°С and release of unstable catalyst Stabilization of unstable catalyst and producing of LPG and stable catalyst Fractionation of stable catalyst and release of target gasoline product (with end boiling point up to 215°С) and removal of heavy residue. Mixing (compounding) of gasoline fraction (with end boiling point up to 215°С) with the fraction of stable gas condensate of 30-80°С and producing high-octane gasoline in addition to diesel, fuel oil and LPG.

Crude Processing Facility 3D Render Layout to be installed on a Floating Unit In the process of aromatization., the catalyst loses its activity. To restore the activity of the catalyst oxidative regeneration is used. Technical nitrogen is used as oxygen-containing gas. To prevent significant coke-sedimentation, reactors are to be stopped for regeneration after every 300 hours of operation.

2.4 Products of Oil Refinery

n Naphtha (straight-run gasoline) – with final boiling point up to 185 °C. Naphtha is then used as a basic component in the production of high-octane gasoline.

n Diesel fractions (mini refinery distillate) - A typical temperature of the product is in the range from

about 185 ° C to 340 ° C. The product was further subjected to distillation to separate kerosene and diesel fuel.

n Straight-run fuel oil (residual fraction) - a fraction remained after the primary distillation with an

initial boiling point of about 320 °C. This product is commonly used in the production of various


grades of marine fuel and fuel oil. Processing of crude oil in the refinery with a specific gravity of 0.865 will produce light naphtha at the volume of 20% of crude, 30% middle distillate (gasoline and kerosene fraction), and 50% straight-run fuel oil, as residual fraction. 2.5 The Inlet / Outlets of Facility Inlet : Crude Oil (API 31-42) Outlet : AI95 Gasoline (Or AI92) Diesel, LPG Kerosene, SR Fuel-Oil The Stock Balance Chart:

IMMA's processing solution enables multi purpose solutions as:

è Increasing the AI-92 (92 Octane) Gasoline to AI-95 Octane (And depending on crude quality 98 Octane)

è Increasing the Euro3 or Euro4 Diesel quality to Euro5 è Increasing the Euro3 or Euro4 Diesel quantity via Kerosene and SRFO combinations, è Converting SRFO to HFO and regular Fuel-Oil è Generating power plant solutions via SRFO and/or HFO

All these solution / options are inclusive/exclusive to our proposal as mentioned below. Actual production capacity and boiling points of the products may vary depending on the characteristics of crude oil to be supplied.


2.6 Distinctive Features: Designing of the installation is based on the following criteria:

l Optimization of technological process with an aim to minimize capital and operational expenditures

l Modular design ensuring minimum costs during installation l Simplicity in management and maintenance l Autonomy of the work of installation l Possibility for flexible correction of technological parameters l Compliance with safety, fire safety, environmental protection requirements l Maximized automation and process standardization

2.7 Facilitating / Locating In addition to IMMA’s unique crude processing solution the locating the plant also comes with a unique solution. Thanks to modular and compact infrastructure an IMMA Crude Oil processing can be installed on a floating unit. IMMA Marine department has the ability to submit off-shore equipment for oil & gas industry including jack-up and accommodation barges, work barges, floating units, and other industrial marine vessels. As a result of the having a flexible solution, IMMA Mini-Refinery can be installed and run on a vessel cause the best suitable place for installing a “Mini Refinery” is nearby port to receive/import crude oil processing . A tank farm, energy, piping, ready-to-use infrastructure also helps for a quick start-up. That enables:

1. A flexible infrastructure for start-up

2. Easy import/export 3. Easy inlet & distribute 4. International maritime

laws applicable for the plants (Not local laws)

5. Taxing advantages The infrastructure requirements for the metaforming plant installation include the following: • Installation Location – near a port, terminal or crude supply chain as well as a land plot with industrial infrastructure (automobile or rail roads, power, gas, water supply etc.). • Power supply – The supply of AC electrical energy from the available power grid is envisaged. Power supply for the installation is to be AC 380/220 V, 50 Hz. As part of the equipment for the installation, an uninterruptible power supply unit is to be provided with a purpose to manage the installation in the cases of emergency or termination of power supply. • Compressed air supply – To produce compressed air, two compressors with capacity of 500m³/h is to be considered. Each shall be with a fully automated drying nod. Compressed air is stored in a tank for compressed air with volume of 70m³. The pressure of the air to be supplied to the processing station is to be 5kg/cm² • Natural gas supply – Natural gas is to be supplied from the available gas pipeline. In case of absence,


the alternative for heating of the installation can be considered. The installation is equipped with sensors for pressure, temperature, level, flow meters with telemetry output that allows to organize a centralized process control from an operator station by using a computer. 2.8 Storage Tanks (As an additional storage vessel)

n Crude tanks: Total capacity of 100-150.000MT n Naphtha tanks: Total capacity of 60-75.000MT n AI92/AI95 tanks: 7-15 units of reservoir tanks for finished product (Total capacity of 5.000-

15.000MT) n LPG tank: For finished product (2.000-3.000 m³) n CNG gas: To run the plant (900-2.200 m³) n Consumable tanks and storage areas

2.9 Machinery & Equipment for Crude Processing Complete EPC solution for a turn-key processing plant including exchangers, tanks, ovens and piping for crude, diesel and complete project, to be supplied by IMMA Global Group Companies on EPC basis. This comprises of fabrication, installation and erection stages will be as follows:

• The refinery or plant operator shall provide the local authorities with the following information for necessary reviews and approval before the commencement of fabrication: ◦ The name and job references of the company appointed as quality control inspectors ◦ Curriculum Vitae (CV) of its principal technical staff. All fabrication and welding procedures. ◦ These procedures shall generally follow the relevant specifications in the under-listed

documents: a) American, European or Russian Welding Society (ASME, DIN, UKSA or GOST) – Structural

Welding Code and standards b) American, European or Russian Standards ((ASME, DIN, UKSA or GOST) and subsequent

editions for welding of pipelines and related facilities. • At the completion of fabrication, the quality control inspecting company shall compile a report

confirming that all materials used were strictly in accordance with approved specifications as verified through steel mill certificates with the approved Standards and Codes of Practice. The quality control inspection shall be by Non-Destructive Examination (NDE). Consequently, inspection and certification of all welded parts of vessels, columns and piping shall be by any of the following techniques as applicable:

iii. Liquid Penetrant Technique iv. Magnetic Particle Technique v. Radiographic Technique vi. Ultrasonic Technique

A comprehensive report of the inspection so carried out shall be forwarded to the local official departments through the refinery or plant operator. A comprehensive report of the inspection so carried out shall be forwarded to the local official departments through the refinery or plant operator. 2.10. Personnel for Crude Processing Our solution has user friendly fully automatic processing capability. The required staff will be as follows (Based on 3 shift/day):


Department - Position

n General Manager

n Production/Plant Manager : (Primary + Secondary)

n Division Manager n Shift Supervisor n Operators (for 3 shifts)

n Laborants n Accountant n Receptionist n Other (Kitchen, Security, Office) n Floating Unit

1

1

3 4

23

2 1 7

11

TOTAL 53 * Logistics, sales and assistance team excluded.

IMMA Global – Intro Page 10/14 Floating Compact Power Plant May 2018

3 IMMA Power Plant - PowerShip

3.1 Purpose: The purpose of building a powership is to produce electricity from refined petroleum products as HFO, SRFO, LNG, diesel, etc. that outcomes from crude processing. IMMA Marine also has the full skill and power source to setup a complete power plant with the assistant of Wartsila (Finland). In this study of 3.600 bpsd crude processing ~97.000 MT/year SRFO can be produced.

Courtesy picture of 220MW powership of Karadeniz Holding, designed and subcontracted by IMMA Naval Architectural Team. With a brief calculation of

97.000 MT/y HFO, can produce 56 MWe (±5%) electricity, based on Wartsila engine’s 200-220 g/kW consumption. The main purpose of the project is to build a floating power plant by converting a dry cargo ship pr a pontoon based on the final destination, ship owners plans and relocation frequency. The conversion will be done since acquiring a fitting dry cargo ship which has minimum 5 or 6 hold/hatches. The power plant is going to be installed based on single or dual energy supplies as HFO or diesel with a number of compact power plants. 3.2 Ship Basic Characteristics

Type: Dry Cargo Ship (*) Length Overall - LOA 230,00 m – 260,00 m Width 30,00 m – 40,00 m Design Draft (T) 17-21 m Maximum Payload 65.000 – 70.000 DWT


(*) As per project, the dry cargo ship shall be used and to be overhauled.

3.3. Construction Budgetary Details

STEEL MANUFACTURING:

l Acquiring used dry cargo ship l Overhaul & renovating the ship l Converting the hatches for the power plant l Fabrication of accommodation and other requirements for a floating power plant l Insulation l Outfittings, main engines, aux & HVAC equipment, navigation & communication equipment,

safety equipment and entire marine regulations. DESIGN & NAVAL ARCHITECTURE:

l Class conversion of the dry cargo ship l Power plant design l Erection of the power plant l Class approval of the power ship l Approvals

POWER PLANT:

l Power plant main engine supply: ◦ Output: ~56 MWe @ 50 Hz ◦ Engine Type: Low-speed dual engine ◦ Fuel Type: Multi-fuel (HFO, SRFO, diesel, ...) ◦ Power Plant Engines: Wärtsilä

l On-shore works for power plant EPC contracting l Piping and cabling of the ship l Insulation l Erecting the power plant to the dry cargo ship l Transformers: Siemens or ABB l Electrical Tools: Siemens, ABB or Telemeqanique l Steam co-generation module l Shore connections

OVERALL:

l Classification and authority approvals l Testing and delivery

MAJOR NOTES:

l The power plant shall be built on a used dry cargo ship. If the ship will stay a long time then a used floating barge (150m x 40m) can also be used instead of dry cargo ship.

l Wärtsilä is IMMA’s preferred solution supplier. l Exact main engine model/capacity and quantity will be defined according to installed steam co-

generation unit, which will be defined after technical specifications.

3.4 Power Generation Units

The prime mover(s) consist of 15 W18V46 engine(s). The total output of the Power barge specified at the generator terminal is 56 MWe. This output is based on the following conditions:


Average ambient temperature: 25°C Maximum ambient temperature: 40°C Minimum ambient temperature: 5°C Cooling water temperature: 25°C Charge air cooling water temperature: 42°C Altitude: 100m Generator voltage: 11.000V Frequency: 50Hz Power factor: 0,8°C Service voltage: 400V Liquid fuel viscosity: 380cSt Liquid fuel lower heating value: 40.400kJ/kg

3.5 Personnel Our solution has user friendly fully automatic processing capability. The required staff will be as follows (Based on 3 shift/day):

Department - Position Power Ship

n General Manager

n Production/Plant Manager : (Primary + Secondary)

n Division Managers n Shift Supervisor n Operators (for 3 shifts)

n Engineers (Mechanical & Electricity) n Accountant n Receptionist n Other (Kitchen, Security, Office) n Floating Unit

1

1

3 4 9

7 2 1 7

11

TOTAL 46


4 Major Figures 4.1 Road Map of EPC Project:

56 Mwe Compact PowerShip

Works Months 3 6 9 12 15 18 21 24 27 30 33 36

Formation, Local License, Official Works Engineering & Designs Procurement Floating Units Building Equipment & Machinery for Processing Infrastructure & Transformer PP Engines Mfg & Installation Freight / Shipping (Partial) Assembling Test & Start-up

The entire project will be able to finalized within 36 months including subcontracting and procedured items. The facility and shipbuilding will be projected & run at the same time.


4.2 Overall Processing: Overall Processing from crude oil inlet till electricity will obtain the following figures:

Documents

IMMA Compact Power Ship