Presentation on District Cooling to Public Investment Fund (PIF)

Riyadh, Oct. 3rd 2016

King Khaled International Airport District Cooling

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INTRODUCTION TO DISTRICT COOLING

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SAUDI TABREED PROJECTS – KKIA case study

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SAUDI TABREED

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WHY SAUDI TABREED

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AGENDA

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INTRODUCTION TO DISTRICT COOLING Key Principles

Central Cooling plant

Water is chilled typically to around 4.5 C and then distributed through a network of underground insulated pipes to a customer’s building

Piping Network

circulates cold water (Supply and Return) between DCP and ETSs

Energy Transfer System (ETS) The point of intersection between Cold and Hot water side.

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HOW DISTRICT COOLING WORKS

INSIDE A DISTRICT COOLING PLANT

Central Chiller Plant includes groups of water-cooled chillers generating Chilled Water

Cooling Towers are used to reject waste

heat from central chillers

Thermal Energy Storage stores ice, chilled during off-peak hours and used during

peak hours

Chilled Water Network

DC is based on chilled water being distributed in a network of pipes

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INTRODUCTION TO DISTRICT COOLING

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SAUDI TABREED PROJECTS – KKIA case study

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SAUDI TABREED

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WHY SAUDI TABREED

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About Tabreed

Date of Establishment : 1998

Headquartered : Abu Dhabi, United Arab Emirates

Core Business : Financing, Development, Ownership and O&M of DC

projects based on long term BOO / BOT concessions.

Countries of Operation : UAE, Saudi Arabia, Qatar, Bahrain and Oman

Total Number of Plants : 69 Plants

Capacity : Over 950,000 Refrigerated Tons

INTRODUCTION Tabreed History

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About Saudi Tabreed

Leading power & water development group in MENA Experienced at structuring long term BOOT contracts

Leading District cooling company with 69 plants across GCC with generation capacity of over 950k RT

Date of Establishment : 2005

Headquartered : al Khobar, SA.

Core Business : Financing, Development, Ownership and O&M of DC

projects based on long term BOO / BOT concessions.

Total Number of Plants : 4 DC schemes

Capacity : 222,000 RT

Main Shareholders

1. ACWA Holding

2. Tabreed

INTRODUCTION Saudi Tabreed History

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INTRODUCTION TO DISTRICT COOLING

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SAUDI TABREED PROJECTS – KKIA case study

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SAUDI TABREED

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WHY SAUDI TABREED

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Project (Capacity) Shareholding Off-taker Type O&M only Contracts

BOO / BOOT (with O&M in-house)

Project Company Under

Construction Under

Operation Future

Expansion

Dhahran District Cooling (32,000 TR)

ST (90%), ACWA (10%) Saudi Aramco BOO – 25yrs - 32,000 - Saudi Dhahran

Cooling Co.

JODC District Cooling (55,000 TR)

ST (60%), JODC (40%) JODC BOOT – 25yrs - 10,000 25,000 20,000 Central District

Cooling Co.

KKIA District Cooling (35,000 TR)* ST (100%) GACA BOOT – 32yrs 15,000 35,000 15,000 - Saudi Riyadh

Cooling Co.

KAFD District Cooling (100,000 TR) - KAFD O&M 100,000 - 100,000 - -

Total Capacity (222,000 TR) 115,000 45,000 172,000 20,000

Long-term off-take with strong and creditworthy Off-takers

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PROJECT PORTFOLIO

SAUDI TABREED – PROJECTS

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Project: Concession to be granted to ST by GACA to acquire existing DC plant and design, construct, finance, own, operate and maintain new DC plants on BOOT basis to supply cooling services to King Khaled Airport, Riyadh

Off-take: GACA, single party off-taker Contract Term: 32 years from date of award Tariff Components: Capacity Charge, Consumption Charge Other Details: EPC by SNC Lavalin and O&M by Saudi Tabreed O&M Company (STOM)

Project Status Existing 15,000 TR plant taken-over by ST under short-term O&M arrangement until

Concession execution Concession Agreement finalized with GACA. Project award Q1, 2015

Long-term off-take with strong and creditworthy Off-takers

Project Location: Riyadh, Saudi Arabia

Project Signing: (E) Q12015 Capacity: 35,000 TR

KKIA DISTRICT COOLING PROJECT KKIA DISTRICT COOLING PROJECT KING KHALED INTERNATIONAL AIRPORT, RIYADH

KKIA District Cooling Scheme

CASE STUDY

Private and Confidential: For Limited Circulation Only Slide 11

1981 2014

3 chillers were re-conditioned

Cooling Towers were refurbished

variable Flow & SCADA Installed 3000 TR

temporary cooling

PHASE 1 – BROWNFIELD EXPANSION

KKIA District Cooling Scheme

CASE STUDY

Private and Confidential: For Limited Circulation Only Slide 12

1. Old air flow was 50,000 m3/hr 2. New air flow is 120,000 m3/hr

1. Lounge old air temperature was 27-29 C 2. Lounge new air temperature is 20-21 C

1. ST enhanced overall cooling capacity by 40% from DC plant to existing KKIA Terminals.

2. ST enhanced the existing AHU’s and selected the executive Lounge as an example of improvement.

3. Install new air diffusers with plenum boxes 4. Replacement of existing coils & balancing the system

ACHI

EVEM

ENTS

ST received an appreciation letter from KKIA with a request to further submit and offer to improve other areas

KKIA District Cooling Scheme

CASE STUDY

ACHIEVEMENTS

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INTRODUCTION TO DISTRICT COOLING

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SAUDI TABREED PROJECTS – KKIA case study

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SAUDI TABREED

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WHY SAUDI TABREED

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2010 2011 2012 2013

100,000 RT

2014 2015

2016

2017

35,000 RT 55,000 RT

32,000 RT

2015 Total 222,000 RT

Contracted Capacity

1st Contract awarded to ST

1st Operational

DC Plant

WHY SAUDI TABREED

Significant growth in Saudi Arabia between 2010 to 2016

WHY SAUDI TABREED

Benefits of long term Concessions Agreements

Operating Expenses

• ST to pay the DCP capital cost. Upfront Capital Saving

Parameter Benefits to Client

• ST will take over the DCP operations.

• No OPEX requirement for concession period

OUT SOURCING ADVANTAGES

• Maintaining reliable services.

• DCPs Operate at 1 KW/Ton maximum.

End user convenience

Plant Efficiency

OPEX

Para

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Bene

fits t

o De

velo

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• highly experienced dedicated workforce . • Cost effective O&M • Central Warehouse for any required Spare Parts.

• Finance, design, develop and O&M. One Stop Shop

• creating stable employment opportunities for Saudis at all levels from technicians to executive managers Saudization

• 1st DC provider in KSA. • TSE agreement with NWC. • Non-Recourses financing. • Track record in BOO / BOT

DC Pioneer

WHY SAUDI TABREED

Saudi Tabreed Added Values

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THANK YOU

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