March 2020

Refinery Configuration & Technology Selection

About Phasis Oil Refinery Project

TR has been engaged by Phasis Oil Company to carry out a Configuration Study for selecting

the best Refinery scheme for producing Gasoline & Diesel Euro VI Quality.

CPC Blend Crude Oil: 45,3° API and 0,56 % Sulphur.

The refinery goal was to reach the maximum conversion and maximizing Gasoline yields at

expenses of Middle Distillates.

• Atmospheric Distillation

• Gas Processing

• Naphtha and Middle Distillates Hydrotreaters

• Catalytic Reforming

• Isomerization

• Atmospheric Residue Upgrading Unit

• Hydrogen Production

As a first approach, the new 94500 BPSD Refinery includes at least the following

Process Units:

The Study compares four (4) Configurations for Residue Upgrading Unit and analyzes the convenience in terms of Product Yields, Product Quality and Investment Cost:

The study was carried out with the information received from reputable Licensors of the main Process Units, as well as Técnicas Reunidas know-how for “Open Art Process Units” and wide experience in Oil & Gas Engineering fields.

Configuration 1:

Atmospheric Residue Hydrocracker

Configuration 2:

Atmospheric Residue Fluid Catalytic Cracking.

Configuration 3:

Vacuum Residue Hydrocracker Unit & VGO FCC Unit

Configuration 4:

Vacuum Residue Hydrocracker Unit & VGO HCU Unit

About Phasis Oil Refinery Project

Configuration Study

Overall Block Schemes, Material Balances, Utilities Consumption and CAPEX Estimation were developed to a degree of definition sufficient to select the optimum Configuration.

About Phasis Oil Refinery Project

The discussions and the comparison tables supplied in the report, together with the investment and operating cost enables to select the scheme which best suits Phasis Oil needs.

The economic assessment is not in the scope of work of this study. Overall economics shall be calculated based on the cost of feedstocks, value of products and operating costs.

About Phasis Oil Refinery Project

Main Process Units Licensors

Crude Distillation

Hydrotreating

Hydrocracking

Fluid Catalytic

Cracking

Alkylation

Naphtha Isomerization

& Catalytic Reformer

About Phasis Oil Refinery Project

Other Process Units Licensors

Gas Processing Unit

Hydrogen Production

Unit

Amine Regeneration

Unit

Sour Water Stripping

Unit

Sulphur Recovery Unit

Utilities & Off-sites

Next stage (Haldor Topsoe, Technip, …)

Next stage (Kinetic Technologies, Jacobs, …)

With the aim of reducing the CAPEX of the refinery, the configuration was frozen for maximizing Middle Distillates at expenses of Gasoline.

About Phasis Oil Refinery Project

The reduction on the Overall Refinery CAPEX in conjunction with the gasoline pool optimization and the surplus in the Hydrogen production, brings TR to consider Axens approach as the best choice for the Naphtha Complex and the construction of the Project in one (1) stage.

PRODUCT YIELDS

FEEDSTOCKS tons/h

CRUDE OIL 500

BUTANE 5

MTBE 6,9

PRODUCTS tons/h %

SULPHUR 2,85 0.56

OFFGAS 3,86 0.75

C3/C4 2,7 0.53

GASOLINE 216,3 42.25

KEROSENE 115,6 22.58

DIESEL 162,6 31.75

RESIDUE 6,1 1.20

HYDROGEN 1,9 0.38

Block Flow Diagram of Final Refinery ConfigurationPropane

GPUGas

Processing(20 TPH)

ARU

AmineRegeneration

(90 TPH)SRU

Sulphur Recovery(66 TPD)

Desalted

Crude

Off Gas + LPG6 TPH

RichAmine

SRNaphtha171 TPH

H20.2 TPH

Diesel 123 TPH

Reduced Crude123 TPH

DHTMiddle Distillates

Hydrotreater(36552 BPSD)

H2

0.5 TPH

Lean Amine

Rich Amine LPG3 TPH

Lean Amine

SWSSour Water

Stripper(50 TPH)

SourWater

HPUHydrogen Plant

Natural Gas

H2

Strippedwater

H2S

Residue6 TPH

Sour Water

Sour Water

Sour Water

CDU

Crude Distillation

Unit(94500 BPSD)

Heavy Naphtha139 TPH

H2

3 TPH

HCU Naphtha33 TPH

Reformate107 TPH

Sulphur3 TPH

500 TPH

Diesel162 TPH

H2S + NH3

H2 Rich Gas

6 TPH

Off Gas1 TPH

Off Gas2 TPH

Kerosene76 TPH

Kerosene115 TPH

NHTNaphtha Hydrotreater

Naphtha Splitter(42506 BPSD)

CCRCatalytic Reformer

(23265 BPSD)

Isomerate62 TPH

HDS Reactor effluent to common fractionation section

Fuel Gas3 TPH

Light Naphtha63 TPH

H2

0.6 TPH Off Gas2 TPH

Off Gas + LPG8 TPH

Heavy Naphtha24 TPH

Butane11 TPH

Propane3 TPH

Heavy Naphtha116 TPH

Total Naphtha204 TPH

Butane

Crude Oil Storage

Tank

Isomerate

Reformate

Heavy Naphtha

Kerosene

Diesel Fuel

Residue

ISO Isomerization(14041 BPSD)

HCKHydrocracker(20325 BPD)

Atmospheric Residue Hydrocracking& Middle Distillates Hydrotreating

Naphta HydrotreatingCatalytic Reforming

Isomerization

Crude DistillationGas Processing

Amine RegenerationSour Water StrippingUtilities & Off-sites

Licensors Selected as Technology Providers

The most Modern Refinery in the area

Optimization for Gasoline Pool by Axens

Clean Fuels on top of Euro VI Quality Standards

96,6%Gasoline plus Middle distillates

Maximization

ISOIsomerization

GPUGas

Processing

Heavy Naphtha116 THP

NHTNaphtha

Hydrotreater &Naphtha Splitter

CCRCatalytic Reformer

ImportedButane

Light Naphtha63 TPH

Heavy Naphtha24 TPH

Reformate107 TPH

Butane11 TPH

Isomerate62 TPH

Butane5 TPH

MTBE7 TPH

Naphtha204 TPH

ImportedMTBE

GASOLINE POOL

216 TPH

UNIT UNIT DESCRIPTION TIC

SECTION A Capacity UoM (USD Million) Licensor

1 CDU Crude Distillation Unit 500 Ton/h Feed 115 TR

2 NHT Naphtha Hydrotreater 204 Ton/h Feed 32 Axens

3 DHT Middle Distillates Hydrotreater 200 Ton/h Feed - Shell

4 HCK Hydrocracker 123 Ton/h Feed 245 Shell

6 + 7 ISO Isomerization + CR Catalytic Reformer 179 Ton/h Feed 123 Axens

8 GPU Gas Processing 20 Ton/h Feed 70 TR

9 HPU Hydrogen Plant 24600 Nm3/h product 82

Total SECTION A 666

SECTION B Following Units to be added to SECTION A

10 ARU Amine Regeneration 90 Ton/h Feed included (SRU)

11 SWS Sour Water Stripper 50 Ton/h Feed included (SRU)

12 SRU Sulphur Recovery 66 Ton/day product 122 TR

Total SECTION B 122

TOTAL DIRECT COST (ISBL+Utilities) 787

TOTAL COST OSBL (Estimated) 236

TOTAL DIRECT COST (ISBL+Utilities+OSBL) 1023

CAPEX Estimation

Overall Plot Plan optimized to comply with safety distances and minimize piping routing

12 Process Units blocks

+7 Utilities & Off-sites Units

+28 Tanks

The new Phasis Refinery compares well with refineries of similar size on a global basis

Nelson Complexity Index

Benchmark with refineries with size 100 to 140 kbd(10 refineries between two vertical lines)

Georgia oil products demand compares more than well with any reference.

Phasis Oil Refinery is the cornerstone of oil products in Georgia.

Towards low-carbon refinery

Future Upgrading: CO2 Capture & Utilisation

March 2020

Towards low-carbon refinery

Future Upgrading: CO2 Greenhouse Application

TR is a global leader in the design and build of complex industrial plants

Tecnicas Reunidas is a company specialized in the design and management of the execution of industrial plant projects throughout the world, with almost 60 year of experience.

Tecnicas Reunidas has designed and managed the construction of more than 1,000 industrial plants in over 60 countries. Its clients include many of the major national and multinational oil companies.

Main Markets

Saudi Arabia, UAE,Kuwait, Bahrein,Oman, Algeria,Singapur, Indonesia, Malaysia, Turkey, Russia, Poland, Finland, UK, Azerbaijan, Peru, Chile, Mexico, Canada, US, China, Australia

+9,000 professionals of

over 70 nationalities

+$50 billion in projects in the last 10 years

More than 1,000 industrial

plants

60 countries where we have

operated

2019 Backlog, M€ 10,026

Sales, M€ 4,700

Employees +9,000

60 years of continued

growth

Safety Performance / Zero Incident

Target

$4 billion per year in

purchasing and subcontracting

Engineering Hour/Year

Construction Hour/Year

> 195,000,000 > 9,000,000

About Técnicas Reunidas (TR)

DOWNSTREAMTrack record/highlights

• 421 Refining Units

• 150 Petrochemical Units

• Top Ten International contractor

• Worldwide leader in Heat Transfer,

Nitric Acid, Ammonium Nitrate and

Hydrometallurgy Technologies

UPSTREAM & GASTrack record/highlights

POWER & WATERTrack record/highlights

• Oil & Gas Fields Development

• World Leader in LNG terminals

• Pipelines & Storage

• Thermal plants

• Gas Turbine

• Conventional

• Reciprocating

• Biomass and Waste to Energy

• Nuclear Experience

• Water Treatment

• Desalination

• Effluent Treatment (WWTP)

• Drinking Water Treatment

TR covers almost the whole energy value chain

0,28

0,45

0,280,23

0,070,12 0,15

0,10,03 0,029 0,02 0,01 0,02 0,036 0,03 0,01

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

LTIR

TR is committed to maintain the highest safety and environmental standards for the Employees, Clients and Suppliers

Safety and Environment

TR Safety Performance / Zero Incident Target

HORSEHEAD

FERTILIZANTES

TALARA

PETRONAS

SOCAR

FADHILI

JAZAN

SASOL

SADARA

GASCO

NESTE / VEOLIA / BOREALIS

TEESSIDE TUROW

ASHUGANJ

PEMEX

KNPC AL ZOUR

KNPC GT5

TOUATGAZ

RAS TANURA

TIERRA MOJADA

BAPCODUQM

HARADH

BAKU

ADNOC LNG

BU HASA

NOVA

GAZPROMNEFT

CKPC

HASSI MESSAOUD

SAUDI KAYAN

KEMYA

PETROKEMYA

BOROUGE

HAMRIYAH

LUKOIL — Vacuum Gasoil Deep Conversion Complex

AOC — Khabarovsk Refinery Expansion

LUKOIL — H-oil Residue HCK Facility

MARJAN

HAMRIYAH

EXXON

UPER ZAKUM

TR have executed some of the most emblematic projects of the industry

Executed projects 2009-2019

50 B$

Upstream & gas

Refining

Petrochemical

Power & Water

TR Technology

One of the 35 reference companies in the Spanish Stock Exchange

Founder37%

Treasury stock

4%

Institutional investors

49%

Backlog, M€

TR has a strong shareholder structure, and an impressive history of growth

5.3876.205 6.377

8.412

12.136

10.5829.870

8.981

10,026

2011 2012 2013 2014 2015 2016 2017 2018 2019

Split by Products

Downstream

Upstream

Power & Water

48%

48%

4%

0

50

100

150

200

250

300

350

400

450

500

196

1

196

6

1970

1974

1978

198

2

198

6

199

0

199

4

199

8

200

2

200

6

2010

2014

2018

Recurrent customers

New customers

50% of recurrence of customers in terms of awarded projects

# of projects

TR has renowned and recurrent clients, ongoing investors in energy infrastructures