The Eternity Power Thermal Harvesting™ Project

• Jacques Malan

• Director

• Vuselela Energy (Pty) Ltd

• South Africa

Introduction To Vuselela Energy

• Vuselela Energy (Pty) Ltd was conceived in 2009 when the effect of Electricity Supply Shortages on the Metallurgical Industry in South Africa became critical.

• Vuselela acts as a Project Developer and/or Owners’ Engineer for Clean Energy Projects based on Waste Heat and Waste Gas from Industrial Facilities.

• Vuselela works with its Consortium Partners to Design Engineer, Construct and Commission these projects with a Cradle to Grave approach.

• Vuselela offers a number of different implementation models such as EPCM, BOOT, LtO and ECA, depending on client preference.

Introduction To Eternity Power

• Eternity Power (RF) (Pty) Ltd • It is the contracting party with Anglo • Ring Fenced Special Purpose Vehicle • Originally set up by Investec and Vuselela • 80% owned by H1 Holdings (Pty) Ltd • 20% owned by Vuselela Energy (Pty) Ltd

• Claim To Fame • First ORC In South Africa • First ORC on Metallurgical Converter in the World

Waterval Smelting Complex

•“Anglo Platinum” •Rustenburg Platinum Mines Ltd.

•Consists Of: •Concentrator – Mills & Flotation

•Smelting Furnaces

•Anglo Converting Process (ACP)

•Energy Recovery Plant

•Acid Plant

•Base Metals Refinery

Waterval – ACP Section

ERP (Eternity Power) Location

Platinum 101 - From Mining to Metals

•Mining •Ore is Mined at various Anglo Platinum mines.

•Concentrating •Milling & Flotation produce a Concentrate.

•Smelting •The Smelters produce a “Furnace Matte”.

•Converting •The Converters produce a “Converter Matte”.

•Acid Plant •Treats Sulfur-Rich Offgas from Converters

•Refining •Base Metals Refinery produces Nickel, Copper & a “Dirty” PGM.

•Precious Metal Refinery Splits PGMs into Valuable Components

Smelting 101

•What is a Smelter? •Metallurgical Process To Extract Metals From Ore

•Iron & Steel, FeCr, FeMn are “Oxide” Smelting Processes Produces a Metal

•Platinum Smelting is a “Sulfide” Smelting Process Produces a “Furnace Matte”

•Not a Metal yet…. •Furnace Matte needs to be Converted to Metal

•Oxygen Blown Converter Produce “Converter Matte”

Exothermic Reaction Produce Heat

Produce SO2 as Offgas (Source of Energy)

Smelting 101 – Inside a Furnace

Smelting 101 – A Converter In Action

Smelting 101 – Tapping The Metal

Smelting 101 – Tapping The Slag

Smelter Complex Energy Balance • Rough Thumbsuck Figures ONLY!

• Concentrator • Mills & Flotation Major Consumers – Circa 20MW

• No Recoverable Waste Energy Release

• Smelting • Primary Smelting Six-In-Line Furnaces – Circa 60MW

• Secondary Slag Cleaning Furnace – Circa 30MW

• Waste Energy Present in Slag, Matte and Offgas

• Recoverable Waste Energy Estimate at >10MW

• Converters • Small Overall Consumption – Circa 5MW

• Exothermic Reaction with Oxygen

• Recoverable Waste Energy >5MW

• Other Sources Ignored for Simplicity

Thermal Harvesting™ Solutions Primary Heat Exchanger (s)

• Parallel to Existing Cooling System for Redundancy. • High Efficiency Exchange Design. • Innovative Solutions for High Dust Loads. • Abrasion, Erosion and Blanking Prevention. • Process Guarantees by Supplier.

Existing Un-cooled Ducting (Patented) • High Heat Loads Causing Deformation. • Frequent Replacement Requirements. • Potential Source of Low-quality Heat. • Harvesting with Thermal Medium.

Liquid Metal and Slags (Patented) • Most Dangerous Operation at any Smelter • Challenging Environment to Harvest Effectively • Demonstration Plant Under Development

Organic Rankine Cycle System

Mature Technology • Proven Technology • >30years in Operation • >96% Availability Guaranteed • >17% Nett Conversion Efficiency • Highly Flexible Operation • >97% Turndown Ratio • Direct Feed to On-Site Grid • Black Start and Island Mode Capability

Plant Design Capacity • Depending on Available Heat Load. • Additional Harvesting Points. • Single Unit vs Modular Units.

Thermal Harvesting™ Advantages

16

Competitive Effective Electricity Price • Zero Capex Required from Producer.

• Zero Opex or Maintenance from Producer.

• Pricing Competitive with Eskom from Startup.

• Predictable Escalation for 15 years.

• Results in Predictable Pricing Forecast.

Security of Supply • Guaranteed Output Capacity.

• Guaranteed Conversion Efficiency.

• Guaranteed Availability.

Typical ORC Flowsheet

Eternity Power H&M Balance

Plant Parameters

Design Point Max. Min.

ERP Inlet Temperature 255°C 275°C

ERP Outlet Temperature 240°C or higher pending thermal load

Mass Flow Rate 1, 200 t/h 1,450 t/h 810 t/h

Pressure at inlet 62 bara

Thermal Load 23.36 MW 25.7 MW

Power Output (output at generator terminals) 4.29 MWe 4.9 MWe

Design Ambient Temperature (Dry bulb) 17°C 45°C 0°C

Elevation 1,157 masl

Balance Of Plant Flowsheet

PI

TIT

DHP-323-004 – 450-BL4

DHP-323-060-450-BL4

ORC

VENDOR

PACKAGE

PITIT

PI

PIT

YC

PI

PIAL PI

TIC

YC

DHP-000-003– 350-BL4

YC YC

PITIC

PIFIT

YC

PI

FI

PIPIT

PRESSURIZATION LINE

A

FE

INSTRUMENT AIR

PI

PI001 001001

001001001

003 004

EPS

001 E

028

029

030

031

A

010

012

FO

E034

035013

014 015

E017

018

032

033

A

002003

002005

019

FC

021

020

EPS

ATM

027

025

024 026

ATM

016

BL-005

BL-002

BL-001

DHP-000-001– 350-BL4

00-PV-001

IA

M

00-HX-001

G

023

350

450

450

350

EPSBL-004

DH

P-0

00

-00

2–

35

0-B

L4

022

001 FC

005

002

IA

EPSBL-004

PI

FIQ001

061

060

AHHAHAL

M

PI

FIT

PI

FI

YC

002

002

FE002

PI

TIT

PI

TIC

YC

005

005

PI

TIT

PI

TIC

YC

006

006

PITIT

YC

PITIC003

003PITIT

YC

PITIC004

004

062 063

PRESSURIZATION LINE

064 065

10 D CLEARANCE

10 D CLEARANCE

06

60

67

Eternity Power SCADA

Plant Layout – 3D

Graphic Plant Overview

Graphic Plant Overview

Graphic Plant Overview

Graphic Plant Overview

Graphic Plant Overview

Graphic Plant Overview

Graphic Plant Overview

Background Story

• Formed Vuselela Energy in 2009

• Approached Anglo in 2010

• Completed Feasibility in 2011

• Approached Investec in 2011

• Signed HoT with Anglo in 2011

• Bankable Feasibility in 2012

• Signed Contracts in 2012

• Started Construction in 2013

• Many Delays in 2013 and 2014

• Finally Commissioned in 2015

Key Milestones • Project Development

• Feasibility Report (VE) March 2012 • Feasibility review (Anglo) April 2012 • Final Feasibility Report (VE) April 2012 • Feasibility approval (Anglo) August 2012 • Project Documents October 2012 • Financial close December 2012

• Project Implementation • Groundbreaking August 2013 • ORC delivery to site (3 shipments) October 2013

November 2013 January 2014

• Ready for commissioning May 2015 • Commercial Operation Date (COD) June 2015

Construction Challenges • The MHSA Factor – 8 weeks

• Extremely Rigid Requirements • Unfortunate Stoppages

• Rain Delays – 3 weeks • Minimum – Better Than Expected

• Strike Action – 5 weeks • Within Manageable Levels

• Underground Conditions – 4 weeks • 6m Deep Pump Foundations

• Incompetent Contractor – 24 weeks • Be Extremely Careful with Selection Process • At The First Sign Of Trouble – KICK THEM OUT!!!

Construction Challenges

Typical Operational Fluctuation

Operational Results Extract

Month Dec Cummulative (MWh) Gross 8151.48

Nett 7234.48

Production (MWh) Gross 1226.43

Nett 1097.26

MW Peak Gross 4.36

Nett 3.96

Ave Prod (MWh) Gross 2.66

Net 2.37

Ave Efficiency (%) Gross 22.14%

Nett 19.41%

ERP Availability Ave 99.9%

ERP Utilization Ave 56.6%

Ambient Temp [°C] Ave 28.43

Questions ??

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