The Insurance Institute of London

CII CPD accredited - demonstrates the quality of an event and that it meets CII/PFS member CPD scheme requirements.

This webinar will count as 1 hour of CPD and can be included as part of your CPD requirement should you consider it relevant to your professional development needs. It is recommended that you keep any evidence of the CPD activity you have completed and upload copies to the recording tool as the CII may ask to see this if your record is selected for review. MHI Launch Services - key essence of MHI’s quality management - Ref. B01038001405 February 17, 2021

1. Introduction of MHI & Insurance Activities for our products 2. Launch Services 2.1 current work force H-IIA/B 2.2 Next gen, flagship H3 - Under Development - 3. MHI Quality Management Overview 4. Overcoming anomalies ４.1 Launch Operation case, H-IIB F8 ４.2 Development case, H3 main engine(LE-9) 5. Conclusion

Power Systems

Foundation July 7, 1884

Capital (USD) 2,415 MUSD As of Mar. 2019

Employees Thermal Power Plant Compressor CO2 Recovery Plants Desalination Plant (consolidated) 80,744 As of Mar. 2019 Industry & Infrastructure

Sales (consolidated) 38,055 MUSD As of Mar. 2020

EBITDA 115.1

Dubai Metro Intelligent Transport Systems Overseas offices 7 Aircraft, Defense & Space

Currency rate: USD 1 = JPY 110 Boeing – 787 Space Jet Defense Aircraft Launch Vehicle (Composite main wings) (H-IIA/-IIB)

© MITSUBISHI HEAVY INDUSTRIES, LTD. All Rights Reserved. PROPRIETARY INFORMATION 4 1. Introduction of MHI & Insurance Activities for our products MHI Major Products and Services of Space Systems PROPRIETARY INFORMATION

Launch Vehicle Space Station / HTV

(c)JAXA

Space Station HTV HTV-X

On-orbit Experimental Unit Satellite Satellite Launch Services Rocket Engine Space Vehicle Launch Vehicle Development

(c)JAXA Next Gen.

Small Satellite

(c)JAXA Ground Facility Attitude Control System Reusable Launch Vehicle

© MITSUBISHI HEAVY INDUSTRIES, LTD. All Rights Reserved. PROPRIETARY INFORMATION 5 1. Introduction of MHI & Insurance Activities for our products MHI PROPRIETARY Insurance activities for MHI’s product INFORMATION Global Insurance program Similar risks across group companies are covered efficiently under Global Insurance program. 106 105 104 103 102 101 100 10-1 Mass production Build to Order

Space Jet Nuclear power Generation

Turbocharger

Fighter Launch Services

Thermal Fork lift plant

Air conditioner

insufficient contract Product term recall Damage cased by accident Insufficient Anomaly of Gas turbine construction the product capability

© MITSUBISHI HEAVY INDUSTRIES, LTD. All Rights Reserved. PROPRIETARY INFORMATION 6 1. Introduction of MHI & Insurance Activities for our products MHI PROPRIETARY Types of Insurance for Launch Services INFORMATION

Each Risk in all procedure of Launch Services is covered by Insurance respectively. Contract Launch Launch + 1 year

Launch Services

Marine Launch In-orbit Property Insurance Pre-launch Insurance Insurance Insurance Insurance CGL(Commercial General Liability) Insurance TPL for 2nd TPL(Third Party Liability) Insurance stage

Insurance by LSP

Insurance by Operator

Manufacturing Shipping Launch Campaign General Insurance Specialty Insurance Manufacturing/shipping risks are covered Launch campaign risk is underwritten by under Global Insurance Program. TMNF/ JAIP (Japanese Aviation Insurance Pool), then ceded to the international space insurance market including Lloyd’s.

H3 Key Concept

Competitive Pricing

Flexibility for Commercial Customers

Reliability established by technology heritage since H-IIA

 Total length: Approx. 63m  Core vehicle diameter : 5.2m  Booster diameter : 2.5m  Performance: 7 tons (to GTO)

Maiden flight in 2021 H-IIA H-IIB H3 Commercial services starting in 2022 H2A202 H2A204 H3-30 H3-22 H3-24

Coordination of satellite- launch vehicle interface MHI Launch Services

Customer Contract JAXA (Japan Aerospace Exploration Agency) • Program Management • Range Safety / Control • Mission Integration Operation • Down Range Operations • Vehicle Manufacturing • Launch Facility Maintenance • Mission Modification • Technical Support • Launch Campaign

Authorization of various controls Insurance against potential launch failure Manufacture of subsystems & components (export, use of explosives, etc.)

Other Manufacturers Space Insurance Government Community Offices Brokers, underwriters

Transportation of the Satellite Customer

Satellites Arrive at International Airport in Japan

Tobishima Plant Chubu- Centrair International Airport

Customer/ Satellite Manufacturer Approx. 2-3 days

Transportation to Tanegashima Launch Site Spacecraft Facility at Launch Site

Vehicle Assemble Building (VAB) Launch Pad Launch Pad No.2 (LP2) No.1 (LP1) Modification to H3 pad in progress

View from Observation Deck Observation Deck (3km from Launch Pad)

H-IIA

© MITSUBISHI HEAVY INDUSTRIES, LTD. All Rights Reserved. PROPRIETARY INFORMATION 11 2. Launch Services MHI PROPRIETARY 2.1 current work force H-II A/B INFORMATION Number of anomalies No. of launch vehicle anomalies during launch campaign

H-IIA MHI Launch Services after F13

60 50 Example: 40 Sensor malfunction → replace with an alternative sensor Small scratch → smoothen and apply surface coating 30 20 10 0

Flight No.

H-IIB MHI Launch Services after F4 The number of anomalies are kept very 30 25 low by stringent quality control for both 20 H-IIA and H-IIB Launch Services. 15 10 5 0 BTF1 BF2 BF3 BF4 BF5 BF6 BF7 BF8 BF9 Flight No. On-Time Launch Anomaly：Nonconformance to the spec requirement (include specific trend data)

Video (1) MHI Launch Services

© MITSUBISHI HEAVY INDUSTRIES, LTD. All Rights Reserved. PROPRIETARY INFORMATION 13 2. Launch Services MHI PROPRIETARY 2.2 Next gen, flagship H3 - Under Development - INFORMATION Technology Heritage from H-IIA & H-IIB New development based on Minor update of H-IIA H-IIB current technology current technology (heritage succession) (e.g. cost reduction)

H-IIA/B Fairing Larger fairing 5.2 m diameter

2nd stage engine (LE-5B-2) 2nd stage engine [Expander (LE-5B-3) Bleed Cycle]

Core diameter Same (5.2m) Core diameter

SRB SRB (SRB-A) (SRB-3)

st 1st stage engine 1 stage engine (LE-7A) (LE-9) [Staged Combustion [Expander Bleed Cycle] Cycle] 1st stage engine 1st stage engine clustering (2units) clustering (2 or 3 units)

H3 development status 1st Stage BFT (Battleship Firing Test) 1st stage propulsion system function were verified, in 2018-2019

・Engine steady-state properties (100% and throttle) ・Engine start-up/cut-off and transient properties ・Tank pressure control function ・Engine gimbal control function

・Dynamic properties of propulsion system stage

・Vibration and thermal environment for components st 1

Test Stand

H3 development status 2nd Stage CFT (Captive Firing Test) 2nd stage system function were verified in 2020.

・3 firings test with flight hardware flawlessly conducted. ・Cumulative 1500sec. (Flight Full Duration 660s) ・ 1st, 2nd Ignition simulation

nd 2 stage @JAXA

© MITSUBISHI HEAVY INDUSTRIES, LTD. All Rights Reserved. PROPRIETARY INFORMATION 16 2. Launch Services MHI PROPRIETARY 2.2 Next gen, flagship H3 - Under Development - INFORMATION H3 development status_Maiden Flight 2021 TF1 Launch Vehicle Manufacturing

• The launch vehicle for Test Flight was assembled in Tobishima Plant, Nagoya. • All function tests, including avionics functions /signal transmission from sensors / propulsion functions (pipes and valves) , have been successfully completed. • Launch vehicle was transported to the Tanegashima Launch Site.

@JAXA @JAXA

TF1 Launch Vehicle assembled in 2 LE-9 engines for H3-22 configuration Tobishima Plant, Nagoya

Video (2) H3 Development

(1) Based on International/Japanese/JAXA’s standard and MHI’s quality policy

(2) Additional quality improvement activities  Training engineers and technical operators  Japanese teamwork (Quality Evaluation Team)  Gate management  Trend data evaluation (2σ control)

Top Policy = JIS Q 9100 ≈ AS9100 / EN9100. Quality policy equivalent to International standard

Quality Quality Manual - ISO certified Manual

Procedure / Document Procedure Procedure Procedure - issued according with Quality Manual /Document /Document /Document

Production record Record Record Record Record Record Record -Each production result are recorded Record Record Record

© MITSUBISHI HEAVY INDUSTRIES, LTD. All Rights Reserved. PROPRIETARY INFORMATION 20 3. MHI Quality Management Overview MHI PROPRIETARY MHI Quality Management Overview INFORMATION [ Goal ] Acquiring skills to troubleshoot in limited time

[ Crucial Skills] (1) Quick preparation & understanding of documents required (Ex: Schematic diagram, component drawing) (2) Preparation of right tools for technical analysis (Ex: calculation software, calculation by hand) (3) Accurate solution in limited time

@ Tanegashima Space Center @ Nagoya Aerospace Systems Works

training Simulated anomaly Simulated anomaly

training

GOAL

For all staff (dry-run rehearsal of all launch) GOAL

For young staff (every month)

Conventional Process MHI Process  Each department has expert staff.  Each department has expert staff.  However, potential risks exist between  Furthermore, Quality Evaluation Team departments (e.g. lack of communication, review and verification THOROUGH misunderstanding, oversight) each system and subsystem.

Design Manufacturing Design Manufacturing  Technical  Manufacturing  Technical  Manufacturing requirements Risk process requirements process Quality Evaluation Risk Risk Team Inspection Evaluation Inspection Evaluation  Inspecting  Summary of  Inspecting  Summary of documents results documents results

Quality Evaluation Team  Consists of specialists of each system and subsystem,  evaluates the entire process, with reviewing each system and subsystem toward Solid and High Quality Launch

© MITSUBISHI HEAVY INDUSTRIES, LTD. All Rights Reserved. PROPRIETARY INFORMATION 22 3. MHI Quality Management Overview MHI Quality Management - Gate Management & Trend Data-PROPRIETARY INFORMATION (2σ quality control) 3σ  Trend data evaluation (2σ control) 2σ upper limit detect potential anomaly. System average  Feedback from each gate (Review) requirement to the next step. 2σ lower limit 3σ Manufacturing Trend Data Evaluation (2σ Control)

2σ2σ 2σ 2σ 2σ 2σ 2σ 2σ 2σ 2σ 2σ 2σ 2σ 2σ 2σ 2σ 2σ 2σ

Procured Parts Assembly Functional Launch Operation test (Factory) (Launch site) Manufactured Parts

Components (e.g. sensor, valve) Components installed to LV Hole vehicle and GSE Launch Pre-Shipment Flight Readiness To minimize the cost, Review Review Automatic FT procedure will be applied for H3. Gate Management

4.1 Launch Operation case, H-IIB F8 4.2 Development case, H3 main engine(LE-9)

 Anomaly Oxygen dripping  Fire occurred at the movable launcher, on the launch day.  Investigation of the cause Break out MHI and JAXA cooperated with 100% efforts on the Break out investigation including performance of reproducibility experiments, which led to the identification of the root cause. 1. Ignition source : Static Discharge Movable Launcher Spraying Liquid and Gas oxygen on the heat resistant for H-IIB material created static electric charge. 2. Flammable material : Thermal Insulator Material, It caught fire in an oxygen concentrated environment. Heat resistant, (Si) Engine 3. Oxidant : Liquid oxygen vented from the engine Thermal insulator Nozzle (It was quite a windless day, causing no scattering of vented oxygen) Steel O2 Vent Port structure (used to cool  Solutions the engine)  Remove the flammable heat insulation.  Additional device for scattering vented oxygen. ignition Charged by Launched Successfully on L+14 days. oxygen

© MITSUBISHI HEAVY INDUSTRIES, LTD. All Rights Reserved. PROPRIETARY INFORMATION 25 4. Overcoming anomalies MHI PROPRIETARY 4.2 Development case, H3 main engine(LE-9) INFORMATION  Anomaly In May 2020, LE-9 qualification 8th firing test; ・fracture occurred on rotor blade of fuel turbine pump ・a crack found on another blade  Investigation of the cause MHI, JAXA and IHI devoted maximum efforts to the identification of the root cause by performing various tests and analysis and managed to identify © IHI Technical Report Vol.57 No.3(2017) the root cause. • Intensive measurement test conducted on the FTP at overall operational range. • Vibration modes responsible for crack initiation and propagation were identified.  Solutions: •FTP will be redesigned to resonant-free by changing the number and shape of its blades. Effect on Schedule TF#1/TF#2 launch schedule were revised as below. - TF1 @ 2020 4Q 2021, Commercial launch services will be - TF2 @ 2021 mid 2022 started in 2022 as originally planned.

Our Quality Policy is; H-IIA & H-IIB any Any Irregularities, Success Rate 98.1％ Yasuda check 46 Consecutive Successful Stop Operations Launches from 2005

 Comparison of success rate

 Detect any Potential Anomaly Launch Vehicle Proton M Ariane5 ECA Atlas 5 Falcon 9 H-IIA/B by 2σ control and Quality Evaluation Team.

 Solid and High Quality image Launch Services by promptly solving anomalies with highly trained staff. SUccess/ Total Launch 99/110 74/76 85/86 106/109 51/52

One of the most reliable Launch Services achieved by MHI's Quality Management

 MHI Quality Management have made the launch risks insurance very attractive to the space insurance market,  MHI has been well supported over the years and will continue for the new challenge by H3.

 Tanegashima Space Center  Tobishima Plant

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