KM CDR Process™ Post-combustion CO2 Capture Technology 26th Annual CO2 Conference December 8, 2020 © MITSUBISHI HEAVY INDUSTRIES AMERICA, INC. All Rights Reserved. Presentation Outline 1. Introduction to MHI 2. MHI’s KM CDR Process™ Carbon Capture Technology 3. Recent Highlights © MITSUBISHI HEAVY INDUSTRIES AMERICA, INC. All Rights Reserved. 2 Introduction to MHI © MITSUBISHI HEAVY INDUSTRIES AMERICA, INC. All Rights Reserved. 3 Mitsubishi Heavy Industries Group at a Glance As a global leader in engineering and manufacturing, Mitsubishi Heavy Industries (MHI) Group delivers innovative and integrated solutions across a wide range of industries from commercial aviation and transportation to power plants and gas turbines, and from machinery and infrastructure to integrated defense and space systems. COMPANY HIGHLIGHTS More than $36.7BN 52% Annual revenue 24,600 Sales outside Japan Patents 400+ $1BN 82,728 Domestic & overseas Profit Employees worldwide companies (FY2019 Results @110JPY/$) © MITSUBISHI HEAVY INDUSTRIES AMERICA, INC. All Rights Reserved. 4 Mitsubishi Heavy Industries Group Domains MHI GROUP DOMAINS POWER INDUSTRY & AIRCRAFT, SYSTEMS INFRASTRUCTURE DEFENSE & SPACE • Thermal Power Systems • Material Handling Equipment • Commercial Aircraft • Nuclear Energy Systems • Engine & Energy • Mitsubishi SpaceJet • Offshore Wind Power Systems • Turbochargers • Defense Aircraft • Pumps • Air-Conditioning & Refrigeration • Missile Systems • Marine Machinery • Machine Tool • Space Systems • Compressors • Automotive Thermal Systems • Special Vehicles • Aero Engines • Industry & Precision Instruments • Naval Ships • Machinery/Equipment • Maritime & Space Systems • Mechatronics Systems/ITS • Metals Machinery • Environmental Systems • Chemical Plants • Shipbuilding & Ocean Develop. • Land Transportation Systems $16.1 B NET SALES $17.2 B NET SALES $6.5 B NET SALES © MITSUBISHI HEAVY INDUSTRIES AMERICA, INC. All Rights Reserved. 5 MHI Group Presence in North America MICHIGAN Harrison Federal Broach Holdings Grand Rapids Rapid Parts MASSACHUSETTS Wixom Andover WASHINGTON MHIA Machine Tool Division MHIA Office Moses Lake . Cambridge Moses Lake Flight Test Center ALBERTA INDIANA MHI in North America MHIA Office for Mitsubishi Space Jet Calgary Franklin Mitsubishi Turbocharger and Engine America Woburn Seattle Mitsubishi Hitachi Power Systems Canada MHIA Office MHIA Office MHI Climate Control ONTARIO Worcester 9,000+ Renton Mississauga OHIO Primetals Technologies USA EMPLOYEES Mitsubishi Aircraft Corporation America MHI Aerospace Leetonia Canada MHIA Tire Machinery CONNECTICUT OREGON Division Hartford ILLINOIS Portland MHIA Office Chicago NEW JERSEY 100+ Diamond WTG Engineering Services Glastonbury Mitsubishi Turbocharger and Engine America BASKING RIDGE, NJ OFFICE & PW Power Systems COLORADO Marengo MHPS Technology Center FACTORIES Ft.Collins UniCarriers Americas MARYLAND NEW YORK MD&A Control Systems Hunt Valley Latham MISSOURI MHIA Corrugating Machinery Division Mechanical Dynamics & CALIFORNIA Analysis 4,154 St.Louis WASHINGTON, D.C. Silicon Valley MD&A Generator and MHIA Office PATENTS MHIA Office Steam Path Los Angeles Engineering & repair GEORGIA NORTH CAROLINA MHPS Alpharetta Charlotte $6.5BN Newport Beach Primetals Technologies USA Mitsubishi Nuclear Energy Systems MHIA Office ARIZONA IN REVENUE Tucson Pooler Whittier MHIA Office Savannah Machinery Works for MHPS Relationships Southern California Material Handling with around TEXAS FLORIDA Fort Worth Lake Mary MHIA Office Mitsubishi Hitachi Power Systems Americas (MHPS) 200 Houston Orlando SUPPLIERS Mitsubishi Heavy Industries America (MHIA) HQ Orlando Service Center for MHPS MHIA Engineered Systems Division Addison Miami Crystal Mover Services MHIA Oil & Gas Division MHIA Aircraft Product Support Division Mitsubishi Caterpillar Forklift America MHIA Office Equipment Depot Plano MHI Compressor International Mitsubishi Aircraft Corporation America As of July 2019 © 2019 MITSUBISHI HEAVY INDUSTRIES AMERICA, INC. All Rights Reserved. 6 MHIA Engineered Systems Division MHI America, Inc.’s Engineered Systems Division, based in Houston, provides sales, administration, engineering, and project management support for MHI Engineering, Ltd.’s business in the US. ENGINEERING A RELIABLE FUTURE Mitsubishi Heavy Industries Engineering offers reliable technologies gained from engineering synergies realized within the Mitsubishi Heavy Industries (MHI) Group. CO Capture Plants Chemical Plants We contribute to the development of 2 society by supplying numerous EPC (Engineering, Procurement, Construction) projects covering large- scale infrastructure, such as chemical plants, environmental plants, and transportation systems, in many countries and regions around the world. Transportation © MITSUBISHI HEAVY INDUSTRIES AMERICA, INC. All Rights Reserved. 7 MHI’s KM CDR Process™ Carbon Capture Technology © MITSUBISHI HEAVY INDUSTRIES AMERICA, INC. All Rights Reserved. 8 KM CDR Process™ Overview and Features Amine washing system reduces VOC emissions and amine loss • KM CDR Process™ = Kansai Mitsubishi Carbon Dioxide Recovery Process • Amine-based technology • Capable of capturing ~90+% CO2 from combustion gas sources • Proprietary features developed over 28 years of experience • CO2 purity >99.9% (dry basis) - Automatic load adjustment control - Amine filtration and purification systems KS-1™ solvent with high CO2 capacity, low Heat integration system to - Proven tower design for even gas/liquid degradation, and low regeneration energy reduce steam consumption distribution © MITSUBISHI HEAVY INDUSTRIES AMERICA, INC. All Rights Reserved. 9 KM CDR Process™ Technology Development Timeline Began R&D with Kansai Electric Power Co. - 1990 2 tpd pilot plant at KEPCO’s Nanko Power Station - 1991 Developed KS-1™ and KM CDR Process™ - 1994 1999 - 200 tpd plant in Malaysia 1 tpd coal pilot test at Hiroshima R&D Center - 2002 Developed proprietary energy efficient process - 2003 2005 - 330 tpd plant in Japan 10 tpd coal pilot test at Matsushima - 2006 2006 - two 450 tpd plants in India Large absorber flow test at Mihara works - 2008 2009 - 450 tpd plant in India; 450 tpd plant in Bahrain 2010 - 400 tpd plant in UAE; 240 tpd plant in Vietnam 2011 - 340 tpd plant in Pakistan Plant Barry 500 tpd demonstration project – 2011-2014 2012 - 450 tpd plant in India 2014 - 500 tpd plant in Qatar 2016 - Petra Nova Project – 4,776 tpd plant in Texas © MITSUBISHI HEAVY INDUSTRIES AMERICA, INC. All Rights Reserved. 10 MHI leads the world in large scale CO2 capture plant deployment Chemical production has been the main driver for the deployment of the KM CDR Process™. 2006 India (Aonla) 2021 Russia Delivered plant 450 Mt/d for Urea 1,200 Mt/d for Urea and Melamine 3 NG Furnace 15 NG Furnace Plant under construction 2006 India (Phulpur) 450 Mt/d for Urea 4 NG Furnace 2005 Japan 2010 UAE 330 Mt/d for General Use 400 Mt/d for Urea 2 Oil / NG Boiler 6 NG Furnace 10 2011 Plant Barry Demo 2017 Japan 500 Mt/d for storage 14 283 Mt/d for Chem Coal Boiler Process Gas 2022 Bangladesh (scheduled) 2016 U.S.A (WA Parish) 2009 Bahrain 4,776 Mt/d for EOR 16 240 Mt/d for Urea 13 450 Mt/d for Urea NG Furnace Coal Boiler 7 NG Furnace 2010 Vietnam 240 Mt/d for Urea 2014 Qatar 8 NG Furnace 500 Mt/d for Methanol 1999 Malaysia 12 NG Furnace 210 Mt/d for Urea 1 NG Furnace 2011 Pakistan 340 Mt/d for Urea 9 NG Furnace 2009 India (Kakinada) 5 450 Mt/d for Urea 2012 India (Vijaipur) NG Furnace 11 450 Mt/d for Urea NG Furnace © MITSUBISHI HEAVY INDUSTRIES AMERICA, INC. All Rights Reserved. 11 MHI’s KM CDR Process™ can be used on a variety of flue gases The KM CDR Process has been applied to a variety of gases, and the effects of various impurities on the amine and the system have been tested. Tested gases include: Industrial applications: • Natural gas-fired boiler exhaust • Power plants (NGCC, coal-fired, or biomass) • Oil-fired boiler exhaust • Steam methane reformer furnace exhaust • Coal-fired boiler exhaust • Cement plants • Gas turbine exhaust (simulated) • Steel plants • Catalytic crackers • Natural gas processing Typical Flue Gas Conditions Other possible constituents in the flue gas depending on the industrial application: Coal fired NG fired Unit NG fired GT Boiler Boiler • NOx • Heavy metals CO Vol.% 10 - 14 3 - 4 8 - 9 2 • CO • Halides (HCl, O2 Vol.% 4 - 6 10 - 15 1 - 2 HBr, HF) • H S SOx ppm(dry) 1 - 50 <0.3 <1 2 PM (Dust) mg/Nm3 3 - 10 NA NA • Hydrocarbons © MITSUBISHI HEAVY INDUSTRIES AMERICA, INC. All Rights Reserved. 12 MHI delivered the world’s largest post-combustion CO2 capture plant The Petra Nova Project is MHI’s first commercial Absorber power project. Performance test was completed in December 2016. Cooling Tower CO Compressor • Plant is owned by NRG and JX Oil & Gas. ₂ Regenerator • Located at NRG’s WA Parish Plant Unit 8 near Houston, TX. • Captures 4,776 metric tons/day (240 MWeq, 90% capture) from a ~37% flue gas slip stream (1.4 million metric tons/year). Flue Gas Quencher Flue Gas Duct • MHI and TIC consortium provided full turnkey EPC Fall 2016 View of the Site delivery of the CO2 capture plant. © MITSUBISHI HEAVY INDUSTRIES AMERICA, INC. All Rights Reserved. 13 Recent learnings to be applied Operating CO2 capture plants on coal fired flue gas has provided valuable insights that can be implemented into the next projects. • Re -evaluate equipment and tower design based on actual performance. • Modularize, and optimize plot plan. • Develop realistic gas impurity assumptions during design. • Impurity concentrations greatly