Sidem Company Profile

May 2009

World Leader in Desalination Technology

MAY 2009

Sidem 20-22 rue de Clichy Paris, France www.sidem-desalination.com GENERAL PRESENTATION

SLIDE 1

Contents
PART 1 COMPANY PROFILE
Sidem within the Veolia Environnement Group Overview of Activities Main Sites, Resources and Organisation Reference List and Main Benchmarks
Worldwide Capacity installed Desalination Plants Geographic Location Evolution of Units Capacity

PART 2 TECHNICAL PART

Multiple-Effects Distillation Technology
Basics on the MED Process (standard MED units) Enhancing the Production by Thermal Compression of Vapour (MED-TVC units) Desalination Process without available steam by Mechanical Vapour Compression (MED-MVC Units) Advantages of MED vs. MSF (Multiple Stage Flash) & Reverse Osmosis (RO) Technologies Optimisation of the Power-Water Complex: MED / RO Hybrid Plants

Market Outlook

Research & Development

Thermocompressors Control of Bundles Wetting Materials Selection

PART 3 REFERENCES
Selection of Current Projects Other Projects of Reference

MAY 2009

GENERAL PRESENTATION

SLIDE 2

Company Profile

MAY 2009

GENERAL PRESENTATION

SLIDE 3

Sidem within Veolia Environnement

Worlds Leading Water Services Company 93,000 employees worldwide Global Revenue in 2007: 12.6 billion 139 million people supplied every day Worlds Leading Environmental Services Company 336,000 employees worldwide Global Revenue in 2008: 36.2 billion

World Leader in Water Treatment 8,900 employees in over 55 countries and 130 subsidiaries Global Revenue in 2007: 2.5 billion

World Leader in Thermal Desalination 575 employees in France, the Caribbean, Libya and the GCC Countries Global Revenue in 2008: 652 million

MAY 2009

GENERAL PRESENTATION

SLIDE 4

Overview of Activities
Within VWS, the expertise in thermal desalination is from Sidem and its subsidiary Entropie Main Activities are Design & Build of:
Desalination Plants for Industrial Needs Large Desalination Plants for Municipal Needs

Provision of Spare parts and Maintenance of Desalination Plants Operation of Desalination Plants in the Caribbean thru Subsidiary UCDEM Permanent Design and Implementation of Innovative Solutions allowing Sidem to sustain high demand in ever larger and more economical units

MAY 2009

GENERAL PRESENTATION

SLIDE 5

Company Milestones
From beginning of 20th c. until 1970: First desalination plants by Socit de Condensation et dApplications Mcaniques (SCAM) and Compagnie Electro-Mecanique (CEM) 1971: Sidem is incorporated following CEMs decision to separate desalination activities from their core activities 1970-1990: Sidem supplies ever larger units, recognised as World Leader on the MSF market (Al Khobar Ph. II, Saudi Arabia, 1979: 267,000 m3/day) 1990-to date: Sidem focuses R&D on MED technology, recognised as the World Leader on MED since 2000 1998: Vivendi Water (now Veolia Water) acquires Sidem 2005: Acquisition of Entropie 2007: Signature of Contract for Marafiq in Saudi Arabia, the Worlds largest MED Project with a capacity in excess of 800,000 m3/day

MAY 2009

GENERAL PRESENTATION

SLIDE 6

Personnel & Locations

Paris HQs:
SIDEM (177) ENTROPIE (55)

UCDEM St Martin (20)

SIDEM Tripoli (30)

SIDEM Saudi (182)

SIDEM Abu Dhabi (111)

16%

84% Permanent staff Temporary staff

Note: Sidem doesnt own any Fabrication Facilities. All hardware are subcontracted
MAY 2009 GENERAL PRESENTATION SLIDE 7

Turnover, Contracts Acquisition & Backlog

652
1 057

355 255
526 312

2006

2007 Turnover

2008
1 035
million Euros

2006

2007

2008
million Euros

Contracts Acquisition
755

413

2006

2007 Backlog
million Euros

2008

MAY 2009

GENERAL PRESENTATION

SLIDE 8

Organisation
Chairman of the Board Jean-Michel Herrewyn Managing Director Vincent Baujat Chief Financial Officer Franck Gilbert Quality Gwenael Jeuland

M. Ben Abdeladhim

General Secretary Anne Looten

Deputy Managing Director Grard Canton

Human Resources Contracts Insurances IT

Branch Offices Lybia/Sharjah/Abu Dhabi/Quatar

Subsidiaries Sidem Saudi Ltd./UCDEM

Commercial Grard Canton / Olivier Clausin Tendering Department Process

Design Jean-Herv Diab

Procurement Eric Karmalecki

Operations Vincent Caillaud

Structural Piping Civil Calculation Notes Drawing Office

E&I Mechanical Bulk & Packages Spare Parts Construction Transportation & Expediting

Planning Project Managers Site Managers

MAY 2009

GENERAL PRESENTATION

SLIDE 9

Sidem Worldwide Capacity Installed

23%
4,500

4,000

77%
3,500

3,000

2,500

2,000

1,500

1,000

500

0 1963 1968 1973 1978 1983 MSF 1988 MED 1993 1998 2004

MAY 2009

GENERAL PRESENTATION

SLIDE 10

x 1,000 m3/d

Technology Switch from MSF to MED

References and Plants Location

622,203 15.3% 74,065 1.8% Middle East Europe & North Africa 47,073 1.2% Asia

3,303,700 81.4%

10,235 0.3%

Central America & Caribbean Rest of the World

Capacity installed in m3 / day

Projects with capacity:

less than 3,000 m3/day betw. 3,000 and 100,000 m3/day above 100,000 m3/day

MAY 2009

GENERAL PRESENTATION

SLIDE 11

Main References in the Gulf Countries

Iraq
MED - Marafiq Saudi Arabia 27 x 6.55 MIGD (2007-2010)

Kuwait

MED - Layyah Sharjah 2 x 5 MIGD (1999-2001)

Iran

MED - Layyah Sharjah 2 x 8 MIGD (2005-2006)

Bahrain
Hybrid MED / RO Fujairah II MED: 12 x 8.5 MIGD SWRO: 30 MIGD (2007-2010)

MSF Al Khobar II KSA 10 x 5.9 MIGD (1979-1982)

Qatar

Saudi Arabia

UAE

Oman

MED Al Hidd Bahrain 10 x 6 MIGD (2006-2008)

MED Taweelah Abu Dhabi 14 x 3.8 MIGD (2000-2002)

MED Ras Laffan C Qatar 10 x 6.3 MIGD (2007-2010)

MAY 2009 GENERAL PRESENTATION SLIDE 12

Evolution of Units Capacity

45,000 40,000 9.0

Fujairah II, UAE

35,000
Unit Cap.: 38,670 m3/d GOR: 8.2

8.0

7.0 30,000

Layyah, Sharjah
Unit Cap.: 36,370 m3/d GOR: 8.4

6.0

25,000 m3/day

Umm Al Nar, UAE

Unit Cap.: 16,000 m3/d

5.0

20,000

GOR: 7.9

4.0 15,000 3.0 10,000

Layyah, Sharjah
Unit Cap.: 22,700 m3/d

2.0

5,000

Trapani, Sicily
Unit Cap.: 9,000 m3/d GOR: 16.3

Curaao Island
Unit Cap.: 12,000 m3/d GOR: 13.4

GOR: 8.4

1.0

1988

0.0 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008

MAY 2009

GENERAL PRESENTATION

SLIDE 13

MIGD

Market Outlook
Current growth driven by high demand from the GCC Countries in the frame of IWPP (Independent Water and Power Production) Contracts MED desalination technology and its derivative processes have the best attributes for the optimisation of combined power / water plants (whether based on fossile or nuclear energy) Last contracts signed:
Ras Laffan C, Qatar: Fujairah II, UAE: Marafiq, Saudi Arabia: 286,400 m3/day 602,896 m3/day 805,491 m3/day

MAY 2009

GENERAL PRESENTATION

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Technical Part

MAY 2009

GENERAL PRESENTATION

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How MED Works Single Cell Principle

The MED evaporator consists of several consecutive cells (effects) maintained at decreasing levels of pressure (and temperature) from the first (hot) cell to the last one (cold). Each cell mainly consists in a horizontal tubes bundle. The top of the bundle is sprayed with sea water make-up that flows down from tube to tube by gravity Heating steam is introduced inside the tubes, and as the tubes are cooled externally by make-up flow, steam condensates into distillate (fresh water) inside the tubes. At the same time sea water warms up and partly evaporates by recovering the condensation heat (latent heat). Due to evaporation sea water slightly concentrates when flowing down the bundle and gives brine at the bottom of the cell. The vapour obtained by sea water evaporation is at a lower temperature than heating steam. However it can still be used as a heating medium for the next effect where the process is repeated (see next slide). The decreasing pressure from one cell to the next one allows brine and distillate to be drawn to the next cell where they will flash and release additional amounts of vapour at lower pressure. This additional vapour will condense into distillate in the next cell.

Single Cell Arrangement

MAY 2009

GENERAL PRESENTATION

SLIDE 16

Standard Multiple Cells Arrangement

This Scheme represents a Multiple Effect Distillation unit consisting of 3 cells In the last cell the produced steam is condensed on a conventional shell and tubes heat exchanger (distillate condenser) cooled by sea water. At the outlet of the condenser, part of the warmed sea water is used as make-up of the unit, and part rejected to the sea. Brine and distillate are collected from cell to cell till the last one from where they are extracted by centrifugal pumps The thermal efficiency of a unit is quantified by the Gain Output Ratio (GOR)

GOR = 3

GOR =
MAY 2009

kilos of distillate produced 1 kilo of steam introduced

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GENERAL PRESENTATION

Enhanced Process using Thermal Vapour Compressor (MED TVC)

GOR can be enhanced by addition of a thermocompressor (TVC) between one of the cells and the hot one. Using LP or MP steam this static compressor will take part of the vapour raised in one cell and recycle it into higher pressure vapour to be used as heating medium for the first one.

GOR = 6

MAY 2009

GENERAL PRESENTATION

SLIDE 18

Desalination without available steam using Mechnical Vapour Compressor (MED MVC)
When no steam is available, it is still possible to use the MED process by adding a Mechanical Vapour compressor (MED-MVC). In such case the vapour is recycled from the cold cell to the hot one by means of a centrifugal compressor driven by an electric engine. A maximum capacity of 5,000 m3/day can be obtained with current compressor technology

MAY 2009

GENERAL PRESENTATION

SLIDE 19

Optimising for Winter and Summer Operations: Hybrid Plants

Purpose: decrease overall fuel consumption of the Power Plant / Desalination Plant:
Priority for thermal desalination by recovery of the available exhaust steam (MED-TVC) Balance of water production by RO or MED-MVC
100% Water demand 100%

RO
50%
r we Po

RO
d
w Po

em

an

Water produced with Steam from Power Generation

de m

50%
an d

er

Concrete Example: Combined thermal and membrane technology of Fujairah-2 Project signed in 2007:
100 MIGD MED-TVC + 30 MIGD RO

MED-TVC
winter summer winter

Sidem

OTV

Note: Veolia Water Solutions & Technologies through Sidem & OTV subsidiaries is the only company able to provide inhouse hybrid plants based on MED & RO technologies
MAY 2009 GENERAL PRESENTATION SLIDE 20

Attributes & Benefits of MED Technology

ATTRIBUTES
No Brine Recycling Pump

BENEFITS
Electrical Consumption 2 to 3 times less than other thermal desalination processes Less maintenance downtime and no need to shutdown all plant during pump maintenance No sophisticated, expensive and critical rotating pump in place Reduced corrosion and scaling Low Maintenance Cost and High Availability No risk of distillate contamination in case of tube leak No change in the quality of distillate in case of leak Thermocompressor can be added for steam above 2 bars to enhance efficiency Unlike other thermal process which are limited by the Top Brine Temperature (2.7 bars), the design of the MED Unit can take benefit of higher steam pressures (until 40 bars) Seawater treatment at intake is simple and easy to operate No need for expensive, chlorine-sensitive membranes as in other desalination processes

Operation at temperatures below 65C and at low concentration (<1.5) In the evaporator the steam circulates in the tubes, and the sea water is sprayed on the outside Flexibility of the MED Plant design to steam pressure: from 0.35 to 40 bars

Flexibility to seasonal changes of seawater composition (contamination by microorganisms / alguae)

MAY 2009

GENERAL PRESENTATION

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Research & Development - 1

Sustainability of Sidems Leadership in the desalination business is based on:
Permanent effort to improve the technology
Optimisation of Bundles Wetting Optimisation of Thermocompressor design Selection of Materials

Controlled increase of proposed MED units capacity Development and implementation of tailor made solutions (all our projects are unique) Optimisation of the thermodynamic process and reduction of energy consumption Permanent feedback analysis from existing plants

MAY 2009

GENERAL PRESENTATION

SLIDE 22

Research & Development - 2

Thermocompressor Modelling
(in partnership with French Institute for Engineering and Research On Aerodynamics)

Control of Bundles Wetting

(in partnership with High Engineering School of Physics and Chemistry of Paris, under the patronage of Prof. De Gennes, Nobel Prize of Physics)

MAY 2009

GENERAL PRESENTATION

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Focus on Current Projects

MAY 2009

GENERAL PRESENTATION

SLIDE 24

Marafiq Kingdom of Saudi Arabia

Contract Award: Jan. 07 Owner: Jubail Water & Power Co. End User: Marafiq Consortium Partners: GE/HHI Site: Marafiq, Arabian Sea Sidem Scope of Work:
EPC Contract 27 units x 6.56 MIGD Civil Works Water Prod.: 805,000 m3/d GOR 9.8

GE/HHI Scope of Work:

12 gas turbines 4 steam turbines Total Cap.: 2.7 GW

MAY 2009

GENERAL PRESENTATION

SLIDE 25

Marafiq Key Figures

Main Quantities
Sidem Management & Supervision Team at peak On-Site Erection Personnel at peak Site Erection, E&I & Mechanical productive manhours Civil Works productive manhours Duplex / Stainless Steel Supply Brass tubes Titanium Tubes Piperacks 150 2500 6,000,000 4,000,000 16,000 t 20,000 t 800 t 3,500 t

Key Dates
Limited Notice To Proceed Final Notice To Proceed First Water Block 1 Completion Date Block 2 Completion Date Block 3 Completion Date Project Overall Completion Date Jan 07 Jun 07 Feb 09 July 09 Oct 09 Jan 10 Mar 10

MAY 2009

GENERAL PRESENTATION

SLIDE 26

Al Hidd - Bahrain
Sidem Scope of Work: Contract Award: April. 06 End User: Electricity and Water Authority Owner: Hidd Power Company Site: Al Hidd
EPC Contract 10 units x 6 MIGD Auxiliary boilers, remineralization plant,electrochlorination plant, Black Start generators for power plant, Power, Gas and Water fiscal metering. Civil Works GOR 9

MAY 2009

GENERAL PRESENTATION

SLIDE 27

Al Hidd Main Figures

Main Quantities
Sidem Management & Supervision Team at peak On-Site Erection Personnel at peak Civil Works, Site Erection, E&I & Mechanical productive manhours Duplex / Stainless Steel Supply Aluminium Brass tubes Titanium Tubes Piperack 150 2,000 6,000,000 6,000 t 6,000 t 300 t 1,500 t

Key Dates
Limited Notice To Proceed Final Notice To Proceed First Water 2 first Units Completion Date Project Overall Completion Date Jan 06 Apr 06 May 07 Jun 07 May 08

MAY 2009

GENERAL PRESENTATION

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Fujairah II UAE
Contract Award: Aug. 07 Owner: Fujairah Asia Power Company End User: Abu Dhabi Water and Electricity Authority Consortium Partner: Alstom RO Subcontractor: OTV Site: Fujairah, Oman Sea Sidem Scope of Work:
EPC Contract 12 MED units x 8.5 MIGD 1 SWRO 30 MIGD Plant Potabilisation Plant Jetty 4 x 20 million gallons Potable Water Tanks

MAY 2009

GENERAL PRESENTATION

SLIDE 29

Zawia Derna Sussa Zuara ext. Libya

Contract Awards 2006/2007: Zawia Derna Sussa Zuara ext. Owner: General Electricity Co. of Libya (GECOL) End User: General Desalination Co. (GDC) Sites: Zawia Derna Sussa - Zuara

Sidem Scope of Work:

EPC Contract Zawia : 4 x 20,000 m3/day Derna : 2 x 20,000 m3/day Sussa : 2 x 20,000 m3/day Zuara : 2 x 20,000 m3/day ext

MAY 2009

GENERAL PRESENTATION

SLIDE 30

Other Projects of Reference

MAY 2009

GENERAL PRESENTATION

SLIDE 31

Layyah D12/D13 Sharjah 2005 MED-TVC 72,700 m3/d (16 MIGD)

MAY 2009

GENERAL PRESENTATION

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Abutaraba Libya 2003 MED-TVC 40,000 m3/d (8.8 MIGD)

MAY 2009

GENERAL PRESENTATION

SLIDE 33

Zuara Libya 2002 MED-TVC 40,000 m3/d (8.8 MIGD)

MAY 2009

GENERAL PRESENTATION

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Al Taweelah A1 Abu Dhabi 2000 MED-TVC 240,000 m3/d (53 MIGD)

MAY 2009

GENERAL PRESENTATION

SLIDE 35

Layyah D10/D11 Sharjah 1999 MED-TVC 45,600 m3/d (10 MIGD)

MAY 2009

GENERAL PRESENTATION

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Umm Al Nar West Abu Dhabi 1998 MED-TVC 32,000 m3/d (7 MIGD)

MAY 2009

GENERAL PRESENTATION

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Tobruk Libya 1997 MED-TVC 40,000 m3/d (8.8 MIGD)

MAY 2009

GENERAL PRESENTATION

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Al Khobar Phase II Saudi Arabia 1979 MSF 267,000 m3/d (59 MIGD)

MAY 2009

GENERAL PRESENTATION

SLIDE 39

Umm Al Nar East Abu Dhabi 1976 MSF 82,500 m3/d (18 MIGD)

MAY 2009

GENERAL PRESENTATION

SLIDE 40