Power Plant Operating Rental Business

- Case studies in Africa and Japan -

March 19, 2013

Simon Lyons, Director of Marketing and Communications, Aggreko Plc,

Kenichi Matsumoto, General Manager, Northeast Asia (Korea & Japan)
 Aggreko at a glance

1) World leader in Power Generation Rental with O&M

2) Critical mass of Rental fleet (9.2GW in fleet capacity),
with Gas fleet booming to exceed 1GW
3) 2-3 months to install and commission 100MW+ Plant
4) Modularized and highly mobile fleet in 20cft containers
5) Operating world wide over 100 countries in 194 locations
Aggreko context

1) Listed on the London Stock Exchange (FTSE-100 index)

2) Continuous geographic expansion in 50 years:
Holland (1962) => Scotland (1973) => North America (1986) => Singapore (1989) =>
Australia & New Zealand (1990) => Middle East (1991) => Africa (2002) => South
America (2002) => Central America (2006) and acquired all of GE Rental Business
=> China (2008) => India (2009) =-> Russia (2009) => Eastern Europe (2010)
3) The last 10 years:
Revenues People Market Cap
From 340m in 2002 From 2,100 in 2002 From 400m
To 1.6bn in 2012 To 6,000 in 2012 To 5bn
Aggreko operation in Africa
Aggreko operation in Africa

20+ Utility customers in Africa at any one time

Highlight in Uganda as example:

Peaked at 300MW - 50% of Uganda power needs.
Filled gap when hydro power failed by drought (1 year in 5).
Had three geographically dispersed sites.
Environmentally sensitive sites (on Lake Victoria)
Speedy demobilization capability to manage risk
 #1 Modularized equipment
in 20cft containers

Power Generation
Industrial
Diesel Power Gas Power Transformer
Generators Generators Loadbank Cooling
Generator Transformer Loadbank Chiller
#2 2-3 months from Contract to
Power Generation

For 100MW+ Power Plant

Contract signing Power

2-3 months Generation

Commercial Agreement Mobilization Installation Commissioning

3/18/2013 7
#3 Cost of Generation by fuel type
and availability

Illustrative Cost of Generation DO = 100 Fuel as % Short term

of cost/ fuel availability
kwh
Diesel Oil 100 88% Everywhere

Heavy Fuel Oil 68 77% Many places

Gas 37 53% Very hard to

find
#4 Demand for Gas Power Project
is growing
Case Study from Mozambique
Cross Border Project
During
Installation
How INSTANT UTILITY happened
in Mozambique

Gas field
discovered by Enormous
Aggreko as IPP as
Mozambique INSTANT UTILITY demand of
with no Market electricity in
Demand South Africa
Aggreko Solution as INSTANT UTILITY:
1) Source the gas
2) Build High Voltage Infrastructure
3) Power generation license and generation
4) Sell power to Mozambique and South Africa
== >> Now selling to Namibia via South African Power Pool
South African Power Pool
(Gas and Electricity movement)
Mozanbique
Gas Power:
100W
Plus
115MW

South African Power Pool

Japan (since 2011)

July 2011 to March 2013 (for Utilities) June September, 2012 (for Industry)
Accumulated: Diesel 248MW, Gas 100M Purpose: Peak Shaving

TEPCO 100MW Gas Site at Sodegaura Commissioning Ceremony at

Beverage Plant in Kyushu area
Korean Shipbuilding companies and
Oil & Gas (Exploration to Refining)
Example:
Emergency power for Refineries at national disaster (Chille)
Summer peak FCC operation at Refinery company

Emergency Power in Asia

for platform refurbishment

Korean Shipbuilding companies for :

International Oil Majors such for
Sakhalin, Gorgon and other LNG
Projects

14
Mega Infrastructure Capex Project
vs. Modularized Operating Rental

Full Scale CAPEX Project Operating Rental

Investment As Expenditure As OPERATING Expense
Operating Period FID to full return on capital Limited to rental period
Plant Site Fixed location Can be changed by time
Plant Capacity: Fixed as designed Easily changeable
5) Fuel type: Fixed as designed Adjustable to market
6) Plant completion: 2-4 years 2-4 months
7) Civil work: Substantial in time and cost Simple e.g. H-Beam mount
8) Maintenance: Periodical Shutdown Possible w/o total Shutdown
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How Operating Rental can compliment
Major CAPEX Project
Off Balance Sheet
Rental Merit

Capacity Site location Fuel type

changeability changeability changeability

Plan & F/S Stage EPC Stage Operation Stage

Complimentability

Management of power
demand variation during Peak Shaving
Minimize and
Optimize CAPEX construction & commissioning
Power during
Early Power & Cash to improve Shutdown Maitenance
Project cash flow
Presentors:

Simon Lyons

He has been a career marketer having worked on The Macallan malt whisky,
Heineken beer and UEFA football among other brands. He joined Aggreko in
2004 and for the past decade has been working in the corporate marketing
and communication functions. His role covers Aggrekos global operations
from Mozambique to Michigan and from local depots to the largest interim
power stations in the world.

Email: Simon.Lyons@aggreko.co.uk
Mobile Phone: +44 7736112008
Presentors:

Kenichi Matsumoto

Engaged in investment, finance, off-take and EPC for various energy projects in Oil,
Gas, Chemical, Power Generation and other infrastructure projects in Asia and in CIS
at Mitsui & Co., Ltd. between 1980 and 2001. Thereafter he has engaged in corporate
strategy and organization change consulting including Post Merger Integration at
PricewaterhouseCoopers Consultants Co., Ltd. , and also led Japan operation of Aspen
Technology, Inc., an oil, gas, chemical and utilities operations optimization software
company. He joined Aggreko Japan K.K. in May 2012 as President & Representative
Director, General Manager of Northeast Asia (South Korea and Japan), and as a
member of APAC leadership team.

Email: matsumoto.kenichi@aggreko.jp
Mobile Phone: +8190-3334-5039