LIGHTNING PROTECTION SOLUTIONS

Thunderstorm activity map 2 Copyright © 2010 Streamer Inc. All rights reserved. LIGHTNING PROTECTION SOLUTIONS

Thunderstorm activity and lightning guard problem of the overhead transmission lines 3 Copyright © 2010 Streamer Inc. All rights reserved. LIGHTNING PROTECTION SOLUTIONS Only in Russia because of dangerous weather environment economic waste figures up annually around 60 billions of rubles, as well as electricity supply network complex damage – nearly 5 billions of rubles. William M. Daley, US Secretary of Commerce: «Weather is a big business. It’s not only the environment – it’s an integer economical indicator. Weather influences upon a seventh part of the economy, $ 1 trillion per year.» Quantity of dangerous weather conditions in Russia

Lightning guard problem of the overhead transmission lines 4 Copyright © 2010 Streamer Inc. All rights reserved. LIGHTNING PROTECTION SOLUTIONS Lightning overvoltage Safe lightning protection Smoothly Bad lightning protection or its deficiency Power setback Electricity supply system breakdown Necessity of the remedial work Production downtime or customer curtailment Material losses Bodily injury Possible harm to nature According to the LLC “Lukoil-West Siberia” data the enterprise received less than one is due more than tonnes of oil for 5 years because of lightning outages

History of the company 5 Copyright © 2010 Streamer Inc. All rights reserved. LIGHTNING PROTECTION SOLUTIONS 1995 – foundation of the research center on lightning protection of transmission lines under the auspices of Saint-Petersburg State Polytechnic University; developing of the new technology concerning lightning overvoltage protection; receiving the first patent for an invention 1996 – flotation of company; first supplies of the product for OAO “Lenenergo” 1999 – industrial production was set up; first sales 2000 – the product was recommended by Technical Committee of RAO “UES of Russia “ for serial production and implementation 2002 – first GOST Russia Certificate of Conformity was gained 2003 – distributor footprint development 2004 – the product was recommended for installation by LTD “Rosep” (“Methodological instructive regulations for lightning protection”); beginning of the dynamic sales 2005 – the product was considered as top-priority for installation on the transmission lines of the OAO “Russian Railways” 2006 – start of the collaboration with oil and gas complex companies 2008 – new revolutionary system was developed, combined with both insulator and arrester properties 2009 – access to cross-border market; opening the branch in Moscow; winning the competition, guided by the Fund for the Promotion of the Development of Small Businesses in the Sphere of Science and Technology; investiture of the best innovative enterprise of St. Petersburg in the domain of energy saving; signing a contract on strategic partnership with OAO “FGC UES”

Shareholders meeting (the higher authority) Board of directors (general management) Chief executive officer (current operations guidance) Research centre Commerce department Sales office in Saint-Petersburg Sales office in Moscow Product development department Quality department Administrative department Accounting department Low department Finance-and-economy department IT department Production department Marketing department Structure of the company 6 Copyright © 2010 Streamer Inc. All rights reserved. LIGHTNING PROTECTION SOLUTIONS We pay great attention to the quality of the product: departments that control manufacturing process - research, technical, quality and production Managers of commerce department have distinct specialization and need- satisfaction approach It was formed Board of management, consisted of leading researches (the best teaching staff of the leading high schools of Russian Federation as well as members of international electro- technical organizations) and prosperous businessmen

Partners of the company 7 Copyright © 2010 Streamer Inc. All rights reserved. LIGHTNING GUARD OF POWER GRIDS Electric grid companies FGS UES (Federal Grid Company of Unified Energy System); IDGC Holding (Interregional Distribution Grid Companies Holding) Industrial sector Gazprom Lukoil ТNК-ВР Russian Railways International partners ENSTO Sicam Niled High educational institutions, engineering offices

Up to date there are more than units of the product installed in the electric power systems 8 Copyright © 2010 Streamer Inc. All rights reserved. LIGHTNING GUARD OF POWER GRIDS

International fame and patents 9 Copyright © 2010 Streamer Inc. All rights reserved. LIGHTNING GUARD OF POWER GRIDS Research advisor of the company – Georgy V. Podporkin, D.Sc. in engineering, professor of St. Petersburg Polytechnic University, Senior Member IEEE The company has 16 patents. First generation technology (Long-Flashover Arresters LFA) was patented in Russia and abroad: Germany, Finland, France, Great Britain, Italy, USA. Moreover, at present moment are lodged application for patenting Second generation technology (Multi- Chamber System) in the following countries: USA, Mexico, India, China, Indonesia, Japan, Vietnam, Thailand, Korea, France, Italy, Germany, Spain, Finland, Sweden, Norway, Estonia, Latvia, Lithuania, Poland, Czech Republic, Hungary, Rumania, Bulgaria, Great Britain, Turkey, Brazil, Argentina, Australia, Republic of South Africa, Azerbaijan, Kazakhstan, Ukraine, Belorussia. Informative articles about company are publishing in the leading technical mass media both in Russia and overseas: (Energetik, Energetika, Etektrichestvo, Elektrotehnika, IEEE Transactions on Power Delivery, Proceedings International Conference on Lightning Protection (ICLP), Proceedings of Electricity Distribution International Conference (CIRED), International Symposium on Lightning Protection (SIPDA))

First generation solution: Long-Flashover Arresters 10 Copyright © 2010 Streamer Inc. All rights reserved. LIGHTNING GUARD OF POWER GRIDS According to the Statute Concerning engineering policy in distributing electricity supply network complex It is necessary to install LFA on the transmission lines: - for overvoltage protection and against the cable burning on the lines with insulated conductors; - on the approach to electricity distribution plant of the substations; - for weak parts of the transmission line defending ; - in the regions with extremely high percentage of lightning outages. Operational principle of LFA: Protection of insulators against the lightning flashovers Forming of the long discharge channel Discharge channel segmentation Arcing fault prevention Key qualities of LFA: Defense against lightning overvoltages Defense the conductors from burnouts Prevention the lines from dumping High reliability: current flows OFF the device Loop-Type Long-Flashover arrester for power lines 10kV, the most popular in Russia

11 Copyright © 2010 Streamer Inc. All rights reserved. LIGHTNING GUARD OF POWER GRIDS First generation solution: Long-Flashover Arresters Lightning protection with LFA using Lightning protection of power lines and protected lines Defense from the direct lightning strikes Protection against induced surge Compact lines protection Average power lines protection With any isolation type Towers with double cable mounting Defense of the substation approaches

Comparison of different measures of reducing the quantity of insulated conductors damage 12 Copyright © 2010 Streamer Inc. All rights reserved. LIGHTNING GUARD OF POWER GRIDS MeasureFunctionCostOld lineNew line EffectMaintenance Adding shield wireIntercepting direct lightning, and reducing induced voltage HighDifficultEasyMiddleNo Adding arrestersTo absorb the energy of lightning and limit lightning overvoltage HighDifficultEasyHighVery high Adding arresters with shield wire To absorb the energy of lightning and limit lightning overvoltage, and reduce the fault rate of arresters Very highDifficultEasyVery highHigh Adding LFATo increase flashover path and eliminate the power frequency arcs LowEasy HighAlmost no Partially strengthening insulation thickness To increase flashover path and eliminate the power frequency arcs HighVery difficultDifficultMiddleNo Adopting insulator with high CFO To increase the impulse withstand level and reduce the lightning flashover rate LowНевозможн о EasyMiddleNo Adopting Cascaded insulation system To decrease faults in main line by setting insulation weak location MiddleImpossibleMiddleHighMiddle Adopting insulators with charging gaps To make the arc burning on the electrodes and not to break down the conductor HighDifficultEasyHighNo Applying new insulation conductor To increase the arc withstand capability of covered conductor HighImpossibleEasyMiddleLow Partially stripping covered line and installing cable cleat To make the arc burning the electrodes and protecting the conductor LowDifficult HighAlmost no

Second generation solution: Multi-chamber system (MCS) 13 Copyright © 2010 Streamer Inc. All rights reserved. LIGHTNING GUARD OF POWER GRIDS Structurally common and effective Multi-chamber arresters (MCA) Multi-chamber Insulators-arresters (MCIA) for kV and higher. Advantages of usage MCS instead of suspension strand: - no lightning outages; - unbending of power line exploitation; - refusal of using towers ground wire; - reducing of weight and price of towers or reducing its quantity Advantages of Multi-chamber system have already been accepted by distribution companies, oil and gas complex companies, our foreign partners and by Russian Railway. Now these devices are installed in pilot production on the problem transmission lines: Volgogradenergo, Lukoil, TNK-BP

Second generation solution: multi-chamber system 14 Copyright © 2010 Streamer Inc. All rights reserved. LIGHTNING GUARD OF POWER GRIDS а) initial phase of discharge б) final phase of discharge 1 – silicone side-face 2 – electrodes 3 – cameras 4 – discharge channels

Second generation solution: multi-chamber system 15 Copyright © 2010 Streamer Inc. All rights reserved. LIGHTNING GUARD OF POWER GRIDS

16 Copyright © 2010 Streamer Inc. All rights reserved. LIGHTNING GUARD OF POWER GRIDS Correlation of Power lines of 500 kV with surge arrester and with MCIA Second generation solution: arresters SA Lines with SA Lines with MCIA

Quotations of some large testimonials 17 Copyright © 2010 Streamer Inc. All rights reserved. LIGHTNING GUARD OF POWER GRIDS IDGC Holding, assistant general manager – production manager P.I. Okley: «…Owing to relative simplicity and originality … proposed technology deserves support, development and wide application.» Gazprom, deputy chairman of the board А.G. Ananenkov: «… Yours LFA are in operation on some energy facilities of OAO “Gazprom”, there are some positive results of their usage.» Russian Railways, Electrification and electric supply department, chief engineer of the department V.V. Hananov: «… ОАО “Russian Railways” is interested in these devices, that protect overhead line from overvoltage. Expectable buying quantity in 2009 will comprise about 100 millions of rubles.»

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