KHABAROVSK REFINERY HYDROPROCESSING PROJECT TEST RUN APRIL 29th – MAY 3rd 2013, MADRID, SPAIN TRAINING COURSE

2 TEST RUN  The Performance Guarantees Test Run or “Test Run” shall verify the capability of the Units to meet the process guarantees defined in the “License and Engineering Agreement“.  The Performance Guarantees Test Run or “Test Run” shall verify the capability of the Units to meet the process guarantees defined in the “License and Engineering Agreement“.

3 PROCESS GUARANTEES SRU/TGT DESIGN CAPACITY: Each Claus Train shall be capable to produce 20 t/d of liquid sulphur. TGT Section shall be capable to treat the Tail Gas when the Claus section (two trains in operation) is producing 40 t/d of liquid sulphur. SRU/TGT TURN DOWN CAPACITY: Turn down capacity for each Claus Train shall be 6 t/d of of liquid sulphur. TGT Section shall be capable to treat the Tail Gas when each Claus train is producing 6 t/d of liquid sulphur.

4 PROCESS GUARANTEES ARU/SWS DESIGN CAPACITY: ARU Section shall be capable to regenerate kg/h of Rich Amine generated in the Hydrocracking Section (HCU). SWS Section shall be capable to treat kg/h of Sour Water produced in the Hydrotreating (DHT), HCU, TGT and SRU Sections. ARU/SWS TURN DOWN CAPACITY: ARU Section shall be capable to operate at 50% of the design capacity. SWS Section shall be capable to operate at 50% of the design capacity.

5 PROCESS GUARANTEES OVERALL SULPHUR RECOVERY EFFICIENCY: Sulphur Recovery Efficiency = 99.8% at Start of Run Condition (with TGT on stream, expected value at SOR) When the TGT section is normally operating with Claus tail gas, Overall Sulphur Recovery Efficiency is verified by the measure of the total sulfur contained in tail gas from Absorber. Overall SRE (%) for the whole Sulphur Recovery SRU+TGT is defined as follows: where: S IN = total sulphur contained in feedstock to SRU (both trains)+TGT S OUT = total sulphur contained in in tail gas from Absorber

6 PROCESS GUARANTEES LIQUID SULPHUR QUALITY: Liquid sulphur produced at degassing package outlet shall meet the following characteristics. Free sulphur (dry basis) min. 99.8% H 2 S max. 10 ppm wt CATALYST LIFE: The guaranted life times for the Claus and TGT catalyst is minimum 3 years (catalysts supplied by Licensor).

7 PROCESS GUARANTEES LEAN AMINE (DEA) FROM ARU: The H 2 S content in the lean amine stream from Amine Regenerator shall be max 0.02 mol H 2 S / mol DEA. Lean Amine shall be available at B.L. at a temperature not exceeding 55°C STRIPPED WATER FROM SWS: The ammonia content in the stripped water shall be lower than 50 ppm wt. The H 2 S content in the stripped water shall be lower than 10 ppm wt.

8 TEST RUN CONDITIONS The total duration of the Test Run shall be 72 consecutive hours operation The Test Run shall be started after at least 24 hours of unit stable operation and shall be preceded by a pre-test lasting 24 hours, during which all the procedures as data recording, samples collection, analytical methods and calculations shall be verified. If necessary the duration of the pre-test can be prolonged. In case that the Test Run is continued after an interruption, the condition which has caused an interruption of the Test Run shall be corrected and, after restoring steady operating conditions of the Unit, the Test Run shall be resumed and continued for a period which, added to the time before the interruption, shall be equal to at least 72 hours.

9 TEST RUN CONDITIONS In case of shut-down during the test period, the test operation shall not be stopped/suspended, provided that it is possible to recover the normal operating condition within 24 hours from Unit shut-down. The time from the Unit shut-down necessary for the restoring of Unit normal operation will be added to the 72 hours of Test Run. The number and type of laboratory analysis shall be agreed before the Test Run.

10 TEST RUN INSTRUMENTATION The instruments used for the Test Run are those provided for the normal operation of the unit and on the streams in and out. No special tests are foreseen for process instrumentation. Before starting the Test Run, all instruments shall be controlled and calibrated.

11 TEST RUN INSTRUMENTATION The flow rate of the acid gases shall be corrected for temperature, pressure, molecular weight (T, P and MW compensation provided directly by DCS, with manual input of gas MW based on sample analysis). The flow rate of combustion air shall be corrected for temperature, pressure, humidity (T and P compensation provided directly by DCS, humidity correction to be performed based on measured wet/dry bulb temperature). The overall error in the calculation is a result of the errors, which are inevitably present in the measurements contributing to the calculation. To determine whether the guaranteed performance is met, the analysis results and flow rate measured and adjusted for compensation shall be averaged during the Test Run period.

12 STREAM SAMPLING Sample points are those defined for the normal operation of the plant. On each container date and time of sampling and sample description will be clearly shown and shall be registered in relevant sheets. Samples of feed and products shall be taken at the same time or as close together as possible. Special attention must be paid to purging of the sample lines before each sampling. Samples of feed and products should be taken in three standard, clearly labelled, sample containers, as follows. One container will be sent to the laboratory for analysis during the test; The second sample will be used as a check sample in case it becomes necessary to verify the analytical results The third sample will be sealed and retained until the Test Run is complete and both parties agree that the Test Run is complete, and will be kept at disposition in case of dispute.

13 PREPARATION BEFORE TEST RUN 1/2 Dedicated Operation team (superintendent, supervisor, DCS operator, field operator, etc.) to be available up to the completion of the test; All utilities are available according to the design basis and these are ready to start; Feed gas streams analysis of the period previous to performance test to be available (at least 15 days); All instruments shall be calibrated and checked; All field instruments shall be available and working properly; All sample points to be available and working properly;

14 PREPARATION BEFORE TEST RUN 2/2 All sample points to be available and working properly; Laboratory equipment and adequate personnel shall be available in order to carry out the agreed analysis at the agreed frequency; Apparatus to determine humidity of ambient air (wet bulb temperature) shall be made available.

15 TEST RUN REQUIREMENTS Details of Test Run procedure shall be agreed before the start of the test. During the Test Run all Units shall be operated according to operating manual instruction. The Sections shall be operated under normal conditions, as specified in the Heat & Material Balances and Process Flow Diagrams. During the Test Run, feed gas and utility streams, steady in composition, mass flow and temperature shall be supplied to Sections. Operating and analytical data shall be collected during the Test Run. The composition of the feed gas and process streams samples shall be determined with a gas chromatography or with one of the analytical methods indicated in Laboratory Manual.

16 TEST RUN REQUIREMENTS The composition of dry air is assumed to be 79% vol. N 2. The water content of the combustion air shall be determined using a relative humidity instrument or a wet bulb instrument. The water content and the temperature of the combustion air shall be determined at the inlet of the air blower. In case where malfunction of some instruments is found during the test period, the test operation shall not stopped/suspended, provided that: Licensee/Licensor mutually agree that the data required for the performance guarantees could be estimated by calculations or other reasonable method; The fact will not endanger the continuation.

17 TEST RUN ACTIVITIES Licensee during the Test Run shall be responsible of the following activities: Keeping the Units in stable condition. If during the Test Run is necessary to change some operating parameters, this variation shall be carried out slowly and it will be possible to change only one parameter per time, with the purpose to avoid unit up-set. Reading and recording the operating data as per log sheet (every hour). Taking every 4 hours the samples (the frequency depends on the agreement between the parties before Test Run).

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