1. EU CCS Demonstration Projects Giles Dickson Brussels, 9 February 2009

2. ALSTOM © 2007. We reserve all rights in this document and in the information contained therein. Reproduction, use or disclosure to third parties without express authority is strictly forbidden. Presentation title - 01/01/2007 - P 2 CCS in Europe is happening now....

3. ALSTOM © 2007. We reserve all rights in this document and in the information contained therein. Reproduction, use or disclosure to third parties without express authority is strictly forbidden. Presentation title - 01/01/2007 - P 3 Several small scale pilots …. We Energies Pleasant Prairie - USA 5 MWth - Chilled Ammonia – Coal Statoil Mongstad – Norway 40 MWth – Chilled Ammonia– Gas TOTAL Lacq, France 30 MWth – Oxy – Gas/Fuel EoN Karlshamn – Sweden 5 MWth – Chilled Ammonia – Fuel/Gas Vattenfall Swartze Pumpe - Germany 30 MWth – Oxy - Lignite AEP Mountaineer - USA 30 MWth– Chilled Ammonia – Coal

4. ALSTOM © 2007. We reserve all rights in this document and in the information contained therein. Reproduction, use or disclosure to third parties without express authority is strictly forbidden. Presentation title - 01/01/2007 - P 4 Main Partnerships & Projects Portfolio CHILLED AMMONIA OXYCOMB 5MWth 30MWth >200MWe 5MWth 40MWth 30MWth 250 MWe PleasantPrairie (US)-Coal Mountaineer(US)-Coal Northeastern(US)-Coal Karlshamn (Sweden)-Gas Mongstad(Norway)-Gas SchwarzePumpe(Germany)-Coal Jänschwalde (Germany) 200MWe Transalta(Canada)-Coal Feasibility Study ADVANCED AMINES JointDevelopmentPartnership Belchatow (Poland) - Coal 30 MWth >150 MWe 30 MWt Lacq (France) - Gas Pilot in operation

5. ALSTOM © 2007. We reserve all rights in this document and in the information contained therein. Reproduction, use or disclosure to third parties without express authority is strictly forbidden. Presentation title - 01/01/2007 - P 5 Ready for the next stage ….. The technology is ready for full scale demonstration. A funding mechanism is agreed. The EU legal framework is in place. We can’t afford to wait ………

6. ALSTOM © 2007. We reserve all rights in this document and in the information contained therein. Reproduction, use or disclosure to third parties without express authority is strictly forbidden. Presentation title - 01/01/2007 - P 6 7 years delay = up to 90 Gt more emissions by 2050 and +10 ppm by 2020 Gt CO 2 abate d per year 2008201520302050 Prompt implementation Unnecessary emission s 7 year delay Pilot plants built Technology ready for full scale testing Funding and Legislation secured for demo plants Demo plants running Commercial development Abatement potential achieved Political decision taken olitical support neded 7 years30 years 2020 Delay in CCS would mean unnecessary emissions

7. ALSTOM © 2007. We reserve all rights in this document and in the information contained therein. Reproduction, use or disclosure to third parties without express authority is strictly forbidden. Presentation title - 01/01/2007 - P 7 Various EMISSION Sources Various CAPTURE Technologies Various TRANSPORT Modes Various STORAGE Settings To Achieve the Programme’s Goals, the Portfolio Needs to Test...

8. ALSTOM © 2007. We reserve all rights in this document and in the information contained therein. Reproduction, use or disclosure to third parties without express authority is strictly forbidden. Presentation title - 01/01/2007 - P 8 Speed of demonstration now impacts hugely on commercial capacity in 2020 Cumulated CCS installed base based (2010- 20*) Note: *Commissioning years Source : Alstom evaluation Europe North America ROW/China 201011121314 8 1516171819 5959 20 GWe (gross) First 20 Large- Scale Demos We are already running late…let’s get started now ! Full deployment preparation

9. ALSTOM © 2007. We reserve all rights in this document and in the information contained therein. Reproduction, use or disclosure to third parties without express authority is strictly forbidden. Presentation title - 01/01/2007 - P 9 Demonstration Phase Requires Funding to Fill the Economic Gap €/tonne CO 2 Economic gap DEMO PHASE (~4GW) EARLY COMMERCIAL PHASE (~20 GW installed capacity) MATURE COMMERCIAL PHASE (~ 80 GW installed capacity) Demonstration phase: CCS not economically viable. Public contribution necessary for some portion Carbon price forecast; impact of new policy not included Estimated costs of CCS Commercial phase: CCS expected to be commercially viable, as costs and CO2 price reach similar levels

10. ALSTOM © 2007. We reserve all rights in this document and in the information contained therein. Reproduction, use or disclosure to third parties without express authority is strictly forbidden. Presentation title - 01/01/2007 - P 10 What needs to happen now ….  First projects need to be selected this year and before Copenhagen.  National legislation to implement CCS Directive.  Additional EU funding: €1.25bn in EU Economic Recovery Plan.  Other public and private funding. Above all, industry needs certainty – asap.

11. ALSTOM © 2007. We reserve all rights in this document and in the information contained therein. Reproduction, use or disclosure to third parties without express authority is strictly forbidden. Presentation title - 01/01/2007 - P 11 Are there enough projects out there ? 66% 3 % 11 % 20 % 54% 27% 19% 58% 37% FACT: 64 large-scale CCS projects above 100 MW currently under consideration world-wide Retrofit Coal New Coal 5% New/Retrofit Gas There are enough projects in the pipeline for 20 large demos

12. ALSTOM © 2007. We reserve all rights in this document and in the information contained therein. Reproduction, use or disclosure to third parties without express authority is strictly forbidden. Presentation title - 01/01/2007 - P 12 What about transport and storage ? Local, limited EOR projects + Demo 2010201520202030 Post- comb. Pre- comb. Oxy- comb. 2025 Pilot / DemoCommercialisation Ramp-up to full scale saline acquifer storage Pilot / Demo Progressive pipeline deployment, depending on validated storage sites Pilot / Demo Commercialisation Pre-commercial 2007 EOR + validation of storage sites Transport Storage Capture Pre- commercia l Source: Power Systems analysis 2006

13. ALSTOM © 2007. We reserve all rights in this document and in the information contained therein. Reproduction, use or disclosure to third parties without express authority is strictly forbidden. Presentation title - 01/01/2007 - P 13 Source:Team analysis; IEA GHG Emissions database v2006; pathfinder; ECOFYS; Gestco summary report Regional capture and storage clusters likely Emission and capture cluster Medium emissions High emissions Low emissions Storage cluster ILLUSTRATIVE EXAMPLE

14. ALSTOM © 2007. We reserve all rights in this document and in the information contained therein. Reproduction, use or disclosure to third parties without express authority is strictly forbidden. Presentation title - 01/01/2007 - P 14 CCS is not yet well known or accepted by the broader public What responses should be considered to tackle climate change? −Listen – analyse public opinion in the different regions (e.g. EU) −Learn from other comparable cases (e.g., Nuclear?) −Inform/influence public opinion locally, e.g., on needs, jobs Possible lines of action 1 2 3 Source: MIT Carbon sequestration initiative

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