EMISSION ABATEMENT TECHNOLOGIES

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1 EMISSION ABATEMENT TECHNOLOGIES CLIA LEADERSHIP FORUM FRED DANSKA

2 Disclaimer TECHNOLOGY CAN BE THE ANSWER TO TECHNICAL ISSUES AND ECONOMICAL ISSUES BUT IT IS NOT THE ANSWER TO POLITICAL ISSUES

3 Agenda Emission overview SO X abatement, NO X abatement, CO2 reduction, LNG, Three birds with one stone

4 Emission abatement, overview NO x - Primary dry methods (engine technologies) - Primary wet methods (water use) - Secondary methods (after treatment) GAS SO x (& PM) - Primary methods (low sulphur fuels) - Secondary methods (after treatment) CO 2 - Ship efficiency - Engine efficiency - System efficiency

5 Scrubbing technologies Scrubbing Wet scrubber Dry Scrubber Open loop Hybrid Closed loop

6 Scrubber working principle (Closed loop) Exhaust Gas Closed loop works with NaOH for the neutralization of SOx. CLOSED LOOP = Zero discharge in enclosed area NaOH unit ph Scrubber ph Fresh water Water Treatment Cooling Process tank Holding tank Seawater Sludge tank

7 SO x reduction Pro s & Con s Method / Solution Advantages Disadvantages Scrubber Installation of an exhaust gas cleaning system LSHFO or MGO Switch over to 1.0 % S fuel or MGO in SECA areas MGO Run full time on MGO Lowest total lifecycle cost Use everywhere Easy operation Works with high % S Flexible Small investment Convenient No change over ROI depends on fuel oil price difference between low sulphur fuel oil and high sulphur fuel oil High operating cost Fuel change over Fuel availability Lube oil TBN management High operating cost LNG Gas/dual fuel engines Flexible Convenient Reduces also other emissions Infrastructure still developing Fuel availability Other Cold ironing (shore power). Only possible in port not a solution for SO x abatement at sea.

8 Scrubber reference list Vessel/Owner MT Suula/ Neste shipping 16 Newbuildings 6 retrofits Newbuilding or retrofit Open loop Closed loop Hybrid Scrubber delivery Retrofit x 2008 Containerships VII / Containership Retrofit x vessels/ Algoma Newbuilding x 2012(4 vessels) 2013(4 vessels) 2 vessels/ x* Newbuilding x 2013/ vessels/x* Newbuilding x 2013 MS Pride of Kent/ P&O European Ferries Ltd. MS Zaandam/ Carnival Corporation Retrofit x 2005 Retrofit x 2007 APL England/ APL Retrofit x 2011 MV Tarago/ Wilh. Wilhelmsen ASA Retrofit x vessels/ Ignazio Messina & C.S.p.A Newbuilding x 2011/ 2012 HHI Hull 2516 and 2517 / Solvang * customer wants to remain anonymous Newbuilding x 2012/2013

9 NO x Summary IMO Tier I NOx reduction from current IMO level IMO Tier II Today -15%...-20% Primary methods Dry Low NOx optimization Miller Timing Common Rail -40%... Primary Methods Extreme Miller timing with 2-stage turbocharging IMO Tier III -80% Secondary Methods SCR catalyst Year 2016

10 Selective Catalytic Reactor (SCR, NOR) operation SCR reactions: 4 NO + 4 NH 3 + O 2 4 N H 2 O 6 NO NH 3 7 N H 2 O N 2 and H 2 O NO x Exhaust gases (NH 2 ) 2 CO Urea injection + H 2 O 2 NH 3 + CO 2 Ammonia + Carbon dioxide

11 CO 2 Reduction ~ Energy Efficiency Voyage planning Trim optimization Maintenance Etc. Engine optimization Advanced Power Management system Wasteheat recovery Solar panels Low Loss electrical system Etc. Hull form Ducktail Air lubrication Interceptor trim planes Machinery design Etc. Wing thrusters CRP propellers Pulling thrusters Hull-Propeller optimization Sails Flettner Rotors Etc.

12 Three Birds with one stone -25% Emission values [%] % LNG PROVIDES COMPLIANCE WITH EMISSION REQUIREMENTS WITHOUT ABATEMENT TECHNOLOGIES CO 2 NO x SO x Particulates -100% -100% Dual-Fuel engine in gas mode Diesel engine

13 Bunkering from.

14 Viking Line 2800 Pax Cruise Ferry The industry's most environmentally sound and energy efficient large passenger vessel to date. Main particulars: Overall length: m Breadth, moulded: 31.8 m Cruising speed 22 knots Passengers: 2800 Class: LR Ice class: 1A In service: 2013 Shipyard: STX Finland Oy Ship Owner: Viking Line Machinery: Main Engines: 4 x Wärtsilä 8L50DF Total output: 4 x 7600 kw LNGPac x 200 m3 Integrated tank and aux. rooms Bunkering system, Safety systems GVU in enclosure Cold recovery for HVAC Wärtsilä

15 Dual-Fuel applications - References Power Plants Merchant Offshore Cruise and Ferry Navy Others DF Power Plant 51 installations 186 engines Online since1997 LNGC 108 vessels 429 engines Conversion 1 Chem. Tanker 2 engines conv. Complete gas train Complete design PSVs/FPSOs 20 vessels 93 engines Online from 1994 New orders: Harvey Gulf; the first 4 LNG- PSV to be operated in the Gulf of Mexico! LNG ferries 1 vessels 4 engines per vessel Complete gas train 2800 passengers In service early 2013 Coastal Patrol DF-Mechanical DF main and auxiliary engines Inland Water way 1 vessel 2 engines Mechanical drive Tug 2 vessel 2 engines each Mechanical drive Guide ship 1 vessel 6 segments ~190 installations > running hours Wärtsilä

16 CRUSING ON GAS INTO A CLEANER FUTURE CRUISING ON GAS INTO A CLEANER FUTURE

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