CWI Compelling Case For CNG

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CWI Compelling Case For CNG August 4, 2011 Explore Every Alternative.

Cummins Westport Inc. (CWI) A Cummins JV Company CWI is a 50:50 joint venture company based in Vancouver, BC Established in 2001 Celebrating 10 Years! Cummins Inc. world s largest builder of commercial diesels, Westport Innovations Inc. world leader in gaseous fuel engine technology CWI offers 9 liter spark ignited alternative fuel automotive engines. (CNG, LNG, Biomethane) Engines are manufactured by Cummins. Over 28,000 engines in service worldwide Local parts and service support through Cummins Distributor network. 2

Cummins Westport Heavy Duty Engines Designed Specifically for Alternative Fuels Based on Reliable Cummins Engine Platforms Common parts and design provide heavy duty performance Engineered and Optimized Specifically for Alternative Fuel Continued improvement in reliability and cost of ownership Service Support through the Global Cummins Distributor network 3

Four Generations of Natural Gas Engines 1998 2001 2004 2007 C8.3G Mechanical C Gas Plus L Gas Plus ISL G Introduced in 1998 Major improvement over 1 st generation CNG L10 Series Over 4000 still in service Improved Reliability Introduced in 2001 State of the art spark ignition/control system First engine 2004 EPA Certified Six fold reliability Increase Introduced in 2004 Improved Ignition control system VG Turbo Based on 8.9 L ISL Block 2007 NOx and 2010 PM levels Introduced in June 2007 Stoichiometric EGR combustion, three way catalyst First HD engine certified 2010 NOx and PM levels 4

Over 28,000 Engines Delivered December, 2010 *10,000th ISL G Built in July 2011

CWI Technology Path Spark Plug O2 Sensor Three Way Catalyst T O2 Sensor Spark Ignited Fuel and air are premixed outside the cylinder Spark plug ignites the mixture Air flow controls fuel flow Charge Air Cooler EGR Cooler Fuel Stoich EGR Three Way Catalyst Architecture Air/Fuel ratio controls emissions Throttle Cummins Westport Confidential 6

2010 Natural Gas Truck and Bus Engine 8.9 litre Stoichiometric Cooled EGR engine Ratings from 250 to 320 hp Low emissions 0.20 g/bhp hr NOx 0.01 g/bhp hr PM Three Way Catalyst Aftertreatment Maintenance Free Diesel like Performance, Reliability, Durability Same rated speed/similar torque curve Over 30% more torque at idle vs. previous engine Improved fuel economy +5% vs. C Gas Plus Over 80% common Cummins diesel parts Began production in 2007 CNG or LNG 7

What is Stoichiometric Combustion? Ideal combustion process where fuel is burned completely Ideal air/fuel ratio chemically correct mixing of fuel and air Consumes all fuel & air without excess of either in exhaust No Oxygen in exhaust stream allows Three Way Catalyst to handle NOx control Benefits: Increased power density Increased thermal efficiency Decreased emissions 8

Three Key Emission Technologies 2010 EPA/Euro EEV Natural Gas Engines Cooled Exhaust Gas Recirculation (CEGR) Cummins Stoichiometric Combustion Three Way Catalyst (TWC) Cummins Westport Cummins Emissions Solutions 9

ISL G and ISL Diesel What is the Same? Major Engine Components Block, crankshaft, main bearings, piston rods, EGR Over 80 % parts commonality 500 hour Maintenance Interval Parts and Service Available from local Cummins Distributor Manufactured in Cummins Engine Plant, North Carolina 320, 300, 280, 260, and 250 HP ratings Cummins Base Warranty 2 years, 250,000 miles Extended Warranty Option Available Compatible with Cummins Diagnostic tools Insite and Quickserve online 10

ISL G and ISL Diesel What is Different? Cylinder head 4 valve (diesel) vs. 2 valve Ignition Compression (diesel) vs. spark ignition Fuel System Common rail injection (diesel) vs. intake manifold Aftertreatment Particulate Filter + Selective Catalytic reduction (diesel) vs. maintenance free 3 way catalyst Noise Natural gas engines are up to 10db quieter at idle Crankcase Oil Requires different crankcase oil specification CES 20074 Fuel Cost Natural gas total fuel costs (including station) can be less than diesel. Fuel Economy Diesel engines typically obtain better fuel economy Initial Costs Natural gas trucks typically cost more than diesel trucks 11

Performance Curves Notes: Same torque at idle and rated speed Similarly shaped torque curves ISL G peak torque at 1,300 rpm

2011 ISL G Natural Gas Cummins TWC Three Way Catalyst Aftertreatment Passive device No Regeneration, No DEF Packaged as a muffler Maintenance Free Stoichiometric Combustion Cooled EGR Same rated speed as ISL diesel 30% more torque at idle 5% Better Fuel Economy 13

2010 Engines Aftertreatment Comparison SCR Catalyst Particulate Filter 2010 Diesel Heated Urea Tank Urea Dosing Control Unit ECM Cummins TWC 14

CNG Engines Reduce Noise Communities notice the natural gas noise advantage. ONE Diesel engine idling is louder than TEN natural gas engines idling together Decibeles db(a) 110 100 90 ISL G is 5.5 decibels quieter at peak torque and load Noise Comparison ISL G is 9.9 decibels quieter at Idle/no load 07 ISL 07 ISL G 80 70 Peak Torque / Full Load Idle / No Load Engine Test Mode 15

Established North American ISL G Applications BUS REFUSE Cummins Westport Confidential 16

Emerging Natural Gas Market Cummins Westport Confidential 17

North America OEM Availability North America OEM Model Segment B Gas Plus B LPG Plus ISL G Comments Freightliner Truck Business Class M2 112 (Class 7/8) MD/HD Truck X Kenworth T800SH, W900S, (2010 add T470), MD/HD Truck X Peterbilt Model 384, Model 365 MD/HD Truck X American LaFrance Condor Refuse X AutoCar WX / WXLL Refuse X Crane Carrier LCF Refuse X Peterbilt 320 Refuse X 6X4 Tractor (LNG, CNG), CNG 4X2 Tractor, 6X2, 4X2 Truck, Vocational W900S Mixer T800SH Tractor T470 Vocational (2010) Model 384 Tractor model 365 Vocational Mack TerraPro Low Entry Refuse X TerraPro Cab Over TBA NABI 35 LFW/40 LFW/60 BRT Urban Bus X New Flyer 30 LF/35 LF/40 LF Urban Bus X Orion Orion V HF/Orion VII LF Urban Bus X Foton City L40 CNG Urban Bus X El Dorado National Axess/E Z Rider II/Transmark RE/XHF Shuttle X X X Blue Bird All American School Bus X Thomas Bus Saf T Liner School Bus X Capacity TJ9000 (LNG/CNG), TJ5000 Yard Spotter X X X Ottawa Yard Spotter X X Elgin Eagle/Broom Bear/Crosswind Sweeper X X Allianz Sweeper 4000 Sweeper X X Schwarze A7000 Sweeper X X Tymco Model 600 Sweeper X X Freightliner Custom Chassis MB 55 Various X X Optima Bus AH 28 (CNG + Propane) Shuttle X X Blue Bird Ultra LF Shuttle X Re Power Complete Coach Works Freightliner M2 106 Business Class MD/HD Truck X ISL G Re Power Fontaine Modification Company Freightliner M2 106 Business Class MD/HD Truck X ISL G Re Power Updated Sept 2009 Interested Customers should contact their OEM dealers for vehicle specifications 18

Similar Maintenance Schedule Daily or Refueling Every 12,000 km Every 24,000 km Every 36,000 km Every 48,000 km (7,500 Mi), 500 Hrs (15,000 Mi), 1000 Hrs (22,500 Mi), 1500 Hrs (30,000 Mi), 2000 Hrs or 6 Months (1)(3) or 12 Months (1)(3) or 18 Months (1)(3) or 2 Years (1)(3) Whichever Comes First Whichever Comes First Whichever Comes First Whichever Comes First Operator's Report Check Catalyst Housing Check Exterior Drive Belt Check Spark Plugs and Boots Replace (6) Vibration Damper Check Engine Oil Check, add if required Air Cleaner Check Automatic Belt Tensioner Check Ignition Coils Check Turbocharger Check Engine Coolant Check, add if required Charge Air Cooler Check Fan Hub, Belt Driven Check Engine Coolant Flush and Replace Cooling Fan Check Charge Air Piping Check Water Pump Check Air Compressor Check Radiator Hose Check Lubricating Oil Change Catalyst Check Air Intake Piping Check Lubricating Oil Filter Change Engine Fuel Filter Replace Fuel Filter Drain (SCA) and Antifreeze Check Overhead Valve Lash Adjust (7) Supplemental Coolant Additives Throttle Response Check Crankcase Breather Tube Check Coolant Filter Change Note: Refer to the appropriate manual for complete inspection and maintenance procedures. (5) ISL G Maintenance Schedule (1) 1. Follow the manufacturer's recommended maintenance procedures for the starter, alternator, generator, batteries, electrical components, air compressor, refrigerant compressor, fan clutch, and OEM fuel filter. 2. Interval period for draining the fuel filter is dependent on the fueling station and varies for each location. The drain interval should be adjusted to the time required to accumulate no more than one ounce of oil in the fuel filter. 3. At each scheduled maintenance interval, perform all previous checks in addition to the ones specified. 4. Refer to Table 1, Oil Drain Intervals for oil and filter change intervals based on average speed. 5. Donot change the coolant filter if the SCA is over 3 units. Refer to Section V. Similar Schedule as Diesel Some Different Maintenance Items 6. Use only Cummins authorized spark plugs for scheduled maintenance or repairs. The use of unauthorized parts can affect performance and emission control system. The recommended 36,000 km [22,500 mile] interval is based on an average vehicle speed of 24 kph [15 mph] and must be derated accordingly for slower speed applications (i.e. 1500 hr times average kph [mph] = distance maintenance interval). 19 7. Initial valve lash adjustment only therafter regular adjustment interval is 2000 hours

Warranty Every Coverage Base Warranty for Bus/Shuttle, School Bus and Truck are the same as diesel 2 yr / 250,000 mile Basic Warranty Truck Extended Coverage options are available for Truck Customers 3 yr / 100,000, 150,000 miles PPI and PPII 4 yr / 150,000 200,000 miles PPI and PPII 5 yr / 150,000, 200,000, 250,000, or 300,000 miles PPI and PPII 6 yr / 250,000 miles PPII Only 7 yr / 250,000 miles PPII Only All warranty programs administered per Cummins Standard Policies 20

Summary Proven technology Cummins support Maintenance free exhaust system Lower emissions tailpipe and community noise. Lower Well to Wheel Greenhouse Gas Biomethane low carbon option 21

More information? Questions? For more information: Brian Beaulieu Territory Sales Manager (781) 751 1215 Or Melissa Olander General Sales Manager (207) 883 8665 Or visit www.cumminswestport.com 22