1. © ChemTAG AS Proprietary Information All Rights Reserved No part of this publication may be reproduced or transmitted in any form or by any means, including photocopying and recording without prior written consent of ChemTAG AS ChemTAG as a Norwegian Bio-Tech Company ChemTAG works to safeguard life, environment and property by carrying out services for marking, tracing and secure identification of substances

2. © ChemTAG AS Proprietary Information All Rights Reserved No part of this publication may be reproduced or transmitted in any form or by any means, including photocopying and recording without prior written consent of ChemTAG AS C-TAG  shows the Origin Illegal use Leakage Security Logistics Piracy Copying Fraud Source of pollution Tracing Liquid Flows Counterfeiting Theft

3. © ChemTAG AS Proprietary Information All Rights Reserved No part of this publication may be reproduced or transmitted in any form or by any means, including photocopying and recording without prior written consent of ChemTAG AS Market Focus and Priorities Water Related Applications - Being commercialised Petroleum Reservoir Optimisation - Technology being developed Marine Oil Transportation - Technology under development Being evaluated: Materials and Components Explosives Currently not exploited: Capital Goods, Brand Protection, Food & Beverages (lisence granted)

4. © ChemTAG AS Proprietary Information All Rights Reserved No part of this publication may be reproduced or transmitted in any form or by any means, including photocopying and recording without prior written consent of ChemTAG AS Det Norske Veritas Bergesen dy ASA Norw. Industrial & Regional Dev.Fund Ås Science Park AS Professor Peter Aleström Major shareholders in ChemTAG

5. © ChemTAG AS Proprietary Information All Rights Reserved No part of this publication may be reproduced or transmitted in any form or by any means, including photocopying and recording without prior written consent of ChemTAG AS Tracing and identification of oils Air surveillance (pollution only) Chemical fingerprinting of oil samples Active tagging Others * Lloyds List December 14th 1999 Available methods:

6. © ChemTAG AS Proprietary Information All Rights Reserved No part of this publication may be reproduced or transmitted in any form or by any means, including photocopying and recording without prior written consent of ChemTAG AS Important properties for oil tracers Cost effective Robust Large coding capacity Environmentally safe Simple analysis Detectable in molecular concentrations Compatible with product No possible falsification Not harmful to tagged product

7. © ChemTAG AS Proprietary Information All Rights Reserved No part of this publication may be reproduced or transmitted in any form or by any means, including photocopying and recording without prior written consent of ChemTAG AS Synthetic DNA tag / C-TAG TM A – T G – C T – A C – G ds– DNA

8. © ChemTAG AS Proprietary Information All Rights Reserved No part of this publication may be reproduced or transmitted in any form or by any means, including photocopying and recording without prior written consent of ChemTAG AS ChemTag

9. © ChemTAG AS Proprietary Information All Rights Reserved No part of this publication may be reproduced or transmitted in any form or by any means, including photocopying and recording without prior written consent of ChemTAG AS ChemTag

10. © ChemTAG AS Proprietary Information All Rights Reserved No part of this publication may be reproduced or transmitted in any form or by any means, including photocopying and recording without prior written consent of ChemTAG AS Marker / tracer design & production Code Bank Laboratory analysis & identification Markers / tracers Samples Reports & certificates Customer Application Core Products and Services

11. © ChemTAG AS Proprietary Information All Rights Reserved No part of this publication may be reproduced or transmitted in any form or by any means, including photocopying and recording without prior written consent of ChemTAG AS Typical procedure for tagging Concentrated DNA (dry or in water) 1 litre diesel 30 litres of diesel (injection tank) Proper solvent for DNA and diesel Injection during loading

12. © ChemTAG AS Proprietary Information All Rights Reserved No part of this publication may be reproduced or transmitted in any form or by any means, including photocopying and recording without prior written consent of ChemTAG AS Tag application during bunkering Heavy fuel 30 l Diesel

13. © ChemTAG AS Proprietary Information All Rights Reserved No part of this publication may be reproduced or transmitted in any form or by any means, including photocopying and recording without prior written consent of ChemTAG AS Tag application in diesel - shore terminal Diesel Shore-tank 100 l tank Color-Marker TO SHIP 40 PPM Automatic injection C-TAG

14. © ChemTAG AS Proprietary Information All Rights Reserved No part of this publication may be reproduced or transmitted in any form or by any means, including photocopying and recording without prior written consent of ChemTAG AS Analysis of DNA in oil Initial Oil sample Extraction of DNA DNA in Water Purification / Cleaning Purified DNA in Water PCR/ Sequencing

15. © ChemTAG AS Proprietary Information All Rights Reserved No part of this publication may be reproduced or transmitted in any form or by any means, including photocopying and recording without prior written consent of ChemTAG AS Oil systems and sources of pollution from ship operation Schnitler, 1995

16. © ChemTAG AS Proprietary Information All Rights Reserved No part of this publication may be reproduced or transmitted in any form or by any means, including photocopying and recording without prior written consent of ChemTAG AS Estimates of oil annually entering the marine environment Shipping Only SCOURCE EMISSION EMISSION 1997 (tonnes/yr) (%) Bilge and Fuel Oil - Machinery Space Bilges 64 40011.3 - Fuel Oil Sludge186 80032.9 - Oil Ballast from Fuel Oil Tanks 1 400 0.2 Subtotal252 60044.4 Operational Discharge of Oil Cargo from Tankers158 60027,9 Accidental Spillage121 00021.2 Marine Terminals (eg. Bunker Operations) 30 000 5.3 Dry Docking 4 000 0.7 Scrapping of Ships 2 600 0.5 Grand Total568 800 100

17. © ChemTAG AS Proprietary Information All Rights Reserved No part of this publication may be reproduced or transmitted in any form or by any means, including photocopying and recording without prior written consent of ChemTAG AS Oil Transportation Refinery Production Product Tankers Shore terminal/ Bunker barge Land Transport Delivery Sludge Bunker consumption DN Vfk Bunker sample

18. © ChemTAG AS Proprietary Information All Rights Reserved No part of this publication may be reproduced or transmitted in any form or by any means, including photocopying and recording without prior written consent of ChemTAG AS ENV. POLLUTION - Voluntary market - Mandatory market THEFT AND LOSS - Quantity control - Insurance - Legal matters BRAND NAME PROTECTION / SAFETY AND RELIABILITY - Producer - Transporter /safety of operation VERIFICATIONS OF SAMPLES - Quality control - Contamination APPLICATION AREAS

19. © ChemTAG AS Proprietary Information All Rights Reserved No part of this publication may be reproduced or transmitted in any form or by any means, including photocopying and recording without prior written consent of ChemTAG AS Marketing and Sales Code Bank and Translation System Consultancy Services (e.g. Expert Witnessing) Tag Design Sample Taking Laboratory Analysis Report and Certificate Synthesis of Tags Kit Formulation Application Kit Form. Application Reference Sampling Verification of Ref. Sample Transportation R&D QA System The Service Value Chain

20. © ChemTAG AS Proprietary Information All Rights Reserved No part of this publication may be reproduced or transmitted in any form or by any means, including photocopying and recording without prior written consent of ChemTAG AS

21. © ChemTAG AS Proprietary Information All Rights Reserved No part of this publication may be reproduced or transmitted in any form or by any means, including photocopying and recording without prior written consent of ChemTAG AS INTERTANKO* Very positive to system tracing illegal discharges at sea Pressing for mandatory international IMO-system Proposing “one ship one fingerprint” direct link to IMO number System must be absolute reliable Prefers DNA-technology Final assessment when concrete proposal available * Lloyds List December 14th 1999

22. © ChemTAG AS Proprietary Information All Rights Reserved No part of this publication may be reproduced or transmitted in any form or by any means, including photocopying and recording without prior written consent of ChemTAG AS Oil Spills and US Criminal Charges 1990: - 80% of criminal charges against companies - considered as operational costs 2000: - 75% of criminal charges against individuals Affecting individuals willingness of co-operation with authorities (EPA,DOS) Altering companies internal investigations “policy” Scope of investigations should: - assess company liability - protect employees rights (knowingly violated laws or acted in good faith) Improving self-policing

23. © ChemTAG AS Proprietary Information All Rights Reserved No part of this publication may be reproduced or transmitted in any form or by any means, including photocopying and recording without prior written consent of ChemTAG AS Why oil tagging in the shipping industry? Protection from incorrect allegations (spills, discharges, etc) Documentation of theft, loss and tampering (bunker and cargo) Preventive effects (illegal discharges, theft, loss) Improved documentation of bunker deliveries and quality Strengthen industry reputation Reduced insurance fees in the long run (?)