State of the Art Combustion Equipment for Emissions and Energy Reduction November 2009

Honeywell Proprietary 2 Callidus.com Emissions is the primary driver for combustion equipment. Energy efficiency is a secondary but growing driver Impact –Burners: Emissions and Energy –Flares: Emissions and Energy –Thermal oxidizers: Emissions and Energy –Vapor control systems: Emissions –NOx and CO catalyst systems: Emissions –Services: Emissions and Energy BurnersFlares Thermal Oxidizers Field Service & Parts Vapor Control Systems NOx & CO Catalyst Systems Combustion & Emission

Honeywell Proprietary 3 Callidus.com Requirements in addition to Technology Uncompromising Product/System Safety Proven Reliability Operational Performance (Guarantee) –Emissions reduction Ease of Product Operation

Honeywell Proprietary 4 Callidus.com Callidus Market Segments Served Power Plants SCR for simple cycle power generation SCR for HRSG SCR for process heater RefineriesPetrochemical Plants Others (Flares) Terminals LNG storage Carbon black Steel production Bio-fuels Exploration & Production Ethylene production Fertilizer production Hydrogen production Flares Thermal oxidizers Refinery process heaters Reforming furnaces Cracking furnaces Coking furnaces Flares Thermal oxidizers

Honeywell Proprietary 5 Callidus.com Advanced Process Heater Burners Advanced Burner Design –Future transition in India from oil firing to gas firing –Improved efficiency: reduction in combustion air = less wasted heat and less fuel needed therefore improvement in efficiency and cost savings. –Reduced emissions footprint: reduction from 25% excess air to 15% excess air = 25% reduction in NOx emissions per burner

6 Callidus.com Regulations and Burner Emissions Improvements Oil firing 200 ppm

Honeywell Proprietary 7 Callidus.com Process Heater Burners Application Using advanced fuel air ratio controls and O 2 trimming, Callidus could potentially reduce the oxygen levels within the furnace, while maintaining the temperature and combustion efficiency The Callidus burner is designed to be stable over the entire operating range Assuming natural gas, a 1% reduction in oxygen should produce a 1.3% reduction in fuel gas needed Current Fuel gas requirement (Ton/Year) Annual savings from 1.3% reduction (USD) Payback Period UOP Reforming Furnace 176,620 (180 burners) $1,331, months *Note: Assuming fuel cost of 580USD/Ton, and annual operation of 8300 hr. Guaranteed 30 ppm NOx

Honeywell Proprietary 8 Callidus.com Flare Technology Emissions Improvements Increased smokeless capacity Pipe flare Upper steam flare Inner steam or Inner air flare Demountable Derrick Flare Multi-point ground flare

Honeywell Proprietary 9 Callidus.com Highlighting Totally Enclosed Ground Flares Totally Enclosed Ground Flares (TEGF) –No visible emissions during normal operations –Reduced radiation “signature” –Reduced noise level Non-Callidus flare smoking Callidus TEGF

Honeywell Proprietary 10 Callidus.com Flare Technology Energy Efficiency Improvements Flare Gas Recovery Unit (FGRU) –Add-on equipment –Allows capture of daily flaring rate –Captured flare gas used in refinery processes –Supports global gas flaring reduction efforts championed by World Bank Density Seals –Flare purge gas reduction equipment –Reduces amount gas needed to maintain safe flare operations FGRU Refinery Flare

Honeywell Proprietary 11 Callidus.com Petrochina Dushanzi Flare / Flare Gas Recovery System Recovery capacity2X1.35 Ton/hr EPC Total cost1,800,000 USD Flare Gas Recovered Per Year 1.35*0.6( ) =10,044 Tons Operation cost /Y350,000 USD Pay back (300USD/Ton) 9 months Flare Application Low utility consumption (steam, fuel gas, N2, Instrument Air) High combustion efficiency & smokeless capacity to meet emission standards

Honeywell Proprietary 12 Callidus.com Thermal Oxidizers Thermal Oxidizers are capable of achieving % destruction efficiency Air Pre-heaters allow for less fuel/assist gas to be used in the operation of the thermal oxidizer Attached waste heat boilers allow for the use of steam for applications around the facility or “across the fence” in a co-generation applications

Honeywell Proprietary 13 Callidus.com Callidus Incinerators Application Waste Gas for treatment Oxidizer vent gas, WAO, EO/EG WHB Cost$1,044,000 Steam production 2.0MPa(g) Normal: 15 Ton/hr Design: 58 Ton/hr Steam Quantity124,500 Ton/Yr Pay back Period ($22/Ton steam) 4.5 months Thermal Oxidizer (Waste Heat Boiler) Application

Honeywell Proprietary 14 Callidus.com Callidus Incinerators Application Questions?