adnan ezzarhouni 123123

Safety, Excellence, Innovation, Teamwork, Transparency 3rd of December, 2012. Rotterdam

7th Annual LNG Tech Global Summit Opportunities in Capex Saving For Onshore LNG

Storage Tanks

This document contains information resulting from testing, experience and know-how of GTT, which are protected under the legal regime of undisclosed information and trade

secret (notably TRIPS Art. 39) and under Copyright law. This document is strictly confidential and the exclusive property of GTT. It cannot be copied, used, modified, adapted,

disseminated, published or communicated, in whole or in part, by any means, for any purpose, without express prior written authorization of GTT. Any violation of this clause

may give rise to civil or criminal liability - © GTT, 2010-2011

Adnan Ezzarhouni Business Development Deputy Manager


Brief introduction of GTT

Conventional Nickel-tank type Technologies: Typical

features and Technical challenges

Different approach of increasing the capacity

Key success factors of the Membrane Full Integrity System

Large scale configuration : One Ultra Large scale in place of

two conventional capacities

Small scale configuration : optimizing the storage capacity

Agenda


An engineering company with more than 50 years of experience in the design of the Membrane Cargo Containment Systems

Independent company with strong shareholders

A 370 people company constantly working on on-going projects and new developments, aiming at proposing technologies for the development of the LNG market:

NO96 and MarkIII are the leading systems for LNGCs

and offshore units

GST system for on-shore tanks

PLUTO II subsea cryogenic pipeline

GTT in brief










Agenda


Several configurations can be envisioned

Membrane tanks and 9%Ni are the safest designs

Above ground is the most economical configuration

Typical configurations

Above-ground Semi-buried Inground Cryogenic

cavern

Single

containment Double

containment

9%Ni

Full Containment

Membrane

Full Integrity

Largest footprint Easiest and fastest to built

In case of failure, LNG is contained by a dik

In case of failure, LNG is contained by a bund wall

Mostly used nowadays

In case of failure, both LNG and NG are contained by the concrete walls

Most compact & economical design

In case of failure, both LNG and NG are contained by the concrete walls

Full Integrity storage types (safest designs) Non-Full Integrity storage types

Land storage tank options


Single Containment

Large tank spacing

Greater safety distances to public

Larger site area required

Cheaper design but very difficult to get approval by local authorities as safer design are available


Double Containment

Closer tank spacing

In case of failure, LNG is contained by a bund wall

Bund wall much closer to primary container

Not cost advantage & less safer than Full integrity systems (9%Ni & Membrane)


9%Ni Full Containment

Full Integrity system :No bund wall required

In case of failure, both LNG and NG are contained by the concrete walls (safest design)

Mostly used nowadays


Membrane Full Integrity

Full Integrity system :No bund wall required

In case of failure, both LNG and NG are contained by the concrete walls (safest design)

Very popular for inground and high seismic areas.



Membrane Full Integrity

Safest designs: What are the technical challenges?

Tank size is limited by thickness of 9% Ni steel plate

Not well adapted for harsh seismic environment

Not adapted for fast track solution

Room for innovation is very limited; the technology

has reached its maturity phase

No limitation of capacity

Well adapted for harsh seismic environment

Significant feedback from LNG tanks and Huge feedback from Membrane LNG carrier in more severe conditions

Cost & Schedule saver

No technical challenges for Membrane ???

So why no Membrane tanks have been recently built?? Answer at the end of the presentation










Agenda


What should be the tank proper capacity?

Facts: Conventional LNG terminals are considering 160K LNG Tanks capacity This is suitable for 147K LNG carriers.

But LNG carriers size is increasing:

New range of conventional LNG carriers: between 155K to 170K

31 LNGC of Qflex type: (210K-217K)

14 LNGC of Qmax type: 266K

WHY NOT INCREASING THE SIZE OF LNG STORAGE TANKS?

2 Q-Max and 2 Q-Flex vessels






Main breakthrough advantages of the Membrane Full

Integrity System

Big scale configuration : One Ultra Large scale in place of


Small scale configuration : Storing optimization

Agenda


Types of containment systems for LNG storage as per EN 14620:

Highest safety tank type

MEMBRANE Full Integrity AND 9%Ni Full Containment types ARE EQUIVALENT

in terms of SAFETY

according to EN 1473 Std, EN 14620 Std, comparative Quantitative Risk Assessments, etc…


GST® Membrane Full Integrity

GST® Membrane : A Safe Concept


The structural, thermal and tightness functions are

separated

Individual testing & Optimization of each function

Limits the risk of a simultaneous failure: high safety level

Tightness function :

• Stainless steel membrane

• Carbon steel liner

• Secondary barrier

Thermal function :

• Insulating panels

• Glass wool on suspended deck

Structural function :

Concrete outer tank

SEPARATION OF THE MAIN FUNCTIONS

GST® Membrane : A Reliable Concept


Gravity Base Structure (GBS) CRYOGENIC CAVERN

1 prototype

ABOVE GROUND TANK

(14 in-service & 2 under construction)

IN-GROUND TANK

(19 in-service)

GST® Membrane : A Very Flexible Technology


Ease of Tank Design with GST® Membrane

Tank Design is optimized with this patented innovative arrangement.

With only 2 differently shape elements, 95% of the tank’s surface can be covered.

Membrane is suitable to harsh seismic conditions (no need of complicated anchors:

Cost & construction schedule savings)

Membrane is a very flexible design: no theoretical limit to tank capacity.

Triangular element

Top view of the tank bottom

Rectangular element


• Materials are easily available with several suppliers in Europe and Asia.

• With a standardized production, membrane allows significant procurement cost savings.

• Membrane allows to have a faster production time: around 3 weeks for the main components (based on a typical 160K).

• Most of the components of the membrane technology can be locally produced.

Ease of Procurement with GST® Membrane


With membrane, almost all components are prefabricated:

• Limited operations on site.

• 40% less welding time compared to 9% Ni.

• Light handling equipment (no crane inside the tank).

• High ratio of Local Workmanship

At least 3 to 4 months saving compared to conventional 9%Ni tanks

Ease of Construction with GST® Membrane


Total 9%Ni Total GST® Quantity saved

Foot print ≈33,500m² ≈32,500m² ≈1000m²

Insulation surface ≈60,000m² ≈60,000m² -

Dead Stock ≈39,000m³ ≈39,000m³ -

Direct labor hours ≈1,400,000h ≈1,100,000h ≈300,000h

Total 9%Ni Total GST® Quantity saved

Foot print ≈33,500m² ≈23,500m² ≈10,000m²

Insulation surface ≈60,000m² ≈50,000m² ≈10,000m²

Dead Stock ≈39,000m³ ≈29,000m³ ≈10,000m³

Direct Labor hours ≈1,400,000h ≈900,000h ≈500,000h

3x160,000m³ 9%Ni type 3x160,000m³ GST® type Vs

GST®:An Environmental Friendly Solution


Advantages sum-up

Capacity No theoretical limit of capacity Significant higher net volume for given dimensions

Ease of Design

95% of components are standard Less than 250T of stainless steel plates Better adapted to harsh seismic conditions B.O.R can be adapted to client specification

Ease of Procurement

Not Nickel dependant compared to 9%Ni Economy of Scale : Same suppliers than Membrane LNG carrier market Only 3 weeks production for a conventional tank High ratio of prefabrication

Ease of Construction

Simpler concrete construction 80% automatic welding and 40% less welding time compared to 9%Ni Construction is favorable for local workmanship At least 3 months saved on the erection schedule Light handling equipments

Ease of Operation & Maintenance

Almost No restrictions on cooling down rate (>15°C/h) Faster decommissioning if necessary No maintenance

Cost Between 10% and 35% of the total cost of the tank saved compared to 9%Ni Less dependant to Nickel rate and stocks limitation than 9%Ni type Competition between Membrane EPC contractors are now open










Agenda


Increasing the capacity : One in place of two

12 x 160k 9%Ni

Full Containment

Vs 6 x 320k GST®

Full Integrity

12 x 160K 9%Ni FC

6 x 320K GST® FI Saving

Footprint 231 000 m² 134 000 m² 97 000 m²

(42%)

Dead stocks

144 000 m3 93 000 m3 51 000 m3

(35%)

Plots of repeating 12 times 160k

tanks is a wasteful concept!










Agenda


Better arrangement of the containment

A higher net volume (in average 10% more)

≈1m ≈0.3m

≈1.5m ≈3m

1400mm diameter

gain

500mm height gain

contraction

200mm diameter

gain for a 80m

diameter tank

≈0.8m ≈0.3m

1500mm height

gain

Total saving :

1.6m on diameter

2m on height

9% Ni Full Containment GST® Membrane Full Integrity



Volume saving repartition

• Extra LNG volume is between 10% to more than 35% • Significant capacity difference for small & mid-scale tanks



Basis of design : Tank dimensions (40K)

Cost effective solution easy to build everywhere

•44m Tank diameter

•36m Overall height

•Insulation th.350mmBoil off =0.075% per day

•Sump well configuration only 500m3 dead stock

•Increased prefabrication : only 4 months for

Containment system installation


Saipem

Bouygues Offshore

Technigaz

Mark TGZ

Gaztransport

NO

Bouygues Offshore GTT

Owned all the patents

(ships and land storage)

Exploited ship patents :

NO, Mark & CS technologies

SN Technigaz

Exploited land storage patent:

TGZ technology

Exclusive

licensee

Standard and non-exclusive License Agreements

End 2006

Unattractive previous Business model

Development of

GST® Technology

End 2009

1994

GTT re-acquires patent rights for land storage

Any EPC contractors

and other companies interested

Tim

e s

cale

2002

Why no recent Membrane tanks have been built?


EPC 1 :

ex:

BEFORE 2009…

Now:

Official EPC Tender:

• 2 x 160,000m³ LNG Tank

• 9%Ni FC

EPC 2 :

• 9%Ni FC or Membrane FI

Official EPC Tender:

• 2 x 160,000m³ LNG Tank

• 9%Ni FC or Membrane FI

• ……

GST® License

EPC 3 :

EPC 1 :

ex:

EPC 2 : EPC 3 :

9%Ni Only 9%Ni Only

No competition for Membrane…

9%Ni and Membrane

9%Ni and Membrane 9%Ni and Membrane

EPC 4 :

Membrane only

Definitely more competiton…

EPC 5 :

9%Ni Only

New competition environment!


Conventional Nickel-Tank types have reach a mature level

Breakthrough technologies such as membrane can bring competitiveness in cost & schedule

Membrane Full Integrity is addressed on Latest international Std and considered as one of the safest designs

Membrane can be easily considered for small & big scales

GST® Membrane Full Integrity is available as a Standard & Non-exclusive License since 2009

This year, The number of EPC licensees have been doubled, from 6 to 12.

GST® Membrane Full Integrity could offer 10%-35% cost saving and 3~6 months schedule saving.

Conclusion

Let’s challenge the Membrane Full Integrity system!


Thank You for your

Attention

[email protected]

+33 6 19 40 33 49

adnan ezzarhouni 123123

Documents

containment membrane

brief safety

storage capacity agenda

capacity key success

typical features

knowhow of gtt

envisioned membrane

cryogenic pipeline gtt