LahmeyerLahmeyer International as Advisor forInternational as Advisor forBiofuelsBiofuels -- Biogas Biogas -- BiomassBiomass

Bernhard WunderTeamleader and Project Manager Biofuels – Biogas – BiomassRenewable Energies Department

Syracuse, USA, 24th June 2008

4th German American Renewable Energy Conference -Biomass: Power, Heat, and Fuels

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LI Fields of Activity & Scope of Services2

Project Highlights Biomass: 4 Examples4

Biomass: Fields of Activity & Scope of Services3

Business Development5

Introduction & Corporate Information1

AGENDA

Q & A6

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Lahmeyer International: Company Main Data 20061

Company Lahmeyer International GmbH (LI)Consulting Engineers

Foundation 1966

Headquarter Bad Vilbel, Germany

Services Technical and economic planning and consulting services

Fields of Activity - Energy- Hydropower and Water Resources- Transportation

LI Group 6 Associated Companies

Employees 2006 LI: 567LI Group: 863

Turnover 2006 LI: 94 million Euro LI Group: 114 million Euro

Representatives in 50 Countries

Projects in 140 Countries

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LI Fields of Activity and Scope of Services - Overview2

Execu t i on

Energy

Hydro-power and Water Resources

Transportation

tSud

ies laning

P

n

ExecutionPlanning

ApprovalPlanning

Conceptual Planning

FeasibilityStudiesMarketStudies andAnalyses

Contract andInvoicing Management

Fiduciary ProjectExecution

Quality Assurance

Tendering and Contract Awarding

ProjectManagement

Construction andErection

Supervision

Commission-ing Super-vision

Financing Consulting

Operationand Maintenance

� Wide-ranging expertise� Many years

of project experience� Interdisciplinary

Competence

� World-wide presence� World-wide

project experience

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LI Major Fields of Business Activities2

• TransportationInfrastructure

- Thermal Power Plants (coal, gas, diesel, combined-cycle, etc.)- Sea Water Desalination Plants and Power & Water Co-generation Plants- Private Power Projects (IPP)- Rehabilitation Projects- O&M Management- Power Transmission & Distribution, Rural Electrification- Renewable Energies- Economics: Market Studies, Project Finance Advisory Services,

Restructuring and Privatisation, Emission Trading, Energy Planning, Energy Efficiency

- Utility Management Support Services- Electrical Engineering for Power Plants, Industrial Plants and

Transportation Infrastructure

- Hydro power planning- Water and land development- Geology, geotechnical engineering and dams- Hydro power and hydraulic engineering design- Water supply and waste water management- Measurements and geoinformatics

- Railway and local traffic systems- Tunnels and bridges

• Hydropower andWater Resources

• Energy

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LI Clients and related Scope of Services2

• Supervision of subcontractor’s• Procurement Management• Design Review• Workshop inspection

• Project Management• Design• Tender Preparation• Bid Evaluation • Contracting• Project Implementation• Design Approval• Factory Acceptance Tests• Supervision of Erection and

Commissioning• Operation and Maintenance• Owner’s Engineer• Bankable Feasibility Study• Market Studies and Analyses• Project Finance Advisory

Services• Tariff and Pricing Studies

Financier

Contractor

Owner, Investor • Banker’s Engineer• Studies e.g. Feasibility• Due Diligence Assessments• Project Monitoring

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World-wide Activities in 140 countries, Renewable Energy Projects in 30 countries2

Renewable Energy Projects

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Renewable Energies: Major Fields and Experiences2

Solid Biomass & Waste

BiofuelsBiogas

Hybrid systemsRural ElectrificationResource Investigation

Windtechnology

Photovoltaic

Solarthermal

Geothermal

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Biomass: Different Ways of Usage and LI Fields of Activity3

BiofuelsBiogas

BtLLandfill Gas

Sewage Gas

Organic Waste Gas

Gasification

Bioethanol

Crude Plant Oil

BiodieselDigester Gas

Combustion

Agro / ForestryIndustry

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Services in Biomass Technologies3

� Resources evaluation:� Biomass resource potential analysis

� Feedstock market studies

� Sustainable firewood potential estimation

� Renewable potential analysis

� Infrastructure assessment

� Site selection

� Studies for Projects:� Pre-feasibility studies, feasibility studies,

due diligence studies, economic analysis

� Environmental Impact Assessments

� Planning and Engineering:� Technology Consultancy

� Conceptual design & layout

� Project Implementation:� Project monitoring on behalf of banks and

investors (Lender’s Engineer, Owner’s Engineer)

� Tender Procedures

� EPC and O&M contract preparation

� Factory inspections, acceptance tests

� Erection, commissioning supervision

� Technical assistance O&M

� Cross Topics:� Rural electrification

� Renewable energy master plans

� Technical support emission trading and certification

� Life cycle analysis of renewable energy projects

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Project Highlights Biomass4

Country Project Client Year

Germany Portfolio of six Biomass CHP Real I.S. / Bayern LB 2007

Germany Biogas Park and Fertilizer Plant Penkun Doric Asset Finance& 2005 - 2006

- Due Diligence Verwaltungs GmbH

- 2. Due Diligence after Start Up NAWARO Engineering 2007

Belgium Technical Due Dilgence Biogas CHP Plant L’Oréal Libramont / Paris 2007

L’Oréal Libramont

Germany Biodiesel Plant Owner‘s Engineering Service BioSpirit 2005 - 2009

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Portfolio of six Biomass CHP4.1

This project involves six biomass combined heat and power plants (biomass-CHP), which should be built largely at the same time only dependent on the provision of the building lots. The basic concept is the same for all plants.

The fuel used is wood containing cuttings from greens, clearing wood, sawmill residues, etc.

The output will be – adjusted to the demand of each site –electricity (4.2 to 5.4 MWel) and heat (0 – 10 MWth) to site-specific conditions.

The feed-in-tariff will be accordant to the EEG (Renewable Energy Sources Act). Depending on the fuel the NaWaRo bonus can be used.

As a subsidiary company of the Bayern LB, Real I.S. organises and realises the real estate asset management of such industry developments.

Lahmeyer International was assigned by Real I.S. to review the technical basic concept as well as the site-specific evaluation regarding financial risks within a Due Diligence.

Client: Real I.S. / Bayern LBMain Data (per plant):� Thermal output 21 MWth� Steam parameters 62 bar, 460°C� Steam production 21,7 t/h� Max. electric power 5,4 MWelExecution: 2007Services:- Due Diligence; contains inter alia:

� Technical concept on the basis of EPC-contract / technical specifications

� Fuel supply concept & contracted fuel properties� Approval documents� Site-specific factors� Technical input parameters of the cash flow model

- Lenders Engineering service during realisation phase

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Biogas Park and Fertilizer Plant Penkun Due Diligence4.2

� Logistics for feedstock and products� Valorization of produced liquid and pelleted Fertilizer� Overall Process and Equipment for biogas plant and

fertilizer plant including multistage vacuum evaporation � Risks of Realisation related to Location (groundwater,

noise, air) and Time Schedule

Related to the “Renewable Energy Law” in Germany, Doric Asset Finance is interested in undertaking the realisation of a Biogas plant with a modern, trend-setting concept: combination of 40 individual biogas plants with common facilities such as sterilisation of manure, tanks for digested outflow, and in particular, a plant for the production of marketable fertiliser.

The biogas produced is used to generate power, which is fed into the grid. The excess heat produced is used in the fertiliser plant.

Due to economies of scale, this ‘farm concept’ of biogas plants provides for low specific investment, professional operation & maintenance and material logistics.

The grouping of numerous biogas plants enables the incorporation of a fertilizer plant of economic scale. The fertilizer plant itself is an innovative combination of proven technologies.

Client: Doric Asset Finance & Verwaltungs GmbH, GermanyMain Data:� Farm of 40 biogas plants� 400,000 t/a feedstock: energy plants, manure, grain� Installed capacity: in total 20 MWel

40 x Jenbacher J312 GS / 526 kWel� Production of 29,000 t/a pelleted fertilizer and 52,000 t/a liquid fertilizer via multistage vacuum evaporation

� Total Investment around 74 Mio EuroExecution: 2005 - 2006Services:Assessment of technical and economical input of economic analysis: � Feedstock Supply: manure and energy plants

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Technical Due Diligence Biogas Plant L’Oréal Libramont - Belgium4.3

� Comparison with other renewable energy supply options; � Environmental balance;� Presentation to L'Oréal management in Paris

A consortium named BIOENERGIE LIBRAMONT (BL) intended to develop a biogas production unit in the vicinity of L’Oréal’s facility in Libramont, Belgium, with the objective of supplying this large manufacture in biogas.

The installation would be composed of 4 digesters fed by about 50.000 tons/year of energy crop and food industry wastes and 3 1-MW gas engines. One engine would be located on BL’s ground for internal consumption and the injection of power on the grid and the two others would be installed at L’Oréal facilities. BL would be in complete charge of the installation and O&M of all installations.

Thanks to the two engines located at L’Oréal facilities, BL would be able to supply the cosmetics giant with power and heat, respectively 100% and 85% of internal consumption.

In order to make sure that the installations are well designed and sized and that they do not present any risk for its facilities, L’Oréal assigned Lahmeyer International to carry out a technical due diligence. This study covered the technical aspects of the installation but also the supply of feedstock, the use of organic residues and the evaluation of the soundness of the biogas technology itself compared to other cogeneration techniques.

Client: L’Oréal Libramont - Belgium, for Headquarter L’Oréal ParisMain Data:� 4 digesters – 50,000 t/a feedstock: energy plants, manure, grain� 3 gas engines (1 MW each, Jenbacher)� Supply of 100% power and 85% heat consumed

by L’Oreal’s production facilities� Total Investment of about 10 millions EuroExecution: 2007Services:�Review of technology and technical concept; � Review of feedstock supply;� Heat and power generation prognosis and review of supply

contracts;� Evaluation of construction schedule;� Evaluation of the soundness of the use of fermentation residues

as fertilizer; � Evaluation of the risks for L’Oréal, on technical and

communication aspects;

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Biodiesel Plant Owner‘s Engineering Service4.4

� Optimisation of overall process and integration into existingchemical park infrastructure

� Supervision of construction and installation� Witness of commissioning� Preparation of O&M documents � Preparing technical documentation

The Directive 2003/30/EC of the European Commission on the promotion of the use of biofuels or other renewable fuels for transport sets as reference value a 5,75% market share in 2010. This framework in combination with the mineral oil tax exemption for biodiesel in Germany created considerable incentives to built biodiesel production plants.

The client, a German company, develops a biodiesel plant with an annual production capacity of 300,000 t/a, which will be one of the biggest plants worldwide.

The final Biodiesel will meet at least the standard EN 14214 or better than that.

The client has assigned Lahmeyer International GmbH to be the Owner’s Engineer during all phases of the project realisation from planning, construction up to operation and transfer after guaranty period of the production plant.

Client: Confidential, GermanyMain Data:� Feedstock: vegetable oils like rape seed oil, soya oil� 300,000 t/a biodiesel output capacity� Incl. tank farm� Material logistics by ship, rail and roadExecution: 2005 - ongoingServices:Project support to the client during: � Project management� Assessment of offers from Engineering companies� Assistance in meetings with engineering company up to contract

negotiations

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Business Development5

Energy economization and generation, especially in the fields ofrenewable technologies

Energy consulting / engineering / construction / project management

I Experience with local regulations & procedures, energy laws, local contacts, local project team

Depth and breadth of expertise, range of technologies, access tonetwork of investors, accepted by international banks and financiers

• Projects

• Local Partners

• Partner with Lahmeyer Abroad

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Q & A6

Thank you for your attention !

Lahmeyer International GmbHFriedberger Str. 173D-61118 Bad VilbelGermanyInternet: www.lahmeyer.de

Bernhard WunderTeam Leader and Project Manager Biofuels – Biogas – Biomass

Renewable Energies DepartmentPhone: +49 (0) 6101 55 -1742

Fax: +49 (0) 6101 55 -2101bernhard.wunder@lahmeyer.de

For further information please contact: Andrew GalbreathWashington Representative

Phone: 202-833-3439Fax: 202-833-9442

agalbreath@schottlegal.com