Energy efficiency demonstration in manufacturing industry

1. EFENIS 296003 Energy efficiency demonstration in manufacturing industry Energy–2011-8-1 Bayer Technology Services GmbH (BAY) Manchester, 3 August 2012

2. Bayer Technology Services Company Profile for EFENIS • 2012-08-03

3. Bayer Technology Services – a Bayer Subsidiary Holding company Group Management Board Bayer AG Corporate Center Business areas Service areas Bayer HealthCare Bayer Business Services Bayer CropScience Bayer Technology Services Bayer MaterialScience Currenta • BTS Company Profile - EFENIS • 03. Aug 2012

4. Bayer Technology Services – A Leading Technology Company • Technology solutions, services, know-how – our core competencies for your success. • Competent service partner for value-generating, holistic solutions along the entire life cycle of chemical/pharmaceutical products, processes and plants – we initiate, implement and support technological innovations over the long term from development through engineering and construction to process optimization. Complete technology packages go beyond our spectrum of services. Technology Development Project Management & Engineering Operation Support & Safety • BTS Company Profile - EFENIS • 03. Aug 2012

5. Bayer Technology Services –Full Year 2011 Employees2,700* Full Year SalesEUR 460 million Global network20 offices in 10 countries HeadquarterLeverkusen, Germany *as permanent orfixed-term contracts, in FTE • BTS Company Profile - EFENIS • 03. Aug 2012

6. Bayer Technology Services – Organization Bayer Technology Services BTS Americas (BTSA) Project Mgt. & Engineering(PME) Operation Support & Safety (OSS) Technology Development (TD) Customer & ProductMgt. (CPM) … … … … … … Enabling Technologies Process Design & Opt. BTS Asia (Asia) Business Planning & Support (BPS) Upstream Processes Downstream Processes Human Resources (HR) • Division Technology Development • Staff 330 (ca. 220 scientific) • 7 units • 2 subsidiaries • 1 countryorganization • Unit Process Design & Optimization • Staff: • 35 scientificstaff • mostlyChemEng • 4 groups (Customer oriented) Operations Technology & Innovation Mktg of Services & Portfoliomgt. Key Experts BTS Benelux EhrfeldMikrotechnik BTS GmbH Invite • BTS Company Profile - EFENIS • 03. Aug 2012

7. Technology Development –Portfolio Product-by-Technology Customized Analytical Solutions Chemical & Polymer Processes Optimization & development of production processes and future innovative manufacturing concepts. Conceptual and technological product design and development from a strongly interdisciplinary perspective. Screening concepts and systems inLife Science R&D and process control. Automated, miniaturized assay, fluorescence imaging. Integrated protein analytics. • Computational Biology • Technology Consulting & Public Funding • Biotechnological Processes Development, scale-up, transfer, optimization and implementation of Biotechnological Processes. Support of R&D processes in life science companies by modeling & simulation. Centre of expertise for technology evaluation, strategic consulting and acquisition of public research subsidies. • BTS Company Profile - EFENIS • 03. Aug 2012

8. Process Design & Optimization for chemicals, polymers and active ingredient production • Wedevelopnewprocesstechnology & entireprocessesforBayer Subgroups and selected external partners by… • integrating broad BTS expertise e.g. by our structured conceptual design brainstorming approach • fast and realistic evaluation of process variants (CDKOS) • management of cross-functional process initiatives. • We utilize and maintain a unique network with process & unit operations experts across TD ensuring a holistic process engineering approach • We optimize existing plants and processes in close cooperation with Bayer Subgroups and selected external partners comprising… • Increase / adapt product quality • Increase plant availability & capacity (de-bottle-necking) • Energy Efficiency Management Systems • We are the center of expertise for advanced & in-depth process modeling at Bayer and ensure transfer latest modeling developments Process Design & Optimization Process Analysis Chemicals & Polymers Conceptual Design Chemicals & Polymers Crop Protection & Specialties Healthcare & Biotechnology • BTS Company Profile - EFENIS • 03. Aug 2012

9. Sustainableenergyefficiencyis a keytopicfor BTS: Bayer Climate Check & STRUCTese • Bayer Climate Check involves two elements: • Climate Footprint® (carbon footprint) to assess the climate impact of products • Energy Efficiency Check to identify measures for energy & greenhouse gas emission reduction • Results based on finalized 160 plants & buildings: energy savings potential 5…30 % • Several Bayer-external customers • The Energy Efficiency Management program STRUCTese® enables continuous and sustainable improvement throughout the organization • Central element is the novel energy loss cascade to measure & visualize energy efficiency Results: • Implementation finalized at > 45 plants at BMS • Significant reductions realized • Key contribution to Bayer’s specific CO2 emissions reduction target by 35% (20052020) • BTS Company Profile - EFENIS • 03. Aug 2012

10. Bayer Technology Services‘ Interest in EFENIS • Status Quo within Bayer • Global energyefficiencyimprovementprogramscompleted (2007…2012) • Industryleadingenergyefficiencymanagementsystem (STRUCTese®) developedandimplementedgloballyfor Bayer MaterialScience • So farwithmainfocus on efficiencyimprovementsatplant/trainlevel • Next steps (supportedby EFENIS) • Test advanced total sitemethodologyfor a real integratedproductionsite • Evaluate „future“ State-of-the-Art total-site optimizationmethodology • Conceptual guidelines for site utility systems design and operation masterplanningofnewintegratedproductionsites. • Technology extension for heat recovery for total site integration • Site energyoptimizationwithuncertaintydata • BTS Company Profile - EFENIS • 03. Aug 2012

11. Bayer Technology Services‘ Role in EFENIS • BTS will contributeby… • Demonstration & Evaluation oftheadvanced total siteanalysismethodologyfor a pilotsite • Development of an IP protection, resultsexploitation & disseminationconcept • Providing feedback on themethodologydevelopmentfrom a chemicalindustryperspective • BTS Company Profile - EFENIS • 03. Aug 2012

12. Demonstration Decision-supporting Methodology WP1 Total site integration and optimisation WP5: Chemicals WP6: Oil Refinery WP7: Coal-to-Chemicals WP2 Total Site carbon management WP4 Integration with CHP and distr.heating WP8: CHP and Distr. Heating WP3 Total Site waste heat recovery with intensified heat transfer Enabling Technologies WP9 Technology transfer WP10 Project Management Work Packages with BAY coordination/participation • BTS Company Profile - EFENIS • 03. Aug 2012

13. Work Packages with BAY coordination/participation • BTS Company Profile - EFENIS • 03. Aug 2012

14. Thank you! • BTS Company Profile - EFENIS • 03. Aug 2012

15. Global Network & Local Offices Leverkusen (global headquarters)Bergkamen, Berlin, Dormagen, Krefeld, Wuppertal, Wendelsheim Moscow Mexico-City Shanghai Beijing Pittsburgh Berkeley Antwerp Baytown Mumbai New Martinsville Belford Roxo Singapore Dubai • BTS Company Profile - EFENIS • 03. Aug 2012