Confidential. Not to be copied, distributed, or reproduced without prior approval. © 2017 Baker Hughes, a GE company, LLC - All rights reserved.

Technology solutions across the Geothermal Fullstream

BHGE, partner di tecnologie innovative per lo sviluppo geotermico dal pozzo alla produzione di energia elettrica

October 23, 2017

La GEOTERMIA: efficace risposta ai problemi energetici, ambientali e sociali

24 Ottobre 2017Auditorio FAST - Piazzale Morandi, 2 - Milano

Confidential. Not to be copied, distributed, or reproduced without prior approval.

~70,000+ employees

120 countries

The first and only fullstream company

+ =GE Oil & Gas

Since July 2017:

The Geothermal world cloud

Expected new installed capacity of

200 MW/yr in the next years

Available all year-longLCOE has reached grid parity

(from 40 to 120 $/MWh depending on the region) and is expected to

drop through 2050

Global geothermal power capacity by the end of 2016 is

12.7 GW - 0.3% of global electricity generation

Shift from Steam Turbines to ORC cycles

Deep and directional wells required for new capacities

Easy resoucres finished:Enhanced geothermal systems

Environmental, social and administrative barriers

Footprint required to produce the same power with solar PV is around 10 times

higher

RENEWABLE

CHALLENGING GROWING POTENTIAL

Modulable baseload capacity

Risky and capital-intensive:50% CAPEX during surface

explorations and drilling operations

From high enthalpies to

medium/low enthalpies

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October 23, 2017 4

Technology Solutions across the Fullstream

Power Island

• Steam Turbine & Generators• Expanders for ORC systems• Condensate & Re-injection Pumps • Air Cooled Condensers• Remote M&D

Power Delivery

• Primary Equipment• Power Sensing & Quality• Protection & Control• Automation• Remote M&D

Drilling

• Drill-bits• Cementing services• Completion systems• Fishing services• Chemical services

Well

• Submersible Pumps • Well Head Equipment• Logging Technology

Key enablers from the underground system to the power production

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October 23, 2017 5

Technology Solutions across the FullstreamBHGE a reliable geothermal partner

2007: Hybrid Plant (ST+ORC 58 MW) installed in Berlin, Salvador

2015: Full reinjection ORC Plant (5 MW) ordered at Castelnuovo, Italy

Since the 80’s Well Operations ServicesTuscany, Italy

1973: First Steam Turbine(132 MW) installed at The Geysers, California

2000: Dry Steam Turbines(180 MW) installed in Tuscany,

Italy

CENetic ESP(Increased Flow Rate 83%) installed in Reno, Nevada

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Drill Bits Quantec™ Force PDC

Kymera™ HybridVanguard™ bits (>288º C )

Motors X-treme, Performance

(to 160- 200 Cº )

Automated drilling systems

Auto-Trak™ X-treme(175 Cº)

Fluids PYRO-DRILL™ drilling

fluids (340 Cº )

MWD/LWD (150 C - 175 Cº )

Wireline NAUTILUS ULTRA™

XMAC F1 (232 Cº)

Coring HT™ core barrels and disposable steel inner

barrels (>163 Cº )

Cementing eXtreme set (312 Cº)

Underground systems- Drilling and evaluation

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Completion systems

Hydraulic fracturing/ stimulation

Planning, monitoring, evaluating

Wellbore intervention

ESPCENetic Geothermal Pump

(200 Cº)

Specialty Chemical Flow assurance control

Scale Control, O2 scavenger, corrosion inhibitors, biocide

Underground systems- Completion and production

Confidential. Not to be copied, distributed, or reproduced without prior approval.

October 23, 2017 8

Drilling Project Areas

Iceland

France /Germany

NicaraguaEl Salvador

Costa Rica

Italy

Hawaii

Nevada

California

Mexico

Denmark

Sweden

Chile

Azores

Kenya

Djibouti

Indonesia

Philippines

Australia

Japan

New Zealand

Canada

144 projects – 1,800+ wells

Confidential. Not to be copied, distributed, or reproduced without prior approval.

October 23, 2017 9

Thermodynamic cycle adaptation depending on resources conditions

Binary / Organic Rankine Cycle:

• Operate at lower water temperatures: 110-175 °C

• The organic compound with a low boiling point uses the heat from the hot water to boil

Direct dry Steam power plants

• High enthalpy vapour-dominated resources

• Highest efficiency among geothermal power plants

• Simple to operate• Relatively low capital costs

Single / dual flash power plants

• Most common type of geothermal power plants

• Medium to high enthalpy liquid-dominated resources

Topside Geothermal Solutions

Since 2012:78% of new installed capacity are Binary cycles

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October 23, 2017 10

Power Island - Steam Turbines

Year ST ModelPlant

Location

1998 GST MEXICO

2000 SGC4-23 ITALY

2000 SGC4-23 ITALY

2000 SGC4-26 ITALY

2000 SGC4-23 ITALY

2000 SGC4-23 ITALY

2001 SGC4-26 ITALY

2001 GST INDONESIA

2003 GST62 MEXICO

2003 GST62 MEXICO

2003 GST62 MEXICO

2003 GST62 MEXICO

2003 SGC4-26 ITALY

2004 SGDFC4-22EL

SALVADOR

2009 GST62 MEXICO

2009 GST62 MEXICO

2013 GST62 MEXICO

2015 GST55 INDONESIA

ReferencesCharacteristics

Power outputs from 5-50 MW

• Efficient: high performance steam path

• Simple: compact concept, integral bearing pedestrial

• Flexible: wide range of applications including API and industrial

• Scalable: multiple size (Back-pressure and condensing types)

• Tailored: modular single, double flow

• Cost effective: low maintenance thanks to anti-corrosion features and advanced moisture removal system

Confidential. Not to be copied, distributed, or reproduced without prior approval.

October 23, 2017 11

Power Island - ORC / TurboexpandersOther Tex References

YearPlant

LocationPlant type

1984 USA ORC

1987 USA ORC

1990 USA DIRECT STEAM

1990 USA ORC

1992 USA BYNARY – ORC

2000 USA DIRECT STEAM

2000 USA BYNARY – ORC

2004 ICELAND KALINA

2006 EL SALVADOR ORC

Characteristics

Power outputs from 5-50 MW

• Efficient: patented Inlet Guide Vanes to control the turboexpander gas flow, eliminating the presence of blow-by valves

• Dynamic Dry gas Seals to minimize buffer gas leakage

• Direct drive or external gearboxes with a common oil supply system

• Multiple services: including generator drive applications, compressor drive and dynos