Engineering Contractor’s Technology & Engineering ( Introduction of Chiyoda’s Performance )

1. Engineering Contractor’s Technology & Engineering( Introduction of Chiyoda’s Performance ) May, 2006

2. What is Engineering Contractor - Fact about Chiyoda Corporation - Field of Services - Major World Wide Network

3. 1. Establishment January 20, 1948 • 2. Name of President Nobuo Seki • 3. Number of Employees 5,622 (As of April 30, 2006, Global Basis) • 4. Capital ￥12.9 Billion (equivalent to US $150 Mil. ) • Contracts Awarded for FY2005￥804.2 Billion (Expected) (as of March,2006) (equivalent to US $ 9,407 Mil. ) • Head Office 2-12-1 Tsurumi-chuo Tsurumi-ku Yokohama, Japan • Koyasu Research Park 3-13 Moriya-cho Kanagawa-ku Yokohama, Japan • Associated Companies & 9 Subsidiary Companies in Japan andSubsidiaries 2 Engineering Satellite offices, 11 Subsidiaries, 10 Project offices and/or Liaison offices Overseas Fact about Chiyoda Corporation

4. Basic Concept • Market Research • etc. • Master Planning Approval By Client • Budget Approval Project Concept • Specification Approval • Drawing, Calculation Approval Master Planning • Basic, Operation, Logistics Concept • Market Research • Future Program • Feasibility Study etc. Basic Design • Site, Capacity • Determination • Basic Data • Master Schedule • Manning Schedule • Budget Estimation • Other Client’s Requirement etc. • Attending Progress Meeting • Inspection • Basic Design • Review of Equip. • Review of Material, Heat & Other Balance • Construction Cost Estimation • Budget Allocation etc. Detail Design • Attending Progress Meeting • Inspection • Basic Design Schedule • Specification for subcontracting • Quotation • Evaluation of Sub-Contractor • Detail Design etc. Procurement Construction • Procedure Approval • Procurement Detail Schedule • Vendor Selection • Purchase Order • Machine/Equip. Fabrication • Inspection etc. Commis-sioning • Operator Assignment • Construction Detail Schedule • Temporary Work • Notification to Authorities • Selection of Subcontractor • Subcontracting • Construction under • Quality, Safety, Cost, • Schedule Control • Inspection • Preparation for • Commissioning etc. Training • Start Operation • Power -In • Machine & Equip. • Start-Up • Pipe Flushing etc. Operation • Training of Owner’s Operator Maintenance • FINANCE ARRANGEMENT • Investor Research • Official Development Assistance • Export Credit Agency • Other Funds Research & Development for Applied Mechanics, Pollution Control Technology, etc. Option (if required by Client) By Chiyoda Field of Services

5. Major World Wide Network As of May, 2006 RUSSIA - Moscow Office - Sakhalin Office JAPAN - Chiyoda Corporation * Yokohama Head Office * Koyasu Research & Development Center THE NETHERLANDS - Hague Office CHINA - Beijing Office - Shanghai Representative Office U.S.A - Chiyoda International Corporation ITALY - Milan Representative Office SAUDI ARABIA - Chiyoda Petrostar Ltd. * Al-Khobar Office * Jeddah Head Office MYANMAR - Chiyoda & Public Works Co., Ltd. NIGERIA - Chiyoda Nigeria Limited * Abuja Office * Lagos Office • THAILAND • Chiyoda (Thailand) Limited • * Sriracha Office • * Bangkok Head Office QATAR - Chiyoda Middle East Headquarters - CMS & A • PHILIPPINES • Chiyoda Philippines • Corporation UAE - Abu Dhabi Office MALAYSIA - Chiyoda Malaysia Sdn. Bhd OMAN - Muscat Office (CFW & Co. LLC) IRAN - Tehran Office INDIA - L&T Chiyoda Ltd. INDONESIA - P.T. Chiyoda International, Indonesia - Jakarta Office SINGAPORE - Chiyoda Singapore (Pte) Ltd. - Chiyoda Asia Pacific (Pte) Ltd.

6. Records and Experience - EPC Achievement in Japan - EPC Achievement in Saudi Arabia - Technology Development

7. Showa Yokkaichi 105,000BPSD(1965) ShinNippon Oil 80,000BPSD (1966) Tonen General 60,000BPSD (1970) Seibu Oil 150,000BPSD(1970) ShinNippon Oil 100,000BPSD(1968) Kashima Oil 180,000BPSD(1971) Okinawa Sekiyu 100,000BPSD(1972) Nansei Sekiyu 78,000BPSD(1970) Shell Oil 100,000BPSD (1969) Taiyo Oil 70,000BPSD (1968) Toho Oil 40,000BPSD (1964) Fuji Oil 140,000BPSD (1970) Grass Roots Refinery in JapanPlanned, Designed & Constructed By Chiyoda

8. 2,500,000 2,000,000 WORLDWIDE 1,500,000 DESIGN CAPACITY, BPSD CHIYODA 1,000,000 24% 500,000 0 1973 1975 1977 1979 1981 1983 1985 1987 1989 1991 1997 1999 1963 1965 1967 1969 1971 1993 1995 Experiences in High Pressure Hydroprocessing

9. Resid HDS 35,000 BPSD CHEVRON OCR/RDS UNITIdemitsu Hokkaido

10. Riyadh Refinery 15,000 BPSD(1974) 100,000 BPSD(1981) Grass Roots Refinery Experiencein Saudi Arabia Al-Jubail (SASREF) 272,000 BPSD(1985) Petromin-Mobil Yanbu Refinery 263,000 BPSD(1984) Ras Tanura Refinery 250,000 BPSD(1986) Yanbu Refinery 170,000 BPSD(1983) Jeddah Refinery 12,000 BPSD(1967) 33,000 BPSD(1974)

11. Chiyoda‘s Grass Root Refinery Experience in the World Petroleum Refinery 55,000 BPSD (Esmeraldas /Ecuador) Lube Oil Blending Plant 250,000BBL/Y (Ningbo / China) No.8 Petroleum Refinery 232,000 BPSD (Bandar Abbas / Iran) North Refinery project 150,000 BPSD (Baiji /Iraq) Lube Oil Plant 100,000T/Y (Alexandria /Egypt) Melaka Refinery project Stage-1 100,000 BPSD (Melaka / Malaysia) • Gas Oil HDS6,000T/D LGO4,000T/D HGO • (Pulau-Ular / Singapore) • Petroleum Refinery • 80,000BPSD • (Pulau-Ayer / Singapore) Petroleum Refinery 100,000 BPSD (Kaduna / Nigeria)

12. CHIYODA‘S RECENT ACCOMPLISHMENTS IN SAUDI ARABIA

13. High Technology High Technology 2000 1990 CT-121 Technology Development ・Acetic Acid (Acetica Process) ★ ・ CO2 Reforming Catalyst and Process ★ ・ Ultra Deep Desulfuri- zation Catalyst (Titania) ★ ・ Fuel Gas Desulfuri- zation (CASOX) ★ Energy Crisis ・Computer Application Technology ★ - Advanced Control - Artificial Intelligence - Computer Integrated Manufacturing ・ Bis phenol A ★ Public Nuisance 1980 ・Coal Liquefaction ▲ ・Share Oil ▲ ・Biomass ▲ ・Fuel Cell ▲ ChiyodaResearch Park Economic Growth In Japan 1970 1960 1950 ・Flue Gas Desulfurization (CT-101 & 121) ★ ・Waste Water Treatment ★ ・Soil Improvement ★ ・ Asphalthenic Bottom Cracking (ABC) ★ ・Vinyl Chloride ● ・Dealkylation to Benzene (MHC process) ● ・Xylene Separation ● ・Thermal Cracking (Eureka process) ● ・Tetrahydrofran ● ・ Isoprene ● Preservation of Global Environment Incubation and development of ideas have made jointly with operation companies and Chiyoda. 1948 Ｅｓｔａｂｌｉｓｈｍｅｎｔ　ｏｆ　 Ｃｈｉｙｏｄａ　Ｃｏｒｐｏｒａｔｉｏｎ ●: Joint development with operation company / ★: Own Developed Technology by Chiyoda / ▲:Sponsored by the Government

14. Activities for the Future - Major on-going Projects - Reliability NO.1 as EPC Contractor - Looking for Market Demands

15. Major Overseas Ongoing Projects As of May, 2006 CHINA * Acetic Acid Plant(CMC/Guizhou Crystal Organic Chemical Co., Ltd.) IRAN * Ammonia/Urea Plant II (PIDMCO) SAUDI ARABIA * Ethylene Plant Debottlenecking (JUPC) SAKHALIN * Sakhalin LNG Project 2 Trains (Sakhalin Energy) QATAR * Qatargas 3&4 Train 6/7 (Qatargas 3&4) * RasGas (3) Train 6&7 (RasGas (3)) * Qatargas II Train 4&5 (Qatargas II) * RasGas II Train-5 (RasGas II)

16. Reliability NO.1 as EPC Contractor - Continuing Improvements by Lessons-Learnt - Advanced Engineering IT System - Critical Design Review by Sophisticated Technical Analysis - Seamless Activities for Smooth Plant S/U and Operation - Continued R&D Activities and Licensing-In

17. PROCUREMENT i-PLANT21TM i-FRONT Front End Engineering i-DMS Project Document Management ENGINEERING i-ENG Engineering Database i-3D Integrated 3D Plant Design (PDS 3D Model DB) CONSTRUCTION i-PMS Project Management i-MAT Material Management i-FIELD Construction Management

18. Integrated 3D Plant Design Clients Requirements Design Requirements PIPING DESIGN INSTRUMENT DESIGN QUALITY CONTROL P&ID PDS 3D MODEL PROCESS DESIGN ELECTRICAL DESIGN PLOT PLAN PROCESS REQUIREMENT FURNACE DESIGN OPERABILITY CIVIL DESIGN EQUIPMENT DESIGN CONSTRUCTABILITY STRUCTURE DESIGN FIRE FIGHTING CUSTOMER & INTERNAL DESIGN REVIEW Milestone Review Itemized Review Daily Review

19. 3D-PDS DATA BASE MATERIAL CODE PIPING SPEC E STANDARD BOM BOM/MTO REQUISITION EQUIPMENT NO. RFQ/PO P PROCUREMENT QUOTATION Eng. Database MANUF. SCH. INSPECTION DATA REQ/SPEC EXPEDITE SUPPLIER PO EDMS TRAFFIC SHIPPING DATA C Account System SITE MARIAN PROPS FOWARDER WH CONTROL CONSTRUCTION SITE i-MAT : Ｏｖｅｒｖｉｅｗ of MARIAN

20. Sophisticated Technical Analysis - Advanced Solution Technologies ・CFD Analysis (eq: Furnace Fire Box Analysis ) ・FEM Analysis (eq: Stress Analysis ) ・Acoustic Design Analysis - SHE Risk Assessment - Corrosion Monitoring & Material Evaluation - Dynamic Simulation - O&M Analysis

21. Scale-up Engineering LNG Plant Capacity Trend

22. Continued R&D Activities - Flue Gas Desulfurization (FGD) : CT-121,CASOX - Catalyst Development : CO2 Reforming, Acetica, Diesel HDS - Resid Conversion : Eureka

23. Absorber (JBR) Water Treated Gas Flue Gas M/E Stack Oxidation Air Gypsum Separator Limestone Gypsum FGD : CT121TM

24. ACETICATM Reactor Section Purification Feed Preparation • Methanol Reactor IodideRemoval AceticAcid Storage Incinerator • CO Air FlueGas • MakeupCH3I Fuel

25. FRACTIONATOR REACTOR CRACKING HEATER GAS PREHEATER VACUUM RESIDUE CRACKED LIGHT OIL WASTE WATER CRACKED HEAVY OIL STEAM PETROLEUM PITCH SUPER HEATER PITCH FLAKER EUREKATM

26. :Heavier Crude Utilization Looking for Market Demands - Shift for Natural Gas :LNG & Gas Chemicals - Continued Importance of Petroleum - Integration of Refinery with Petrochemicals - Stringent Environmental Regulation - Plant Life-cycle Judgment

27. Prediction of IEA:primary energy demand in world 6,000 Petroleum 5,000 4,000 Natural gas Coal Mtoe/yr 3,000 2,000 Other Renewable Energy Nuclear Power 1,000 Water Power 0 1970 1980 1990 2000 2010 2020 2030 year

28. Transition of Light/Heavy Crude Price Differential 60 14 50 12 40 10 8 Light/Heavy Crude Price Differential USD/Bbl Crude Oil Price USD/Bbl 30 6 20 4 10 2 0 0 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 year Arabian Heavy Arabian Light Light/Heavy Crude Price Differential Source: Oil Monthly Intelligence

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