Low-Carbon Heavy Goods Transport with DualFuel and Bio-Methane

Malm 28th January 2010 Steve Whelan Technical Director swhelan@cleanairpower.com

delivering lower transport costs & lower greenhouse gas emissions - today

Company Profile

Originated as BKM & Servo-Jet 1st Dual-Fuel patent filed in 1995

Original patent holders remain with the company Approximately 150 man-years of Dual-Fuel know-how

Around 50m invested in technology Listed on the London Stock Exchange (AIM:CAP) Tier 1 supplier of components to Volvo, Mercedes-Benz, L3 Signed LOIs with Volvo and second global OEM to develop Dual-Fuel trucks Headquarters in High Wycombe, UK; Vehicle Engineering/Operations in Leyland, UK; Powertrain Engineering R&D and component production in San Diego, CA, USA; Operations in Australia (Perth & Melbourne)

delivering lower transport costs & lower greenhouse gas emissions - today

Dual-Fuel Technology

Clean Air Powers Dual-Fuel technology enables heavy duty trucks to operate on a combination of diesel and natural gas and/or bio-diesel and bio-methane

delivering lower transport costs & lower greenhouse gas emissions - today

1,700 Dual-Fuel Vehicles

Switzerland 420 HP 12 litre

USA 315HP 10 litre - Refuse

USA 380HP 12 litre - Distribution

Australia 500HP 15 litre Road-Train

UK 430HP 12 litre Axor Genesis

UK 440HP 13 litre Euro 5 FM13 Genesis

delivering lower transport costs & lower greenhouse gas emissions - today

Dual-Fuel Technology
Diesel Pilot Ignition No change to diesel engine Uses Diesel 4-stroke cycle Retains diesel performance & fuel economy Substitutes 60-85% gas (average) Torque-based control delivers smooth transition from diesel to gas operation Can use LNG, CNG or bio-methane Delivers lower carbon & GHG emissions

Dual-Fuel can instantaneously return to 100% diesel when gas runs out or infrastructure fails
delivering lower transport costs & lower greenhouse gas emissions - today

Dual-Fuel Engine System

Air System Boost control system Gas Injection System CAP Electronic gas injectors Multi point injection LNG or CNG Hawk Control System Mototron ECU Sensors Harnesses CAN interface

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LNG Dual-Fuel Vehicle System

Turbo-bypass Gas mixer Catalyst

ECU

Diesel tank

LNG tank

LNG vaporiser

delivering lower transport costs & lower greenhouse gas emissions - today

Dual-Fuel Vehicles

Emission Control Systems SCR & AdBlue tank retained Oxidation cat fitted upstream of SCR catalyst
delivering lower transport costs & lower greenhouse gas emissions - today

Dual-Fuel Performance & Emissions

Dual-Fuel operation delivers similar emissions, performance & efficiency as Euro 5 diesel operation Similar exhaust temperatures and efficiency to diesel operation Average mission gas substitution of 60-85% Total GHGs are reduced by 10% to 65%(Well-to-Wheels)
Engine Torque [Nm] & Exhaust Temperature [C]

FM13 Vehicle Full Load Operation @ 440 HP Rating

2500

Dual-Fuel

Diesel Common Torque Curve

300

1500

220

Fuel Consumption
1000 180

Exhaust Temperature
500 140

Optimal Operating Zone

0 1000 100 1200 1400 1600 Engine Speed [rev/min] 1800

Source: mi-Technology Ltd, chassis-dynamometer test 13/03/09

delivering lower transport costs & lower greenhouse gas emissions - today

Specific Fuel Consumption [g/kWh]

2000

260

RUNNING ON RUBBISH

Daily 500km Bristol Dartmouth

Dual-Fuel system Mercedes Axor Euro 3

Supplying liquefied bio-methane (LBM) from landfill

delivering lower transport costs & lower greenhouse gas emissions - today

Albury

LBM Production Plant

Albury produces circa 5000tpa of LBM (100 tonnes/week) Supported by BOC Capable of providing fuel for 150 HGVs or up to 500 LGVs Sita operated landfill site receiving Surreys domestic waste Sufficient bio-gas to feed the facility for 15 years
delivering lower transport costs & lower greenhouse gas emissions - today

Dual-Fuel and Bio-Methane Works!

5 Dual-Fuel Mercedes Axor HGVs On-board LBM Operating since 2008 - over 500,000 km Safe & reliable Zero impact on operations No breakdowns Each vehicle saving up to 38 tonnes of GHG per year Over 90 drivers operate and refuel the vehicles with no issues

delivering lower transport costs & lower greenhouse gas emissions - today

Well-To-Wheels Analysis
CENEX WTW analysis shows GHG reduction of 40.1 to 64.2%

delivering lower transport costs & lower greenhouse gas emissions - today

Conclusions

Dual-Fuel is a practical, proven and reliable alternative to diesel in heavy-duty powertrain The cost differential of Natural Gas to diesel delivers significant operating cost savings Running HGVs on Natural Gas and specifically Bio-Methane will improve the Europes energy security Using natural gas or bio-methane, Dual-Fuel offers a practical route to reduced greenhouse gas emission from HGV fleets The use of Dual-Fuel and bio-methane can reduce the greenhouse gas emission from HGV fleets by around 65% well-to-wheels

delivering lower transport costs & lower greenhouse gas emissions - today

What next?
Genesis Retro-Fit Genesis now available on Volvo FM13 Euro 5 Proving robust and reliable Delivering cost and carbon savings On trial now with major logistics organisations

OEM Dual-Fuel is on the way CAP signed LOI with Volvo to develop a commercial Volvo Dual-Fuel product CAP signed LOI in October 09 with second global OEM
delivering lower transport costs & lower greenhouse gas emissions - today

Thank You

delivering lower transport costs & lower greenhouse gas emissions - today