This presentation was given by our Gasbassador Nicolas Leong at the 4th edition of the Myanmar Power Summit. Wärtsilä Development & Financial Services (WDFS) is a global project development and customer financing function WDFS has a global team of 16 project developers and financing professionals based in Finland, India, the Netherlands, Singapore, Dubai, Brazil and the United States The scope of WDFS project development includes engine power plants, PV power plants, Engine – PV Hybrids and LNG infrastructure. WDFS has successfully developed and closed over 30 IPP projects (approx. 3700 MW) around the world since 1991

1. © Wärtsilä PUBLIC
Ensuring Sustainable Electricity
Supply in Myanmar
4th Myanmar Power Summit, 17 November 2016
Nicolas Leong, Business Development Manager
Wärtsilä - Energy Solutions
11/18/2016 4th MPS / Nicolas Leong1

2. WÄRTSILÄ CORPORATION
2 4th MPS / Nicolas Leong11/18/2016
EFFICIENCY FLEXIBILITY
ENVIRONMENTAL
SOLUTIONS
LEADER IN
SOLUTIONS FOR
MARINE/
OFFSHORE
POWER GENERATION
Marine
Solutions
34%
Energy
Solutions
22%
Services
43%
Listed in Helsinki
5,0 billion € turnover
2,6% or 136M€ in R&D
Net sales
by business
2015
18,800 PROFESSIONALS

3. © Wärtsilä PUBLIC
INSTALLED BASE* – WÄRTSILÄ POWERING THE WORLD
11/18/2016 4th MPS / Nicolas Leong3
Total: 60 GW
Countries: 176
Americas:
Output: 12.1 GW
Europe:
Output: 15.6 GW
Asia & Middle East:
Output: 25.5 GW
Africa:
Output: 6.9 GW
Municipalities, co-ops, Oil &Gas etc.
IPPs
Utilities
Industry
*) December 2015

4. © Wärtsilä PUBLIC 11/18/2016 4th MPS / Nicolas Leong4
MARKET SHARE, <500 MW MARKET
General
Electric
6596
39%
Siemens
4285
25%
Mitsubishi
3362
20%
Wärtsilä
1687
10%
Ansaldo
930
5%
Others
157
1%
September 2015
General
Electric
6122
35%
Siemens
4409
25%
Wärtsilä
2555
15%
Mitsubishi
2087
12%
Ansaldo
1253
7%
Others
969
6%
September 2016
17.0 GW 17.4 GW
Source: McCoy Power Report
Includes GT-based gas and liquid-fuelled, <500 MW power plants with prime movers above 5 MW
Includes estimated output of steam turbines for combined cycles (factor 0.5 for industrial turbines, 0.25 for aeros)
Oil & Gas projects not included. Other combustion engines not included.

5. © Wärtsilä PUBLIC
Wärtsilä Development & Financial Services
offering
11/18/2016 4th MPS / Nicolas Leong5
WÄRTSILÄ DEVELOPMENT AND FINANCIAL SERVICES
Wärtsilä Development & Financial Services (WDFS) is a
global project development and customer financing function
WDFS has a global team of 16 project developers and
financing professionals based in Finland, India, the
Netherlands, Singapore, Dubai, Brazil and the United States
The scope of WDFS project development includes engine
power plants, PV power plants, Engine – PV Hybrids and
LNG infrastructure
WDFS has successfully developed and closed over 30 IPP
projects (approx. 3700 MW) around the world since 1991
WDFS scope of services includes:
• Project Development
• Vendor arranged funding and application
of export credit guarantees
• Financial advisory services including
financial modelling

6. © Wärtsilä PUBLIC
• WDFS role varies between lead development and support / co-development
• WDFS can take equity positions in projects and share development risk through
funding of project development cost
• Financial modelling - project economics and feasibility
• Support in arranging, structuring and negotiating financing on a limited recourse
basis
• Advise and support in structuring, review and negotiation of project agreements
• Advise and support in permitting process (environmental studies and approvals)
• Support in managing third party consultants and environmental advisors
• Support in corporate structuring (SPC formation and investment vehicles)
11/18/2016 4th MPS / Nicolas Leong6
How we do it - Scope of work in project development
DEVELOPMENT SERVICES

7. © Wärtsilä PUBLIC
Legal Disclaimer
This document is provided for informational purposes only and may not be incorporated into
any agreement. The information and conclusions in this document are based upon
calculations (including software built-in assumptions), observations, assumptions, publicly
available information, and other information obtained by Wärtsilä or provided to Wärtsilä by
its customers, prospective customers or other third parties (the ”information”) and is not
intended to substitute independent evaluation. No representation or warranty of any kind is
made in respect of any such information. Wärtsilä expressly disclaims any responsibility for,
and does not guarantee, the correctness or the completeness of the information. The
calculations and assumptions included in the information do not necessarily take into
account all the factors that could be relevant. Nothing in this document shall be construed
as a guarantee or warranty of the performance of any Wärtsilä equipment or installation or
the savings or other benefits that could be achieved by using Wärtsilä technology,
equipment or installations instead of any or other technology.
11/18/2016 4th MPS / Nicolas Leong7

8. © Wärtsilä PUBLIC
Agenda
• Overview of the 3 Master Plans
• Evaluating Available Fuel Options to Meet Current & Future Power Demand
• Possible solutions for Myanmar Power Generation Plans
11/18/2016 4th MPS / Nicolas Leong8
INTRODUCTION

9. © Wärtsilä PUBLIC
Myanmar – 3 Master Plans
8 January 2016 - Minister of Electricity and Energy (MOEE) officially released three (3)
Master plans:
1. Myanmar Energy Master Plan (ADB)
• Prepared in December 2015
2. National Electricity Master Plan (JICA)
• Prepared in December 2014
3. National Electrification Plan (WB)
• Prepared in August 2014
11/18/2016 4th MPS / Nicolas Leong9
MYANMAR

10. © Wärtsilä PUBLIC
JICA Key Recommendations
• Repurchase gas from Thailand and China
• Consider liquid fuel firing in existing power plant
• Dual firing for future projects
• High efficiency technology
11/18/2016 4th MPS / Nicolas Leong10
JICA

11. © Wärtsilä PUBLIC
Liquid Fuel Firing and Dual Firing with high efficiency
• Consider liquid fuel firing in existing power plant
• Dual firing for future projects
• High efficiency technology
11/18/2016 4th MPS / Nicolas Leong11
LIQUID FUEL AND DUAL FIRING

12. © Wärtsilä PUBLIC
Wärtsilä dual fuel power plants with Heavy Fuel Oil (HFO) capability
• On 14 November 2016 Singapore Index:
HFO price is 272 USD/MT compared to 456 USD/MT for LFO/Diesel
• HFO is clearly the cheapest liquid fuel to achieve the most competitive electricity tariffs
• Wärtsilä Dual-Fuel technology enables you to burn HFO now and switch to Gas/LNG
later when available
Minimal CAPEX increase compared to pure Gas or Liquid Fuel engines
Fuel flexibility
Seamless switch over from HFO to gas mode and vice-versa
High open-cycle efficiency (~48%)
No additional investment needed
Meets World Bank/IFC emissions guidelines
HFO as back-up fuel
11/18/2016 4th MPS / Nicolas Leong12
DUAL-FUEL TECHNOLOGY
HFO Gas

13. © Wärtsilä PUBLIC
The tariff of a power plant project is highly dependant on fuel price –
The HFO and Diesel differential makes Diesel much more expensive
11/18/2016 4th MPS / Nicolas Leong13
FUEL TARIFF
-
2
4
6
8
10
12
14
16
18
20
0 100 200 300 400 500 600 700 800
Example Power Project: ~100 MW Baseload IPP over 20 years lifetime
~HFO delivered
price
~LFO delivered
price
HFO spot price
LFO spot price
Fuel price
USD/ton
Tariff $c/kWh
4 $c/kWh
The difference in HFO
and Diesel (LFO) price
corresponds to
USD 4cents/kWh in
lifecycle electricity cost.
In this example, that is
28 MUSD/year

14. © Wärtsilä PUBLIC 11/18/2016 4th MPS / Nicolas Leong14
EPGE of MOEE is already adopting dual-fuel and HFO in 300MW Tender
300MW YANGON TENDER

15. © Wärtsilä PUBLIC
EPGE of MOEE is already adopting dual-fuel and HFO in 300MW Tender
11/18/2016 4th MPS / Nicolas Leong15
300MW YANGON TENDER

16. © Wärtsilä PUBLIC
Dual-Fuel Engine Range
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DUAL-FUEL TECHNOLOGY
0 5 10 15
20V34DF 9730 kW
9L34DF 4340 kW34DF
16V34DF 7740 kW
18V50DF 16640 kW50DF
Power at generator terminals 50 Hz

17. © Wärtsilä PUBLIC
Reference: IPP3 in Jordan, 38xW18V50DF, 573 MW
11/18/2016 4th MPS / Nicolas Leong17
IPP3 573MW DUAL-FUEL
Global power plant references:
36 x 50DF plants with 242 engines producing 4051 MW
21 x W34DF plants with 88 engines producing 720 MW
Running hours:
770 W50DF engines delivered, 5,7 million running hours
310 W32DF & W34DF engines delivered, 2,9 million running hours

18. © Wärtsilä PUBLIC 11/18/2016 4th MPS / Nicolas Leong18
Reference: 200MW Dual-Fuel Power Plant in Bali, Indonesia
BALI 200MW DUAL-FUEL
PLTD PESANGGARAN
BALI
Customer: Utility
Type: Wärtsilä 50DF baseload power
plant
Operating mode: Baseload
Gensets: 12 x Wärtsilä 18V50DF
Total output: 200 MW
Fuel: HFO & Natural gas
Scope: EPC (Engineering,
Procurement & Construction)
Delivered: 2015

19. © Wärtsilä PUBLIC
ADB Key Recommendations
• Gas supply needed:
• Prioritize gas supply between sectors
• Explore renegotiation of gas export contracts
• Build LNG terminal at later stage
11/18/2016 4th MPS / Nicolas Leong19
ADB

20. © Wärtsilä PUBLIC
Invitation For Letter Of Expression Of Interest To Conduct Liquefied
Natural Gas (LNG) Business In Myanmar
11/18/2016 4th MPS / Nicolas Leong20
LNG EOI

21. LNG TERMINAL SOLUTIONS
2111/18/20164th MPS / Nicolas Leong
LARGE
SCALE
SMALL
SCALE
ON-SHORE OFF-SHORE
FSRU
LNG Barge
Flat Bottom
Concrete tanks
Pressurised
steel tanks
MID
SCALE
LNG Barge
(or mini FSRU)
Concrete tanks
or
Pressurised
Steel tanks

22. © Wärtsilä PUBLIC 11/18/2016 4th MPS / Nicolas Leong22
Tornio Manga LNG Terminal, Finland
50,000 m3 – full containment tank
EPC, WÄRTSILÄ
LNG IMPORT TERMINAL - FLAT BOTTOM CONCRETE TANK

23. © Wärtsilä PUBLIC 11/18/2016 4th MPS / Nicolas Leong23
LNG STORAGE & REGAS BARGE
Storage volume: 5,000- 30,000 m3
Width / Length: < 32m / 80- 150 m
Max draught: 4- 7 m
Weight: 3,000 – 15,000 tons

24. © Wärtsilä PUBLIC
Wärtsilä Mobile LNG: LNG Barge 7500m3 + 50 MW Power Barge
11/18/2016 4th MPS / Nicolas Leong24
WÄRTSILÄ MOBILE LNG

25. © Wärtsilä PUBLIC
50MW Power Plant with Integrated 7,500m3 LNG Storage
11/18/2016 4th MPS / Nicolas Leong25
LNG + POWER CONCEPT
LNG Scope of Supply (EPC):
• LNG Tanks + process
• Site works
• Short cold pipe + unloading
arm at jetty
• Unloading jetty for LNG carrier
Technology:
• Pressurized bullet tanks
• Ambient air evaporators
• Send out pressure: 6-8 bar
• Minimal regas power consumption
Power Plant:
• Dual Fuel Fired Internal
Combustion Engine
• LNG Storage

26. © Wärtsilä PUBLIC
0
10000
20000
30000
40000
50000
60000
0 5 10 15 20 25 30
Days of storage
200 MW plant (baseload 8000 h/year)
620,000 m3/year (=280,000 tonnes/year)
50 MW plant (baseload 8000 h/year); OR
100 MW (flexible baseload = 4000 h/year); OR
200 MW (peak load = 2000 h/year)
155,000 m3/year (=70,000 tonnes/year)
m3 LNG
100 MW plant (baseload 8000 h/year)
310,000 m3/year (=140,000 tonnes/year)
Minimum
refilling interval
11/18/2016 4th MPS / Nicolas Leong26
LNG CONSUMPTION IN A POWER PLANT

27. BEFORE: CONVENTIONAL LNG VALUE CHAIN
27 4th MPS / Nicolas Leong

28. AFTER: CONVENTIONAL + SMALL-SCALE VALUE CHAIN
28

29. © Wärtsilä PUBLIC
LNG VALUE CHAIN
End User
Natural Gas
PipelineRegasification
Large Scale
Terminal/ Hub
Large Scale
Shipping
Liquefaction
Gas
production
End User
(Natural Gas)
Regasification
Medium scale
shipping
End User
(LNG/Natural
Gas)
Small Scale
Storage
Small scale
shipping
Ship Bunkering
End User
(LNG/Natural
Gas)
Small Scale
Storage
Truck
Transport /ISO
containers
LARGE SCALE LNG
MEDIUM SCALE LNG
SMALL SCALE LNG
Mid scale
storage
11/18/2016 4th MPS / Nicolas Leong29

30. © Wärtsilä PUBLIC
LNG VALUE CHAIN
End User
Natural Gas
PipelineRegasification
Large Scale
Terminal/ Hub
Large Scale
Shipping
Liquefaction
Gas
production
End User
(Natural Gas)
Regasification
Medium scale
shipping
End User
(LNG/Natural
Gas)
Small Scale
Storage
Small scale
shipping
Ship Bunkering
End User
(LNG/Natural
Gas)
Small Scale
Storage
Truck
Transport /ISO
containers
LARGE SCALE LNG
MEDIUM SCALE LNG
SMALL SCALE LNG
Mid scale
storage
2
USD/MMBTU
+2,6
USD/MMBTU
+1,1
USD/MMBTU
+0,8
USD/MMBTU
+0,1
USD/MMBTU
+0,2
USD/MMBTU
6,8
USD/MMBTU
+1,5
USD/MMBTU
+1,0
USD/MMBTU
+0,2
USD/MMBTU
9,2
USD/MMBTU
+1,0
USD/MMBTU
+1,6
USD/MMBTU
11,5
USD/MMBTU
=9,0
USD/MMBTU
=6,5
USD/MMBTU
The LNG Value chain
”Add-on Cost”
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31. © Wärtsilä
LNG Value Chain – One Stop Shop by Wärtsilä
• Wärtsilä can develop and operate small-scale LNG import terminal and dual-fuel power
plant to deliver clean and quick to market power.
• Wärtsilä can work with a LNG supplier to provide comprehensive delivered LNG to power
plant site in Myanmar by break-bulking large volumes in Singapore to achieve economies
of scale
WÄRTSILÄ ONE STOP SHOP
LNG Supply from
Singapore LNG Terminal
Small Scale LNG Vessel Small Scale Gas Power
Plant
Small-Scale LNG Storage
& Regasification
4th MPS / Nicolas Leong

32. © Wärtsilä PUBLIC
3 Key Takeaways
1. Dual-Fuel - Burn HFO now and switch to Gas/LNG later when available.
2. LNG Value Chain – One Stop Shop
3. Wärtsilä - Your LNG-to-Power partner
11/18/2016 4th MPS / Nicolas Leong32
CONCLUSION

33. © Wärtsilä33
Smart
Power
Generation
ENERGY
EFFICIENCY
FUEL
FLEXIBILITY
OPERATIONAL
FLEXIBILITY
4th MPS / Nicolas Leong
LNG
ENERGY
SECURITY
LOW
EMISSIONS
REDUCED
OPEX
WÄRTSILÄ – Your One Stop Shop
for LNG-to-Power
THANK YOU!

34. • Nicolas Leong
• +65 8339 5334
• Nicolas.Leong@wartsila.com