Chemical Engineering Articles & Publications

Koch Modular worked with Chemours on Project “Chill”

CURT (Construction Users Round Table) Presentation, November 14th 2018

Koch Modular helps large client realize significant savings in lost revenue by building modular while permit receipt was in progress. We completed timely delivery of a 15 module system, including columns, vessels, heat exchangers, pumps, vacuum systems, piping, instruments, and a control system. To learn more, feel free to read the rest of CURT (Construction Users Round Table) Presentation, November 14th 2018.

1. Modular Process Systems James Peckham Chemours Construction Competency Leader Thomas Schafer Koch Modular Process Systems Vice President November 14, 2018

2. Recent Modularization Example for Schedule Critical Project – “Chill” Background • Late addition to the main, larger project, already in progress, with very aggressive/business critical schedule • Start of foundation work tied to air permit receipt • Due to permit timing, stick build would result in 6 to 8 month start up delay of main project • Elected to utilize modularization to allow fabrication to begin prior to permit receipt and foundation completion • Benefit to business – Significant savings in lost revenue! November 14, 2018 2

3. Chemours’ “Fears”/Concerns with Modularization 1. Had never worked with a module company that performed the process engineering as well as the production design and engineering (had previous experience with module fabricators). 2. Concerned that the modular facility would not have sufficient space for operability and maintainability including access to process equipment. Previous truckable module facility at the site was extremely cramped. 3. Wanted the ground floor to be concrete and free of any equipment support steel, i.e. appear as though it was stick built. 4. Concerned that interior cross bracing, on each individual module, would interfere with access and movement within the completed structure. 5. Wanted access and egress to be available between all modules and at all floor levels and wanted two means of egress from the structure. November 14, 2018 3

4. Koch Modular Process Systems Chemours decided to work with Koch Modular Process Systems on Project “Chill” November 14, 2018 4

5. Confidential About Koch Modular Process Systems November 14, 2018 5 • Privately held JV company with Koch Industries • 35 years experience with the process design, detailed engineering and supply of modular constructed process plants • Renowned for our Expertise in Distillation, Liquid-Liquid Extraction, Process Engineering and Pilot Testing • Process Conceptualization to Full Scale Manufacturing • Fortune 500 Chemical Process Industry Client List • Growing Number of Partnerships with Chemical Process Industry Companies

6. Confidential Benefits of Modular Construction November 14, 2018 6 Shorter Time to Market: Months, not Years, from PO to delivery of modular process units Lower Construction Cost: Typically 25-30% lower cost vs. field construction Construction proceeds offsite while waiting for permits Lump Sum Fixed Price Contracts Minimize hazards and safety risks: Work in outdoor conditions and work at elevation eliminated. No hazardous chemicals present Single Source Responsibility, Complete System with Mechanical and Process Performance Warranties.

7. Confidential Module Assembly Indoors in Horizontal Orientation November 14, 2018 7

8. Confidential 3D Model of Project “Chill” in CADWorx November 14, 2018 8

9. Confidential Ground Floor of Modules November 14, 2018 9 Chemours requested: • Pumps mounted on concrete bases, not steel structure • Ground floor to be concrete, not grating • No step up at grade onto ground floor • Minimize field work once modules arrive • Mount Main Control Panels on outside wall

10. Confidential Typical Ground Floor Arrangement November 14, 2018 10

11. Confidential Ground Floor of Project “Chill” As Shipped to Site with Temporary Steel November 14, 2018 11

12. Confidential Ground Floor of Project “Chill” After Temporary Steel Has Been Removed November 14, 2018 12

13. Confidential Ground Floor of Project “Chill” As Shipped to Site with Temporary Steel November 14, 2018 13

14. Confidential Ground Floor of Project “Chill” After Temporary Steel Has Been Removed November 14, 2018 14

15. Confidential Each Module Has A Main Control Panel with I/O Installed November 14, 2018 15

16. Confidential Upper Operating Floors of Modules November 14, 2018 16 Chemours requested: • Minimize cross bracing on interior module faces • Maximize space for access to equipment/piping/instruments • Safety shower/eyewash station accessibility • SIS and 120V power panels • Utility Stations

17. Confidential Cross Bracing Installed for Shipment November 14, 2018 17

18. Confidential Cross Bracing Removed after Installation November 14, 2018 18

19. Confidential Cross Bracing Installed for Shipment November 14, 2018 19

20. Confidential Cross Bracing Removed after Installation November 14, 2018 20

21. Confidential Cross Bracing Installed for Shipment November 14, 2018 21

22. Confidential Cross Bracing Removed after Installation November 14, 2018 22

23. Confidential Access to Equipment/Piping/Instruments November 14, 2018 23

24. Confidential Access to Equipment/Piping/Instruments November 14, 2018 24

25. Confidential SIS Instrument Panel & 120V Power Panel On 2nd Floor of Modules November 14, 2018 25

26. Confidential Safety Shower/Eyewash Stations November 14, 2018 26

27. Confidential Safety Shower/Eyewash Stations November 14, 2018 27

28. Confidential Toeplate Around Large Bore Floor Penetrations November 14, 2018 28

29. Confidential Egress from Modules November 14, 2018 29 Chemours requested: • 2 means of egress for each module • 2 stair modules provided on either end of the module assembly • Walkways between modules on 2 sides

30. Confidential Walkways Between Modules November 14, 2018 30

31. Confidential Walkways Between Modules November 14, 2018 31

32. Confidential Walkways Between Modules November 14, 2018 32

33. Confidential Nighttime Photo of Module Assembly with Stair Module in Foreground November 14, 2018 33

34. Final Result • Project was very successful! • Turned over this facility well in advance of the completion of the main facility and achieved some savings over stick build. • Koch Modular was able to satisfy all of our concerns and met their commitments. • Based on this success, we are using them on two other projects! 34November 14, 2018

35. Questions Thank you very much for attending!! We would be glad to answer any questions you may have at this time. November 14, 2018 35