1214-P Parber Industry Fine and UFC PCC

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CLIENT Parber Industry

Colombia

PROJECT

30,000 tpy Fine and Ultra Fine Coated PCC production plant

SCOPE OF DOCUMENT

General Process Description and Investment overview

Cimprogetti file reference no. 1214 -P Dated 30 /11/2009

Via Pasubio, 5 24044 Dalmine (BG) - Italy Tel. +39-035-4550.111 Fax +39-035-4550.335 e-mail: [email protected] web: www.cimprogetti.com


INDEX

1. Foreword ................................................................................................ 3 2. Plant capacity ........................................................................................ 4 3. Limestone specifications (typical) ....................................................... 5 4. Utilities Specification ............................................................................ 6 5. Battery limits .......................................................................................... 7 6. Process and equipment general description ...................................... 8 7. General exclusions and items not included in the quotation .......... 12 8. Budgetary quotation ............................................................................ 13 9. Engineering documentation ............................................................... 14 10. Site Services ........................................................................................ 15 11. Terms of Delivery................................................................................. 16 12. Technical & costing notes on limestone laboratory analysis and production of PCC sample .......................................................... 17 13. LONG TERM ASSISTANCE ................................................................. 19 14. Budgetary quotation clause ............................................................... 20 15. Contacts ............................................................................................... 21 16. Annexes ................................................................................................ 21


1. Foreword

As initial guidelines to evaluate the technical and commercial aspects for a PCC plant, CIMPROGETTI is pleased to submit this budgetary evaluation for the following:

One Fine uncoated and Ultra Fine Coated Precipitated Calcium Carbonate (PCC) plant

30,000 tpy (dry basis) capacity complete with 30,000 tpy capacity drying section

Included one kiln 150 t/d with natural gas fuel

However, we wish to point that at a later stage a final proposal including guaranteed plant performances should be prepared on the basis of:

- the required tests in our laboratory on the actual raw material. In fact, most of the design variables may be finalized only after performing these laboratory scale tests on the raw materials available at plant site.

- a site visit to review the Client responses and better understand the Clients requirements.

The costs involved for the next step will be quantified and discussed at a later stage.


2. Plant capacity

Dried Fine uncoated and Ultra Fine Coated PCC

Final PCC product residual moisture less then 0,5 %

Nominal plant capacity 30,000 tpy (dry basis), calculated over 330 operating days (plant availability: 90% approx.) equal to an average daily capacity of 90 t

Crystal morphology scalenohedral uncoated PCC CIMFIL DRY and rombohedral NANOCIM coated PCC

PCC product grade specification (Typical values) See attached data sheets


3. Limestone specifications (typical)

Basically the suitable quality of the raw material (limestone) is linked to the required quality of the finished product (PCC). A typical limestone specification for initial screening may be as follows:

CaCO3: > 97% MgCO3 0,5% Fe2O3: < 0,1% Al2O3: < 0,5% MnO: < 100 ppm SiO2: < 0,5% Acid Insoluble: < 0,5%

The limestone (and the lime during the calcination) should have a good mechanical resistance, thus having a lot tendency to decrepitate (to produce fines). The limestone surface must be free from clayish material


4. Utilities Specification

4.1 Fuel Natural gas Pressure at battery limits: 3-5 Bar G

4.2 Process water

Temperature 30 C (max) Pressure at battery limits 2 bar Allowable pressure variation 0.3 bar Composition filtered industrial water without color

4.3. Electric power

Main voltage 400V 10% 3 phases + PE TN-S system Frequency 60Hz 1% Short circuit current 35kA AC Motors 400VAC 3 phases + PE Power equipment feeders 400VAC 3 phases + PE Auxiliary control for panels 240VAC Computers system supply 240VAC Automation system (PLC) supply 240VAC I/O PLC 24VDC Process instrumentation supply 230VAC Process instrumentation signals 4 20mA Solenoid valves 240VAC

Important note: The consistent availability of electric power is essential for the control of crystal growth of produced PCC.


5. Battery limits

Limestone from plant feeding hopper discharge Fuel from a flange at the kiln basement Compressed air PCC building wall (single point) Drains drain pits (excluded) Solid waste screw conveyors (excluded) Process water PCC building wall (single point) Exhaust gas vent stacks Electrical motors feeding MCC terminals Electric power for control system Feeding control panel terminals / computer console terminals


6. Process and equipment general description

6.3. Process chemistry

The chemistry of the CIMPROGETTI process follows the milk of lime carbonation route to PCC. The first step of the process is milk of lime preparation. Quicklime slakes in contact with excess water and the following exothermic reaction takes place:

( )22 OHCaOHCaO +

The result of such reaction is calcium hydroxide slurry (milk of lime). The aim of CIMPROGETTI design is to obtain high and constant quality milk of lime. In fact, exact and constant calcium hydroxide particles specifications are the key to drive the following carbonation stage towards the desired PCC particle shape and size. The carbonation stage is actually a process of absorption with reversible exothermic chemical reaction:

( ) OHCaCOCOOHCa 2322 ++

The carbonation reaction must be carefully tracked in order to control the PCC quality. Particle shape and size control is attained by operating conditions control and reactor cleanliness.

6.4. The PCC laboratory

Although to let carbon dioxide bubble in milk of lime is relatively easy, every different kind of quicklime and flue gas composition require their own operating parameters to match the exact PCC particle and shape requirements.

Every bad batch run is definitely an appreciable waste of money.

CIMPROGETTI asks to its customers to supply a limestone sample for full analysis. Then CIMPROGETTI actually runs in its PCC laboratory a complex test procedure in order to identify the Best operating parameters and to fine tune the CIMPROGETTI PCC Process Design. Consequently, the CIMPROGETTI Final

CO2 Scrubbing& Delivery

Lime (CaO)



Lime (CaO)

Lime Kiln & CO2 DeliveryLime Kiln & CO2 Delivery

CIM-Slaky

CIM-Digidoser

CIM-AquamaticH2O

Slake Tank

Temp. Control

Lime Slaking & Storage

CIM-Slaky

CIM-Digidoser

CIM-AquamaticH2O

Slake Tank

Temp. Control

CIM-Slaky

CIM-Digidoser

CIM-AquamaticH2O

CIM-SlakyCIM-Slaky

CIM-DigidoserCIM-Digidoser

CIM-AquamaticH2O

CIM-AquamaticH2O

Slake Tank

Temp. Control

Slake Tank

Temp. Control

Lime Slaking & Storage

CO2

PCC TankCIM-Carbonator

Carbonation & PCC Storage

CO2


CO2


Carbonation & PCC Storage


Proposal is the best compromise between Fixed Capital Investment, Manufacturing Costs and Profitability.

6.5. Milk of lime preparation. A high accuracy feeding and dosing system feeds the quicklime from the silo to the slaker CIM-SLAKY, where it is mixed with water to produce milk of lime. Water is carefully dosed to match the required operating parameters. The slaker CIM-SLAKY itself is divided in three stages, two of which are violently stirred, while the third acts as a decanter with built-in automatic grits remover. The slaker CIM-SLAKY is operated at optimum conditions for best specific surface area. The improved water distribution system gives dust and vapor free operation. Milk of lime is then screened in a self-cleaning vibrating screen or hydrocyclone system, specially designed for milk of lime. Then it is stored in the Slaking tank, which is both an aging tank and a buffer for the rest of the plant, which operates on a batch basis. Milk of lime is fed through high efficiency, easy to clean, plate heat exchangers to the lime tank (also stirred). Then the slurry is transferred to the carbonator CIM-CARB. Both the lime tank and the heat exchangers incorporate washing facilities.

6.6. Carbonation and gas treatment The gas treatment and compression section continuously supplies clean flue gas to the operating carbonator CIM-CARB at the suitable pressure. Gas compression is obtained by Liquid Ring Compression system, for optimum steady state operation. In the carbonators CIM-CARB in operation the incoming flue gases are finely dispersed in the milk of lime slurry by means of violent agitation. The agitators themselves are double turbines, computational fluid dynamics designed units, special design for gas in slurry dispersion. The agitator and the gas compression keep running for a pre-set time after 100% conversion of milk of lime is reached, then the precipitated calcium carbonate slurry is transferred to the PCC tank. The carbonators CIM-CARB are washed after each batch cycle with a high efficiency cleaning system. The PCC slurry is continuously transferred from the PCC tank to a self cleaning vibrating screen, special design for PCC, and then is sent to coating reactor.

6.7. Coating preparation

A dedicated tank is used for the coating preparation.

6.8. PCC coating reactor After the screening, the PCC is added with the coating preparation. After the end of reaction, the coated PCC is transferred into a reserve tank


6.9. Filtration A suitable filter is used to filter the Ultrafine coated PCC suspension until a concentration of about 55 %

A suitable filter is used to filter the Fine PCC suspension until a concentration of about 35 %

6.10. Drying Suitable dryers are used to dry the cake coming from the filtration.

6.11. Milling A dedicated mill ground the Fine PCC A dedicated mill ground Ultrafine coated PCC.

6.12. Packaging

The packaging consist in filling bags of 25 kg or Big Bags.

6.13. Water and utilities network The aim of the water network is to reduce at the lowest possible value the plant power consumption and the utilities waste. The main components are: Decanters / storage tanks for the utilities water One forced draft cooling tower Pump and valves for service water distribution Chiller package, air cooled The system shall be designed to meet the local climatic conditions.

CIM-ISSY-32- Plant Automation and Computerised Supervision System

6.13.1. General philosophy The general philosophy behind CIMPROGETTI's controls is easy: Make intrinsically stable, reliable and flexible equipment by mixing experience, technology

and research. Control it with easy and sound software, so that even an inexperienced operator can get

the best out of the plant.

6.13.2. Functional system architecture The CIM-ISSY-32 (Integrated Supervision System) is the control system for the lime production process, specially designed by CIMPROGETTI, software of last generation working at 32 bit. The CIM-ISSY-32 system consists of two main parts: 1. CIM-MMI for plant control and regulation on PC, (personal computer)


2. CIM-MATIC for automation of the plant with a PLC.

The CIM-ISSY-32 consists of the following modules: MIMICS (only for the CIM-MMI) (SYN) ALARMS (ALA) TRENDING & MONITORING (T&M) OPERATIONAL & MAINTENANCE SUPPORT (OMS) SETTINGS (SET) TECHNOLOGICAL DATA MANAGEMENT (TDM) OPERATIONAL DATA REPORTING (ODR)


7. General exclusions and items not included in the quotation

The following are not included in Cimprogettis quotation:

all equipment outside battery limits packaging section, if any civil works design and construction ventilation and/or air conditioning system safety equipment drainage system waste (solids and liquids) treatment system lighting system and lightning rod, as applicable the obtainment of permits, authorizations and licenses of whatsoever nature in connection

with this project, taxes, duties and fees of any nature to be paid outside Italy in connection with this project.


8. Budgetary quotation

The expected evaluation of the Cimprogetti portion of supply is in the range between

10 and 12 M including a typical Technical Assistance package.

The expected evaluation of the Cimprogetti portion of supply may be in the range between 50% and 60 %.


9. Engineering documentation

CIMPROGETTI will supply the license, know-how and one complete set of engineering documents relevant to plant construction, erection, commissioning and start-up, operation of the PCC plant.

General & Process engineering Process flow diagram (PFD) Process and Instrumentation diagram of the plant (P&ID) Plant lay-out drawings (with elevations) One-line drawing of utilities take over points

Civil works engineering One-line drawing of the civil works over ground To enable the Buyer the detailed engineering of the reinforced concrete foundations: the

schematic drawing of loads and their point of application (center of gravity) for earthquake impact evaluation, schematic drawing of the surfaces exposed to the wind force (if applicable)

Equipment engineering Technical specifications / data sheets / general specifications, if applicable Supplied equipment outlines drawings

Piping/ducting engineering Line list Valve list Piping/ducting arrangement drawings Isometric drawings (if applicable) Insulation drawings Support arrangement drawings

Electrical & Instrumentation engineering Motors list Instrument and sensors list Cable list (tag, origin and destination points, section and type of cable) Basic cable way routing plan (schematic) Interconnecting diagrams Devices lay-out (location plan) Typical details of installation Electrical and automation block diagram Functional description of the plant

Manuals Package Erection manual Operational manual Use and maintenance manual of the supplied machines and equipment


10. Site Services

A package of Cimprogetti technical assistance services for erection and start-up will be included in the Seller scope of supply.

The Buyer shall make available a qualified representative English speaking, for the duration of Cimprogetti personnels presence on site.

Training of the Buyer personnel is included in the start-up of the facility. It is important that the Buyer personnel be available at least one month prior to the mechanical completion of the plant. Classroom and laboratory training will occur at this time.

Technical assistance at the plant site is calculated based on a typical project schedule lasting maximum 3 months commissioning. The proposed package includes 340 man days. It may require adjustments in case of construction difficulties or Buyers product needs changing. All days away from Cimprogettis office is considered a man-day. Excess man-days, trips and expenses shall be invoiced additionally, as the case may be.

Erection supervision and assistance service 1 Mechanical engineer 1 Electrical engineer

Supervision and assistance services to Commissioning and Start-up 1 Process engineer 1 Mechanical engineer 1 Electrical engineer 1 Software engineer

Certification of laboratory and measuring procedures and load tests 1 Process engineer 1 Software engineer 1 Laboratory technician

Supervision and assistance to plant product fine tuning 1 Application engineer 1 Process engineer 1 Software engineer

Supervision and assistance to plant taking over test 1 Process engineer 1 Software engineer 1 Laboratory technician


11. Terms of Delivery

The delivery of Cimprogetti portion shall take place as follows: Engineering Package Within 10 months from EDC (manuals 12 months) Equipment Within 14 months from EDC (software 16 months) Plant Commissioning Within 18 months


12. Technical & costing notes on limestone laboratory analysis and production of PCC sample

12.1. Foreword

These notes refer to the following:

STEP A: determination of the suitability of a special limestone quality (sample) for PCC production

STEP B: generation of PCC samples in slurry or dry form for the various grades, as per project's requirements, for examination by the Plant Buyer and/or by the PCC grades End User.

12.1.1. STEP A1

Raw material requirement: 5 kg in size 50-100 mm approx.

Chemical analysis The qualitative and quantitative content of the following elements/components shall be determined: Fe, Mn, V, Cn, Ni, Pb, Cd, As, Cl, SO4 and piritic S, Mg, Na, K, Hg, Cr, Ba, Si, Sr (Strontium), Insoluble Residue

Costs As precise chemical analysis must be carried out by certified Laboratories, Cimprogetti would request the partial contribution of Euro 1.500,- for each sample, to obtain the relevant Test Report.

12.1.2. STEP A2

In case the PCC plant project features a new lime kiln, additional tests have to be carried out in Cimprogetti laboratory in order to establish the burning suitability of the raw material.

Such tests will cover the following:

Mechanical resistance test (Cimprogetti proprietary method) both of raw material and lime

Burning test Slaking test, according to the agreed method (standard DIN, ASTM, etc.)

Cost 1st and 2nd sample shall be tested at no cost to the Buyer


From the 3rd sample received onwards and for each sample Cimprogetti would request the additional partial contribution of Euro 500,- for each sample, to carry out the above Laboratory tests. Contemporary testing of multiple samples benefits of 50% cost reduction for each.

12.1.3. STEP B

Raw material requirement: 20 kg in size 50-100 mm approx.

Lab production in batch of various PCC grade samples Max. two sample of PCC grade (s) in the forms stated here below shall be produced to assess the effective Project Plant performance on laboratory scale; these samples shall be despatched to the buyer, for due evaluation by him self and/or the End User. Order for samples shall be for similar characteristics, i.e. for all slurry or all dry samples.

Sample forms Slurry form (approx. 20% w/w): 10 litres each Dry form: 1 kg each of normal Scalenohedral Grade (e.g. for paper/cigarette paper

making), not ultra Fine Coated (UFC) Grade.

Whiteness determination (for paper making end uses). "Whiteness" degree shall be determined, using one sample in slurry form.

Costs: Cimprogetti would request the additional partial contribution of Euro 5.000,- for each sample, to carry out the above Laboratory activities and to obtain the required Test Reports by Certified Laboratories.

Notes: Said contribution shall be paid up-front. These expenses shall subsequently be reimbursed to the Buyer in case of a PCC

Plant Contract awarded to Cimprogetti, by deduction from the contract negotiated amount.


13. LONG TERM ASSISTANCE

The following additional services will be available upon specific request from the Buyer. Conditions shall be offered at a later stage.

PLANT MANAGEMENT AND OPERATIONS OPTIMISATION SERVICES

Plant management An experienced PCC Plant Manager will assure the optimal mix between costs and performances.

Plant supervision An experienced PCC plant supervisor will boost the PCC quality and coach the PCC plant team.

Personnel training Cimprogetti can provide to the PCC team an extended specific training.

Plant operations audit A team of experienced PCC specialists may come to the plant site, even on a periodical basis, to asses PCC plant operations, to tune-up the plant procedures and to check the working conditions of the equipment.

Remote plant supervision If required, the PCC plant control system may be connected to Cimprogettis headquarters for a remote check of the plant working parameters.

APPLICATION AND TECHNOLOGY SERVICES

PCC laboratory services The PCC team and advanced instrumentation available at Cimprogetti technological laboratory are at the Customers disposal for raw material and finished product detailed analysis, product assessment and PCC pilot test.

PCC change grade Process and Application Specialists will be available to modify and tune the PCC plant in accordance to new product/s specifications.

Technology update Cimprogetti will keep his Customers updated on the development of his PCC technology improvements.


14. Budgetary quotation clause

This quotation is the property of Cimprogetti. It is confidential and/or privileged. The use of any information included in the present budgetary quotation that may be detrimental for Cimprogetti is not allowed. Cimprogetti will take legal action with respect to it if that case will take evidence.


15. Contacts

For any inquiry and/or clarification on the present document please contact:

CIMPROGETTI S.p.A. Phone: +39 035 4550 111 (operator) Via Pasubio, 5 Fax: +39 035 4550 335 24044 Dalmine Italy e-mail [email protected]

Mr. Bruno Facchinetti Phone: +39 035 4550 334 (direct line) Assistant General Manager +39 335 6965 149 (mobile phone) Marketing & Sales Manager

Mr. Claudio Lama Phone: +39 035 4550 310 (direct line) Proposal Manager

Mr. Roberto Rosa Phone: +30 035 4550 361 (direct line) Head of Process Unit

Best regards

B. Facchinetti Assistant General Manager Marketing & Sales Manager

16. Annexes

Nanocim SC and Cimfil Dry technical Data Sheets

Documents

1214-P Parber Industry Fine and UFC PCC