Lou Zavala, National Sales Manager – Frigel North America

1. Intelligent Process Cooling: Saving Money, Protecting the Environment and Curing Process Headaches Lou Zavala, National Sales Manager – Frigel North America

2. Presentation Overview The state of today’s manufacturing resources Traditional process cooling technology vs. the intelligent process cooling alternative Opportunities for water, energy and chemical savings while greening your operations Improved productivity through implementing a central chiller alternative How process cooling can improve your profitability and ability to better serve customers

3. Today’s manufacturing resources

4. Energy use in manufacturing Approximately 92% of a manufacturer’s energy consumption is attributed to processing machinery and associated services 16% of that energy goes to process cooling (chillers & pumps) Energy savings of 25% are easily achievable with virtually no technical risk Improperly maintained cooling towers lose heat transfer efficiency and scale causing chillers to consume 2.5 to 3.5% more energy for each degree rise in condenser temperature Source: Dr. Robin Kent, “Energy Management in Plastics Processing – Strategies, targets, techniques and tools” and U.S. Department of Energy

5. Energy cost and consumption trends By sector, nominal2 prices, 1960-2007 Source: US Government Energy Information Administration

6. Water use in manufacturing Industry uses 22% of the earth’s available clean water That number increases to 45% in developed countries One of the top 5 ways water is wasted in industry is inefficient and poorly maintained methods for cooling In process cooling, over consumption occurs as a result of evaporation and blow down Source: Arlington Institute “Global water crisis overview” and Water Wise “How to save water in the workplace”

7. Water considerations Water is likely to be the most important strategic resource by the end of the next decade Clean water is one of the major concerns of the U.N. Local governments are imposing high disposal costs for concentrated and contaminated fluids This includes cooling tower waste water in some areas Source: The World Bank and IATP “Bio-fuels and global water challenges”

8. Traditional solutions for process cooling

9. Cooling tower basics Temperature: 85°/90°F Open System Method of heat rejection = water evaporation The center of industrial cooling for over 80 years

10. Cooling tower costs Continuous water consumption evaporation & blow down loss Increasing costs for water & fluid disposal Ongoing water treatment Regular heat exchanger maintenance Very high pumping energy consumption Changing laws and regulations Constant fan operation creates energy waste

11. Cooling tower disadvantages Poor quality water to process Harmful emissions Difficult cold-weather operation Permanent contamination hinders heat transfer and performance Water evaporation & blow down loss Contaminated air in the system creates contaminated process water

12. Cooling Tower: Very high pumping energy consumption Nozzles Nozzles Open circuit tower system Closed circuit tower system Plate heat exchanger 1st Filtering process process Filtering 2nd Filtering

13. Effect of a Scale layer on Heat Transfer Thermal Conductivity of Microbiological Film and Calcium Carbonate Scale Effect of Scale on Energy Consumption of Chillers

14. Traditional set up Open tower water consumption is up to 1.3 million gallons annually/ 100 tons of cooling due to evaporation, drift and blow down based on water quality Centralized chiller system utilizes more energy to achieve flow & pressure at the process Thermal gain increases as distance increases Two sets of insulated pipes needed 1 4 3 2

15. Intelligent process cooling

16. Intelligent process cooling set up Closed-loop, dry-cooling technology using ambient air to cool process water Small reservoir tank for automatic draining in cold temperatures to avoid freezing Single set of non-insulated pipes for simple and inexpensive installation Machine side temperature controller/ chiller for high performance cooling 1 3 2 4

17. Intelligent cooling basics Temperature: 90°/95°F Closed System Method of heat rejection = air heat exchange Revolutionizing process cooling

18. Intelligent cooling cost savings Dramatically reduced energy consumption Lower pumping capacity No continuous water or chemical consumption No fluid disposal saving fees and the environment Little to no downtime Free cooling opportunities

19. Intelligent cooling advantages Clean water to process No scale/corrosion on heat exchangers or piping Constant efficiency of process equipment for better productivity Minimal maintenance Simple & expandable system Decreased green house gas emissions

20. How intelligent cooling works • Process water is pumped through heat exchangers and cooled by ambient air • Additional air flow is generated by axial fans with variable DC motors • Water temp is held <10°F above out-door dry bulb temperature and to operating range set at control

21. Adiabatic cooling for minimum water consumption • Ambient air at high temperature passes through the adiabatic chamber • In the chamber, spray nozzles create a think mist of water • The humidification of the air drops its temperature before it reaches the coils • The sprayed water volume is automatically controlled by microprocessor • Finned coils are kept completely dry and free of scale

22. Brushless DC Fans Motors with individual automatic control of speedThe Lowest Energy Consumption 0.03 kW/ton* Extremely high efficiency under partial load operation (reduced speed) Annual average consumption less than 0.03 kW/ton Very quiet operation – less than 57 dB(A) Increased reliability and durability, maintenance free Each fan can be substituted with theequipment running * Based on LWT = 90F in LA, CA

23. How intelligent cooling works • Adiabatic mode keeps LWT below 90 to 95°F even with ambient temps of 120°F • On cold days with little or no heat load, recirculation pumps turn off and unit drains fully, providing 100% freeze protection • Control and software provide a fully-automatic water and energy savings based on actual thermal load and outdoor temps

24. Intelligent water & energy savings • Water savings • Only during high outdoor temperatures does the system switch to adiabatic mode, minimizing the time additional water may be needed • Example: A typical 100-ton cooling system uses as much as 1.5 million gal/year, intelligent process cooling with the same capacity requires only 20,000 to 40,000 gal/year • Energy savings • During low outdoor temperatures or partial load operation, specialized controls automatically adjust pumps and fans to start and stop as needed, rather than running constantly • Example: A typical 100-ton chiller system operates with 0.8 to 1.2 kWh/ton energy consumption, intelligent cooling uses only 0.05 kWh/ton

25. Free cooling opportunities Free cooling is defined as using non-refrigeration cooling methods This generally means using an ambient-air closed-loop cooling system to supply clean cooling water and replacing chillers or turning off chiller compressors. Many processes can benefit from free cooling depending on process set points and local ambient conditions

26. Water Savings PeriodAbove 85°F 175 hrs2 %Energy Savings PeriodBelow 40°F3334 hrs38% Boston/Logan, MADry-Bulb Temperature Hours For an Average year (period of record 1967-1996) This summary reflects the typical distribution of temperature in a typical year. It does not reflect the typical moisture distribution.

27. 100 ton tower VS 100 ton Ecodry

28. Improving productivity through enhanced process cooling

29. Process cooling using central chillers • A standard central chiller system is often supplied cooling water by a tower system • They supply single temperature water to multiple processes within a plant and require a large pumping station to distribute the water • Energy loss occurs due to large pumping stations, thermal losses as the water travels to process machines and scale and bio-film buildup in the heat exchangers • It is extremely difficult to get precise water temperature to all process machines causing quality to suffer and loss of profitability

30. Intelligent process cooling at the machine level • Machine side units adjust for required temperature, flow and pressure individually • Cooling parameters optimized at each machine for better quality parts, less scrap and total repeatability with cycle time improvement of up to 20% • As an alternative to central chillers, saves up to 80% on energy costs due to no thermal losses and additional pump HP

31. Achieving maximum productivity and part quality Maximum productivity = minimum mold temperature Achieve minimum cooling water temperature With independent temperature control at each machine With a high flow rate in the mold assuring max efficiency of heat exchange and minimum ΔT across the mold High quality product = automatic control of mold temperature Automatic controls allow for The ability to “research” the best temperature for each process Perfect repeatability of the process cooling conditions

32. Injection Molding: Cooling time dominates cycle time Time (sec) Time (sec) from 40% of cycle time (high speed packaging) up to 90% of cycle time (engineering resins)

33. Improve profitability and ability to serve customers

34. Look to process cooling to… Increase profitability and competitiveness Low operating costs, simple installation, increased productivity Sustain performance and profits Consistent and efficient system, total repeatability Reduce cost of labor, energy and water No process water consumption, reduced electrical consumption, virtually maintenance free Address environmental concerns, regulations and pressures No ongoing chemical consumption, minimal environmental impact

35. The power to change Changing established methods requires teamwork and extra effort Company leaders are encouraging and supporting sustainability process improvements Key champions/functions for change Maintenance, process/production, health safety and financial managers The rewards and satisfaction to the new approach is high and proven by thousands Will you be a champion for the future?

36. The power to save Rebates from state and local government, as well as utilities, are available for manufacturers implementing energy saving technology Tax incentives are also available in 2009 giving depreciation deductibles of 60% for new equipment placed in service by the end of the year

37. The power to outperform Manufacturers often overlook the full potential of cooling technology to improve product quality, increase productivity and reduce operating costs

38. MAPP Member Exclusive Offer • Free spare parts kit equal to 5% of the value of any Ecodry System order in 2010 • In addition to the fast ROI realized from energy, water, maintenance, chemical and downtime savings and process improvements • To take advantage, contact us at 847-540-0160 or info@frigel.com and let us know you want 5% in free spare parts as a fellow MAPP member

39. Intelligent Process Cooling Questions? Frigel’s Ecodry represents a revolutionary way to improve process stability, gain a competitive advantage and experience the economic benefits. For more information: www.frigel.com/na