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3 Our vision The visionaries of the pellet heating industry: ÖkoFEN CEOs Herbert and Stefan Ortner ELECTRICITY AND HEAT FROM WOOD PELLETS Our mission is the realisation of an electricity-producing heating system (micro-chp). What makes this concept so special? The answer is that OkoFEN is developing a CO2-neutral technology based on wood pellets, which is able to supply a building with both heat and electricity! Our life is no longer conceivable without electricity and heat. In future wood, as a regional and renewable resource - in the form of pellets - will provide power for our everyday lives. Heat and electrical POWER with a clear CONSCIENCE more efficient - more independently - cleaner than before.

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5 ÖkoFEN_e Stirling engine electricity warmth wood pellet heation DECENTRALISED, COMBINED HEAT AND POWER WITH A STIRLING ENGINE A nearly forgotten technology experienced it s second bloom. The change in energy policy made it possible to bring a 200 year old invention by high-tech development at the cutting edge of technology. The most well-known and common form of heat and power generation is the Combined Heat and Power (CHP). The development of the ÖkoFEN_e project focuses on this system. A suitable way to realize combined heat and power generation is the use of a Stirling engine. Stirling engines are capable like no other technology to convert lowemission and climate- neutral renewable fuel into kinetic energy.

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7 The development March 2010: Closing of the cooperation agreement between Microgen and OkoFEN Fall 2010: First successful tests of the concept in ÖkoFEN s R&D department Summer to Fall 2011: Further optimization of the prototype Spring to Fall 2012: Long term testing of the CHP-system on a test bench December 2012: Official start of the Pilot programme in Austria Spring 2010: Development of a new combustion concept for the use in the OkoFEN_e system Spring 2011: Optimisation of inflow and heat transfer at the heater head November 2011: Successful tpye testing of the Pellematic Smart_e Fall 2012: Selection of the first Pilot phase candidates 5th December 2012: First Pilot system goes to the grid Summer 2010: Development of the first OkoFEN_e prototype March 2011: The prototype was demonstrated to provide a consistent supply of 1kW electric power Spring and Summer 2012: Pilot programme preparation November 2012: Test report for Pellematic Smart_e is published Spring and Summer 2013 : Expansion of the pilot phase and realization of further pilot projects A challenging project NEEDS powerful and experienced partners Microgen Engine Corporation and ÖkoFEN combine these quality characteristics. Two specialists and pioneers bundle their forces to achieve what many have tried, but no one has yet achieved - the development of a pellet power plant for a single family house. Microgen Engine Corporation has been working for many years to develop a production-ready free piston Stirling engine. Since 1995 the company has invested more than 200 million Euros. The efforts have paid off. Since 2010 Microgen Engine Corporation has the world s only successful Stirling engines serial production. ÖkoFEN has already succeeded after a short development time to integrate the Microgen Stirling technology into a pellet heating system. Fall 2013: First PE Smart_e is installed abroad and taken into operation Spring 2014: Extension of the pilot programme to European level

8 Composition of the Microgen s Stirling engine Stirling head Heat exchanger fins Displacing piston Water-cooled area Working piston Copper coil Magnetic belt Spring

9 The Stirling engine The Microgen free-piston stirling engine is operating in a hermetically sealed system filled with helium gas. The piston motion is converted by an integrated generator in 1 kw of electrical power. (AC, 50 Hz) Functional principle The displacement piston pushes helium through the regenerator from the head to the cooler. The spring on the opposite casing side at the bottom pushes the piston back upwards. The helium is alternately heated and cooled, and as a result it expands and contracts again. This causes the creation of a pressure wave, which repeats as the cycle begins again. The working piston is moved up and down by these pressure waves. The magnetic working piston is surrounded by the fixed magnetic coil with copper windings. Thereby alternating current is generated. This cycle is repeated 50 times per second, generating AC power at 50Hz. The remaining heat is used for space heating and domestic hot water.

10 ÖkoFEN PELLEMATIC SMART_e Prototype

11 The concept of success PELLEMATIC SMART_e The Pellematic Smart_e represents a further development of the Pellematic Smart - a buffer tank with a pellet condensing module and hydraulic unit on very small space. Based on the previous success of the Pellematic Smart boiler, a similar concept has been used for the Pellematic Smart_e, with all the technical components united in a single device. ÖkoFEN_e is now getting PELLEMATIC SMART_e. The pellet burner and the Microgen Stirling engine are integrated into a buffer tank with a volume of 600 liters. The result is the first electricity-producing wood pellet boiler, which is compactly and attractively presented and requires only 1.5 m² of space. To achieve the best possible heat transfer at the heater head of the Stirling engine, which is where the heat is transferred from the flue gas to the Stirling engine, a special inflow unit has been developed. As the wood pellet fuel is converted to energy in the boiler, there is a subsequent build up of unwanted particles on the heater head. OkoFEN s innovative solution to this is a fully automatic cleaning system for the heater head. This novel cleaning device has already been tested successfully.

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13 Technical data Technical data (according to type-testing directive EN 303-5) Unit Pellematic Smart_e Nominal heat output (with condensate formation) kw 15,6 Fuel heat input (by nominal heat output Hu) kw 14,8 Electrical output watt 1000 Height mm 1960 Width mm 1175 Depth mm 1150 Total efficiency by nominal load % 102 Water capacity l 520 Emmisions (extract) Fine dust mg/nm³ 4 Carbon monoxide (CO) mg/nm³ 31 PELLEMATIC SMART_e Besides the built-in Stirling engine, the Pellematic Smart_e also features a pellet-fired condensing module. Together with the pre-installed hydraulic these components are integrated into a 600-liter buffer tank and form the most efficient pellet-based CHP system.

14 Left picture: Great satisfaction over the first installed ÖkoFEN mchp-system: (from left to right) Stefan Pumberger (ÖkoFEN Engineering), Roland Pargfrieder (Engineering), Stefan Ortner (ÖkoFEN CEO), Herbert Ortner (ÖkoFEN CEO), Vroni and Willi Hopfner (Pilot-unit owners), Miriam Gahleitner (ÖkoFEN_e Project Manager), Michael Mayr (Engineering) Additionally to pellets Willi Hopfner also uses the sun to generate electriticy.

15 Start of Pilot phase Energy pioneer Willi Hopfner with his electric vehicle fleet Milestones in ÖkoFEN s corporate history: After two years of development, in December 2012 the Pilot phase started in Austria. The first Pilot system was connected to the grid at Willi Hopfner s home in the village of Lembach. The system provides up to 14 kw of thermal and 1 kw of electrical power. The power consumption in the house of the Hopfner family is now covered mainly by home-produced electricity. The excess electricity will be fed into the public grid. The collection of practical experience for the further optimisation of the CHP-system is the main goal of the long-term tests of the Pilot programme. The selection of the Pilot endusers was carried out according to meet different requirements and needs (sole heat source, base load boiler in combination with another heat source, etc.) in order to obtain as many distinct experiences as possible. In the coming months, Pilot units, which are situated particularly close to the company s Headquarters in Niederkappel have been installed. Subsequently the Pilot programme has been extended to a European level - up to 40 Pilot units should be installed.

16 The pellet power plant for the home Current information about ÖkoFEN_e is available under the following links: Austria - headquarters ÖkoFEN Pelletsheizung Gewerbepark 1 A-4133 Niederkappel tel (0) / redaktion@okofen-e.com The project was promoted by the European Regional Development Fund (ERDF) as well as from state funds. V 4.0 April14