How To Make A Gas Available In Finnish Power Plants

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GAS AS A PART OF SMART ENERGY SYSTEM GASUM GAS FUND DAY, DECEMBER 17 TH 2014 19.12.2014 Gasum Sari Siitonen 2

Natural gas demand is expected to grow significantly by 2040 19.12.2014 Gasum Sari Siitonen 3

Diverse natural energy gases Natural gas for residential use as well as for electricity and heat production for industrial customers and communities Compressed natural gas (CNG) and biogas as transport fuels Liquefied natural gas (LNG) for the shipping industry and for other industries outside the gas network 19.12.2014 Gasum Sari Siitonen 4

Natural gas is the bridge to carbon neutrality Support renewables LNG in marine and road transportation Biogas and bio-sng Energy efficiency Replacement of coal and oil Power-togas CARBON NEUTRALITY 19.12.2014 Gasum Sari Siitonen 5

Cleaner Baltic Sea with LNG as a marine fuel 6

LNG potential in the Gulf of Bothnia region The region has a significant LNG potential The most significant industrial potential in steel and mining industry - the biggest users in Tornio, Oulu and Raahe. Industry max. potential 11 TWh Maritime transport 7 TWh*) Road transport 2,5 TWh Total energy consumption 373 TWh in 2013, *) not part of Finland's total energy consumption Sources: Lundman, J., Paradis, H. & Sandkvist, J, 2013. Bothnia LNG. LNG Bunker fuel market development along Gulf of Bothnia including land based industrial potentials for LNG. Report presentation - Helsinki, 2013-06-25. SSPA Sweden AB. Alhosalo M. & Karppinen A., 2013. KAASUA SATAKUNTA - Selvitys nesteytetyn maakaasun (LNG) liiketoimintamahdollisuuksista Satakunnassa. Turun yliopisto. 10.6.2014 Gasum Sari Siitonen 7

LNG market is growing Maritime transport The Baltic Sea Sulphur Directive 2015 will increase the number of LNG-propelled vessels. Industrial use LNG will replace some oil and natural gas in industrial use. Road transport LNG in heavy road transport and as compressed natural gas (CNG) in passenger transport. North Sea SECA North Sea SECA Baltic Sea SECA SECA = Sulphur Emission Control Area 12/19/2014 Gasum Sari Siitonen

Gasum acquired the majority (51%) of the LNG distribution business of the Norwegian company Skangass at the beginning of 2014. 9 19.12.2014 Gasum Firstname Lastname

Developing the gas infrastructure of the northern Baltic Sea region is part of Gasum s strategy A market outside the gas network A market within the gas network Skangass sells and distributes competitive LNG in the Nordic market. Tornio Risavika Øra Gävle Lysekil Pori Porvoo The southern Finland LNG import terminal and the Balticonnector pipeline between Finland and Estonia will open up the Finnish gas market and diversify gas procurement. 26.11.2014 Gasum Olga Väisänen 10

LNG terminal in Pori 19.12.2014 Gasum Matti Meikäläinen 11

Cleaner climate with biogas 13.5.2014 Gasum Johanna Lamminen 12 12

Significant Biogas production potential in Finland Finland has significant potential for producing biogas: biogas could cover more than half of current natural gas consumption. Around 5% of the actual energy consumption in Finland can be covered by indigenous biogas. Wood-based raw material has a significant potential to produce bio-sng Biowaste and sludge 2 TWh Energy crops and manure 7 TWh Wood-based raw material 8 TWh 19.12.2014 Gasum Sari Siitonen 13

Biogas production from waste raw material MÄKIKYLÄ, KOUVOLA 2011 SUOMENOJA, ESPOO 2012 KUJALA, LAHTI 2014 10 GWh/a 23 GWh/a 50 GWh/a 19.12.2014 Gasum

Biomethane production in Lahti Gasum Oy in co-operation with LABIO Oy The largest biomethane production facility in Finland Total production is 50 GWh which equals to annual energy demand of: 140 city buses or, 4500 passenger cars or, 2000 detached houses or, 25 mid-sized industrial plants Production started: Anaerobic digestion plant in 8/2014 Biogas upgrading plant and biomethane injection into the grid in 11/2014 19.12.2014 Gasum Sari Siitonen 15

Biogas the cleanest biofuel for transportation Gasum is developing its own filling station network Number of public filling stations: 24 18 stations operated by Gasum In Jyväskylä, Forssa, Joutsa and Jepua public biogas filling facilities, ongoing projects in other locations About 1900 natural gas vehicles (NGVs) in Finland 1.8 million NGVs in Europe Approx. 17 million NGVs around the world Heavy vehicles using the LNG and dual fuel-technics will be common in the near future 19.12.2014 Gasum Sari Siitonen 16

Gasum biogas transport fuel has been awarded the Nordic Ecolabel and the Made in Finland Key Flag Symbol denoting Finnish origin. 19.12.2014 Gasum Firstname Lastname 17

Sari Siitonen Vice President, Strategy and Corporate Responsibility sari.siitonen@gasum.fi PUHTAASTI LUONNONKAASULLA GASUM.FI