TORAYSAEWATER

BriefIntroductionofSeawaterDesalinationTechnologyNovember2003TorayIndustries,Inc.Contents1.IntroductionofTorayIndustries,Inc.2.WaterProductionCostofSeawaterDesalination3.Toray’sROMembraneElementsforSeawaterDesalination4.BCS,Toray’sAdvancedSeawaterDesalinationTechnology.5.BiofoulingProtectionTechnologyforstableSWROPlantOperation1.IntroductionofTorayIndustries,Inc.OutlineofTorayIndustries,Inc.Founded:January1926NetSales:\1,015,713million(Fiscal2001)MainBusiness:Manufacturingandsalesofthefollowingproducts:1.FibersandTextiles:-Nylon,polyesterandacrylics2.PlasticsandChemicals:-Nylon,ABS,PBT,PPS,POM,LCPandotherresins-polyester,polypropylene,PPS,aramidandotherfilms3.NewProductsandOtherBusinesses:-Pharmaceuticals,medicalproducts,-Colorfiltersforliquidcrystaldisplays,-Carbonfiber4.HousingandEngineering:-Housing&BuildingMaterials-EnvironmentEquipment-Membrane&WaterTreatmentSystem-RealEstateServices-PlantEngineering&MachineryEmployees:34,910(AsofMarch31,2002)Plastics,Film&ChemicalsResinsFilms&FoamsChemicalsNewProducts&OtherBusinessesPharmaceuticals&MedicalProductsAdvancedCompositeMaterialsElectronics&Information-RelatedProductsConsumerProductsInformation&ServicesFibers&TextilesNylon,Polyester,Acrylic,UltrafineFibers,TextileIndustrialMaterialsHousing&EngineeringHousing&BuildingMaterialsEnvironment-Membrane,WaterTreatmentEquipmentRealEstateServicesPlantEngineering&Machinery(Fiber,FA,WaterTreatment,Desalination)Fibers&Textiles42%Plastics&Chemicals22%Housing&Engineering10%NewProducts&Others26%ConsolidatedNetSales:\1,015,713MillionTorayGroup’sConsolidatedNetSalesbySector(fiscal2001)Toray’sActivityinWaterTreatmentBusinessTheMostAdvanced,HighlyIntegratedMembraneTechnologyandExtensiveExperience■MembraneProductionRO(ReverseOsmosis),NF(NanoFiltration),UF(UltraFiltration),MF(MicroFiltration)■EngineeringSeawater/BrackishWaterDesalination,UF/NFTreatment,WasteWaterTreatment■MaintenanceExperience◆MembraneTechnology◆WaterTreatmentTechnology◆Design&ConstructionTechnology◆WaterAnalysisTechnology◆ControlSystemTechnology◆OperationTechnology◆MaintenanceTechnology◆EnvironmentalAssessmentTechnologyTargetofBusiness◆ExcellentCost◆StableOperation◆EasyOperationandMaintenance◆HighQualityofTreatedWater◆EnvironmentalProtectionTKPrintTTELTELSOFICARTPEUTDGTITAALCANTARARKZLCSTSDTSWTFNLTSLVTFTSPS&JTCATRECINSINCATAMTOMACＴＵＡSTECOSTEMCOSaehanI.Inc.KOLONDaehanP.Co.TongShingINDONESIAITSOSTISTEMACTEMCENTEXETEXPRNTRIetc.MALYSIAPFRPABPLYPTXTPMPENSANKOFibers&TextilesTradingsPlasticsOthersCompositeMaterialsTHAILANDTTTMTNTLUCKYTFL3TPTHKTAKLCHRKHPDCTPAＴＭＡCFAToray’sOverseasBusinessExpansionROPURDALIANOperationinChina•TorayIndustries(China)Co.,Ltd–InvestmentinChina•TorayTrading(Shanghai)Co.,Ltd–OfficesinShanghaiandBeijing•PolyesterfactoriesinNantong•Total11companiesinChinaBoardofDirectorsSalesoffices(Domestic,Overseas)ChairmanPresidentWaterTreatmentDivisionManufacturingDivisionTechnicalCenterR&DDivisionTorayEngineeringCo.,LtdTorayMembraneAmericaInc.(USA)RopurAG(Switzerland)MembraneProductsDept.WaterTreatmentSystemDept.EngineeringDivisionMembranesManufacturingDept.WaterTreatmentTechnologyCenterPioneeringResearchLaboratoriesWaterTreatmentPlanningDept.TorayReserchCenterCo.,Ltd.OrganizationofToray’swatertreatmentbusinessMembranebusinesssectorsSystemengineeringbusinesssectorsR&DandanalizingsectorsHavingAsianlargestdesalinationexperienceLocation:KoreaCustomer:HyundaiPetrochemicalRawWater:BrackishWaterApplication:IndustrialWaterTotalCapacity:84,000m3/dayCompletion:1991(initial),1998(expansion)Location:OkinawaIsland,JapanCustomer:EnterpriseBureau,OkinawaPref.RawWater:OpenIntake,SeawaterApplication:DrinkingWaterTotalCapacity:40,000m3/dayCompletion:19972.WaterProductionCostofSeawaterDesalinationThermalProcess(MSF:MultiStageFlushingMED:MultiEffectDesalination)Scalemeritcanbeachievedwhenacertaincapacityisrequired.Canbecombinedwithpowergeneration,utilizingheatenergy.Higherwaterqualitybysingleprocess(lessthan50mg/lTDS).Higherenergyconsumption.RO(ReverseOsmosis)ProcessLessenergyconsumption.Lessinstallationarea.WaterqualityismetwithWHO’sdrinkingwaterstandard.Higherwaterqualitycanbepro-ducedwith2passROsystem.Excesselectricitycanbeutilized.CharacteristicsofTwoMajorProcessesEnergyConsumptionofSeawaterDesaltingProcesses051015MSFMEDROEnergyConsumption(kWh/m3)RapidprogressofROmembranes’performancePlantcapacityofROcanbemorethan100,000m3/dayROmembranes’durabilityis5-7yearsLowercostbytheexpansionofmarketTechnologyhadbeenprovenwithlongtimeoperationTrendofTodayMARKETSHARECOMPARISONOFPROCESSFORSEAWATERDESALINATIONINTHEWORLD(byplantcapacity)0%10%20%30%40%50%60%70%80%90%100%1958-671968-771978-871988-97OTHERVCMEDMSFROCountryTotalCapacitym3/dMembraneManufacturerContractYearTrinidad136,000Toray1999Spain65,000Hydranautics1998Spain56,400Hydranautics1997Cyprus40,000Dupont1997Japan40,000Toray/Nitto1997Spain42,000Hydranautics1996Spain42,000Hydranautics1996SaudiArabia90,909Toray/Dupont1993SaudiArabia128,000Toyobo1992SaudiArabia56,800Toyobo1991CountryTotalCapacitym3/dContractYearUAE122,6001998Bahra