Ministry of Industry Trade and Labor | Foreign Trade Administration | Investment Promotion Center Ministry of Industry Trade and Labor | Foreign Trade Administration | Investment Promotion Center

December 2010

Desalination

in IsraelMr. Tamir Sery

Director, IDE PROGREEN™ IDE Technologies Ltd.

June 2013

>1,700 No Stress

1,000-1,700 Moderate Stress

< 500 Extreme Stress

500-1,000 High Stress

m3 / person / yr. available

(1) Global Water Intelligence (2010).

World Water Availability, 20251

Ministry of Industry Trade and Labor | Foreign Trade Administration | Investment Promotion Center Ministry of Industry Trade and Labor | Foreign Trade Administration | Investment Promotion Center

Israel - Country ID

Main Cities: Jerusalem, Tel-Aviv, Haifa, Beer Sheva

GDP: $201.0 Billion (2010 est.)

Population: ~ 7.4 millions

Area: 22,000 skim

1000

800

700

500-600

200-400

100-200

<100

Haifa

Tel-Aviv

Jerusalem

Beer Sheva

Source: Ministry of Industry Trade and Labor

Ministry of Industry Trade and Labor | Foreign Trade Administration | Investment Promotion Center Ministry of Industry Trade and Labor | Foreign Trade Administration | Investment Promotion Center

Neighbors150(7%)

Domestic700.0(35%)

Industry130.0(6%)

Nature50.0(3%)

Agriculture -Potable450.0(22%)

Agriculture –Non Potable

550.0(27%)

Agriculture1000(49%)

Water Demand Per Sectors(2010, MCM/Year)

� Natural water refill: 1170 MCM (per year)

� Water consumption: 2030 MCM (per year)

� Annual Shortage

of over ~45%

� Daily Domestic

Consumption

Per Capita ~250

Liters Source: Israeli Water Authority

Israel’s Water Shortage

Ministry of Industry Trade and Labor | Foreign Trade Administration | Investment Promotion Center Ministry of Industry Trade and Labor | Foreign Trade Administration | Investment Promotion Center

Production 2014

Production since 12/05

Production since 12/09

Production since 09/07

Production Q3/2013

Hadera

Sorek

Palmachim

Ashdod

Ashkelon

(130)

(150)

(90)

(100)

(120)

In 2013, desalination plants will supply 70% of the domestic water consumption

Desalination2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2020

0 36100 130 145 160

280 305405

505605

750MCM/Year

Ministry of Industry Trade and Labor | Foreign Trade Administration | Investment Promotion Center Ministry of Industry Trade and Labor | Foreign Trade Administration | Investment Promotion Center

5

Desalinated

Water Infrastructure Evolution

North to South (Present)

West to East (Future)

Global Key Projects Water Prices

Source: Global Water Intelligence (2010)

SWRO Capacity in m3/day

624,000

444,000 440,000

390,000

300,000280,000

250,000

143,700 140,000 140,000 140,000

45,000

Sorek Israel

WonthaggiAustralia

Hadera Israel

Ashkelon Israel

Port StanvacAustralia

AshdodIsrael

Sydney Australia

Kwinana Australia

ValdelentiscoSpain

CapePrestonAustralia

BinningupAustralia

PalmachimIsrael

Source: Global Water Intelligence (2010), Company Information(1) In accessible markets only

Ministry of Industry Trade and Labor | Foreign Trade Administration | Investment Promotion Center Ministry of Industry Trade and Labor | Foreign Trade Administration | Investment Promotion Center

� IDE Technologies

� 25 year concession,since 2002

� Operation began in 2005

� Capacity of 118M m3/year

� GWI Award –‘Desalination Plant of the Year’ in 2006

� IDE Technologies

� 25 year concession,since 2006

� Operation began in 2009

� Capacity of 127M m3/year

� Euromoney Project Finance ‘Deal of the Year Award’ in 2007

� IDE Technologies

� 25 year concession, from end of 2013

� Operation expected in 2013

� Capacity of 150M m3/year

� Expected to be the largest SWRO plantin the world upon completion

Ashkelon, Israel Hadera, Israel Sorek, Israel

Large Desalination Plants in Israel

� GES

� 30 year concession,since 2003

� Operation began in 2007

� Capacity of 45M m3/year

� Expansion to 90M m3/year in 2014

Palmachim, Israel

Ministry of Industry Trade and Labor | Foreign Trade Administration | Investment Promotion Center Ministry of Industry Trade and Labor | Foreign Trade Administration | Investment Promotion Center

Large Desalination Plants Worldwide

by Israeli Companies (IDE)

� Operation began in 2001

� Capacity of 21.5M m3/year

� Largest and most advanced SWRO plant in Cyprus

Larnaca, Cyprus

� Operation began in 2010

� Capacity of 73M m3/year

� The largest MED-based desalination plant in China

Tianjin, China

� Operation began in 1998

� Capacity of 58.4M m3/year. Extension up to 85M

� India’s largest seawater desalination plant

Reliance, India

� Operation began in 2013

� Capacity of 51.1M m3/year

� Designed to operate efficiently despite the exceptionally challenging water conditions

Cape Preston, Australia

� Operation will begin in 2016

� Capacity of 90M m3/year

� Set to become the largest desalination plant in the USA

Carlsbad, USA

Ashkelon Desalination Plant

� Client: Government of Israel

� Capacity of 118M m3/year- Drinking Water $0.53/m3

� The world’s second largest operating SWRO plant

� GWI Award – ‘Desalination Plant of the Year’ – 2006

� Pressure center design concept: HP, RO, ERS

� Energy: Independent Power Producer (IPP)

Boron in product: <0.4 ppmChlorides in product: <30 ppmTDS in product: <300 ppm

Hadera Desalination Plant

� Client: Government of Israel

� Capacity of 127M m3/year

� Drinking water $0.57/m3

� The largest SWRO operating desalination plant worldwide

� Build-Operate-Transfer - 25 years

� Commissioned – 2009

� Pressure center design concept (HP, RO, ERS)

� Cascade boron treatment

Hadera Desalination Plant

BWRO (Cascade)

Pretreatment

SWRO

Post Treatment

Product Water Tank

Intake

1313

Hadera Desalination Plant

� The largest operating SWRO desalination facility in the world

� One of the lowest-ever costs for high quality desalinated seawater

� Construction period (including extension): 28 months

� ‘Deal of the Year Award’ in 2007

�On-Time. Within Budget. Above Specifications

� Capacity of 150M m3/year-Drinking water

� Very low water cost: ~$0.58/m3

� Largest SWRO in the world upon completion (2013)

� 16 inch membranes, resulting in lower investment, reduced footprint and plant management

Sorek Desalination Plant

Boron in product: <0.3 ppmChlorides in product: <20 ppmTDS in product: <300 ppm

Sorek Desalination Plant

S

R

P M

E

P M

P M

16" 16” 16”16”16”16”16”16”

16" 16” 16”16”16”16”16”16”

IDE Pressure Center Option- 16 Inch Membranes

Sorek Desalination Plant

IDE Pressure Center Option- 16 Inch Membranes

Ministry of Industry Trade and Labor | Foreign Trade Administration | Investment Promotion Center Ministry of Industry Trade and Labor | Foreign Trade Administration | Investment Promotion Center

� Holistic approach within local markets: regulator, municipality, farmer, wholesaler, end user

� International cooperation between regulators, government offices and local municipalities around the world

� Smarter infrastructure: IT, remote sensing, water management, ecological solutions

� International organizations

Future Challenges

Ministry of Industry Trade and Labor | Foreign Trade Administration | Investment Promotion Center Ministry of Industry Trade and Labor | Foreign Trade Administration | Investment Promotion Center

The 7th International Water & Environmental Control Technologies Exhibition and the 4rd International Conference WATEC

Israel 2013

Tel Aviv Exhibition Center

Tel Aviv, Israel, October 22- 24, 2013

WATEC 2013

Ministry of Industry Trade and Labor | Foreign Trade Administration | Investment Promotion Center Ministry of Industry Trade and Labor | Foreign Trade Administration | Investment Promotion Center

Thank you