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‘This graph includes data for NO, emissions and shows a reduction of NO, emissions by ~80% over diesel Because ignition delay is shorter with DMB, NO, emissions should, in principle, be lower than those for diesel fuel'®. In addition, when DME is used as an altemative fuel for diesel engines a NO, reduction catalyst can be applied because of the absence of sulphur in the fuel. Due to the lack of particulate matter, exhaust gas recycle (EGR) can also be applied" Fig. 2.18 - Road load test data comparing engine emissions using diesel and DME’. (BA Diese! Baseline 2 ‘The tarik-to-wheel efficiencies shown in Fig, 2.19 below, include everything related to the vehicle (ic. transmission, engine, etc), and its operation. The results compare tank-to-wheel vehicle cfficiencies for various fuels and vehicle technologies. Referring to the “conventional” and “hybrids” sections in Fig. 2.19 below, the compression ignition engine fuelled with dimethyl ether has improved emissions over a CI engine fuelled with diesel”. Benefits of compression ignition engine operation with DME’s can be summarized as follows: © Low sulphur and nitrogen; «Relatively low emission of NO, and other pollutants; «High cetane number (> 55); °-T.A, Semelsberger et al. Journal of Power Sources 156 (2006) 497-511 (pg 500) °° Constantine Arcoumanis, Choongsik Bae, Roy Crookes, Eiji Kinoshita, Fuel 87 (2008) 1014-1030 Pg 454 DME Handbook AMBRE ENERGY LIMITED INTIAL ADVICE STATEVENT ‘+ Low cylinder combustion pressure and rates of cylinder pressure rise, which results in low ‘engine noise and less wear, and ‘+ Peak output torque/power is the same as for engines using conventional diesel fuel. TIWGHG @-CO, £4 / mile) TET 2 PEPPER GEPEEEE Hey Fig. 2.19 - Vehicle emissions for various alternative fuels and vehicle technologies” Inother applications! DME has been shown to be an excellent ges turbine fuel with emission properties similar to natural gas. 2.7 Resourees required Water supply Water is the main source of hydrogen for the Project but is also needed for dust suppression and other mining related purposes. Project needs for the demonstration stage are approximately 1,000 MLiyt. It is proposed to build a water storage dam with a capacity of at least 1,000 ML. The ultimate size will be determined as part of the EIS process. Potential sources of water include: " L-B-Systemtechnik GmbH, GM Wellto-Wheel Analysis of Energy Use and Greenhouse Gas Emissions of ‘Advanced Fuel/Vehicle Systems—A European Study, 2002 “Basu A, Wainwright JM. DME as a power generation fuel: performance in gas turbines. In: PETROTECH-2001 conference; 2001. 27 INA, ADMIGE STATEVENT AMBRE ENERGY LIMITED ‘+ waste water produced by coal seam methane producers; + run off water from waste overburden dumps and the processing plant; ‘+ recycled waste water from towns in the region; water entitlements purchased from landholders; and © other government-controlled sources. Work force ‘The Demonstration Stage of the Project development will require the following workforce: ‘+ construction - 600 persons for 15 months; mining and coe! handling - 60 persons ongoi ‘processing plant - 50 persons ongoing; and ‘¢ management and technical services - 15 persons ongoing. ‘Accommodation for construction workers will be provided via a temporary camp, the location of which is yet 1o be determined. Ongoing workers have @ number of attractive permanent accommodation options in surrounding towns. Where possible, personnel already living in the region will be invited to apply to fulfl positions available at the Project. Transport Transport requirements are: ‘* a corridor for conveyor transport of coal across the Pittsworth-Felton Road and retum of solid waste to the overburden dumps in the mining area; road access to transport infrastructure components to site — the existing road corridor is suitable; and_ * road access to bring workers to site on a continuous roster, requiring transport at night. Utilities Requirements include: © high voltage power transformers, power switch yards and high voltage power lines connecting the site with the national grid and; * pipelines for transporting water to site and DME and CO, to markets (initially during commissioning stage, DME might be transported by rail and road transport). AMNBRE ENERGY LIMITED INTL ADVICE STATEVENT 2

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