Valmet Corp · OMXHEX:VALMT
Valmet — Investor Day (November 2020)
45 slides from Valmet's investor day presentation, Nov 19, 2020
Slide 1: Valmet Pulp & Energy Investor Day
Valmet Pulp & Energy Investor Day November 19, 2020
Slide 2: Agenda
Agenda 2:00 pm Valmet`s Pulp and Energy business today Bertel Karlstedt, Business Line President, Pulp and Energy 2:05 pm Valmet`s Energy business - Long-term demand driven by the move to a carbon neutral world Presentation followed by Q&A Kai Janhunen, VP, Energy Business Unit 2:30 pm Future growth
Slide 3: Q&A
Q&A Please participate by asking questions! You can submit questions throughout the event using the question form Three Q&A sessions After the Energy presentation After the Pulp presentation In the end of the event Questions are visible only to the moderator, who will address them to the
Slide 4: Valmet's Pulp and Energy business today
INTERNAL Valmet’s Pulp and Energy business today Bertel Karlstedt, Business Line President
Slide 5: Pulp and Energy at a glance
Pulp and Energy at a glance • World-class pulp mill offering and complete Orders received (EUR million) Net sales (EUR million) delivery capability 1,125 1,000 963 939 1,032 864 913 919 • Global technology and know-how leader in 678 826 800 863 biomass and multifuel based energy production • A natur
Slide 6: We are committed to moving our customers' performance forward
We are committed to moving our customers’ performance forward Bio and environmental Pulp Energy technologies • Chemical Pulp Mills • Municipalities • Marine • Dissolving Pulp Mills • Utilities • Ethanol industry • Mechanical Pulp Mills • Independent power producers • Chemical industry • Fiberboard p
Slide 7: Forward
FORWARD
Slide 8: Valmet as a partner in energy
INTERNAL Illustration by BST-Arkkitehdit / Tampereen Sähkölaitos Valmet’s energy Valmet as business: a partner in energy Long-term projects demand driven by the move to a carbon neutral world Kai Janhunen Vice President, Energy business unit
Slide 9: Contents
Contents 1 Energy business unit 2 Global market drivers 3 Order backlog 4 Key references 5 Summary 9 19 November 2020 © Valmet | Pulp and Energy Investor Day
Slide 10: Energy business unit
Energy business unit Energy business unit Solution offering Customer segments • Orders received (period 2017-2019) Biomass to Energy plants • Industrial • 32%-52% of P&E OR Industrial residues and Waste to Energy • Power generation • Average ~400 MEUR, ~40% of P&E OR (RDF) plants • Waste managem
Slide 11: Global market drivers – Climate actions
Global market drivers – Climate actions Japan Resource efficiency • Waste widely recognised as valuable resource • Increased recovery and recycling Japan's PM Yoshihide Suga: Climate change policy of • Residual waste > Energy recovery EU carbon neutrality by 2050 • Higher efficiencies Environmental
Slide 12: Ongoing energy projects / Order backlog
Ongoing energy projects / Order backlog EMEA • Kilpilahti Power Plant, Finland • Zespol Elektrowni Patnow-Adamow- China 145 MW th asphaltene fired CFB+AEC Konin, Poland Conversion to biomass fired BFB+AEC • Beijing Environment Sanitation Start-up 2019 Engineering Group Start-up 2021 • Borås Energi o
Slide 13: Key references 2020
Key references 2020 Photo by customer Photo by customer Photo by customer TKS Naistenlahti 3, Tampere, Finland Norske Skog, Bruck, Austria Zespół Elektrowni, Konin, Poland Helen, Vuosaari plant, Finland Energy turnaround towards Coal phaseout, reduce carbon Coal phaseout, the first Polish Reduce car
Slide 14: Summary
Summary Valmet in Energy - Reliable technology partner in changing energy markets • Resource efficient, flexible and clean solutions for energy and industrial customers Global trends and changing energy markets drive renewal and adaptation Our project portfolio shows global market coverage and s
Slide 15: Forward
FORWARD
Slide 16: Q&A Energy
Q&A Energy Submit questions using the question form Questions are visible only to the moderator, who will address them to the presenter
Slide 17: Future growth in pulp - driven by favorable megatrends
INTERNAL Future growth in pulp - driven by favorable megatrends Jussi Mäntyniemi Vice President, Recovery business unit
Slide 18: Contents
Contents 1 Our offering for pulp production 2 Project execution in a pulp mill project 3 Megatrends and pulp market 4 Future possibilities 5 Summary 18 19 November 2020 © Valmet | Pulp and Energy Investor Day
Slide 19: Valmet has leading technology for all pulp mill islands and processes
Valmet has leading technology for all pulp mill islands and processes Woodhandling Cooking and fiberline Pulp drying Evaporation Recovery boiler White liquor plant Heat and power production Air emission control Process controls and simulators 19 19 November 2020 © Valmet | Pulp and Energy Investor D
Slide 20: Our unified project execution model ensures successful project delivery
Our unified project execution model ensures successful project delivery Project length depends on the scope and size of the project, typically 1-3 years Sales Project delivery Service Construction and Commissioning Performance Establishment Engineering Procurement Production Logistics Warranty insta
Slide 21: Example: Mondi Steti
INTERNAL Example: Mondi Steti New recovery boiler to an existing mill 14-month site works in 14 seconds
Slide 22: Global megatrends impact also pulp production
Global megatrends impact also pulp production Resource efficient and clean Digitalization and new technologies Urban, responsible and global world consumers Climate change, environmental Digitalization, automatization and new Urbanization, increasing living awareness and resource scarcity high impac
Slide 23: Paper demand and fiber consumption by grade 2017-2030
Paper demand and fiber consumption by grade 2017-2030 Long-term Paper Demand Growth by Product Area 2017-2030 Papermaking Fibre Consumption by Grade 2017-2030 23 19 November 2020 © Valmet | Pulp and Energy Investor Day Source: Pöyry Management Consulting World Fibre Outlook 2018
Slide 24: Chemical pulp capacity by area and announced large projects
Chemical pulp capacity by area and announced large projects 21 18 35 45 Avg. tech. 36 Avg. tech. age 22 EMEA 8 7 18 age China Avg. tech. NA age 11 29 27 16 32 Avg. tech. 6 AP Avg. tech. age SA Capacity, million tonnes per annum age Market pulp Ongoing projects (over 0.5 Mt/a) Integrated pulp Announc
Slide 25: Drivers and future possibilities
Drivers and future possibilities Improved safety and New value-adding Cost and production Product environmental products and efficiency differentiation performance platforms for growth 25 19 November 2020 © Valmet | Pulp and Energy Investor Day
Slide 26: New value adding processes – integrated to pulp mills
New value adding processes – integrated to pulp mills Sulfuric acid plant Biomass gasifier • Integrated sulfuric • Bark, sawdust and acid production of forest residue mill’s NCG gasified to produce (odorous gases) biogas for e.g. lime-kiln LignoBoost Sugar extraction • Lignin extraction • Extraction
Slide 27: Unrivalled combination of technology, services and automation for pulp customers
Unrivalled combination of technology, services and automation for pulp customers Chemical pulp mills Additional technologies • Complete mills and technology islands • Mechanical pulping - Wood handling • Heat and power boilers - Cooking and fiber line • CFB gasification - Recovery • Lignin extractio
Slide 28: Forward
FORWARD
Slide 29: Q&A Pulp
Q&A Pulp Submit questions using the question form Questions are visible only to the moderator, who will address them to the presenter
Slide 30: The new normal - opportunities through digitalization and Valmet's industrial internet
INTERNAL The new normal - opportunities through digitalization and Valmet’s industrial internet Tuomas Petänen Head of Energy Segment, Industrial Internet
Slide 31: Profitability can be improved with real-time data and analytics
Profitability can be improved with real-time data and analytics Energy ● Is your plant running in optimal capacity right Revenue: now? Maximize • Electricity revenue • Heat ● What are the upcoming risks for production downtime? ● Is the fuel economy on an optimal level? Costs: Minimize • Fuels costs
Slide 32: Profitability can be improved with real-time data and analytics
Profitability can be improved with real-time data and analytics Pulp ● Does your mill have capacity limitations right now? Revenue: Maximize • Pulp production revenue ● What are the upcoming risks for production • Other streams downtime? ● Is performance for each process area optimized? Costs: Minim
Slide 33: Why is Valmet investing in Industrial Internet?
Why is Valmet investing in Industrial Internet? Move our customers’ performance forward - Improved operation and maintenance Process New insight with real-time process data technology - Deep insight on performance of our deliveries Digitalization improves our competitiveness - Performance opti
Slide 34: Demo Valmet Industrial Internet
INTERNAL Demo Valmet Industrial Internet
Slide 35: Demo
Demo 35 19 November 2020 © Valmet | Pulp and Energy Investor Day
Slide 36: Demo
Demo 36 19 November 2020 © Valmet | Pulp and Energy Investor Day
Slide 37: Key elements of Valmet Industrial Internet - VII
Key elements of Valmet Industrial Internet - VII Industrial Internet applications Valmet Performance Center Valmet Customer Portal Contact experts • Solve problems • Benchmark performance • Build capabilities • Innovate together From analytical applications for reliability and Provides remote suppor
Slide 38: Opportunities through digitalization and Valmet's Industrial Internet
Opportunities through digitalization and Valmet’s Industrial Internet Fleet performance CO2 Emissions 100% Year to date 8 900 tons/MWe 50% 0% Process Process Process Process Process Process 1 1 1 1 1 1 Predictive maintenance Autonomous mills Fleet management Corporation level transparency Opportunit
Slide 39: Forward
FORWARD
Slide 40: Summary of key messages
INTERNAL Summary of key messages Bertel Karlstedt, Business Line President
Slide 41: Pulp and Energy key messages
Pulp and Energy key messages Pulp and Energy in good position Industrial Internet and digitalization Good order backlog for the coming years Combination of technology, automation and services knowhow Global technology and know-how leader Solution offering meeting customer A natural growth
Slide 42: Forward
FORWARD
Slide 43: Q&A
Q&A Submit questions using the question form Questions are visible only to the moderator, who will address them to the presenters
Slide 44: Feedback survey
INTERNAL Feedback survey Please respond! We greatly appreciate your feedback Thank you!
Slide 45: Forward
FORWARD