From: Ian Clarke <ian.clarke@alfalaval.com>

To: Betsy Bicknell <betsy.bicknell@erg.com>, <Anderson.DonaldF@EPA.GOV>

CC: Jeff Logan <jeff.logan@alfalaval.com>

Date: 2/25/2011 4:52 PM

Subject: ALFA LAVAL

- Budget

- level costs for by

- products recovery plants

Attachments: Alfa Laval Condec

- BUDGETARY PROPOSAL for 30MT fish bi

- product per 24 hrs.pdf; Alfa Laval Condec

BUDGETARY PROPOSAL for 180MT fish bi

- product per 24 hrs.pdf

Hello Don/Betsy,

Jose Carpio passed your request on to me. Please see the attache d

budgetary estimates for fish/salmon bi

- products processing. I've put

together estimates for the small and large end of your stated capacities.

These prices are budget estimates and are intended for your use only.

Please don't hesitate to contact eit her myself of Jeff Logan if you have

any questions.

Best Regards,

Ian Clarke

Regional Sales Manager

Tel direct: +1 415 297 7800

ian.clarke@alfalaval.com

Alfa Laval Inc.

4013 Vista Park Court

- Sacramento, CA 95834

- United States

Tel switchboard: +1 866 Alfa Laval

www.alfalaval.us

- customerservice.usa@alfalaval.com

This is a communication from Alfa Laval Inc. and may be privileged. If you

are not the intended recipient, please delete this message and notify us

immediately.From: Jose Carpio <jose.carpio@alfalaval.com>

To: <Anderson.Donaldf@epamail.epa.gov>, <ian.clarke@alfalaval.com>

CC: "Anne Jones" <Anne.Jones@erg.com>, Betsy Bicknell <betsy.bicknell@erg.com>, <Doley.Todd@epamail.epa.gov>,

"Melanie Sands" <Melanie.Sands@erg.com>

Date: 2/13/2011 9:56 AM

Subject: Re: Fw: budget

- level costs for very small by

- products recovery plants

Attac hments: pic19606.gif

Hello Betsy & Don,

After my conversation with Betsy, I asked my supervisor Jeff Logan,and

Pacific Coast colleague, Ian Clarke to assist you with your request. Their

contact details are

Ian Clarke

Regional Sales Manager

Tel direct: +1 415 297 7800

ian.clarke@alfalaval.com

4013 Vista Park Court

- Sacramento, CA 95834

- United States

Jeff Logan

Market Manager

- Protein, Food & Beverage Technology

Tel direct: 978

- 463

- 6340

- Mobile: 978

- 853

- 8218

jeff.logan@alfalaval.com

Visit: 111 Parker Street

- MA

Tel switchboard: +1 978

- 465

- 5777

- Fax switchboard: +1

978

- 465

- 6006customerservice.usa@alfalaval.com

Sincerely,

Jose D. Carpio

(Embedded image moved to file: pic19606.gif)

Jose Carpio

Tel direct: 804

- 545

- 8307

- Mobile: +1

- 804

- 852

- 9340

- Fax: +1

- 804

- 545

- 2028

jose.carpio@alfalaval.com

Alfa Laval Inc.

5400 International Trade Drive

- Richmond, VA 23231

- United States

Tel switchboard: +1 804

- 222

- 5300

- Fax switchboard: +1 804

- 236

- 3276

www.alfalaval.us

- customerservice.usa@alfalaval.com

This e

- mail is intended solely for the use of the individual or entity to

whom it is addressed and its

content shall be regarded as confidential unless explicitly stated

otherwise. If you have received this e

- mail

by mistake, please notify the sender immed iately by e

- mail and delete this

e

- mail from your system.

Anderson.Donaldf@

epamail.epa.gov

To

02/09/2011 03:15 <jose.carpio@alfalaval.com>, Betsy

PM Bicknell <betsy.bicknell@erg.com>

cc

"Anne Jones" <Anne.Jones@erg.com>,

"Melanie Sands"

<Melanie.Sands@erg.com>,

Doley.Todd@epamail.epa.gov

Subject

Fw: budget

- level costs for very

small by

- products recovery plantsJose

-

We recognize there are a lot of detailed questions for which we are

asking your assistance, but they are very important to our work. We will

very sincerely appreciate your time and effort in responding in as much

detail as is possible to assist us in our costing work.

Don

Donald F. Anderson

Senior Environmental Engineer

Engineering and Analysis Division (4303T)

Environmental Protection Agency

For regular mail, balance of address is:

1200 Pennsylvania Avenue, NW

Washington, DC 20460

Email: Anderson.DonaldF@EPA.GOV

Ph: (202) 566

- 1021

FAX: (202) 566

- 1053

Express / Hand Delivery, balance of address is:

EPA West

- Connecting Wing; Rm 6233V

1301 Constitution Avenue, NW

Washington, DC 20004

----- Forwarded by Donald F Anderson/DC/USEPA/US on 02/09/2011 03:08 PM

-----

From: "Betsy Bicknell" <Betsy.Bicknell@erg.com>

To: <jose.carpio@alfalaval.com>

Cc: DonaldF Anderson/DC/USEPA/US@EPA

Date: 02/09/2011 11:40 AM

Subject: budget

- level costs for very small by

- products recovery

plants

Jose:

I very much appreciate talking with you about costs for very small fish

meal/fish oil plants for southeast Alaska. I'm looking for a quote in

the next week or so.

As I mentioned during our call, I work for ER G, a contractor to U.S.

Environmental Protection Agency (EPA). EPA is considering updates to the

seafood waste disposal requirements in certain areas of Alaska. You can

learn more about EPA's effort at

http://water.epa.gov/scitech/wastetech/guide/seafood_ index.cfm

Among other things, ERG is supporting this EPA effort by estimating the

costs for alternative waste management strategies, including by

- products

recovery. I'm developing cost estimates for the same management

strategies that EPA investigated 30 years ago. The contractor summary

for the by

- product plant estimates is included in the attached pdf (from

Reassessment of Effluent Limitations Guidelines and New Source

Performance Standards for the Canned and Preserved Seafood Processing

Point Source Category; by E.C. Jordan, Inc., Portland, Maine; December

1979). As you can provide, I'm looking for the same information listedon the top of page 168:

1. Itemized equipment list and approximate total shipping weights

2. Equipment prices (CI F Seattle, WA)

3. Installation requirements (labor)

4. General equipment layouts for determining building sizes

5. Estimated maintenance requirements over the life of the equipment

6. steam consumption

7. power consumption

8. estimated fish meal and fish o il yield

I'd also appreciate an estimate of the minimum amount of waste that

could be run through the plant in a day.

My concept was to size the plant based on average tons/12 hour day to

have capacity for peaking. I recognize that this may be more costl y than

storing raw material for a short time to equalize material flow. If you

size the plants based on average tons/ 24 hour day we would need to add

costs for bins/hoppers for raw material storage, to equalize raw

material flow into the plant.

The follo wing assumptions apply:

raw material to be processed: salmon waste (from traditional canning,

skinless/boneless canning, and fresh/frozen fillets and whole fish)

plant locations: southeast Alaska, Prince William Sound, and Kenai

Peninsula

duration of operation: 90 days/year

amount of raw material (waste) to process: average tons/day for the peak

month range from 15 to 90 U.S. tons/day (e.g., 16, 19, 26, 27, 44, 60,

69, 87 U.S. tpd)

peak day can be 1.7 to 2 times the amount of the average day.

The lower ranges assume that each plant has its own by

- products plant.

The higher range assumes that one plant will be built in each processing

center, and waste will be trucked to the combined plant (similar to the

arrangement in Kodiak).

PUMPS

As I mentioned, I also need to estimate the cost for a screening and

off

- shore disposal waste management alternative.

For this alternative the processing plants would:

- Screen wastewater stream (0.5 to 0.77 mm wedgewire screen)

- Haul retained solids off

- sh ore (fishing skow or tender)

- Monitor screened wastewater for TSS and O&G

- Discharge screened wastewater through existing outfall

I assume wastewater will be pumped to rotary a screen from the existing

sump using new pumps. For my estimate I'm planning to

- Include costs for 3 pumps

Assume 1 pump will operate for average daily flow

Assume 2 pumps will operate for peak flow

Third pump for back up

Cost positive displacement pumps

Assume 30 ft head

Determine maximum wastewater flow and pounds of solids; size pumps at 1⁄2

max so 2 pumps can handle max;

Estimate required pump horsepower

Estimate operating hours per year to estimate electric power use

I have limited and conflicting information about the water used by the

salmon processing plants (some are canneries and some are small "fresh &

frozen" operations. EPA published production normalized flows in 1979

hand butchered salmon: ranged from 427 to 2,750 gal/ton of raw product,

mean 1,250 gal/ton

mec hanized salmon (I think this means canneries) 1,700 to 4,900 gal/ton

of raw product, mean 3,970 gal/tonEPA's 2010 questionnaire asked for flow rates, but many respondents did

not answer the questions. The reported flows don't seen to relate to the

plant production. The reported wastewater flows ranged from 18,000 to

350,000 gal/day (EPA did not ask for the maximum wastewater flow rate).

I'd appreciate your thoughts on how to estimate the size of pump

required to transfer the water/waste to the wedgewire screen. I'm also

looking for costs for the pumps and for pumps to transfer the dewatered

waste to the disposal vessel.

Jose, I look forward to hearing more from you. I know this is a lot of

information and I appreciate your help.

If you'd like to talk some more before you pull the costs together,

please feel free to email me (betsy.bicknell@erg.com) or call at (703)

633

- 1612.

Betsy

Betsy Bicknell

Senior Environmental Engineer

Eastern Research Group, Inc.

(703) 633

- 1612

betsy.bicknell@erg.com[attachment "1979 cost bkg_1.pdf" deleted by

DonaldF Anderson/DC/USEPA/US]

### Page 1 of 7

February 2 4 , 2011

Betsy Bicknell

Senior Environmental Engineer

Eastern Research Group, Inc.

Donald F. Anderson

Senior Environmental Engineer

, E

. P

. A

. 1200 Pennsylvania Avenue, NW

Washington, DC 20460



# Budgetary E s t i m a t e

- f o r e s t i m a t i n g p u r p o s e s o n l y

Type

- Alfa Oil module

- peak production 180 MT fish bi

- product / 24 hrs

Dear Betsy

/ D o n a l d

,

Please see the below BUDGETARY pricing and equipment breakdown

. The p r o p o s e d plant is

desi gned to process app roximately 7 .5 metric tons of raw material feed per hour

, with the goal

of producing salmon oil and de

- wat ered solid material suitable f o r send i n g to a drying step for

fishmeal/etc p r o d u c t i o n

.

The plant has been priced with all listed item s including shredder , Contherm scraped surface &

indirect steam heater, 3

- phase decanter, high speed oil purifier (optional) , oil dryer and cooler

, as well as necessary tanks, pumps, automation, engineering, and on

- site start up and

commissioning. Solids dryer for fishmeal production is NOT included in price scope. If you like

Alfa Laval can provide you with contac ts to provide budget price quoting for this portion of the

process.

The quotation includes:

 General Scope

 Price Summary

 Terms and Conditions of Sale

P l e a s e n o t e t h i s quot ation is intended solely for y o u r review and the content is considered

confidential unle ss explicitly stated otherwise

. Please don’t hesitate to con tact either myself,

Jeff Logan if you have any further questions or need any additional information.

R egards,

Ian Clarke

Alfa Laval Inc.

Regional Sales Manager

ian.clarke@alfalaval.com , ph: 415 297

- 7800

### Page 2 of 7

General Scope

Alfa O il Re covery plant

– Contherm Based Fish Oil recovery from salmon bi

- products

. Includes:

Item Description

00

. Shredder

01. Feed pump with mince hopper

02

. Six

- Contherm scrape surface indirect steam heater s

03

. Intermediate tank and pump

04

. NX 438 B

- 11 G

- three phase decanter

05

. Raw oil tank with pump

06

. AFPX 810XGV

- 14 purifier (optional adder for oil polishing)

07

. Sludge and water pump

08

. Finished Oil tank

09. System Automation

10

. Oil Dryer

Engineering

Commissioning /

Training

Price Summary

Option 1

- EXCLUDING item 06

. - AFPX 810 high speed oil purifier

Option 2

- INCLUDING item 06

. - AFPX 810 high speed oil purifier

 All parts in contact with the product including bowl shell, hubs and casing are of stainless

steel.

 Start up/commissioning provide d as described in plant specification (specification to be

provided upon firm proposal). All additional field service support , commissioning and

start up assistance at Alfa Laval published rates

PAYMENT CONDITIONS

50% with purchase order

5 0% at shipment from factory Net 30 days Description QTY Unit Price Ext Price

Alfa Oil Recovery Plant

7.5 MT raw material/hr 1 1,4 15,000 $ 1,4 15 ,000

Description QTY Unit Price Ext Price

Alfa Oil Recovery Plant

7.5 MT raw m a t e r ia l / hr 1 1,5 95,000 $ 1,5 95 ,000

### Page 3 of 7

DELIVERY TIME

FCA

. The equipment can be ready for dispatch, FCA , normally within 2 6

- 3 2 weeks after

confirmation of order and payment. Exact delivery depends on items ordered and factory

production schedule at time of order receipt and will be advised after order has been confimed.

PRICE VALIDITY

Pricing is budgetary and for estimating purposes only . Prices are quoted in USD$.

GENERAL CONDITIONS

Insofar as they are not contradictory to the provisions of this quotation, the annexed "Alfa Laval

Terms and Conditions of Sale Rev 032204", shall apply.

RESERVATION

This quotation is valid for 30 days from the date of quotation. Orders are not binding to us

before we have confirmed them. Rated throughput and consumption figures indicated above are

not in any way or form to be regarded as guarantees but as indicative figures only for initial

plannin g purposes.

TERMINATION CLAUSE

- TERMINATION FOR CONVENIENCE

A. Buyer shall have the right to terminate for its convenience the further performance of all or

any separable part of this Purchase Order at any time by providing written notice to Seller,

which notice shall be effective on the date received by Seller. On the date of termination Seller

shall 1) discontinue all work pertaining to this Purchase Order or the part thereof referred to in

Buyer’s notice; 2) take reasonable steps to assure no addi tional orders for materials or parts

related to the terminated work are placed; 3) preserve all relevant work in progress and

completed work in Seller's possession; and 4) dispose of same in accordance with Purchaser's

instructions.

B. Upon receipt of Bu yer’s notice of termination for convenience as provided, Seller shall

prepare and submit an invoice for all work performed and costs incurred by Seller as reasonably

determined by Seller, which Buyer shall promptly pay upon receipt.

R egards,

Ian Clarke

Alfa Laval Inc.

Regional Sales Manager

ph: 415 297

- 7800

ian.clarke@alfalaval.com

### Page 4 of 7

### Page 5 of 7

### Page 6 of 7

### Page 7 of 7

### Page 1 of 7

February 2 4 , 2011

Betsy Bicknell

Senior Environmental Engineer

Eastern Research Group, Inc.

Donald F. Anderson

Senior Environmental Engineer

1200 Pennsylvania Avenue, NW

Washington, DC 20460



# Budgetary E s t i m a t e

- f o r e s t i m a t i n g p u r p o s e s o n l y

Type

- Alfa Oil module

- peak production 30 MT fish bi

- product / 24 hrs

Dear Betsy

/ D o n a l d

,

Please see the below BUDGETARY pricing and equipment breakdown

. The plant is desi gned

to process app roximately 1

- 1.5 metric tons of raw material feed per hour

, with the goal of

producing salmon oil and de

- wat ered solid material suitable f o r send i n g to a drying step for

fishmeal/etc p r o d u c t i o n

.

The plant has been priced with all listed item s including shredder , Contherm scraped surface &

indirect steam heater, 3

- phase decanter, high speed oil purifier ( optional) , oil dryer and cooler

, as well as necessary tanks, pumps, automation, engineering, and on

- site start up and

commissioning. Solids dryer for fishmeal production is NOT included in price scope. If you like

Alfa Laval can provide you with contacts to provide budget price quoting for this portion of the

process.

The quotation includes:

 General Scope

 Price Summary

 Terms and Conditions of Sale

Please don’t hesitate to con tact either myself, Jeff Logan if you have any further questions or

need any additional information.

R egards,

Ian Clarke

Alfa Laval Inc.

Regional Sales Manager

ian.clarke@alfalaval.com , ph: 415 297

- 7800

### Page 2 of 7

General Scope

Alfa O il Re covery plant

– Contherm Based Fish Oil recovery from salmon bi

- products

. Includes:

Item Description

00

. Shredder

01. Feed pump with mince hopper

02

. One

- Contherm scrape surface indirect steam heater

03

. Intermediate tank and pump

04

. NX3651 B

- 11 T

- three phase decanter

05

. Raw oil tank with pump

06

. AFPX 407 BPT

- 14 purifier (optional adder for oil polishing)

07

. Sludge and water pump

08

. Finished Oil tank

09. System Automation

10

. Oil Dryer

Engineering

Commissioning /

Training

Price Summary

Option 1

- EXCLUDING item 06

. - AFPX 407 high speed oil purifier

Option 2

- INCLUDING item 06

. - AFPX 407 high speed oil purifier

 All parts in contact with the product including bowl shell, hubs and casing are of stainless

steel.

 Start up/commissioning provide d as described in plant specification (specification to be

provided upon firm proposal). All additional field service support , commissioning and

start up assistance at Alfa Laval published rates

PAYMENT CONDITIONS

50% with purchase order

5 0% at shipment from factory Net 30 days Description QTY Unit Price Ext Price

Alfa Oil Recovery Plant

1

- 1.5 MT raw material/hr 1 $ 795 ,000 $ 795 ,000

Description QTY Unit Price Ext Price

Alfa Oil Recovery Plant

1

- 1.5 MT raw m a t e r ia l / hr 1 $ 89 5 ,000 $ 89 5 ,000

### Page 3 of 7

DELIVERY TIME

FCA

. The equipment can be ready for dispatch, FCA , normally within 24

- 26 weeks after

confirmation of order and payment. Exact delivery depends on items ordered and factory

production schedule at time of order receipt and will be advised after order has been confimed.

PRICE VALIDITY

Pricing is budgetary and for estimating purposes only . Prices are quoted in USD$.

GENERAL CONDITIONS

Insofar as they are not contradictory to the provisions of this quotation, the annexed "Alfa Laval

Terms and Conditions of Sale Rev 032204", shall apply.

RESERVATION

This quotation is valid for 30 days from the date of quotation. Orders are not binding to us

before we have confirmed them. Rated throughput and consumption figures indicated above are

not in any way or form to be regarded as guarantees but as indicative figures only for initial

planning purposes.

TERMINATION CLAUSE

- TERMINATION FOR CONVENIENCE

A. Buyer shall have the right to terminate for its convenience the further performance of all or

any separable part of this Purchase Order at any time by providing written notice to Seller,

which notice shall be effective on the date received by Seller. On the date of termination Seller

shall 1) discontinue all work pertaining to this Purchase Order or the part thereof referred to in

Buyer’s notice; 2) take reasonable steps to assure no addi tional orders for materials or parts

related to the terminated work are placed; 3) preserve all relevant work in progress and

completed work in Seller's possession; and 4) dispose of same in accordance with Purchaser's

instructions.

B. Upon receipt of Bu yer’s notice of termination for convenience as provided, Seller shall

prepare and submit an invoice for all work performed and costs incurred by Seller as reasonably

determined by Seller, which Buyer shall promptly pay upon receipt.

R egards,

Ian Clarke

Alfa Laval Inc.

Regional Sales Manager

ph: 415 297

- 7800

ian.clarke@alfalaval.com

### Page 4 of 7

### Page 5 of 7

### Page 6 of 7

### Page 7 of 7