Seawind Systems AS To develop the Norwegian supply chain for - PowerPoint PPT Presentation

Seawind Systems AS To develop the Norwegian supply chain for offshore wind

Seawind Systems – Vision Become the Global Offshore Wind Energy Supplier to generate sustainable, abundant and low cost energy Bottom fixed Floating Hurricane withstanding From 30 – 90 m Beyond 90 m Up to winds of 90 m/s Technology for all seabed conditions and water depths 2

Seawind Economics – Superior and Robust (Based on North Sea installation and economics; including grid connection) NOW 2022 Bloomberg Seawind 6.2 Seawind 10.4 Industry Target** Benchmark* CAPEX 2.4 4.0 1.85 2.5-2.8 (€ million/MW) LCOE < 70 126 < 35 < 80 (€ /MWh) > 40% more economical > 50% more economical * Bloomberg New Energy Finance: https://about.bnef.com/blog/h2-2016-lcoe-giant-fall-generating-costs-offshore-wind/ ** www.gwec.net/wp-content/uploads/2016/06/160603-FINAL-Offshore-wind-cost-reduction-statement-with-annex.pdf 3

Seawind - Turbine Portfolio Yields Rotor size Cost/MW Rotor size Cost/MW Seawind 6.2 MW Seawind 10.4 MW 126 m €2.5 million 210 m €1.875 million 4

Seawind Systems – From subsidized to fully commercial Based on heavy subsidies to off-shore wind in North Sea market, Europe has installed 90% of global capacity ( ̴14000 MW) built from 1996-2016 The EU Commission First oil shock First non-subsidised First offshore wind 1973 awards Seawind with farm installed by in offshore wind farm as the Seal of Excellence Bockstigen, Sweden claimed by German $ 330 mln funding from USA 2016 1996 EnBW in 2025 Government to NASA triggered by oil Seawind 6.2 MW Demonstrator to be shock led by Glidden Doman 1975 installed in Karmøy, Norway 2018 2-bladed 4 MW turbine installed in Seawind 6.2 MW Demonstrator to be USA, operating for 20 years certified by DNV-GL 1982 2020 2-bladed 1,5 MW teetering hinge North Sea LCOE turbine installed in Italy by Glidden including grid connection Doman/Finmeccanica 140 126 1991 Seawind LCOE (€ / MWh) 120 Industry Glidden Doman, Silvestro Caruso and 100 80 Martin Jakubowski take over all Seawind Systems first non-subsidised 70 80 patents and join forces to scale up the offshore wind farms to be proven 2-bladed technology 60 commissioned in 2020 & 2021 2003 -2006 35 40 First floating wind turbine installed in 20 Adriatic sea 0 2008 2017 2022 5

Seawind Systems – Key benefits Seawind Systems aims for a leadership position as Turnkey Offshore Wind Farm Supplier and Operator . The game-changing 2-bladed Seawind turbine technology originates from NASA, USA research on wind turbines. Key benefits: • Offshore Wind Energy System approach based on innovative wind turbine, support structure and installation method • Lower Capex and Opex than any other offshore wind energy solution • Lowest life cycle cost for offshore wind farm systems, far below current tariffs offered today by 3-bladed competitors in the North Sea • Strong competitive position also for smaller windfarms outside the North Sea area due to easy and low cost installation procedure • Wind Turbine Lifetime of 30+ years compared to 20 years for traditional three-bladed offshore wind turbines • Seawind can withstand Category 5 hurricanes up to 90 m/s without damage. 3-bladed turbines are far more sensitive to extreme winds Robust design with reduced fatigue values and low-cost onboard The company has been reviewed by peers. maintenance and repair. Dual access by ship and helicopter. • The European Commission awarded the technology a Seal of Excellence • Certification of the technology through DNV-GL 6

Concrete Gravity Foundation – Installed by Sinking • Seawind uses floating concrete foundations, designed by Dr. Techn. Olav Olsen AS: cheaper, when industrialized (serial industrial production), longer life time (above 70 years, two turbine generations per concrete structure), no corrosion protection devices; less CO2 emission for concrete compared to steel • Almost no sound propagation at sea due to huge concrete mass • Concrete support structure made on pier, completed with nacelle and rotor on pier and launched as complete unit by sinking, no lifting offshore! • The complete system is installed in a rapid one-shot operation • Weight of concrete support structure: ~7000 t for 30- 40 m water depth ballasted at the site with sand and water 7

Unique concept – Low cost production and installation Competitive edge inwaters where North Sea - type of infrastructure is not available The complete system is assembled onshore with land based cranes not offshore with expensive vessels ……. and transported, 4 or 6 at a time, to the wind farm location by semi-submersible vessels The semi-submersible ship unloads the units, which are towed by tug boats for final positioning For full video see: www.seawindtechnology.com 8

Strong Commercial Pipeline – No competition from existing players Seawind Systems commercial projects for windfarms 2020-2021 Typical Operating Parameters for a plant of four Seawind 6.2 MW units as first phase of Several projects off the African coast larger project  LOI’s signed  Project development in close cooperation with leading local construction company (2017-2018) Yearly Energy Generation 100.000 MWh p.a.  EPCM through Seawind Systems AS: responsible for construction and installation of the Seawind Offshore Wind Energy System Capacity Utilization Factor 46%  Contracts for financial closing of phase 1 Q4 2019, operational Q4 2020 Losses in Cable & Inverter 8%  Project Revenues > 1 billion euro Two+ projects in Europe Net energy generation 92.000 MWh p.a.  LOI first project signed Life of the Plant 35 Years  Project development 2018-2019  EPCM through Seawind Systems AS, Norwegian Hub (slide 11)  Representing a Truly Global Opportunity Contracts for financial closing Q4 2019  Project Revenues > 1 billion euro Two+ projects in Asia  LOI currently under negotiation  Project development 2018-2019  EPCM through Asian Hub (slide 11)  Contracts for financial closing Q4 2019  Project Revenues > 1 billion euro Further pipeline projects identified in US, Canada and South America 9

Ability to withstand - Hurricanes (Typhoons) DIFFERENCES • In hurricanes Seawind points blade tips into 3-BLADED TURBINES more SEAWIND TURBINE turns tip into the the wind in a “flexible configuration” wind with extreme winds sensitive to extreme winds • Seawind’s LIDAR (laser detector) detects hurricane or strong gusts well ahead Laser (LIDAR) Wind • detects windspeed In Seawind 6.2 MW, during hurricanes, the Wind and direction up to loads on blades and drivetrain are similar to 2 km ahead. normal operations • • Seawind’s “flexible rotor” is compliant with Photo: 3-bladers at Ardrossan the forces of nature and not facing them wind farm after major storm Blade tip always kept • Results of simulation: Seawind can • into wind; Typhoon Usagi (Hong Kong, in withstand Category 5 hurricanes up to “Flexible” rotor 2013): 70% of 24 Vestas turbines behaves like palm 90 m/s without damage Seawind is damaged, 8 turbines blown off: tree in storm yawed based • http://goo.gl/X1jSF6 Three-bladers are parked with blades on LIDAR pitched at 90 ° , the tip chord parallel to • information Study: up to 50% of US offshore rotor shaft, and its leading edge into wind wind turbines would be • destroyed over a 20 year period Three-blader’s configuration cannot by hurricanes: eliminate risk of major damage or total loss http://goo.gl/gcEgDA 10

Seawind – Global Roll-out ambition Global markets for wind energy - Blue Ocean [B] and Out of the 9000 MW to be built by 2025 by Seawind Red Ocean [R] 50% capacity in hurricane/typhoon areas 1 Extreme wind areas in red Extreme wind areas in red Red Ocean market: R • Seawind has 10% to 15% market share of the global • contested market space, covers 11% of global market Offshore capacity added in the period 2019-2025 potential • 60 Seawind Offshore Wind Farms are built of which many • major offshore wind companies are expanding their EU in hurricane/typhoon prone areas presence in offshore sites with favourable attributes • 9 million households in Europe or over twice that number B Blue Ocean market: in developing countries have sustainable power • uncontested market space. Competition has not • CO 2 emissions are reduced by more than 9 Million t/year developed the required technology nor the supply chain to start operations in the near future for these markets *) Report Gerard Hassan: 2008 11

Seawind Systems AS – Company Structure Overview Parent Co Parent Co STRATEGIC STRATEGIC Seawind Systems AS INVESTOR (Turn-Key Wind Farm Supply) (Industrial Group)* (Industrial Group)* 50/50 Joint Venture Hong Kong Projects Norwegian Hub Asian Hub (Initiate and minor interests in (Demonstrator and Build-Out: (Build-Out: construction & commercial projects) construction & assembly) assembly) East Africa 1 Greece East Africa 2 Germany * LOI signed India 1 Existing entities Other Future entities 12