MEW ConferenceProject Showcase – Wave and Floating Offshore Wind

4th April 2019

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Focused

Presence

Founded 2011

Blue Economy Developers

Offices in Ireland, SW UK & Scotland

Team of 10

Experience

`SBE Vision:

Focus

Floating Wind - Principle Power Inc. (USA)

Wave Energy - Corpower AB (Sweden)

Aquaculture – Norwegian closed loop systems

As a leading Blue Economy

Developer, Simply Blue Energy will

sustainably harvest resources from

our oceans for a better world

Entrepreneurial and Developer Mentality

Board and Executive Management team from

shipping, marine, UK renewables, lobbying and

engineering sectors with over 100 years of

combined development experience

Simply Blue Energy Ltd. (SBE)

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Successful 5-year Full Life-Cycle Demonstration

2MW Vestas, Identical Performance to Fixed Foundation

17GWh, Produced in 12m waves; Survived 17m waves

A Proven

Technology

Project

Pipeline

3 Precommercial Projects in progress – 99MW of floating

capacity by 2021 in Europe

Commercial Developments in Europe, USA, Asia

Strong

Backing

Shareholders

Global

Presence

Partners

Founded 2007

100 people Offices in USA, France, and Portugal

by end 2019 (Cian Conroy in Dublin)

`PPI Vision: Be the global leader in deep water wind technology

PPI Mission: To make the WindFloat the most competitive, safe, reliable and environmentally friendly

floating technology and unlock GWs of global renewable energy potential

Principle Power Inc. (PPI)

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Principle Power Inc. (PPI) – WindFloat 1 - 2MW Vestas

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Principle Power Inc. (PPI) – WindFloat 1, Portugal, 2011-2016

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Principle Power Inc. (PPI) – Present Pipeline

Kincardine■ 50 MW, Scotland, 25 km from

Aberdeem

■ Kincardine Offshore

Windfarm Ltd (majority owner

Cobra)

■ 2MW Online September 2018

– CF circa 64%

■ 48MW 2020

Wind Float 2 Atlantic■ 22 MW, Portugal, 20 km

from Viana do Castelo

■ Windplus - Consortium ofEDPR, Repsol & Principle Power Inc

■ 3 X 8.3MW Vestas Turbines

■ Online 2019

■ Non recourse Project Finance

Golfe du Lion ■ 24 MW, France, 18 km from

Leucate

■ Consortium of ENGIE, EDPR

& Caisse de Depots

■ 4 X 6ME GE Turbines

■ Online by 2021

Humboldt Bay■ 110-150MW, 25 miles from

Eureka in Northern California

■ Consortium of Redwood Coast Energy Authority, EDPR, Aker Solutions & Principle Power.

■ Early Development

■ Online by 2024

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Principle Power Inc. (PPI) – Wind Float 2 Fabrication

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Principle Power Inc. (PPI) – Global Market Place

WindFloat Atlantic (Portugal)25MW8.3MW WF units (MHI Vestas)

California> 1 GW8+ MW WF units

HawaiiUp to 720 MW8+ MW WF units

UK/ScotlandUp to 50MW starting construction; >17 GW potential

Golfe du Lion (France)24 MW6 MW WF units

- Projects

- Target Commercial Market

Japan8 GW by 2030; 18 GW by 2050; >100 MW Project in late stage

Korea>1 GW Pipeline of Projects

TaiwanTarget of 4GW by 2030; deep waters;

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Principle Power Inc. (PPI) – LCOE Cost Reduction

- Life Extension (to 25 years)

- Larger Turbines

- Structural Optimization

- Equipment Optimization

- Quick Connect-Disconnect Cable

- Quick Connect-Disconnect Mooring

→ Smaller Floater in Proportion:

Typically 200-300t/MW depending on local

site conditions.

WindFloat1 (2MW) 1350t

WindFloat Gen II/III6-8 MW

(1500t to 2400t

• Capacity:

• Production:

• Unit Cost:

X3-4

X4-5

x1.75

Class approved:

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Principle Power Inc. (PPI) – LCOE Cost Reduction Cont.

Adjusted Strike Price (EUR/MWh)

Announced Fixed Projects vs WindFloat

Demo-Scale: 25-30 MW, 8 MW TurbinesFirst Commercial: 300 MW, 9-10 MW TurbinesMature Commercial: 600 MW, >12 MW Turbines

Location Scotland

Water Depth 100 m

Wind Speed 10.1 m/s @ 100 m

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SBE – PPI Partnership SW UK

Project 1 (Simply Blue Energy (Wave Hub) Ltd.)

• Repurposing of Wave Hub site in North Cornwall to 32MW pilot floating wind farm.

Project 2 (Simply Blue Energy 1 Ltd.)

• Potential partnership with Wave Hub Ltd. at Pembrokeshire Demonstration Zone

Project 3 (New Co.)

• Scoping and consenting for commercial scale project of 300MW+ by 2030

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SBE – PPI Partnership – Wave Hub Site

Wave Hub site, Cornwall: 4 x 8MW turbines

Green Giraffe Model Assumptions

• Devex and Capex (including new cable): c. £163m

• Deal Structure: 60:40 Debt to Equity

• Req’d indexed linked 15 yr. iCFD or similar =>

£148.4/MWh 2012 price

*Green Giraffe is an international specialist advisory firm

focused on renewable energy.

Project Objective / MilestoneDelivery

Target

Secure consent and modify lease Q1/Q2 2019

Secure IPPA Q4 2019

Conclude commercial agreements for exclusive access to

Wave Hub site

Q1 2020

Secure project consents (including geotechnical survey) Q2+Q3 2020

Specify and procure LiDAR / Geotech / Radar works Q2+Q3 2020

Install and commission LiDAR and complete Geotech

campaign

Q3 2020

Complete LiDAR campaign Q3 2021

Complete FEED Q4 2021

FID / Procurement Commences Q1 2022

Complete construction and commissioning (before end of

summer)

Q3 2024

SBE – PPI Partnership – PDZ Proposal

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PDZ, Pembroke, Wales: proposed 10 x

9MW PPI floating wind turbines & 100 x

300KW Corpower WEC’s

Floating Wind Consortia Financial Model Assumptions

• Inward investment of Devex and Capex - £494M

• CF of 55%

• WACC of 7%

• Revenue support required £150/MWh (catapult Sep 2018)

Co Development with

Wave

• Corpower WEC

• Full scale Portugal 2022 –

array of 3 by 2024

• SEK / EKN support for PDZ

• FID 2024 for 30MW

• Deployment 2027

Floating Wind Project Objective / MilestoneDelivery

Target

Secure agreement, start environmental surveys, EIA

and engineering design (2 years)

Q3 2019

Prepare ES Q3 2021

Submit consent application Q1 2022

Consent granted Q3 2022

Complete FEED, FID, etc. Start Procurement Q3 2023

Complete construction and commissioning Q3 2026

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Thank you!