Flumill: fra sterke mari(me tradisjoner via olje og gass (l ledende fornybar teknologi

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1 Flumill: fra sterke mari(me tradisjoner via olje og gass (l ledende fornybar teknologi Presenta(on Oppstartkonferransen for VINN Agder 25 september 2014

2 The Flumill Technology represents a Step Change in Tidal Power Genera(on

3 Renewable Energy Wind Hydro power Bio Solar Wave Tidal

4 Tidal Current represents a Huge Energy Poten5al Tidal streams in UK waters alone are es(mated at approximately 30 TWh/year The power of the world s oceans could make massive contribu(ons to energy security and the mi(ga(on of CO₂ emissions. With an energy density close to 1000 (mes that of wind, water offers a highly efficient and reliable source of power Adds an improvement to the total energy mix as its predictability represent security of supply

5 Es5mated installed capacity of 5dal stream devices is expected to grow rapidly over the next years, in par5cular in the EMEA region Presentation from Scottish Renewable Conference

6 Tidal technology development has been going on for more than a decade Atlan(s MCT Open Hydro Swan Alstom/ TGL Andritz/ Hammerfest

7 Current technologies are not able to reach cost parity with Offshore Wind Current front runner s technology is primarily based on horizontal axis turbines (Kaplan systems) There are technical challenges with reliability, installa(on and access, array design and water depth LCOE es5mates - current front runners* 3,00 kr./kwh v The cost of energy is not compe((ve A game- changing technology is required *RenewableUK, Tidal Today Conference (Nov 2012)

8 Where we come from Hydro Power Norway has approx. 50 % of the reservoir capacity in Europe > Oil & Gas Norway is World Leader in Technology Development within the Offshore Oil & Gas Industry Subsea Technologies Environmental Awareness Very high focus on HSEQ Advanced Composites Structures

9 The Flumill Technology represents a Step Change in Tidal Power Genera(on The Flumill System Weight = tonnes Turbine diameter = ~8m About the Flumill System Compact design and solid composite material provides Low weight Low cost Easy installa(on Robustness towards mechanical impacts The system is inherently buoyant allowing the systems to be towed to site No moving parts in the turbine The system is self regula(ng and opera(onal over a large range of (dal stream veloci(es (2-8 m/s) The system has limited environmental impact Submerged Slow moving turbine

10 FROM IDEA TO PRODUCT (2002)

11 The Flumill Technology has been validated by Computer Simula(ons and Scale Tes(ng CFD simula5on Tank test Tow test Pilot tes5ng at EMEC Computa5onal Fluid Dynamics ( CFD ) simula5ons performed on the Flumill System using alterna5ve simula5on tools Simulated outputs confirmed by extensive tank tes5ng in the Flumill facili5es in Arendal ¼ model Flumill system tow tested over two weeks in Tromøysund, Arendal ¼ system deployed at the European Marine Energy Center (Falls of Warness) in the Orkney Islands for a short term test of output in January 2012

12 Computa(onal Fluid Dynamics Simula(ons

13 Tank Tes(ng

14 Tow Tes(ng in Arendal

15 * Flumill 2 has a diameter of 2 metres All physical measurements verified the results from the CFD simula5ons Descrip5on Towing test Water speed (m/s) RPM of helix Tower angle CFD analysis Towing test (Output. from 1.4 m/s) Devia(on Devia5on in % EMEC test Comparison of CFD data and test data for the Flumill 2* Output in kw per helix % The tes(ng at the tank, the tow test and the installa(on at EMEC showed results that validated the CFD tests Verified by: CFD Analysis Test at EMEC Devia(on Devia5on in % %

16 Flumill represents a Cost of Energy of less than half of the industry benchmark Marine Wave* Flumill Cost of Energy vs Tidal industry standards Levelized Cost of Energy (LCOE) Flumill vs Tidal Industry Standards Flumill serial production Flumill today Marine Tidal* 3,00 kr./kwh Tidal industry standard Wind Offshore* Wind Onshore* /MWh *Carbon Trust, Accelerating Marine Industry (July 2011) & presentation Tidal Today Conference (Nov 2011)

17 The Flumill Technology reduces the main CAPEX Cost Elements significantly CAPEX es(mate for a demonstra(on (dal stream array Lower produc5on cost: Low mass per device Cost effec(ve material (GRP) Simple design allows for well- known produc(on techniques Lower installa5on cost: The systems are buoyant and can be floated to loca(on Installed weight at only about tons, No requirements for highly expensive heavy lim vessels Simple and tested installa(on procedures RWE Innogy, Tidal Today Conference (Nov 2012)

18 Low Weight and Buoyant System allows for Easy and Cost- effec(ve Installa(on Installa(on of the Flumill System The turbine weighs significantly less than the tradi(onal Kaplan systems The Flumill System is buoyant and can be floated to loca(on It can be winched down to its loca(on be moderate hold- back forces Quick connect and disconnect system allows for installa(on even in high (des

19 Low Turbulence enables high density Tidal Parks Flumill Turbulence from CFD outputs at 3.0m/s. The water recovers within 4 (mes the length of the Helix Kaplan Turbulence in air. Actual photograph taken from the air in early morning mist.

20 The Next Step is Deployment of a Full Scale Grid- connected Demonstra5on System in Rystraumen, Norway The Rystraumen area Way forward System ra(ng is 2 MW and yearly produc(on es(mated to 4.8 GWh. Necessary permits for the installa(on in place: License from NVE (the Norwegian Energy Directorate) to deploy a full scale pilot in Rystraumen Agreement in place with local grid operator, Troms Kram Support grants from ENOVA (the Norwegian Energy Fund) and Innova(on Norway in total of US$ 13 million Agreement with Siemens for the supply of the complete Electro/Mechanical System The system is planned to be opera(onal in 2015

21 TEXT

22 Teknologioverføring fra Olje & Gass industrien

23 Contact Informa5on Anders Holm CEO T: Erik Rønnov VP Business Development T: Flumill AS, Skilsoeveien 388, N Faervik, Norway WEB: Phone:

24

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