Offshore Wind Supply Chain Opportunities for Marine Companies

I

Welcome and background Alan Banks CEO EnviroBusiness

Round 3 Offshore Wind Farms Adrian Fox Supply Chain Manager The Crown Estate

The Marine Estate Adrian Fox - Supply Chain Manager Seaworks: Round 3, Opportunities for Marine Companies 17 June 2010

The Crown Estate • 2008 Capital Value of £7.3bn • Net revenue all paid to UK Treasury £200 Million + • The Crown Estate is a landowner not a regulator. It is not part of Government but works closely with Government Departments, the devolved administrations, statutory bodies and other key stakeholders.

The Marine Estate

30million hectares

22000km of coast line A responsibility to enhance the estate’s value Subject to good management and stewardship A monopoly

The Marine Estate does not include • Water column • Fisheries • Rights to Oil, Gas and Coal • Public rights of navigation

Round 3: A new approach • Scale – Flexibility in project location within zones – Investment in supply chain and infrastructure – Est. 70,000 jobs • The Crown Estate as a development partner

The Green Energy Decade Opportunity for generating capacity from all current leasing rounds 12,000

70000

60000

10,000

Round 3

Annual (MW)

8,000 40000

6,000 30000 4,000 20000

Cumulative (MW)

50000

Scottish Territorial Waters

Potential Demo Sites Round 1 and 2 (including extensions) Cumulative Installed MW

2,000

10000

0

0 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023

Year Information from Developers forward plans and projected capacity

Guide to an Offshore Wind Farm

Agreement For Lease (AfL) Project A

Zone Development Agreement (ZDA) Contract Award

Option Period

Lease – Project A

1st April 2020

Zone Appraisal Zone Appraisal & Planning will input to Project assessments ahead of EIA activity to mitigate the risk of compromising future Project site selection and consenting

Partner Development Actions Zone Appraisal & Planning

Key: Zone Partner Project Co

Zone Development

Project Identification Activity – Project A Project Approval

Typ. 1 yr Project Company Development Actions

Key Project Consents

Apply for Key Project Consents Obtain Key Project Consents

e.g. • Planning Acts • IPC/ Marine Scotland • Marine Bill • Appropriate Assessment

Lease Determination (in absence of Works Completion) Typ. 1 yr

Typ. 2 yrs

Option Notice Served Lease Commencement Works Implementation

Project Identification Activity – Project B Project Approval Photo : © Elsam A/S

Round 3 Offshore Wind Zone & Project Delivery V4.1

Typ. 50 yr

Only one full Project cycle shown For illustrative purposes

Project Build Works Completion

Round 3 Phasing CONSENTING

Phasing PROCUREMENT

Phasing CONSTRUCTION

Phasing OPERATIONS

Marine Industries • Health and Safety

• Logistics

• Construction and Installation

• Operations and Maintenance

Skills

Courtesy Renewable UK

Supporting Information

http://www.thecrownestate.co.uk/our_portfolio/marine/offshore_wind_energy/supply-chain.htm

Supporting Information

Thank you

Adrian Fox – Supply Chain Manager http://www.thecrownestate.co.uk/our_portfolio/marine/offshore_wind_energy/supply-chain.htm

[email protected].

Needs & Opportunities Matt Britton Commercial & Operations Director London Array

London Array Offshore Wind Farm Matt Britton Commerical and Operations Manager

17 June 2010

23

Session outline

1. 2. 3. 4. 5.

London Array Project Overview London Array Project timeline Project organisation, contract packages and suppliers Supplier opportunities Supplier and Buyer Links

24

London Array Offshore Wind Farm 1000MW when complete - world’s largest offshore wind farm – to be built in two phases Phase One - 175 turbines with a capacity of 630MW, two offshore substations , four export cables Phase two (370MW) is subject to satisfactory outcome of bird studies Connected by undersea cables to a new substation at Cleve Hill, near Faversham Green light given to Phase One by consortium partners in May 2009 (€2.2 billion) Multi contract project with London Array acting as overall Project Manager 25

Phase one construction timeline July 2009

2010

2011

2012

Dec 2012

Construction Phase

Offshore Turbine construction installation Foundation team begins mobilises installation commences Pre-construction Export, array cable surveys start and offshore substation

NGT begin work on onshore substation

Start of onshore construction

Target phase one complete

installation begins Mobilisation of LA’s offshore construction base

Foundations complete

26

London Array - Ramsgate construction management base • 2,500m2 site

•650m2 two storey port-a-cabin office

Access route to O&M Base and Construction Base

Ramsgate Marina

•Car park

•Welfare facilities •40-45 people working out of the base on: Health and safety management Marine co-ordination Installation management

Con. LAL Pontoon

Lease Site – O&M Common Area - Access Route for LAL and Emergency Access

Ramsgate Port

Lease site - construction Common Area – Access to pontoon

27

London Array – Ramsgate operations and maintenance base • 8,000m2 site

•New purpose built two storey1,800m2 facility •Secure storage for spare parts

•Office, workshop and warehouse space and welfare facilities •Car parking, bicycle storage , service yard.

•Mooring space for up to six 12 person vessels •New pontoon and existing fuel pumping facilities upgraded.

•Up to 90 people working out of the base on the control and operation of the farm

wind 28

London Array – main contract suppliers (Phase one) Siemens Wind Power will supply 175 3.6MW turbines,. Wind turbines

Foundation supply , installation of foundations and wind turbines

Offshore substation

Supplied by a JV between Par Aarsleff A/S and Bilfinger Ingeniuerbeau GmBH

Design, fabrication and installation awarded to Future Energy a JV between Fabricom, lemants and Geosea.

Nexans Norway will supply the 220km of 150kV export cable. Export cable supply

JDR Cable Systems will supply the 210km of 33kV array cables. Array cable supply

29

London Array – main contract suppliers (Phase one) Export and array cable installation

To be installed by Visser and Smit Marine Contracting and Global Marine Systems Limited.

Onshore substation

Awarded to Siemens Transmission and Distribution Ltd. .

Offshore installation vessels

Two vessels - MPI Adventure and A2 SEA’s Sea Worker. .

Out to tender – to be awarded Service Vessels

O&M base design and construction

Designed by BBLB Architects, construction contract to be awarded

30

Supply chain opportunities •Accommodation •Component repair and replacement •Electrical suppliers •Engineering •Facilities management (cleaning, security, building repair) •Helicopters •Lifting equipment •Logistics •Office supplies, including communication •Transport - airport transfers and local area •Scaffolding

•Marine facilities - harbour, bunkering, general supplies •Health and Safety – onshore and offshore, equipment, PPE and lifting equipment •Divers •Cable installation companies •Cable joints and jointers •Paint and protection systems •Recruitment (office admin, general and offshore operatives) and training (offshore, first aid and health and safety •Vessel maintenance and repair facilities

31

Supplier & Buyer links • The Challenges • The Project Manager’s primary link is with the tier 1 suppliers • The Project has to respect confidentiality in the tendering process

•Website Enquires •Website entered into a database and issued to tier 1 tenderers •Updated issues once tender awarded •Online business directory •Regional local focus enables suppliers to register their capabilities • Aim is to grow a local supply chain •Local Supplier Event • Centered on the Project Manager’s construction management base • Tier 1 suppliers support 32

Summary •The world’s largest offshore wind farm.

•Phase one: 630MW 175 turbines 2 offshore substations • Major tier 1 supply contracts secured • London Array Construction and Operations & Maintenance base at Ramsgate Port. • London Array construction team mobilisation – October 2010. • Facilities for registering of supplier details established

33

Finding Customers in Offshore Wind Matt Chalk Solent Composite Systems

Composites Solutions for the Energy Industry SEAWORK 2010

Matthew Chalk www.solentcomposites.com

SCS Company History • • • • •

Located in Cowes, Isle of Wight Offshore Oil & Gas since 1992 MBO from SP Systems in 1996 Entered Wind Industry 1999 SCS acquired March 2004 Today SCS is a Global Player in Renewable Energy www.solentcomposites.com

SCS Core Competence  Composites Technology  Technical & Engineering Integrity  Energy Industry Strategy  International Marketing Focus  Project Management Approach  ISO Integrated Mgt System  SME Rapid Response

Renewable Energy

Composite Technology

Projects

• SmartMould™ System • Rotor Blade Manufacturing • HSE & Quality • Reduced Downtime & Costs

• NEG Micon Rotors (Vestas) • GE Wind Systems • DeWind, Nordex, LM • Wave & Tidal Devices

Oil and Gas

Composite Technology

Projects

• Jet & Pool Fire Protection • Blast & Noise Protection • Structural Decking • Subsea Protection Structures • Achilles & FPAL registered

• Statoil Snøhvit • Hydro Ormen Lange • BP Bruce • Conoco Phillips LOGGS • BHP Liverpool Bay

Wind Industry Trends • Reduced turbine unit costs - £/MW • Greater mfg output - blade/mould/day • Increasing power & length: 5MW turbines with blades > 60 metres & 17 Tonnes • Quality and reliability • Faster time to market • Environmental & Safety compliance

Demand for blade cost reduction www.solentcomposites.com

SCS Response  Major Investment in Wind Energy  SmartMould™ Blade Manufacturing System

 Low Energy, High Precision SmartCure™  Automated Manufacturing Techniques  Advanced Process Control  Training for Blade Manufacturing Personnel  Reduce Maintenance, Risk & Cost Cost effective low risk solutions www.solentcomposites.com

Other Opportunities  High Voltage DC to reduce power losses  Offshore Substations required immediately  Asset integrity, personnel protection & environmental risks from transformer fires  2010/12 - Gwynt y Môr & London Array etc.

www.solentcomposites.com

Conclusions & Way Ahead    

Offshore Wind Mega market Mega investment Significant engineering requirements Composites - add value - improve safety - lower weight - reduce costs  UK SME Supply chain is key

www.solentcomposites.com

Thank You – Questions? Solent Composite Systems Ltd Victoria Barracks Albany Road East Cowes Isle of Wight PO32 6AA United Kingdom Tel: +44 1983 292602 Fax:+44 1983 299055 Email: [email protected] URL: www.solentcomposites.com www.solentcomposites.com

Case Study: Garline Geosciences Ltd Mattijs de Lange Business Development Manager Garline Geosciences Ltd

Presentation to Offshorewind supply chain workshop Marine South East 17th May 2010

www.gardlinemarinesciences.com

Introduction •

Speaker

•

Gardline Group

•

Gardline Marine Sciences

• •

Blighbank case Discussion

www.gardlinemarinesciences.com

The Gardline Group •

Privately owned UK registered business Group

•

Established 1969 – now celebrating 40 years trading

•

Employs 1,300 staff worldwide, in 30 organisations

•

Annual turnover in excess of £120m

www.gardlinemarinesciences.com

The Gardline Group Companies Gardline Shipping Limited

Lankelma Limited

Gardline Marine Sciences Limited

Applied Satellite Technology Ltd

Richards Dry Dock & Engineering Alicat Workboats Gardline Surveys Inc

Charity & Taylor Ltd CA Design Services Limited SETech (Geotechnical Engineering) Ltd

Gardline Surveys (Far East) Limited MK Inspection Services Limited www.gardlinemarinesciences.com

GARDLINE MARINE SCIENCES GROUP

GARDLINE GEOSURVEY LIMITED

GARDLINE GEOSCIENCES LIMITED

GARDLINE HYDRO (OPERATING DIVISION)

SEtech (Geotechnical Engineers) Limited

GARDLINE ENVIRONMENTAL LIMITED

TITAN ENVIRONMENTAL SURVEYS LIMITED

MARINE ECOLOGICAL SURVEYS LTD (MES)

www.gardlinemarinesciences.com

GMSL Resources • •

11 ocean-going survey vessels and 9 coastal workboats Regional offices in USA, Singapore and Australia and local agencies worldwide

•

>600 personnel employed

•

In-house reporting facility

www.gardlinemarinesciences.com

GMSL Services • • • • • • • • • •

Hydrographic & Geophysical surveys Bathymetric Surveys to MCA / IHO S-44 Submarine cable & Pipeline route surveys Habitat assessment & Environmental surveys (FEPA) Dredging Volumetric & Dumping Ground Surveys Underwater Structure Inspections Pre-drilling site investigations, Geohazard assessment 2D & 3D Seismic surveys Land Based Surveying Services Related Services :-

• • •

Geotechnical surveys and engineering consultancy Environmental Impact Assessment GIS data management www.gardlinemarinesciences.com

Lifecycle Capability The Gardline Group has the resources, experience and in-house capabilities to support major infrastructure projects

Project Management & Operational Support

Planning & Desk Studies. GIS Database

Construction & Maintenance Support

Fieldwork

Reporting Analysis Data Processing & Integration

www.gardlinemarinesciences.com

Offshore wind involvement •

First project 2001

•

Lankelma - Client SEAcore on Arklow bank 20 CPT and route survey in 35 meters of water with Skate IV Jackup

•

Followed in 2002 by TITAN to do the full Geofysical survey.

www.gardlinemarinesciences.com

Offshore wind involvement • •

Latest contract signed this year 2010

Is in Scottish waters in waterdepth 50-60 meters with DP Drill Vessel Ocean Discovery

www.gardlinemarinesciences.com

Offshore wind involvement • • •

Since 2001 total of 140 projects finished Established a turn over of approx £ 23 Million.

Currently engaged in 5 out of 9 Round 3 offshore wind farms.

www.gardlinemarinesciences.com

Supply Chain Gap ? • • •

GMSL is one of the first companies invited to come the project live cycle. Established a multidisciplinary survey project approach to facilitate the consenting and geo engineering process Example on the Blighbank case on the Belgium EEZ

www.gardlinemarinesciences.com

Supply Chain Gap ? • • • •

Currently for the Oil and gaz some 320 structures offshore. UK round 3 alone expecting some 6000 turbines

Each turbine is a unique structure and has to over come its unique geo-engineering hazards. Example on the Blighbank case on the Belgium EEZ

www.gardlinemarinesciences.com

Supply Chain Gap ? • • •

Example on the Blighbank case on the Belgium EEZ Know-how gained a.o Sheringham Shoals, Prinses Amalia and Godewind 1 Gave focus to a multi-disciplinary approach.

www.gardlinemarinesciences.com

How and Why - Engineering and Site Investigations for Offshore Wind Farms In 20 minutes The Multi-Disciplinary Approach

Choose a Location

Choose a turbine • Brand • Power • Rotor dimensions

Design Your Layout

Choose your Support Structure

Components hub nacelle

rotor

blade

RNA

tower

offshore wind turbine

platform ladder

transition piece

boat landing

J-tube power cable

scour protection

mudline scour hole foundation pile

support structure

Force on the Foundation air

wind

waves & current

sea soil

Preliminary Site Assessment • • • • • •

Geological model of the site

Preliminary key geological processes Preliminary met ocean conditions

Identify geotechnical risks Identify areas of insufficient information Outline scope of additional survey

Preliminary Site Assessment

Preliminary Site Assessment

Preliminary Site Assessment

Preliminary Site Assessment

Site Investigations • • •

Geophysical Survey Geotechnical Survey Met Ocean Study

Outline your Scope for Geophysical Survey • • • •

Establish bathymetry

Indentify and locate seabed hazards Determine geometry of subsurface layers Outline your scope for geotechnical survey

The Right Survey Vessels

MV Confidante MV L’ Espoir

The Right Equipment

The Right People

Bathymetry

Significant Seabed Features

Geometry of Subsurface Layers

Geometry of Subsurface Layers

Outline Scope of Geotechnical Survey • • • •

Thickness and properties of seabed layers Complexity of the geological model Presence and distribution of hazardous layers Variability and uncertainty in geotechnical parameters

The Right Drill Vessel

The Right Equipment

The Right People

Geotechnical Survey provides • • • • •

Refined geological model

Variation in ground conditions Idealised ground profile at foundation location Geotechnical parameters for foundation design Identification of geotechnical hazards

Geotechnical Survey Result

Geotechnical Survey Result

Refined Geological Model

Parameters for Foundation Design

Parameters for Foundation Design

Met Ocean Data

Met Ocean Data

Final Foundation Design

mudline scour protection

• Length

• Diameter

scour hole

Foundation Design

Foundation Design

Data Integration and Contracting •

All gained datasets can be used for EIA, archaeology , UXO and habitats assessments….

•

Site parameters and conditions

•

Drafting of tenders

•

Contracting

Installation and Commissioning Phase

www.gardlinemarinesciences.com

Operations and Maintenance Phase • Crew and support vessels

The Gardline Group • •

By bringing forward “best practice” methodologies coming out of 40 years of experience. By converting and new builts of various types of vessels and installing “state of the art” instrumentation.

www.gardlinemarinesciences.com

www.gardlinemarinesciences.com

Learning cycles. • •

On a personal note could be In the field of contracting No recognised guidelines on survey practice for windfarms similar to those outlined for oil and gas by UKOOA

•

•

SUT’s OSIG 2005 guidance notes on “Site Investigation for Offshore Renewable Energy Projects” not yet ratified

German BSH standards, an example how this could be achieved.

Thank you Discussion Ing. Mattijs de Lange Bsc. Gardline Geosciences

[email protected]

www.gardlinemarinesciences.com

Questions and Discussion Jonathan Williams CEO Marine South East

Offshore Wind Supply Chain Opportunities for Marine Companies

I