Client News-AWS Prototype deployed in Loch Ness

BACK TO THE FUTURE WITH NEW WAVE ENERGY DEVICE FROM AWS
Prototype being tested in Loch Ness

Scottish marine energy technology developer, AWS Ocean Energy, has started testing its new wave energy device in Loch Ness in the Scottish Highlands.

The Inverness based company has deployed a 1/9th scale of its AWS-III device, a ring-shaped multi-cell surface-floating wave power system, the result of almost two years of intensive research and development work. AWS Ocean Energy is aiming to deploy a full-system prototype AWS-III during 2012 and a pre-commercial demonstrator plant during 2013.

Simon Grey, Chief Executive of AWS Ocean Energy said: “In developing the design of the AWS-III, we believe we have addressed the fundamental barriers to delivering practical wave energy. We have eliminated moving mechanical parts in contact with sea-water by using a novel system of flexible diaphragms arranged around a steel hull and incorporating air turbines.”

A single utility-scale AWS-III, measuring around 60 metres in diameter, will be capable of generating up to 2.5 Megawatts (MW) of continuous power, providing customers with an affordable solution to generating bulk power from the ocean waves.

To support the development of the AWS-III, the company earlier this year secured a £2.3 million investment from Scottish Enterprise’s Scottish Co-investment Fund and the Shell Technology Ventures Fund 1 B.V and the company has since applied for and is hopeful of securing further financial support for the development of the AWS-III device from the Scottish Government’s WATERS programme that will support marine energy R&D in Scotland.

A key stage now for AWS Ocean is its testing of the AWS-III device on Loch Ness over the next four months. No electricity will be generated by the 1/9th scale device but it will provide valuable design data and confirm the AWS-III’s revenue generation potential. The company will then build and deploy a full-scale single cell in order to prove the durability of the diaphragms prior to launching a 12-cell, 2.5MW pre-commercial demonstrator in 2012. Subject to financing and planning consents, the company plans to have a 10MW pre-commercial demonstration farm operating in 2014.

Technology Research & Development/Technology Convergence
The design and deployment of the AWS-III is the culmination of eight years research and development by the company’s engineering team. AWS Ocean Energy deployed its first Archimedes Waveswing test device in 2004 (off Portugal) and designed a second generation device in 2008. Whilst the Waveswing concept was regarded as highly efficient, and competitive with other leading wave energy technologies, the company decided that further work was required to develop a third-generation system which could provide utility-scale levels of power and be competitive with other forms of renewables, in particular offshore wind generation.

During the development of the AWS-III, the in-house engineering team identified similarities to another wave device, the “Coventry Clam”, developed by Coventry University’s engineering department in the 1970s.

Simon Grey, Chief Executive of AWS Ocean Energy said: “We started with the highly efficient Waveswing concept and looked at different ways to achieve the change in sub-sea volume essential to efficient wave energy conversion. This led us to looking at flexible materials and in turn to the Coventry Clam, a device which had shown significant promise. The AWS-III however has important differences which solve some problems inherent in the clam design and improve power conversion.

“It is reassuring that two teams working some 30 years apart have come up with such similar concepts. The development routes were remarkably similar – the Coventry team started with the Salter Duck, a leading concept of its time whilst we started with Waveswing. Both concepts were highly efficient but too expensive and a natural evolution process led us both to the same point. The experience in Coventry, combined with our own has produced a cracking team and we believe a winning technology.”

Testing the AWS-III/Moving towards commercialisation
The company’s path towards commercial deployment is being supported by a Technical Advisory Committee (TAC) which includes some of the most respected figures in the offshore engineering and renewable energy industries. The TAC is chaired by Dr Bruce Storm, formerly of Halliburton and now Chief Technology Officer of Kenda Capital who said: “The progressive and pragmatic approach that AWS Ocean is taking is welcomed. The company has refused to be rushed in their approach and this gives investors and potential industrial partners confidence.”

In parallel with the development of the AWS-III, the company is developing associated, patented technologies such as remote mooring systems and believes there is significant potential for manufacturing key components in Scotland.

Simon Grey added: ““This is a really exciting time for us. We are talking to several major industrial groups who can see that our progressive approach will have dealt with technology risk by early 2011. If marine energy is to reach its full potential, the sector must offer low-risk, competitive energy solutions. By doing this, major industrial players will invest further, provide the necessary capital to fund large-scale roll-out and thereby help to strengthen the UK’s clean-tech economy – new jobs, low-carbon generation and significant export potential.

“We consider the knowledge that we have gained over the past few years, and the technical advances that we are making with the AWS-III, will ensure that AWS Ocean Energy will play an important part in the long-term development of the UK’s marine renewables industry.”

Picture caption: the AWS-III wave energy test device deployed in Scotland’s Loch Ness.

Notes to Editors:
1. AWS Ocean Energy (www.awsocean.com) is based in Inverness and is chaired by John Anderson, the Chief Executive Officer of Entrepreneurial Exchange.

2. The company’s board and executive management team are advised by a Technical Advisory Committee comprising:
Dr Bruce Storm (formerly of Halliburton and a R&D physicist)
Professor Antonio Sarmento (IST Lisbon, Head of Portugal’s Wave Energy Centre)
Dr Tom Thorpe (wave energy specialist)
Andrew Mill (Chief Executive, NaREC and former Managing Director of EMEC)
Terry Rhodes (Head of Offshore Structures, Shell UK)

3. Kenda Capital B.V. (www.kendacapital.com) is the independently owned manager of STVF1 which made its first investment in AWS Ocean Energy in February 2008. Kenda Capital B.V. and STVF1 maintain a unique technology relationship with Shell. Major investors in STVF1 are Shell, Coller Capital and the Abu Dhabi Investment Authority. STVF1 also has proprietary access to oil and gas field operations and wells in order to test, prove and demonstrate combinations of new technologies. STVF1 is a unique, large scale investment fund focused at reducing the cost of energy by accelerating the development and deployment of new technologies. Kenda and STVF1 possess a solid energy sector expertise, fostered through its technology relationship with the Shell Group.

4. The Scottish Co-investment Fund is a £72 million equity investment fund established by Scottish Enterprise, and partly funded by the European Regional Development Fund, to invest from £100,000 to £1 million in company finance deals of up to £2 million.

For further information
AWS Ocean Energy (www.awsocean.com)
Paul Taylor of Taylor Keogh Communications: +44 (0) 20 3170 8466 / paul@taylorkeogh.com

Client News-UK ENERGY MINISTER APPLAUDS SEAGEN TIDAL PROJECT

UK ENERGY MINISTER APPLAUDS SEAGEN TIDAL PROJECT

On a visit to Northern Ireland’s Strangford Lough, Lord Hunt of Kings Heath, the UK’s Energy Minister, today congratulated Marine Current Turbines (MCT) on its achievements to design, deploy and operate its SeaGen tidal current energy system.

SeaGen is the largest grid-connected marine renewable energy system in the world and which last month exceeded 1000 hours of commercial operation. SeaGen is the first tidal current energy system in the world to have achieved this milestone. The 1.2MW tidal current turbine, which was deployed in April 2008, has achieved a capacity factor of 66% and so far delivered more than 800MWh of electricity into the National Grid.

Lord Hunt, who used his visit to launch the Marine Energy Action Plan for UK waters, said “I applaud Marine Current Turbines’ pioneering work with SeaGen. The company’s engineering expertise and determination is to be admired. The success of the SeaGen project shows how British companies, like MCT, with the active support from Government, can harness the massive energy potential that exists in British and overseas waters, and at the same time form the basis of a new and world-class industry for Britain.”

Martin Wright, Managing Director of Marine Current Turbines said: “We are delighted to welcome Lord Hunt to Strangford Lough. The support and encouragement of the UK Government, both in London and Belfast, were instrumental in getting SeaGen deployed. SeaGen is showing that tidal power can be a reality. We hope that SeaGen’s demonstrable success will help to maintain the vital political impetus necessary for Government policy initiatives that are still required to commercialise the technology and ensure that it, together with the rest of the British marine energy sector, makes a long-term contribution to the UK economy. “

“The recent investment in MCT made by global engineering company, Siemens, underlines the commercial potential and engineering quality of our patented SeaGen technology but a significant step change in the financing of marine energy projects will be necessary if we are to deploy the UK’s first tidal array by 2012. SeaGen’s success, coupled with the support of Siemens, Carbon Trust Investments and our other shareholders, puts MCT in a strong position to meet the challenges that lie ahead.”

Siemens Energy’s investment in Marine Current Turbines was announced last month (February 25th 2010). New investment in the company from the Carbon Trust, EDF Energy and other shareholders was secured in December 2009 and February 2010. These two funding rounds totalled £8.5million.

In February 2010, Marine Current Turbines also received £2.7m from the UK Government’s Marine Renewables Proving Fund and administered by the Carbon Trust. This funding stream is being used to support the improvement of SeaGen’s operation and its future installation.

Notes to Editors:

1. Marine Current Turbines Ltd (www.marineturbines.com) is based in Bristol, England. The company was established in 2000 and its principal corporate shareholders include BankInvest, Carbon Trust Investments, EDF Energy, ESB International, Guernsey Electricity, High Tide and Siemens Energy.

2. In September 2009, MCT was ranked the world’s top tidal energy company in The Guardian/Clean Tech Global 100 Survey and in June 2009 won Renewable Energy Developer of the Year in the UK Renewable Energy Association Annual Awards.

3. MCT’s 1.2MW SeaGen was deployed in Northern Ireland’s Strangford Lough in April 2008; it has the capacity to generate power for the equivalent of about 1500 homes. It works in principle much like an “underwater windmill” with the rotors driven by the power of the tidal currents rather than the wind. The SeaGen turbine is subject to a rigorous monitoring programme imposed under its licensing conditions to ensure it does not threaten the marine life of Strangford Lough where it is located.

4. SeaGen is accredited by OFGEM as a UK power station and so is a recipient of Renewable Obligation Certificates (ROCs).

5. Since February 2008, MCT has partnered RWE npower renewables on plans to develop a 10MW tidal farm in waters off Anglesey, north Wales and is working with Minas Bay Pulp & Paper to deploy a single SeaGen system in Canada’s Bay of Fundy.

Client News-MARINE CURRENT TURBINES TO DEPLOY TIDAL FARM OFF ORKNEY AFTER SECURING SITE LEASE FROM THE CROWN ESTATE

MARINE CURRENT TURBINES TO DEPLOY TIDAL FARM OFF ORKNEY

AFTER SECURING SITE LEASE FROM THE CROWN ESTATE

Marine Current Turbines Ltd has secured approval for a lease from The Crown Estate to deploy its award-winning SeaGen tidal current technology off Brough Ness, on the southern most tip of the Orkney Islands (South Ronaldsay) and north east of John O’Groats. The company plans to have its first phase of SeaGen tidal turbines deployed during 2017 with the whole scheme operational by 2020.

Marine Current Turbines (MCT) is planning to install 66 SeaGen tidal turbines in three phases over a four year period in a site area of 4.3 square kilometres. The Brough Ness tidal array will have a total generating capacity of 99MW – enough power for nearly 100,000 homes.

SeaGen is the world-leading prototype tidal energy turbine designed and deployed by MCT. It is the largest grid-connected marine renewable energy system in the world and which last month exceeded 1000 hours of commercial operation in Northern Ireland’s Strangford Lough. It is the first tidal current energy system in the world to have achieved this milestone. The 1.2MW tidal current turbine, which was deployed in April 2008, has achieved a capacity factor of 66% and so far delivered more than 800MWh of electricity into the National Grid.

Martin Wright, Managing Director of Marine Current Turbines said: “The Pentland Firth and Orkney waters are strategically the most important marine energy areas in Western Europe so we are delighted to have secured approval for a lease by The Crown Estate. I believe that MCT is in a very strong position to capitalise on this significant and challenging opportunity. MCT already has the valuable experience of deploying and operating SeaGen in Northern Ireland’s Strangford Lough and within the next two to three years we expect to have deployed our first tidal farm in UK waters.”

Subject to financing and final agreements with The Crown Estate, Marine Current Turbines is aiming to secure planning and environment consents for Brough Ness by 2015, to start construction in 2016 and the first phase of deployment in 2017. The timing of construction and deployment will be dependent on the local grid infrastructure being strengthened.

Roger Bright CB, Chief Executive of The Crown Estate said: "I am delighted to announce that Marine Current Turbines has been awarded the Brough Ness site to develop 99MW of tidal energy power in Pentland Firth And Orkney Waters, the world’s first commercial wave and tidal leasing round.

"The 1.2GW of installed capacity proposed by the wave and tidal energy developers for 2020, shows the world that marine energy can produce meaningful amounts of electricity and offers a real alternative to conventional power production. The long term prospects for this growing industry are exceptionally bright, with vast amounts of untapped energy in the seas all around the UK. It will create new businesses and jobs as well as attracting inward investment.”

As with its SeaGen project in Northern Ireland, where local companies played a prominent part in delivering the scheme, Marine Current Turbines will look to companies in the Orkneys and Caithness & Sutherland to support its Brough Ness tidal project.

Martin Wright added: “We recognise that the local supply chain could provide us with valuable expertise, not least in marine and port services, and in engineering and fabrication. We are very keen to work with local companies and the local agencies so that they can share in this exciting opportunity.”

This latest news from MCT comes a day after Lord Hunt, the UK’s Energy Minister visited the company’s SeaGen project in Northern Ireland (March 15th), and follows Siemens Energy’s investment in Marine Current Turbines that was announced last month (February 25th 2010) and new investment in the company from the Carbon Trust, EDF Energy and other shareholders in December 2009 and February 2010. These two funding rounds totalled £8.5million.

In February 2010, Marine Current Turbines also received £2.7m from the UK Government’s Marine Renewables Proving Fund and administered by the Carbon Trust. This funding stream is being used to support the improvement of SeaGen’s operation and its future installation.

Notes to Editors:

1. Marine Current Turbines Ltd (www.marineturbines.com) is based in Bristol, England. The company was established in 2000 and its principal corporate shareholders include BankInvest, Carbon Trust Investments, EDF Energy, ESB International, Guernsey Electricity, High Tide and Siemens Energy.

2. In September 2009, MCT was ranked the world’s top tidal energy company in The Guardian/Clean Tech Global 100 Survey and in June 2009 won Renewable Energy Developer of the Year in the UK Renewable Energy Association Annual Awards.

3. MCT’s 1.2MW SeaGen was deployed in Northern Ireland’s Strangford Lough in April 2008; it has the capacity to generate power for the equivalent of about 1500 homes. It works in principle much like an “underwater windmill” with the rotors driven by the power of the tidal currents rather than the wind. The SeaGen turbine is subject to a rigorous monitoring programme imposed under its licensing conditions to ensure it does not threaten the marine life of Strangford Lough where it is located.

4. SeaGen is accredited by OFGEM as a UK power station and so is a recipient of Renewable Obligation Certificates (ROCs).

5. Since February 2008, MCT has partnered RWE npower renewables on plans to develop a 10MW tidal farm in waters off Anglesey, north Wales and is working with Minas Bay Pulp & Paper to deploy a single SeaGen system in Canada’s Bay of Fundy.