Offshore Wind Energy Seminar – Esbjerg 27th of June 2012

Issues and challenges with safety equipment for a specialized sector

Jesper Braagaard NielsenHSE SpecialistMarine EngineerHSE Competence Centre

Mob +45 99 55 23 48jebni@dongenergy.dk

Wind PowerKraftværksvej 537000 FredericiaDanmark

Tel +45 99 55 11 11www.dongenergy.dk

About Me

DONG Energy activities

Janu

ary

2012

DONG Energy in brief

Geographic focus on Northwest Europe #1 in Danish energy markets A global leader in offshore wind Rated A- / Baa1 outlook stable FY11 EBITDA of DKK 13.8bn

DONG Energy at a glance

Overview Robust and integrated business model

Ownership

6%

76%

7%

11%

OthersSyd Energi Net A/SSEAS-NVE HoldingKingdom of Danmark

Largest energy company

Offshore wind market leader

Significant E&P operations

Strong market positions

Growing market positions

22% of Swedish gas sales market

4

2006

15 / 85

DONG Energy's vision is to produce clean and reliable heat and power

50 / 50

From black to green

85 / 15

20202040

Green heat and

power

Reliable energy through diversification

6

WIND

BIOMASS

GAS

7

Windpower

DONG Energy is an international operator of European offshore wind power with a considerable pipeline…

8

Under construction

In operation

Under development

Note: The projects under development are at different development stages. No final investment decisions with respect to the projects under development have been made yet

BarrowBurbo

Gunfleet Sands 1+ 2

London Array

Walney 1 +2

Nysted

Horns Rev 1+2

Lincs

Anholt

Borkum Riffgrund 1

WoDS

Walney 2.5

NL portefølje

Westermost Rough

Burbo 2.5London Array 2

Borkum Riffgrund 2

Borkum Riffgrund West

Heron Wind & Njord (Hornsea zone)

DONG Energy holds the largest share of projects in operation and under construction in Europe

Pipeline probability and continuity is a key success factor in offshore wind

DONG Energy has a high quality pipeline in the short and medium term

8

Barrow90 MW

2011

1.229 MW

2010

1.045 MW

2005

386 MW

2000

50 MW

19951990

5 MW

Gunfleet Sands173 MW

Burbo90 MW

…and has been a front runner in developing offshore wind

Vindeby

The world's first offshore wind farm

Turbine capacity:Nr. of turbinesRotor diameterDistance to shore

0,45 MW1135 m1,8 km

Middelgrunden

The world's first large offshore farm

Turbine capacity:Nr. of turbinesRotor diameterDistance to shore

2 MW2072 m4,7 km

Horns Rev 1

First real large scale offshore wind farm in the world

Turbine capacity:Nr. of turbinesRotor diameterDistance to shore

2 MW8080 m18 km

Walney 1

Most recent installed wind farm by DONG Energy

Turbine capacity:Nr. of turbinesRotor diameterDistance to shore

3,6 MW51107 m14-26 km

Horns Rev 2209 MW

Nysted166 MW

Total installed capacityby DONG Energy*, (MW)

*) Actual ownership share lower due to divestments

Examples

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Industrialisation initiatives to improve competitiveness of offshore wind

Key actions to improve competitiveness

Major sourcing agreement with Siemens Wind Power regarding delivery of up to 500 turbines

Framework agreements with Bladt Industries (foundations) and Nexans (cables)

Joint ownership of A2SEA, including building SEA INSTALLER, a purpose built installation vessel

Ownership interest in CT Offshore (specialized cable installation company)

Optimized concepts within installation concepts, technical improvements and O&M

Rationale

Standardisation of conditions

Optimisation potential

Access to superior logistical skills

Scale synergies

Optimization potential

Sourcing

Strategic partnerships

Installation & O&M

10

Why safety is important to Wind Power

Trust, responsibility, taking care and decency - a direct consequence of our values

Licence to operate – authorities and partners are demanding good safety performance

Image and pride – internally and externally

Economy – accidents costs a lot of money

The extend of our commitment to safety

Our sites Our suppliers The industry

How good are we?

2006 2007 2008 2009 2010 2011 20120

5

10

15

20

25

30

24

13

6.3

10.1

4

6

4

LTIF development in the Wind Power BU

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Our target Extract from HSEQ policy

…" to promote a healthy and safe working environment through prevention of injuries and work-related ilnesses…"

Loss of control

How we approch safety

Technology Systematic/controlled Culture and design approach

16

Challenges

Crew competency requirements vary from country to country

(radar navigation, fire fighting etc.)

Many and still larger vessels operating simultaneously on site

Majority of wind technicians have a non-marine back ground

Equipment standards used are mainly according to LSA code, which can give challenges in working while wearing the PPE

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Marine safety challenges

Helicopter challenges

Wind farms located further offshore Hosting operations will become more

common Implementation of new training (HUET

and Hoisting) Implementation of new equipment Adapting logistic setups to match

increased heli-ops Wind farm heli-ops still under

development in DE

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Development we would welcome

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Standards/codes for PPE tailored for the wind industry

New types of MOB equipment suited for crew vessels with a 2-man crew

Continuous development competency requirements for crew operating smaller vessels in offshore wind farms (STCW?)

Helicopter and hoist training concepts for wind technicians

Thank you for your attention