5/22/2013

1

Overview:

May 2013

Aiden Watters – GM

Who We Are Optinergy are an independent O & M provider

based in Co. Cavan Ireland

Formed as a result of principals frustrations with the service offered by OEM’s and lack of strong independent O & M providers in the market

Strive to fill the gap between OEM’s and traditional “nuts & bolts” O & M providers

5/22/2013

2

Structure

Includes:

Directors (Owners/Ex GE/Ex Airtricity) General manager (Ex GE) Technical manager Operational manager H&S manager Full team of technicians

Related Companies

International Wind Farm Developer & Consultant in

Ireland, UK, France, Sweden, Poland, Bulgaria, Kenya & South

Africa. 500MW+ of own Projects in

Development

Provider of Development & Construction Management

Service Both in Ireland & UK

5/22/2013

3

Key Client/Partners of Group Companies:

What We Offer Level 1: Services at a fixed price and call outs as

you decide

Level 2: Services, call outs, & minor spares in a fixed price, major component work as you need it

Level 3: All in mechanical warranty

Other services, EOW Inspections , Insurance tests, Spares Supply, Blade Repairs, Major Component Overhaul…

5/22/2013

4

Risk Decision

Level 1 – Level 2 – Level 3

Operations Philosophy

Availability: Urgent response for short term availability, but correct fixes for longer term performance

Spares: Critical spares at warehouse/in the van

Site response: Urgent but the right response

Safety: BWEA WTSR

Servicing: In an agreed timeframe, weather, price

Planning: For medium & long term performance

Communications: prompt, frequent, open

Flexible: To get the best return over the asset life

5/22/2013

5

Other Work Spare Parts Provision

Major Component Overhaul

Site General Operations Support

Staff have performed or managed O&M on sites with GE1.5, V27, FL250, B37 V47, V52, V66, V80, V90, N80, Siemens 1.3 and 2.3

Staff have participated in all aspects of field work, site assembly, commissioning, inspection, operations and maintenance

Asset management /engineering /supply chain services available

Spares Access Immediate availability:

Service consumables

Various electrical switches, fuses, brushes, capacitors

Controller Modules

Sensors for wind, temp, pressure

5 Main sources of all Spares

Major components various sources DMP, Pregear, OEMs, Avonmore, Dowling's etc

5/22/2013

6

Financial Overview

Trading 2009

Steady revenue growth (€400k - €2m)

Strong margin growth (ROI and NI)

Strong cost control strategy in place

Spare supply frameworks in place

Strong client base (NI and ROI)

NI <250kw Market Born from Attractive incentive of 4 x ROC payment

Limited to 250kW output

Geographically Dispersed across NI (all within 1.5 hours from the workshop of Optinergy)

Unusual Developer/Owner Profile: - Landowners - Small Businesses - Wind Energy Professionals

5/22/2013

7

Risk Management

G Cube exclusive insurance policy through O Leary insurance

All projects fully insured (pre condition)

Ability to fix and then sort out with G Cube

Major component strategy (selection held in stock)

New office and workshop

Extensive stock of spare components

Development of sinking fund internally

Experienced technicians

Right fix first time every time

New Turbines Expensive

Many of the new options are based on mainstream designs, “localised” to developing markets:

New Option examples: - ACSA – re-designed Vestas V27 - WES – re-designed Lagerwey - WTN - Small German wind turbine manufacturer

All mainstream OEM’s have ruled themselves out of NI <250kw Market

5/22/2013

8

Re-conditioned Turbines whose original maximum output was <250kW

- Vestas V27/V29 (27-29m Rotor) - Neg Micon M540/M700 (26m Rotor) - Vestas V25 (25m Rotor) - Nordtank 150xlr (25m Rotor) - Bonus B24-B30 150 (24-30m Rotor)

- FL 250

De-rated turbines - Bonus B31/B33 (31-33m Rotor) - Enercon E30/E33 (30-33m Rotor) - Bonus B35 -37 (35-37m Rotor) - Vestas V39 (39m Rotor) - Nordtank NTK300/31 (31m Rotor)

Sources of Used Turbines

Repowering Programmes – Denmark, Germany, Netherlands

(& Others)

Generally come from low wind sites in continental Europe where new large turbines provide greater return

Used Turbines acquisition is case by case - key importance: - Quality of long-term service on original site - Wind resource of original site – turbulence/wake - Has the turbine already been decommissioned - Storage measures employed since decommissioning

5/22/2013

9

Overhauling

Transmission – Recondition or Replace with New

Generator – Recondition or Replace with New

Controller – Test & Recondition

Brakes – Test & Recondition/Replace wearing parts

Hydraulics – Test & Recondition

Yaw – Test & Recondition/replace wearing parts

Cabling – Test, case by case replacement

Blades – Recondition, replace wearing parts

General – Overhaul, recondition & replace any faulty components

Overhaul Programme

5/22/2013

10

Overhaul Programme

Overhaul Programme

5/22/2013

11

Erection:

Erection

5/22/2013

12

Erection

NI Activity to date

Sales in excess of €1.5M (including 7/10 year O&M contracts)

Erected one V27

SCHEDULE:

3 X V 27 -06/07/2013

3X Bonus 37 -07/08/09/2013

2X V39-08/ 09/2013

2 X FL 250 10/11/2013

O&M contracts in place 10 (WC/4ROCS-plus 5 additional)

5/22/2013

13

Experience with mid ‘90s turbines

Optinergy currently maintain & support turbines of similar age to those which will be supplied to NI Market: - Kilronan Windfarm - Vestas V39’s - Spion & Kopp – Vestas V42 - Cronalaght - Vestas V42

Optinergy have developed a supply chain for these turbines and an ongoing preventative maintenance programme with the project owners

Strike right Balance between upfront cost & unplanned maintenance costs

Example: Kilronan Windfarm

Project constructed in 1996

Optinergy took over maintenance in early 2011 after Vestas OEM service team left all 10 turbines off for almost a week while they responded to other clients projects

Initially completed emergency maintenance on all turbines to get running

Immediately worked with project owner to develop a preventative maintenance programme

Result 99.4% availability

5/22/2013

14

Optinergy key strengths

Principals have extensive experience & knowledge of the

wind industry globally from early 90’s to present day Part of a group of companies actively involved in the wind industry at all levels – “cradle to grave” approach possible

Extensive global network of spares suppliers, service partners & wind turbine supply partners for all common

We currently hold all the stock, spares & expertise to manage all makes of wind turbines.

Optinergy key strengths

Optinergy is strategic investment to principals of the business – Optinergy will be around for long term in wind industry

Principals have extensive experience in wind energy project financing & understand the requirements of financial institutions

“Can do” approach to all work tasks– we work closely to ensure we tailor our offering to client requirements

5/22/2013

15

Optinergy key strengths

Optinergy is not affiliated formally or informally to

any wind turbine manufacturer – no hidden sales agenda We simply strive to provide the best independent O & M service to our clients projects at all times - nothing more, nothing less

Optinergy has all the experience, expertise, market intelligence & contacts to successfully deliver each and every project we engage on.

Aiden Watters Optinergy Ltd Cootehill Enterprise Park, Cootehill, County Cavan. Mobile: +353 (0)87 2589831 Office: +353 (0)49 5555050 Email: aiden@optinergy.eu Web: www.optinergy.com