Power From Shore: An introduction to HVDC Light Offshore

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Lead Competence Center presentation Power From Shore: An introduction to HVDC Light Offshore COE-0017 ABB AS, Automation Technologies Division - 1 -

Presentation overview: COE-0017 ABB Automation Technologies Division - 2 1. HVDC Light 2. Offshore gen. Vs. power from shore 3. Offshore transmission applications 4. Cables 5. Very High Voltage motors (Motorformers) 6. Converter station optimized for platforms 7. Troll-A HVDC Light 8. References

1. What is HVDC Light?! HVDC Light is ABB s Trademark for High Voltage Direct Current transmission system based on solid state Voltage Source Converter technology! Utilizes most advanced power electronics and semiconductors! Power is transmitted via underground/undersea cables! More efficient way of transmitting power over distances above ~50 km (with respect to AC cable transmission)! The most versatile way of transmitting power in the range of 40-500 MW COE-0017 ABB Automation Technologies Division - 3! ABB is the undisputed leader in the world-wide T&D market and in development of enabling technologies! HVDC since 1954! HVDC Light since 1997

1. Building blocks Solid State Power Electronics Converters Supply grid Onshore rectifier station From AC to DC DC cables Offshore inverter station DC back to AC Offshore receiving grid COE-0017 ABB Automation Technologies Division - 4 AC power in from Onshore grid Synthesized AC power out at Offshore

1. Attributes and Customer Value COE-0017 ABB Automation Technologies Division - 5! Simple and compact design with redundancies! Operational versatility! Black start capability! Power quality control! Facilitates connections in remote areas without need for grid reinforcement! Flexible modular systems that can be easily expanded to multi-terminal system! Remotely controllable! Robust, light-weight and oil-free cable system " Significantly low OPEX with respect to GT:! High transmission efficiency: ~90-94%! Savings from reduction in gas emissions: e.g. Troll A: 230 000 tons CO 2! Low O&M cost (by factor of 7-10)! Flexible planned maintenance! Remote controllability: less workers offshore! Quicker start-up time at commissioning! High uptime! Longer life time: 30 years! Health Safety and Environmental impact! Removal of offshore gas turbines will significantly reduce risks and makes facilities inherently safer! Enclosed equipment gives efficient noise suppression

2. Local Generation vs.. Power From Shore COE-0017 ABB Automation Technologies Division - 6 Local generation! Pros! Cons! Single cycle turbines normally have lower CAPEX costs (investment costs)! Well proven concept! Pollution: CO 2, NOx and noise! Combine cycle weight > HVDC! Lower efficiency 30-40 % for new plants Electric power from shore! Pros! Cons! Have lower OPEX cost over years! No emissions generated on the platform; i.e. less pollution & no emission tax! HVDC platform space <= combined cycle system! HVDC platform weight <= combined cycle system! Normally higher CAPEX then single cycle turbines

2. Cost-benefit evaluation Power from shore versus offshore generation CAPEX Parameters to be considered:! Transmission power! Transmission distance! Platform integration! Water depth, sea-bed terrain! Cable hook-up to platform, j-tube or dynamic! Requirement of waste-heat recovery system OPEX Parameters to be considered:! Electrical/fuel energy price! Transmission/generating efficiency! Gas emission costs! O & M cost! Remote controllability (workers offshore)! Start-up time (commissioning)! Uptime (availability)! Life time! Interest rate COE-0017 ABB Automation Technologies Division - 7 A FEED study is recommended for determination of accurate price

2. DC versus AC transmission COE-0017 ABB Automation Technologies Division - 8 AC transmission! AC cables are not practical above short distances and 10s of MWs of transmission power! Rapidly increasing loss & cable cost if distance increases! Fault mitigation wrt problems in land network! Power quality! Large voltage variations on platform if platform load is lost! Static Var Compensators are needed to increase AC distances to 40 to 60 miles DC transmission! Transmission distances from 10s to 100s of miles! Transmission power from 10s to 100s MW! Black receiving network! Different frequency offshore / onshore

2. Technology Selection: GT vs. AC vs. DC Power (MW) An Example of Economical Window of Opportunity for Power From Shore 2 COE-0017 ABB Automation Technologies Division - 9 AC Transmission DC Transmission Gas Turbines Distance (miles)

3. HVDC Light applications offshore! 3a. Shore to platform! Serving single or cluster of platforms! Serving as variable speed drive to a single large motor load! 3b. Platform to platform! Centralize generation capacity COE-0017 ABB Automation Technologies Division - 10! 3c. Offshore to shore! Connecting offshore power plant with shore grid

3a. Serving single or cluster of platforms Offshore Onshore HVDC Light HVDC Light 30-700 MW AC cables COE-0017 ABB Automation Technologies Division - 11 Cluster

3a. Serving as variable speed drive to a single large motor load Offshore Onshore VHV Motor HVDC Light HVDC Light Up to 45 MW Benefits of HV Motorformer: COE-0017 ABB Automation Technologies Division - 12! Direct connection without transformer! Less switchgear needed! HVDC Light + Motorformer = Adjustable Drive! Typical load: 20-50 MW compressors

3b. Platform to platform connections: Centralized generation Power transformer HVDC Light Power transformer HVDC Light 30-700 MW COE-0017 ABB Automation Technologies Division - 13! Connection of platforms with different frequencies (50/60 Hz)! Centralized generation capacity! Optimized operation: reduced investment, Increased efficiency

3c. Connecting offshore power plant with shore grid Offshore Onshore 30-700 MW Offshore generation HVDC Light HVDC Light COE-0017 ABB Automation Technologies Division - 14! Offshore power plant, power barges! Monetizing of stranded gas

4. HVDC Light cables! Strong and flexible cables! advantageous for laying at deep water! possible to use HVDC for dynamic floating platform applications! Advantageous compared to AC-cables! higher transmission capacity! lower losses COE-0017 ABB Automation Technologies Division - 15 ABB offers complete cable systems, including installation and engineering for offshore applications

4. HVDC Light submarine cable! Conductor of copper! HVDC polymer insulation! Lead alloy sheath! Steel wire armor (when required) COE-0017 ABB Automation Technologies Division - 16! Complete cable - diameter 5-15 cm - weight 7.5-50 kg/m! 6-550 MW per bi-pole! Standard voltages: 84 and 150 kv

4. HVDC Light submarine cable - dynamic section (next)! Conductor of copper! HVDC polymer insulation! Copper wire screen! Swelling tapes and PE sheath! Counter helical steel wire armor COE-0017 ABB Automation Technologies Division - 17! Complete cable - diameter 5-15 cm - weight 7.5-50 kg/m! 6-550 MW per bi-pole! Standard voltages: 84 and 150 kv

4. Typical dynamic cable interface Dynamic part ~450 ft ~10 ft ~450 ft Typical riser based systems COE-0017 ABB Automation Technologies Division - 18

5. Very High Voltage motors: An ABB Innovation COE-0017 ABB Automation Technologies Division - 19

5. Benefits of Very High Voltage motors! Reduced investment! Reduced operating costs! More environmentally friendly! No transformer needed! The HVDC Light inverter controls the motor! Improved overload capacity! Improved availability! Less space than a conventional installation! Higher efficiency! Less civil work COE-0017 ABB Automation Technologies Division - 20

6. Optimized converter station for platforms Comparison, 2x40 MW HVDC Light Typical Land Station 1) Typical Offshore Station 1) COE-0017 ABB Automation Technologies Division - 21 Volume 2) : 9,000 m 3 Equipment weight 3) : 130 tones Total weight: Irrelevant 1) Excluding transformer(s), HVAC and external cooling eq. 2) Excluding external access and stairways 3) HVDC Light Converter equipment Volume 2) : 4,000 m 3 Equipment weight 3) : 130 tones Total weight: 750 tones Drawings not to scale

6. Optimized layout Land Station Offshore Station COE-0017 ABB Automation Technologies Division - 22

7. Troll-A Power From Shore: World s 1 st Offshore HVDC system COE-0017 ABB Automation Technologies Division - 23 Statoil s Troll A Pre-compression project Troll A platform station UK Submarine cables Norway Kollsnes land station Sweden Key platform data:! Troll A delivers gas to Kollsnes from all Troll field platforms! Total weight: 678 500 tones! Height: 472 m (approx. 120 m above sea level)! Current gas processing capacity: 100 million m 3 per day

7. Troll-A HVDC Light in operation since October 2005 HVDC Light Transmission & Electric Drive System Key system data:! Two HVDC Light transmission systems! Two 56-kV, 40-MW, 1800-rpm VHV Motors! ± 60 kv DC! 4x70 km sea cable COE-0017 ABB Automation Technologies Division - 24! Avoided emission of 230,000 tones CO 2 annually! Significantly reduced OPEX! Significantly reduced risks associated with offshore gas turbines! Reduced manning offshore due to the system s remote controllability and low maintenance

7. Troll A Electric Drive Systems Single Line Diagram 132 kv Switchboard Kollsnes station HVDC Light Rectifier Subsea Cable HVDC Light Cable Troll A station HVDC Light Inverter VHV Motor Compressor 70 km 40 MW 56 kv Gear ±60 kv COE-0017 ABB Automation Technologies Division - 25

7. Troll A HVDC Light project: Novelties While HVDC Light and VHV Motor are both proven technologies... Troll A:! First HVDC Light based power supply from shore to platform! First project with HVDC Light feeding & driving a VHV Motor! First installation of a VHV Motor offshore! Largest VHV Motor built so far COE-0017 ABB Automation Technologies Division - 26

7. Troll A HVDC Light EDS module COE-0017 ABB Automation Technologies Division - 27 EDS module in production Barge after Load Out Being lifted to Troll A platform HVDC Equipment! Contains HVDC Light equipment for systems 1 and 2! 2 x 40 MW inverters, ± 60 kv DC! Module dimensions:! Level 1: 22,5 x 12,5 m! Levels 2 & 3: 18,5 x 19 m! Height:! Approx 15 m (module, only)! Approx 20 m (with HVAC)! Dry weight:! Approx 750 tones (module and equipment)

7. Troll A Motorformer COE-0017 ABB Automation Technologies Division - 28 High Voltage Cable Windings Motorformer Being Installed! Rated voltage: 56 kv! Rated current: 422 A! Rated power: 40 MW! Rated speed: 1800 rpm! Operating speed: 1260-1890! Weight: 110 tones

7. Troll A HVDC Light Cable! Conductor: Cu! Cross section: 300 mm 2! Rated DC current: 540 A in air! Insulation: Triple extruded DC! Rated DC voltage: 80 kv COE-0017 ABB Automation Technologies Division - 29! Armoring: Double counter helix! Outer diameter: 7.5 cm! Dry weight: 15 kg/m

7. Valhall HVDC Light Power From Shore Valhall Lista Operator: BP Partners: Amerada Hess, Shell, Total Technical Data Commissioning year: 2009 Power rating: 78 MW AC Voltage: 300 kv / 11 kv DC Voltage: 150 kv Length of DC cable: 292 km Phase reactors AC filters COE-0017 ABB Automation Technologies Division - 30 Valve area LxWxH = 22x15x13 meter DC side area 3-phase transformer New PH platform Existing WIP

COE-0017 ABB Automation Technologies Division - 31 ABB is a global leader in power and automation technologies that enable utility and industry customers to improve performance while lowering environmental impact.