Simec Atlantis Regulatory News (SAE)

13 September 2018

SIMEC Atlantis Energy Limited

("SAE" or the "Company")

SIMEC Atlantis Energy Unveils World's Largest Single Rotor Tidal Turbine, the AR2000

Bristol, England: The Turbine and Engineering Services Division of SIMEC Atlantis Energy (SAE), a diversified sustainable energy generation company, is delighted to have unveiled today the design for its new 2.0-megawatt tidal power turbine system which includes the largest and most powerful single axis turbine available on the commercial market.

This next generation turbine will be capable of accommodating rotor diameters of between 20 - 24 meters, site dependent, with a cut in speed of less than one meter per second and a maximum of output of 2.0 MW at 3.05 m/s for a machine with a 20 meter rotor diameter.

The AR2000 has been in development for over two years and builds on the successes and lessons learned from the AR1500 deployment and operation on the world leading MeyGen project in Scotland. SAE has invested more than £5m in the development of this machine which is expected to be deployed on future phases of the MeyGen Project and will be available for sale to commercial developers in Q4 2019.

The turbine is offered as part of a complete rotor to grid tidal generation system, with an array architecture that allows multiple turbines to be connected in parallel, reducing the cost and impact of the subsea infrastructure.

The AR2000 will feature an innovative new electro-mechanical pitch system, 360 degrees of yaw, upgraded onboard health monitoring and diagnostics systems and optimised critical system redundancy. The AR2000 will have a 25-year design life with quarter-life interventions for routine maintenance. The system utilises a quick connect wet-mate system, designed for rapid and safe deployment on either a gravity base of mono pylon of up to eight turbines per day.

SAE has recently published the power curve for the AR2000 to assist developers to plan projects using this low cost, efficient, rapid deployment machine. Atlantis is in discussions with various governments, developers and site owners with respect to identifying potential locations for a manufacture, assembly, testing and commissioning facility.

Drew Blaxland, Director of Turbine and Engineering Services, said:

"The AR2000 marks the culmination of 15 years of investment, relentless experimentation, rigorous testing and subsea operation. Not only will it be the largest single rotor turbine in production, it will be the backbone of a highly efficient and cost-effective generation system capable of deployment in each of our key target markets in the UK, France, Channel Islands, Asia, Australia and Canada.

"Our Turbine and Engineering Division in Bristol is an aggregation of the best, brightest and most experienced tidal power engineers in Europe. We lead the world in turbine design, subsea connection and offshore intervention operations. The AR2000 draws on lessons learned during more than 13,000 hours of operation of the Marine Current Turbines SeaGen turbine in Northern Ireland and 4,000 operational hours of the AR1500 in Scotland. The AR2000 will enable multi-turbine connection onto a single power export cable to reduce cost and its larger rotor diameter will deliver greater efficiencies over a range of flow regimes.

"The AR2000 system has been designed to deliver a lower levelised cost of energy and increased reliability. Combining a larger rotor diameter with a drive train capable of being daisy-chain linked, optimised redundancy and quick connection, will deliver an offshore generation system that can compete with other comparable sources of renewable generation when deployed at scale.

"A relentless commitment to continuous learning and improvement has paid off, because we firmly believe that the AR2000 will now carry the industry into the next phase of large scale array deployment."

Please see attached image of Tidal Turbine:

http://www.rns-pdf.londonstockexchange.com/rns/6170A_1-2018-9-12.pdf

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