Andy Crossan Projects Director Gillian Bruton Finance Director

229/2016 New Dual Fuel Ferry CMAL Project Updates February 2016 1 CMAL Project Team . Andy Crossan Projects Director . Gillian Bruton Finance Director CMAL Project Updates February 2016 2 1 2/29/2016 Preliminary Design Considerations of CalMac Ferries Ltd Safety Reliability Cargo Deadweight Capacity Manoeuvring, Berthing & Station Keeping Sea Keeping & Passenger/Crew Comfort Redundancy Fuel Efficiency CMAL Project Updates February 2016 3 Transport Scotland Requirements . Capable of Serving Multiple Routes on West Coast CMAL Project Updates February 2016 4 2 2/29/2016 Ports Brodick Coll Ullapool Ardrossan Tiree Stornoway Gourock Castlebay Oban Uig Lochboisdale Lochmaddy Tarbert Craignure Colonsay CMAL Project Updates February 2016 5 Restrictions . Length Restricted to 102.4m . Beam Restricted to be able to operate from current linkspans . Draft Restricted to 3.4m (3.6m at a few ports) CMAL Project Updates February 2016 6 3 2/29/2016 Development of Specifications Euro B Certification 1000 passengers 16.5 knots (also able to operate at 14.5 knots efficiently) 900 tonnes deadweight (1200 at 3.6 draft) Approximately 130 cars Approximately 16 HGVs Capable of Transporting Dangerous Goods CMAL Project Updates February 2016 7 Special Considerations 3 Bow thrusters Twist Flow Costa Bulb Flap Rudders 4/5 Lifts Access to All Areas for Restricted Mobility Pax Capable of Operating on One Main Engine Medical Room on Car Deck Increased Car Lane Width Special Stern Ramp Arrangement Large Observation Lounge CMAL Project Updates February 2016 8 4 2/29/2016 Design Challenges Increased deadweight and lightship weight requirements, yet only a small increase in the principal dimensions compared with the existing vessels on the routes, due to port limitations Deadweight requirements, nearly 300 tonnes more than existing vessel •LNG Tank (100 tonnes ) • Additional hoistable car deck (70 tonnes ) •Larger bow thrusters to Equipment Requirements: additional weight compared to meet manoeuvring existing vessels requirements • Allowance for equipment for additional passengers • Allowance for additional How to lessen this challenge? Explore possibilities to build passenger lifts Loch Seaforth size vessels, this requires to identify the harbour infrastructure requirements and upgrades required CMAL Project Updates February 2016 9 Shipyard Tendering England Germany Poland Turkey Scotland Contract Evaluated in Terms of Price and Quality CMAL Project Updates February 2016 10 5 2/29/2016 Initial Deployment . Vessel 1- Ardrossan – Brodick . Vessel 2- Uig Triangle CMAL Project Updates February 2016 11 New Vessels – Comparison with existing vessels Launched at FlensburgHebrides Shipyard, Caledonian GermanyLoch Seaforth New Vessels 21 March 2014 by Mrs JoanIsles Murray Length Overall 99 94 117.9 102.4 Beam (inc. 16.3 16.3 19.8 17.5 belting) Draught 3.2 3.2 4.8 3.4 Deadweight 624 704 1500 900 No of Cars 100 110 143 127/136 No of 612 1000 700 1000 Passengers Gross Tonnage 5506 5221 8680 TBC Service Speed 16.5 14.5 19.2 16.5/14.5 Main Engines 2 x 3840 kW 2 x 2163 kW 2 x 4000 kW 2 x 3000 kW Plus Plus 3 x 1520 kW 2 x 920 kW CMAL Project Updates February 2016 Auxiliary Auxiliary 12 6 2/29/2016 Why Dual Fuel for Ferries . The vessels are to be capable of running on dual fuel: . The flexibility of using Marine Gas Oil (MGO) and Liquid Natural Gas (LNG) provide the opportunity to lower emissions and gives greater flexibility over future fuel costs. And allows the vessels to be operated at various ports. Using LNG as a fuel offers clear environmental benefits: . The NOx emissions are at least 80% below the current IMO level . The amount of emitted particles are less than 10% compared to a conventional marine diesel engine running on diesel . The SOx emissions are almost negligible . Further, gas operation generates in general 25-30% lower CO2 emissions compared to diesel operation . However, Methane slip has to be avoided during the bunkering and combustion processes of the engines as this is damaging in the context of greenhouse gases . Methane is 25 to 28 times more harmful than CO2 . Total CHG CO2 equivalents including contribution from THC is 18 to 20% less than that for HFO CMAL Project Updates February 2016 13 Refuelling CMAL Project Updates February 2016 14 7 2/29/2016 Refuelling SAMSO ferry DENMARK CMAL Project Updates February 2016 15 Refuelling Station CMAL Project Updates February 2016 16 8 2/29/2016 Gas Tank Installation CMAL Project Updates February 2016 17 Model Stern Arrangement CMAL Project Updates February 2016 18 9 2/29/2016 Ship Model CMAL Project Updates February 2016 19 Simulations Manoeuvring Sea Keeping Passenger Evacuation Freight Deck Loading CMAL Project Updates February 2016 20 10 2/29/2016 Build Programme Oct 2015 Dec 2015 Oct 2017 Summer • Shipbuilding •Major • Launch 2018 Contract for 2 Equipment •Target Delivery Vessels Ordering Awarded Process Begins CMAL Project Updates February 2016 21 Thank you Any Questions? CMAL Project Updates February 2016 22 11.

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