LNG Experiences: Imagination to Operation. Mari-Tech 2018 Canadian Institute of Marine Engineering (CIMarE) April 18 20, Victoria, BC

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LNG Experiences: Imagination to Operation Mari-Tech 2018 Canadian Institute of Marine Engineering (CIMarE) April 18 20, Victoria, BC

New SALISH Class 107 m, 145 vehicles, 600 persons, 3 Wartsila DF20 engines, 1 LNG tank 130 m3

SPIRIT Class Vessels (2) 167 m, 410 vehicles, 2100 persons, 4 Wartsila DF34 engines, 1 LNG tank 165 m3

LNG: Imagination to Operations IMAGINATION Logic will get you from A to B Imagination will take you everywhere. Albert Einstein Don t fear it May 2, 2018 3

Decade to Gas Fueled Vessels LNG ferries in Norway Shale Gas Diesel Price Concept & Support Design Phase NOx Tier 3 IGF Code Completed Statutory Approvals SPIRIT CLASS Conversion Project BCF building new ferries Queen of Capilano Feasibility Study 2007 2009 2011 2013 2015 2017 2019 SALISH CLASS New Build Project BCF projects underway in Shipyard May 2, 2018 4

Decade to Gas Fueled Vessels NOx Tier 3 IGF Code Completed Statutory Approvals BCF Safety, Training, Operations BCF Project Team(s) On Site and Ops Readiness Core Engineering Phase Transport Canada and other statutory authorities BCF Engineering + contracted engineering Classification, Standards orgs Knowledge and learning Phase Industry conferences Industry community of Experts Leading Vendors BC Ferries LNG Transition Plan Developed & Implemented 2007 2009 2011 2013 2015 2017 2019 May 2, 2018 5

Introducing a New Fuel - Considerations Old and Familiar Diesel Widely available Easy delivery Easily stored and used New Fuel Difference? Changes? How To? May 2, 2018 6

LNG Transition Plan - Approach To safely introduce LNG as a marine fuel into the BC Ferries organisation. Goal Organizational aspiration Strategy Business streamdriven Tactics Developed by business teams Deliverable Outcome of task force work Task Force Activities May 2, 2018 7

LNG Transition Plan Key Strategies Design & Build: Ensure safe and reliable ship design and construction principles are applied to new and converted vessels. Operate: Develop capabilities to safely operate LNG/Gas fuelled ferries Maintain: Develop capabilities to maintain LNG/Gas fuelled vessels Safety Case: Manage the risks associated with the introduction of LNG as fuel using the BC Ferries safety case approach. Communications: Develop and execute a comprehensive and effective communication plan to ensure all internal and external stakeholders understand how BCF is achieving the goal. May 2, 2018 8

LNG Operations May 2, 2018 9

LNG Operations May 2, 2018 10

LNG Operations May 2, 2018 11

LNG Operations May 2, 2018 12

LNG Operations May 2, 2018 13

LNG Operations May 2, 2018 14

LNG Operations May 2, 2018 15

LNG Operations May 2, 2018 16

LNG Operations May 2, 2018 17

Ferry operations and LNG fueling Tanker arrival, staging area & positioning Tanker relief valves to mast connection Tanker-Ship cable and hose connection Ship 600VAC permissive Ship-Tanker communication status check Tanker status check LNG bunkering LNG Purge Natural Gas purge with N2 Tanker leaves terminal Disconnect cables and hoses

Overall Regulatory/Policy Framework Internal External 19

Safety Management Framework Level of Risk Assess and control risk Identify Hazards Corporate Safety Management System Identify Hazards Assess Hazards Identify Controls Monitor Manage Safety Asses Hazards Implement Controls Implement Controls Identify Controls ALARP Safety Case Implementation Time May 2, 2018 20

Big Picture Training Overview May 2, 2018 21

Comprehensive LNG Training Framework May 2, 2018 22

Comprehensive LNG Training Framework

LNG Spill control & fire suppression Firefighting & LNG training SME Specialised facility and equipment Recognised training AGI Marine Firefighting Justice Institute of BC Cryopeak BC Ferries & Seaspan LNG SME LNG supplier & equipment operator Project manager Course development requirements & funding Trainees May 2, 2018 24

LNG spill control and fire suppression course May 2, 2018 25

Controlled Zones 26

Lessons learned - Implementation Start preparations early, building the foundation for change Have a transition plan that focuses on the broader picture and involves all stakeholders Use training to build knowledge and trust Be very proactive and thorough in addressing concerns no matter what the issue Invest in the community that supports your operations Be prepared to get back to the basics Use your Safety Management System; near miss and incident reports May 2, 2018 27

Communications Plan Stay continually engaged Vessel Crews Union All Employees Board of Directors Ferry Advisory Committees Local Government Province & Federal Ministries Gas Supplier/Utility Public at Large Media Commissioner Emergency Response Agencies Port Authorities Fleet support contractors Non-Governmental Organizations May 2, 2018 28