Aspects of Submarine Cable Retirement

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1 Aspects of Submarine Cable Retirement Presenter Jürgen Ridder Company Name AG, DTAG

2 Presenter Profile Head of DTAG-Department: Competence Center Submarine Cables CCSC Responsible for DTAG Submarine Cable Operation and Administration Member of TAT-14 Managing Group Place picture here Jürgen Ridder Head of Section (+49)

3 Submarine Cable Retirement What does Submarine Cable Retirement mean? Turn off the Power and the System is retired? No! A huge Project, probably over months and years? Yes, please follow the presentation!

4 Content 1. Introduction 2. Decision Finding in Submarine Cable Consortia 3. Commercial / Contractual Aspects 4. Permits 5. Recovery versus Non Recovery 6. Environmental Influences 7. Marine Operations 8. Conclusion

5 1. Introduction (1) Revolution of Submarine Cable Technology Significant Increase of Capacity per System Similar O&M Costs for Low- and High Capacity Submarine Cable Systems Reduced Average Lifetime of Submarine Cables

6 1. Introduction (2) 9.000, , EUR / STM , , , , , ,00 O&M Costs System Capacity Betriebskosten Übertragungs kapazität 1.000,00 0, Year Jahr

7 2. Decision Finding in Submarine Cable Consortia (1) Internal Decision by each Co-Owner System Description Rights of use and Utilisation O&M-Costs Net Book Value Consequential (Removal Commitment) Voting Rights Transits / DDP Proceeds Costs Allocation to IRU-Purchaser / Consortium Dependency on other Submarine Cable Systems

8 2. Decision Finding in Submarine Cable Consortia (2) External Decision in Consortia DTAG Other Co-Owner Submarine-Cable Consortia

9 3. Commercial / Contractual Aspects (1) Commercial Aspects Appreciation Philosophy of the Company Saving of O&M Costs Retirement Budget

10 3. Commercial / Contractual Aspects (2) System Length Price total Price per km UK 5 28 km , ,00 TAT 10 D 271 km , ,40

11 3. Commercial / Contractual Aspects (3) Contractual Aspects Maintenance Contracts Contracts with Spare Depots Crossing Agreements ( Pipelines, Power Cables, etc) Landing Contracts Building Contracts Contracts for Land Cable Route (private areas) Contracts with Power Providers Wayleave Contracts

12 4. Permits Permits for Accessing the Working Areas - Local Authorities - Marine Authorities - Government - Fishermen Authorities Time Windows in nature protected Areas to be considered

13 5. Recovery versus Non Recovery Detailed Study of existing Operation Permits Risk of non recovered Cable remaining by the Landing Point Party Interest of a third Party in the Cable (e.g. Scientific)

14 6. Environmental Influences (1) Removal of Terminal Equipment Removal Cable and Repeaters Removal of Spares Removal of Equipment and Cable only by certified Companies ( ISO 14001)

15 6. Environmental Influences (2) Nature protected Areas Dune Landscape (Mainland and Islands) Coral Reefs Bird Hatching Areas Shellfish Beds Mud Flat Areas

16 7. Marine Operation Attention to National Laws Calculation of Distance in Territorial Waters (12 NM) Recovery in Shallow Waters Recovery in Deep Waters Crossing Areas according to ICPC

17 8. Conclusion To pay attention to all Aspects of Submarine Cable Retirement will prevent Parties from: Any Financial Liability Any Contractual Liabilities and Duties Any other remaining risk from retired Cable Systems Any differences with other Co-Owners of the retired System

18 Cable Recovery on Island Cable recovery on Island Pulling the cable out of the ground with a minimum of invasive action to the nature

19 Cable Recovery in Dune Landscape (on Island) Dune Landscape immediately after Cable retirement work with a minimum of damage to the nature

20 Cable Recovery (1) Start at landing area Start of cable recovery at beach (landing area) Free Jetting of deep buried cable.

21 Cable Recovery (2) Start at landing area Recovery of cable, using Drumand Linewinch on the Cable ship

22 Cable Recovery (1) Start at 12 nm Zone Cable lifting procedure

23 Cable Recovery (2) Start at 12 nm Zone Recovery of cable, using Linewinch on the Cable ship

24 Cable Recovery in Mud Flats Cable recovery in Mud Flat area with a minimum of invasive action to the nature

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