Boskalis Annual Report 2018

ANNUAL REPORT 2018 – BOSKALIS 49

In 2018 the decision was taken for the environmentally responsible dismantling of the trailing suction hopper dredgers Seaway and Shahaf, the cutter suction dredger Cyrus, the multi- purpose pontoon Scradeway and the backhoe dredger Rocky 1. The hopper barges Frigg and Rind were sold. Offshore Energy In February 2018 the transport and installation crane vessel Bokalift 1 was taken into service. This converted heavy transport vessel is equipped with a 3,000-ton capacity pedestal crane, dynamic positioning (DP2) and accommodation for up to 150 people. At the end of 2018 the Boka Falcon was added to the Boskalis fleet under a long term charter. Built in 2011 the vessel is a multi-functional DP2 deepwater construction support vessel and 403 ton bollard pull anchor handling tug. Designed and equipped to meet the harshest global conditions the Boka Falcon is among the largest in its class. In 2018, the low-end closed-stern semi-submersible heavy transport vessels Swan, Swift, Teal, Transporter, Talisman and Treasure were taken out of service for dismantling. RESEARCH AND DEVELOPMENT Our research and development activities are helping us deliver added value to our clients and stakeholders and support our business growth. We use our know-how, experience and resources to address and fnd answers to sustainability related challenges. The Boskalis WaveJump innovation program continued in 2018, focused on stimulating a mindset of continuous innovation within our company. We launched an Innovation Challenge, including an acceleration program to provide support and professional coaching for the winners. In this way, we aim to improve the chance of the success of the winning idea. ReefVival After the successful installation of six 3D-printed artifcial reef modules in the Larvotto Reserve in 2017, this year, in collaboration with the University of Nice, we monitored their ecological performance. We have also been exploring the possibilities of upscaling our 3D printing technology to other locations. In this context, we printed reefs for a global environmental NGO to ecologically enhance the seabed in the North Sea. The most sustainable road in the Netherlands In 2018 we commenced construction of the most sustainable road in the Netherlands. We will be using innovations, including the generation of renewable energy that will compensate for the carbon emissions from the construction and maintenance work. Using nature for coastal protection In a collaboration with value chain partners and as a direct result of our work with EcoShape on the restoration of mangrove forests in Indonesia, a major study was conducted in the unique Deltares 2018 HIGHLIGHTS WaveJump Innovation Challenge

Delta Flume test facility. The project is looking to acquire knowledge for the use of vegetation on a larger scale in flood risk management projects. Minimizing underwater noise Marine mammals can be sensitive to underwater noise. In order to meet strict noise requirements on our wind-frm related activities, we partnered with Van Oord and TU Delft – amongst others – in the GROW innovation program to reduce piling noise. Boosting innovation in the global maritime industry Boskalis extended its partnership with Port XL that is aimed at accelerating start-ups in the maritime sector. Other partners are the Port of Rotterdam, EY, Shell and various other internationally operating companies. Our participation is focused on bringing our know-how and network to start-ups and support them in bringing their ideas to market. This year, in collaboration with Van Oord, we carried out a pilot with semi-dry scrubbers on our vessels to reduce fuel costs and cut SOx emissions to levels in keeping with IMO Global and IMO ECA compliance. The patented technology that requires no structural renovations has been developed by a Port XL start-up. We also took steps to include another Port XL innovation in our tenders: ECOncrete. This high-performance precast concrete is a perfect match for our Building with Nature approach, as well as our artifcial reef initiative: it enhances marine and coastal infrastructure by providing marine habitats and encouraging marine growth, while providing excellent functional and structural properties. ICT In line with the decision taken in 2017 to outsource specifc non-strategic IT-related activities, these activities were taken over by third parties at the beginning of 2018. This enabled us to focus our efforts on providing value-adding IT solutions to support core Boskalis activities. Also in 2018 work was ongoing as planned for the implementation of the new Enterprise Resource Planning system (ERP) in our offces and on projects in Germany, Finland, Sweden, the Middle East and Singapore. Implementation of the system within the Dredging division will be completed in 2019. The new ERP system has signifcantly improved the effciency of numerous processes and enhanced the transparency of our business operations, as well as governance on authorizations. It was decided in 2018 to introduce a company-wide software tool to optimize Fleet Management processes, such as: plant maintenance, crewing and SHE-Q-processes. Implementation of this tool is planned for 2019. Increasingly, clients are requiring us to operate in line with Building Information Modeling (BIM) standards. This model looks to integrate all project design and planning into one standard. Since a couple of years already, we have been busy adapting our working methods to comply with BIM. This year our focus was on developing supporting IT solutions.