Key commercial terms

Detailed commercial terms will be discussed and agreed with any preferred bidder(s) selected by the Joint Administrators subsequent to the receipt of Indicative Offers. However, the Joint Administrators consider it prudent at this stage to make the following observations with regard to commercial terms:

• The Joint Administrators' preference is to achieve a sale of the completed Power Buoy System - and Indicative Offers received on this basis will be preferred. However, the Joint Administrators are prepared to consider Indicative Offers based on either a sale of the Power Buoy System in its partially completed state and / or a lease of the Power Buoy System.
• It will be a condition of sale / lease that responsibility for maintenance and repair of the Power Buoy System subsequent to completion will lie with any successful bidder.
• The representations, warranties and indemnities provided by the Joint Administrators within any sale and purchase agreement in respect of the Power Buoy System ("the SPA") will be restricted.
• It will be a requirement of any SPA that the personal liability of the Joint Administrators is expressly excluded.
• Any SPA will be governed and construed in all respects in accordance with the Law of Scotland, and the Scottish Courts will have exclusive jurisdiction.