In 2010, the MK3 prototype was launched at Port Kembla and was successfully grid-connected for the first time. It was designed to generate 2.5MW of electricity. In May 2010 it broke free of its moorings and sank at the bottom of Port Kembla's eastern breakwater. Plans to remove the generator were delayed by years, exacerbated by the company entering receivership in April 2014. In December 2011, the Kilpatrick Group was engaged to remove the wave generator. In July 2012, Oceanlinx CEO Ali Baghaei said that a new contractor had been awarded the work, and that it would be removed within months. In March 2013, Roads and Maritime Services announced their intention sue Oceanlinx for failing to remove the generator. The action was dropped after an agreement of cooperation was reached with Oceanlinx. In July 2013, Oceanlinx's chairman Tibor Vertes said that Oceanlinx would attempt to remove the generator by the end of the year.The Illawarra-based contractor Blue Sky Services was appointed to remove the wave generator in late 2013. The removal of the structure was undertaken in two phases, beginning in October 2016. The second phase involved refloating the remains of the structure and towing it 50 nautical miles offshore before scuttling it in June 2017.