HoustonLondon Paris Stavanger Aberdeen Singapore Moscow Baku Perth Rio de Janeiro Lagos Luanda For continuous news & analysis www.offshore-mag.com December 2015 World Trends and Technology for Offshore Oil and Gas Operations TOP OffshOre’s 5P 2015 rOjects Have you experienced the story? Watch it & get the download: OPERATIONOFFSHORE.COM Episode 3 © Copyright 2015 T.D. Williamson, Inc. Marine solutions experience matters. We’ve been proving it for 123 years. At Crowley, we leverage our 123 years of maritime experience to successfully design, engineer and manage marine projects for our customers. Having completed projects from $10,000 to more than $900 million, no assignment is too big or too small, because we tailor our engineering consulting and project management services to meet the unique challenges and desired outcomes of each customer. We engineer risk and cost out of every marine solution to generate maximum value for our customers. And we can do the same for you. Learn more by contacting Crowley today. 832-850-5322 | Crowley.com/MarineSolutions ENGINEERING . VESSEL DESIGN . CONSTRUCTION MANAGEMENT . FACILITIES ENGINEERING MANAGEMENT MARINE OPERATIONS & HEAV Y LIFT SERVICES . OFFSHORE SERVICES . ARCTIC LOGISTICS & OPERATIONS ....... DRILLING & COMPLETION New fracturing tool improves extended-reach drilling efficiency . Technip outlined some of the technologies it is working on to extend the lives of producing subsea facilities and to extend development to deeper water. At a recent presentation in London............. 222 Rosewood Drive.. Box 3264.....372 m) and reservoirs range from 12.......... Tulsa........ Sheridan.. Delta House FPS is a first of its kind .. TOP 5 PROJECTS Chevron advances deepwater frontier with Jack/St.. OK 74112.658 to 5.. Publications Mail Agreement no. The system operates lower-completion tools remotely to minimize intervention and milling requirements and costs............ Anadarko Petroleum Corp.164 m) of water. SUBSCRIPTION PRICES: US $123... Number 12 December 2015 Celebrating 60 Years of Trends.. 37 Against a backdrop of low oil prices and spending cutbacks in the upstream E&P industry. 40612608................ Periodicals postage paid at Tulsa.... 01923.. Tulsa.....500 ft (3.. CONSTRUCTION.... however... ENGINEERING......... 41 Weatherford recently introduced a new system for stimulating the open-hole section to the completion toe in extended-reach wells.. general manager of geosciences and reservoir engineering.... or by calling CCC’s Customer Relations Department at 978-750-8400 prior to copying................ started production from the Perla gas field in the Gulf of Venezuela in July 2015... the Delta House development taps three Mississippi Canyon fields where the average water depth is around 4......... a 50/50 joint operating company between Repsol and Eni.... 44 Offshore® (ISSN 0030-0608).. the Middle East is the only major region in the world yet to register sizeable decreases in the number of offshore drilling rigs holding current or future contracts..... East Black Sea opening up for exploration .................. All rights reserved..100 ft (2.......... 40 Frontier seismic surveys were due to start this fall offshore Somalia and in the eastern Black Sea. 43 In mid-September. 39 Over the next seven years..... 1421 S.... and Technology 34 CONTENTS MIDDLE EAST AND NORTH AFRICA National interest projects sustain Middle East’s offshore rig count .. the world’s first subsea compression station began operating at the Åsgard production complex in the Norwegian Sea.............. OK....00 per year... condensate...000 to 18.... Spar platform proves successful for Anadarko once again .... & INSTALLATION Technip assessing fatigue... Offshore® is a registered trademark. © PennWell Corporation 2015. the industry has largely shunned both regions over the past two decades.................. but new developments are altering perceptions. Red Hawk...... All other countries $202..... 28 With first oil produced late last year.............. OK 74112 and at additional mailing offices... Mass..486 m)... 35 GEOLOGY & GEOPHYSICS Somalia..... Northbrook. Offshore is published 12 times a year... wasted no time before it made yet another mark in the Gulf...... 126813153. Sheridan Rd......... is granted for employees of corporations licensed under the Annual Authorization Service offered by the Copyright Clearance Center Inc. Printed in the USA... If you do not want to receive those offers and/or information via direct mail.. 32 Following the September 2014 decommissioning of its one-of-a-kind cell spar.... in the Gulf of Mexico....... The technology is designed to boost pressure at the Midgard and Mikkel fields that export gas and condensate to the Åsgard B semisubmersible processing platform nearly 40 km (25 mi) away.....00 per year..O. Tools.... ... We make portions of our subscriber list available to carefully screened companies that offer products and services that may be important for your work.. Canada/Mexico $145........ Vendor partnerships key to optimizing supply chain management . Mellitah Oil & Gas is looking to develop three Libyan offshore oil..... Chevron has advanced the boundaries of offshore exploration and production with its Jack/St......... Subsea compression prolongs gas production at Åsgard offshore Norway . 34 Heralded as one of the most efficient production systems in the Gulf of Mexico........ 36 Understanding the causes of equipment schedule delay is essential in order to mitigate future delays in supply chain activities of major offshore projects................ Moored in more than 7.............. please let us know by contacting us at List Services Offshore.. Permission......00)...... monthly... Malo project .... GST No.. according to Khalifa Daw Musa................ weight issues as subsea installations go deeper ..... Cardón IV S........ Danvers.... Malo project in the deepwater Gulf of Mexico....A.. For different reasons... and gas discoveries.. by PennWell® Corporation....... Mellitah details plans to unlock dormant discoveries offshore Libya ....500 ft (1. the Lucius spar is Anadarko’s biggest and most technically advanced to date... P..00 per year (Airmail delivery $283.....00 per year........... Worldwide digital subscriptions: $123....... IL 60065-3264...................... (CCC). Reproduction in whole or in part without permission is prohibited.... producing from multiple resource-rich fields. 74112... Perla marks first gas field to enter production off Venezuela .... POSTMASTER: Send address corrections to Offshore.... Total costs will likely exceed $7 billion...... 1421 S.International Edition Volume 75.. com/perforating *Mar M k of Sch Schlumb lumb lumberge m erge ger.r. PowerJet Nova charges exceeded production estimates by 250% by connecting to virgin rock via clean perforation tunnels—and in the North Sea.PowerJet Nova EXTRADEEP PENETRATING SHAPED CHARGES Rock-optimized PowerJet Nova charges improve production around the world. Achieve maximum production using PowerJet Nova* extradeep penetrating shaped charges to deliver the industry’s most effective penetration in stressed-rock formations. Find out more at slb. All rger. Cop opyright opyr ight © 2015 Schl Schlumbe umbe m rger rger. 15-PE 15-PE-454 5-PE-454 5-PE -45456 56 56 . All rirights ghts re resserve erved. In Ecuador. gas condensate yield surpassed production estimates with low-skin completion in an offshore HPHT well. even those with extreme values of rock strength. erv d. . Use published editorial content to validate your marketing initiatives... and project completion time.... FLOWLINES & PIPELINES Asphaltene inhibitor prevents deposition in deepwater GoM tieback . technically challenging. please contact Foster Printing Service... environmental protection........ where consequences and remediation can be far more involved and costly than onshore.. It is however. The projects are selected on the basis of the best use of innovation in production method. pipeline “live” repair is an attractive option for operators... 47 Loss of production time due to repair operations offshore can equate to millions of dollars per day in lost revenue........com).. ï Engage visitors on website ï Educate target audience ï Enhance email campaigns ï Instantly credible conference materials ï Trusted sales presentations content ï Add 3rd party endorsement to social media SUBSEA Industry project seeks to update pipeline repair standards . and resolution of challenges......... 16 ï Professional recruiting and training materials ï Branded content marketing For additional information.......... ELECTRONIC REPRINTS HIGH HI GH-Q GH -QUA -Q ALITY YG GLO LOSS SSY SS Y HA HAND NDOU ND O TS OU CR ROSS ME MED DIA MA MARK RKETIN NG PERSON PER SONALI ALIZED ALI ZED DIRECT MAIL MAIL PR PRODU ODUCTS ODU CTS PL PLAQ LAQ AQUE UES UE ES & FR FRAM AMED ED P PR RINT RI NTS Articles are available in electronic (pdf) format and professional. The cover was designed by Adam Questell (questell@ akyudesign. along with safety. 48 Safely controlling and treating asphaltene deposition is a major flow assurance challenge in the offshore environment.. ...... and is often preferred since it yields considerable flexibility and is highly opex-efficient. highquality prints.. application of technology. As a result.International Edition ARTICLES FOR DISTRIBUTION Volume 75.. Number 12 December 2015 COVER: Offshore announces the Top 5 projects for 2015..... . ...... 12 Offshore Europe . 6 Comment .............879......... 10 Global E&P .......................................................offshore-mag............. provider for Offshore............ 24 Geosciences .................. 63 Beyond the Horizon .......... Rigs................................ & Surface Systems ......com D E P A R T M E N T S Online ....com 4 Offshore December 2015 • www.................................................................. 8 Data ......... Call 866. 18 Subsea Systems ...............................................................9144 or sales@fosterprinting....... 20 Vessels...................................... 64 ......... 22 Drilling & Production .............................. 61 Advertisers’ Index........ 26 Business Briefs ................................................ 16 Gulf of Mexico ............... PERFORMANCE DRILLING TOOLS UNLOCK THE POTENTIAL . Æ RFID . . . )++ + ) . )) + . + . ++ )+. )+ ) + )* )+ . . ) )+ . ) +. )+ + . . ). + ) +. ++ ) . +. +) + ) ) ) ) + + . + + )+. + . !"(#) . # . $ %&)#. ) ) . % . All rights reserved. ++++ © 2015 Weatherford. . com/jetstream Drilling & Formation Evaluation | Well Construction | Completion & Stimulation | Production .)+ )'*+++ weatherford. Tel: (01) 713 621-9720 • Fax: (01) 713 963-6296 www. The unique technology allows inspection through coatings while the pipe remains online.offshore-mag.com/webcasts/offshore/2015/11/exploringshells-flng-technological-advances-and-opportunities.com Gail Killough (Houston)
[email protected] EDITOR-EUROPE POSTER EDITOR Jeremy Beckman jeremyb@pennwell. and 19 featured articles.com Robin Dupre (Houston)
[email protected] EDITORIAL OFFICES OFFSHORE 1455 West Loop South. http://www. discusses how through FLNG technology. http://www. companies.com Tel: (219) 878-6094 • Fax: (219) 561-2023 6 Offshore December 2015 • www.com ART DIRECTOR Josh Troutman PRODUCTION MANAGER Kimberlee Smith
[email protected] CUSTOM PUBLISHING Roy Markum roym@pennwell. Learn how the industry is applying the latest technologies for production and development in deepwater and other challenging offshore environments.com Latest news The latest news is posted daily for the offshore oil and gas industry covering technology. In this webcast Marjan van Loon. By being the first company to green-light an FLNG project – the Prelude project.com MARKETING MANAGER Offshore-mag. CORPORATE DEVELOPMENT AND STRATEGY: Jayne A.com. Vice President LNG & Integrated Gas in Shell Projects & Technology.com AUDIENCE DEVELOPMENT MANAGER Linda Thomas lindat@pennwell. address changes and back issues Tel: (847) 763-9540 • Fax: (847) 763-9607 Email: os@halldata. The winners were announced in a webcast on Dec.com EDITOR ASSISTANT EDITOR Sarah Parker Musarra
[email protected] [email protected] The editors of Offshore have made their choices for the winners of the Five Star Award – the top five offshore field development projects for 2015. 17. Gilsinger SENIOR VICE PRESIDENT AND CHIEF FINANCIAL OFFICER: Brian Conway SUBSCRIBER SERVICE To start a free subscription.com Jessica Tippee jessicat@pennwell. and products. This results in reduced vessel time and no deferment of production and revenue. Shell Global Solutions.2015 OFFSHORE EVENTS David Paganie (Houston)
[email protected]. head of Subsea Services at Tracerco. visit www.com New on demand webcasts ➤ Offshore Top 5 Projects . TX 77027 U. and using lessons to make remote and associated offshore fields economically viable and accessible to the market.pennwell.html . Suite 400. Beaubouef bruceb@pennwell. Kurt.com CHIEF EDITOR/CONFERENCES EDITORIAL DIRECTOR Available at David Paganie davidp@pennwell. New tools and resources ➤ Offshore Learning Center Offshore magazine has partnered with the University of Houston to research segments of the offshore oil and gas industry and evaluate and organize the best available online videos into special collections.html ➤ Revolutionize your subsea pipeline inspection technique and save over a third on the cost versus conventional scanning techniques Discovery has proven that it can deliver average savings of 35% on the cost of subsea pipeline inspections. currently under construction – Shell took the first step toward making its FLNG efforts a reality.VICE PRESIDENT and GROUP PUBLISHER Mark Peters markp@pennwell. 62 posters. the use of floating liquefied natural (FLNG) vessels has become an increasingly attractive option for production. and storage. Lauinger PRESIDENT AND CHIEF EXECUTIVE OFFICER: Mark C.com SENIOR TECHNOLOGY EDITOR/ DOMESTIC CONFERENCES EDITORIAL DIRECTOR Robin Dupre
[email protected]. In this webcast Lee Robins. addressing key environmental and safety issues.com/learning-center/learn-more. http://www. Biolchini VICE CHAIRMAN: Frank T. P. Shell and others hope to unlock new offshore reserves that otherwise would have been impossible to develop. http://www. processing. The Offshore Learning Center currently contains six major collections.com www. personnel moves. Shell has been working on FLNG technology since the 1990s. Houston.offshore-mag.offshoresubscribe.offshore-mag.com CORPORATE OFFICERS CHAIRMAN: Robert F.html ➤ Exploring Shell’s FLNG technological advances and opportunities As the offshore industry looks to develop remote and stranded natural gas fields.com Tel: (713) 963-6220 REPRINT SALES Rhonda Brown rhondab@fosterprinting. with 281 videos totaling 27 hours and 38 minutes.com MANAGING EDITOR Bruce A. and in the December issue. Wilmoth EXECUTIVE VICE PRESIDENT.com/webcasts/offshore/ 2015/12/offshore-top-5-2015. Contact us for subscription questions.html Myle Lowrance
[email protected]/webcasts/offshore/2015/12/ revolutionise-your-subsea-pipeline-inspection-technique-and-saveover-a-third-on-the-cost-versus-conventional-scanningtechniques. Kurt Albaugh. discusses the new breakthrough technology for inspecting subsea coated pipelines without using PIGs as well as use of Nucleonics for asset integrity and flow assurance. and expert data interpretation to provide the geological.Change how you see your formation.com/ACE and let us help you change how you see your formation. All Rights Reserved. mineralogical. state-of-the-art x-ray equipment. Make better informed well-completion decisions. See your formation in a whole new light with leading-edge wellsite cuttings identification technologies and analysis capabilities. and geochemical data you need to characterize your reservoir while drilling. The Advanced Cuttings Evaluation service uses high-resolution digital microscopes. Calculate reserves more accurately. 42764 08/2015 . +44 2070 483646 or +1 713-268-6218 © 2015 Baker Hughes Incorporated. Call us or visit BakerHughes. Geosteer in shale formations. It is fitted with capacity to process 170. along with safety.500 ft (1.00 US Deepwater Petroleum Exploration & Production is the most comprehensive and authoritative text available on the business. 8 Offshore December 2015 • www. Prompted by an expiring lease. 875.PENNWELLBOOKS.com). FIND US: To respond to articles in Offshore. and also the first gas field to be brought to production offshore Venezuela. Malo fields are among the largest in the GoM. and 40. Perla is estimated to hold up to 17 tcf of gas in place.164 m) of water. The successful completion of the project was the result of the collaboration of hundreds of suppliers and contractors and thousands of workers across nine countries over a ten-year period. which would enable it to work within a range of reservoir characteristics. semisubmersible floating production unit (FPU) moored between the fields. or to offer articles for publication. The FPU is the largest of its kind in the GoM. Lucius is Anadarko’s largest spar to-date. thereby extracting a further 306 MMboe of production. environmental protection.offshore-mag.TAKE THE PLUNGE! COMMENT David Paganie • Houston Select projects earn special recognition The editors of Offshore magazine have selected five projects that exemplify best-in-class among those that recently achieved first production. Delta House The LLOG-operated Delta House development in the deepwater Gulf of Mexico flowed first oil in the second quarter of this year. which is rapidly gaining momentum as project developers seek to improve efficiencies. The full cycle time from discovery to first production was five years. two of the projects employ a variation of the “design one.com. and service vehicles • Greater coverage of engineering and scientifc schemes used in deepwater • Final chapter presents the latest technology used in the “third wave” of industry evolution • ORDER TODAY! VISIT WWW. Best-Selling 2nd Edition! 372 Pages/Hardcover/2011 ISBN 978-1-59370-253-3 / $85. science. Statoil expects to extend the fields’ lives out to 2032.000 b/d of oil. Åsgard In mid-September of this year. application of technology. Malo Chevron and partners produced first oil late last year from the Jack/St.1 Bboe. In no particular order. or 3. Interestingly. and resolution of challenges. about 10 months faster than the industry average of spar projects. The project partners believe Perla represents the largest offshore gas field in Latin America. 240 MMcf/d of gas. Located in the Cardón IV block 50 km (31 mi) offshore in 60 m (197 ft) water depth. The Anadarko-led consortium made several decisions throughout the project development cycle that resulted in sizeable savings in both time and money. and technology of this multibillion-dollar industry. and 919. Perla Cardón IV SA.000 b/d of water.offshore-mag. Malo project in the deepwater Gulf of Mexico. engineering. The Delta House host semisubmersible floating production platform is moored in about 4. The technology is designed to boost pressure at the Midgard and Mikkel fields that export gas and condensate to the Åsgard B semisubmersible processing platform nearly 40 km (25 mi) away. It produces from multiple resource-rich fields spanning Keathley Canyon blocks 874. build two” approach. In the process. started production from the Perla gas field in the Gulf of Venezuela in July of this year. Moored in 7. NEW TO THE SECOND EDITION: New chapters on geology and geophysics. a 50/50 joint operating company between Repsol and Eni. rigs. And it was based on its “one-size-fits-most” approach. contact the editor by email (davidp@pennwell. Offshore’s Top 5 Projects for 2015 were selected on the basis of best use of innovation in production method. the winners are: Jack/St. It is designed with capacity to handle 100. 918. and are part of its Lower Tertiary Trend.372 m) of water. The fields were developed with subsea completions tied back to a single host. with the potential for future expansion. start on page 28 inside this issue and see the Top 5 webcast hosted on Offshore magazine’s homepage: www. For more information on the award-winning projects.. the world’s first subsea compression station began operating at the Åsgard production complex in the Norwegian Sea. about three years from project sanction.000 b/d of oil and 42 MMcf/d of natural gas.com .100 ft (2. the privately held operator initiated platform design even before a discovery was made. and project execution.COM OR CALL 800-752-9764! Lucius Anadarko and partners achieved first oil from Lucius in the Gulf of Mexico in January of this year. The Jack and St. Our strongest asset is not our people. Itís their attitude. . We call this Norsk Integritet.com . akersolutions. 063 $144.000 $97.000 $735.000 $145.com Total contracted Working 100 Source: IHS RigBase No.469 ft).214 $503.000 $97. Its ultra-deepwater Egina project in Offshore Mining Lease 130 is a notable example.000 $670.000 $38.640 ft) up to 2020.000 $50. In Ghana. The project is situated in water depths averaging about 1.218 $141.000 $389.000 $97. with Infield Systems projecting subsea capex to increase by 59% period on period. In Angola.000 $670.000 900 90 800 80 700 70 600 60 500 v No 50 13 b Fe 14 ay 14 M g Au 14 v No 14 b Fe 15 ay M 15 g Au 15 Number of projected deepwater developments in Africa entering production 2011-2020 West Africa North Africa South & East Africa 100 90 On-stream developments (%) This month Infield Systems takes a brief look at the West African deepwater market (> 500 m/1.300 $51.906 $389. largely associated with the TEN development that consists of the Tweneboa.000 $115.004 $399. Senior Energy Researcher.479 $399. The number of deepwater fields anticipated to come onstream over the next five years is expected to increase in comparison to the historic period (2011-2015).352 $397.000 $115.000 $641.000 $97.000 $115.000 $507.000 $151.259 m (4.000 $115. Total is expected to see the largest of a number of deepwater developments enter production over the timeframe.405 $51. Eni is also anticipated to be a key driver of deepwater developments in the country.com Contracted fleet utilization 80 70 60 50 40 30 20 10 0 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Source: Infield Systems Market Modeling & Forecasting Database block 32.122 $143.715 $503.938 $136. Infield Systems .000 $145.offshore-mag.000 $735.000 $414. with Angola being the main demand driver.000 $390. Three of the nine fields associated with the project are already in production.405 $51.371 $137.730 $509.000 $605.000 $735.335 $503. Together all three are anticipated to account for about 86% of West African deepwater capex during the period of analysis.549 $136.262 $401.000 $414.000 $624.528 $401.729 $144. with the field expected to start production during 2017.020 $498.288 $142.000 $389.000 $641.000 $414.000 $605.818 $401.405 $38.069 $143. – George Griffiths.000 Jackup 2014 Nov 2014 Dec 2015 Jan 2015 Feb 2015 Mar 2015 Apr 2015 May 2015 June 2015 July 2015 Aug 2015 Sept 2015 Oct $43.000 $115.000 $670. production is expected to start in 2016. Tullow Oil is expected to be a key contributor to the country’s deepwater market.000 $151.968 $641.000 $735.000 $624.733 $402.094 $506. and Ghana.000 $151.295 $137.369 $735. French supermajor Total could see the largest number of deepwater fields enter production during the forecast period.000 $414.000 $670.000 $389.000 $735.640 $401.131 ft). of rigs 1. mainly related to oil fields associated with its giant Kaombo project located in Total supply Fleet utilization rate % Source: Rigzone.429 $506.000 $145.000 $641.000 $414. mostly related with fields linked with its West Hub Development project located in block 15/06.000 $615.880 $495. In Nigeria.667 m (5.000 Semi 2014 Nov 2014 Dec 2015 Jan 2015 Feb 2015 Mar 2015 Apr 2015 May 2015 June 2015 July 2015 Aug 2015 Sept 2015 Oct $145.310 $142.000 $641.000 $97.000 $641.106 $508.000 November 2013 – October 2015 10 Offshore December 2015 • www.000 $708.623 $389.000 $151.300 $43.000 $145. Key deepwater markets over the next five years in West Africa include Angola.000 $624.405 $35.000 $97.000 $670. Situated in water depths of about 1.781 $505. Nigeria.010 $396.000 $389.000 $143.375 $403.000 $389.413 $502.G L O B A L D ATA Worldwide day rates Worldwide offshore rig count & utilization rate Year/Month Minimum Average Maximum Drillship 2014 Nov 2014 Dec 2015 Jan 2015 Feb 2015 Mar 2015 Apr 2015 May 2015 June 2015 July 2015 Aug 2015 Sept 2015 Oct $151. Enyenra and Ntomme oil fields.000 $97.405 $51. Increasing deepwater activity within the region will undoubtedly have a positive impact on the subsea market.000 $389.000 $145.000 $51.405 $51.000 $75. and increased production.IT TAKES A FULLSTREAM PROVIDER TO KEEP THE MIDSTREAM MOVING. reduced costs.com . delivering greater reliability. Learn how we fuel the future at geoilandgas. fewer operational and financial risks. GE brings an innovative and fullstream perspective to break down silos. Lekoil is the new operator of the Nigerian OPL 325 lease after buying the interest previously held by Ashbert Oil and Gas. only four FPSs had been ordered for new projects: Appomattox in the Gulf of Mexico. in service since 1999. Commitments include shooting 3D seismic and geology/geophysics studies. following the earlier Kronos gas discovery to the south. They are looking at an oil-prospective deepwater area northwest of the island and could begin their program in late 2016.024 sq km (1. The partners have also invited tenders for a second FPSO to conduct extended well tests for the Libra Pilot Project: this would have a capacity of 180 b/d of oil and 12 MMcm/d of gas. The partners have committed to seismic acquisition during the first four-year exploration term. in 100 m (328 ft) of water. in the central part of the block. The concession is in the offshore Dahomey basin wrench zone that straddles the western Niger Delta. should double the block’s hydrocarbons treatment capability.offshore-mag. ••• CGG is helping to promote Gabon’s 11th licensing round which features five deepwater blocks and which will open for bids from Feb. This would be Cuba’s first offshore well since 2012 when Repsol pulled out of the country following a dry hole. and the Brotojoyo field redevelopment off Indonesia. Shell’s initial capping stack would come from Stavanger. The Calasu-1 well was targeting a large fourway structure. the Ministry has decided not to extend the production-sharing contract for the offshore Zafiro field. The new facility. Reuters reported. .496-sq mi) permit is offshore eastern South Africa in water depths up to 1. 12 Offshore December 2015 • www. As a result. and reflects operators’ continuing difficulties in the lower oil price era. citing inadequate evidence of forward exploration and development programs. The facility should start operating later in the year. Additionally. Jeremy Beckman • London ••• Jacka Resources expects first oil to flow early next year from the Aje field in the OML 113 license offshore Nigeria via the FPSO Front Puffin. ••• ExxonMobil is reportedly looking to develop its deepwater Liza oil discovery offshore Guyana.500 m (8. Norway. recently refurbished in Singapore. Industry and Energy plans a new bid round next year for all the country’s remaining deep and ultra-deepwater blocks. via an FPSO. ••• Galp Energia and Kosmos Energy have been assigned equal 45% stakes in block 6 in the Sao Tome and Principe Exclusive Economic Zone. This spans 5. Operations recently started on another well to the north. (Map courtesy Statoil) Statoil has farmed into its first exploration concession offshore South Africa. acquiring a 35% stake in the ER 12/3/154 Tugela South Exploration Right. Development should benefit from recent decreases in FPSO leasing costs and drillship day rates. four-year program to develop the Marlin oil and gas and Manta gas fields. This requires a response of no more than 12-13 days to contain a subsea blowout. South Pars in the Persian Gulf. ••• Shell has approval from the Canada-Nova Scotia Offshore Petroleum Board for its Shelburne basin offshore drilling.940 sq mi) in water depths up to 2. North America The US Department of the Interior has canceled two Arctic offshore lease sales tentatively scheduled for 2016-17 in the Chukchi and Beaufort seas. thought to hold more than 200 MMbbl recoverable. ••• Latin America State-owned Cuban company Cupet could partner with PDVSA and Sonangol in a new round of exploratory drilling offshore Cuba. Sankofa offshore Ghana. claims consultant GlobalData.905 ft).800 m (5. ••• Equatorial Guinea’s Ministry of Mines. the Bureau of Safety and Environmental Enforcement turned down requests from Shell and Statoil to retain their leases in these regions beyond their primary 10-year terms. By early November.GLOBAL E&P DW downgrades floating production capex Capex on new floating production systems (FPSs) will likely total $4. DW has downgraded its projections of FPS capex during 2015-19 from $81 billion to $68 billion. ••• Petrobras has completed drilling a fourth exploratory well on the Libra oil field in the presalt Santos basin offshore Brazil. This is 72% down on the figure for 2014. Noble Energy expects to install a new gas compression platform at its offshore Alba field during 1Q 2016. The 9. although it does foresee a recovery in the market next year as various projects go forward that had been put on hold. operated by ExxonMobil. ••• Anadarko has been drilling its second deepwater prospect offshore Colombia’s Pacific coast.054-sq km (3. operated by ExxonMobil. handles production from the Foxtrot and Mahi fields. with a second contingency stack to be deployed from Brazil. The existing platform. according to projections from analyst DouglasWestwood (DW).202 ft). Lumina Geophysical’s recent review based on existing seismic has identified various large prospects with associated channel complexes and potential in-place oil totalling 5.7 Bbbl.5 billion this year. This follows Shell’s decision to cease exploration off Alaska after disappointing results from its well on the Burger prospect in the Chukchi Sea.com The Tugela license offshore South Africa. However. West Africa Foxtrot International has brought online a second platform in block CI-27 offshore Cote d’Ivoire as part of $1-billion. although this has to be confirmed by appraisal drilling.with the highest quality of OEM rams and elastomers.com . VBR is the Global Choice for Ram Rentals. discovered in 2004 in 3. Super Service VBR is the Ram Rental Superstore with Super Ram Service. anytime. East Africa Mozambique’s government has awarded four offshore exploration blocks to two consortia under the country’s fifth bidding round. exporting production to Chevron’s BelizeLobito Tomboco compliant tower platform in Angola’s block 14. On test it flowed more than 300. VBR services onshore. Competitively priced . The field. GE (Hydril ) and NOV (Shaffer) varieties .GLOBAL E&P 15 to March 31. with various locations to provide equipment anywhere. ••• Lukoil has discovered a potential gas giant in the Romanian sector of the Black Sea. ••• Delek Group says the Noble Energy-led partners in deepwater block 12 offshore Cyprus have re-scheduled further test drilling until May 2016. Production came initially through an upgraded drilling rig which earlier had drilled a water injector on the field. New 3D BroadSeis data should improve imaging of areas downdip of and adjacent to various recent deepwater preAptian salt discoveries. VBR offers customers the largest ram inventory . 2016. Early data from the well suggested a productive interval with a gas-saturated thickness of 46 m (151 ft) – reserves could be more than 30 bcm. lifting oil volumes by a further 4. Eni plans appraisal drilling and will study options for a development taking in various finds on the block. an OEM ram and elastomer provider. ••• Eni has added 250-350 MMboe of gascondensates to its reserves pool in the Marine XII block offshore Congo following its Nkala Marine discovery.5 mi) to the Abu Madi treatment plant. HOME OF RAM SW THE I ITUDE ATT TH BP has agreed to speed up development of its recent deepwater Atoll discovery in the North Damietta concession offshore Egypt. has increased oil output from the Salman field in the Persian Gulf by 3. Inc. Eni planned three more exploration wells in the license area.000 ft (900 m) of water.000 cmoe/d from a lower Cretaceous interval.296 ft) of water. INC. 65 mi (105 km) offshore. drilling. via two deviated wells drilled from an onshore location. API. The company estimates reserves at 1. (VBR).5334 www. superior service and largest ram inventory. NTL and BOERME requirements with dual certificates. workover and completion jobs worldwide. The semisubmersible Transocean Development Driller II drilled the Lira-1X well on the Trident block. Eastern Europe LOTOS Petrobaltic has delivered first oil from its B8 field development in the Polish sector of the Baltic Sea. ExxonMobil/Rosneft picked up the Z5-C and Z5-D contract areas in the Zambezi Superstore.vbri.000 b/d. The well was drilled 3 km (1.that meets and exceeds OEM. Variable Bore Rams.86 mi) from the Nene Marine field which began production late last year. is the industry leader in service and availability. Mediterranean Sea Middle East Iran Offshore Oil Co. offshore. As an exclusive OEM rental provider. VARIABLE BORE RAMS. This gives them more time to work on amendments to the development plan for the Aphrodite gas discovery. ••• Chevron has produced first oil and gas from the Lianzi field within a unitized offshore zone between Republic of Congo and Angola. Two rigs were due to drill further wells to step up injection. CGG said. Eni has brought onstream its fasttrack Nooros gas/condensate development in the shallow-water Nile Delta region following the discovery this July.256. 170 km (105 mi) offshore in 700 m (2.5 tcf of gas and 31 MMbbl of condensate: under a first-phase development it plans two wells tied back to existing infrastructure.including Cameron. has been developed via a subsea production system and a 27-mi (43-km) with a direct electrical (flowline) heating system.500 b/d following gas injection. 337. Production is sent 25 km (15. COM Desiree Reyes The Americas T: +1 713 963 6283 E:
[email protected]. delivering the premier technical forum focused exclusively on West African offshore exploration and production. please contact: Tony B.26-28 JANUARY 2016 THE EKO HOTEL & SUITES LAGOS NIGERIA PRELIMINARY EVENT GUIDE NOW AVAILABLE AT WWW.com FOR FURTHER INFORMATION PLEASE VISIT: WWW. The conference will deliver the latest technological innovations.com Dele Olaoye Africa T: +234 802 223 2864 E: q-she@inbox. Nigeria on 26-28 January 2016. Offshore West Africa Conference and Exhibition remains the leading source of information on new technology and operating expertise for this booming deepwater and subsea market.com Mike Twiss South East Asia. Moyo Europe. Gain access to the premier technical oil & gas conference for the West African region Access a world-class Exhibition Floor with both International and local exhibitors Hear from over 50 leading industry experts on the latest oil & gas industry developments and technologies Attend Multiple Networking events and sessions with over 3.000 industry professionals The conference is CPD endorsed and each delegate receives complimentary Energy Institute Nigeria membership For information on Exhibit Sales & Sponsorship at Offshore West Africa.OFFSHOREWESTAFRICA. Middle East & Asia T: +44 (0) 1992 656 658 E: tonybm@pennwell. Australia & New Zealand T: +61 437 700 093 E: miket@pennwell. solutions and lessons learned from leading industry professionals.com Owned & Produced by: Presented by: Supporting Publication: .COM POSITIONING FOR A SUSTAINABLE FUTURE JOIN US FOR OUR 20TH ANNIVERSARY CELEBRATIONS REGISTER TO ATTEND WEST AFRICA’S PREMIER OIL & GAS EVENT The 20th Anniversary edition of Offshore West Africa will return to Lagos. com . Markus Pratz – President Thermamax. It will take gas from the Ichthys gas/condensate field to new processing facilities near Darwin. long-term installation. Thermamax Hochtemperaturdämmungen GmbH | Thermamax. ••• Husky Energy has started a tendering process for a floating production vessel to develop the MDA and MBH fields in the Madura Australasia A prevented @re doesn’t need to be extinguished.000-km (10.56-mi) grid of long-offset. The company has commissioned another FPSO to process gas and liquids from the BD field in the same region. the company claimed. Strait. This should assist reinterpretation of the geology in the region and identification of prospective structural and stratigraphic trends. Eni. | infomail@thermamax. Inc. ensuring a cost-effective. The area is thought to contain extensive Mesozoic and Palaeozoic sediments. Last month it was due to sail to its offshore location in the Gulf of Martaban. Nopsema has asked the company to provide a detailed risk assessment of its proposed program in the Great Australian Bight. The well encountered 9 m (29. Another example of the mission we’ve had since 1976: Understanding Temperature. Early next year the company and partner Petronas plan two exploration wells offshore Sabah on the Imbok and Bambazon prospects in the SB307/308 concessions. according to operator INPEX. which started production in March 2014. according to operator PTTEP.6 mi) north of its Bertam field offshore Pensinsular Malaysia. this area could be oil-prone. high-resolution broadband seismic. heads to Thailand. ) | www. Saipem’s laybarges SEMAC and Castorone began the installation in mid-2014. Most of the gas from Zawtika. Both are said to be on trend with three producing oil fields operated by Shell.us ( Understanding Temperature. Inc.GLOBAL E&P Delta and a5-B in the Angoche basin. • The WP4 platform for the Zawtika Phase 1b gas project offshore Myanmar has departed the Tanggu Fabrication yard in China. Our insulation solutions minimize the safety risks on your platforms and transfer stations. This is the world’s third longest subsea pipeline.thermamax. ••• Saipem has finished installation of the 890-km (553-mi) 42-in. Asia/Pacific The BGP Explorer was mobilizing early last month to start shooting the Haere 2D seismic survey in the Gulf of Papua. secured A5-A in the Angoche area of the Northern Zambezi basin. Statoil said. gas export pipeline for the Ichthys LNG project offshore northern Australia. ••• CNOOC has confirmed its Caofedian field in the Bohai region offshore China is a mid-sized oil discovery. ••• Australia’s National Offshore Petroleum Safety and Environmental Management Authority (Nopsema) is considering BP’s environment plan for exploratory drilling offshore South Australia. Although nearly all Mozambique’s deepwater finds to date have been gas. with arrangements for dealing with the impact of any oil spill. 75 km (46. HIGH-TEMPERATURE INSULATIONS | OIL & GAS Effective problem-solving starts with establishing the root cause.750 b/d of light crude during testing – the highest rate achieved to date in Palaeogene clastic rocks.5 ft) of gas pay in Miocene channel sands. in partnership with Statoil and Sasol. A recent appraisal well was drilled in the western part of the Shijuto Uplift in 20 m (65. You can increase reliability and benefit from reduced insurance premiums. offshore Indonesia. According to Searcher Seismic – a partner in the project. flowing 5.6 ft) of water. ••• Lundin Petroleum has discovered a small gas accumulation in the Mengkuang structure. along with Papua New Guinea’s PNG’s Department of Petroleum and Energy – the aim is to build a 17. To guide it along the way. and is looking to start production in 2019. two Danish universities.000 boe/d. from detailed engineering to construction. Alongside the two existing models. Around 80 km (50 mi) 16 Offshore December 2015 • www. front-end engineering and design (FEED). which NPD believes are comparable in terms of functionality and sound economics to subsea systems. while ABB supplied and installed the 70km (43-mi) subsea cables bringing power to the new plant from the Norwegian mainland. The $4. converting it to direct current and transmitting it through the cables to Troll A. Aibel built the 3. cost. Initially. This involves taking alternating current from Norway’s national grid. The Corona exploratory well was the company’s first test of a Tertiary injectite prospect: it logged 225 ft (69 m) of net pay. Centrica handed Subsea 7 another five-year contract encompassing all Norwegian concept engineering. Chrysaor has confirmed that its 205/27-3 and 205/27-3z wells drilled this summer both discovered oil in the Mustard prospect in late Jurassic Solan sandstone. (Photo courtesy Port of Den Helder) south of Forties. The company plans further appraisal drilling to push recoverable resources from the three finds beyond 70 MMboe. Apache brought onstream its Triassic Lewis formation Nevis Central L4S oil and gas production well. The aim of this agreement. formerly developed by ExxonMobil. • . Subsea 7 will work on the FEED for the tieback to Ula with Granherne. DONG backs field life extension study DONG Energy may apply a new technique to prolong production from its Siri area fields in the Danish North Sea. although the top-hole section has been retained for potential future use. with a focus on enhanced oil recovery. another Apache-operated well encountered oil and gas in Triassic sands in block 22/29c. installation and completion. Unmanned wellhead platforms range from relatively simple to more complex structures equipped with process equipment. Poland and Thailand.offshore-mag. West of Shetland.000-ton compressor modules at its yards in Norway. In both cases. Assuming the project goes forward. is to minimize complexity. Earlier this year. This will include replacement of high-pressure pipework and maintenance of drilling equipment. Some can be accessed from vessels without the need for helidecks. and risk. Pending an investment decision late next year. The report should be completed by year-end. In July. It has commissioned Ramboll Oil & Gas to study the pros and cons of these facilities. Butch’s produced gas will be injected into the Ula reservoir.OFFSHORE EUROPE Jeremy Beckman • London Butch to head subsea to Ula Centrica and its partners have chosen the subsea route for their Butch oil field development offshore southern Norway. but more accessible in terms of inspection and maintenance.2-million collaborative project OPTION (Optimizing Oil Production by Novel Technology Integration) is working on ways to improve simulation tools for prediction and control of flow between horizontal wells on the reservoir. followed in October by first oil and gas from the Beryl ACN development well in the Nansen and Eirikisson formations.com The jackup Paragon C462 is undergoing inspection and modifications in the Port of Den Helder on the Dutch North Sea coast. subsea umbilicals risers and flowlines (SURF) studies and execution. this will help it extend the lives of both production complexes beyond 2020. it could cost up to $854 million to develop Butch’s recoverable reserves of up to 51 MMboe. and life of field operations. the oil will be transported 13 km (8 mi) to BP’s Ula complex for processing. Statoil starts up shorepowered Troll compressors Two new compressors have begun operating at Statoil’s Troll A platform in the Norwegian North Sea. NPD commissions unmanned platform study The Norwegian Petroleum Directorate (NPD) is pressing for more dry-tree unmanned wellhead platforms for new field developments offshore Norway as an alternative to subsea tiebacks. two side tracks followed into adjacent fault blocks which intersected more than 1. The Port authorities hope this job will serve as an offshore reference. The company achieved discoveries with its first two exploratory wells in the Beryl area. the company has awarded Norwegian fabricator Aibel a fiveyear frame agreement covering all phases of its programs offshore Norway. using the company’s HCDC Light technology. they should increase gas recovery from the field by 83 bcm and maintain the Troll field’s gas export capacity at 120 MMcm/d. then transported via the Ekofisk center and the Norpipe trunkline to the Teeside terminal in northeast England..500 ft (457 m) of good-quality oil-bearing sands within four formations and across three fault blocks. Neither was tested. building to a peak of 35. Partners in OPTION include LR Senergy. Statoil also started sub- sea gas compression at its Åsgard and Gullfaks field centers. Centrica said. allowing it to expand it services to mooring of offshore structures at its maintenance quays. DONG is contributing a subsurface dataset from the Siri and Stine fields. Centrica plans to use infrastructure installed at Ula to receive hydrocarbons from DONG’s Oselvar field. If proven. This will be Centrica’s first operated development project in the Norwegian sector. Shell is the sole partner. is now delivering results from Beryl in the same region. which has revitalized the Forties field complex in the UK central North Sea since acquiring BP’s operated interest. Apache proves more oil in Beryl area Apache Corp. After its initial K discovery (well 9/18B18) in June. and downhole tractor specialist Welltec. and strong results from development drilling. There it is transformed back to AC to run the compressors. which has performed below expectations. . Thank you for making VAM the worldwide benchmark in premium connections since 1965 Æ 1965 1970ís 1980ís 1990ís 2000ís & beyond VAMÆ patent. more than 200 licensees worldwide are providing local services to the industry. Creation of VAMÆ Field Service. Today. a team of more . Vallourec launches and Coupled premium connection in the world. Creation of the VAMÆ Licensee Network. Æ At Vallourec. Building the future with VAMÆ 21TM and Vallourec Global Solutions. we have provided value. the most widely used Threaded and Coupled premium connection. Launch of VAM TOP Æ. we believe our success has been built upon meaningful connections with our customers allowing the development of VAMÆ premium connection solutions suited to their needs. in tubing and casing sizes. VAM products and services have continuously set the pace for Oil & Gas industry innovation. cost effectiveness and performance evolution. Without compromising quality or safety. reliability. . the most stringent industry benchmark. and technically effective solutions for over 50 years. around the world dedicated to technological excellence. Æ .vam50years.we look forward to the next 50! Learn more about VAMÆ solutions on www.com and www.vallourec.com . Closing is expected before the end of the year. “The strength of Shell in deepwater is rooted in our ability to combine innovation with our strong track record for delivery.579 m). where it was built at the Keppel yard. (Courtesy Chevron) 18 Offshore December 2015 • www. Marathon holds a 10% non-operated WI in the Shenandoah discovery. according to Evercore ISI’s US Drilling Permit Monthly update issue in mid-November. Appraisal drilling has found 694 ft (211 m) of net oil pay. only 18 deepwater and 12 shallow-water new well permits have been issued year to date. beneath 9. there have been a few positive metrics in recent weeks. Once it reaches the GoM.S. L. with operators filing five plans to drill a total of 22 wells.” said Wael Sawan. Meanwhile. To date. down 18% and 76% respectively from a year ago. “Achieving first oil at Stones – in this new Gulf of Mexico frontier – involves taking a measured and strategic approach.offshore-mag. Samson Offshore Anchor. Chevron has confirmed a hydrocarbon column of at least 1. Complete appraisal of the field requires further delineation wells and technical studies. located in Walker Ridge block 52.896 m) of water. seabed complexity. 1. that number is down from 21 a year ago.Bruce Beaubouef • Houston GULF OF MEXICO Amidst storm clouds. • . and an 18% non-operated working interest in Gunflint. one can still find a few silver linings.P. and one ultra-deepwater. when Marathon Oil Corp.500 ft (2. which is a converted Suezmax FPSO. Marathon Oil said it will retain its interests in certain other producing assets and acreage in the GoM. when Chevron announced a successful appraisal well at its Anchor discovery in the Lower Tertiary Wilcox Trend. (Courtesy Shell) risers – steel pipe with in-line buoyancy that absorbs the vessel’s motion and boosts riser performance at extreme depths. in these times. LLC (12. Lobster. They are being sold for $205 million. No water injection facilities are specified. and Venari Resources. four midwater. Chevron assets in the Lower Tertiary in the Gulf of Mexico.5%). as well as its interests in the Gunflint development and Shenandoah discovery. and is now on its way to the deepwater Gulf for Shell’s Stones project. SBM said that the Suezmax hull will be able to store 800. and it believes that the Gulf of Mexico will be the only relative bright spot for deepwater activity in 2016-2017. This was in evidence in early November.67% WI in Lobster and Oyster and 62. growing as we learn more about the reservoir. Inc. with the launch of the world’s deepest floating production facility. Of course.287 m) and it encountered 690 ft (210 m) of net oil pay.5%). was drilled to a depth of 33. While the number of active drilling rigs in the Gulf is significantly down from last year. (20%). Only 58 new well permits have been issued year-to-date compared to 105 as of this time last year. it also features an industry-first application of combining a disconnectable buoy with steel lazy wave The Turritella FPSO recently set sail from Singapore.000 b/d of oil and 15 MMcf/d of gas treatment and export. There are still storm clouds. While the number of ultra-deepwater and midwater new well permits have been largely resilient over the past year. not everything is a silver lining. Marathon Oil operates the Arnold. and is on its way to the deepwater Gulf. 992(N/2) and 993(N/2). and 917. 949. and a 50% non-operated WI in Petronius/Perseus development in Viosca Knoll blocks 786/830. The effective date of the transaction is Jan. The original Anchor discovery well. where it was built at the Keppel yard.A. More good news came in late October. the number of new oil and gas exploration plans filed in the Gulf of Mexico held steady month-to-month.180 ft of water (1. Chevron said. Evercore ISI says it expects development activity to accelerate slightly in the coming months and years. located on Mississippi Canyon blocks 948. Meanwhile. some silver linings Even amidst the dark gloom that pervades the current market downturn.5% WI in Arnold. executive vice president of Deep Water. Shell announced in mid-November that it is one step closer to achieving first oil at its Stones development. up from 13 in September. SBM Offshore was contracted to build the vessel. Shell said a “safety first” mindset and a desire to “build something special with no harm to people” is what led to the safety success during the construction of the Turritella. It will have a processing facility capacity of 60. agreed to sell most of its GoM oil and gas assets. 873. Shell Upstream Americas.000 bbl of oil. Aside from being the world’s deepest facility. Using this floating vessel allows Shell to address the relative lack of infrastructure. But in October. Shell says it selected this vessel design to optimize field development and produce this ultra-deepwater discovery in a safe and responsible manner. including three deepwater.750 ft (10. with a 55% working interest. down 42% versus 2014. Five permits were issued for side tracks while six were issued for bypasses and eight for new wells. and Oyster fields in Ewing Bank blocks 963. the facility will be connected to subsea infrastructure located in the Lower Tertiary play.com Chevron U.” The project has nearly 16 million hours of work safely completed during construction. The Turritella FPSO recently set sail from Singapore. which Shell says breaks the existing water depth record for an oil and gas production facility. Anchor co-owners are Cobalt International Energy. Stones is located about 200 mi (320 km) southwest of New Orleans in the Walker Ridge area.800 ft (549 m) in the Lower Tertiary Wilcox reservoirs at Anchor. in Green Canyon block 807. But of course. Marathon’s GoM portfolio includes its operated producing assets in the greater Ewing Bank area and its non-operated producing interests in the Petronius and Neptune fields in the Gulf of Mexico. A total of 154 new permits have been issued year to date. 66. driven by sharply lower bypass and new well permits. No development plans were filed to drill in October. versus five plans to drill 14 wells in September. 2015. The unnamed buyer will assume all future abandonment obligations for the acquired assets. approximately 140 mi (225 km) off the coast of Louisiana in 5. But even with lower oil prices. is the operator of Anchor. A total of 19 drilling permits were issued for work in October. It holds a 30% non-operated WI in Neptune. holding 65% working interest in Ewing Bank. LLC (12. eight permits were issued for new wells. and unique reservoir properties. Sarah Parker Musarra • Houston SUBSEA SYSTEMS DW examines subsea industry Douglas-Westwood (DW) has offered new insights into the subsea oil and gas market with two new reports focusing on the global subsea vessel operations market and the global ROV operations market, respectively. DW estimates global subsea vessel operations expenditure will total $97.7 billion between 2016 and 2020. Mark Adeosun, author of the fifth edition of the “World Subsea Vessel Operations Market Forecast,” said: “Low hydrocarbon prices coupled with vessel oversupply will result in low utilization, impacting expenditure over the forecast period. Despite these near-term concerns, subsea vessel demand is set to recover towards the end of the forecast period. “As a result of the continued challenging market conditions, subsea vessel providers have been taking additional measures to help strengthen their financial position and stem oversupply in the market by deferring the delivery program of newly built vessels. We believe that it is unlikely that day rates have bottomed out.” Across the global subsea vessel fleet, he notes that a 2014-15 decline of at least 30% in day rates is “not unlikely before prices stabilize. However, many tier one contractors are joining forces to ensure utilization and maintain track record.” In another recently released analysis, the seventh edition of the “World ROV Operations Market Forecast,” the firm reported that it foresaw lower day rates and utilization for work-class ROVs. The market for workclass ROVs could total $14.2 billion over the period to 2019. Author Antoine Paillat said: “This represents a 19% increase on the previous five-year period, however, near term we see some difficult conditions with weaker day rates and lower levels of utilization for the work-class fleet. “We expect the global ROV market to significantly contract in value terms in 2016 (-6.3%) and then plateau in 2017, due to the current oil price downturn.” Saipem completes Ichthys pipelay Saipem has completed laying the 890-km (553-mi), 42-in. gas export pipe- line serving the Ichthys LNG project offshore northern Australia. This is the longest subsea pipeline in the Southern Hemisphere and the third longest subsea pipeline in the world, according to operator INPEX. The pipeline will take gas from the offshore Ichthys gas/ condensate field to onshore facilities at Bladin Point near Darwin for processing. Louis Bon, managing director Ichthys Project, said: “It means we are one step closer to physically connecting our onshore plant near Darwin to the Ichthys field where our offshore facilities will be permanently moored for the 40-year life of the project.” Saipem started the program in mid-2014, using its lay barges SEMAC and Castorone. INPEX will conduct other work on the pipeline in preparation for operational start-up. Subsea 7 to work with Premier Oil Subsea 7 has signed a long-term partnership frame agreement with Premier Oil. The subsea contractor will provide the London-based operator with concept engineering, front-end engineering and design (FEED), subsea, umbilicals, risers and flowlines (SURF) project execution and life of field operations, on a preferred supplier basis. Additionally, Subsea 7 may participate in Premier’s decommissioning programs. The agreement covers Premier’s activities offshore the UK, Norway, and the Falkland Islands and runs for five years, with options for an extension. Through early engagement on Premier’s projects Subsea 7 aims to develop technical solutions with realistic cost evaluations. Currently the contractor is supporting the operator’s Catcher development in the UK central North Sea. At Catcher, this year’s subsea installation schedule has been completed with the pipeline end manifold and tow templates in place at the Burgman and Varadero accumulations. The 60-km (37-mi) gas export pipeline was laid during July. Fabrication of the subsea flowline bundles and associate towheads, the buoy and the mid water arches (riser buoyancy aids) is on schedule and these will be installed next summer. In July, the Ensco 100 started development drilling, and has to date drilled two wells. Oper- ations on the first Catcher water injection well (CTI1) were completed with good reservoir results. The second water injector, (CCI2), has reached TD and is in the final phase of completion. Catcher remains on schedule for first oil in 2017. Cardona well tieback complete At the Cardona field in Mississippi Canyon block 29, the Cardona #6 well has been tied into the existing Cardona subsea infrastructure which flows into the company’s Pompano platform. Gross production from the Cardona field is about 15,000 boe/d. Drilling of the Cardona well #7 with the ENSCO 8503 is expected to begin once completion of the Amethyst prospect is finished. Drilling is expected to take about two months. In neighboring MC block 26, ENSCO 8503 is performing completion operations at the Amethyst discovery, where Stone holds 100% working interest. The well will be prepared for an initial production test prior to final flowline and umbilical hook up. First production is expected by 1Q 2016 to the Pompano platform, located less than 5 mi (8 km) from the discovery. GE strengthens intervention capability GE Oil & Gas has agreed to acquire subsea intervention specialist Advantec. The acquisition is part of GE’s strategy to address issues affecting the growing number of mature subsea fields, and to strengthen its position as a provider of subsea production equipment and solutions for full life-of-field management. Advantec, formed in 2005, will operate under the existing name and management team as part of GE’s Subsea Services & Offshore division, continuing to supply products and services directly to existing and new clients. Advantec supplies and rents Installation WorkOver Control Systems for subsea intervention tasks. Wood Group wins BP contract BP has contracted Wood Group to provide engineering services to existing subsea infrastructure in the Gulf of Mexico, UK and Norwegian continental shelves, and offshore Azerbaijan. Wood Group Kenny will deliver program, project and integrity management and operational support for subsea projects under the five-year contract, which is effective immediately. The contract will be delivered from WGK’s offices in Saipem’s deepwater pipelay vessel Castorone laid more than 700 km (435 mi) of the Ichthys LNG project’s 890-km (553-mi) gas export pipeline. Aberdeen, London, Norway, Hous(Courtesy INPEX) ton, and Baku. • 20 Offshore December 2015 • www.offshore-mag.com Three Successful Startups, One Common Denominator compounded by recent history of high-cost FPS projects running late and/or over-budget. with TLPs third (9.” Transocean delays newbuild deliveries Transocean has postponed the delivery of ultra-deepwater newbuilds Deepwater Pontus and Deepwater Poseidon for one year each. while the Deepwater Proteus is scheduled for delivery in December 2015 with operations commencing in 2Q 2016.” says Tore Aarreberg. in December. the 10-year duration and $519. RIGS. Maersk Drilling signed four contract extensions. Statoil has hoped for further activity in the remaining contract period. which are key factors in order to secure contracts for our rigs. One example is Mad Dog Phase 2 in the Gulf of Mexico. while the Deepwater Poseidon was expected to start in the Gulf in 2Q 2017.1 million under the contract. Guardian 2 is expected to be directly employed when she arrives in Port Harcourt. as we have not succeeded in finding more assignments. HIOSL serves the Nigerian oil and gas industry with a wide range of maritime. Maersk Drilling signed two new contracts. At the end of 3Q 2015. CEO of Maersk Drilling and member of the Executive Board in the Maersk Group said: “We deliver a satisfactory third quarter result given the adverse market conditions. and Statoil has tried to find other assignments for the rig after the suspension period and up to the expiration of contract. Operators have worked hard recently to redevelop projects to make them more cost effective and their efforts should see final investment decisions made on a number of projects. A 16-month extension for Mærsk Innovator working in Norway. Douglas-Westwood expects improvement next year. the company stated. even in rough terrain.3%). With the major redesigns BP has undertaken (coupled with lower prices for equipment and services in the downturn) it is likely to be sanctioned next year. and will seek a refund of the installment payments. Maersk Resilient secured a three-year contract and Mærsk Giant received a contract for 150 days. Statoil previously notified Songa Offshore that the rig would be suspended for a period.000 day rates of the original contracts remain. says its Cameroon FLNG project has received approval and signature of the binding tolling term sheet thereby confirming the commercial terms for the FLNG vessel Golar Hilli. security and logistics services. “Guardian 1 is definitely the best vessel in the field in terms of speed and intervention abilities. Maersk Drilling’s forward contract coverage was 85% for the rest of 2015. & SURFACE SYSTEMS FPS capex to grow by 49%. head of rig procurements in Statoil. The total revenue backlog by end 3Q 2015 amounted to $5. Pacific Drilling rescinds construction contract Pacific Drilling has exercised its right to rescind the construction contract for ultra-deepwater drillship Pacific Zonda due to the failure by Samsung Heavy Industries to timely deliver a vessel that substantially 22 Offshore December 2015 • www. Furthermore. FPSOs will represent by far the largest segment of the market both in terms of numbers (67 installations) and forecast capex (79%) during 2015-2019. The ultra-deepwater newbuild Deepwater Thalassa is currently mobilizing to the Gulf of Mexico to start with Shell in 1Q 2016 at $519. Though the counterparties will be compensated for the delay. “We informed the supplier earlier in October about suspending the contract after the rig has completed the drilling operation on the Tavros well on the Visund field. The Deepwater Pontus was expected to start work with Shell in the Gulf of Mexico in 1Q 2017. Cameroon’s state owned oil and gas company Societe Nationale des Hydrocarbures. This is a result of the low oil price impacting project sanctioning activity.000/d. which was originally considered ‘uneconomic’ when oil was priced at $110 a barrel. she has fantastic seakeeping ability and still provides efficient fuel economy. (Photo courtesy Damen Shipyards) Homeland takes delivery of second Damen vessel Homeland Integrated Offshore Services Ltd. Hemmingsen. with her unique Damen Sea Axe hull. 70% for 2016 and 49% for 2017. Despite capex growth over the forecast. HIOSL will then have five patrol vessels in its fleet. orders this year have been very weak with only four contract awards so far. We regret that we need to cancel the contract before it expires. Guardian 2 will sail for Port Harcourt. despite the current low oil price. Operations are scheduled to begin in 2Q 2017.VESSELS. Nigeria in December. but we now realize that we must cancel the contract. Perenco Cameroon.com Robin Dupre • Houston meets the criteria required for completion of the vessel in accordance with the construction contract and its specifications. and the latest a three-year extension for Maersk Discoverer working offshore Egypt. The Lagos-headquartered company has ambitious plans to become the leading marine logistics provider in the Nigerian offshore industry. FPS units will account for the second largest segment of capex (9.8 billion.offshore-mag. as well as transferring crew and supplies. will take delivery of its second Damen Fast Crew Supplier 3307 Patrol just 18 months after a sister vessel entered service in the Nigerian offshore market. Guardian 1 has largely been carrying out security patrol services for the IOCs. a five-year extension for Heydar Aliyev working in the Caspian Sea in Azerbaijan. We continue to focus on operational performance and a competitive cost level. Statoil cancels rig contract Statoil has canceled its contract with Songa Offshore for the semisubmersible drilling rig Songa Trym. Maersk Drilling focuses on remaining competitive Claus V. and Golar are all parties to the executed agreement. both for work in the Danish sector of the North Sea. four months before the expiration of the contract. says DW Douglas-Westwood’s quarterly version of the World Floating Production Market Forecast 2015-2019 report states that between 2015 and 2019 $68 billion will be spent on FPS units – an increase of 49% compared to 2010-2014. Pacific Drilling made advance payments totaling approximately $181. In the near term. Currently undergoing sea trials in Singapore. • . working alongside the Nigerian Navy. a 250-day extension for Maersk Resolve in the Danish sector of the North Sea. Nigeria.2%). Golar issues Cameroon FLNG update Golar LNG Ltd. Furthermore.” In the third quarter. Large still room for particle sedimentation as well as complete and controlled chlorination © 2015 National Oilwell Varco | All Rights Reserved . advanced water treatment options and injection uptime. eliminate the need for topside treatment facilities and get the right quality water for water injection where it’s needed.Revolutionizing water injection Reduce topside weight and add flexibility to your operations with Seabox™ subsea water injection from NOV Hydroxyl Radical Generator for secondary bacteria removal and organic material decomposition Raw seawater enters through an electrochlorinator With SWIT™ technology.com/seabox. To revolutionize your production. visit nov. Optimize your subsea production through simplified infrastructure. you can now treat water directly at the seabed. when it’s needed. offshore-mag. The Maersk Training drilling simulators will be available in locations including Houston. CEO of Maersk Training. However. The agreement is to extend the contract for the purposes of a four-well P&A program in the Gulf of Mexico. The multi-drop system provides simple and reliable zonal control of up to 12 interval control valves in a single wellbore. The combined 2013 revenue associated with all of the announced divestitures was $5. and makes the new contract expiry date August 2017. Baker Hughes’ GoM sand control business (including two stimulation vessels). almost half of oil and gas executives admit they have fallen short of their innovation goals. “Encouragingly. subsurface safety systems.” “To innovate properly and achieve business goals companies must address a number of common challenges. Maersk Training partner to enhance critical well preparation Weatherford Secure Drilling Services and Maersk Training have entered into a strategic partnership to enhance scenario-based training and competency for critical wells. Drill Bits and the combined businesses). and Aberdeen. operator. and Baker Hughes’ offshore cementing businesses in Australia. Maersk Training will serve as Weatherford’s preferred provider of well-control training for all MPD personnel worldwide. “Many of today’s easy-to-access reserves have been depleted and complex wells have become the norm. Group Energy Director of Lloyd’s Register.” continued Wishart. The software platform builds on the fieldproven Microflux control system.DRILLING & PRODUCTION Robin Dupre • Houston Weatherford. In addition to the previously announced divestitures of Sperry and Drill Bits.” said John Wishart. Maersk Training will fully integrate the MPD simulator application of the OneSync platform into its drilling simulators to enable comprehensive MPD and well-control planning and scenario-based training. where it creates operational efficiencies and is cost-effective. our report finds that contrary to perceived wisdom.com An Atwood Oceanics Inc. and was the first electro-hydraulic system installed by Halliburton in the Middle East. Halliburton also announced that it received bids from multiple interested parties for each business (implying multiple buyers each of Sperry. with only 26% saying they had fallen short in spring 2014.7 billion. The installation was completed with zero nonproductive time and no HSE issues. global businesses.) in innovation initiatives. subsidiary has agreed to an extension and rate adjustment to its existing contract with Noble Energy Inc. up from $3. “The oil and gas industry is undergoing a period of significant uncertainty. “We are combining strong technical knowledge with high-quality training to increase competence development for crews working with MPD technology. Baker Hughes update Halliburton and Baker Hughes announced the second round of divestitures in connection with the pending transaction. As a result.5 billion for Sperry and Drill Bits. The program has an estimated duration of 120 days during the contract term and is anticipated to occur in 2016. which implies the assets announced had revenues of $1. Dubai. intelligent well systems. using a minimum number of control lines. Weatherford recently introduced the OneSync software platform. The training will provide Weatherford.” Halliburton. the GoM.2 billion. The number of respondents saying they have fallen short has almost doubled as the oil price has gone down. These findings form part of the Technology Radar 2015 report recently launched by Lloyd’s Register Energy. and the UK. innovation has a crucial role to play in the current environment. our findings show that overall the industry understands the need for innovation and has begun reaching out to other sectors to gain technological insight. early kick detection. Rio de Janeiro. This will improve safety and operational performance on rigs. The SmartPlex downhole control system enables remote actuation of downhole control devices using electro-hydraulic control lines from the surface. particularly in deepwater applications. “We see the partnership with Weatherford as a game changer in the industry. Brazil.” said Iain Cook. (Courtesy Atwood Oceanics Inc. The advanced simulations will enable entire rig crews — including the drilling contractor. vice president of Weatherford Secure Drilling Services.” Halliburton achieves first installation of SmartPlex downhole control system Halliburton’s Completion Tools business line has achieved the first installation of the SmartPlex downhole control system in a six-zone multilateral well. advanced drilling technologies like MPD are being deployed more frequently.” As a part of this agreement. “The oil price slowdown is clearly impacting investment 24 Offshore December 2015 • www. Evercore expects the Baker Hughes/Halliburton spread to narrow and believes the second round of divestitures will be easier to accomplish as these are more “asset sales” than sales of large. • . operator and rig-crew personnel with improved preparation and aptitude to help prevent well-control events and nonproductive time when operating in extreme drilling environments. for the Atwood Advantage ultra-deepwater drilling rig. which enhances planning. Halliburton will also divest its expendable liner hanger business (part of its Completion & Production Division). Report reveals need for collaboration A new report reveals that while the current environment is creating opportunities for innovation. and other drilling and completions scenarios. as well as seamless communication across multi-functional teams. Norway. This extension adjusts the operating day rate to about $240. using data more effectively and changing traditional mind-sets. sand control tools and sand control screens). flow control tools. This marks another positive step in the process and should alleviate some concerns that arose over the past few weeks around a single-buyer theory and the rumored buyers.” said Claus Bihl. service provider and third parties — to receive hands-on rig and well-specific training. Baker Hughes’ core completion business (which includes packers.000 only during the four P&A wells. including collaborating more openly. “Improved competencies on how to manage well-control scenarios through the application of these technologies. simulation and control during managed pressure drilling (MPD). are imperative to a safe and productive future. The installation was a joint effort across functional teams within the intelligent completions group. permanent monitoring. Predictable performance for unpredictable gases. Ask Kobelco For Oil-Free Screw Compressors! Kobe Steel. Kobelco Compressors America. With no oil in the compressor chamber.com . Kobelco oil-free screw compressors for offshore service.kobelcocompressors. Kobelco oil-free screws can handle it. Increased profits. improved productivity and enhanced environmental compliance. Ltd.Maximize MTBM Kobelco Oil-Free Screw Compressors for Vapor Recovery Unpredictable gas composition causing problems in your oil-injected compressors? Turn to the solution proven by offshore industry leaders: Kobelco oil-free screw compressors. Inc. Tokyo +81-3-5739-6771 Munich +49-89-242-1842 Houston. Texas +1-713-655-0015 sales@kobelco-kca. there’s no risk of contamination or breakdown in oil viscosity. No matter how dirty or corrosive the gas may be.com www. The result? Quantum leaps in Mean Time Between Maintenance (MTBM). founder/CEO. and is capable of both 3D and 4D seismic. ECHELON models oil. in mid-November. With ECHELON running on Cray’s CS-Storm system. was brimming with new technologies and products. The agreement regulates the further work leading up to a full-scale pilot test which is planned for completion in early 1Q 2016 and through to the commercial deployment of the system which is planned for early 2017.000 m (9. A quick scan of the exhibition floor was testament to the fact that necessity does. The system can be quickly. data downloading. The PMSS is a modular. As part of that process. both located in the Norwegian North Sea. According The autonomous Flying Node to company representatives. as FlexNode offers sparse node geometry with a high-density shot point coverage. announced it had achieved a new performance benchmark for reservoir simulations using Stone Ridge Technology’s ECHELON reservoir simulation software and the Cray CS-Storm cluster supercomputer. Currently. beget invention. Statoil uses the system at its Snorre and Grane fields. the company representative explained.com Magseis’ docking robot operates onboard the research/survey vessel Artemis Athene. the accuuses acoustic placement racy of the nodes’ positioning is comto navigate to the seabed. parable to ROV-deployed nodes. the ARL Flying Nodes are positioned on the seabed using an ultra-short baseline acoustic navigation system mounted on an unmanned surface vessel. it can deliver speed that can be used by reservoir engineers to study many more realizations of their models and run large. This model could also be used in the FlexNode service.000 m (9.offshore-mag. a scalable node deployment solution. BP is also a customer. autonomous sensors inserted into steel cables. Norway-based company’s automated industrial robot technology. and is specifically designed for leveraging graphics processing units (GPUs) computer architectures. and projects where targets are obstructed by platforms and seafloor infrastructure. IT is planning for its new fully-autonomous Manta node to be available. A series of workflows enabled by the platform will be delivered through connectivity of geoscience applications and data. Reservoir benchmarking Cray Inc. The Flying Node concept is designed to combat the cost of obtaining ocean bottom seismic data in extreme water depths or in complicated geological structures. • . The FlexNode service solution is designed for deepwater projects up to 3. FlexNode has completed two successful projects for different operators. FlexNode Seabed Geosolutions introduced FlexNode. optimizing vessel usage. high-resolution cases. Highlighted here are just a handful of products and technologies introduced or discussed at SEG 2015. Seabed Geosolutions said that between 200-500 nodes are typically needed. the robotic “arm” handles the sensor capsules. Flying Node concept Thalassa Holdings’ Autonomous Robotics Ltd.500 Flying Nodes from a vessel. said Vincent Natoli. Following the show. even one already assigned to a field for a different application. Magseis announced an agreement with Shell for the further joint development of a system to deploy the MASS technology in ultra-deepwater. WGP announced this summer that the permanent reservoir monitoring operations at Snorre and Grane were completed ahead of schedule. containerized system based on ISO-sized containers. With a maximum operating depth of 3. However. and battery management aspects of the system. a four-component broadband seabed node which already offered prolonged recording times and flexibility in deployment methods. and its Chirag Azeri Reservoir Seismic Project in the Caspian Sea. and ARL said that it foresaw the deployment of 3. by 2H 2016. nodes can be deployed using existing support vessels already on site. Through its transportable.842 ft) under tight time constraints. While the number of nodes to be deployed can be flexible. the overall focus on the floor was how seismic companies could offer high-quality imaging at a lower cost. which the company says operates as a “swarm” of AUVs descending upon the seabed to record data. The project will be jointly financed by Shell and Magseis with a significant contribution from Innovation Norway.842 ft). and gas flows in a reservoir. can record on the seabed for up to 60 days.728 mi) of data was shot over the two fields. utilizing WGP’s life of field seismic products in both its Valhalla field in the North Sea. the companies said. It also has scalability across multiple GPUs. Multiple receiver rows can be deployed at once. held this year in New Orleans. which could help contain costs. modular solution. While companies slash budgets and continue to search for more cost-effective methods of doing business. Landmark and CGG will engage with customers to develop a new class of E&P workflows to meet existing and emerging industry challenges. Magseis’ MASS sees small.Sarah Parker Musarra • Houston GEOSCIENCES Exhibitors showcase new technologies at SEG 2015 The exhibit floor at the 2015 Society for Exploration Geophysicists Annual Meeting. More than 6. An express seabed seismic service. 26 Offshore December 2015 • www. Portable Modular Source System Fellow Thalassa Holdings company WGP highlighted its Portable Modular Source System and Dual Portable Modular Source Systems (PMSS / D-PMSS) as part of its permanent reservoir monitoring services.(Image courtesy Magseis) MASS Present in Magseis’ booth to demonstrate its Marine Autonomous Seismic System (MASS) was a smaller version of the Lysaker. designed to be both land and sea transportable. with one located offshore West Africa and the other in the North Sea. water. Stone Ridge Technology. The collaboration aims to allow seamless access to interpretation and reservoir characterization technologies and geoscience data from both companies using Landmark’s DecisionSpace.000 km (3. in fact. temporarily installed on a vessel of opportunity. New geotech collaboration Halliburton’s Landmark software provider and CGG agreed to a geosciences technology collaboration. which is said to have a flexible receiver geometry and an integrated acoustic transponder. (ARL) debuted its Flying Node concept. Additionally. Each (Image courtesy ARL) node. customers could employ Seabed Geosolutions’ existing Trilobit in using FlexNode. . 000 ft (2. These vessels moored the FPU and made it storm safe. The project was approved by the partners in October 2010.5 billion was made in the initial development phase. and Eni (1. The assembled FPU was then towed out to site by the Crowley ocean-class tugs Ocean Wind and Ocean Sun.000 ft below the ocean floor. The Jack/St. Project infrastructure The Jack and St. and are part of the Gulf of Mexico’s Lower Tertiary trend. The Jack field lies in Walker Ridge blocks 758 and 759 at a water depth of 7. and the contracted tugboat Harvey War Horse II. The successful completion of the project was the result of the collaboration of hundreds of suppliers and contractors and thousands of workers across nine countries over a ten-year period.077 m). Malo FPU is now accessing reservoirs beginning at 19. ExxonMobil (1.134 m). The hull of the deep draft semisubmersible production platform was constructed at the Samsung Heavy Industries yard in Geoje. Chevron owns a 50% interest in the field while Maersk and Statoil hold 25% each. Malo project Deep draft semisubmersible to serve as hub for the 43 subsea wells Bruce Beaubouef Managing Editor W ith first oil produced late last year. With the project now onstream. Malo fields are about 25 mi (40 km) apart.000 b/d of oil and 21 MMcf/d of gas in coming years. The topsides facilities were fabricated at the Kiewit yard in Ingleside. An investment of $7.com The Jack/St. Malo is a key part of its upstream projects program.944 m) beneath the seafloor—representing a total depth of 26. The fields were co-developed with subsea completions flowing back to a single host. The FPU is the largest of its kind in the GoM and has a production capacity of 170. providing images of subsurface layers nearly 30. Chevron is the operator with a 51% interest.offshore-mag. Successive development phases. which called for three subsea centers tied back to a production hub. Malo project in the deepwater Gulf of Mexico. and are around 280 mi (450 km) south of New Orleans in about 7. The St. current technologies are anticipated to recover in excess of 500 MMboe. The Jack and St. semisubmersible floating production unit (FPU) located between the fields.500 ft (8.000 b/d of oil and 42 MMcf/d of gas. The project infrastructure covers an area nearly as wide as the state of Rhode Island.) ners include Petrobras (25%). which could employ enhanced recovery technologies. may substantially increase recovery at the fields. Texas. and was delivered on time and on budget. Malo semisubmersible floating production unit began its journey from the fabrication yard in Ingleside. or roughly the same height as the last base camp a climber reaches before summiting Mount Everest. Chevron took on some extreme conditions with technological breakthroughs that it says are game-changers for the industry.25%). the play that has proved both tempting and vexing for many developers.000 ft (2. With a planned production life of more than 30 years. Texas. The St. Remotely operated vehicles positioned 100-pound receiv- . The Jack field was discovered in July 2004 with the exploration well Jack-1.100 ft (640 m). including the industry’s largest seafloor boosting system and Chevron’s first application of deepwater ocean bottom node seismic technology in the Gulf of Mexico. Malo field was discovered in October 2003 by a discovery well drilled by Transocean’s Discoverer Spirit drillship. Chevron has advanced the boundaries of offshore exploration and production with its Jack/St.000 ft. with the potential for future expansion. Production is expected to be ramped up to 94. Malo fields are among the largest in the Gulf of Mexico.TOP 5 PROJECTS Chevron advances deepwater frontier with Jack/St. South Korea.500 ft (5. The project has delivered a number of new technology applications. Malo field lies in Walker Ridge block 678 at a water depth of 2.400 ft. Chevron says that Jack/St. and mated to the hull in May. at its greatest depth. Chevron deployed the ocean bottom nodes as part of its seismic survey program. Statoil (21. Other part28 Offshore December 2015 • www. The well struck a net oil pay of 1. from February to April 2013.50%). The well was drilled by Transocean’s Discoverer Deep Seas drillship to a depth of 29.100 m) of water. and was transported by the Dockwise Vanguard from Korea to Corpus Christi. to its mooring location in the Walker Ridge area in November 2013 (Images courtesy Chevron Corp. Technology advances To locate and produce resources from these depths. It struck 350 ft of net oil pay.25%). Texas. Strength starts with identifying weakness. WE PUT INNOVATIVE TECHNOLOGIES TO WORK FOR THE SAKE OF YOUR OPERATION. Learn more about how Shawcor and Shaw Pipeline Services mobilize anywhere in the world to ensure reliability and keep ofshore operations running strong at Shawcorsuccess. With more than five million welds inspected on some of the world’s longest pipelines. Shawcor company Shaw Pipeline Services is an industry leader in identifying weld defects prior to pipe lay. Protecting the integrity of your offshore pipeline doesn’t just protect profits—it mitigates risk. reliability and efficiency for the welding process.com/integrity . Our highly advanced Automated Ultrasonic Testing systems enable real-time interpretation and immediate feedback—resulting in greater control. and increased integrity and safety for your pipeline. 7 megawatts of power for pumps of similar configuration. suppliers. and associated control and instrumentation equipment. OneSubsea was awarded the subsea processing systems contract for three pump stations. Although the Jack and St. in a grid directly on the seafloor. The system is designed to monitor. which runs approximately 137 mi from the production hub in Walker Ridge block 718 to the Shell Boxer A fixed platform at Green Can30 Offshore December 2015 • www. and subsea installation of more than 53 mi of 1. semisubmersible floating production unit located between the fields. A powerful pumping system was installed on the ocean floor to help boost the oil to the FPU. Saipem installed the 137-mi. involving 100 people and two ships. or nodes. Jack/St. With regard to the FPU. The combination of extreme water depths. Technip received a contract for the engineering. and consume three megawatts of power – a new industry record. which addressed routing of the pipeline to minimize spans.000 ft (2. through one of its predecessor companies. Chevron stimulated a record-breaking six zones and pumped more than 2 million pounds of proppant in just a few days instead of the normal 30. but Chevron helped develop a new single-trip. Malo fields will likely include an option for water injection. manifolds. Other key vendors Some of the other key vendors. three subsea pump control modules. the deepest water and the largest source area. Malo development. Wood Group also provided the planning. yon block 19. engineering and project management.500 ft (1. and is the first semisubmersible floating production unit designed and built as a lowmotion unit for the Gulf of Mexico. are installed in 7. called frac-packing.524 m) water depth.offshore-mag. Typically. cutting the time to 18 to 20 hours per zone. Chevron also successfully tested the technology in an open-hole well (a well that had not been cased and sealed) for the first time in the industry. engineers often pump proppant into the reservoir to allow oil to flow more easily into the well. and display in real time local environmental and facility motions. Work was performed by DSI. the Jack/St. can be time. production expansion. it was the first installation project for this newbuild vessel.134 m) of water. With a cost of about $1. and 30 mi (48. At each of the Jack/St. equipment foundations. four manifolds and associated connection systems.100 nodes were placed on the seafloor. The 11 suction piles are 18 ft (5 m) in diameter.000 psi pressure. and installation of in-line valves and sleds. Malo. log. including pumps and other equipment on the seafloor.000 lbs/psi. steel catenary risers. mooring system and anchor suction piles. the pressure is expected to decrease over time due to production.100 m) of water. Wood Group Mustang performed front-end engineering design (FEED) and then detailed engineering design for the topsides facilities. MyCelx designed and delivered a produced water treatment system that removes oil and water soluble organics to below 10 ppm. Prior to this project. through another of its predecessor companies. high-pressure design. requiring large volumes of proppant to be pumped at high pressure. was awarded a subsea production systems contract in 2010. ultra-deepwater pipeline in the Walker Ridge area of the Lower Tertiary trend. Malo fields are about 25 mi (40 km) apart in about 7. which allowed it to stimulate multiple zones of the reservoir in a single run of the equipment downhole. Malo reservoirs are currently high pressure. accommodations. and multi-phase seafloor pumps. Malo fields. Jack/ St. industry maximums were at 5. At low-permeability reservoirs like Jack and St. design for preand post-installation vortex-induced vibration and stress spans. subsea pump stations. Malo will act as a hub for 43 subsea wells. InterMoor designed and fabricated 11 suction piles for the Jack/St. and contractors on the Jack/St. Bardex supplied the linear chain jacks for the 16-line mooring system that secures the Jack/St. pump stations and tie-in skids. outer diameter flowlines. managing and field execution of the commissioning of the Jack/St. Future developments for the Jack/St. representing a significant improvement over previous models. collapse testing of the pipe. and were co-developed with subsea completions flowing back to a single host.2 million/ day of rig time. Malo oil export pipeline. multi-zone technology. Malo FPU on location.com The Jack/St. JP Kenny performed the detail design work for the pipeline. McDermott also performed the subsea landing of some of the industry’s largest and most complex umbilical end terminations.and cost-intensive because of the size of the producing rock formations. appurtenances. OneSubsea. some of these rocks are more than 1. The surveys also broke several records: number of nodes. 24-in. Wood Group PSN’s commissioning services business. At Jack and St. Future plans Jack/St. received a contract to transport and install jumpers. pipeline end terminations. 5. the longest acquisition schedule. The scope included the delivery of 12 15. and required 2. Malo FPU. fabrication. Malo crude oil export pipeline using its pipelay vessel Castorone. Malo project are detailed below. • .000 ft (2. The pipeline is the first large-diameter. In 2011. Malo.TOP 5 PROJECTS ers. it can take five days to frac-pack each zone. Crude oil from the FPU will be moved through the Jack/St. which enabled survey crews to collect highquality seismic data without the distortion of the water column. 1. KBR performed the detailed design engineering for the FPU’s hull. deck box. Malo platform is one the largest semisubmersible production platforms in the world. McDermott International Inc. Malo’s three subsea pumps are built to withstand 13.3 km) of umbilicals and associated flying leads. improving completion time resulted in major cost savings.75-in.000-psi subsea wellhead trees. large diameter. This process. increased power generation.000 ft thick (305 m). The backto-back surveys lasted 10 months. BMT Scientific Marine Services provided an environmental and facilities monitoring system that was installed on the FPU. ranging from 55 to 75 ft (17 to 23 m) in length and weighing up to 115 tons. At one well in the Jack field. and pipeline structures have set new milestones for the Gulf of Mexico. production controls. com/gastight © 2015 National Oilwell Varco | All Rights Reserved . an internal O-ring seal.Gas tight and tested XL Systems now offers two connections for gas tight surface casing applications – XLW-GT™ and Viper™. Both products have been physically tested in multiple sizes to 95% of actual X80 pipe body internal pressure ratings in compliance with ISO/ FDIS 13679:2011 CAL I-E requirements. and a fast make-up design with ViperLock™ anti-rotation. Learn more at nov. The XLW-GT connection combines an internal metal seal with wedge thread technology and does not require an anti-rotation feature. The Viper connection features superior fatigue performance. TOP 5 PROJECTS Spar platform proves successful for Anadarko once again Innovative design for Lucius helps mitigate potential risks Sarah Parker Musarra Editor F ollowing the September 2014 decommissioning of its one-ofa-kind cell spar. and limit its exposure to capital burden.79 months earlier. in the Gulf of Mexico. and even present-day. marking the seventh spar constructed by Technip for Anadarko. Anadarko first successfully carried out the capital-carry model onshore. in June. 918 and 919. (Images courtesy Anadarko Petroleum Corp. Matt Lamey.000 tons. Prices began to climb between 2009 and 2013 before diving again just before first oil was produced in 2015. with a nameplate capacity of more than 80.95/bbl from $99. to first oil. and the Lucius project marked the first time that the operator applied the concept offshore. at the time of appraisal drilling. It encountered almost 600 ft net (183 m) of high-quality oil pay with additional gas-condensate pay in thick subsalt Pliocene and Miocene sands. drilled 3. Anadarko Petroleum Corp. According to historical data from the US Energy Information Administration. Anadarko’s facilities project manager for Lucius. at the time of Lucius’ 2009 discovery. The project was sanctioned in December 2011. it was announced that Technip was constructing the Lucius truss spar at its Pori. WTI had fallen to an average of $61. said that Technip and Anadarko’s combined experience in the design and construction of spars minimized the challenges normally . This agreement allowed the company to mitigate the risks associated with a long-term megaproject. Louisiana and spanning Keathley Canyon blocks 874. producing from multiple resource-rich fields.22. An appraisal well. Anadarko signed an agreement in July 2012 with Inpex to enter into a joint-venture capital carry arrangement. Finland facility. WTI fell to $59.278 m) TD in water depths reaching about 7. 875. the Anadarko-led consortium made several decisions that resulted in sizeable savings in both time and money. Under its terms. the Lucius spar is Anadarko’s biggest and most technically advanced to date. the Lucius spar is the company’s biggest to date.100 ft (2. It set sail from Pori for the Gulf of Mexico in April 2013. Throughout Lucius’ lifecycle. Red Hawk.164 m) of water.) capital cost until first production: $556 million. Project development In January 2010. By the time Lucius produced first oil. Located about 235 mi (378 km) off Port Fourchon. Lucius was discovered in December 2009. The 605 ft (184 m) high spar has a hull weighing 23. Resources for the development were estimated to be in excess of 300 MMboe.100 ft (2.600 ft (6.29 from a high of $105. Moored in more than 7.164 m).865 metric tons) and a topsides weighing 14.200 ft (975 m) from the discovery well that encountered 200 ft (61 m) net of oil pay.offshore-mag. build two’ philosophy. To manage this price cycle and positively affect project economics. wasted no time before it made yet another mark in the Gulf. was completed about 13 months later.000 b/d and 450 MMcf/d (127 MMcm/d) of natural gas. the industry experienced panic as WTI settled at $47. At that time. confirming to the Houston-based company that it now had another major oil and gas discovery in its books.67 in 2008 due to the US financial crisis occurring at that time. In December 2014.000 tons (20. Anadarko said that the up-dip side track was drilled about 20.com Part of Anadarko’s ‘design one. Anadarko would be carried for the company’s share of the estimated 32 Offshore December 2015 • www. Also notable are the wild fluctuations in oil prices that have lasted through Lucius’ discovery. ” In another example of how Anadarko worked to save money against the bottom line is evident in Lucius’ infrastructure. Anadarko and the Lucius consortium chose Enterprise to handle the oil export line.” In keeping with the speedy development cycle maintained since discovery. of the decision to re-utilize existing infrastructure by converting the gas line into oil service.375%) and Freeport-McMoran (12.” Hart said. The full cycle time from discovery to our first production was five years. which Hart characterized as extremely prolific. Hadrian South achieved first production. Lamey said that the quick cycle from discovery to appraisal was astounding. The Lucius spar pulls from six wells.865 metric tons). “Obviously. Marubeni (12. I think for a mega-project. and the source is allowed to produce significant resources through the spar out in this remote area. It has a nameplate capacity of more than 80.000 tons (20. located in Keathley Canyon blocks 963 and 964. we are producing right at capacity of the facility.” Hart said. Lamey said. and that is evident in the company’s “design one. and Cobalt (9. On March 30.071 metric tons). through the Lucius spar as well. wave.000 tons (12. The volumes themselves are pretty significant and that required a bit bigger spar. Eni (12. Hart said that the reservoirs were “some of the highest productivity indexes seen in the Gulf of Mexico. The Lucius truss spar measures 605 ft (184 m) high. Anadarko operates the Lucius spar with a 23.700 metric tons). “It works very well in a variety of metocean conditions.offshore-mag.500%). That left Anadarko and the Lucius consortium with the choice of a spar or a semisubmersible. and Lamey explained that the economics of the project were greatly improved by re-utilizing the line.” Lamey said. with the hull weighing 23. A gas line that had served the now-decommissioned Red Hawk cell spar was repurposed into Lucius’ export pipeline. That hub is providing another income.000 bbl of liquids from two wells.500%). Also in March. and current. • www. Gas from Hadrian South. 2015. which reduced the need for new infrastructure. “We have a really good relationship with Technip. along with Statoil (12%). Hart said that Hadrian South contributes most of the current natural gas production of about 400 MMcf/d. “We have had a run time of about 98% since we brought the project on.com • December 2015 Offshore 33 . especially given the size and remoteness of the project.000 tons (9. about three years after sanction.TOP 5 PROJECTS associated with scaling a design up to Lucius’ proportions. Anadarko signed a production-handling agreement with Chevron for its Buckskin/Moccasin discoveries. the productive capacity is a bit above the prior spars that we’ve done.” Lamey said.” The Lucius spar also produces for other neighboring fields. located in Green Canyon 859 and slated to enter production in 2Q 2016. Shortly after sanction. deepwater projects can greatly impact a project’s budget. You have a three-point mooring system as opposed to semis. One issue that factored into the decision was the amount of mooring points needed for that area of the Gulf of Mexico. ExxonMobil (9. and the people that we have here [in Anadarko] that are experienced in building spars made it a very smooth process to build this larger spar.5%) also partner with operator Anadarko (31.000 ft).” Lamey said. Design choice Both Lamey and Hart expressed that a spar was a natural design choice when installing in waters as deep as the waters at Lucius (7. 872. build two” philosophy. and 736. which would be a four-point mooring system.74%). would be processed through the Lucius spar. “The bathymetry of the ocean floor was very challenging. totaling approximately 80.” A tension leg platform was immediately ruled out. “That gives you an idea of the scale up that we have done there. Inpex (7. Anadarko finalized a unitization agreement with ExxonMobil. “The topsides are about 14.” Lamey said it was a hallmark of Anadarko’s philosophy that the company would avoid re-inventing the wheel when it was unnecessary. “It is probably the fastest I’ve ever seen anywhere.82% interest. will be based on the Lucius spar. “We’ve already signed other agreements to tie other fields back through the spar. where you’re talking several billion dollars. The other thing is. “The project is going exceptionally well.” Lucius has been operating steadily since first oil. that’s pretty astounding. so the spar fit really well in this environment. “Our history with them.123%). fatigue.5%) on Heidelberg. ExxonMobil (23. Finding three mooring points was [already] somewhat of a challenge. We were able to ramp the wells up initially and have been able to sustain right at capacity of the spar since that initial ramp up.” said Anadarko’s General Manager of the Lucius project Danny Hart.375%). 2015. when most other projects of this size I see go for probably about twice that length of time. Anadarko achieved first oil with Lucius on Jan. with low impact.” Lamey said. with daily gross volumes expected to reach around 300 MMcf/d (850 MMcm/d) of gas and 3. The truss spar for the Heidelberg development. Petrobras (11. “It’s got a very low center of gravity and provides very good motion. Its partners are Freeport-McMoRan (25.” The spar’s size also allowed for a larger scope of production.” Production hub One reason for the steady production are the development’s reservoirs. 16. the spar is more adaptable and therefore needed less bespoke design work. located in Keathley Canyon blocks 785. It provides low impact to the steel risers… It gives you a good design life.” Lamey explained. Constructing the long export lines necessary for remote. By design. Lamey said that the decision was made prior to sanction while Anadarko was negotiating the oil and gas gathering agreements. [whereas] our other topsides were around 10. “That is a unique use that we have not seen much in the Gulf of Mexico. this is a very remote location…We tied up to South Hadrian right off the bat to help to offset some of the costs and to put a hub out there. “One of the things that made this spar so useful here is that you have a three-point mooring system. due to the water depth.000 bo/d and 450 MMcf/d (127 MMcm/d) of natural gas. and stress on all those elements that are connected to the spar that make it work.295%).5%). even in elevated conditions of wind.753%).000 b/d of oil. and Eni (8. By the end of 2014. land. the Delta House development taps three Mississippi Canyon fields where the average water depth is around 4. Of the first six wells. so if the development calls for more than four wells. Considered lighter and more buoyant than most conventional four-column hulls. the underside of the main deck was 72 ft (22 m) above the water line.372 m) and reservoirs range from 12. followed by the initial two subsea completions for the field. and since then. saves steel. With the risers attaching to the FPS. The hull is optimized to increase the amount of payload it can carry relative to the weight of the steel in its hull. and 40. The Ensco 8503 drilled the sixth well in late 2014. with 98 ft (30 m) of the hull below the waves. and 34 Offshore December 2015 • www. Most of the company’s deepwater developments use the same horizontal trees. according to the exploration company.com Dockwise Treasure transported the hull from South Korea to Texas. based on Exmar’s Opti-Ex hull design is similar to LLOG’s successful Who Dat platform but 40% larger. situated on the Who Dat field in Mississippi Canyon block 547. LLOG added. Gas from Delta House is delivered through 31 mi (50 km) of new 16-in. Designed for 25 years of continuous production. 240 MMcf/d of gas. Contracts As for the Delta House FPS. pipe that connects to the Shell-operated Odyssey oil pipeline. we swap off risers for ballast. This period gave the partners time to study the leases and then commence drilling. Nine trees. allowing for development of the project to begin. it is designed and customized to LLOG specifications. When LLOG initially planned the development of the area.048 m).2 billion. “If we tension the risers at the top of the hull.TOP 5 PROJECTS Delta House FPS is a first of its kind Robin Dupre H Senior Technology Editor eralded as one of the most efficient production systems in the Gulf of Mexico. “We were very transparent in our presentations to the BSEE. With financing secured through an investment group and due to the financing terms in the contract. both operator and partial owner of the facility. in a Delta House supplement. LLOG Exploration.486 m). We had to get out there and drill wells.500 ft (3.offshore-mag. we sacrifice weight capacity. is suitable for water depths from 1. the company added. It is considered a water independent. mainly because the company has standardized its wells. gas pipeline. line that links the FPS to the BP Pipelines-operated Destin Pipeline Co.” Delta House’s opti-11. it said.000 ft (457 to 3. The original plan for development called for at least three deepwater wells.000 b/d of oil. due to the columns being square on the other corners where structural loads are the greatest.” said Mike Altobelli. two were drilled by the Ensco 8502 in 2012-2013. we’ve done everything we said we were going to do. it paved the way for the project to be sanctioned sooner rather than later. cutting the development time of the entire project by around two years. with at least four fields tying into the platform.000 to 18. the facility initially called for seven wells to connect followed by seven additional wells as exploration activity continued. followed by Seadrill’s West Neptune that completed the remaining wells in the field. it provides another weight saving feature. LLOG vice president.” said Craig Mullet. which is a part of the Delta House project. The lease expiration dates were staring us in the face.500 ft (1. 8 and 9 in 2015. While the second exploration well was being drilled on the Who Dat field. casing and downhole systems were planned for its development long before it was needed in the field. The four-column semisubmersible floating production system. commenced production in the second quarter of this year. That plan grew to include seven wells during the startup period for a total investment of $1. By October 2014. From fasttrack development to inking a significant deal to fund the host platform to being privately-owned. plus the infrastructure to connect them to the FPS. • . we save the weight. A New Hub in Mississippi Canyon. Production commenced shortly after. Delta House’s development is a game changer in the deepwater sector of the oil and gas industry. semisubmersible floating production system (FPS) with a production handling capacity of 100. and two were drilled by the Noble Amos Runner in 20112012. The company also has standardized its subsea manifolds. (Photo courtesy LLOG Exploration) any that were not needed for Delta House could be used for other developments. “The way the hull is designed. along with the wellheads. Fasttrack development LLOG had less than 36 months to drill wells in the Mississippi Canyon lease before it expired. two discoveries were made.’s 24-in. a second manifold can be bolted to the first. Once ballasted down to working depth. By fastening our risers to the bottom of the hull instead. The Sevan Louisiana then drilled wells 7. in a first in what the company envisioned as a series of floating production systems all with the same basic Delta House plan. “It was a pretty dynamic time.” Once drilling started. it knew that the Delta House FPS would serve as a host facility for future fields. the FPS was moored. I’ve never been involved in a project with that much going on in such a condensed period of time. The team was sure it could use the ordered equipment for Delta House. The partnership was granted a “Suspensions of Operation.658 to 5. LLOG’s development team was beginning to order the subsea infrastructure.000.500 to 10. project manager for the hull and topsides. Oil from Delta House flows through some 35 mi (56 km) of newly-constructed 12-in. six of the proposed 14 Delta House wells had been drilled.” which granted the consortium a one-time ‘presidential lease’ “Suspension of Operations” due to the drilling moratorium that was enacted because of the Macondo incident.000 b/d of water. according to analyst ScanBoss.19 billion). • www.5-MW compressor design from 2012. The four HOFIM units. The 20 modules for the compressor station underwent a system integration test at Egersund in mid-2014 and were installed offshore by North Sea Giant during April to September this year. In 2013. Petoro. The vessel performed nine trips to install all 20 modules. Technip’s subsea construction vessel North Sea Giant installed 12 pipeline end manifolds and a riser base. and with cooling of the motor achieved using the process gas. which in turn allows use of smaller compressor modules.7 ft). Statoil expects to extend the fields’ lives out to 2032. also installing the umbilicals and power cables. In July the same year. Expro and GE providing the high-voltage subsea connectors and Schneider Electric the subsea control power distribution unit. Work on qualifying the components needed for subsea compression started in 2005. During 2011-13. In the process. MPM manufactured the subsea wet gas meters. a condensate pump.com • December 2015 Offshore 35 . In March 2012. Lack of available space on Åsgard B meant the only alternative would have been adding a much costlier. with Deutsch. and Apply Sørco performing the topsides modifications. Power for the subsea station is supplied from the Åsgard A production ship. the world’s first subsea compression station began operating at the Åsgard production complex in the Norwegian Sea.5 m (14. manufactured by Nexans. some with different quantities of liquids. also involved in the qualification program.TOP 5 PROJECTS Subsea compression prolongs gas production at Åsgard offshore Norway I n mid-September. Between 2008 and 2013 the compressor and motor rating was increased from 8 MW to 11. These were lowered over the side of the vessel using a specially designed handling system. enters the compression station via a 900-ton manifold. ExxonMobil. to allow installation through the splash zone in significant wave heights of up to 4. In addition. 20-in. at the Midgard location. one of which also receives Mikkel’s production. The technology is designed to boost pressure at the Midgard and Mikkel fields that export gas and condensate to the Åsgard B semisubmersible processing platform nearly 40 km (25 mi) away.500 tons in total. and a compressor with an inlet and outlet cooler.5 MW. are hermetically sealed and remotely controlled. Allseas’ Lorelay laid the new 37-km (23mi). The focus was on a compact design. Each complete train. and during 2007-13. is secured to a 400-ton base frame. both fabricated by Rosenborg Worley Parsons. Statoil and partners Eni. performed by Technip’s Skandi Arctic vessel. seals and gearbox.800-ton compressor station template and manifold station. Gas production through Åsgard B started in late 2000. According to a paper presented by Statoil’s Simon Davies and Rune Mode Ramberg at DOT in Houston in October. Saipem’s crane barge installed the 1. (Image courtesy Aker Solutions) ter. the bearings are friction-less. Under a separate contract. In 2013. Testing of the prototype compressor began at Statoil’s K-lab facility near Stavanger in 2008 with a series of endurance trials. with verification testing conducted of the 11. which included a 420-metric ton (463-ton) crane and guide frame equipment. weighing 1. scrubber or outlet cooler. leading to higher rotation speeds. with motor and compressor housed in the same casing. power system and control system. This arrangement necessitated reconfiguration offshore of the flowlines between the two fields: Technip handled this assignment. dedicated compression platform. is around 25 MW). designed and manufactured the HOFIM motor-compressors for integration into the compression station provided by the main equipment contractor Aker Solutions. Well stream from the three Midgard subsea templates.191 psi) pressure. although Statoil and its partners were aware from the outset that compression would be needed at some point to counter declining pressure at Midgard and Mikkel. Statoil and its team of equipment suppliers implemented a program for testing and qualifying nearly 50 components divided into three main categories: process modules. with one of the compressor units undergoing successful submerged testing in 2014. Each of the trains is supplied with power via an umbilical. most including installation of one large module such as a compressor. Further tests were performed at the facility on the motor and topside variable-speed drive using a cable simulator to confirm electrical stability over the long step-out for a range of operating conditions. Statoil estimates the overall project cost at just over NOK19 billion ($2. with casings designed to withstand 220 bar (3. K-lab was upgraded to include a shallow-water test pit for testing of a complete compressor module. pipeline that runs from the compression station to the Åsgard B gas platform. According SKF. adapted for harsh subsea conditions. and a 7-axes active magnetic bearing system integrated inside the casings to prevent gas leakage. and Statoil got the goahead from Norway’s Parliament to proceed with the full-scale development. Aker Solutions built a 900- ton power/control module for installation on the vessel. Each train would comprise a scrubber. the industry began working on developing subsea compression technology in the late 1980s. thereby extracting a further 306 MMboe of production. supplier of the magnetic bearings. both built by Aker in Egersund. MAN Diesel and Turbo. which would involve installation of a two-train subsea compression station in 300 m (984 ft) of wa- Jeremy Beckman Editor–Europe Artist’s impression of the Midgard/Mikkel subsea compression train.offshore-mag. with ABB providing the associated drives and transformer (the total installed power system. One of the existing Midgard/Mikkel export pipelines has been retained – this is connected to another line from the compression station via a hot tap connection. these are designed to simplify the system by removing the need for components such as lubricating oil. and also the topsides power/control module. Eni with flowed 50 MMcf/d plus 1. a Valerus Venezuela and Lindsay Venezuela.countries were involved in fabrication and production platforms and tie-in to various line to a new two-train central processing fainter-field pipelines that were already cility onshore at Punto Fijo. procurement. controls. and supervised the engineering.Ramírez.TOP 5 PROJECTS Perla marks first gas field to enter production off Venezuela C Jessica Tippee Assistant Editor ardón IV S. two 14-in.A. con. and was outfitted with a saturation in December 2011 when Eni and Repsol dive system to perform the tie-ins. Foster Wheeler was contracted to provide by local authorities. The signed the gas sales agreement with Vencompany handled project management ezuelan national oil company Petróleos and engineering from the Netherlands de Venezuela SA (PDVSA) and the Minisand its new project office in The Woodter of Petroleum and Mines of Venezuela. gas field in the Gulf of Venezuela in tures.and Repsol will contribute with up to $500 ervoir characteristics. It consists of 29 blocks: 18 2020.5 billion. subsea pipe. In October 2010.for site installation. Texas. infield flowline risk assessment.ing to create a new company (mixed entercondensate. Foster Wheeler.000 cu m/d to transport and install a hub platform and agreement is a memorandum of understand(approximately 3. clad prise) to develop and produce Perla’s conof water. Seadrill received a $222-million contract ment establishes the key elements for up to encountered 210 m (675 ft) of net pay carbon. 30. Croatia. which will be jointly praisal well flowed 17 MMcf/d of gas and 560 curement of long-lead equipment.offshore. Eni as the discovery well and with excellent res. found 260 m (840 ft) of net pay in infield flowlines and other infield cables. an The Minister of Petroleum and Mines of production offshore Venezuela. According to In April 2015. lands. to final contracts being signed and approved during the production test.conditioning and condensate stabilization faft) water depth. seven of the 26 planned wells had been million each.for the LT-Super 116E jackup drilling rig West $1 billion investment structure to finance ate sequence with the same hydraulic regime Freedom in July 2013.CVP (PDVSA’s affiliate) with 60%. The company and. after the signature of a sale and purof the most significant in recent years.began in late September 2013. Repsol’s President Antonio Brufau signed During production testing. from operated.stake in Cardón IV S.construction of the equipment and materials company between Repsol and Eni. Located in the Cardón IV subsea flowlines. Madrid. east Falcon state. Seaway Heavy Lifting was relatively light platforms connected to 26 wells.350 b/d of condensate drilled. offshore export pipeline.580 sq mi). Saipem was commissioned strategic agreements in June 2014. Accord. ing to Repsol. project. The crane vessel Stanislav Yuis estimated to cost $1. At first produc. and tered a 240-m (775-ft) hydrocarbon column. During production testing it was performed by the Saipem 3000 and Cas. and layers Venezuela and President of PDVSA Rafael Discovered in 2009. a 67-km (41.2 bcf/d in (11. and densate reserves.5% interest..6-mi).The Perla gas field is in the Cardón IV block 50 km (31 mi) the project aims to meet the domestic tracted Foster Wheeler AG’s Global Engi.” The Perla 4 ap. and tie-in to an cility.A. Perla 3. end engineering and design and FEED for at module and jacket fabrication yards.and construction contractors.of protection analysis for offshore and on. 20%.com . The three-phase development involves four London. The first phase installed. Perla 2. a 50/50 joint operating neering and Construction Group for pre-front. Most of the work The new company will be jointly run by characteristics. The first quality gas with a capacity of 600. the Perla 1X well encoun.700 boe/d) and 500 b/d of two satellite platforms. Eni and Repsol will each keep a b/d of condensate during the production test. chase agreement. a carbonate sequence with good reservoir related tie-in operations. Eni’s CEO Claudio Descalzi. one tion facilities in August 2013. Trident Construction of the facility was executed by ery in the company’s history and the largest Risk Management was hired for reliability. According to Eni. procurement. (Map courtesy Repsol) market’s demand for natural gas. engineering centers in Houston. and Repsol with 20%. • 36 Offshore December 2015 • www. offshore processing. The second agreesate. 32. the third shallow-water well confirms Perla as project management for the new producPDVSA exercised its 35% back-in right. din executed the lifting and installation The project was officially sanctioned work. trees. or 3. a consortium between offshore gas field in Latin America.offshore-mag. export pipelines.A. According to PDVSA.000 sq km Production should reach 1.toro 7 vessels between 3Q 2013 and 2Q 2014.. design and fabricated the process equipment. Perla is estimated to hold up heads to an onshore gas plant. shore facilities. the shore and construction contract for the natural gas block 50 km (31 mi) offshore in 60 m (197 approach and utilities facilities from the well. The company performed the process to 17 tcf of gas in place. contractors in more than 15 contracted to transport and install the gas with gas exported through a 30-in. and maintainability analysis. The 30-month charter CVP’s share in the Perla development. By the end of 2015. and Rijeka. this is the largest gas discovAs part of FEED in April 2011.existing gas and condensate pipeline system. Both agreements are subject MMcf/d of gas and 1. it produced high In April 2013. Eni says availability. Consorcio La Perla. The well flowed 68 tion. and the pro. which spans about 30. Repsol expects gas Perla is part of the Rafael Urdaneta gas production to increase to 450 MMcf/d. July 2015. Cardón IV S.500 b/d of conden. Valerus won an engineering. drilled in 60 m (198 ft) in. PDVSA has contracted the gas for in the Gulf of Venezuela and 11 in northall three phases until 2036. drilled in 70 m (230 ft) of water. Perla is the first gas field to be brought to marine vessel collision risk assessment. “a world-class supergiant gas discovery. and started production from the Perla the field’s production facilities: offshore struc.1 Bboe. it will get its ownership the largest ever in Venezuela. 0 87.com • December 2015 Offshore 37 . Saudi Aramco renegotiated a good number of jackup contracts earlier this year and renewed most that were expiring. many of these rigs have been deployed to work on the giant South Pars gas development. It is estimated that more than 25 jackups are currently operating in the Iranian sector of the Persian Gulf.3 82.offshore-mag.MIDDLE EAST AND NORTH AFRICA National interest projects sustain Middle East’s offshore rig count Dr. after Petrobras. Iranian demand for offshore drilling Marketed and contracted offshore rigs by region (October 23. Saudi Aramco – with over 45 jackups under contract – is the top employer of offshore drilling rigs in the Middle East and the second worldwide. However. in this buyer’s market.8 58. The republic’s economic activity and government revenues are heavily dependent on petroleum revenues. Despite the current environment of low oil prices (with OPEC deciding to maintain production levels) and pressure to reduce spending. In spite of sanctions.0 Marketed Utilization (%) Worldwide This Week Last Week Last Month Last Year Total Supply 849 851 852 863 Marketed Supply 755 759 764 798 Marketed Contracted 595 598 606 732 Marketed Utilization (%) 78. and the US Gulf of Mexico shrank significantly. the second biggest jackup market in the Middle East. (NDC) of the Emirate of Abu Dhabi has said that its (land and offshore) rig count is not likely to be dampened by low oil prices as the UAE strives to meet its production target of 3. the contracted fleet in other key regions such as Southeast Asia. between 20% and 40%.9 87. from which production is being brought onstream in phases.0 Marketed Utilization (%) Northwest Europe This Week Last Week Last Month Last Year Total Supply 103 103 103 98 Marketed Supply 96 96 96 96 Marketed Contracted 79 79 79 93 82. Rather. and drillships) holding current or future contracts.9 West Africa This Week Last Week Last Month Last Year Total Supply 74 74 74 88 Marketed Supply 69 69 69 79 Marketed Contracted 48 48 49 69 69. Iran. In comparison.5 Marketed Utilization (%) Marketed Utilization (%) Southeast Asia This Week Last Week Last Month Last Year Total Supply 96 97 98 102 Marketed Supply 88 88 90 92 Marketed Contracted 50 50 53 80 56. The number of contracted rigs – typically jackups in this part of the world – stood at over 130 as of late October.3 86. Iran and the United Arab Emirates (UAE) are largely maintaining – or even increasing – their working rig populations to ensure that projects or goals of national interest are met. Rina Samsudin A IHS gainst a backdrop of low oil prices and spending cutbacks in the upstream E&P industry.4 74. the influential NOC is using its bargaining power to negotiate day rate discounts in old and new contracts.6 71. Saudi Aramco ramped up offshore activity again and effectively doubled its rig count between 2011 and 2014. The National Drilling Co. The country has already begun discussions with external parties regarding future development projects.5 billion in offshore drilling activities as part of the investment plans and the www.5 MMb/d by 2017/2018 and be able to sustain these levels. it is understood that Saudi Aramco is not planning to significantly downsize its fleet of jackups.8 56. It is thought that many of the rigs deployed off Iran are operating under relatively long contracts for critical development projects that will carry on nonetheless. not only for drilling rigs but for other services also.3 91. Abu Dhabi is to invest in some $2.0 80. service providers. the national oil company (NOC) chose to scale down its operated rig fleet. yet weaker crude prices seem to have hardly made a dent in Iran’s offshore rig count.8 78.9 87. West Africa. in the subsequent years. the Middle East is the only major region in the world yet to register sizeable decreases in the number of offshore drilling rigs (jackups. the UAE is arguably the top growth area in the Middle East this year.8 79. The global average was a net 20% decrease. compared to 10 or so a decade ago. and other companies from engaging in business with the country.6 90. only slightly lower compared to a year ago.7 Source: IHS rigs has the potential to grow by some significant degree with the anticipated lifting of sanctions.0 72. Meanwhile. with the number of contracted units dropping from around 730 to less than 600 between October 2014 and October 2015.3 82. Iran has been able to buy and/or lease jackups from abroad. semisubmersibles.6 69. These plans are facilitated by lower development costs compared to those in areas such as offshore northwest Europe and West Africa.6 90. When oil prices plummeted during the 2008/2009 global financial crisis.9 Marketed Utilization (%) South America This Week Last Week Last Month Last Year Total Supply 68 68 69 78 Marketed Supply 64 64 65 74 Marketed Contracted 58 58 59 74 90. countries such as Saudi Arabia.8 100. In the coming years. Why has the Middle East’s contracted rig count managed to hold steady when contracted numbers have wavered elsewhere? In this region of high levels of state participation in the oil and gas industry.3 Middle East This Week Last Week Last Month Last Year Total Supply 159 159 161 151 Marketed Supply 153 153 155 146 Marketed Contracted 132 133 136 135 Marketed Utilization (%) 86. as it did in 2008/2009. 2015) US Gulf of Mexico This Week Last Week Last Month Last Year Total Supply 118 117 118 116 Marketed Supply 72 73 75 89 Marketed Contracted 55 54 54 72 76.7 92. has managed to secure drilling rigs over the years in the face of sanctions that have prevented many foreign operators.3 96. Compared to other parts of the world. (ADNOC) plans to drill around 160 wells per year in the next couple of years. Abu Dhabi’s jackup fleet is set to expand further. Earlier this year. The emirate has three LeTourneau Super 116E Class units under construction at the Lamprell yard in the Emirate of Sharjah. Tow Fish. Diver and AUV mode ∑ 100% of success up to now . especially given the current circumstances. working An Indispensable Work on Riser Behavior • 43 Leaks Detected on offshore installations up to date des inclu ion pan com 353 Pages/Hardcover/2007 ISBN13 : 978-1-59370-070-6 $139. Elsewhere in the Middle East. NDC chartered eight additional jackups on behalf of operators in Abu Dhabi. Two of the rigs were already based in the region while the remaining six were mobilized from abroad. Moreover. particularly considering the backlog of work that these units have been hired for: over 20 years firm plus potentially more than 10 years in the form of options.MIDDLE EAST AND NORTH AFRICA Working demand for jackups in the Middle East: Top 5 Countries.00 US Acoustic Leak Detector Since 1998 worldwide leader in subsea leak detection ∑ Emergency response service ∑ Stand By service during hydrotest ∑ ROV. the hiring of eight incremental off- shore rigs in one sweep by a single country is impressive. Most of these new contracts commenced during the second half of the year. These are scheduled to be delivered in 2016/2017. Abu Dhabi National Oil Co. • Means of making rapid “ballpark” analyses before and after running sophisticated FE riser programs. In the most optimistic scenario. ALD technology is a patent of: FEATURES and BENEFITS: Straightforward explanations of the principal parameters that influence riser behavior. On aggregate. rig numbers have come down.Italy Ph. the Middle East’s top jackup operators – namely the NOCs – are anticipated to have enough work in the pipeline to maintain existing working levels for the next year or two. In the offshore Neutral Zone.L.COM • .PENNWELLBOOKS. working jackup levels in the Middle East this year are expected to remain relatively flat compared to last year as growth in the UAE is anticipated to balance out declines elsewhere. 74 19136 . have come down significantly as competition intensifies in an oversupplied market. • CO. Srl Via delle Pianazze.it ORDER YOUR COPY TODAY! • WWW. • Clear procedures for analyzing highly complicated problems. For the time being. one of the foremost authorities on riser mechanics. Jackup day rates.La Spezia .colmaritalia. has written the definitive work on riser behavior. no rigs have been deployed offshore since early 2014 following a brief spurt of exploration/workover activity. a joint development area between Saudi Arabia and Kuwait.MAR. from university students to engineers with extensive experience. In Qatar.it www. As for Oman. rig demand in the region may even increase. the rig count rose from 2013 to 2014. production has been shut down as a result of disagreements between the parties involved and the jackup count there has dropped from four to two units. This book is a must-own for anyone who deals with riser technology. but the market is experiencing some softness during the second half of 2015 as rigs become idle. +39 0187 982590 Fax +39 0187 943461 mail: colmar@colmaritalia. if various planned exploratory drilling programs by some of the region’s smaller/ newer players go ahead. though. • C D-R O M! Charles Sparks. Fifteen months later. Drilling was due to start before year-end. 75 km (46. two wells in the Central A area. Estimated reserves are 671 bcf of gas. with two subsea wells in the western part exporting gas to the platform via a 16.000 sq km (6. and 5. starting with a long-planned well on the Trelia prospect in the Carbonate Flank play.564 sq mi) of 3D seismic over the central and eastern part of Area C. Mellitah – a joint venture between the Libyan National Oil Company (NOC) and Eni – has subdivided the field into the Western. To date. initially producing 600 MMcf/d of gas. Bahr Essalam comprises a 50-km (31-mi) long and 4-km (2. with a large gas cap and a 96-ft (29-m) column of 39°API oil.offshore-mag. and condensate produced at the platform will be exported via two parallel 126.5-km (4. only to re-declare it in August 2014 as Libya’s situation deteriorated further. The $3. Since the initial discovery in 1977 on the northern part of the structure. C. and comprise a thick gas-condensate column and a thin oil column.7 mi) long and 3 km (1. with a small oil rim beneath the gas zone in the Central B and Eastern areas.3 mi) offshore in water depths of 205-235 m (672-771 ft) and extends into the adjacent NC35 concession. with varying internal pressures. Peijis said.838 tcf of gas. Central A. and the program should take around 720 days to complete.67-mi) pipelines.5 MMbbl of condensate. and another on the Central B area. Musa said. and 82 MMbbl of oil. four wells have been drilled and tested. The proposed $1. 8-in. while the full cost of the Phase II project is estimated at $2 billion. another is the safety risk posed by boats carrying refugees passing close to areas of offshore activity. The western parts are more heavily faulted. general manager of geosciences and reservoir engineering. a rounded. This is north of Hess’ 2009 reportedly commercial deepwater Arous Al Bahar discovery. 14-in. said the three fields were designated the A.185 tcf of gas. Peijis said BP is waiting for the moment to begin safely executing its offshore drilling program.9 MMbbl of oil. 14 km Proposed E structure development offshore Libya.4-mi) pipelines to an onshore plant (32-in. according to Khalifa Daw Musa. “C” is actually a second-phase development of the producing Bahr Essalam field in concession NC41. Reserves are estimated at 1. 65. oil. The field is 126 km (78. 51 MMbbl of condensate and 188 MMbbl of oil via two more subsea clusters (10 wells in total) on C-East. VP exploration. designed to deliver 160 MMcf/d of gas.com • December 2015 Offshore 39 . diameter for gas. To the east of Bahr Essalam is the E structure. pipeline and another cluster of four subsea wells in the north exporting gas to the same facility via two parallel 7.000 m (6. Musa. Mellitah plans to install a platform in the central part of the structure housing 15 gas and five oil wells.7 m) thick. respectively 80 ft (24 m) and 35 ft (10.5-mi) wide series of anticlines. speaking at the recent 4th New Libya Oil & Gas Forum hosted by IRN in London. said Jasper Peijis. • www. Phase 1 production comes from the 15 wells in the Central B area. (Schematic courtesy Mellitah Oil & Gas) (8.MIDDLE EAST AND NORTH AFRICA Mellitah details plans to unlock dormant discoveries offshore Libya Program starts with expansion of Bahr Essalam Jeremy Beckman O Editor–Europe ver the next seven years. and from two subsea clusters of wells (11 in total) on the Western part.87 mi) wide.2 MMbbl of condensate. and Eastern areas. certain issues still have to be addressed before operations can start offshore.4 mi) offshore in around 200 m (656 ft) of water. All four wells will feature in the development – Mellitah plans to drill another eight. and fluid properties. five appraisal wells have been drilled. and was only months away from spudding its first exploration well before growing instability in Libya forced it to declare Force Majeure in February 2011. and E structures. BP lifted Force Majeure. However. The total drilling and completion budget is $772 million.3-km (10-mi). encountering hydrocarbons in Metlaoui formation carbonates. comprising seven platform wells and one subsea.2-km (78. for oil and condensate). The company has acquired 17.62-billion project is currently slated to start up in spring 2022. All gas. Hydrocarbons are present in the Metlaoui carbonates formation. Its exploration acreage in Libya includes the 30. BP has identified three plays – carbonate flank. drilled from the Sabratha platform. 110 km (68. flat anticline with two culminations separated by a saddle. condensate. Deepwater potential BP is the second largest IOC operating in North Africa. 32. basinal clastics and marginal clastics – and sees analogies with Eni’s recent mammoth Zohr gas find to the east in the deepwater Egyptian sector. The current Phase II development is targeting a further 1.561 ft).49-billion project. One is the need to implement procedures to deal with any resultant oil spills. fluid contacts. Central B. The reservoir is mainly gas condensate. Musa said. even if proposals for forming a new unity government succeed.6 mi) offshore in 125 m (410 ft) of water. Total costs will likely exceed $7 billion. could start up in spring 2021.000-sq km (11. The A structure is southwest of Bahr Essalam. with Phase II set to come onstream during summer 2017. Mellitah Oil & Gas is looking to develop three Libyan offshore oil. Africa at the same conference. and gas discoveries. This is a faulted anticline.583-sq mi) Area C in the offshore Sirte basin in water depths up to 2. slope and basin floor.000 km (17. based on overpressure encountered by the few wells drilled (two of which drilled through targeted Tertiary clastics). Part of the contract area includes an offshore concession assigned to Shell and Exxon in 1988. including BG’s Sunbird oil find offshore neighboring Kenya. and Cretaceous.398 mi) of new 2D data in the Indian Ocean off the southern half of the country in water depths of 30 m -4. Spectrum Geo is directing both operations. Although the basin is similar in size to the Gulf of Mexico.86-3. the wells drilled were too far apart. “However. the Maykop formation in the Black Sea area is a proven source rock that has also generated large oilfields to the east in the Caspian Sea. The new data will provide the first in-depth view of the country’s offshore prospectivity. the company will have sole marketing rights for the dataset. The region is the location for a past collision between two thrust zones. Acquisition should finish during 1Q 2016.” These seeps show that oil is sloshing and trying to find a reservoir to migrate to. Streamer lengths of 10.1 mi) thick.com The area offshore southern Somalia covered by the latest 2D survey. “We also took our own satellite images and spotted more seeps on the margins of the basin just offshore Turkey and on the maritime border between Turkey and Georgia. Jurassic. “This was a rift basin opened in the early Cretaceous. The East Black Sea basin was once part of a giant inland sea system that extended to the Caspian Sea. that the country has come back to the international community and that it is ready for really serious oil and gas exploration. Spectrum has therefore scanned and vectorized Russian academic data from the 1980s to build a basic overview. although not of the quality needed “to chase the play.700 mi) of long offset 2D data in a 10 x 10 grid over the southeastern part of the sea using 12. especially in deepwater Palaeo-Danube plays. East Black Sea opening up for exploration Jeremy Beckman Editor–Europe F rontier seismic surveys were due to start this fall offshore Somalia and in the eastern Black Sea.GEOLOGY & GEOPHYSICS Somalia. stability has improved. he added. That created a set of understandings of the basin that we aim to challenge with our new data set. 40 Offshore December 2015 • www. much of which CGG is managing and marketing on the Ministry’s behalf.370-ft) long streamers. “We need to first focus on the Indian Ocean. TPAO. This is designed to complement and infill a survey acquired last year closer to the shore off the same coastline. he suggested. with broadband processing. However. Hodsgon continued. • . On completion. Following the installation of the federal government. which could be staged in 2018. The company has an agreement with the federal government in Somalia to acquire around 28. Spectrum will then apply modern processing algorithms to optimize imaging of known steeply dipping extensional and compressional features and to highlight amplitude anomalies.offshore-mag. which will provide coverage over the shelf. the current survey will acquire 14. leading to the renewed interest from the oil and gas sector.” This part of the Black Sea has very little existing multi-client seismic data to draw on for establishing hydrocarbon plays. Hussein said. The Ministry itself was created in 2011 and has been working on a legal and regulatory framework to finalize terms for a competitive production-sharing agreement linked to a future bid round. Spectrum’s data will be available for this round. the industry has largely shunned both regions over the past two decades.123 ft). the geological survey head at the Ministry of Petroleum and Mineral Resources – speaking at a recent Spectrum seminar in London – much of the country is know to have sediments 3-5 km (1. the Greater Caucasus North and the Lesser Caucasus systems. only three exploration wells have been drilled to date.” Typical perceptions are of poor-quality reservoir.000 km (8. said Dr. followed by a Gulf of Aden bid round in the north – if we can reach a settlement with the northern separatists. but historically.000 m (98-13. confirmed as thermogenic by subsequent sampling. For different reasons.” Hodgson said. “we can show that Somalia means business.972 ft) will be used in the current campaign to record information at all offsets.050 m (32. assisting imaging of the underlying syn-rift geometries. and there are large areas of open acreage with only sparse modern data coverage. but new developments are altering perceptions. as will old legacy data. Neil Hodgson. Various international oil companies explored intermittently onshore Somalia before withdrawing as security deteriorated. has also mapped from its data sands coming from western Georgia’s Rioni River Delta in the east to the Pliocene in deepwater.000-m (39. Spectrum Geo’s executive VP Multi-client. Recent spectacular drilling results in the Romanian sector suggest the west side of the Black Sea is largely gas-prone. According to Abdulkadir Abikar Hussein. the Turkish state oil company.” Once the new framework and datasets are in place. Mediterranean and Middle East. subsequently infilled by clastics thought to have stemmed from the Georgian delta system. For security reasons the Ministry is ignoring onshore Somalia for the time being. we believe the east will be oil-prone. he added. Somalia is known to have three main oil-producing basins: the Permo-Triassic. Satellite images have revealed oil seeps. which is attracting new interest following the recent discoveries along the East African Margin. with the first processed prestack time migration (PSTM) data set to be released a few months later. some originating from Georgia. (Map courtesy Spectrum Geo) In total.” Black Sea oil quest Spectrum’s other frontier survey should be under way in the East Black Sea basin. DRILLING & COMPLETION New fracturing tool improves extended-reach drilling efficiency Bruce Robertson • Euan Murdoch Weatherford W ith thousands of feet of seawater between surface and wellbore. and provides contingencies for unanticipated events.958 m) RFID tag Closed ARID Sleeve 3 19.274 ft (5. they transmit commands to built-in tool antennae. As the tags pass by the tools.885 ft (5.547 ft (5.148 ft (6. For operational updates. AutoFrac tool Commands Action AutoStim Valve 1 RFID tag Closed during installation ARID Sleeve 1 3-minute pressure pulse Opened 3-minute pressure pulse Switched to RFID mode RFID tag Closed for pressure test ACTiFRAC Pulse Re-opened 3-minute pressure pulse Switch to RFID mode RFID tag Switch to pressure-pulse mode 3-minute pressure pulse Opened RFID tag Close for pressure test ACTiFRAC Pulse Re-opened 5-minute pressure pulse Opened 5-minute pressure pulse Switch to RFID mode RFID tag Closed for pressure test ACTiFRAC Pulse Re-opened 5-minute pressure pulse Switch to RFID mode RFID Tag Switch to pressure-pulse mode AutoStim Valve 2 ARID Sleeve 2 AutoStim Valve 3 ARID Sleeve 3 AutoStim Valve 4 AutoFrac tool Setting depth AutoStim Valve 1 20. This significantly increases nonproductive time between fracture cycles and the associated costs. and the tools respond by opening or closing. and save rig time. operators have long sought lower-completion technology that reduces intervention during stimulation.689 ft (6.306 m) AutoStim Valve 2 20. The system can be fully customized for specific well conditions. avoids time-consuming mill-outs. additional milling runs are required to continue operations. Zone 1 2 3 4 5 6 7 dio frequency identification device (RFID) technology.123 m) 5-minute pressure pulse Switch to RFID mode AutoStim Valve 3 19. and conversion to a less efficient completion technique may be necessary.485 ft (5. lower costs. ACTiFRAC pulses adopt algorithms within the tool software that enable the recognition of pressure pulses in circulation mode. harsh and unpredictable environments. The new system provides several options for tool communication without reliance on control lines or mechanical actuation: ra- Setting depth and run-in order for each AutoFrac tool.257 ft (5. such as premature screen-outs or poor injection into zones. Extreme environments demand lower-completion technologies that mitigate risks. or a combination of these options. which enhances flexibility. When it is not possible to drop RFID tags downhole.089 ft (6.110 m) RFID tag Switch to pressure-pulse mode ARID Sleeve 7 16.offshore-mag.com • December 2015 Offshore 41 .141 m) 3-minute pressure pulse Failed to open ARID Sleeve 2 20.260 m) 7-minute pressure pulse Switch to RFID mode ARID Sleeve 6 17. ACTiFRAC pressure pulses. In these circumstances.765 ft (5.340 ft (5.590 m) RFID tag Switch to pressure-pulse mode ARID Sleeve 5 18. offshore reservoirs magnify the typical challenges associated with well completions. timers. conventional proppant stimulation allows little to no flexibility in the event of unplanned scenarios.756 m) 7-minute pressure pulse Switch to RFID mode AutoStim Valve 5 18.092 m) 3-minute pressure pulse Opened ARID Sleeve 4 AutoStim Valve 5 ARID Sleeve 6 AutoStim Valve 7 ARID Sleeve 7 www.706 ft (5. frequencymodulated pressure pulses. In extended-reach applications. Weatherford recently introduced the AutoFrac system as an effective option for stimulating the open-hole section to the completion toe in extended-reach wells.764 ft (6.198 ft (5.944 ft (5. To address these concerns. a sequence of pressure cycles can actuate tools. and the reservoir isolation valve (RIV).242 m) 7-minute pressure pulse Switch to RFID mode AutoStim Valve 7 16. The ARID sleeve isolates the tubing from the open hole and provides on-demand Operational summary of commands delivered to each tool and the actions taken. minimizes exposure to abnormally stressed formations. These complex operating conditions combined with the current economic climate leave no margin for error. and difficult-to-access equipment placed far below the seabed. Lower-completion interventions that require tripping thousands of feet in and out of wells mid-operation can incur at least $1 million per intervention and significant delays. The system operates lower-completion tools remotely to minimize intervention and milling requirements and costs.570 m) 3-minute pressure pulse Opened AutoStim Valve 6 17. the AutoStim flapper valve. The new system incorporates one or more of the following tools: the advanced reservoir isolation device (ARID) stimulation sleeve.329 m) ARID Sleeve 1 20. the Weatherford downhole i-Rabbit system (DRS) is a memory logging tool that retrieves temperature and pressure data and that provides valuable information regarding the status of tools in situ.774 m) AutoStim Valve 6 7-minute pressure pulse Switch to RFID mode ARID Sleeve 4 18.939 m) ARID Sleeve 5 7-minute pressure pulse Opened AutoStim Valve 4 18. and it reduces time between fracture cycles. RFID actuation involves dropping preprogrammed electronic tags downhole. Platforms & Hulls Conference & Exhibition is the offshore Subsea Tieback Forum & Exhibition has Deepwater Operations Conference & Exhibition continues the tradition of industry’s only event dedicated to the topsides. An isolated electronic failure in ARID Sleeve 4 necessitated a shifting-tool run to mechanically open the sleeve. learn and connect in a forum dedicated to addressing these challenges. platforms and hulls. The RIV uses the same design as the flapper valve. with proppant up to an estimated depth of 9. In March 2015. Platforms & Hulls Conference & Exhibition covers the design.985) February 9-11.843 ft (3. With this added functionality. Depending on specific well needs. Over two days of sessions. This greatly increased the risk of a screen-out. The lower-completion string included seven 4½-in. networking opportunities and new business development. which provided a deep-set barrier. function tested. One Low Price! Attend all three of the following events as a full conference delegate for the low price of $1. the RIV is typically used at the toe of the well and provides an ISO 28781 V1 (Gas)-rated well barrier.000 m). and ACTiFRAC pulses to actuate the AutoFrac system.359 m). Other systems that the operator had used previously lacked contingencies for screenouts. • The Season Pass — Presented by Take advantage of the upcoming events and SAVE BIG! Three Great Events. Upon remote actuation. Case study Recently. The new fracturing system also demonstrated a high level of flexibility during stimulation. Injection was not possible in one zone.com Topsides. Additionally. speakers share knowledge and collective experiences crucial to improving the quality. and economics of the subsea tieback industry. 2016 Moody Gardens Hotel & Convention Center Galveston. minimizing intervention runs. transportation.com Moody Gardens Hotel & Convention Center Galveston.325! (A value of $1. All AutoStim valves successfully closed and re-opened with a 100% command-response rate. the sleeve autonomously shifts its ports into the open position for proppant fracturing. 2016 March 22-24. AutoStim flapper valves and seven 4½-in. construction. TX www. much uncertainty existed about reservoir response to stimulation treatments. Pressure testing indicated positive valve integrity. which resulted in the sleeve opening and achieving a good injection rate during stimulation. Topsides. operators can use either AutoStim flapper valves or reservoir isolation valves to isolate previously fractured zones and to divert stimulation fluids through open ARID sleeves in the next interval. The Deepwater Operations Conference and Exhibition provides a unique experience for attendees and exhibitors to share. the team added RFID tags into the fluid stream and circulated them downhole through the liner-hanger running tool.980) Want to attend just two of the below events? Pay just $1. TX www. The RFID tags commanded the flapper valve at the completion toe to close. which enables unidirectional flow of stimulation fluids. engineering.deepwateroperations. platforms and hulls for both deep and shallow water. 2016 November 8-10. ARID sleeves. maintaining remote operation of tools. Weatherford deployed the AutoFrac system in a tight-gas well in the North Sea.com Henry B. when actuated. excellence in addressing operational challenges involved in developing deepwater resources. Weatherford set the lower-completion string at a total depth of 20. The valves close and open. become the premier event for one of the fastest growing sectors of the oil and gas industry. installation. the system presented several viable options for continuing the operation cost-effectively. completing all planned stimulations. This provided a closed system for a hydrocarbon-free clean-out run. A comprehensive technical program presented concurrently with an exhibition. holds pressures from above up to 10. on command. The client sought to develop the Leman Sandstone reservoir—while minimizing intervention runs and costs—by performing six stimulations in seven horizontal zones.topsidesevent. had closed per instructions from an RFID tag.700 psi (73.862 ft (6. Six of the seven ARID sleeves opened successfully with a command-response rate of 93%. and programmed to meet operational parameters upon arrival at the job site.8 MPa). TX www. . the system functioned correctly in a screen-out that occurred during the flush stage of Zone 1. The flapper valve. which were inspected. Gonzalez Convention Center San Antonio.DRILLING & COMPLETION reservoir access. though filled with 9 ppg of proppant. and maximizing production. pressure pulses. SEASON PASS Once the lower-completion string was run to depth.subseatiebackforum. The Subsea Tieback exhibit hall floor is the industry’s leading platform for information exchange.900! (A value of $2. safety. Because relatively little hydraulic fracturing is performed in this type of reservoir and the formation could contain high-permeability streaks. it was confirmed that all AutoStim valves had re-opened as intended. but also includes a mechanical locking mechanism that enables the RIV to hold differential pressures from both above and below. An indication from the bottomhole gauge and collected data from subsequent pressure testing revealed that AutoStim Valve 2. and modification of topside structures. Following the completion of the stimulation program. however. Hydraulic stimulation of the zones occurred in June 2015. The stimulation operation used a combination of RFID tags. (ImAnother technique under age courtesy Technip) development involves use of Xray inspection to create a true 3D picture of an in-situ flexible riser.” Décoret explained. without buoyancy this solution would be easier to install. “And increasingly. including in deepwater where data collection and imaging is typically more difficult. Technip has been work.” adding reliability during the end fitting mountDecoret said Technip’s In-Service Riser ing process.” Décoret said.” Décoret pointed out. The technique can be applied to more accurately assess requirements for connecting pipelines to wells and manifolds prior to fabricating spools. similar to the service provided by a hospital scanner. “That would be significant for a breakage of armor wire. the challenges preoccupying offshore operators include aging infrastructure.of the riser at the connection point to the offtions.E N G I N E E R I N G . and tion that composites will be needed to replace also umbilicals and rigid pipelines. “Our products must sustain production without the need for intervention over this period. weight issues as subsea installations go deeper A lthough deepwater activity has slowed over the past year.” In October.change in monitoring of in-service risers.203 ft) from an FPSO to the seafloor. “To minimize top-section tension. This could be applied to the top 200 m (656 ft) of the riser to determine whether any breakages.500 m (8.it could be possible to determine whether the tendant higher pressures. which involves inserting microelectronic Here it has introduced Cowbot (CObot for sensors in the top section of risers or umbiliWire Bending Operation at Technip). notably for bilical and rigid pipeline systems as well as to the high pressure gas injection application. “Bending of the pipe creates the most industry moves ever deeper toward production fatigue. Décoret pointed out. “With this technology. That can be partly addressed via ity and therefore has to be removed. there is a general recogni. with carbon dioxide (CO2) or hydrogen sulfide (H2S) in the fluids. to jointly develop the LIDAR (Light Detection and Ranging) laser scanning technology for new types of subsea metrology and inspection applications. It would tion of carbon armor. from a control room. Colorado. new technology must generate cost savings for clients. This is a challenge the tion versions to address this. but nothing on it and reduce significantly the num. The crawler would send “and with this armor. Group Senior VP Innovation & Technology. “These have to be pro- Jeremy Beckman ancy altogether. C O N S T R U C T I O N . supervised remotely riser in 4.Non-Destructve Testing (NDT) technologies ing on carbon fiber armor that would provide that would be deployed by an ROV. At a recent presentation in London. And although composites cost more to manufacture than steel.123 ft) water depth.out a unique (according to Décoret) combination of ultrasonic signals and elecTechnip’s carbon fiber tromagnetic impulses that would armor could allow a be matched against what the consimpler configuration trol room operator would expect for deepwater risers to receive to determine if there is without the need for a problem.” The company has qualified the first generacured and they then take time to install. buoyancy modules have to be fitted along the riser. this will add to the pipe’s service can be extended beyond its destrains imposed on the riser by the movement sign life. and the requirement for products that can accommodate these components. “There is a limit on the be better to be able to unreel a flexible riser with maximum temperature it can withstand. Another issue Technip has been working on is an improved methodology for assessing riser fatigue. particularly in the presalt plays where risers can typically be suspended up to 2. reducing effort for the machine opera. Technip USA signed an agreement with 3D at Depth. and problematic reservoir conditions such as high pressure/high temperature. This is a steel sections for risers to withstand the stresses crawler module equipped with various different of deeper-water service. flow assurance and recovery from complex reservoirs that are more difficult to produce. pipe.com • December 2015 Offshore 43 . This could include the curvature process during end-fitting mounting opera. added buoyancy. cracks or corrosion are taking place.” he said.shore production facility for fatigue monitortors and ensuring better repeatability. After clamphigher mechanical strength than flexible pipes ing onto the riser.” replace other layers within the flexible pipe. Inspection (IRIS) system could provide a stepAt the same time. • Editor–Europe www.offshore-mag.000 m of water. LIDAR can be used to build precise 3D models of subsea structures. The result would be a free-hanging riser that is slightly shorter. with a requirement for active heating to put energy into the fluid. the design life can be 30 years-plus. For ultra-deepwater developments such as the presalt fields off Brazil. in 4. According to Laurent Décoret. the crawler would perform with tensile steel armors while reducing weight tests to determine possible ingress of water or by up to 50%.” Technip’s longest established flexible manuAnother ongoing development is Morphofacturing plant is in Le Trait. and therefore cost-effective.000 m (13. the need for life-of-field monitoring and inspection systems. & I N S T A L L AT I O N Technip assessing fatigue. subsea contractors continue to prepare for the upturn. As the ing. Technip outlined some of the technologies it is working on to extend the lives of producing subsea facilities and to extend development to deeper water. northern France. a ma. with the at. speeding the operation and minimizing any work that might subsequently need to be re-done.cals to provide life of service performance chine designed to improve the wire bending feedback. Décoret said. we could get rid of buoy. or if it has reached maximum capacof the FPSO. And we are also company is addressing to provide flexible pipes studying use of composite materials for umon the Libra field in the Santos basin.we are working on second and third-generaber of buoyancy modules. based in Boulder. It is also detrimental to a front-end engineering and design (FEED) effort that is supposed to result in approval ready. This can be seen in the behaviors of equipment vendors. and construction (EPC) business or mainly in the production operations business (operator). or schedule impact at a later date. & I N S T A L L AT I O N Vendor partnerships key to optimizing supply chain management I n 2013. and each EPC is competing for the same project. this article is written to address the negative perception of schedule slippage that afflicts the entire industry. Understanding the causes of equipment schedule delay is essential in order to establish plans to mitigate future delays in supply chain activities of major offshore projects. procurement. The vendors to each of these main Bryan Kendig SBM Offshore components exist in different environments. Reasons cited include project complexity. The equipment supply chain can behave differently depending on whether the buying organization is mainly in the engineering. and measuring vendor performance/ holding them accountable over the long term. For ex- ample. only lightly reviewing specifications.offshore-mag. it is not unusual for the vendor to save significant bidding costs by initially. While the author’s company can provide data to illustrate a different.E N G I N E E R I N G . The vendor may then delay a thorough review of the specification until the market reveals the EPC winner.com 2 77% 5% 2 82% 5% Vendor’s dishonest progress reporting 1 85% 3% Vendor Vendor Scope document capability added by delay and capacity company assessment inadequate 1 1 1 87% 90% 92% 3% 3% 3% Intentional delay by company Delayed vendor decision Delayed company decision All other 1 95% 3% 1 97% 3% 1 100% 3% 0 100% 0% 0 Cumulative % Occurences 80 5 . These environments are characterized by differences in the variety of industries served by a vendor’s products. mooring. and the way in which vendors relate to their customers (buyers). an imbalance of risk in favor of project owners at the expense of contractors. The key message is that the equipment supply chain for manufacturing an offshore oil and gas facility is complex. not simple. This package bidding model is likely an unintended consequence of the contracting model employed by project owners with their EPCs. and supply chain issues. It has led vendors to expect that they will be given another chance to bid the project. more positive trend. organizational learning issues. manifesting in a quality. level of customization of a vendor’s products. difficult regulatory requirements. can be more beneficial than risking the Reasons for schedule delay. Supply chain management should develop vendor partnerships. (Courtesy SBM Offshore) 8 120 7 100 6 60 4 3 40 2 20 1 – Quantity Cum % % of total Vendor Vendor’s delay to poor understand control of specification subvendors 7 18% 18% 6 33% 15% Vendor quality issue 6 49% 15% Company’s Insufficient Insufficient Company’s design capacity staffing design change (not at vendor levelchange HAZOP) workshop vendor (HAZOP) 5 62% 13% 4 72% 10% 44 Offshore December 2015 • www. This complexity calls for a certain degree of specialization to be present within a supply chain management organization. C O N S T R U C T I O N . offering a generic bid to all EPCs. when a vendor is bidding to multiple EPC companies. Equipment supply chain complexity The three equipment supply chains that serve the major project sector are segmented to match the main components of the offshore production facility: hull. draft purchase orders for packages of equipment. and topsides. Early vendor involvement. Specialization enables supply chain management to better anticipate and mitigate the risks that are associated with the complexity. cost. including both project owners and contractors. Douglas-Westwood published a study that found 30 of 45 FPSOs installed worldwide between 2008 and 2012 suffered schedule delay. Such a model can inhibit the vendor’s understanding of the specification requirements. Transferring an equipment list to a package list requires frequent. A vendor cause relates to vendor sales organizations that transpose specification requirements to in-house data sheets. The supply chain management within the EPC provider is likely to be engaged throughout various stages. various EPC companies are engaged to help define the offshore oil and gas facility. but it also impacts the listing of vendors who are qualified to bid. A buyer cause relates to a specific case in which more than 200 pages of interesting.” The package list represents a bundling of equipment intended for purchase from a single vendor. There is some empirical evidence that vendors are struggling to understand specifications. it can drive the correct behaviors within the people who are closest to the point of being able to identify and mitigate the risk. SCM will have worked as a catalyst with engineering such that engineering produces the equipment list and specifications to enable the RFQ in a timely fashion. and that they maximize the opportunity for vendors to bid as per vendor standards. The supply chain team may be called upon to secure firm bids from vendors. There are different terms used to describe the outcome of this process. inspected.e. Specific goals for the effort should be to strike out specified items that are clearly not applicable to the subject equipment including: specific clauses. especially if a bundled component might be better sourced from a construction yard rather than from a manufacturer. while expecting that necessary refinement of the specification will occur after the purchase order award. C O N S T R U C T I O N . while ensuring that the partnerships honor schedule requirements. Specification development The amount of time scheduled to advance through the stages of an offshore project development typically ranges from three to seven years. Early SCM involvement can also help to recognize and satisfy timing needs of interdependent specification development across the company’s various engineering disciplines (i. Both project owners and EPC contractors should keep package specifications simple and standardized. Perform a sanity check on plans to bundle equipment that will be sourced from a single vendor. In addition. Use a system that gathers input from a collection of experts most familiar with the technology and the potential vendors’ current capabilities and current shop capacities (engineering. it may not be apparent to those on the project www. However. almost every project has some RFQs that must be issued quickly due to anticipated long manufacturing lead times that could potentially upset the fixed project schedule. instrumentation. However. piping. and who are asked to participate in a process whereby designs are proven in a gated process. It is a key activity to get right because it can make or break the best. marine/naval architecture can require use of vendors who are specialized. mechanical equipment. taking specific actions to mitigate the risk. An analysis of schedule slippage among a selection of purchase orders suggests that the vendor’s delay in understanding specification requirements can represent up to ~20% of the reasons associated with delay. SCM should have early involvement with its internal business partners and with specific. competitive relationship. Make an effort to obtain feedback from someone with construction expertise. some vendors claim that specifications have become unnecessarily more voluminous and overly complicated. technical specifications will be reasonably mature and sufficient for the RFQ. and also ensuring that the partnerships do not overstep the boundaries required for a healthy. and sole source vendor arrangements. the dependency that electrical. the package list not only determines the equipment to be bundled. adversarial bidding process. Risk assessment Risk assessments within both the EPC contractor and the project owner environments are often “owned” at very high levels within the major project teams. most perfect engineering effort. supply chain management may have no choice but to issue RFQs (and subsequent purchase orders) to secure limited manufacturing slots. and shipped to a construction yard for assembly into the offshore facility by a construction team. mooring. is the risk of receiving an accurate technical specification from the engineering effort in time for the request for quotation (RFQ) that must be sent to vendors. Unfortunately. and schedule. the maturity of engineering will be a function of the maturity of input data made available by the project owner. with SCM. assembly. but at the expense of having lost in translation some of the client requirements. and specific reference standards that are stated within the main specifications. timely RFQ that can be sent to vendors. process. Supply chain management (SCM) should work with engineering business partners to ensure that project specifications are simple. This is a good practice.offshore-mag. Early SCM involvement can help engineers minimize commercial obstacles that can be associated with extremely long specification development periods. schedule. One such risk element. In these cases. In a normal bidding process. prevalent during later stages of the process. small companies. drafting. even in the normal bidding process. Later investigation found that the RFQ could have been reduced to a mere few data sheets. electrical and instrumentation. and quality.E N G I N E E R I N G . automation. and the personnel resources that will be assigned to manage the package. as an alternate to the specifying company’s standards. when risk management is not pushed sufficiently down into the project organization. and automation has on many other disciplines). Root causes for failure to understand specifications can be traced to both the vendor and the buyer sides of the supply chain.com • December 2015 Offshore 45 . The bids will be based on specifications. and each discipline has inherent differences that need to be recognized in order to achieve an accurate. This involvement may require a level of product or specific supply chain specialization (hull. machining. supply chain management. and testing). and construction. In some companies. another step is often taken before the RFQ is issued. The process for specification development can introduce schedule risk to supply chain management. One such term is the “package list. SCM will work with engineering management to rationalize the equipment list against the capabilities of the vendors. & I N S T A L L AT I O N accuracy of vendor proposals in the traditional. It is important for SCM to recognize the partnership style of relationship that can be required with such vendors. During this period. Further. The engineering disciplines will work both independently and collaboratively to produce a listing of materials (equipment list) that will be purchased. In fact. for a simple orifice plate. The industry of manufacturing offshore oil and gas facilities is unique in that it brings together diverse bodies of engineering such as marine/naval architecture. and the efficiency of managing the various purchase orders that will result from the equipment list. For example. price. assuring its cost. prospective vendors. When ownership is pushed down into the project organization the assessment of risk becomes more of a continuous assessment rather than a snapshot of risk at a given point in time. specific requests for documentation. the level of equipment inspection. healthy exchange between SCM and engineering in order to avoid bundling of packages for administrative convenience at the expense of a vendor’s true ability to provide all elements of the bundle on schedule and on budget. giving the vendor’s manufacturing organization a work instruction according to the vendor’s own standards. Defining equipment packages Ideally. topsides) within SCM. Each discipline is an internal client to the part of the company responsible for managing the company’s supply chain. but can be flawed if the ownership of risk assessment is not sufficiently pushed down into the project. including scope. among others. and the specifications will be based on the maturity level of engineering existing at the time. fit for purpose. yet non-essential specifications were included in the RFQ package as zip files. Nearly half of quality defects found on equipment packages were related to EX issues. An analysis of schedule slippage among a selection of purchase orders suggests that the vendor’s poor control of the sub-vendor can represent up to 15% of the reasons associated with delay. the majority of them possess the knowledge. It is the author’s hope that the topics presented here will generate discussions and actions that will improve the offshore industry’s reputation for schedule achievement. and visibility of sub-vendor problems can arrive late. Also. For example.E N G I N E E R I N G . but maintains professional distance to ensure objectivity • Knowledgeable of the package and/or vendor sufficient to anticipate and manage changes • Vigilant in regards to questioning the vendor’s schedule • Communicates package progress to supporting staff and to the project management team • Resilient to handle the high pressure. Where there are package schedule delays. Vendor qualification systems can have the same effect as high level risk assessments. Again. It is essential to visit the vendor’s workshop in order to positively identify schedule progress. 28-30. and ensure that the vendor has sufficient contingency to deal with unexpected problems. When there are problems. Vendors subcontract many components. These defects require remediation. Control of vendor and sub-vendor quality. 2015.offshore-mag. inclusive of the supply chain organization. In addition. The inspection and test plans associated with these packages might total more than 2. Ensure that vendor progress reports (including standard templates) provide sufficient visibility of sub-vendor activity. & I N S T A L L AT I O N that everyone should be a risk manager. Vendor surveillance involves more than simply inspecting equipment when the EPC contractor or project owner is given notification by the vendor. The right people The final recommendation is arguably the most important. in fact. Both EPC companies and project owners will contract with the third-party agencies. what float is in the vendor’s schedule to make repairs resulting from having to “train” a new sub-vendor? Also. They are risk snapshots of the vendor at a specific point in time. The hazardous area inspection should be performed by a qualified COMPEX (competency in explosion proof) inspector. the challenge of thoroughly educating the third parties about the package inspection needs. The value of using third-party agencies for vendor surveillance. has the vendor recently decided to sub-contract major components as a result of a “make-buy” decision? If so. there is no substitute for the value of knowing what to look for and how to conduct one-self while visiting a vendor factory. A typical project might involve more than 500 purchase orders for major equipment. or a deficiency in upholding a professional responsibility. both internally and externally. Rather. Recent projects have provided quality challenges in terms of package compliance to electrical and hazardous area standards (explosion proof “EX” requirements). Addressing basic risk oriented questions about the vendor during specific stages within the procurement process can be sufficient. or educational achievement.000 inspections to occur at vendor facilities. Quality issues Quality issues abound in the oil and gas equipment industry and their resolution can occupy a lot of time for the supply chain professional. The positive schedule impact of an in-house inspections team is that the team will minimize the number of quality defects that would otherwise need to be fixed in a construction yard. Frequent factory visits are essential to check progress at both vendor and sub-vendor locations. C O N S T R U C T I O N . Also. Specifically. . because heeding the other recommendations could be ineffective without the last recommendation. there is no substitute for the value of visiting the vendor and sub-vendors. but is fair with vendors • Maintains healthy relationships at multiple levels within the vendor organization. supplement the in-house team with processes that develop continuous improvement with the third-party inspectors. corresponding sub-vendors. The final recommendation relates to the qualifications of the people who are given responsibility for managing the vendor schedules within the EPC or project owner companies. • Acknowledgment Based on a paper presented at the Society of Petroleum Engineers Annual Technical Conference and Exhibition held on Sept. and instilling just a small sense of “ownership” so the inspector might look beyond what is described in the work order is a major flaw in any process that relies totally upon third-party inspectors. require the vendor to train shop floor personnel to properly construct a cable gland connection. is undeniable. Put additional focus on packages that will require hazardous area certification. Hazardous area electrical issues. Projects need to plan for sufficient numbers of personnel to perform this deep level of vendor/sub-vendor management. Require vendors to incorporate hazardous area inspection within the inspection and test plan. It is prudent to develop an in-house inspections team. mismatch of an inspector’s skill set to the inspection requirement. investigate vulnerabilities.com the agencies will provide much of the inspection man-power for the 2. skills and behaviors of good project managers. rather than an incident responder. need to manage the schedules of multiple. a significant number of the delay occurrences are due to quality defects from sub-vendors. demanding environment of a major project • Inspires others and recognizes their contributions. The key is to recognize the need. the following traits are important: • Establishes credibility with stakeholders • Accepts and continually establishes ownership of the package • Completely knowledgeable of the purchase order or contract • Influential • During negotiations. continually advocates for the buyer organization. Quality control at the sub-vendor level is often poor. and ideally. this is a separation of time and responsibility that can be a threat to the schedule and budget for the equipment package. Risk assessments within supply chain should not be complex nor require special tools. Gathering early intelligence of subvendor progress is required. The person given responsibility for managing the vendor schedule within the EPC or project owner com- panies should work closely with schedule planners to decompose/analyze vendor schedules and spotlight vulnerabilities before they occur. Push ownership of risk assessments sufficiently down into the project organization. The person given responsibility for managing the vendor schedule within the EPC or project owner companies should make the visits. and will likely delay the package schedule. However. The following areas should be examined and reviewed closely. Those who are most successful in the role do not necessarily have identical backgrounds in terms of roles/industries previously worked. Independent inspectors reside in various global locations and typically avail themselves to the market via third-party inspections agencies. When done properly. and 46 Offshore December 2015 • www. in Houston. they often can be traced back to a miscommunication (quality of information and timing).000-plus inspections. Inspection. many supply chain organizations separate the individuals responsible for “qualifying” the vendor from those who are responsible for managing the vendor during the execution of a purchase order. Recognize that the person given responsibility for managing the vendor schedule within the EPC or project owner companies may. but may not be entirely effective at identifying risk changes to the vendor which occur after the snapshot. given practical limits on project resources. and institutionalize a process. such visits should not be delegated to others. and to formalize pipeline subsea repair criteria and procedures into an internationally recognized standard. Offshore pipelines are designed to last for more than 20 years. such as external or internal corrosion and mechanical damage on a local scale (i. but damage can prevent them from reaching their optimal design life. but typically includes the design of the pipeline. buckles or girth weld defects). including root cause assessments. The company has developed a number of practical repair procedures and a range of “live” repair solutions. grouted sleeves. and is often preferred since it yields considerable flexibility and is highly opex-efficient. In deeper waters. Other improved design and qualification guidelines will relate to pipeline isolation plugs. manufacture. clamps. DNV-OS-F101. selection of mitigations and repair methods for given damage levels.e. and governs the repair preparedness strategy. technically challenging.offshore-mag. During operation.e. and operation of such fittings and systems. It is however. However. installation. and will extend coverage to repair of clad and lined pipe. and test requirements after the repair operation. the latest version of this RP was published eight years ago and a number of new technologies have been developed since then. environmental factors such as unstable seabed conditions or seismic related damage. It will also address updated guidelines and acceptance criteria on hyperbaric welding.com • December 2015 Offshore 47 . and expertise from the main providers and operators of pipeline repair equipment and tools. and in-service welding of split-sleeves and stand-off sleeves with internal gas containment for repairs on leaking lines. damage can be caused by internal and external corrosion. The risk of damage depends on many factors. but nevertheless highlight the importance of offshore asset integrity. such as couplings. To date. the environmental conditions. As a result. The new edition will also provide more guidelines on the safety (including topside and landfall) and barrier philosophy related to offshore pipeline repairs. burst capacity check for welding on in-service pipelines. damage assessment. repair methods that involve minimal or no lost production time can be viable. Isolation plugs are used to limit emptying volume of internal fluid and sea water filling of the pipeline during the repair. to enable “live” pipeline repair without compromising on safety and integrity. surface pipeline recovery. Responsible for 170 world leading offshore standards and recommended practices (RPs). T-branch connections. repair operations without any downtime. • www. is an attractive option for operators. and the intensity of adjacent human activities. (Courtesy DNV GL) ence. there are very few options for deep and ultra-deepwater pipeline repair. or by welding. The guidelines include aspects relating to the design. full descriptions of all incidents are not available due to missing reported anonymous data. DNV GL is currently updating one of its leading RPs for offshore pipeline repair – DNV-RP-F113 – through a fasttrack joint industry project (JIP). and third-party impacts such as anchors and other dropped objects. and acceptance criteria for possible effects on the pipeline surface from coating removal tools. This new JIP aims to capture the latest best practices. Offshore repairs can also be challenging and costly in terms of logistics. on subsea pipelines. The new edition of the RP will be harmonized with the latest revision of the Offshore Standard. DNV GL has served as an independent technical advisor on several pipeline repair projects in the past few decades. These repair methods are collectively referred to as “live” repair. dents. and the need to access the latest repair technology to respond when required. high temperature/high pressure (HT/HP) pipeline repair. hydrogen-induced stress cracking (HISC). and tees for pipelines. The extent of possible damage can vary from insignificant to a fully buckled or parted pipeline. repair options are usually limited to cut and replacement using hot tap and bypass technology with substantial opex implications due to lost production time. The RP is widely referenced for the qualification of fittings and systems used for pipeline subsea repair and/or modifications and tie-ins. These include plugging and grouted repair clamps for pipelines. Most subsea pipeline repair technologies involve fittings that can be connected to the pipeline via mechanical means. criticality assessment. wrinkles. the lifetime performance of elastomeric seals. sour service. Qualification of such technologies and equipment requires in-depth knowledge of the pipeline design parameters and operational experi- Damage to oil and gas pipelines can occur during installation or during the operational stages. pipeline “live” repair. and will provide further assistance on considerations for post-lay ovality of the pipe. The Pipeline and Riser Loss of Containment (PARLOC) report published in March 2015 presents loss of containment incidents that occurred on pipelines and risers on the UK continental shelf (UKCS) during the 12-year period 2001 to 2012. The PARLOC report mentions 183 loss of containment incidents of which 160 happened during operation. Most shallow-water repairs (down to 180 m/591 ft water depth in Norwegian waters) have historically been performed by divers. experiences. For most local damage. Damage to oil and gas pipelines can occur during installation or during the operational stages. i.SUBSEA Industry project seeks to update pipeline repair standards Junkan Wang Ali Mirzaee-Sisan Jens Petter Tronskar Dag Øyvind Askheim DNV GL L oss of production time due to repair operations offshore can equate to millions of dollars per day in lost revenue. Additional logistical challenges also apply if the offshore repair operations involve isolating topsides on a production platform. For extensive damage of large sections of the pipeline. These statistics differ in other parts of the world. and lifecycle management of pipeline repair operations. According to PARLOC. pipeline repairs have to be conducted via remotely controlled technologies. inspection methods. and installation aspects such as longitudinal seam weld removal. the process of designing an appropriate asphaltene inhibition program began. flowlines. where consequences and remediation can be far more involved and costly than onshore. based around the KPIs. Reliability of each chemical is substantiated by performing various stability tests.and longterm. A topsides plant trial was conducted to confirm that the asphaltene inhibitor would not negatively impact the emulsion tendency of the crude or water quality of the overboard water. Extreme temperature fluctuations can occur during the transportation and storage of chemicals to deepwater assets. the inhibitor would be injected down the capillary string before the fluids could reach the asphaltene onset pressure. This included selecting an asphaltene inhibitor to be continuously injected via a 5/8-in. a stringent qualification process is followed to select the optimal chemical solution. environmental and operational risks. Oil samples were collected and sent to a technology center in Sugar Land. (Courtesy Baker Hughes) 17TR5. Results indicated that the oil contained approximately 1. Emulsion tendency and water quality remained in spec. To further confirm a chemical’s temperature cycling and stability. deliverability. the type of deposition must be properly identified to determine what steps need to be taken to inhibit the deposits before they can damage the wellbore. facilities. If the risks are properly identified.4°C). To achieve optimal inhibition. Avoidance of Blockages in Subsea Production Control and Chemical Injection Systems. and surface equipment from a well located in approximately 3. or other equipment or facilities. Attributes of Production Chemicals in Subsea Production Systems. To develop a set of standards for subsea chemical injection systems. resins. costly repair and replacement expenses. capillary line through an uninsulated umbilical along the 16-mi tieback.com Baker Hughes says its subsea-certified chemicals go through a rigorous 16-test deepwater subseacertification process to be qualified for use in subsea applications. Recommended practices for the avoidance of blockages in subsea chemical injection systems were published in API specification 48 Offshore December 2015 • www. gelling. effective prevention programs can be implemented. Following the successful plant trial. studies are performed to determine the resistance of a chemical to phase separation during thermal cycle stress over long periods of time. and deferred production. and industry trade groups in the Blockage Avoidance in Subsea Injection and Control Systems joint industry project (JIP). the environment. flowlines. and compatibility of the chemical application and its ability to provide uninterrupted production for the operator. After treatment had been established throughout the production system. These potential risks make it imperative that deepwater fields be properly evaluated for asphaltene deposition risks. aromatics.27. The percentages of these deposits in the crude oil sample were determined using a modified version of the Institute of Petroleum Standards IP143/57 method. chemicals and fluids vendors. which includes a rigorous 16-test protocol to qualify chemistries for use in subsea umbilical applications. Use of qualified production chemicals is critical to maintaining safe. The deepwater operator was faced with potential asphaltene deposition in its subsea equipment. and financial investment. umbilical failures in a subsea system can lead to unacceptable health. unnecessary delays and downtime. Low-temperature stability of the chemical is tested to mimic the temperatures often seen in the cold seabed environment. Texas. efficient operations and to protecting many aspects of producing assets—including personnel. a tension leg platform approximately 16 mi (25 km) away. close collaboration between an operator working in the deepwater Gulf of Mex- ico and Baker Hughes prevented asphaltene deposition in subsea equipment. Baker Hughes collaborated with several operators. was built upon Specification 17TR6. which confirm that there will be no phase separation. where saturates. and asphaltenes (SARA) analysis was conducted. The well had a bottomhole pressure of approximately 10.800 ft (1.000 b/d of oil. The effect of pressure on the stability of the chemical is also investigated under both low and high temperatures to simulate lowtemperature umbilical and high-temperature capillary deployment. Once the potential risks for asphaltene deposition were understood. safety. Following deposition identification. The service company’s deepwater-subsea certification process. both short. or precipitation of the chemical under given thermal and pressure conditions throughout the application lifetime. Selecting an inhibitor Key performance indicators (KPI) for the successful chemical inhibition of asphaltenes are the reliability. From the SARA analysis. Deepwater remediation Recently. For example.offshore-mag.000 psi (690 bar) and produced a 38°API gravity crude oil. Two American Petroleum Institute (API) standards were issued as outcomes of the JIP. and surface equipment in a long tieback system. indicating unstable oil and validating deposition concerns. a full-scale field trial was initiated. flowlines. where the seabed water temperature was approximately 40°F (4. • . Continuous injection of the inhibitor was introduced into the system at an initial dose of 400 ppm.158 m) of water and tied-back to the host.FLOWLINES & PIPELINES Asphaltene inhibitor prevents deposition in long-distance tieback Tim Garza S Baker Hughes afely controlling and treating asphaltene deposition is a major flow assurance challenge in the offshore environment. First. This combination of tests can provide a holistic view of subsea-certified chemical reliability under harsh deepwater temperature and pressure conditions. production volumes increased to an average of 5. Qualification standards for chemicals to be used in subsea chemical injection systems were published in API Specification 17TR6. Baker Hughes’ FATHOM XT deepwater subsea-certified asphaltene inhibitor was selected. the colloidal instability index of the crude oil was calculated to be 1.3% asphaltenes. After extensive laboratory testing and modeling. and the system pressure profiles indicated that asphaltene deposition had been prevented with no signs of deposition occurring. while hightemperature stability testing is performed to demonstrate the upper temperature capabilities of a chemical. topsidesevent. 2016 ° Moody Gardens Hotel & Convention Center ° Galveston.CONFERENCE & EXHIBITION Hosted by: REGISTER BY JANUARY 4. Texas USA www. 2016 AND SAVE $115 ON FULL CONFERENCE REGISTRATION! Where It All Comes Together February 9-11.com Preliminary Event Guide Owned & Produced by: Presented by: Supported by: ® Diamond Sponsor: . PLATFORMS & HULLS CONFERENCE & EXHIBITION 2016 PRELIMINARY EVENT GUIDE .2016 Sponsors & Supporting Organizations Hosted by: DIAMOND SPONSOR PLATINUM SPONSOR GOLD SPONSOR / OPENING NIGHT RECEPTION GOLD SPONSOR / WEDNESDAY LUNCH SILVER SPONSOR / WEDNESDAY NETWORKING RECEPTION SILVER SPONSOR / DELEGATE BAGS BRONZE SPONSOR/WEDNESDAY NETWORKING BREAKFAST BRONZE SPONSOR/THURSDAY NETWORKING BREAKFAST HARLEY GIVEAWAY SPONSORS MEDIA SPONSOR TOPSIDES. Proj and Tech Development David Brubaker Shell Upstream Americas Business Opportunity Manager Mark Meunier Kiewit Offshore Services Vice President Murray Burns. PE KBR Inc. PMP eni petroleum Project Engineer Ross Hancock Anadarko Petroleum Corporation Topsides Facilities GoM Boyd Howell MODEC International Director of Sales WWW.2016 Advisory Board Alec Johnson. PMP Consultant Robin Dupre Offshore Conferences Editorial Director William "Butch" Taggart. PE Technip Offshore Business Development Manager Jeff Rushing Noble Energy Contruction Engineer Advisor Jeff Dice. PE Petrobras Advisory Board Chairman and Senior Mechanical Engineer Scott Key. Manager of Projects Thomas Kolanski BW Offshore USA VP Business Development Jonathan Brewer. PE Chevron Facilities Manager Maarten van Strien. PE Stress Engineering Services Senior Associate Peter Lovie. Engineering Manager David Castle Hess Corporation Project Advisor Nathan Davidson Williams Business Development Manager James Deaver. PE. PE Wood Group Mustang Offshore US Vice President . PE WorleyParsons VP. PE UniversalPegasus Project Director Carlos Mastrangelo.TOPSIDESEVENT. PE Murphy E&P Manager .Field Development Renard Falcon.COM Eric Wensel. LLC Senior Advisor – Floating Systems James Britch. PE Oil Field Development Engineering. LLC Engineering Advisor Tad Mulder Cameron Vice President Commercial Kevin Raatz. PfMP SBM Offshore Senior Vice President. PE Consultant Loriana Morris. PE Peter M Lovie PE. PE. com 2. PLATFORMS & HULLS CONFERENCE & EXHIBITION 2016 PRELIMINARY EVENT GUIDE . Visit www.com + FAX Direct: +1-918-831-9161 / Toll-Free: +1-888-299-8057 + MAIL PennWell C&E Registration (Topsides) P. Platforms & Hull Conference & Exhibition for $2. Complete the form and return by: + EMAIL registration@pennwell. Box 973059 Dallas. TX 75397-3059 USA • Operators Partner Program registration is checked to confirm applicant is from an approved operator in order to qualify for discount TOPSIDES.topsidesevent.O.000! (Individual Full Conference Registration is $890) Operators Partner Program Benefits Include: Unlimited conference registrations. Select Registration and download the Operators Partner Program Registration Form* 3.Operators Partner Program Do you work for an operating company? If you answered YES then your company qualifies for the Operators Partner Program! Send an unlimited number of delegates to the Topsides. your company logo will appear in/on: + Show Guide + Event website + On-site signage 2015 Participants Included: HOW TO REGISTER 1. including (per attendee): + All conference sessions + Exhibit floor receptions + Delegate lunches + Exhibit hall access + Networking opportunities such as coffee breaks and continental breakfasts As a participant of the Operators Partner Program. Platforms & Hulls mobile app.TOPSIDESEVENT. we’ve made it easier and more convenient for you to maximize your event experience.. Search for “Topsides Platforms Hulls” in theApp Store or Google Play. Search for and download the Topsides. 2. Here you will find: + Conference information + An interactive floor plan + Exhibitor profiles + Special events + Events social feed + Favorites + Notifications/Alerts + Surveys + And much more. all in the palm of your hand! WWW.COM .. 1. Plan your entire day all from within the app.NEW EVENT MOBILE APP DOWNLOAD NOW With so much going on at this year’s event. M. CHAIRMAN’S OPENING REMARKS Alec Johnson. 2016 7:00 A. February 9.M.M. petrochemical.M. Senior Mechanical Engineer. Petrobras America Inc.M. PLATFORMS & HULLS CONFERENCE & EXHIBITION 2016 PRELIMINARY EVENT GUIDE . OPENING PLENARY SESSION – MOODY BALLROOM ALL REGISTERED ATTENDEES ARE INVITED TO ATTEND! WELCOME & INTRODUCTION Mark Peters. 2016 5:00 P. He is a frequent speaker addressing oil. Vice President and Publisher. February 10. Alec Johnson earned a Bachelor of Science degree in Industrial Engineering in 1992 and a Master of Science degree in Mechanical Engineering in 1994.Topsides. and major oil and gas production companies. Advisory Board Chairman. – 9:00 A. Since 2007. KEYNOTE PRESENTATION TOPSIDES. – 6:30 P. both from Mississippi State University. Alec has worked for Petrobras as the lead mechanical engineer on the Cascade & Chinook FPSO project team. Platforms & Hulls Preliminary Conference Program Tuesday. His extensive travel schedule includes attendance at major upstream and downstream meetings around the world. refining and offshore issues and trends at seminars.M. CONTINENTAL BREAKFAST – FLORAL BALLROOM Sponsored by: 8:00 A. – 8:00 A. conferences and users groups. He has more than 20 years of experience in the oil and gas industry working for various offshore engineering companies. gas processing publication and a pipeline and gas industry publication. gas. He holds a BA degree in psychology from Brown University. Peters is a Vice President of PennWell Publishing and Group Publisher of Offshore and Oil & Gas Financial Journal. Offshore Mark F. OEM’s. He has over 30 years of industry-related experience having been a publisher of a refining. OPENING NIGHT EXHIBIT HALL NETWORKING RECEPTION Sponsored by: Wednesday. February 10. Petrobras 11:15 A. LUNCH – FLORAL BALLROOM Sponsored by: 12:45 P. – 3:00 P.M. – 2:15 P. Shell Alternate: COMPARISONS BETWEEN COMPUTATIONAL FLUID DYNAMICS AND WIND TUNNEL TESTING FOR MODUS Jorge Martinez. SESSION 2: LESSONS LEARNED – MOODY BALLROOM CHAIR: Jonathan Brewer. Stress Engineering CHALLENGES OF DESIGNING. Staff Consultant.M.COM . Versabar PLUG REMEDIATION ON AN OFFSHORE FACILITY George Bonin.Preliminary Conference Program Wednesday. – 11:15 A. Williams STONES DEVELOPMENT . Production Superintendent.M. Consultant CO-CHAIR: Nathan Davidson. Business Opportunity Manager. SESSION 1: PROJECT EXECUTION/UPDATES – MOODY BALLROOM CHAIR: Murray Burns. Oil Field Development Engineering MAJOR MAINTENANCE FROM FLOTELS Marc Wagner. COFFEE BREAK – EXHIBIT HALL 9:45 A. – 12:45 P. 2016 9:00 A. Civil Engineer. President.M. Stress Engineering Services CO-CHAIR: David Brubaker. JLMLLM Consulting 2:15 P. Director of Technology. FABRICATING.M. COFFEE BREAK – EXHIBIT HALL WWW. Facilities Focal Point.M. Senior Associate. – 9:45 A.TOPSIDESEVENT. AND INSTALLING DEEPWATER FIXED JACKETS Gary Epperson.M.FPSO TURRITELLA WITH DISCONNECTABLE TURRET Akhil Agarwal.M. Shell Upstream Americas FLARE GAS PIPING VIBRATION Gyorgy Szasz.M.M. Structural Engineer. Business Development. Shell E&P Company RAISING OF OFFSHORE PLATFORMS/LIMA FACILITY John Greeves. SBM Offshore CO-CHAIR: Ross Hancock.M. Maxoil Solutions Inc GAS SEPARATION TECHNOLOGY TO INCREASE LOADS IN EXISTING FACILITIES Dag Kvamsdal. Anadarko Petroleum Corporation RISERS FOR FPSO IN HARSH ENVIRONMENT Sherry Xiang. Manager – Field Development.TRACK 1: TOPSIDES DESIGN – MOODY BALLROOM CHAIR: William “Butch” Taggart.M.M. Staff Riser Engineer. – 5:45 P. – 4:30 P.M. February 10. Vice President of Floating Systems and Risers. SBM Offshore USA. Engineer Principal Sr. NETWORKING RECEPTION – EXHIBIT HALL Sponsored by: TOPSIDES. Stress Engineering Services CRUDE OIL SEPARATORS. – 4:30 P. SESSION 3 . Associate II. ConocoPhillips Alternate: DEEPWATER RISER OPTIMIZATION DESIGN FOR FLOATING PRODUCTION SYSTEMS Lixin Xu. UniversalPegasus International 4:30 P. Offshore Business Development Manager. Murphy E&P CO-CHAIR: Kevin Raatz.TRACK 2: RISERS – MOODY BALLROOM CHAIR: Carlos Mastrangelo. Manager. Sr. 2016 3:00 P. – 5:45 P. SBM Offshore PHILOSOPHY OF RISER CONCEPT SELECTION FOR AN FPSO APPLICATION: AN OPERATOR’S PERSPECTIVE Dr. Ruxin (Rex) Song. Principal Lead Engineer. Principal Consultant.Preliminary Conference Program Wednesday. PLATFORMS & HULLS CONFERENCE & EXHIBITION 2016 PRELIMINARY EVENT GUIDE .M.M.M. Inc DEEPSTAR® QUALIFICATION PROGRAM OF SLWR TECHNOLOGY Peimin Cao. NETWORKING RECEPTION – EXHIBIT HALL Sponsored by: 3:00 P. Cameron Alternate: HIGH PRESSURE WATER INJECTION PUMP DESIGN AND OPERATION Martin Uere. SESSION 3 . Topsides Facilities GOM. Sulzer 4:30 P.M. Mooring & Riser Systems. Projects and Technical Development. Technip IMPACT LOAD ESTIMATION AT DRILLING RIG TIE-DOWN CLAMPS Ali Ok. Engineering Director. LATE LIFE DEBOTTLENECKING Wally Georgie. Vice President. Founder/Director. Vice President. Stones Business Opportunity Manager. Inc.M.M.EXMAR’S EXPERIENCE WITH OPTIMIZED FPS DEVELOPMENT PROJECTS David Lim. Consultant PANELISTS: Matt Hill. Facilities Manager. Westney Consulting Group PRESENTATION OF SPEAKER AWARDS 2:45 P. Hess Corporation COST REDUCTIONS USING INTERNATIONAL CODES AND STANDARDS Matthew Hill. – 11:45 A. PLATFORM LIFE EXTENSION Eleni Beyko.3:00 P.M. Manager of Projects. HARLEY-DAVIDSON EXHIBIT FLOOR GIVEAWAY 1:15 P.M. Kiewit Offshore Services CO-CHAIR: Scott Key. SESSION 6: PANEL DISCUSSION COST REDUCTION AND VALUE CREATION OPPORTUNITIES – MOODY BALLROOM MODERATOR: Renard Falcon. COFFEE BREAK . Project Advisor. Zentech. Westney Consulting Group 11:45 A. Technip 9:30 A. LLC CO-CHAIR: David Castle.M. 2016 7:00 A. LUNCH – FLORAL BALLROOM 1:00 P. GMC Inc. – 10:15 A.M.COM .M.M.Preliminary Conference Program THURSDAY.M. . – 8:00 A. Founder/Director. CHAIRMAN’S CLOSING REMARKS $500 AMERICAN EXPRESS GIFT CARD DRAWING WWW.M. SESSION 5: COST REDUCTION AND VALUE CREATION OPPORTUNITIES – MOODY BALLROOM CHAIR: James Deaver. Vice President. Managing Director. Statoil Maria Pena. Engineering Advisor. Offshore Products Manager. . President/CEO. Principal Facilities Engineer.M. Principal Facilities Engineer.M.2:45 P.TOPSIDESEVENT.M.EXHIBIT HALL 10:15 A.M. Oil Field Development Engineering. FEBRUARY 11. Director. . NEW TLP TENDON INTERMEDIATE CONNECTOR . Statoil Gulf Services LLC EXMAR OPTI ® FPS .M.DESIGN AND TEST Alpha Mahatvaraj. WorleyParsons CURRENT CHANGES IN RIG TIE DOWN REQUIREMENTS Ramesh Maini. – 9:30 A.1:15 P. Shell Richard Westney. Chevron CO-MODERATOR: Murray Burns. Exmar Offshore AN OVERVIEW OF THE CURRENT ECONOMY Richard Westney. CONTINENTAL BREAKFAST – FLORAL BALLROOM Sponsored by: 8:00 A. SESSION 4: OFFSHORE CONSTRUCTION – MOODY BALLROOM CHAIR: Mark Meunier. PLATFORMS & HULLS CONFERENCE & EXHIBITION 2016 PRELIMINARY EVENT GUIDE .com to follow Topsides.linkedin. Platforms & Hulls today! And use the official event hashtag! #topsidesplatformshulls TOPSIDES.offshoreoilevents. Offshore & Pipeline Events) • Discuss industry news • Engage with other professionals • Ask our editors questions @OilGasEvents • Quick reminders • Event happenings/changes • Breaking news Go to www.Social Media Use the official event hashtag! #topsidesplatformshulls /OilGasEvents • Show updates and stories • Pictures/Videos • Talk with colleagues www.com (search for Oil & Gas. 901 BLUEBEAM SOFTWARE 210 BOA MARINE SERVICES INC. 909 CAMERON 300 CANAL BARGE COMPANY INC.2016 Exhibitor List AIMS INTERNATIONAL. GAS & CHEMICALS 1119 BERARD TRANSPORTATION INC. 626 AKER SOLUTIONS 615 ALE 421 ALFRED CONHAGEN INC as of 10/12/2015 FREUDENBERG OIL & GAS TECHNOLOGIES 914 QUALITY PRODUCT FINISHING. LLC 701 ANTLER SUPPLY SERVICES 1028 GIL AUTOMATIONS 112 SEATRAX 1009 APPLETON MARINE. INC. INC.COM . 820 WILLIAMS 809 MACGREGOR 1014 WOOD GROUP MUSTANG 601 MACTECH OFFSHORE 1101 MAMMOET 409 MCDERMOTT 308 201 DEKKER VACUUM TECHNOLOGIES. INC. 917 1010 1115 RAYTEC SYSTEMS 827 ALLOY METALS AND TUBES INTERNATIONAL. GALPERTI ENGINEERING AND FLOW CONTROL USA INC. 1015 FZV AMERICAS 1110 RAMBOLL OIL & GAS US. 900 CIVEO 1007 CLA-VAL 1006 CORTEC 720 COUGAR FUEL SYSTEMS 821 DANOS 321 DEANSTEEL MANUFACTURING COMPANY 427 GLAMOX AQUA SIGNAL CORPORATION 921 GMC INC 1016 HB RENTALS 902 HELIDEX OFFSHORE LLC 209 HOLLOWAY HOUSTON 721 HOUSTON OFFSHORE ENGINEERING 221 STRESS ENGINEERING SERVICES 819 INTERGRAPH 309 TECHNIP 301 INTERNATIONAL PAINT LLC 115 TIGER OFFSHORE RENTALS 328 INTERTEK HI-CAD 1001 TRELLEBORG OFFSHORE 915 JACOBS 315 KBR 403 UNIVERSALPEGASUS INTERNATIONAL. INC. INC. INC. 515 NORTH AMERICAN GRATING 1022 ECL 320 EDG. INC. 904 EVOQUA WATER TECHNOLOGIES LLC 727 OIL STATES INDUSTRIES. LLC 217 PREFERRED ELECTRIC INC 826 WWW. 916 MECH-TOOL ENGINEERING LIMITED DK-LOK 1104 MECO 306 DYNAMIC INDUSTRIES. 815 PENNWELL 1230 PHAROS MARINE AUTOMATIC POWER 828 POLE STAR MARITIME. INC 923 ESP SAFETY INC. LLC 314 SAACKE MARINE SYSTEMS 927 AMEC FOSTER WHEELER 715 GEORG SCHÜNEMANN GMBH 1111 SAFEZONE SAFETY SYSTEMS. INC. 609 LONESTAR MARINE SHELTERS 327 VIEGA 214 LTS ENERGY 801 W&O 908 M&H ENERGY SERVICES. 202 SEAWAY HEAVY LIFTING 1211 APPLY CAPNOR US. INC. LLC BAYARDS USA LLC 1114 BECHTEL OIL. 509 SIEMENS WATER SOLUTIONS 919 APPLY EMTUNGA 426 STI MARINE FIRESTOP 200 AUDUBON ENGINEERING 415 STRAIGHTPOINT INC 628 AVEVA INC 709 215 BAKER HUGHES 802 STRATEGY ENGINEERING & CONSULTING. INC. 621 GATE. 805 NOV COMPLETION & PRODUCTION SOLUTIONS 228 ENDURO 318 OGLAEND SYSTEM US LLC 322 ENERSYS 1011 ENVIRO-TECH SYSTEMS 823 ESGARD. INC 620 KEYSTONE ENGINEERING 922 UTEC SURVEY INC.TOPSIDESEVENT. 800 LEECYN COMPANY 1008 VERSABAR INC. D.Registration Information REGISTRATION: NOW OPEN! Registering for Topsides. PLATFORMS & HULLS CONFERENCE & EXHIBITION 2016 PRELIMINARY EVENT GUIDE . SPECIAL OFFER! ATTENDTOPS SAVE $115 4 WAYS TO REGISTER TO ATTEND 1. ONLINE: 2.registration on or before 1/4/16 $775 $450 $35 $50 Registration price on or after 1/4/16 $890 $545 $35 $50 Opening Plenary Session Exhibit Hall Entrance Conference Session Access Networking Reception Tuesday Networking Reception Wednesday Continental Breakfast Wednesday Continental Breakfast Thursday Coffee Breaks Delegate Lunch Wednesday Delegate Lunch Thursday CORPORATE PLANS Interested in sending a group to Topsides.topsidesevent. required) Early Bird Registration Pricing . FAX: 3. TX 75397-3059 Full Conference Delegate Exhibitor Full Conference Delegate Direct: +1-918-831-9161 Toll-Free: +1-888-299-8057 Exhibitor Visitor Only Student Conference Delegate (student I. Platforms & Hulls 2016 Registration Department PO Box 973059 Dallas. REGISTRATION DEPARTMENT Direct: +1 918 831 9160 Toll Free: +1 888 299 8016 TOPSIDES. E-MAIL: www. Platforms & Hulls 2016? Send 5 or more delegates and receive substantial savings. MAIL: registration@pennwell. Platforms & Hulls 2016 is easy! Consult the table below to decide which registration option is right for you – the full conference option offers the best value.com WHICH REGISTRATION TYPE IS RIGHT FOR YOU? Topsides. Contact our registration department now for more details.com 4. Ziebel has named Francis Neill as CEO. R. sales hub. Eni has agreed to sell a 12. Oilgen has hired Bruce Blanche and Richard Bunt as independent consultants. JDR has expanded its facilities with PD Ports in Hartlepool. with a market capitalization of approximately $1. Robert E. Le Béon Manufacturing has opened a new branch in Singapore: Le Béon Asia Singapore. a joint venture Chik between Zahid Group and Total. Kevin Gallagher has resigned as CEO and managing director of Clough. Christian Blinkenberg has been appointed global sales and marketing director of the company’s Global Services division.325mm) diameter string weighs more than 136. The company’s presence now includes three adjoining warehouses for manufacture and storage at the port. Its services integrate cyclical optimization solutions to enable proactive well. a PennWell Petroleum Events.000 ft (9. Le Béon Asia Singapore has appointed Edmund Chik as CEO. KBR has appointed Ann Pickard to its board of direcForth tors. Company News Weatherford International plc has launched its Production Optimization Consulting group. which Verisk acquired in March. Global LNG. based in Newcastle. Eni acknowledged Saipem’s intention to achieve financial independence. hunting in South Texas. has named Robin Bjorøy its new managing director.5% stake in Saipem to Fondo Strategico Italiano (FSI). His hobbies included playing golf. Sonardyne International Ltd. In Memoriam Peter Cantu. As part of the agreement. Ingram as executive vice president.144 m). Peter worked at PennWell for eight years.169 million. Thigpen. Beach Energy Ltd. Jack and JJ Cantu. The company recently opened 28. Sandvik has opened its South American hub in Rio de Janeiro. Kongsberg Maritime has appointed David Wilson as business manager for the Offshore Production division. Wood Group Mustang has promoted Kent McAllister to president. has named Hisham Atalla as general manager. effective Jan. ACE Winches has appointed Richard Wilson as COO and Hayley Yule as marketing and communications director.000 lb (61.BUSINESS BRIEFS People The Electromagnetic Geoservices ASA board of directors has appointed Christiaan A. and Robert Armour. At the same time. install. chairman of the Oil and Gas Authority. The new 2. Olga Perez Cantu. drilling and wells manager for Wood Group Kenny in the Americas. participating in the Porsche Car Club. Harris CapRock Communications has received a contract extension for satellite and remote communications services. FHP. Frances MorrisJones. exhibit and sponsorship sales manager. (60. and supporting his nieces and nephews in their endeavors.000 sq ft (26. passed away on Oct. as well as court approval and other conditions. has received the title of Institution of Mechanical Engineers Fellow. northeast England. in the Al Rai area of Kuwait.534sq m) premises at the Neptune Energy Park in Walker. and warehouse. and drum handling systems. and King Fahd University of Petroleum and Minerals. The agreement carries an optional extension until 2026.offshore-mag. totaling more than 280.com • December 2015 Offshore 61 . Sparrows Group will distribute. The suits will be used at all Statoil’s helicopter bases in Norway. and Drillsearch Energy Ltd. Jeremy D. The space will house a new high-capacity horizontal helix lay-up machine to manufacture umbilicals. Huawei. Sparrows Group and Norwegian firm OptiLift have formed a strategic partnership to deliver robot vision laser technology that aims to improve the up-time of lifting operations. Verisk Analytics has acquired Infield Systems Ltd. traveling. the Huawei Oil and Gas Joint Innovation Center has been established at Dhahran Techno Valley. Unique Group has acquired Oceanwide Safety at Sea. The TGS Geological Products division has purchased Digital Petrodata LLC. Thomas has been appointed to the company’s board of directors Sir Patrick Brown. and his beloved dogs. The analyst firm will become part of Wood Mackenzie. Newcastle. Saudi Total. www. 26. The contract includes the transition to Harris CapRock’s Advanced VSAT network for three oil production platform sites in the Gulf of Mexico. Following a year-long collaboration between Saudi Aramco.000 metric tons f equipment. has appointed Mitchell W. 1. Texas. In combination. Exova has hired Paul Barr y as managing director for Europe and a member of its Group Executive Committee. reservoir and asset management. He succeeds John Ramsden who leaves the position after six years in charge to return to Singapore Bjorøy following a transition period. Energy Software Intelligence Analytics has acquired Richmond Energy Partners Ltd. Coretrax has opened its fifth Middle East base within four years. In addition.013 sq m). four siblings. He was 49. and maintain the Motion Reporter on behalf of OptiLift. Royal Dutch Shell plc has appointed Maarten Wetselaar as Integrated Gas director. Hansen Protection will supply Statoil several thousand survival suits for its operations offshore Norway over the next seven years. cable carousels. The transaction is subject to the approval of Drillsearch shareholders at a shareholder meeting expected to occur in late January 2016.000-sq ft (8. nine nieces and nephews. The new Sandvik Materials Technology facility consists of a control lines service center.375-in. has confirmed the appointment of three non-executive directors to the OGA board: Mar y Hardy. He was a member of Our Lady of Guadalupe Catholic Church in Rosenberg. Beauchamp has resigned from the National Oilwell Varco board of directors. Survivors include his mother. Vermeijden as CEO.700 kg) at a continuous length of more than 30. William R. has been elected to the company’s board of directors. Offshore Business Unit. Bradley Forth has joined Northern Offshore as senior vice president and CFO. develops tracked engines and tensioners. Royal IHC has acquired Fraser Hydraulic Power. Transocean’s president and CEO. have entered into a binding merger implementation agreement whereby Beach has agreed to acquire all of the shares in Drillsearch that it does not already own. the merger creates an oil and gas company on the ASX. a designer and builder of equipment for laying subsea cables and umbilicals. Eni and FSI entered into a shareholders’ agreement defining the term of engagement governing the relations between parties as shareholders of Saipem. 2016. Anadarko Petroleum Corp. Global Tubing LLC has delivered its second record-breaking coiled tubing string to the Port of Houston where it awaits transport to the Middle East. It also will provide storage for 6. 2015. Forum Subsea Rentals has promoted Nicki Nicholls to global business director. Antony Croston. UK. spending time at his property in Kendleton. challenges. applications. extended question and answer sessions. This exchange of knowledge represents experiences. and solutions associated with global deepwater subsea operations.COM Hosted by: The subsea tieback forum addresses new operational issues. GAS &petrochemequipment ™ ® . Dialog among strategic decision makers is facilitated through focused presentations. MARCH 22-24. and networking. real-world project examples. makes this an event you can’t afford to miss. GONZALEZ CONVENTION CENTER • SAN ANTONIO. coupled with an exhibit hall floor that displays more than 250 companies showcasing their products and services. and current. 2016 • HENRY B.WORLD’S LARGEST SUBSEA EVENT FOR 16 YEARS SUBSEATIEBACKFORUM. This forum. TX Owned & Produced by: Presented by: Supported by: OIL. ....com D Dril-Quip .. NOW AVAILABLE! NIGERIA/WEST AFRICA Flat 8......kbr.................arcweb.......................... maintenance......................mustangeng...........it JAPAN e. 62 www........ 17 www.com INDIA Interads Ltd..... Botafogo 501 / Sala 101 Torre Pão de Açúcar. 8...com Thermamax GmbH......com Shaw Pipeline Services... AIOS Gotanda 606.L....... 59872 Freienohl.. 78400 Chatou.colmaritalia...... 16......... Somerset.........D. Inc..PennWellBooks........dril-quip.com N National Oilwell Varco ........com FOR ASSISTANCE WITH MARKETING STRATEGY OR AD CREATION........00 US • Contains valuable information from the authors’ respected short course on subsea pipeline engineering..com W Weatherford...PennWellBooks........com ... installation....press Co. Find the answers to your subsea pipeline questions in one book! Industry veterans Andrew Palmer and Roger King............bakerhughes.... Platforms & Hulls Conference & Exhibition .. 1-10-7 Higashi-gotanda Shinagawa-Ku......... Ltd............com Subsea Tieback Forum & Exhibition........com V Vallourec... stability......... 24 ..........com The second edition of Subsea Pipeline Engineering: • Covers the entire spectrum of subjects about pipelines that are laid underwater—pre-design..............com Mary Sumner (Classified Sales) marys@pennwell.... have updated their defnitive reference book.... Suite 400.com PennWell Books. 5 weatherford... two of the world’s most respected authorities in subsea pipeline engineering. C3 www.com K KBR .............. Lagos........... Shivalik. inspection.. Port Kennedy.......... Italy PHONE +39 (02) 28 46716 • FAX +39 (02) 28 93849 Ferruccio Silvera info@silvera... Japan PHONE +81 3 6721 9890 • FAX +81 3 6721 9891 Masaki Mori masaki........com M M&D Industries of LA..... 13 www..... 3rd floor (Oluwatobi House) 71 Allen Ave.....com T T......kobelcocompressors. 38 www.......vallourec.r. Germany PHONE +49 (0) 2903 3385 70 • FAX +49 (0) 2903 3385 82 Andreas Sicking
[email protected]... construction.....com Shelley Cohen (Regional Sales Manager) shelleyc@pennwell..... United Kingdom BS26 2FE PHONE +44 1934 733871 Graham Hoyle grahamh@pennwell..... • Devotes attention to the important specialized subjects of hydraulics...........49-60 www.L .... 23 www.... 11 www...... ......... WA...... • Instructs on effective techniques for laying pipeline at great depths. New Delhi 110 017 PHONE +91 11 628 3018 • FAX +91 11 622 8928 Rajan Sharma
[email protected] The index of page numbers is provided as a service.....nov.com WASHINGTON • OREGON • CALIFORNIA Mary Sumner
[email protected]....... Ikeja........... • Offers an in-depth examination of marine pipeline construction...shawpipeline...... 14 www... The publisher does not assume any liability for error or omission......com P PennWell Offshore West Africa Conference & Exhibition ............... 25 www...com USA • CANADA Shelley Cohen shelleyc@pennwell... Australia 6172 PHONE +61 8 9593 4405 or +61(0) 437 700 093 FAX +61 8 9593 3732 Mike Twiss
[email protected]........ 1 www. 31 www.. 27 www............. Axbridge.......... 645 Pages/Hardcover/2008 ISBN 978-1-59370-133-8 $199......com B Baker Hughes . lateral buckling and decommissioning.... Rio de Janeiro 22250-040 PHONE +55 21 2586 6302 Deny Tenenblat denyt@PennWell..... Nigeria PHONE +234 802 223 2864 Dele Olaoye dele....com G GE Oil & Gas .....com ITALY • TURKEY • GREECE • CYPRUS • MALTA SILVERA MEDIAREP Viale Monza....... C2 www.......x........com Arc Advisory Group ...........com BRAZIL Centro Empresarial Mourisco P..com Variable Bore Rams................ADVERTISERS INDEX SALES OFFICES PENNWELL PETROLEUM GROUP 1455 West Loop South...akersolutions. C4 www..com Kobelco / Kobe Steel Ltd ....... A-113......... 19 DrillLab.....com Topsides..............................com UNITED KINGDOM • SCANDINAVIA • THE NETHERLANDS 10 Springfield Close.... 9 www... Houston.......com GERMANY • NORTH SWITZERLAND • AUSTRIA • EASTERN EUROPE • RUSSIA • FORMER SOVIET UNION • BALTIC • EURASIA Sicking Industrial Marketing Kurt-Schumacher-Str................com Wood Group Mustang .crowley..offshorewestafrica. TX David Davis davidd@pennwell............ Cross...... upheaval... TX 77027 PHONE +1 713 621 9720 • FAX +1 713 963 6228 David Davis (Worldwide Sales Manager)
[email protected]@q-she.............com C CO........... France PHONE +33 (0) 1 3071 1119 • FAX +33 (0) 1 3071 1119 Daniel Bernard danielb@pennwell... ....... 3 www. fracture.jp A Aker Solutions ........... strength........... Williamson ...........com FRANCE • BELGIUM • PORTUGAL • SPAIN • SOUTH SWITZERLAND • MONACO • NORTH AFRICA Prominter 8 allée des Hérons.....com SOUTHEAST ASIA • AUSTRALIA 13 Langrune Grove.... 21 www...geoilandgas. Order your copy today! www.........com National Oilwell Varco ........com Crowley Maritime Corporation..MAR S.vbri. Tokyo 141-0022.............. and repair....thermamax.. 29
[email protected] GREATER HOUSTON AREA......... 15 www.....com S Schlumberger ...... 38 www..... design... PLEASE CONTACT: PennWell Marketing Solutions Vice President: Paul Andrews PHONE +1 240 595 2352 EMAIL pandrews@pennwell.. 7 www.topsidesevent..........20127 Milano... Inc.. and the team has to figure out the best way to deliver the project in the current industry environment. though. and we did our best to retain every productive worker during the slow times by taking on different types of projects or creating new innovations. lives. we have to make space for win-win treatment of each other during the cycles. realizing that they have a proven team that can be counted on to work together on future projects. economic. We helped move the industry from lump-sum/win-lose contracting to reimbursable time and material contracts awarded based on solid project definition.000 people this time. their reputation and competitive capabilities will surely suffer. the earlier contraction caused one-half million or more workers to relocate from Texas back to the north. In downturns. For through-cycle growth. A high percentage of “Young Gun” grads have gone on to hold key leadership roles within the company. The oil and gas industry is still rebounding from the dearth of petroleum engineering graduates in the ‘90s who eschewed that discipline after recognizing its vulnerabilities. at last count. and worked on innovative ways to be more competitive. The bedrock this culture was built upon was creating win-win relationships between these potential silos and welding them into high-performance integrated teams. Repeat work creates stronger teams across all silos. “How can we strengthen our industry so that it will protect its future during volatile times?” The industry is made up of many silos including workers. the industry contraction can be devastating in disrupting careers. We also created projects by showing clients how much they could save by doing a project during a downturn when quality resources were available…essentially “out of cycle” projects. In 1987. However. Trust is imperative in building relations between client and contractor. the dynamics of operating in this climate still revolve around the same need – people and teams. Capabilities in the industry change quickly in downturns as resources disappear. A way we found to be highly successful was to create a clan. William G. engineering. 64 Offshore December 2015 • www. while at the same time passing cost savings onto the client. At the time. The impact of this cyclicality begs the question. In tough times when everyone is looking for an edge. If they cannot retain their key employees. and competitive factors today than there were back then. This same “hero-making” culture helped move the upstream industry from shallow-water fixed platforms to the spaceage technologies required for deepwater development worldwide in the short span of 12 years. we were all employed but had witnessed how owners. It was not easy even for those who remained.com. perhaps. in the midst of what would be a decade-long downturn. Nothing creates close bonds better than successful results. Email your Beyond the Horizon manuscript to David Paganie at davidp@pennwell. Today. Heroes are created in the clients’ eyes. construction and service companies were shrinking severely. They were dismissing experienced. suppliers and contractors.com . Offshore Magazine invites you to share your thoughts. Companies in our industry can take action to stay strong. close relationships are formed. During the past year. more global influences. in the typical engineer-procure-construct schedule. and environmental issues that shape the future of the petroleum industry. transparency. While it is true that there are. cultural. Inc.offshore-mag. each silo becomes focused on its own survival and tends to look at every situation as “win-lose” because there is not enough space left for “winwin” relationships. it is even more critical to have worked with the client on the same side of the table in a reimbursable fashion. the company. They can tout their quality and innovation. Each Mustanger was treated fairly and their family members were included in our many teambuilding activities and events. This culture had four key components. We initiated a “Young Guns” program in the mid-nineties which gave recent graduate engineers immediate chances to contribute on a project under the tutelage of a seasoned veteran. Building a talent base. clients. One key step here was to eliminate the waste that inevitably builds up through the hundreds of handoffs. during a global upheaval. Higgs Author. dedicated. extreme technological breakthroughs. Like Sarah Connor in the Terminator movie. by busting these natural silos and working together.BEYOND THE HORIZON Market downturn presents opportunity to break down silos The cyclic nature of the upstream oil and gas industry is nothing new. as they were constantly assessing their position and facing the uncertainty of continuing project work. Creating a win-win environment. teambuilding. Making heroes. We went out of our way to quantify value on every project and avoid surprises. Whereas. and families. the industry has been suffering from a global market downturn which bears strong similarities to the situation that existed in the ‘80s. management. Taking care of people. We created a “silo-busting” culture based on communication. technological. and talented employees who had been instrumental in building their company’s reputation and success. When the supply/demand balance is favorable and drilling and production activity is robust. and has to be the goal. Mustang: The Story Founder. We did not lose people in the good times. By setting up positive experiences with vendors and other project partners. it is a great business to be in. Mustang Engineering. This proved to be highly successful in increasing productivity while grooming future leaders. We pulled together as a tighter team to chase work with more people. there are many opportunities to fill the void between knowledgeable experts and novice engineers. They continue to drive the culture. This page reflects viewpoints on the political. A downturn means there is a lot of change and change means there is opportunity to use silo-busting skills to improve relationships and create a culture for better work execution. the industry has decreased its workforce by almost 200. and weather the storm. There was little trust among management and employees as profit margins trumped loyalty. Our philosophy was based on demonstrating project performance that was efficient and innovative. we have to believe there is ‘No Fate’ that a company has to be vulnerable to the vicissitudes of the market. this author joined with two like-minded colleagues to form Mustang Engineering (now Wood Group Mustang). and trust built on performance. Companies can employ all the slogans they want. Realize Peace Of Mind When you choose a DRIL-QUIP Wellhead System Setting the standards for safe. reliable and fully validated subsea wellhead systems enables DRIL-QUIP to deliver peace of mind. The knowledge obtained through this process enabled us to develop the next generation 35-inch mandrel wellhead system. We are committed to providing the most dependable subsea wellheads in the industry. We have taken the process one step further − our design integrity check includes physical system validation testing in accordance with API Technical Report 1PER15K-1 recommendations. setting industry standards DRIL-QUIP. with a new and highly engineered wellhead profile. Inc. DRIL-QUIP’S BigBore™ II-H subsea wellhead casing hanger and seal arrangement is now qualified to API 6A Appendix F Group 4 dynamic test requirements. Our Quality Management System utilizes Advanced Product Quality Planning (APQP) methodology to ensure design and process tasks produce reliable. The company utilizes technologically advanced design practices consistent with industry standards for design verification and system level analysis. provides sufficient structural capacity and fatigue resistance to meet industry needs for future decades of drilling and production. quality wellhead components each and every time. This wellhead system. suitable for HPHT applications. For more information please contact your local DRIL-QUIP representative. Validation testing of a subsea wellhead system in DRIL-QUIP’S horizontal test machine . Our subsea wellhead systems are compliant to the latest editions of API 17D and API 6A (PR2). integrated services and unmatched expertise for your offshore projects. Granherne. helping you commercialize discoveries and capitalize on your valuable energy assets. R. GVA. integrated solutions help our clients minimize risk and succeed. bottom up. From topsides to subsea installations. SINCE 1947 Meeting Today’s Market Challenges Top down. near shore. reliable.IT’S WHAT WE DO. through our subsidiaries. greenfield or brownfield. www. All Riight ght ggh hhtts RReesse serv eerv r eedd rv OFFSHORE KBR is proud to have worked on Jack St. . KBR is there. a Top 5 Offshore Project of the Year.kbr. KBR provides high-value. Energo and strategic alliances with other industry leaders.com K150 KK1 1150 55002233 © 220 201 00115 KKBBR. offshore or in deep water fields Our comprehensive. No matter where in the world your opportunities may take you. Malo.