Petroleum Review December 2021 Open access articles

The magazine for oil and gas professionals in the energy transition

December 2021 – open access articles The following articles are taken from Petroleum Review magazine’s December 2021 edition for promotional purposes.

For full access to the magazine, become a member of the Energy Institute by visiting www.energyinst.org/join

Technology

ARTIFICIAL INTELLIGENCE

AI and the energy transition A rtificial intelligence (AI) is playing a significant role in the energy transition.

As digitalisation facilitates development of new energy systems, AI is being deployed to optimise energy efficiency and decarbonisation across supply and value chains.

Sensor-based technology via the Internet of Things (IoT) generates vast data sets that can be processed in real-time on the cloud, using AI to observe, interrogate and analyse operational performance.

Furthermore, augmented and virtual reality (VR) offers visualisation of these data sets to create digital twins of physical assets.

Shell has been aggregating processed data sets into cloudbased data stores for decades to optimise processes, while AI has gained momentum more recently.

There have been three milestones in terms of data processing in the energy sector, explains Dan Jeavons, General Manager for Data Science. ‘First, Shell led the industry in scenario planning from the 1970s, with detailed statistical analysis. 2013 was a turning point, when Shell introduced advanced predictive analytics – recognising the importance of embedding artificial intelligence, which could be deployed in the field to support business operations.’

In 2017, Shell announced an overall digital strategy, led by Shell’s executive committee, that resulted in the establishment of a Digital Centre of Excellence which included AI. ‘This marked a big difference in terms of handling the volume of data available and the ability to embed models in the software,’ Jeavons remarks.

So, what is AI and machine learning?

Jeavons suggests that, in the broadest sense, AI is the ability of the computer to simulate human cognitive functions and activity. The key technology in this respect, whether natural language processing, robotic process automation or drones, rely heavily on machine learning.

Other technologies are used in conjunction, like edge processing, IoT and advanced visualisation.

AI is often a collection of different 18 Petroleum Review | December 2021

Artificial intelligence is spurring innovation and optimisation throughout Shell’s upstream, midstream and downstream operations, writes Brian Davis. technologies, but machine learning is at the core.

Engineers assessing rock properties such as porosity and permeability using AI and virtual reality Photo: Shell

AI in practice The energy business is a very physical business, running plants, offshore platforms, pipelines or refineries, through to fuel retail service stations. ‘Everything carries elements of risk that are observed using traditional methods of computation and rely on observation by humans, which can be error-prone,’ says Jeavons.

Indeed, inspection of a large facility from end-to-end can take years. Whereas AI can accelerate the process.

Jeavons does not claim that a machine can do it better than a human. But he notes that utilising a multitude of machines, drones and robots equipped with cameras provides far more pictures of an installation and basic filtering, ‘so the human inspector can focus on higher value add in terms of risk analysis’.

Shell has developed a machine vision system so drone photos can be passed through a neural

network to detect anomalies, automatically flagging up areas of corrosion, using deep learning capability for further investigation by inspectors and reliability teams.

For this reason, Jeavons prefers to talk about ‘augmented intelligence’ rather than artificial intelligence. ‘People often think of AI as a replacement for human cognitive function, but I don’t see it that way. AI is very good at scaledup, advanced data processing – applying human-like screening capabilities to narrow down the search space in support of human decision-making.’ Basically, he sees augmented intelligence supporting human intelligence to make better decisions.

For example, 3D seismic processing is critical for subsurface exploration and involves vast amounts of data. Machine learning is being used to ‘de-noise’ seismic data, using deep learning and feature recognition to speed up seismic processing by 25%.

Predictive maintenance Over the last few years, Shell has been working with C3.AI to scale AI-based predictive maintenance solutions to reduce costs and improve the productivity, reliability and performance of assets. Shell is monitoring over 8,700 pieces of equipment using machine learning across upstream and downstream operations, as

Technology

well as integrated gas assets.

In February 2021, Shell launched the Open AI Energy (OAI) initiative with C3.AI, Baker Hughes and Microsoft, creating an ‘open ecosystem’ of AI-based solutions for the energy and process industries, as interoperable solutions for monitoring, diagnostics, prescriptive actions and services.

The first set of OAI solutions are designed to improve reliability and performance of Shell’s energy assets and processes, using an AI-based extension of the Baker Hughes’ BHC3 Reliability application and Microsoft Azure for process and maintenance engineers. Shell is offering modules through the OAI of predictive maintenance for control valves, rotating equipment and subsea electrical submersible pumps.

‘As a founding member of the OAI, we are developing a curated ecosystem of integrated solutions, like an Apple app-store for the process industry,’ quips Jeavons.

Shell has been aggregating a vast data lake over recent years, which features about 1.9tn rows of curated time-series data, using machine learning models for asset performance optimisation. AI is also integrated with Shell’s remote operation centres, saving millions of dollars identifying issues with control valves and compressors.

‘We are using the data lake to identify failure conditions and optimise asset performance.

Ensuring that operations are safe and searching for new set points in control systems, to balance sufficient volume with reduced CO2 emissions,’ says Jeavons.

Shell has been working with Nigeria LNG, using AI for 1–2% volume increase from their LNG trains and a net reduction of CO2 emissions, equivalent to taking 28,000 cars off the road. Shell is also deploying some of its data sets for corrosion prediction across global operations, using computational fluid dynamics and machine learning.

Midstream and downstream In 2018, Shell Lubricants introduced Shell LubeChat, the first AI-powered chatbot tool for B2B (business-to-business) lubricants customers. The chatbot is an online robot designed to give users realtime access to product support, technical services and lubricants data in the US, UK, China, India and other markets. Since then, Shell has built a raft of customer lubricant analysis, leveraging a large data set integrated with IoT devices deployed directly with customers

to give real-time predictions of lubricant performance, using a software product called Remote Sense.

In its retail business, the Shell Go+ rewards programme also has underlying AI capabilities, using the Offer Decision Engine which processes a massive number of customer transactions daily, with offers and recommendations, with their permission. The Shell Go+ service is now being rolled out globally and is currently live in six markets.

AI-based predictive maintenance is being utilised in refinery and petrochemical operations for plant optimisation and inspection. AI is also being used to design new chemical plants, for example, to determine how to electrify some of the units.

Dow, The Netherlands Organisation for Applied Scientific Research (TNO), the Institute for Sustainable Process Technology (ISPT) and Shell have teamed up to electrify ethylene crackers, which aim to replace fossil fuel combustion in steam crackers, as the energy grid increasingly becomes renewable-powered.

Collaboration between these parties to design an e-cracker uses machine learning to accelerate research. If you can electrify one steam cracker, this would be the equivalent of removing 350,000 cars from the road.

‘We are committed to bringing multiple players together to move forward in the AI space, because no one company can solve the world’s AI problems,’ remarks Jeavons.

Furthermore, speed is paramount.

‘The energy transition and digital transformation are forcing us to move more quickly. Alliances are critical to accelerating our progress and enabling AI deployment at scale.’

the digital twin is vital because it creates a 3D context for the asset which brings together project initiation documentation and work-order information around the site, with qualitative data – on volume, temperature, pressure etc – in an integrated platform.’

‘Shell is now rolling out the digital twin concept across upstream, downstream and integrated gas operations globally, as well as in the rapidly growing renewables business. In parallel, Shell is developing its AI capability around reliability, inspection and asset integrity, and optimisation.

Thirdly, with Kongsberg and C3.AI, Shell is developing interoperable capability, so it can take the physical context of the asset as a baseline and feedback the results of machine learning into the digital twin.’

Digital twin maintenance planning at Nyhamna Photo: Shell/Kongsberg Digital

Further initiatives AI is also a key component in the development of new ambitious developments like Northern Lights in the Norwegian sector of the North Sea, where Shell is partnering with Equinor and Total to develop a new carbon capture, transport and storage (CCTS) supply chain. Development is underpinned by work with Microsoft creating an underlying digital platform. Similarly, AI is being used to strengthen the monitoring of carbon capture and storage (CCS) at the Quest operation in Edmonton, Alberta, Canada.

‘The overall delivery speed, design optimisation and cost profile of new projects is being facilitated using advanced computation and AI,’ says Jeavons.

AI is also being used by Green Lots, a US-based electric charging venture owned by Shell New Energies, to optimise charging profiles throughout the day when configuring banks of charging Digital twin development posts. ‘This is a good example of Shell and Kongsberg Digital how to use AI in the mobility space have joined forces to create the to maximise use of renewables Nyhamna Dynamic Digital Twin, while minimising infrastructure to optimise how Shell designs, expenses’, explains Jeavons. Shell constructs and operates its aims to have a network of 500,000 assets. The contextualised 2D and electric chargers by 2025, one 3D-interface platform (like Google of the short-term targets of its Earth) enables frontline operators, Powering Progress strategy. engineers, data scientists and AI also played a role at a recent remote vendors to use fully integrated data and work processes hackathon run by Microsoft, where the winning Shell data science to drive efficiency, optimise team demonstrated the use of production and reduce emissions.

Tropomi satellite data to track Digital twins require three capabilities, explains Jeavons. ‘First, methane concentrations. ‘This is a is having the data in an accessible, promising line of research,’ notes Jeavons. scaled-up environment. The Indeed, AI shows significant foundational capability must be in place to provide curated, streamed promise throughout the value chain. ● data to other capabilities. Today, Petroleum Review | December 2021 19

Climate change

COP26

Stepping up to the ingenuity challenge

Much has already been written about last month’s COP26 – see our news story on page 5 for one example. Here, freelance writer Nick Cottam concludes that the imagination and expertise of the energy industry will be vital to achieving the changes needed to meet the climate challenge.

A

The opening plenary session of COP26 in Glasgow

s the dust settles on COP26 you could say that, amid all the haggling, the false starts, the political posturing and finally that watered down deal, it’s a good time to be in energy.

For those starting out on their careers – engineers certainly, but even geologists – you are part of an industry in transition, working as it is to develop an array of new power sources for deployment at scale. How’s that for a challenge?

The Glasgow Climate Pact which eventually emerged at the 11th hour from that frenetic summit was a disappointment for many. But let’s be optimistic for a moment. Behind the hard-nosed politics there are more signs of incremental change which call on the capacity for human ingenuity and an acceptance that, in this area at least, we could stand or fall together.

14 Petroleum Review | December 2021

All options are on the table The ingenuity bit comes in all shapes and sizes, from harnessing the power of the tide, to smallerscale nuclear; from solid-state batteries, to hydrogen buses. Most politicians at COP26 and their delegations understood that all viable zero carbon and low-carbon options have to be on the table if anything close to 1.5°C is to survive – and if a still joined-up global economy is to have any chance of living up to the latest set of nonlegally-binding pledges.

While COP26 President Alok Sharma hailed the Glasgow Climate Pact as a ‘historic achievement’, his tears at the end of the conference indicated a sleep-deprived frustration at all the political shenanigans to water down the deal, not least those of India and China over coal. The two countries, he said, would have to ‘explain themselves to developing countries’ who would be most affected by the climate crisis.

For its part, China boasted about producing more coal than ever on a single day of the conference, the message being that whatever it does on the road to net zero will be at its own pace.

While China and India also came together – along with Russia, another big emitter – in refusing to sign the pledge to cut methane by

30% by 2030, there was some cause for hope that China will put its foot on the gas, so to speak, when it is good and ready. Who knows what will come out of China’s pact with the US to boost climate cooperation over the next decade, but you can bet your international dollar that if there are trading advantages to be had, then China’s decarbonisation plans will move up a few gears.

For the moment, China is pledged to net zero by 2060, with no more coal investment overseas and reducing domestic reliance on coal by 2026. China, like other countries can be cagey about decarbonisation plans because it wants to secure competitive advantage – when the time is right.

Cutting methane The pledge to cut methane by 30% was undoubtedly a big early headline at COP26, a commitment which, according to Fatih Birol, Executive Director of the International Energy Agency (IEA), would have a similar impact on global warming as switching all the world’s cars, trucks, ships and planes – the entire global transport sector – over to net zero emissions technologies.

An IEA report, released in October, showed that rapid steps to tackle methane emissions from oil, gas and coal operations would have immediate impacts because of the potent effect of methane on global warming and the large scope for cost-effective actions. The report set out practical measures that could achieve a 75% cut in methane emissions from global fossil fuel operations by 2030.

The IEA was praised at the conference for its work on methane over the last decade or so, not least its regulatory roadmap and toolkit for reducing methane leaks in the oil and gas sector. A shame then that the big three methane emitters didn’t sign this aspect of the deal.

Keeping 1.5°C alive The COP devil, as ever, is in the detail and while countries must republish climate action plans by the end of next year, there is growing concern that the 1.5°C temperature rise target is in jeopardy. As Sharma commented with as much optimism as he could muster: ‘We can say with credibility that we have kept 1.5 degrees alive. But its pulse is weak.’

The latest pledges at the conference, the scientists tell us, can get us down from 52.4 to 41.9 Gt of

Climate change

annual greenhouse gas emissions by 2030; but actually we need to be at 26.6 Gt. This of course is about keeping 1.5°C of warming within reach. But if we look at this another way there is some cause for optimism.

Before the Paris COP meeting in 2015 the world was on track for 6°C of warming. After Paris that came down to 4°C. The pledges submitted in the run up to Glasgow took that down to 2.7°C and over the fortnight of more summit pledges this fell again to 2.4°C. Some 90% of the world is now covered by net zero targets, representing 80% of global emissions.

While 2.4°C is still some way above 1.5°C it still represents significant progress. If all the net zero pledges made this year are enacted, we will be on track for 1.8°C. That probably means not ‘phasing down’ much of the world’s coal production as in the agreement, but agreeing to phasing it out – and with a timescale, certainly among the big emitters. It means cutting back more aggressively on gas and it means making great strides in areas like battery storage and green hydrogen.

In other words there needs to be ingenuity with a full frontal attack on the status quo in rich countries, and lots of help with both mitigation and adaptation for some of the poorest (and most vulnerable) nations.

‘We can say with credibility that we have kept 1.5 degrees alive; but its pulse is weak.’

Alok Sharma, COP26 President

Give us the money!

This brings us to the thorny issue of finance, which again on the surface looks to show progress but still leaves poor and vulnerable countries claiming that they are being misled and short-changed.

The picture of Tuvalu’s Foreign Minister Simon Kofe speaking from a lectern while knee deep in sea water was a good stunt, and it resonates against a backdrop of rising sea levels and drowning land mass.

While the conference closed with a deal to increase the money available to help poor countries adapt – from $100bn originally pledged to $500bn by 2025 – there is still no cast iron guarantee that the full amount will be forthcoming and as yet there is no ‘loss and damage fund’

to compensate nations who have suffered loss as a result of climate change. It looks as if the insurance industry will have to have a hand in this one and it will want underwriting big time.

Former Bank of England Governor and UN Special Envoy Mark Carney was very much in evidence on Finance Day of the conference. He declared the $130tn pledge by 450 financial organisations as a watershed moment. Up until now, he said, there had not been enough money in the world to fund transition but this would plug the gap in backing clean technology and directing finance away from fossil fuels.

This may be part spin and part wishful thinking in the short term but, if Carney can galvanise finance colleagues into action, he will be doing more than most.

Energy innovation Energy sector innovators and specialists might well see this as the moment to get excited. Smallscale nuclear, solid-state batteries, next generation wind turbines and green hydrogen will all help to concentrate clever, creative minds in pursuit of a raft of new zero carbon developments around the world – including those from China and from India, where stateof-the-art and now much more solidly financed solar is waiting in the wings behind coal.

Closer to home are the pioneering renewable energy projects going on in places such as the Orkney Islands, highlighted in a climate change TV documentary during the conference. Wind energy around this breezy, most northerly outpost of the UK, we were reminded, was producing enough green energy to power the world’s first hybrid hydrogen ferry.

This writer remembers taking the world’s shortest commercial flight a few years back from the tiny island of Papa Westray off Orkney to neighbouring Westray (under two minutes in duration) and we learnt in the film that the first hydrogen aircraft will be operating around Orkney as soon as it gets approval. On that basis, it is reasonable to wonder when we might expect the first long-haul commercial flight powered by hydrogen and how much renewable energy would be

needed to generate enough green hydrogen for the journey?

Small-scale energy innovation examples such as those from Orkney help put some of the COP26 challenges in perspective.

Renewable electricity can give you green hydrogen but how do you generate enough additional power to make a difference beyond the showcase projects? Similarly with wave and tidal energy. How do you scale up, how quickly, what cost and what are the likely rewards for early pace setters?

Hard choices towards transition At best the COP26 deal should accelerate and incentivise transition, providing the right incentives are put in place and nation states back words with actions. With potential energy innovation covering everything from electric vehicles to hydrogen boilers, governments know they have to bite the bullet in persuading people to change lifestyles – certainly in rich countries.

Those net zero transport options alluded to by the IEA’s Fatih Birol require people to change lifestyles and governments to support their efforts to do so. Travel less, turn the heating down and eat less meat were among the activist messages that resonated around COP26, and it was perhaps no surprise that temperatures around the Glasgow conference venue were cooled significantly during what were often fraught final negotiations.

Like the proverbial church wedding, COP26 – yes, the 26th meeting of this kind – produced a public commitment, albeit not out-and-out love and affection, among the parties. We have to believe the world will transition and decarbonise to survive and ingenuity, certainly in the energy sector, will play an important part in this process. l Photos: UNclimatechange

Energy Institute in Glasgow The EI put the diverse workforce of the future centre-stage at COP26, promoting the POWERful Women initiative in the UK Presidency Pavilion in the Blue Zone with a discussion aimed

at inspiring similar collaboration on gender diversity on the international stage. It also screened its new documentary, ‘The challenge of our time’, alongside the event. See p12 for more.

Petroleum Review | December 2021 15

Technology

CYBER SECURITY

Tackling the cyber attack pandemic

Cyber attacks are a growing risk in the oil and gas sector with the move towards digitalisation in the energy transition. Fortunately, new solutions are being developed to address the IT and OT threats. Brian Davis reports.

D

Aker BP onshore operations centre Photo: Aker BP

igitalisation of the energy sector is a two-edged sword – optimising the business and global operations while also facing a growing threat of cyber attack in a highly connected network of physical and digital assets.

The Internet of Things (IoT) opens new opportunities as digitally connected physical assets with operational technology (OT) and advanced information technology (IT) improve efficiency, enhance safety and optimise operations with innovative apps, big data analytics, sensors and artificial intelligence (AI). However, industrial IoT can have significant vulnerability in terms of cyber security, and critical infrastructure can be hijacked or destroyed by criminal enterprises.

A highly publicised attack earlier this year demonstrates the scale and cost of failure to monitor, detect or act on potential cyber threats.

In April 2021, hackers took down the Colonial Pipeline, the largest

16 Petroleum Review | December 2021

pipeline in the US, as a result of a compromised password. Hackers gained entry through a virtual private network (VPN) using a password that was leaked on the Dark Web. A week later, an operator in Colonial’s control room received a ransom note demanding a large sum of cryptocurrency in exchange for a new password. The company, which transports 2.5mn b/d of fuel, immediately shut-down operations and reputedly paid $4.4mn to a Russia-linked cyber-crime group known as DarkSide.

In December 2017, a Saudi Arabian petrochemical plant reported a malware attack, since known as Triton or HatMan, that went far beyond other industrial attacks (like Stuxnet) by directly interacting with an automated safety instrumented system (SIS).

Worryingly, these are considered to be the last line of safety defence for industrial facilities, designed to prevent equipment failure and catastrophic incidents such as fire or explosions.

Industrial cyber security company Nozomi Networks set out to learn how the Triconex controller from Schneider Electric, used at the facility, could become the target of attack by a malicious code. By reverse engineering the TriStation software on the engineering workstation that communicates with the SIS controller, Nozomi

Networks was able to develop two tools to allow an engineer to view communications with the controller and detect Triton malware activity in network communications.

Nozomi Networks also offers an AI-based solution that runs on the cloud to identify OT vulnerabilities that have to be fixed upstream and downstream, to mitigate risk without blocking day-to-day production.

A growing threat According to a recent SANS Institute OT/ICS cyber security report (August 2021), industrial control system (ICS) cyber security threats are growing in severity.

About 48% of organisations surveyed don’t know whether they have been compromised. ‘It’s deeply concerning that nearly half of this year’s survey don’t know whether they have been attacked when visibility and detection solutions are readily available,’ remarks Nozomi Networks Cofounder and CEO Andrea Carcano.

About 70% of the ICS survey respondents rated the risk to the OT environment as ‘high or severe’. Ransomware topped the list of threat vectors (54%), while unprotected devices were cited as a risk by a third of respondents.

Of the 15% of respondents that had experienced a breach in the last 12 months, 18% said the engineering workstation was an initial infection vector. Generally, external connections were seen as the main point of access for cyber attacks (49%) with remote access services seen as vulnerable by 36%.

‘Connectivity to external systems is a root cause of incidents, and an indication that many organisations fail to follow network segmentations best practices,’ says Mark Bristow, the report’s author. On the plus side, the SANS report notes an ‘overall increase’ in budget allocation for ICS cyber security.

OT cyber security practitioners are advised to keep threats and perceived risks at front of mind in the face of a growing risk environment. However, incidents often go unreported because of corporate sensitivity. And despite the threat, monitoring and detection ranked ‘relatively low’ among survey respondents, with only 12.5% confident that they had not experienced a compromise in the last year.

‘You can’t protect what you don’t see,’ notes Carcano.

Technology

‘Historically, cyber security was not considered important in the original industrial control system design but has become necessary as systems have evolved.’

Andrea Carcano, Co-founder and CEO, Nozomi Networks

‘The future is here already – with IoT, edge computers and sensors talking on 5G – but I’m not sure if the industry is ready for all those components from a security perspective.’

Sigmund Kristiansen, Chief Information Security Officer, Aker BP

It is vital to have visibility of critical control components, like pumps, compressors and centrifuges. Historically, metering components such as programmable logic controllers (PLCs) are analogue on one side, connected to a pump or temperature gauge, for example, but digitally connected on the other side. ‘Historically, cyber security was not considered important in the original industrial control system design but has become necessary as systems have evolved,’ Carcano says.

Basically, you need to have a clear picture of all the components – which is easier said than done in global energy operations. Several years ago, most energy companies struggled with this component visibility issue. ‘You need a different type of digitalisation for plant cyber protection,’ he suggests. Nozomi Network’s solutions are designed to interact with any device, supporting over 150 protocols and providing full visibility of different components as they communicate with each other.

‘You have to understand clearly where you are vulnerable’, says Carcano. ‘The main challenge is to have visibility of a plant designed 10–20 years ago, operating 24/7.

The next step is remediation, which means finding a window of opportunity, which is sometimes months away. Furthermore, cyber security must avoid disruption of day-to-day operations. The loss of an occasional email is manageable in IT systems, but you need to think differently at the plant level.’

A robust approach Industrial cyber security is the oil and gas industry’s Achilles heel.

Attacks on the oil and gas sector have increased exponentially.

Given the move towards digitalisation, the big challenge is to bring old systems online, as they are rarely maintained or patched sufficiently and lack visibility.

The gap between defenders and hackers is increasing.

Strong cyber security requires a collaborative approach. In the oil and gas sector, supply chains are interconnected and interdependent, so cyber security should be addressed end-to-end.

Indeed, the same tools that help oil and gas infrastructure run efficiently and support remote operation are potential points of exposure for cyber attacks. Where past attacks focused on IT, attacks on OT are now more common.

Building robust cyber security can be a challenge. The World Economic Forum (WEF) white

paper on Cyber resilience in the oil and gas industry, offers a playbook for boards and corporate officers, as a blueprint for companies to secure critical infrastructure and address cyber risk. The WEF working group offers six principles to help boards at oil and gas companies strengthen cyber resilience:

Older OT systems tend to be static. Updates are rare, costly and time consuming, as the whole environment around a component needs to be tested for risk. Whereas IT and cloud solutions are updated regularly.

The cyber security manager should look at total risk, as networks have different access • Cyber security governance – rights for different users should have broad participation according to the environment. in an organisation, ‘I’m concerned about total risk,’ aligning efforts with clear remarks Kristiansen. ‘There is accountability. also an operational risk. If you • Resilience by design – with cyber start changing a system, the behaviour changes. The ultimate security as a design parameter goal is to have a stable, safe and of corporate culture. reliable platform, vessel or subsea • Corporate responsibility – installation.’ recognising that complex, Aker BP uses the industry frequent attacks mean standards for networks and organisations should access regimes, in accordance examine cyber risks and take with Norwegian oil and gas responsibility for managing recommendations based on them.

ISO27000 series and IEC62443 for offshore operations, and NIST (US • Holistic risk management National Institute of Standards approach – as cyber risks and Technology) standards for require a mandate, resources onshore operations, as a baseline. and accountability to mitigate The organisation has a detailed risks in all parts of the value chain, so one weak link doesn’t security programme covering daily routines, periodic maintenance bring production to a halt. and a risk-based approach.

• Ecosystem-wide collaboration – Governance documents have as weak links may lie outside been developed, covering the an organisation, best practices management and security of must improve cyber security different technologies. ‘Some are across the whole sector. prescriptive (ie like the number of characters in a password) and • Ecosystem-wide cyber resilience plans – to help mitigate damage some are generic (eg where a firewall is required),’ Kristiansen from attacks that succeed. says.

However, he is cautious about cloud operations. ‘As a minimum A risk-based approach there should be some industrial Aker BP operates five assets standards. The future is here on the Norwegian Continental already – with IoT, edge computers Shelf, including Valhall, Alvheim, and sensors talking on 5G – but Ivar Aasen, Skarv and Ula, and I’m not sure if the industry is is partner in a number of other ready for all those components licences. Sigmund Kristiansen, from a security perspective.

Chief Information Security Officer Also, as offshore operations are (CISO) at the company, heads the cyber security and risk department, increasingly controlled from onshore, cloud solutions will with responsibility for the operation and governance of cyber require a different security model.’

He agrees with the WEF security in Aker BP. He recognises there are different recommendations. ‘You need to have ownership of the cyber risk at challenges securing IT and OT. ‘However, they are becoming more board level, with a clear mandate to the CISO role, and a requirement connected as IT and OT merge,’ that cyber security is integrated he notes. The other security with the core business processes – dimension is brownfield versus reporting back metrics of the cyber greenfield. ‘Brownfield operations risk.’ have a lot of “technological debt” that raises security risk, because Kristiansen recommends: old tech doesn’t support modern ‘Cyber security should be treated security methods but relies on as a business process rather old, vulnerable protocols that can than a technology process, be exploited by hackers or threat since safeguarding a company’s actors – as seen by the damage people and valuables is the No.1 caused to the Ukrainian energy priority.’ ● system and the Colonial Pipeline malware attacks.’

Petroleum Review | December 2021 17

International Energy Week

Q&A

Towards a just transition The world is on a road to net zero, with countries travelling at different paces. However, a ‘just transition’ is a key priority, according to Franco Magnani, Global Gas & LNG, Head of Equity Valorization, Eni, and member of the International Energy Week 2022 Programme Board.* What do you consider is the most important issue for International Energy Week 2022 to address?

From the standpoint of an energy company, the most important topic now is how to cope with the need for a ‘just transition’. The price of energy is high at a moment when the debate on decarbonisation is very prominent. To achieve decarbonisation, key decisions will have to be made soon.

How do you define Eni’s quest for a ‘just transition’ on the road to net zero by 2050?

The way towards transition is made more challenging by a continuously evolving scenario.

On one hand, population growth in non-OECD countries implies a significant increase in energy demand. On the other hand, it is necessary to reduce emissions of greenhouse gases (GHGs) to stop climate change. So, different parts of the world of energy end up having very different objectives.

OECD countries should promote efficiency and limit GHG impact caused by demand, while nonOECD countries should promote access to energy based on a sustainable energy mix, allowing them to exploit local resources.

However, we should bear in mind that for many countries the decarbonisation effort will consist, for many years to come, in curbing the growing trajectory of emissions, rather than pursuing a reduction in absolute terms.

The challenge remains global inevitably.

Eni is aware of the climate emergency and wants to be an active part of a virtuous path towards carbon neutrality by 2050. The company has adopted a business model that measures emissions along the life cycle of the energy it markets and 20 Petroleum Review | December 2021

Franco Magnani, Global Gas & LNG, Head of Equity Valorization, Eni, and member of the International Energy Week 2022 Programme Board Photo: Eni

is fully committed to being net zero by 2050. Eni will also conform its transition to broader objectives, such as equal dignity, diversity, and pursuing long-term partnerships with the countries and communities that host us, to create shared and lasting value.

What measures is Eni taking to reduce methane emissions and decarbonise?

Eni will continue to offer decarbonised products developed using proprietary technologies, with a financially robust business model. In 2014 we set ourselves a target to reduce methane fugitive emissions by 80% by 2025. We achieved that target in 2019 and are continuing to work on it. By 2030 we will expand our zero/ low-carbon business – our biorefineries will double by 2024 and will continue to grow; renewables will be at 15 GW and our retail customer base will reach 15mn; production of biomethane, wasteto-fuel products, blue and green hydrogen will grow as well.

A more and more decarbonised upstream will reach plateau in 2025, followed by a downward trend towards 2050, mainly in the oil component. In the following decades we will continue our diversification and expansion in the low-carbon businesses, while upstream will follow demand evolution, shifting toward gas.

Why is gas important and what are Eni’s blue and green hydrogen development plans?

We believe that gas is a necessary source in the transformation of the energy sector, allowing transition to be inclusive from a social and an economic point of view. It can be used as a lower-emitting tool to bridge our pathway to a net zero world, as a substitute for coal. But

gas is not only that. Thanks to its flexibility, gas can facilitate the introduction of larger shares of intermittent renewable energies, further accelerating the transition process.

We see hydrogen, both renewable and low-carbon, as a viable option to decarbonise current consumption in refining and chemicals, and to reduce emissions from hard-to-abate sectors, replacing fossil sources.

Eni’s strategy currently comprises all low-carbon and renewable hydrogen production pathways – natural gas reforming with carbon capture and storage (CCS), production from renewable electricity, and technologies for production of fuel from waste.

On low-carbon hydrogen, our Italian project aims to realise a CCS hub that will capture and store the CO2 emissions of existing refineries, power plants and other hard-to-abate industries, with additional potential to produce large volumes of low-carbon hydrogen. Eni is also evaluating the feasibility of green hydrogen projects in its refining and biorefining sites.

We are active in leading-edge projects to promote the use of hydrogen. In the UK, we are part of the HyNet project, which includes hydrogen production and distribution to industry for fuel switching, developing a regional hydrogen market within a dedicated supply network. It will also incorporate direct capture of emissions from hard-to-abate industries that cannot switch fuel.

Our submission within the HyNet Consortium Cluster has been selected as one of the two priority projects (Track 1) out of five competing in the ‘cluster sequencing bid’ launched by BEIS (the Department of Business, Energy and Industrial Strategy) in the UK. This will allow Eni UK and Hynet to proceed as one of the first UK industrial clusters to apply CCS and materially reduce UK carbon emissions.

We are also installing hydrogen fuel stations along Italy’s main road connections to Europe, and are evaluating feasibility of hydrogen projects in Egypt, Algeria and Kazakhstan.

Why is circularity important for new business developments?

For Eni, evolution towards a circular economy is one of the main answers to the climate challenge. Reducing and reusing waste reduces utilisation of natural resources and allows use of renewable and sustainable

International Energy Week

feedstock. Eni has invested in proprietary technologies and approaches that have been applied to multiple parts of our business. Our ultimate goal is to supply completely decarbonised products, so that all our customers will not have the problem of CO2 production.

As an example, Versalis, our chemical company, is pioneering a wide range of recycling processes.

It has developed the Versalis Revive product line, containing recycled plastic, and the Balance range of circular polymers, produced with bio-naphtha or feedstock from chemical recycling of plastic waste. It is developing a pilot plant to test chemical recycling of non-separable plastic, which will produce a monomer that can be used as feedstock for conventional polymer production.

Versalis will also produce bioethanol from biomass and biogas and develop fermentation technology to produce polyesters for bioplastics. With its Matrica subsidiary, it is improving biointermediates to address new markets for bioplastics, biolubricants, and bio-herbicides. And it is planning a demonstration plant to produce bio-elastomers from guayule (a woody, evergreen shrub) together with Bridgestone.

Eni’s biorefinery in Venice’s industrial area was the world’s first conversion of a conventional refinery into a biorefinery, able to transform organic raw materials into high-quality biofuels Photo: Eni

What Eni initiatives do you consider particularly innovative?

The initiative that has the most potential for innovation is surely our participation in research on magnetic fusion. Eni is a significant shareholder in Commonwealth Fusion Systems (CFS), a spin-out company of the Massachusetts Institute of Technology’s (MIT) Plasma Science and Fusion Center.

Eni has been a shareholder of CFS since its establishment in 2018 and has been cooperating with MIT on a joint research programme.

CFS has recently completed a successful test and demonstration of an innovative magnet for plasma fusion confinement, made with HTS (high temperature superconductor) technology. Based on this result, CFS has confirmed its roadmap to build the first

experimental device with net energy production (SPARC) by 2025, followed by the first demonstration plant, known as ARC, that could start feeding energy into the grid over the next decade.

Needless to say, the potential of this technological programme is immense. Magnetic confinement fusion is a safe, sustainable and inexhaustible energy source that would ensure an enormous quantity of energy with zero emissions and represent a turning point in the path of decarbonisation. We look forward with excitement to further results from this initiative. ● *International Energy Week will take place in London as a hybrid (online and face-to-face) conference on 22–24 February 2022. See p11 for details.

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Petroleum Review

RETROSPECTIVE

Back to the future

Also in this issue: Market prospects – turbulent outlook for energy

Changing landscape for oil and gas investment

Technology – quantum leap for oil and gas computing

The magazine for oil, gas and new fuels professionals

February 2020

Kim Jackson and Brian Davis reflect on Petroleum Review’s long history and look ahead to a bright new future.

A

s you will have noted from EI CEO Nick Wayth’s announcement on p4, this is the final issue of Petroleum Review. Although this marks the end of an era, it is also the start of an exciting new future, with the launch of our online magazine – New Energy World – in March 2022.

Petroleum Review has seen many changes over its long history. It was first published under the guise of the Journal of the Institution of Petroleum Technologists in 1914, following the creation of the Institution of Petroleum Technologists in 1913.

The Institute changed its name to the Institute of Petroleum in 1938, allowing all professions affiliated to the oil and gas industry to become members, accompanied by a change in magazine title to the Journal of the Institute of Petroleum the following year. Today’s title, Petroleum Review, came into being in 1968.

The Institute of Petroleum merged with the Institute of Energy in 2003, creating the Energy Institute, led by Louise Kingham, representing all those involved in the energy sector, not only oil and gas, but also renewables and new fuels. Since then, Petroleum Review has been published alongside our sister magazine Energy World.

As you will see from the front covers shown here, the look of Petroleum Review has changed over the years. However, what hasn’t changed is the magazine’s aim to report on the latest developments in the oil and gas sector – upstream, downstream and midstream. From the discovery of first oil in the North Sea in 1969, through the oil shocks of the 1970s and oil price collapse of 2014, to the dynamic transformation of the fuel retail market and ubiquitous impact of the internet and digitalisation on the energy sector.

With an eye on continued professional development and 22 Petroleum Review | December 2021

encouraging new talent and diversity to the industry, Petroleum Review has also reported on changes in every aspect of HSE regulation and international energy policy, while highlighting innovative technology both onand offshore worldwide. More recently, the magazine has been showcasing the energy sector’s revolutionary move to lowcarbon technology and emissions mitigation initiatives as part of the energy transformation on the road to net zero.

May 1971: Shell/Esso ri Sea block Photo: Shell/Esso

In transition

Also in this issue:

Peak than

The magazine for oil and gas pro Magazine of the

February 2020: Energy transition gathers pace Photo: Shutterstock

A fond farewell Our personal involvement with Petroleum Review covers a number of decades, with Kim Jackson joining in 1995 and Brian Davis in 2014.

As we say goodbye to Petroleum Review, we’d like to say a huge thank you to all involved. Not only the various editorial team members over the years – including Carol Reader, Chris Skrebowksi, Emma Parsons, Elliot Tawney and Louise Hunnybun – and our contributors, advertisers, typesetters and printers, but also to you, our readers, who have been our long-term supporters and raison d’être.

Looking ahead So, what next? Change is the one constant in the energy sector – and so, too, for Petroleum Review and Energy World, with 2022 seeing the launch of New Energy World.

Our online magazine will build on the legacy of both publications, providing a window on the whole of the rapidly changing energy system. New Energy World’s content will be organised around news, comment and high-quality feature articles. Published weekly, it will enable EI members to keep their fingers on the pulse of the energy transition.

Before New Energy World’s launch, we will publish regular

Africa – a cautious approach to the energy transition

Oil and gas sector adopts range of routes to change in drive to low carbon future

Chargin

Challenging f for fuel retaile

April 2020: Fuel retail l the drive to a low carb Photo: BP

June 1996: Esso’s Pricewatch campaign causes upheaval at the UK pumps Photo: Esso

news and articles on the EI website to keep you up to date with what is happening in the energy sector – see https://knowledge.energyinst. org/magazines We look forward to introducing New Energy World to you. ●

February 2005: Gazprom operations and export Photo: Chris Skrebowski

Petroleum Review

On reflection

Brian Davis, Deputy Editor, looks back on over 40 years covering the energy business while closely involved with Petroleum Review during these landmark years.

ig spuds well in North

k emissions are closer n you think

Hydrogen prospects under the spotlight

ofessionals in the energy transition

April 2020

November 1995: Greenpeace targets Shell’s Brent Spar decommissioning plans Photo: Shell UK

ng ahead

future forecast ers Magazine of the

landscape changing in bon future

I became an energy journalist in 1978 because energy was the biggest story of the time – given the second of two major OPEC price shocks and the thrilling developments of the North Sea, the world’s most innovative oil and gas patch.

At the time, I worked on International Petroleum Times and was often meeting the then Petroleum Review Editor Chris Hurst on press trips. Winging our way (or more often travelling by sleeper train) to Aberdeen to clamber around the spectacular North Sea rigs being built at Nigg Bay and other yards. Often, we were flown out by helicopter in heavy survival suits to visit vast offshore platforms like Brent, Magnus and Conoco’s tension leg platform. Press trips are never so risky today!

Meanwhile, in the Middle East, Ayatollah Khomeini and Saddam Hussein battled each other… and OPEC’s Sheikh Yamani was rarely out of the news. Yes, the geopolitics was never boring.

These were also dangerous times. Red Adair was an iconic figure racing round the world to tackle blow-outs. Piper Alpha and later Macondo changed the way of thinking about health and safety. While the break-up of the Torrey Canyon tanker triggered a rethink on pollution handling offshore.

But again and again, our industry was quick to learn and supremely innovative, upstream

and downstream – whether developing production in the icy waters of the Caspian Sea, tackling the Gulf of Mexico or exploiting shale resources in the Permian Basin.

It has also been my pleasure and privilege to interview thousands of energy industry professionals, as well as titans of the sector like Sir Denis Rooke of British Gas, Lord John Browne of BP, Sir John Harvey Jones of ICI, our own EI President Steve Holliday – ex-National Grid, numerous Energy Secretaries of State including Kwasi Kwarteng, and see the exciting energy transition initiatives by Bernard Looney… as well as meet Margaret Thatcher in her heyday.

Technologically, there is no other industry to match. From deep downhole drilling and submersibles, electrification of transport, biofuels to digitalisation and artificial intelligence.

Constantly reinventing itself, our sector is now focused on the energy transition and renewables, solar, wind and fascinating hydrogen opportunities.

Building on the legacy of Petroleum Review and sister magazine Energy World I look forward with eager anticipation to New Energy World online.

Energy is still the most exciting story. ●

May 2012: Innovative capping stack design post-Macondo blow-out Photo: MWCC

m highlights plans Petroleum Review | December 2021 23

Australia

ENERGY TRANSITION

D

evelopment of Australia’s biofuels and bioenergy sector has been hampered by the COVID-19 pandemic. There has also been some diversion of effort into research and development of green hydrogen from renewable sources. However, this could be about to change with the Australian government set to launch a Bioenergy Roadmap, which will identify key biofuel sectors targeted for support.

The biofuels industry is still in its relative infancy in Australia.

Only two states have mandated the sale of ethanol-blended fuels and biodiesel – New South Wales in 2007, with Queensland following suit 10 years later.

Australian national rules allow petrol sold on the general market to contain up to 10% ethanol (E10). E85 petrol containing up to 85% ethanol is also authorised, but is generally only suitable for purpose-built vehicles, such as Holden’s flex-fuel VE Series II Commodore, Saab’s 9-3 and 9-5 Biopower models, Chrysler’s Sebring sedan and certain models from Dodge. Meanwhile, nationally authorised biodiesel blends are either 5% or 20% fatty acids from vegetable or animal tallow – B5 or B20.

Biodiesel is manufactured using feedstock from used cooking oil and other biofuel feedstocks include agricultural byproducts from Australia’s large agricultural and forestry sectors, such as pulp, wood, manure and crop residue.

Sugarcane, corn and wheat are also used to produce conventional biofuels, although there is pressure on the government to encourage the production of secondgeneration ‘advanced’ biofuels using non-food feedstocks.

Commercial and household waste is also being used as a biofuels feedstock.

Significant potential According to Shahana McKenzie, CEO of Bioenergy Australia: ‘Bioenergy and bio-industries present a unique opportunity to support Australia’s recovery from the economic devastation caused by COVID-19, by providing rich grounds for regional job development and increasing Australia’s self-sufficiency and resilience.’ In a pre-budget submission to the Australian Treasury for 2021–2022, she proposed that biofuels could support a substantial decrease in carbon emissions.

24 Petroleum Review | December 2021

Backing bio-energy Although Australia has been slow to adopt renewable energy, new innovation and changes in domestic energy policy could see Australia become a serious player in the sustainable bio-energy sector, writes Barbara Barkhausen.

Meanwhile, although George Varma and Toby Evans from international law firm Pinsent Masons note that the hype around hydrogen has recently overshadowed the potential of the biofuel industry, they agree with McKenzie in general. ‘We see significant potential for Australia to become a world leader in this space,’ they say. Both cite strong agricultural, forestry and waste management sectors as capable of supplying feedstocks to support a much larger biofuel sector than currently exists, as well as leveraging strong public research capabilities.

One example of such cooperation is the Melbournebased La Trobe University, which has partnered with renewable energy company AgBioEn, to work on an A$2bn ($1.46bn) project to turn agricultural waste such as cereal straw into electricity, renewable diesel, jet fuel and fertiliser, at a multi-biofuel facility in Katunga, Victoria.

According to the Australian Renewable Energy Agency (ARENA) there is plenty of demand for biofuel as this vast country is reliant on air travel, long-distance road freight, rail and marine freight. ‘The aviation industry in particular is driving this space,’ notes Bioenergy Australia’s McKenzie.

The national airline Qantas has been utilising sustainable aviation fuel (SAF) as it moves towards a goal of net zero emissions by 2050, using bio-jet fuel made from cooking oil, municipal waste, plant oils and agricultural residues.

In 2012, Qantas flew Australia’s first commercial domestic biofuel flights, and in January 2018 it operated the first biofuel flight between the US and Australia – from Los Angeles to Melbourne.

Pre-COVID-19, Qantas operated more than 1,500 flights, using around 14mn l/d of aviation fuel (of all kinds). According to the airline, SAF has the potential to reduce lifecycle CO2 emissions

Manildra Group’s state-ofthe-art ethanol distillery in Nowra, New South Wales, is the largest of its kind in Australasia and south-east Asia, producing ethanol for the food and beverage, personal care, pharmaceutical and industrial sectors Photo: Dean Holland

u p26

Australia

t p24

Qantas is one corporate that has invested in the biofuel industry at an early stage in Australia Photo: Unsplash/Fidel Fernando

by up to 80% compared to conventional jet fuel. In 2019, Qantas committed A$50mn ($36.5mn) over the next 10 years towards the development of an Australian SAF industry. In January 2021, it announced a strategic partnership with BP to help develop this further.

Meanwhile, Virgin Australia is also engaged in the sector.

In 2018, the airline completed a trial delivery of SAF through Brisbane Airport’s general fuel supply system. Other industry sectors, such as the construction and mining sectors, are also exploring biofuel potential.

According to McKenzie: ‘We are seeing a significant increase in interest from the construction sector and expect announcements from significant players in the construction industry before the year end,’ she notes.

Looking ahead, there is plenty of potential as the current SAF market share accounts for just 0.4% of total liquid fuel use in Australia, according to Pinsent Masons’ Varma and Evans. There are fewer than 10 commercial-scale biofuel facilities in the country, producing conventional biodiesel and bioethanol, mainly using feedstock from the sugar industry.

Varma and Evans say the slow growth of transport biofuels so far can be explained by the higher cost relative to fossil petrol and diesel and a lack of compatibility with existing infrastructure and vehicles. However, Varma notes: It is generally accepted that as more “advanced” forms of biofuels develop, barriers to uptake may be resolved.’ ARENA modelling, for example, suggests that advanced biofuels may become cost competitive with petrol over time given more plentiful supplies of feedstock, while being fully compatible with existing vehicles and infrastructure.

According to McKenzie, a more robust biofuels sector would also add to Australia’s fuel security. ‘In Australia, we have seen a significant decline in domestic refining capability. With

26 Petroleum Review | December 2021

an additional two fossil-based refineries closing in the past 12 months. This leaves Australia with only two domestic oil refineries in operation [the Ampol refinery at Lytton, near Brisbane, and the Viva refinery in Geelong, Victoria],’ she notes.

Given the nascent state of the industry, significant investment will be required to make biofuels a competitive, mainstream fuel option in Australia. ‘Like any renewable energy it requires government support to get to scale,’ comments McKenzie. ARENA believes that A$25–30bn ($18.5– 22.2bn) will need to be invested in production facilities alone.

As mentioned, the Australian Department of Industry, Science, Energy and Resources is consulting on a new Future Fuels Strategy, while ARENA is developing a Bioenergy Roadmap. These policy papers will indicate how biofuels fit into Australia’s holistic energy policies.

At present, the Australian government has earmarked the use of natural gas as a first step towards a low-emissions economy. The country also burns a lot of coal for its electricity and pointedly made no commitment to phase that out at the recent United Nation’s COP26 climate change meeting in Glasgow (see p14). However, the Australian government is enthusiastic about hydrogen, with the Department of Industry, Science, Energy and Resources noting that producing clean hydrogen under A$2/kg is a ‘priority stretch goal’ under the government’s 2020 Low Emissions Technology Statement.

‘In many ways, biofuels and renewable hydrogen are competing technologies in the same space, notes Varma. ‘Whether one will supersede the other, or whether there is room for co-existence, will largely depend upon how each technology develops.’ However, many officials and politicians view biofuels as a ‘stepping-stone’ towards a 100% hydrogen-powered transport sector in Australia, he adds.

A bright future Australian innovation has had a strong record over the years.

ARENA claims that Australian research has played a key role in developing catalytic hydrothermal processing, the glycell process, hydrothermal liquefaction technology and cellulosic ethanol technology.

In the bio-energy sector, a Sydney start-up recently claimed it has invented new yeast strains to turn crops into fuel, and is eyeing an initial public offering (IPO) to leverage the growing biofuels market. Technology developed

by MicroBioGen, led by former investment banking analyst Geoff Bell, can turn non-food products such as agricultural waste and timber offcuts into a low-carbon bioethanol and high-protein food products.

Another hopeful is Sydneybased Licella, which is working with Finland’s biofuel major Neste and UK-based chemical recycling company ReNew ELP to explore the potential of using mixed waste plastic as a raw material for fuels, chemicals and new plastics. Licella has also formed a joint venture with Australian recycler iQ Renew to construct an end-of-life wasteto-fuels plant in Australia that will produce low sulphur fuels for shipping.

Meanwhile, Southern Oil Refining, Australia’s leading producer of recycled fuels and owner of Australia’s only biofuels testing refinery located at Yarwun, Queensland, has refined post-consumer waste feedstocks into 100% drop-in diesel. And construction company Boral Australia has conducted an ARENA-funded feasibility study into the use of technology to convert hardwood sawmill residues into renewable diesel.

At the same time the Sydneybased company has also started to investigate novel technology to convert sawdust into electricity.

Another potential advance in Australian bioenergy could be producing biogas through anaerobic digestion, using co-located farms or milling operations. The electricity and gas may power these facilities ‘behind the meter’, with excess energy exported to the grid. This option is currently being considered by the Western Australia-based Delorean Corporation.

Although Australia has been a laggard in adopting renewable energy, the country’s strengths in research and innovation may help it develop a strong and sustainable biofuels sector. ●

Energy Institute

EI AWARDS

Photo: Oliver Dixon

Celebrating innovation in the energy transition The Energy Institute’s 22nd annual awards honour some of the energy industry’s outstanding people and projects, highlighting the talent, innovation and expertise in a wide-ranging sector being transformed on the road to a low-carbon future.

O

pening the EI Awards ceremony, Nick Wayth CEng FEI, Chief Executive, Energy Institute, said he was encouraged by the progress the energy sector has made on the road to net zero and that he was 'genuinely optimistic' about the prospects for meeting this goal given the agreements struck at COP26.

'Yes the deal could go faster and much further, but we must celebrate progress and I believe COP26 has sent signals that will filter through our industry,' he said.

'Signals that strengthen our hand to go back to our organisations, our stakeholders, our employees and our investors, to say with certainty that this is happening, change is coming fast, and we need to get out ahead of it.

We need people – talented, skilled people – to deliver this change.

And that is what today is all about – celebrating the very best achievements and the achievers in our field.'

Co-hosting the Awards, Stephen Holliday FREng FEI, EI President, remarked that: 'Energy professionals are pioneers and our sector’s achievements to date are proof of that. However, we are facing a greater challenge than ever before – increasing global access to energy whilst at the

28 Petroleum Review | December 2021

same time focusing on a shift to low carbon is a big task.'

'That’s why it’s so important we inspire the next generation to enter our industry and tackle these challenges, as well as reskill our existing talent to ensure no one is left stranded,' he continued.

'Its going to take the best and brightest to tackle these challenges and I’m proud that the EI Awards showcase exactly that.'

Here, we take a look at the initiatives and individuals that received the Energy Institute’s highest honours at this year's ceremony, which was held online on 25 November 2021, sponsored

by Refinitiv.

its 'smart fuel ATMs' that enable ultra-clean cooking at scale in emerging market cities.

The company's innovations are driving the switch from deforestation-based charcoal cooking to a sustainable alternative that reduces carbon emissions while protecting Africa's forests.

Modern clean cooking solutions such as electricity and LPG remain too expensive and inaccessible for the majority, given the high cost of their distribution infrastructure.

KOKO's low-cost, two-burner stove runs on liquid bio-ethanol, a byproduct of the local sugar industry.

Some 700 KOKO fuel ATMs at shops in Nairobi dispense fuel through cashless transactions Access to Energy Award into ‘smart canisters’ that come with the stove, saving customers KOKO Networks – Winner 50% versus charcoal. Some Even though energy is now 230,000 households have already benefiting the lives of more people around the world than ever, 800mn switched to using KOKO's ATMhuman beings still have no access to based approach, which is claimed to lower the retail price of clean electricity and 3bn are still cooking using dirty, dangerous cooking fuels, bio-ethanol fuel by as much as 50% compared to traditional ethanol leading to severe bronchial illness cooking approaches that use and around 4mn premature deaths single-use plastic bottles. each year.

Ensuring affordable, reliable, Energy Management Award sustainable and modern energy for all is central to the UN GRAHAM– Winner Sustainability Goals and will require Effective energy management more sustained efforts worldwide. is crucial to ensure the efficient use of energy in domestic, This year's Access to Energy Award went to KOKO Networks for commercial and industrial

Energy Institute

settings. Investments in energy management produce a wide range of benefits, including reduced company costs, cutting greenhouse gas emissions and improving energy security.

Recognising the enormity of the challenge faced in rapidly reducing energy use and carbon emissions, and the implications for the future of the planet if the world does not move decisively enough to tackle the climate crisis, this year's winner – GRAHAM, a building, civil engineering and facilities management company – has set out a board-advocated 'Climate Action Strategy' with the ambition of achieving net zero across the company's entire value chain.

Having surpassed the company's 2020 target to reduce its carbon intensity by 25%, GRAHAM has set ambitious goals to achieve net zero Scope 1 and 2 emissions by 2030, and Scope 3 by 2045.

Among measures introduced to achieve these ambitious targets, new technologies are being used to increase energy efficiency and reduce emissions, including hybrid generators, battery banks and 'load on demand' power solutions which increase efficiency by replacing large, constantly operating generators with a group of smaller generators. Some 75% of GRAHAM's company cars are now either fully electric or plugin hybrid, while electric vehicle

charging points have been installed at office locations to incentivise driver uptake of such vehicles.

The company has embedded a robust climate governance framework at the centre of its operations, while staff at all levels and within all roles receive energy and carbon awareness training.

Environment Award ScottishPower Renewables – Winner Last year, ScottishPower Renewables (SPR) completed installation of its East Anglia ONE (EAONE) offshore windfarm. A central pillar of the project was protection of the environment.

An environment team was established, comprising advisors and managers, including external ecologists to provide independent advice.

The EAONE Environment Team went far beyond its statutory responsibility, putting extensive plans in place to protect the onshore area during construction, mitigating against potential damage or disruption, and helping species thrive.

Among measures adopted, a buffer zone, visual and sound barriers, and pauses in work (which caused significant impact to the project) meant marsh harriers were not only protected, but chicks have fledged beside the work site. Meanwhile, a natural drainage system created at the

substation was landscaped as a wetland habitat to encourage native species and is now home to great crested newts, dragonfly and multiple bird species. Peregrine falcons and red kites have been seen regularly, and through water monitoring, the team discovered an invertebrate not recorded in Suffolk for 100 years.

SPR's EAONE Environment Team has set the standard for enabling green energy infrastructure to work in harmony with nature, which will be replicated across future projects.

Health & Safety Award Active Training Team – Winner The EI's Health & Safety Award is given for projects which demonstrate best practice in safety as well as demonstrating potential to impact the energy industry’s overall health and safety (H&S) record.

Active Training Team's Thrive Safety Leadership Centre in Immingham, UK, operates a oneday immersive, interactive safety programme using multimedia and experiential learning to transform behaviours and attitudes towards safety.

Although developed with Ørsted for the Hornsea Two project, the world's biggest offshore windfarm, Thrive has been designed to be relevant to renewables, ports and a range of high-risk industrial

Outstanding change-makers Alongside winners in the EI Awards eight other project categories, two ‘individual’ awards – Energy Leader and Young Energy Professional of the Year – were also awarded.

Energy Leader Award François Cazor, Co-Founder and CEO, Kpler – Winner François' leadership at commodity data and analytics company Kpler has facilitated global energy trade by bringing real-time intelligence in traditionally opaque commodity markets. He has played a pivotal role in Kpler's growth since its foundation in 2014 – markets are now transparent, industry professionals can work more efficiently and, ultimately, a level-playing field for everyone has been enabled within commodity markets.

François has overseen Kpler's transition from a start-up to a global organisation within just seven years. Today it employs over 150 staff, across nine locations globally, working with over 600 accounts, including a number of energy industry giants. Unlike the majority of competitors within the sector, Kpler has not relied on venture capital funding to grow. The company's revenues come from clients alone and it reached the significant milestone of generating $25mn in revenues and $40mn in bookings last year.

Young Energy Professional of the Year Award Jeanette Gitobu, Project Developer, Windlab – Winner Jeanette has, and continues, to play an important role in transforming communities in Kenya while serving as a role model for other women in Africa's renewable energy sector. Among her achievements, she has overseen more than 1,700 project

area landowners sign on Africa's first sustainable renewable power project – Meru County Energy Park (MCEP). The $150mn development combines 80 MW of wind turbines, 10 MW of solar PV technology and 10 MW of battery storage. It will produce enough clean electricity to power over 200,000 homes, providing a cheap and sustainable source of electricity to Kenyans over the next 25 years.

As a key team member, Jeanette has been responsible for devising and implementing financial modelling and procurement, spearheading the land securement strategies that will serve as the groundwork for future project developers that wish to develop similar initiatives around the world.

Anthony Wang, Senior Consultant, Guidehouse – Energy, Sustainability and Infrastructure Segment – Highly commended Anthony has been key in positioning the European Hydrogen Backbone (EHB) initiative as a trusted partner among national and European policymakers while serving as a lead contributor to several major project workstreams. He has authored two of the initiative's flagship studies (and served as a co-author for the third), coordinated webinars with record-breaking attendance, and helped lead discussions with the Directorate-General for Energy of the European Commission.

Anthony has also made time to focus on bringing his peers together through his role as Vice Chair for the Energy Institute's Young Professionals Network (YPN), and has grown YPN's social media presence from a mailing list of 1,000 people to over 3,000 followers across various social media platforms. ●

Petroleum Review | December 2021 29

Energy Institute

sectors. It is a stimulating, safe space for people to practise and develop their skills, bridging the gap between theoretical learning models and the reality of the workplace.

Thrive's creative approach to safety leadership, combining interactive experiences, film, live action exercises and facilitated discussion, works by using heightened emotional and sensory experiences to embed learning, sharpen recall and influence subsequent behaviour. Some 94% of participants say they would apply what they have learned on the programme and feel more confident to challenge unsafe behaviour.

Innovative Technology Award Aramco Services Company – Winner This award recognises the year’s best innovative technological development with the power to become a gamechanger or disrupter in the energy sector.

Aramco Services' Sensor Ball technology represents a paradigm shift in the oil well logging and surveillance business, replacing conventional tools for temperature and pressure logging, particularly for well integrity monitoring but not limited to it.

The miniaturised, untethered and autonomous well logging robot logs wells within a few minutes at a well site. High resolution data provides important feedback to the engineers for diagnosing problems. It also prevents the safety risks and CO2 emissions associated with conventional wireline logging.

The palm-sized tool is deployed through a well's Christmas tree by sequentially opening and closing the well cap, and swab and master valves. The Sensor Ball falls to a programmed depth, releases a weight, becomes buoyant, and returns to the surface.

Dissolvable dropped weights prevent cluttering of the wells.

During its downhole trip, the robot continuously records temperature, pressure and magnetic field data in its non-volatile memory that is wirelessly retrieved after its mission is completed.

Low Carbon Award GeoPura – Winner The EI's Low Carbon Award recognises schemes and projects that have made significant progress in reducing carbon emissions to help reach net zero by or before 2050.

With decarbonisation at the core of its business ethos, GeoPura has developed hydrogen power 30 Petroleum Review | December 2021

units (HPUs) to displace diesel generators. Based on industrial fuel cells that provide 250 kW electrical output, 80 kW thermal power and 216 kWh battery storage, the HPUs can be run in parallel to deliver up to 1 MW of power. They can be used with combined heat and power systems, and can supply all standard AC loads including EV chargers.

According to GeoPura, replacing one 250 kW diesel generator with a green hydrogen-fuelled HPU saves approximately 1.5 t/y of CO2 emissions. The company is looking to deploy 1,000 HPUs over the next five years, which will not only save more than 5mn tonnes of CO2 over 10 years, but also cut other harmful emissions such as nitrous oxides and particulates.

Public Engagement Award National Grid – Winner Effective public engagement is very often the key determinant of the success or failure of any initiative.

This year's Public Engagement Award goes to National Grid's Hinkley Connection Project. (HCP).

Supporting the UK government's goal of achieving net zero carbon emissions by 2050, the HCP aims to engage the communities in which National Grid operates as it develops cleaner, more sustainable energy projects.

The programme is designed to engage the future generation of engineers by getting them excited about the energy industry, and STEM (science, technology, engineering and mathematics) subjects as a whole. The company has donated resources and facilitated fun, practical activities to educators. A vital component of the programme is making sure children from all walks of life are given the same opportunities, so 'no child is left behind'.

To date, HCP has engaged with more than 800 schools via funding/practical activities; supported over 200,000 children, more than 40,000 of which are classed as disadvantaged; donated in excess of £400,000 for STEM resources; and donated 1,000 laptops via five charities to facilitate remote-learning.

Energy Action Scotland – Highly commended Over 250,000 households in Scotland live in extreme fuel poverty, spending over 20% of their income on energy, or simply having to ration or self-disconnect from supplies as they struggle to make tough choices between heating or eating.

Energy Action Scotland wanted to raise awareness of fuel poverty and the impact that the COVID-19 pandemic has had, while providing positive and practical support that could make a difference.

It established a public facing fundraising campaign during November 2020, with the ambition to raise £2,000 and show the value to the Scottish government of investing in low energy appliances to help fuel poor households. To date, over £12,000 has been raised and more than 160 appliances and food packs for meals have been given to households.

Talent Development and Learning Award TNB Integrated Learning Solution – Winner This award recognises work undertaken to bring new talent into the energy sector, as well as the provision of continuing professional development (CPD) schemes, innovative learning solutions and collaboration between industry, academia and other partners.

Tenaga Nasional Berhad (TNB) is the leading power utility provider in Malaysia and the largest public-listed power company in south-east Asia. Aspiring to be a leading provider of sustainable energy solutions nationally and internationally, TNB's Centre of Excellence for Solar Energy provides experiential learning in green technology to foster awareness and nurture new talent into the industry.

The Centre is a collaborative venture between TNB subsidiaries, the Solar Energy Provider (TRE) and the Energy Learning Centre (ILSAS).

To date, some 2,733 participants have embarked on green technology-related courses.

University of Hull – Highly commended The University of Hull aims to support innovation in the global energy industry while providing a talented and diverse pipeline to fill the skills gap.

Close consultation with energy businesses ensures that its programmes meet industry needs, combining classroom and laboratory learning with hands-on industry experience.

The university is also involved in the Aura Centre for Doctoral Training (CDT), a collaboration with Durham, Newcastle and Sheffield universities and over 20 industry stakeholders that offers 75 funded PhD scholarships to address specific industry needs. ●

For more about the EI Awards 2021 and if you’d like to enter next year, please go to https:// energyinst.org/whats-on/ search/ei-awards