Frontier Energy, Spring 2016

OIL, GAS & SHIPPING IN THE ARCTIC AND ICE-AFFECTED REGIONS

ATLANTIC CANADA

Untapped potential

www.frontierenergy.info SPRING 2016

Offshore structures

Cylindrical rigs

Goliat up, up & away Project focus

Minimising risk From spills & shipping

Ice mapping Radar systems

NEWS • RESEARCH • SHIPPING • TECHNOLOGY • TRAINING

T S N E G V E TIN S LI

Throughout 2016, Fugro is showcasing specific examples of how its innovative solutions help customers around the world.

If you want to know how

#AskFugro www.fugro.com/ask

CONTENTS

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14

16

28 Spring 2016

OIL, GAS & SHIPPING IN THE ARCTIC AND ICE-AFFECTED REGIONS

ATLANTIC CANADA

Untapped potential

www.frontierenergy.info SPRING 2016

Offshore structures Cylindrical rigs

Goliat up, up & away Project focus

IN THIS ISSUE Features

Regulars

Minimising risk From spills & shipping

06 ATLANTIC CANADA Hailed as one of the last great undeveloped oil

Ice mapping Radar systems

frontiers, Atlantic Canada’s promising offshore regions look set for growth, despite challenging market and industry conditions NEWS • RESEARCH • SHIPPING • TECHNOLOGY • TRAINING

T EN GS EV TIN LIS

On the cover A solitary rig stands ready for the offshore challenge

08 ATLANTIC CANADA After the success of last year’s bid round, the Canada-Newfoundland and Labrador Offshore Petroleum Board has high hopes for 2016

10 ATLANTIC CANADA Frontier joint industry products and technology initiatives in the development and exploration of the Atlantic Canada offshore region

12 ATLANTIC CANADA A look at the work of Memorial University of Newfoundland in St John’s, a hotbed of research for the shipping, technology and oil industries in the Arctic region

14 PROJECT FOCUS Norway’s flagship Goliat project is finally producing oil, marking an important milestone in the history of the development of the Arctic’s precious oil and gas resources

16 OFFSHORE STRUCTURES Sevan Marine’s cylindrical rig concept could help sway some of the technical and commercial arguments holding back upstream developments in the Arctic

04 NEWS Statoil unveils new Cap-X subsea concept; Dolginskoye to be Russia’s next Arctic oil field; Arctic ready tug delivered to Bourbon; Obama considers Alaska lease future; Barents Sea group positive on Arctic exploration; Russia’s Arctic tanker Akademik Pashin float out

28 INSIGHT Introducing the Svalbard Global Seed Vault, a global back-up and storage facility deep in the Arctic, to protect the whole planet’s crops and seeds

18 SHIPPING The Polar Code provides tools for assessing operational limits, but there is still work to be done to ensure greater safety for vessels in polar waters

20 ICE NAVIGATION ExxonMobil’s decision to use the sigma S6 Ice Navigator system developed by Canadian tech firm Rutter has put the radar system on the map

22 REFRESHER TRAINING The importance of worker refresher training in safety and accident prevention in the Arctic and other frontier regions

24 ICE MAPPING A look at Fugro’s airborne radar ice thickness capability, a new tool that can help operators mitigate risk in challenging Arctic environments

26 EVENTS A look ahead to some of the most important industry events coming up covering the frontier Arctic energy and shipping industries www.frontierenergy.info SPRING 2016 01

The world’s most focused and comprehensive Arctic event.

St. John’s, Newfoundland and Labrador 24-26 October 2016 St. John’s Convention Centre

ON I T A STR REGI

ArcticTechnologyConference.org

N I S N E P O

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Attend the only Arctic event backed by the combined reach and credibility of 14 of the world’s top engineering and scientific organizations and built with expertise representing every discipline.

EDITOR’S LETTER

FRAM* “Technology and innovation go hand in hand when it comes to understanding and exploiting the Arctic’s oil and gas resources”

www.frontierenergy.info Editor Martin Clark martin@frontierenergy.info Editor in Chief Bruce McMichael Canadian Correspondent Andrew Safer Publisher Stephen Habermel publisher@frontierenergy.info Design & Layout In The Shed www.in-theshed.co.uk © 2016 All material strictly copyright, all rights to editorial content are reserved. Reproduction without permission from the publisher is prohibited. The views expressed in Frontier Energy do not always represent those of the publishers.

Every care is taken in compiling the contents, but the publishers assume no responsibility for any damage, loss. The publisher, Renaissance Media, assumes no responsibility, or liability for unsolicited material, nor responsibility for the content of any advertisement, particularly infringements of copyrights, trademarks, intellectual property rights and patents, nor liability for misrepresentations, false or misleading statements and illustrations. These are the sole responsibility of the advertiser.

Printed in the UK. ISSN 2047-3702 Published by Renaissance Media Ltd, c/o Maynard Heady LLP, Matrix House, 12-16 Lionel Road, Canvey Island, Essex SS8 9DE. Registered in England & Wales.

Company number 5850675.

Though weak oil prices may provide a rather gloomy backdrop when it comes to any industry talk these days, there remain plenty of positives for those looking at the potentials of the frontier energy regions, including places such as the Arctic.

This, of course, would include remarkable feats of engineering and technology, where multi-disciplinary teams come together to make the seemingly impossible a reality. Technology and innovation go hand in hand when it comes to understanding and exploiting the Arctic’s oil and gas resources.

First production from the Goliat platform offshore Norway underscores this.

Whilst critics will note time delays and cost overruns, this milestone project in the Barents Sea - the most northerly offshore oil project ever - overcomes a level of complexity arguably not seen in the upstream energy sector before. It would be odd, perhaps, if the $6 billion project, capable of pumping 100,000 barrels per day for years to come, had not faced such immense technical challenges.

Located 85km northwest of Hammerfest, it boasts the most sophisticated cylindrical floating production storage and offloading vessel in the world, capable of storing up to 1 million barrels of crude. Goliat is a landmark for Norway’s Arctic oil and gas aspirations, in so many ways, and a testimony to the operators (Eni and Statoil) who patiently pieced the jigsaw together. Now in the production stage, its performance will be scrutinised in detail by environmentalists as well as the rest of the industry.

Others will have taken encouragement from the launch of this project, including those seeking to exploit Arctic oil and gas in Russia, Canada and the USA. These countries each present different climatic tests for operators, but all will be buoyed by the arrival of the first oil from Goliat.

While the USA has pulled back somewhat on its Arctic ambitions, Russia and Canada remain keen in opening new areas for exploration in order to boost longterm production. These are not quick-fix plans, but a blueprint for the oil and gas industry decades from now.

In this issue, we look at how Atlantic Canada is slowly opening up to industry, and how exploration thus far has revealed strong potential in its extreme weather territories. Again, the challenges may not always be the same - not only in terms of ice and climate, but also regarding the level of political support or opposition - but it seems clear that the Canadian authorities are ready to permit some degree of activity in the pursuit of new resources offshore in these challenging new areas.

Without understating the high costs, environmental sensitivities and technical complexities, these remain important times in the emergence of the nascent oil and gas industry in and around the Arctic regions.

Martin Clark, Editor

*

Fram is not only the Norwegian word for ‘Forward’, it is also the name of the one of the first ice-strengthened and most famous polar exploration vessels of the late 1800s and early twentieth century. It was captained by Norwegian explorer, Fridtjof Nansen, a Norwegian explorer, scientist, diplomat, humanitarian and Nobel Peace Prize laureate.

Sharing his polar travel experiences with fellow adventurers and scientists, his technology innovations in equipment and clothing influenced a generation of subsequent Arctic and Antarctic expeditions. The word encapsulates what we aim to bring you with the magazine – a forward looking guide to the future of oil, gas and shipping activities in the Arctic and other ice-affected regions while keeping environmental protection and safety at the heart of operations.

Get connected!

Follow us at www.twitter.com/frontierenergy for the latest news and comment

www.frontierenergy.info SPRING 2016 03

NEWS

IN NUMBERS 40-70%

reduction in greenhouse gas emissions needed by 2050 and net zero emissions before the end of the century to limit average global temperature rise to two degrees centigrade above pre-industrial levels by 2100

93 metres

Water depth at the Hebron field offshore eastern Canada

Dolginskoye: dialling up production Cap-X: Statoil’s new subsea concept

Statoil unveils new Cap-X subsea concept Norwegian oil giant Statoil has revealed a new subsea concept, known as Cap-X, that it hopes will help it tap resources in the Barents Sea. “With Cap-X, Statoil is one step closer to a ‘plug and play’ solution on the seabed,” said Margareth Øvrum, executive vice president for technology, projects and drilling.

The system is a quarter the size of most of today's subsea templates and enables more operations from the vessel instead of the rig, the company says.

“Once again we aim to drive subsea technology development on the Norwegian continental shelf together with our industry partners. The potential for increased efficiency and reduced costs can make this the next standard within subsea templates.”

The technology also increases the efficiency of horizontal drilling in shallow reservoirs. The main structure of the technology can be produced in shorter time by a larger number of suppliers, with potential for local production.

“We as explorers need to find resources that can be developed at a lower cost and with lower emissions,” said Jez Averty, senior vice president for the exploration Norway and UK cluster in Statoil. “Cap-X can potentially have a significant impact on developing the resources in the Barents Sea and in other areas with shallow reservoirs.”

Dolginskoye to be Russia’s next Arctic oil field Russia's Gazprom Neft is expected to open its Dolginskoye oilfield in the near term to become the second working oil and gas operation on the Russian Arctic shelf, Deputy Minister of Energy Kirill Molodtsov said at recent a conference.

"We are expecting the Dolginskoye oilfield to become our next operational deposit on the Arctic shelf," he was quoted as saying by RIA Novosti.

Gazpromneft-Sakhalin, a subsidiary of Gazprom Neft, has started drilling a new Dolginskoye exploration well in the field, which lies in the middle of the Pechora Sea, 120 km south of the Novaya Zemlya archipelago and 110km north of the mainland. The field was discovered in 1999; the sea is approximately 35-55m deep in the field area.

The Prirazlomnoye oilfield in the Pechora Sea is so far Russia’s only functioning local shelf deposit. In March, Gazprom Neft pumped its 10-millionth barrel of oil from the field.

Gennady Lubin, executive director, Gazpromneft Shelf, called it a landmark event, “proving that oil production on the Arctic shelf can be both safe and viable”.

Discovered in 1989, Prirazlomnoye is located 60 km from the shore, with recoverable reserves estimated at 70 million tonnes.

Arctic ready tug delivered to Bourbon French support vessel operator Bourbon Offshore has taken delivery of the newbuild AHTS vessel Bourbon Arctic from Vard Holdings Ltd of Romania. The vessel is a Vard 2 12 Arctic AHTS design.

The ship has a length of 93.6m and a moulded breadth of 24.0m. It also has a reinforced Ice-1A hull, and is capable of undertaking operations in extreme Arctic and deep water environments. Bourbon Arctic has a bollard pull of 307 tonnes in boost mode, with a capacity of 193 tonnes in diesel-electric mode with the use of azimuth thrusters, and a capacity of 175 tonnes in diesel electric-mode without the use of azimuth thrusters. It has been outfitted with Rolls-Royce engines and holds accommodation for 60 persons.

04 SPRING 2016 www.frontierenergy.info

Photos: Statoil, Gazprom Neft & Bourbon Offshore

Bourbon Offshore: French support vessel

NEWS

$200 million Value of Statoil venture capital fund for investing in growth companies in renewable energy set up in February

2016

10

The number of wells anticipated in the Norwegian part of the Barents Sea in 2016 compared to seven last year

8 Arctic Nations Canada, Denmark (Greenland & The Faroe Islands), Finland, Iceland, Norway, Sweden, Russia and USA. All are members of the Arctic Council

180,000 TONNES

36%

ExxonMobil stake in Hebron project. Co-venturers include: Chevron (26.7%), Suncor Energy (22.7%), Statoil (9.7%) and Nalco Energy (4.9%)

1.3 billion

barrels of oil equivalent The estimated resources in the seas off Norway’s Lofoten Islands, according to a 2010 report by the Norwegian Petroleum Directorate

The weight of the mighty Hebron Sources: ExxonMobil; Statoil; Norwegian Petroleum Directorate; GBS platform Intergovernmental Panel on Climate Change (IPCC); Arctic Council; Reuters

Obama considers Alaska lease future US president Barack Obama's administration has released its proposed five-year offshore drilling plan for federal waters, with expectations of three lease sales in Alaska. The blueprint covers the period 2017 to 2022.

For now, the administration plans to hold three lease sales, one each in the Chukchi Sea, the Beaufort Sea, and the Cook Inlet area. But the proposals also leave the door open to close Arctic waters to exploration and production. US Department of the Interior Secretary Sally Jewell noted that cancelling lease sales in Alaska "is always a possibility.”

The new plans were broadly welcomed by industry groups, including the Alaska Oil & Gas Association, although some cited ‘mixed messages’ outlining the need for regulatory reform and greater clarity.

After Shell’s controversial and largely disappointing Chukchi Sea well last summer, there was talk that the whole area could be closed to further exploration and production efforts.

US independent Apache Corporation is the latest name to pull back from Alaska, citing tough economics. The company, one of the largest leaseholders in the Cook Inlet, will continue to hold Alaskan properties although it will not renew leases set to expire by the start of 2017. “Operations we are suspending as a result of the downturn include our Alaskan activities," said Apache spokesperson Castlen Kennedy.

Obama: open to offshore

Barents Sea group positive on Arctic exploration Ice, extreme temperatures and a vulnerable by the Norwegian Oil & Gas Association, a environment are all surmountable challenges lobby group. as drillers set out to hunt for oil in a new area Norway is opening more of the Barents Sea off of Norway's Arctic Barents Sea, according to its northern tip to oil explorers as it seeks to Statoil and other explorers, reports Bloomberg. boost national crude production that's dropped Studies by Statoil and 15 other companies, by half since 2000. such as Shell, show there have been only a Statoil, Eni Norge, Lundin Norway, OMV and "few days" of sea ice in the northernmost GDF SUEZ agreed last year to collaborate on blocks since 2003, and south of that even less, solving operational tasks tied to exploration in said Aashild Tandberg Skjaerseth, chair of the region in an initiative called the Barents Sea the Barents Sea Exploration Collaboration, a Exploration Collaboration (BaSEC), which will venture set up by the companies. initially run for three years.

It's also unlikely that any spill New frontiers: Arctic potential would reach the polar ice cap as oil and sea ice tend to drift in the same direction, she said.

"Our main conclusion is there is no health, environmental or safety challenge that is so significant that it can't be appropriately mitigated," Skjaerseth said. The findings have been handed over to authorities and will be distributed

Russia's Arctic tanker Akademik Pashin float out The Arctic tanker Akademik Pashin is expected to be floated out soon, according to Russian Deputy Defence Minister Dmitry Bulgakov, cited by local news sources.

Work is currently underway on the ship's propeller-rudder system, and the tanker is to be launched imminently.

Work on the 130-metre ship will continue after it is in the water.

"The Arctic-class tanker Akademik Pashinn…which is being built as an auxiliary ship at the Nevsky Shipyard, is more than 65% finished. We are planning the acceptance ceremony for late 2016 or early 2017," Bulgakov said.

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ATLANTIC CANADA

The Stena IceMAX is currently drilling for Shell off Nova Scotia

Targeting Canada’s

OFFSHORE POTENTIAL Hailed as one of the last great undeveloped oil frontiers, Atlantic Canada’s promising offshore regions look set for growth, despite challenging market and industry conditions

W

hile the main focus of come. While the price crash in 2014 Canada’s oil and gas industry has put the brakes on many upstream in recent years has been projects, experts believe Canada’s overall the western half of the country, where output will rise significantly long-term. the bulk of production is located, the Total liquids production in Canada Arctic region holds averaged 4.26 tremendous upside million barrels per potential as well. day (bpd) in 2014 Shell has a drillship It’s true that, for but is forecast to the most part, surpass 6 bpd by patrolling the Shelburne activity has been 2035, according Basin, some 250 km slow to date, but to consultants south of Halifax, that should not Wood Mackenzie. detract from what Economics will, of Nova Scotia is a genuine longcourse, determine term opportunity. the exact trajectory Yes, there are of this growth, challenges, many of them common to but clearly the potential is there. As is all frontier zones - logistics, lack of the country’s strategic importance to the infrastructure, harsh weather and seasonal United States. According to the Energy access, not to mention a faltering oil Information Administration, Canada price - but there is ample evidence too of accounted for a record 43% of US oil sizeable hydrocarbons in place. The limited imports during 2015. That means, exploration activity so far has yielded a Canada provided four out of every 10 series of notable oil and gas finds. barrels of oil imported into the US during And these are expected to help push 2015, underlining this importance.

Canadian output up in the decades to With Canada’s size opening numerous

06 SPRING 2016 www.frontierenergy.info

upstream possibilities for investors, this potential is located along multiple areas and play types. Above the Arctic Circle, both offshore and onshore areas in the Northwest Territories have pulled in significant investment, including the Canol and Hare-Indian shales. Though prospects here (like elsewhere) have been knocked back by the oil price slump there are a number of world-scale projects on the drawing board. The $16 billion Mackenzie Gas Project, in the far northwest of Canada, for instance, could deliver as much as 1.2 billion cubic feet per day of natural gas through the proposed Mackenzie Valley Pipeline, if it goes ahead.

Beneath the Arctic Circle, eastern Canada too has been generating a lot of attention from upstream oil and gas explorers tracking new opportunities.

Again, this is another area where there is confirmed hydrocarbon potential. The offshore area spanning Newfoundland and Labrador, and Nova Scotia further south, opens up a whole new frontier territory, which again could inject momentum into Canada’s oil and gas production future.

ATLANTIC CANADA

And even with depressed oil prices, it remains an area that the industry seems keen to get to grips with.

Atlantic Canada

Photos: Petro-Canada, Stena Drilling & Sunoco

Certainly in terms of the country’s offshore potential, it is eastern Canada that holds all the cards. Newfoundland and Labrador alone account for around 80% of the nation’s total offshore petroleum and a third of its light crude.

Key established producing fields include Hibernia (first oil in 1997), Terra Nova (firs oil in 2002) and White Rose (first oil in 2005). These fields sit 350 km southeast of the provincial capital, St John’s, in the busy Jeanne d’Arc Basin. With such a huge, sweeping offshore expanse pushing out into the Atlantic, however, more is sure to come.

Other major projects in the pipeline include Hebron, where first oil is still planned for next year by operator ExxonMobil, despite the oil price drop.

First discovered in 1980, the heavy oil field, which will produce more than 700 million barrels of recoverable resources, is located on the Grand Banks in the Atlantic Ocean, also in the Jeanne d’Arc Basin. The field is being developed using a stand-alone concrete gravity based structure (GBS) that consists of a reinforced concrete

structure designed to withstand sea ice, icebergs and meteorological and oceanographic conditions. The Bull Arm fabrication yard, located near St. John's, has served as the preparation site for construction of the GBS, which is designed to store 1.2 million barrels of crude.

Perhaps more significant for the longer term is that new discoveries are still being made. Statoil is sitting on a bunch of oil discoveries, including the challenging deepwater Bay du Nord oil discovery in the Flemish Pass Basin, about 500 km northeast of St. John’s, and announced in mid-2013. Other finds nearby include Harpoon and Mizzen. Three years ago, the company described the area as a “strategic part of its global exploration portfolio”, and it has continued to test the area with more drilling despite financial constraints. Indeed, Statoil’s acquisition of six more exploration blocks in the Flemish Pass Basin at the end of 2015, plus two others off Nova Scotia, underscore its interest in Atlantic Canada. Chevron, ExxonMobil, BP and BG were among the other big industry names to pick up new acreage last year, showing keen appetite for this frontier area, despite the current challenging economics. In total, the results of the province’s first-ever scheduled land sale last November brought in bids totalling $1.2 billion for parcels around the Flemish Pass.

Growth potential

The White Rose development uses a floating production storage and offloading (FPSO) vessel, the SeaRose

It is quite an accomplishment at a time when, around the world, much of the oil industry is in retreat. It’s true that revenue flows back to the Canadian authorities have been choked by the oil price crash, and yet officials remain bullish about the whole region’s prospects.

Nalcor Energy, a

The harbour area at St John’s in Newfoundland

provincial energy corporation that holds an interest in all of Newfoundland and Labrador’s existing offshore fields in production, including the Hebron project, is playing an important role. It has been driving one of the largest ongoing seismic programs in the world in recent years, acquiring over 110,000 km of 2D seismic since 2011. This has been supplemented by 3D seismic, 3D electromagnetics, satellite slick collection and analysis, and a comprehensive Metocean study - all critical data that now underpins current exploration activity in the area.

With Statoil still probing its Bay du Nord discovery and ExxonMobil busy at Hebron, others are also on the prowl.

Shell has a drillship patrolling the Shelburne Basin, some 250 km south of Halifax, Nova Scotia. The deepwater drilling programme is testing an area known as the Southwest Scotian Shelf, in water depths ranging from 1,500-3,500 metres. The first of two wells kicked off late last year using the Stena IceMAX rig, although the project hit delays after a 2,000-metre riser was accidentally dropped to the bottom of the ocean during rough weather on March 5. A new replacement riser has arrived, although Shell is keen to conclude investigations into the incident before resuming drilling operations. The frontier exploratory work, at such a testing time for much of the industry, clearly highlights Atlantic Canada’s broad appeal.

As well as oil production, the area holds immense potential for gas exports too. Indeed, Nova Scotia is lining up no less than four potential liquefied natural gas (LNG) schemes long-term although it remains to be seen whether all of these will see the light of day. The more advanced of these include Pieridae Energy’s Goldboro LNG initiative and LNGL’s Bear Head project, with both lining up tentative start dates around the end of the decade.

www.frontierenergy.info SPRING 2016 07

ATLANTIC CANADA

BIDDERS LINE UP for 2016 acreage

After the success of its first bid round last year, the Canada-Newfoundland and Labrador Offshore Petroleum Board is making more acreage available in 2016

B

ucking the trend of the global offshore industry, Atlantic Canada’s so-called iceberg alley region looks set to secure more inward investment later this year.

The Canada-Newfoundland and Labrador Offshore Petroleum Board (C-NLOPB) has issued two calls for bids for new acreage in and around the Eastern Newfoundland and Jeanne d’Arc regions.

In total, there are a 13 plots up for grabs, with nine in the Eastern Newfoundland region, covering a total offshore area of almost three million hectares, an area with no exploration licences granted to date. It is also in a region northwest of the frontier Flemish Pass basin, which garnered significant interest in the last round of bids.

Three more parcels are available this year in the Jeanne d’Arc region - an area where there is already long established oil production - covering a further 350,000 hectares.

The offshore regulator would have taken encouragement from last year’s auction, with pledges from industry big guns like Shell, BP and ExxonMobil to spend over $1 billion on new exploration work.

At the launch of this year’s round, in April, Siobhan Coady, Newfoundland and Labrador Minister of Natural Resources, said the province is “well underway” with an independent

08 SPRING 2016 www.frontierenergy.info

Image: C-NLOPB

Resource assessment

ATLANTIC CANADA

resource assessment for the new blocks in the Eastern Newfoundland region. The results of this resource assessment are to be issued publicly ahead of the closing of the licence round, she said.

“Offshore Newfoundland and Labrador is considered one of the best frontier regions in the world today with significant new basin areas and over 350 leads and prospects in our offshore defined to date from new seismic work,” she said. “We look forward to a positive call for bids and to continued exploration and development.”

The sole criterion to be used for all parcels will be the total amount of money the bidder commits to expend on exploration, with the government keen to raise as much cash as possible from the sale.

Photo: Suncor

Cautiously optimistic Even with the new lease sales, Atlantic Canada still holds tremendous untouched potential, across over 20 offshore sedimentary basins in Newfoundland and Labrador alone. Technically a sub-Arctic

location, it is an area that poses significant environmental challenges for all operators, from icebergs and pack ice, through Hibernia field: located 315 km off St John’s to hurricanes and high waves.

The vast under “cautiously optimistic” about prospects explored area presents an offshore region despite the difficult times facing the larger than the US Gulf of Mexico or the industry generally. Production growth is Norwegian Continental Shelf. expected with the C-NLOPB has a launch next year of schedule to release the Hebron field, more acreage Offshore Newfoundland and substantial to the industry and Labrador is considered exploration work through the next continues. five years, including one of the best frontier It’s true these untouched regions in the world today may not be the parts of both easiest of times Newfoundland for the industry, and Labrador. In a presentation earlier this year, Craig Rowe, but officials and operators are making a real go of it in the pursuit of Canada’s the board’s director of exploration and offshore treasures. information resources said that he was

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ATLANTIC CANADA

Beneath the waves: the quest for frontier oil requires teamwork

A COLLABORATIVE APPROACH

TO EXPLORATION

Frontier joint industry products and technology initiatives for the Atlantic Canada offshore region. By Mike Paulin of Intecsea

FLEXAS Advanced simulation can be used to aid in decisions resulting in economic investment and field development in harsh environments. Modelling of large scale offshore systems (hulls, risers, connectors, etc.) to assess the structural integrity during extreme loading conditions provides confidence in the design of such an installation. FLEXAS, INTECSEA’s

10 SPRING 2016 www.frontierenergy.info

proprietary finite element structural analysis solver, provides accurate and cost-effective modelling and simulation, as highlighted in Figure 1.

Figure 1: Finite element model detail with stress concentration detail

Structural integrity assessments are often based on crude simulations of an idealised model due to severe computational constraints. In most cases, these constraints also impose a regular wave, de-coupled stress methodology on the fatigue assessment which inherently results in significant over-conservatism.

Offshore Newfoundland and Nova Scotia environments have high metocean conditions and structures in these regions may be conservatively designed with increased design loads and higher development costs. Overly conservative and unreliable service-life predictions, as well as reactive maintenance schemes, lead to high-cost, marginal, and generally unattractive field developments.

FLEXAS improves the accuracy of stress

calculations and enables additional sensitivity analyses for improved design.

FLEXAS overcomes constraints by leveraging advanced computational methodologies. The superior solution efficiency provided by FLEXAS enables the direct inclusion of highly sophisticated 3D models into large scale, dynamic simulation with long duration irregular wave inputs. This framework allows detailed inspection data to be captured in the 3D models and incorporated into the simulations, enabling a comprehensive risk-based strategy to be developed for integrity management. Accurate, meaningful service-life predictions lead to proactive maintenance, reduced cost, attractive field developments and optimised life extension.

Low motion FPSO and tension leg semisubmersibles Currently in some cold region fields, Floating Production Storage and Offloading (FPSOs) facilities use subsea production trees and manifolds and a turret-moored system to disconnect the vessel in the event the vessel must move off-station due to unmanageable environmental / metocean conditions, storms or iceberg approach. INTECSEA’s low motion (LM) FPSOs (with storage), and Tension Leg Semi-submersibles (TLS, without storage), Figure 2, have been innovatively designed for dry tree applications in deep water and harsh environments with persistent wave swells.

Dry trees are preferred in some fields due to the well fluid’s vertical flow path, which minimises flow assurance issues

Images: Intecsea

H

arsh environments, including offshore Atlantic Canada and Arctic locations, have long been considered a new frontier for oil and gas development. The offshore hydrocarbon potential in Atlantic Canada is significant with an anticipated 300 to 600 million barrels of recoverable light crude in the Bay du Nord development, and an in-place resource estimate of 120 trillion cubic feet of gas and eight billion barrels of oil in the deepwater Scotian shelf offshore Nova Scotia. These deepwater resources require technological advances and innovation to be developed safely, efficiently, and economically.

Focused research and development is fundamental to the safe and economic development of resource-rich harsh environments, with the purpose of expanding current capabilities and minimising risk to construction and operations. There are several initiatives and joint industry projects (JIPs) taking place within INTECSEA, including contributions from Atlantic Canada, with advanced topics ranging from a largescale structural integrity solver (FLEXAS) to a low motion floating production unit concepts to marine micropile technology.

ATLANTIC CANADA

and provides direct vertical access for well intervention. LM FPSO and TLS also show advantages over the conventional designs in wet-tree applications.

Both the LM-FPSO and TLS utilize a free-hanging solid ballast tank (SBT) connected a certain distance below the hull through four groups of tendons. The technology lowers the centre of gravity of the floater and provides significantly increased stability. The SBT significantly increases the floater’s heave natural period mainly through its own weight and the added mass on its extended surface. It further significantly lowers the platform response in the heave and rotational directions providing superior motion Figure 3: Marine Micropile Components and Subsea Template response over any other floater design.

The in-water weight of the SBT keeps which can be disconnected by means of marine applications, including anchors, the tendons under tension in extreme acoustic signals. When disconnected the foundations and pipeline stabilisation. metocean conditions (e.g., hurricane-type buoy is designed to settle deep below Micropiles are drilled into the seafloor or extreme winter storm environmental the water line at the target elevation. from a seabed drilling rig and then actions) and ensures full coupling The buoys horizontal motions after the grouted in place through a template that especially in the heave, roll, and pitch disconnection is restrained by means of forms the foundation fixation assembly directions between the hull and the SBT. a group of hold-back ropes attached to (Figure 3). They consist of threaded With their superior motion responses, the TTR buoyancy platform. These hold hollow rods drilled into the seafloor at an the LM-FPSO and TLS becomes suitable adjustable angle and at variable lengths, back ropes are designed to remain slack hosts for Top Tensioned Risers (TTRs) depending on the seafloor material and for all in-place conditions. The system and dry-tree applications. TTRs can be the required axial and lateral foundation is designed to reconnect back after the designed to be disconnectable for harsh fixation holding capacity. The micropiles iceberg has passed. environments with high risk of icebergs. may be pre-tensioned immediately The point of disconnection is located following installation as a means of Marine micropiles a sufficient distance below the SBT to testing their capacity and significantly Parts of the seabed offshore avoid interference during connections enhancing the lateral resistance of the Newfoundland are extremely hard or disconnections. The upper risers are foundation fixation assembly. By contrast, supported by tensioners on the floater and (often termed ‘hardpan’) and not very conventional anchors and foundations accommodating to commonly used the deeper lower risers are supported by currently include large diameter monosuction piles for seabed connections. a buoyancy platform provided to keep piles, gravity bases and steel spread Marine micropiles are a new technology the lower portion of the TTRs in tension foundations that are passively secured by after disconnection. The buoyancy believed to be ideal for seabed conditions large driven piles. For floating structures, tanks reduce the semi payload and the in Atlantic Canada. Micropiles may drag embedment anchors and clump tensioner load rating. The location of provide a lower cost solution and a highly (‘deadweight’) anchors are also used. the disconnection point is dictated by the scalable approach to a broad range of Pipelines are often ‘anchored’ by being design draft of icebergs covered with gravel, which can be a cost in the area, plus a prohibitive option. safety factor, the surge sway response of the Technology benefits floater (based on wave These JIPs and Technology Initiatives motion analysis), and being led by INTECSEA exhibit great the extreme and longpotential to advance harsh environment term current profiles. A development in a cost-effective and disconnectable mooring safe manner, and unlock previously system has also been undeveloped or underdeveloped Arctic developed to enable the resources that were previously left in floater disconnection. place due to environmental risk and The chain segments uncertainty in such regions. are provided with inline buoys with a built-in disconnectable Mike Paulin is Operations Director Canada mooring connector at INTECSEA (intecsea.com) Figure 2: The Low Motion FPSO and Tension Leg Semisubmersible (TLS)

www.frontierenergy.info SPRING 2016 11

ATLANTIC CANADA

Research hub: Memorial University of Newfoundland is undertaking critical Arctic research

Memorial University project team in Helsinki.

Left to right: Dr. Faisal Khan, Doug Smith, Faisal Fahd, Mawuli Afenyo

Assessing and minimising risk: OIL SPILLS AND SHIPPING

T

he combination of accelerated melting of polar ice, prospects for increased shipping, and the potential for oil spills are galvanising researchers in Canada and Finland to address knowledge gaps regarding transits in ice-covered waters.

Mawuli Afenyo and Doug Smith at Memorial University of Newfoundland in St. John’s and Maisa Nevalainen at the University of Helsinki, Finland are PhD candidates focused on these issues through an international research initiative spearheaded by the Joint Research Center of Excellence for Arctic Shipping and Operations based at Aalto University (Finland). The five-year project, that began in 2013, includes thirteen PhD and two Master’s degree students at five universities in Finland, Norway, Germany, and Canada: (1) Aalto University (Aalto U), Helsinki, Finland; (2) University of Helsinki (UH), Helsinki, Finland; (3) Norwegian University of Science and Technology (NUST), Trondheim, Norway;(4) Technical University of Hamburg (TUH), Hamburg, Germany; and (5) Memorial University of Newfoundland (MUN), St. John’s, Canada. The research projects are supported by £1.7 million from Lloyd’s Register Foundation.

Mawuli Afenyo, who has a Master’s degree in Petroleum Engineering and an MBA in Green Energy, is conducting his research at Memorial University in St. John’s, Newfoundland. He is developing models to determine the dispersion pattern of oil post-spill in icy waters.

He is developing a ‘multimedia’ model

12 SPRING 2016 www.frontierenergy.info

that will predict the concentration of pollutants in the air, water, ice, and sediment. The values obtained could be compared with the accepted threshold values for pollutants in a particular jurisdiction. “Government agencies can decide if it’s really risky, or if it’s okay,” he says. Afenyo notes that there are complex and simultaneous processes that occur immediately following a spill including evaporation, sinking, biodegradation, and emulsification. “The oil can spread on the ice, you can have it on-snow, and it can be encapsulated in ice. The oil can go below the ice as well,” he says, adding that due to a lack of field experiments, there is little real-world data to indicate how oil actually behaves in ice.

He is following the lead of Norwegians who have done some numerical modeling of oil in ice conditions. The aim is for responders to use his models to determine the physiochemical properties of the oil to aid in a response effort. Afenyo notes that there is little known about encapsulation the process whereby oil becomes trapped in ice - and its eventual release into the water. Noting that encapsulation is missing in most oil spill models, he will be investigating this process to understand its mechanisms. Afenyo will be presenting a paper on his ongoing work at the Arctic Technology Conference in St. John‘s in October 2016.

In order to run his models using Arctic data, Afenyo is collaborating with Maisa Nevalainen, a PhD candidate in Environmental Sciences at the University of Helsinki, Finland who is focused

on the ecosystem impacts of an oil spill in the Russian Arctic. Afenyo’s models showing where a pre-determined amount of oil would go following a spill will interact with Nevalainen’s models, which will show impacts on animals, from predators at the apex of the food chain down to invertebrates.

To gather the quantitative data, she will be interviewing subject matter experts, asking them about probabilities regarding acute impacts of oil on different animal groups in the Arctic, combining their accumulated knowledge, and adding historical and toxicological data. She is building ecotoxicological models that represent species for which toxicological data is available (such as invertebrates).

Nevalainen and her colleagues have developed a framework for quantitative oil risk assessment in the Arctic. “To our knowledge,” she says, “this is the first holistic picture of the ecological entities and their interactions that should be taken into account when analysing the risks to the Arctic environment posed by oil transportation.” Nevalainen adds that they are using Bayesian theory for the risk assessment because Bayesian networks handle uncertainty explicitly, can aggregate low- to high-precision information from a variety of sources, and update easily when new information becomes available.

Improved understanding of impacts on Arctic species will enable a more realistic assessment of risk. “We should understand better how big the risk is,” she says. “Right now, environmental groups are saying the risk is enormous, and oil companies are

Photos: Memorial University of Newfoundland

An exploration into the work of Memorial University of Newfoundland in St. John’s, one of Canada’s premier learning institutions, and a hotbed of research for the shipping, technology and oil industries in the Arctic region. By Andrew Safer

ATLANTIC CANADA

saying they are being safe, so no worries.

I’m hoping to find some actual number in between those two.” Afenyo and Nevalainen will be validating their models by using data that is available for the Kara Sea in the Arctic Ocean, north of Siberia.

Doug Smith, an Ocean and Naval Architectural Engineering PhD candidate at Memorial University, is taking a holistic approach to building a model that can be used to help prevent shipping accidents from occurring. Since accident information for Arctic shipping is scarce, rather than depending on historical data, he is developing models that use what is learned from successful operations - how work actually gets done - and variability that can impact overall operations. “Variability” refers to an event or circumstance that falls outside of the expectation of the idealised workflow, such as the variable ice conditions that must be dealt with regardless of the expected conditions. “A good communication structure within the organisation is a critical element with respect to safety,” says Smith. He adds that operators should have the same mental model of the operation as the engineers and management. The key is to have a consistent and realistic mental model. “Then, things that are outside the norm raise flags for the operators,” observes Smith.

To build his model, Smith is using the functional resonance analysis method (FRAM), which incorporates an understanding of variability within the system, which is present in both successful operations and accidents. The model will include both variability and the adjustments that have been made to accommodate it successfully, and occasionally, unsuccessfully. He plans to collect information from captains, chief engineers, and others on board ships who have first-hand knowledge of shipping operations and variability, and what was done to keep operations safe.

Dr. Brian Veitch, professor of Ocean and Naval Architectural Engineering at Memorial University, supervises Smith’s research. “Rather than focus

exclusively on past accidents as a source of insight, we’re trying to understand why shipping operations are almost always successful,” he says. “That is, we’re investigating who and what make an operation robust and resilient in the face of changing circumstances.” He sees great value in taking a human factors approach to preventing shipping accidents.

Recently, Afenyo took a flight to the University of Helsinki to collaborate with Nevalainen for three months. “They each have a piece of the puzzle,” Dr. Veitch says, “and they’re going to join

them so they can do something bigger than the sum of the parts.” They will be developing a risk assessment model for Arctic shipping and applying it to a case study in the Kara Sea. Afenyo, Nevalainen, and Smith plan to publish the results of their work in scientific papers. Information regarding their findings will be available on the Research Center of Excellence for Arctic Shipping and Operations web site: www.cearctic.aalto.fi/en/

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PROJECT FOCUS

Goliat

UP, UP AND AWAY

W

hen history looks back at how the Arctic was opened up to oil and gas production, the evening of March 12, 2016 will no doubt be an important date in the record books. This was the day that Norway’s mighty Goliat field - the first offshore field in the Norwegian Barents Sea - started producing oil.

The field, which is estimated to contain about 180 million barrels of crude, will go on to produce roughly 100,000 barrels of oil per day (bpd) at peak, a significant contribution to Norway’s oil numbers. Field life is currently estimated at around 20 years, although with significant upside already identified, this could well be prolonged.

A month after start-up, on April 18, the project was officially inaugurated by Norwegian Minister of Petroleum and Energy, Tord Lien.

It was a time for the project team, operated by Eni Norge in partnership with Statoil, to celebrate and perhaps to to breathe a collective sigh of relief after the many years of planning and hard work that had gone into the multi-billion dollar development. The complexity of the project was on a scale like no other.

Beneath the waves, production will 14 SPRING 2016 www.frontierenergy.info

be facilitated using a subsea network consisting of more than 20 wells (17 of which are already completed). In total, there will be 12 production wells, seven water injectors and three gas injectors.

Hydro power from shore reduces carbon dioxide emissions from the Goliat field by up to 50%

Technology leap As the first oil field to come on stream in the Barents Sea, the field applies several ground breaking technologies, which will also benefit the industry in future developments.

Specially built for the northern seas, the Goliat field is located 88 km north west of Hammerfest and boasts the world's largest and most sophisticated circular, floating, production, storage and offloading (FPSO) unit. The platform is fully winterised and is specially designed for harsh weather operations, and holds a

storage capacity of 950,000 barrels.

It is powered from shore through a subsea electrical cable, which, at the time of construction, was the longest of its kind ever made. Hydro power from shore reduces carbon dioxide emissions from the Goliat field by up to 50%, which equals the emissions from roughly 50,000 cars every year.

The development has already contributed to substantial ripple effects for the local economy, positively impacting the supplier industry in all of Norway, and northern Norway, in particular. What’s more, Goliat operations will deliver income both to the Norwegian state and to the project partners for years to come.

Recent research shows that goods and services worth around NOK1.3 billion have been generated by regional suppliers, creating around 450 jobs. Further positive impacts have been seen in areas such as education, research and development, culture and even the travel industry.

Additional ripple effects resulting from Goliat operations and maintenance are expected in the future.

Soon after production started, it was followed by a rapid production ramp-up

Photos: Eni Norge

The giant subsea templates placed on the sea floor

Norway’s flagship Goliat project is finally producing oil, marking an important milestone in the history of the development of the Arctic’s precious oil and gas resources

PROJECT FOCUS

First production commenced on the evening of March 12, 2016

of all wells. Full re-injection of associated gas into the reservoir has commenced as well as re-injection of produced water in order to minimise environmental impact.

Emergency preparedness

Pooling of resources is a feature of the emergency preparedness plan

Norway, it entails the provision of mutual assistance by vessels in connection with the NCA’s emergency towing arrangements and Eni Norge’s activities at the Goliat field.The goal is optimal utilisation of vessel capacity permanently stationed in the area in the event of unforeseen incidents and suspensions in operations.

similarly vast in scale, with eight large subsea templates, all fabricated by Aker Solutions, supporting the wide network of production and injector wells.

The giant subsea templates - each weighing about 300 tonnes, and standing 25 metres high, 33 metres long and 23 metres wide - were installed back in 2011.

The sheer weight of the structures causes the suction anchors to sink into the sea bed when placed down, then water and air are drawn out to get the structure in a stable position. When fully installed, the subsea template stands at around 6.8 metres high. It is also constructed in a way that fishing vessels can deploy their trawling equipment across it without becoming snagged.

The Goliat project also resulted in plenty of work for transportation players. Knudsen NYK Offshore Tankers was awarded the contract for transport of Eni Norge’s share of oil from the field. This award led Knudsen to order two new tankers from Hyundai - Torill Knutsen and Hilda Knutsen - with both ships now delivered.

Shuttle tankers will call at Goliat on a weekly basis to collect 850,000 barrels of oil from the FPSO. Statoil will collect its share of production using its own tanker, Eagle Barents.

It is a big moment for the operator, Eni, operating through its subsidiary Eni Norge AS, which has been present and active in Industry contracts Norway since 1965. The company has The project has been a long time interests in a bunch of exploration licences and producing fields such as Ekofisk, Norne, in the making, however. As well as the innovative shore-to-platform Åsgard, Heidrun, Kristin, Mikkel and Urd, electrification network, and the with a total production in 2015 of 106,000 enormous, cylindrical FPSO, there are barrels of oil equivalent per day (boed). plenty of other technology milestones too.

With Goliat, Eni Norge’s net equity That includes production will the oil offloading leap up to above system from the 160,000 boed.

Underneath the water, the FPSO, which “This is a subsea system is similarly is designed for proud moment vast in scale, with eight large Arctic conditions. for everyone at Goliat uses a a Eni Norge,” said subsea templates geostationary Andreas Wulff, Eni FPSO so the tanker Norge’s external can move relative communication to the platform in response to prevailing manager on the launch of the project. weather conditions. The hose is longer “It is the culmination of years of hard than what is normally used, almost work by many dedicated people. We 400 metres. The system is housed in an are now entering into a new phase as enclosure to prevent icing. operator on the Norwegian continental The offloading system consists of a hose shelf; the start-up of production from reel, a hose and a hose Goliat is an important milestone in Eni’s suspension system. The growth strategy.” suspension system is in the In terms of emergency and safety form of a platform hanging measures, the Goliat project also on the oustide of the hull, introduces new technologies and which ensures a safe distance standards for oil spill preparedness on between the hose and the hull. the Norwegian Continental Shelf. For The suspension system the first time in Norway, the local fishing is constructed to prevent fleet is a permanent part of the oil spill excessive loading of the preparedness organisation. Last year, Eni hose reel, which, including Norge announced a mutual assistance its supporting structure, pact with the Norwegian Coastal is 12.5 metres in diameter Administration (NCA) for shared use of and 15 metres wide. support vessels in and around the Goliat Underneath the water, project area.

The project is connected by a network of subsea wells and cabling the subsea system is The first agreement of its type in

www.frontierenergy.info SPRING 2016 15

OFFSHORE STRUCTURES

Arctic futures: Sevan’s cylindrical rig concept

THE WORLD’S

Sevan Marine’s cylindrical rig concept could help to sway some of the commercial and technical arguments holding back upstream developments in the challenging Arctic region

16 SPRING 2016 www.frontierenergy.info

T

he challenge of ice incursion remains a major obstacle to prolonged drilling operations in Arctic waters, posing a technical risk for traditional rigs and restricting them to work in the short ice-free season.

Development of new rig concepts with the ice-breaking capability needed to extend the operational window is seen as a critical enabler to unlock potentially vast untapped hydrocarbon resources trapped hundreds of metres beneath the Arctic seafloor.

The potential value of these resources has been undermined by falling oil prices, however, discouraging explorers from prospecting in a high-cost frontier region fraught with environmental risk and leaving new rig development projects in the freezer.

However, Sevan Marine has not given

up on its innovative cylindrical Arctic rig concept and is now seeking a progressiveminded client willing to break the ice and make it a commercial reality. The Norwegian floating technology developer remains, unsurprisingly, convinced of the concept’s commercial and technical merits, given the circular hull’s proven capability in harsh environments.

Sevan developed a version of its cylindrical hull with ice-breaking capability that was verified by scale-model testing in an ice test facility. The tests were carried out as part of a study for Statoil related to the Shtokman gas project off Russia, which has since been shelved.

Extreme conditions of annual and multiyear ice up to two metres thick, ice ridges with a depth of up to two metres and sheet ice with a drift speed of up to two

Photos: Sevan Marine

MOST ICONIC RIG

OFFSHORE STRUCTURES

so-called ICE concept from Norwegian to variable drift. Ice loads hitting different metres per second were modelled during classification society DNV GL. Major the tests. In order to withstand such severe parts of the vessel pose a greater risk to says the company is now also looking at a position-keeping for ship-shaped vessels. sea ice, the hull shape was modified to potential hybrid floating production unit Sevan’s business development chief make it slope outward, thereby giving the with drilling capability for Arctic waters.

Fredrik Major claims the concept has a rig better ice-breaking capability than one He contends the cylindrical drilling unit significant cost advantage over a drillship, with a perpendicular side. “is a simple and robust design that would as it does not Last year, Sevan, be easy to construct”, given it is based on have a costly in collaboration proven technology, and he is hopeful of and complicated with Seadrill-owned The Norwegian floating seeing a newbuild Arctic rig hitting the ice turret that would Sevan Drilling and technology developer remains, within five to 10 years. be required on a North Atlantic However, getting the Arctic rig concept ship-shaped unit for Drilling, developed unsurprisingly, convinced of from the drawing board to the shipyard vaning in ice. a drilling unit the concept’s commercial and remains a conundrum in the current He pointed out suitable for the technical merits investment climate, with no one yet that a drillship Arctic, following a willing to take the risk of adopting the would be required study commissioned concept for a concrete project. to have mooring

by ExxonMobil.

Major admits low oil prices, coupled lines housed The trademark with earlier rig incidents for Shell off together with drilling equipment within cylindrical design is already in use Alaska and sanctions on Russia, have acted the turret, which would make for “a very for drilling, floating production and as a dampener on industry interest for complex and congested area”. accommodation units operating in the The Sevan rig, on the other hand, would investments in new Arctic rig technology.

North Sea, Gulf of Mexico and Brazil.

Even so, he insists it is a potential have enclosed mooring lines and carry out Sevan has also applied its experience in game-changer as it would facilitate a developing the Sevan 1000 FPSO for Eni’s drilling through a protected moonpool. “significant extension” of the drilling “The circular shape makes it better Goliat oilfield in the sub-Arctic Barents season in the Arctic, thereby cutting able to withstand pressure from ice with Sea off Norway, where operation in a rig costs due to prolonged utilisation varying drift direction than drillships, cold climate required significant and less need for while avoiding new developments. mobilisation. the risk of For drilling applications in Arctic Sevan chief encroachment from environments, the design offers the executive Carl drifting ice with an possibility of seasonal extension, limited The cylindrical design also Lieungh contends open-hulled semionly by the availability of supply eliminates the need for the concept could submersible unit,” services. The rig would be able to work “ice-vaning” compared with still offer economic Major says. self-sufficiently in the Arctic for at least benefits for costThe company 60 days and is intended for permanent ship-shaped units, which are conscious oil is also touting mooring in order to resist ice loads. more exposed to variable drift companies willing the inherent Topsides, including pipework and to think counteradvantages of the cabling, would be fully enclosed on the cyclically in the circular concept winterised unit, which would also have current climate, in terms of high a rapidly disconnectable mooring system both in terms of reduced newbuild prices deckload capacity and improved stability so the rig could make a quick getaway in and the estimated 15% to 25% lower cost in harsh environments. areas exposed to icebergs or extreme of the cylindrical design compared with The winterisation issue is, of course, ice conditions. traditional drillships. a major challenge in developing such The cylindrical design also eliminates He says: “All the engineering is units capable of operating in extreme the need for ‘ice-vaning’ compared with basically done and the Arctic rig concept ship-shaped units, which are more exposed temperatures as low as -500 Celsius. is close to completion, so it is really only Again, the experience a matter of finding the right prospect and gained from the Goliat unit, the right client.” which has fully enclosed The company has received inquiries topsides and a heating from players looking at possible system to de-ice critical application of the technology in areas equipment and areas, has where previously traditional solutions proven instructive for have been used, he says. development of the Arctic “The present focus on cost-cutting amid rig. Furthermore, ventilation low oil prices is positive for the industry. panels have been developed We believe that, for certain areas, to maintain an enclosure applications and projects, we may have a that keeps out snow and good solution also from that perspective,” wind while facilitating Lieungh says. natural ventilation in the event of gas leaks.

Sevan has already gained This article originally appeared in Upstream Technology Self-sufficient: a rig built to last approval in principle for the and has been reproduced with permission www.frontierenergy.info SPRING 2016 17

SHIPPING

Striving for

SAFER POLAR SHIPPING The Polar Code provides tools for assessing operational limits, but there is still work to be done to ensure greater safety for vessels in polar waters. By John Dolny and Han Yu of ABS

required for all polar ships, is intended to support decision-making during operations. The PWOM has to include relevant procedures for operations in ice and in low temperatures, communication and navigation capabilities in high latitudes, voyage planning to avoid ice or temperatures that exceed the ship’s design capabilities or limitations, and arrangements for receiving forecasts of ice and environmental conditions.

Meeting the requirements From a structural risk perspective, the Polar Code emphasises the need to have documented ice operational limitations in the PWOM and referenced on the Polar Ship Certificate. To help define the limitations, the IMO developed a harmonised methodology based on several existing systems used throughout different domestic jurisdictions. The Polar Operational Limit Assessment Risk Indexing System (POLARIS) can be used for ice class selection in the early stage of design, voyage planning for operations, or on-board decision-making in real time on the bridge. While it is not intended to replace an experienced master’s judgment, POLARIS offers a viable tool for risk analysis to assess ice conditions. A Risk Index Outcome (RIO) is determined from the following simple calculation as a function of ice types in a

A positive RIO indicates an acceptable risk level, while a negative RIO indicates a higher level of risk

18 SPRING 2016 www.frontierenergy.info

particular ice regime, ice concentrations, and a ship’s ice class.

RIO = (C1×RV1)+(C2×RV2) +(C3×RV3)+(C4×RV4)

In the calculation, C1…C4 represent partial concentrations of ice within an ice regime and RV1…RV4 represent the corresponding risk index values for a given Ice Class. The Risk Values (RV) are a function of ice class and ice types.

They can be modified according to the season of operation and operational state (i.e. independent operation or icebreaker escort). Risk levels increase with increasing ice thickness and decreasing ice class.

A positive RIO indicates an acceptable risk level for normal operations. A negative RIO indicates an increased risk level, potentially to unacceptable levels.

Criteria established for negative RIOs provide guidelines for reassessing and adjusting operations to meet acceptable risk standards – “elevated operational risk” – or stopping operations altogether – “operation subject to special consideration.”

Of particular interest is the application of POLARIS to evaluate the safety of ships transporting hydrocarbon products in Arctic waters. Vessels engaged in transporting crude oil and liquefied natural gas (LNG) from the Russian Arctic regions will be subject to the Polar Code. The Northern Sea Route (NSR) runs along the Russian Arctic coast between the Kara Gate and the Bering Strait and provides a shorter transit distance between northern European and Asian ports that ordinarily are reached via the Suez Canal. The value of such a dramatically shortened route is obvious, which is why so much attention has gone toward determining safety levels for transit. Regular hydrocarbon shipments from Russia through the NSR are likely

Image: ABS

T

he International Maritime Organisation (IMO) formally adopted the Polar Code in 2015 as the culmination of a 20+ year international effort to promote safety and reduce the potential for environmental pollution from the increasing number of vessels operating in Arctic and Antarctic waters. The Code will enter into force for new ships on January 1, 2017. Existing ships have until their first intermediate or renewal survey after January 1, 2018 to comply.

The Polar Code introduces a broad spectrum of new binding regulations covering elements of ship design, construction, onboard equipment and machinery, operational procedures, training standards, and pollution prevention. In general, the Polar Code is mandatory for all new and existing ships certified in accordance with the Safety of Life at Sea (SOLAS) Convention, operating on international or domestic voyages within the IMO-defined boundaries of Arctic waters and the Antarctic area.

One of the new mandates affecting the operations is the requirement to maintain comprehensive documentation, providing the crew with sufficient operational safety guidance in the anticipated environmental conditions and defining how the crew should respond to incidents that could arise. A Polar Water Operational Manual (PWOM),

SHIPPING

to begin in the near term. Reports indicate the first train of the Yamal LNG project will be completed in 2017, and crude oil exports from Novy Port on the Ob River in the Yamal area also are expected in the near future.

A case in point Examining a particular application of POLARIS helps to illustrate its value in interpreting available sea ice charts. In this case, POLARIS is used to evaluate ice charts provided by the Arctic and Antarctic Research Institute (AARI), a Russian state scientific research centre focused on the study of polar regions. The POLARIS methodology is used to evaluate the operability of three ice classes in the NSR region: IA (Polar Ship Category C) and PC6 and PC7 (Polar Ship Category B).

The POLARIS Risk Index Outcomes (RIOs) for a 2015 transit of an Ice Class 1A ship transiting the NSR in midSeptember – leaving northern Europe on 12 September and exiting through the Bering Strait eight days later toward a destination in East Asia – were notably positive. The charts indicate favourable ice conditions, with the route being practically ice free throughout the voyage.

The POLARIS RIOs for the same time period in previous years tell a different story. A comparison of the ‘average’ POLARIS RIOs for the same time period based on the previous five years of ice data (2011-2015) provide a general sense of the severity of ice conditions for which ships with Ice Classes 1A, PC7, and PC6 are evaluated. Results indicate that 2015 was a light ice season with relatively benign conditions, mostly open water or ice free. However on average, more difficult conditions should be expected.

POLARIS demonstrates that Ice Class PC7 and PC6 would be able to make relatively regular transits along the NSR in September, but it identifies potential risks that should be addressed. POLARIS permits Polar Class ships to navigate in negative RIOs (0 < RIO <-10) but to do so under “elevated operational risk,” which generally implies slower transit speeds. The outcome of this kind of study illustrates how informed decisions about ice class selection and voyage planning can be made using POLARIS so risk can be managed appropriately.

therefore not reflected in the POLARIS analysis. In addition, ice charts typically are produced on a weekly basis and therefore do not fully capture the shortterm variability of conditions, which can be highly dynamic and can change rapidly over very short time periods.

This risk evaluation system was created as a first step to enhancing and refining

standards for Arctic operations. While there is room for improvement, POLARIS marks the beginning of the journey toward safer management of Arctic and Antarctic transits.

Additional guidelines and standards are needed, and ABS will continue in its role of helping to develop tools for safer Polar operations.

Limitations and improvements While POLARIS offers guidance, it is important to recognise that limitations and uncertainty in the ice chart data affect the extent to which POLARIS can be relied upon. For example, ridged ice and rubble fields are not included in the charts and

The top map shows POLARIS Risk Index Outcomes (RIOs) for a 2015 transit through the NSR in mid-September. The other three maps compare the “average” POLARIS RIOs for the same time period based on the previous five years of ice data (2011-2015). The second map reflects the limits for an Ice Class IA vessel, the third PC7 and the fourth PC6.

www.frontierenergy.info SPRING 2016 19

ICE NAVIGATION

Rutter sigma S6 chosen IMO Polar Code vessel

O

ffshore explorers and ship operators working in seas prone to pack ice, growlers and bergy bits need detection systems to warn against such hazardous environmental conditions that might affect safety and operations.

When US oil major ExxonMobil successfully used the sigma S6 Ice Navigator in 2014 during exploration work in the Kara Sea, the upstream oil and gas and shipping industries took notice.

Now, sigma S6 has been selected

by Norway’s Viking Supply Ships for its 2011-built high-ice classed anchor handling and tug supply (AHST) boat, Magne Viking, the first vessel to comply with the International Maritime Organisation (IMO) Polar Code approved by classification society DNV GL. The sigma S6 Ice Navigator system enables vessels operating in ice to differentiate between open water, ice pans, open water leads in ice fields and the ice ridges that impact operations in ice zones.

Its high resolution image processing provides enhanced ice imaging, leading to effective detection and tracking, says the company. In open water, the sigma S6 Ice Navigator system’s ability to detect small bergy bits and growlers that can significantly damage a vessel or platform is industry proven, Rutter says.

Stephen Hale, ddirector of sales, marketing and R&D business development at the company, says this system “works accurately in rougher seas, can identify smaller parcels of ice and has more accurate classification of sea states”. It’s also possible to identify where a vessel has previously cut a path through the ice pack, providing the ice has not fully closed up. Up to 300 targets can be tracked simultaneously, and if the sigma S6 SeaBridge option is chosen multiple, remote computers can share the image and decision-making.

Enhancements in situational awareness 20 SPRING 2016 www.frontierenergy.info

real time route planning and decisionby the Ice Navigator systems allows making in ice operations. We are pleased details to monitor a wide range of sea to be working with both Viking Ice states, weather, and daylight conditions.

Brian Johnston, Rutter’s strategic business Consultancy and Viking Supply Ships as they are leaders in remote Arctic development and sales manager (Americas operations.” & Africa), adds: “with the high fidelity The sigma S6 Ice Navigator’s processing and resolution of the images, installation base includes many of high definition ice imaging is achievable.” the world’s ice breaker fleets, tankers, There are two sigma S6 Ice Navigator research vessels, bulk carriers and coast systems installed on the Magne Viking, guard vessels from countries operating in says Johnston. One is installed in a Arctic and subarctic regions. The sigma standard configuration on the bridge S6 Ice Navigator systems have also been providing real-time high-resolution selected by oil and gas companies as part data imagery and target detection for of their ice defence and ice management navigational safety, while the second solutions to increase the safety and system interfaces with Viking’s Ice operational time of offshore platforms, Management System, ‘COPD’. drill ships and support vessels.

In December 2015 Viking performed a non-assisted voyage transiting the Northern Sea Route with the icebreaker, Tor Viking, which also has a sigma S6 Ice Navigator on-board. SAR imagery from multiple commercial providers was used in combination with the sigma S6 Ice Navigator system.

Commenting on the experience, Andreas Kjøl, project director at Viking, says: “We obtained very good experiences with the sigma S6 Ice Navigator and actively used its data to assist in identifying the lightest ice to reduce fuel consumption.”

The sigma S6 system operates across a wide range of sea states, weather, and daylight or nighttime conditions, adds Fraser Edison, Rutter president and chief executive, “and improves crucial Online: detailed ice analysis situational awareness for

Photos: Rutter

Safe passage: navigating through the ice

ExxonMobil’s decision to use the sigma S6 Ice Navigator system developed by Canadian technology firm Rutter has put the radar system on the map. The technology is again heading for Arctic waters

SAFETY & ACCIDENT PREVENTION

Refresher training in the Arctic As oil and gas exploration reaches further into remote and frontier markets, the industry workforce must adapt its competencies to suit new and unusual conditions.

By Ken Jones, research and development director, Atlas Knowledge Group Ken Jones, research and development director, Atlas Knowledge Group

22 SPRING 2016 www.frontierenergy.info

DURING

AFTER

Formal Learning Event

The Golf Pro/Typing Dip (Embedded understanding is broken down, before rebuilding)

DESIRED knowledge acquisition & performance improvement

Stolovitch & Keeps’ research shows a performance drop of 80% just nine hours after initial training

9 hours

!

Post-event re-adjustment (Trying to apply what has been taught, but can’t remember exactly, return to old ways.)

or industry body edict, we comply without question. However, given the research, there are improvements to be made to both the initial and refresher training to ensure retention and engagement.

Regions that have never been developed before or are remote in location bring many challenges, including operational, technical and cultural. One of the most critical challenges is ensuring the safety of the workforce.

This comes with significant hurdles, particularly in the Arctic region. Some of the challenges present in the Arctic are similar to those experienced in the regions that we are more familiar with, such as the North Sea and the Gulf of Mexico, but they are heightened due to the nature of working on remote infrastructure.

Travel to platforms can be hampered by cold weather, with icy air grounding helicopters and frozen seas slowing vessels down. This means planning in advance and the use of evolving technology is crucial to ensuring the workforce has sufficient access to refresher training.

In some cases, it may be impossible for workers to access training at any time, in which case there is a stronger need for both the initial and the refresher training to be more robust with increased retention levels.

The nature of remote and frontier markets and the risks that accompany

ACTUAL knowledge acquisition & performance improvement

Source: Stolovitch & Keeps 2005

them mean that both initial and refresher training are crucial to the avoidance of both minor and major accidents.

One solution to this is to provide courses that are entirely bespoke to the particular project. This ensures the training is completely relevant to the workforce, aiding retention and engagement. These bespoke training courses mean that workers’ learning time is focused solely on the environment that they will find themselves in, such as the Arctic.

Given the travel restrictions that are so prevalent in remote regions, a remotely accessible competency management system is also essential to enable workers to effectively plan their refresher training without the connectivity requirements of a regular competency management system.

The implementation of more advanced learning techniques, such as gamification, can also help to improve the quality of both initial and refresher training, ensuring that employees are adept at dealing with environment-specific scenarios and aware of the consequences of mistakes.

Refresher training is vital to the continued safety and competency of the remote and frontier market workforce, but the industry must continue to return to their refresher training frequencies and content in order to ensure that these levels of safety and competency are maintained.

Photo: Atlas Knowledge Group

BEFORE

Knowledge acquisition & retention

W

ith an estimated 30% of the world’s undiscovered natural gas and 13% of oil, the Arctic is understandably a region of interest for exploration companies.

However, with great opportunity comes great risk, and though climate change has made the Arctic arguably less ‘harsh’, there are still significant perils to operating in such a market.

One key challenge of working in remote and frontier markets is developing and maintaining a highly competent workforce. It has been reported that 80% of offshore accidents are caused by human error – which can happen to even the most experienced oil industry workers.

This begs the question: how frequently should training be repeated and how can we ensure workers in remote and frontier markets get access to this training?

Human error is inevitable. The majority of issues can be attributed to four main areas: • Slips of action • Lapses of memory • Rules and knowledge based errors • Human factors In any case, reinforcing the candidate’s knowledge by retraining helps reduce the frequency of these potentially critical and costly incidents. According to research evidence, however, even the best initial training is forgettable.

Studies carried out by Hermann Ebbinghaus, developed by Stolovitch and Keeps in 2005, indicate a knowledge and retention drop of 80% just nine hours after initial training. The research also shows that repeated use of the knowledge skills in true context is more likely to result in the embedding of knowledge in long-term memory.

In the oil and gas industry, there are numerous courses that fall into the ‘awareness’ level category, from safety through to procedures. In many cases, courses have regulatory mandates for refresher training on an annual or multi year basis. As this is usually a government

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5 Key Arctic information and data 6 Linked to our exclusive eNewsletter!

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ICE MAPPING

Safe passage: mapping ice for shipping

RADAR ICE MAPPING from the skies Fugro’s airborne radar ice thickness capability is moving into commercial operations, a new tool that can help operators mitigate risk in challenging Arctic environments.

By Joe Jones, GeoSAR program manager, Fugro

The power of Fugro’s Ice Management System is founded in its ability to clearly represent the multitude of ice types commercial operators need to be aware of during offshore Arctic operations

This system provides detailed information related to ice type, highly precise detection and mensuration of dangerous ice islands (pieces of broken off ice sheets), berger 24 SPRING 2016 www.frontierenergy.info

bits (small to medium pieces of glacial ice), icebergs (large pieces of glacial ice), and exact delineation of ice ridges. This information is delivered in a final GIS format to operation centres within hours of each acquisition. These final products are critical in understanding the extent and type of sea ice bearing down on fixed position structures and the time at which high threat ice floes would impact these structures.

Technology limitations For years, satellite imagery has been the standard tool used to understand regional ice conditions. These datasets, which can be acquired by optical- or radar-based sensors, provide a good two-dimensional overview of ice location and extent.

Satellite data can provide ice thickness information only through estimating the free board height of an ice floe. This technique can only be applied to regions where there are openings (leads) in the sea ice and is a rough estimate of ice thickness. For instance, during winter conditions when sea ice can typically cover an area of several square miles with no leads, and contain multiple ice types within a single floe, this satellite technique would be useless in locating thick dangerous pockets of glacial ice or ice islands. Ice islands, which contain very small elevation relief above the uniform sea ice surface, can be as much as 30 metres thick and as long as a submarine.

These are high-threat pieces of ice which need to be mitigated from fixed structures. Such features can easily be

overlooked using satellite techniques.

Other methods for obtaining ice thickness measurements include drilling holes in the ice, dragging electromagnetic radar sensors on sleds across the ice surface, and deploying autonomous underwater vehicles (AUVs) equipped with upward-looking sonar systems to map the ice from the bottom up.

Each of these techniques is effective for small-to-medium sized studies, but their application is not efficient for the massive scale required by seasonal ice management programmes.

Ice Management System The Fugro Ice Management System is a commercial radar system capable of providing accurate sea ice thickness assessments. With singlepass interferometric synthetic aperture radar (IFSAR) technology permanently integrated into a Gulfstream jet aircraft, the system acquires X-band (3-centimetre wavelength) and P-band (85-centimetre wavelength) radar data simultaneously to create precise digital elevation models (DEM) and orthorectified imagery (ORI) products in both radar frequencies.

The system operates at altitudes of 39,000 feet above ground level and at speeds of 425 knots, making it possible to acquire 10,000 square kilometres of Arctic sea ice data in a single airborne mission. Multiple missions per day are possible, and are dependent on factors such as distance from the base of operations to the site of survey.

Images: Fugro

A

fter years of research and development, Fugro’s airborne radar mapping system is ready for prime time.

Sea ice is among the top risk factors for offshore Arctic operations. Many Arctic offshore structures are engineered to withstand sea ice impacts up to a specific ice thickness. Risk mitigation strategies are designed around this specific ice thickness, meaning that any sea ice floe that enters a predetermined threat zone must be moved away from the structure. Fugro’s Ice Management System is one important element to mitigating this risk. Since 2012, the company has developed this capability, which uses airborne radar mapping techniques, with input from university and industry partners, and is now well on its way to full commercial operations.

ICE MAPPING

The general theory of ice thickness mapping is that the X-band signal provides elevation data for the top of the ice surface and the P-band signal penetrates to the bottom of the ice surface. The difference between these two radar signal returns provides ice thickness information. These two datasets make it possible for Fugro scientists to evaluate sea ice data in ways not previously possible using sensing applications.

For example, the X- and P-band ORI pixels are perfectly co-registered, making it possible to accurately classify various ice types found within ice floes throughout the Arctic. Meanwhile, the ice thickness information made possible by comparing the X- and P-band DEMs, makes it possible for Fugro to identify the very dangerous berger bits and ice islands.

An important component to the Ice Management System is the infield data processing unit. Traveling with the aircrew to destinations throughout the Arctic, this system has the necessary components to process a single acquisition of over 10,000 square kilometres within hours of landing the aircraft.

The processing algorithms are designed to output both X-band and P-band ORI and DEM and are transmitted to Arctic operators via a standard internet connection.

Putting the system to the test Since 2012, the Ice Management System has been used to perform multiple programmes over Arctic waters. From the Chukchi Sea, Beaufort Sea, and the Canadian Archipelago, thousands of square kilometres of data have been acquired, processed, and delivered to university and commercial partners. Each year the programmes have grown progressively larger in size and scope. The focus has been to find in situ sea ice containing multiple ice types that were close enough to the operations base to safely execute a series of ground control technologies. Ground control such as radar reflectors, ground survey check points, electromagnetic induction survey, ground penetrating radar, boreholes, ice

cores for salinity laboratory testing, and aerial photography were used during these programmes to ensure the accuracy of Fugroâ&#x20AC;&#x2122;s X-band and P-band datasets. The 2015 programme was performed north of Resolute Bay, Nunavut.

Identifying and measuring the risk The detail provided by the X-band and P-band imagery has been a major factor in the success of the ice thickness mapping research. The system design allows for a pixel-to-pixel comparison of both X-band and P-band frequencies. The area of interest represented in the X-band ORI in Figure 1 is the same location represented in the P-band ORI in Figure 2. As indicated in the X-band imagery, the signal is passing through all snow and interacting with the surface of the ice. The high resolution X-band imagery has proven to be a very powerful tool.

As shown in Figure 1, six ice types are identified in great detail.

Figure 3: Three-dimensional representation of the ice island measuring the structure to be at least 150m wide x 30m deep

One dangerous ice type that is extremely difficult to identify within the X-band imagery alone, however, is the ice island. The ice island has a very slight surface expression and is not protruding a great distance above the surrounding sea ice. Therefore, as indicated in the X-band ORI, the ice island takes on the characteristics of the surrounding multiyear ice.

Clearly indicated in the P-band imagery, the ice island pops out as a very bright object, which will be recognised and evaluated by commercial operators. When performing the X-band minus P-band elevation subtraction, it is clearly indicated in Figure 3 that the ice island is greater than 30 meters thick. This particular ice feature would be labeled as a high threat; if it appeared in the direct path of a structure, Figure 1: (5m) X-band imagery provided to commercial operators hours after mitigation would be warranted. acquisition provides detailed surface structure of multiple ice types present within a sea ice floe The power of Fugroâ&#x20AC;&#x2122;s Ice Management System is founded in its ability to clearly represent the multitude of ice types commercial operators need to be aware of during offshore Arctic operations. The high resolution imagery allows a finite measurement of the relationship in and between each ice type, coupled with a three-dimensional measurement capability for accurate identification and assessment of the risk.

The ability to communicate this information quickly Figure 2: (5m) P-band imagery provides detailed sub-surface structure of allows operators to initiate a multiple ice types. The intense bright response near center of the image is coordinated approach to Arctic the ice island below, which is not represented clearly in the X-band image in ice management operations.

Figure 1 www.frontierenergy.info SPRING 2016 25

EVENTS

St. John's, Newfoundland plays host to

NOIA AND THE ATC Noia Oil & Gas Conference 2016 June 20 – 23, 2016 St. John’s Convention Centre, St. John’s, Newfoundland and Labrador, Canada This year’s annual Newfoundland and Labrador Oil & Gas Industries Association (Noia) Oil & Gas Conference is being organised under the theme of ‘Fuelling the Future & Re-Energising Change’. Speakers will discuss the impact current oil prices are having on global markets, where they are trending and what it all means for offshore east coast Canada. It’s an exciting time for this frontier region, currently being surveyed by some of the largest exploration seismic and geo-scientific survey programmes ongoing in the world.

The yearly gathering is the largest offshore conference in Canada and provides delegates with crucial information on trends and business opportunities in the east coast Canada oil and gas industry. This year, delegates will hear from a range of companies including operators such as Nexen Energy, Exxon Mobil Canada, Husky Energy, Nalcor Energy and Statoil Canada.

Keynote luncheon speakers scheduled to appear include Valerie Plame, author of Fair Game: My Life as a Spy, My Betrayal by the White House, and Gwynne Dyer, author of Don't Panic: ISIS, Terror, Oil and the New Middle East.

This event will be held at the newly renovated St. John’s Convention Centre. Similar to last year, the 2016 conference format will have an extended morning session and adjourn after the keynote lunch. A full conference program will be available in the coming weeks and will be found at the organisations website. www.noia.ca

Arctic Technology Conference 2016 October 24 – 26, 2016 St. John’s, Newfoundland and Labrador, Canada The Arctic Technology Conference (ATC) is returning to North America for its fifth event. Located along the ‘Path to the Arctic’, St. John’s, it is a well-placed staging and proving ground for Arctic-related research and offers the global energy industry a strategic North Atlantic base of operations on international shipping lanes and sea routes.

ATC is focused on technical developments and its parallel exhibition this year will offer insights into resources, drilling, production, export facilities, physical environment, logistics and marine transport, regulatory, and mining. ATC will also offer special sessions for discussing Arctic policy, market outlook, risk management, and standards.

“Although some developments have already been undertaken, the Arctic remains one of the last frontiers. Its remoteness, extreme cold, dangerous sea ice and fragile environment make it one of the most challenging and fascinating areas for engineers, researchers and environmentalists of various disciplines in the world to work in,” says ATC chair Walter Kuehnlein. “ATC attracts those experienced Arctic experts who are interested in evaluating new opportunities and developing and deploying cutting edge technology and solutions through environmentally compatible design and construction, safe operation, maintenance and integrity of both offshore and onshore structures.” www.arctictechnologyconference.org

26 SPRING 2016 www.frontierenergy.info

AOGA 50th Anniversary Conference May 25, 2016 Anchorage, Alaska A conference focused on industry trends, legal and scientific issues surrounding development, and national and state-level energy policies and politics celebrating 50 years of the Alaska Oil and Gas Association. www.aoga.org ARCTIC BUSINESS May 25 – 26, 2016 Bodo, Norway A meeting for those interested in understanding business opportunities across the Arctic region including oil and gas exploration and production, shipping and maritime services. www.arctic-business.com 4th China-Nordic Arctic Cooperation Symposium June 6 – 9, 2016 Rovaniemi, Finland The China-Nordic Arctic research co-operation has been intensified over the past few years and during that period Chinese institutes such as the Polar Research Institute of China (PRIC) and Shanghai Institute of International Studies (SIIS) have strengthened their ties with international counterparts. This year's theme is "The Sustainable Arctic - Opportunities and Challenges of Globalization". www.arcus.org Arctic Energy and Emerging Technologies Conference & Tradeshow June 13 – 15, 2016 Inuvik, Northwest Territories, Canada For over a decade, the Town of Inuvik has been the premier conference destination North of 60, providing a marquee networking and tradeshow event for the oil and gas sector in Canada. www.inuvikarcticenergy.com

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Noia Oil & Gas Conference 2016 June 20 – 23, 2016 St. John’s Convention Centre, St. John’s, Newfoundland and Labrador, Canada The annual Noia Conference is the largest offshore conference in Canada and provides delegates with crucial information on trends and business opportunities in the East Coast Canada oil & gas industry. www.noiaconference.com Offshore Northern Seas August 29 – Sepembert 1st, 2016 Tromsø, Norway ONS is recognised as one of the world’s most important meeting places for everyone involved in the energy business. The main conference brings together the key players in the international oil and gas industry and ministers and officials from oil and gas producing countries. www.ons.no Arctic Shipping EU 9th Summit September 21 – 22, 2016 Stavanger, Norway This leading conference and exhibition will map out the future of the Norwegian Continental Shelf, discussing new projects, upcoming contracts and new technology. www.ons.no 2015 Arctic Energy Summit September 21 – 22, 2016 London Demonstrating practical solutions from #Arctic #Shipping experiences. www.wplgroup.com Arctic Technology Conference October 24 – 26, 2016 Park Inn by Radisson Pribaltiyskaya, Saint Petersburg ATC 2016 will be held on the east coast of Canada and is comprised of 14 technical societies and organisations all collaborating to present the world's most comprehensive Arctic event. www.arctictechnologyconference.org

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RUSSIA'S ARCTIC CHALLENGE

OIL, GAS & SHIPPING IN THE ARCTIC AND ICE-AFFECTED REGIONS

www.frontierenergy.info AUTUMN 2015

PROJECT ROUND UP

Steering through sanctions

Polar Code

Ice Risk Management

2016 state of play

Shipping routes Risks and rewards

The research station of the future

Oil spills

The polar foundation in antarctica

The Arctic challenge

Anchors Away

Remote communications

Satellite Imaging

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Untapped potential

www.frontierenergy.info SPRING 2016

Offshore structures Cylindrical rigs

Goliat up, up & away Project focus

Minimising risk From spills & shipping

Cross sectoral technology

Ice mapping Radar systems

Holding back the trawler fleets

Investment trends

Clean, Green Machines

Look to the skies

OIL, GAS & SHIPPING IN THE ARCTIC AND ICE-AFFECTED REGIONS

ATLANTIC CANADA

Barents Sea promise

Mapping a safe and sustainable Arctic

Finland breaks the ice

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Arctic oil and gas in 2016

Icebreaking

OIL, GAS & SHIPPING IN THE ARCTIC AND ICE-AFFECTED REGIONS

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Seismic and the environment

LNG Design

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Decrypting the Polar Code Redefining the rules

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T EN GS EV TIN LIS

Frontier Energy is written for the international oil, gas and shipping industries operating in harsh, ice-affected regions with a focus on the Arctic region.

Published quarterly, with a weekly eNewsletter, our readers are kept up-to-date with the latest news and analysis around the technical, commercial, political and cultural aspects of operating in ice environments, many of which are only now opening up to exploration and the search for hydrocarbons.

As the world’s first magazine to be focused on this sector, Frontier Energy is essential reading and will help to keep you ahead of your competitors, informed on strategic decisions, and up to date on the latest technical and R&D issues.

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INSIGHT The vault holds the seeds of many tens of thousands of varieties of essential food crops such as beans, wheat and rice from all over the planet

Samples: seeds from around the world

Inside the doomsday vault

W

ay up north, in the permafrost, some 1,300 km beyond the Arctic Circle, is the world's largest secure seed storage, rather ominously known by some as the ‘doomsday vault’. The facility, locked deep inside a Svalbard mountain, was opened by the Norwegian Government in 2008. Inside, crates of seeds from all across the world are are kept here for safe and secure long-term storage deep in the cold and dry rock vaults. Why? Just in case.

The vault holds the seeds of many tens of thousands of varieties of essential food crops such as beans, wheat and rice from all over the planet. In total, the Arctic facility now holds various seeds of more than 4,000 plant species, although it has the capacity to store 4.5 million different seed types. These seed samples are duplicates of seed sample stores in national, regional and international gene banks. Crop scientists refer to it as like a safety deposit box in the bank.

Understandably, there’s a precise inventory too. The Norwegian Genetic Resource Centre (NordGen) seed portal holds an updated list of all seed species deposited in the Svalbard vault. Deposits come in from literally all corners of the earth. All seeds remain the property of the nation or institution that deposits them.

Remote location Fully funded by the Norwegian government, with the responsibility for operations assigned to the Ministry of Agriculture and Food, Norwegian public construction agency, Statsbygg, is the present owner of the facility. It is responsible for maintenance and technical operations, although the site was constructed by Leonhard Nilsen & Sons. The Agriculture Ministry also coordinates daily with NordGen and the Global Crop Diversity Trust.

28 SPRING 2016 www.frontierenergy.info

Storage: inside the Svalbard vault

Needless to say, the ‘doomsday’ station is very remote. The Svalbard seed vault is blasted into the rock base of Platåfjellet (Mount Plateau), about a mile from Longyearbyen airport. The total area is 1,000 square metres, but only the concrete entrance lobby is visible from the outside.

From the entrance lobby a 100-metre tube of corrugated steel pipe (called the Svalbard pipe) tunnels into the mountain base.

Inside, the complex consists of three identical, separate rock vaults, 9.5 x 27 metres each. The seeds stored in the vault are packed in sealed bags inside sealed boxes, and are placed on high shelf racks with each carefully tagged and recorded. The vault, situated in permafrost, is kept at a constant 3-4 degrees Celsius below zero.

Infinite lifetime Given its task, of essentially protecting the world’s agricultural crops in the event of a catastrophe, including nuclear war or an asteroid strike, the building is designed for a virtually infinite lifetime. By building the vault 130 metres into the rock and 130 metres above sea level it is robustly secured against external hazards and climate change effects. Theoretically, it could save the human race from extinction in the event of a cataclysmic natural disaster or man-made problem.

But this icy tomb is not just a storage facility or a museum, it also holds a practical and current use as well. In one case, the International Centre for Agricultural Research in Dry Areas recently asked for the return of over 300 small boxes of seeds it had stored at the Svalbard site. For years, the centre housed its own seed bank near Aleppo in Syria, now scientists want the Svalbard samples to regenerate the collection outside of the wartorn country.

Photos: Landbruks-og matdepartementet

Introducing the Svalbard Global Seed Vault, a global back-up and storage facility deep in the Arctic, to protect the whole planet’s crops and seeds

NEW FRONTIERS! NEW TECHNOLOGY! NEW CHALLENGES! Frontier Energy is the world’s first magazine dedicated to the oil & gas and shipping operations in the Arctic and other challenging ice-affected regions.

Each issue will offer an exclusive insight into the technologies being used to overcome the challenges of this unique environment. Supported by a weekly e-newsletter, the magazine brings readers informative special reports and up-dates on all the latest developments.

• • • • • •

Geographic features Project focus Exclusive insight Special events diary New technology Politics and culture

Connect with your existing customers and reach new ones through the pages of the Frontier Energy.

For editorial enquiries, contact Martin Clark martin@frontierenergy.info For all advertising and sponsorship opportunities, contact Steve Habermel publisher@frontierenergy.info

Frontier Energy is your essential guide to these new markets!

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