OIL, GAS & SHIPPING IN THE ARCTIC AND ICE-AFFECTED REGIONS www.frontierenergy.info SPRING 2019
Norway Breaking open the Barents Sea’s oil and gas potential
ATLANTIC CANADA New projects, new challenges
RUSSIA LNG sector growth
ALASKA Uncertainties and opportunities
POLAR CODE Making the grade in marine standards
+ SAFETY • SHIPPING • TECHNOLOGY • COMMS • LNG
T N E GS V E TIN S LI
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CONTENTS
20
14 10
06 Spring 2019
IN THIS ISSUE
OIL, GAS & SHIPPING IN THE ARCTIC AND ICE-AFFECTED REGIONS www.frontierenergy.info SPRING 2019
Norway Breaking open the Barents Sea’s oil and gas potential
ATLANTIC CANADA New projects, new challenges
FE 06
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Features
Regulars
NORWAY Norway casts net far and wide across the Arctic: Already an oil and gas producing
04 NEWS Norway to open up more Barents Sea blocks in 2019 bid round; Total signs definitive agreements for Arctic LNG 2; SeaRose production outage hurts Husky; Greater Castberg TopSeis survey in the Barents Sea; Norway gives green light to Nussir copper mine; Keep Northern Sea Route open all-year round, says Novatek
region, exploration and development is gaining traction in Norway’s Barents Sea. Expect more to come in 2019 as further acreage is opened up and made available to a core of familiar name investors
RUSSIA LNG sector growth
ALASKA Uncertainties and opportunities
POLAR CODE Making the grade in marine standards
+ SAFETY • SHIPPING • TECHNOLOGY • COMMS • LNG
T EN GS EV TIN LIS
FE 10
ALASKA America’s ‘energy dominance’ policy boosts Alaska hopes: Opportunities and uncertainties abound in Alaska’s oil and gas industry, creating a consistently challenging environment for operators. What’s certain is that natural resources and potential are there in abundance, as is the high profile environmental resistance
FE On the cover The view from the Audax bridge after safe discharging
14 PIPELINE REPAIR Composite contends with Arctic conditions in underwater pipeline repair: Composite technology is proving to be valuable in repairing critical infrastructure in exacting environments.
modules at Yamal LNG site. © Red Box Energy Services
FE 16
ATLANTIC CANADA New lessons, new developments shape Atlantic offshore: Newfoundland and Labrador will soon see a new face leading the line in the development of the region’s emerging offshore oil and gas sector. There remains plenty of work to be done in an area with huge long-term potential
18 ARCTIC SHIPPING PAME launches Arctic shipping database: The Arctic Ship Traffic Data (ASTD) project will enhance knowledge of shipping activities across the Arctic region, providing vital information and insight for the protection of the area and its people FE 20
RUSSIA Get ready for Arctic LNG 3: With work now gaining momentum on Arctic LNG 2, ahead of a planned 2023 start-up date, and shipments from Yamal LNG making their way to customers around the world, get ready for the next phase of Russia’s great gas export grab
22 LNG SHIPPING Modularisation: the go-to strategy for LNG projects: Red Box Energy Services provides marine transportation for modularised energy infrastructure projects. After playing a starring role in facilitating the Yamal LNG project, it sees potential to work more closely with the energy sector to deliver even greater value on challenging Arctic projects
24 POLAR CODE The journey to Polar Code compliance: Meeting the challenge of Arctic shipping and how ABS worked alongside German shipowner Oldendorff Carriers to ensure compliance in the Polar Code era
28 EVENTS Frontier Energy’s comprehensive listing of essential trade events and conferences for the Arctic oil and gas industry and shipping sector
26 SAFETY & SURVIVAL Experience makes the difference in Polar Code safety: Are ship and offshore asset operators truly ready and compliant to face the extreme challenges of sailing in polar waters? Many of those that do tick this box share one thing in common – they’ve consulted an experienced supplier with a pedigree of polar safety www.frontierenergy.info SPRING 2019 1
RED BOX ENERGY SERVICES RED BOX ENERGY SERVICES is the leading provider of module transportation services for Major LNG Liquefaction Projects. The RED BOX Team has transported a majority of the modules installed at GORGON LNG, ICHTHYS LNG and YAMAL LNG and has worked closely with world’s Leading Energy Majors & EPC Companies. The Polar Class (PC3) Heavy Transport Sister Ships, AUDAX and PUGNAX are the only module carriers in the world today that can safely navigate unescorted, yearround above the Arctic Circle. They have been designed and constructed to safely transport module cargoes weighing as much as 20,000 tonnes. The Vessels have an ice-free deck area capable of receiving both side and stern loadout and discharge of modules as long as 80 meters with a beam of 45 meters.
Red Box Energy Services Hofplein 20, 14th Floor 3032 AC Rotterdam The Netherlands T +31 10 2680200 E info@redboxgroup.com W www.redboxgroup.com
EDITOR’S LETTER
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FRAM* An Arctic learning curve
“Any successful strategy for the Arctic must factor in all concerns: from environmental issues and heightened public concerns and scrutiny, to the impact on traditional ways of life among communities that have long-called this area home.”
www.frontierenergy.info Editor Martin Clark editor@frontierenergy.info Canadian Correspondent Andrew Safer Publisher Stephen Habermel publisher@frontierenergy.info Design & Layout Nick Blaxill © 2019 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.
*
A
s our understanding of the Arctic region continues to grow, so too does the level of interest among the business and investment community, notably across the natural resources industries and the transportation sector. The shipping industry is showing great interest, in large part, because of increased navigability through once impenetrable ice territory. The opening up of the North West Passage and the Northern Sea Route offers shipping companies a pathway at the top of the world to connect far distant markets, across the Americas, Europe and Russia. This brings with it potentially huge economic benefits, time savings and other strategic advantages. Though the level of oil and gas development in the region remains small (for now), it should not mask the significant level of interest. That is understandable given the estimated scope of reserves in the area. According to estimates by the US Geological Survey, the Arctic may contain as much as 90 billion barrels of oil and 47 trillion cubic metres of natural gas in recoverable reserves. It explains why there is such an appetite for new acreage in offshore licensing in areas such as Norway’s Barents Sea. The giant natural gas fields now powering Russia’s liquefied natural gas (LNG) export plans are evidence of the resources waiting to be discovered. And it not just oil and gas either, but other resources too. Norway has just given the green light for the next stage of development in a project to extract copper in its far northern region. The Nussir copper mine, which also contains gold and silver, is located within the Arctic Circle, close to the existing Hammerfest LNG terminal. This project amply highlights some of the complexities of operating in the Arctic region. The mine, near Europe’s northernmost point, gained approval only after years of opposition from indigenous Sami herders and fishermen. At the heart of these arguments, of course, are concerns over the environment, global warming and the melting polar ice caps. Indeed, Norway’s decision has been viewed as a litmus test for the Arctic, where climate change and technology are enabling mineral and energy extraction, shipping, fishing, and also tourism, but simultaneously threatening traditional ways of life. It calls for a careful, coordinated and responsible plan of action from all sides to move forward in a manner that is both sustainable and beneficial for all. Likewise, that explains why things do not always move at pace in the Arctic region. This is a delicate and sensitive area, watched closely by researchers and scientists as our planet evolves under the impact of mankind and human economic advancement. The world today is a very different place to the one just 1,000 years earlier; indeed, it is a very different place to the one just 50 years ago. This means that any successful strategy for the Arctic must factor in all concerns: from environmental issues and heightened public concerns and scrutiny, to the impact on traditional ways of life among communities that have long-called this area home. It remains a learning curve for all sides.
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.
www.frontierenergy.info SPRING 2019 3
NEWS
Norway to open up more Barents blocks in 2019
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100,000 bpd Capacity production from Norway’s Goliat field, the world’s northernmost producing oilfield
Drilling in the Barents Sea
Ole Jørgen Bratland / Equinor
Arctic oil and gas exploration will feature heavily in Norway’s next bid round. The country plans to expand the offshore acreage offered to companies under its annual licensing round in so-called predefined areas (APA), oil minister Kjell-Boerge Freiberg said in March. The 2019 APA round will offer 90 new blocks, he said, with more than half in the Arctic Barents Sea. “It’s important to maintain the positive development in exploration activity in the Barents Sea. I hope this will lead to robust field development solutions and increased value creation in the north,” Freiberg said in a statement. Of the 90 new blocks up for grabs, some 48 are in the Arctic Barents Sea, 37 in the Norwegian Sea and five in the North Sea. The annual APA rounds are
IN NUMBERS
primarily designed to offer new acreage that is located near existing or planned developments. They differ from Norway’s other licensing rounds, which are held more rarely and offer blocks in unexplored, frontier regions.
2018 The Arctic’s second-hottest year on record, according to a report by the US National Oceanographic and Atmospheric Administration
Arctic LNG Russia
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Canada’s Husky Energy said its Atlantic production volumes were impacted by approximately 10,000 barrels per day (bpd) in the fourth quarter of 2018 due to the suspension of operations at the SeaRose floating production, storage and offloading (FPSO) vessel in mid-November. “It was a challenging quarter,” said CEO Rob Peabody, presenting the company’s 2018 fourth quarter and annual results in late February. “The oil spill on the East Coast was particularly disappointing, and we are continuing to work closely with the regulator to determine the root cause and apply learnings.” Production at the SeaRose FPSO was suspended on November 16 following an oil release from a flowline connector in the South White Rose extension drill centre. Operations resumed at the end of January from the drill centre, with production expected to continue ramping up through the second quarter as additional subsea drill centres are brought online. Husky is currently busy putting together the West White Rose project, with first oil anticipated in 2022. /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
Keep Northern Sea Route open all-year round, says Novatek Russian gas producer Novatek wants to use nuclear icebreakers to keep the Northern Sea Route open all year long for its liquefied natural gas (LNG) executives, according to a top company executive. “Our plan is to keep the Northern Sea Route open 12 months a year in 2023-25 with 100-megawatt-hour nuclear icebreakers,” chief financial
officer Mark Gyetvay told delegates at an energy conference in February, cited by Reuters. The NSR is a shipping path traversing the Arctic to Asia, but increasingly vital in terms of facilitating mounting energy exports of LNG coming out of Russia. Novatek operates the Yamal LNG plant in Russia’s Arctic north.
4 SPRING 2019 www.frontierenergy.info
Total
SeaRose production outage hurts Husky Total signs definitive deals for Arctic LNG 2 French oil giant Total has completed agreements with Novatek for the acquisition of a direct 10% interest in the Arctic LNG 2 venture. The project is a major liquefied natural gas (LNG) development on Russia’s Gydan Peninsula. “We are delighted to have concluded the definitive agreements for our entry into this new world class LNG project based on the vast Russian gas resources alongside our partner Novatek,” said Patrick Pouyanné, chairman and chief executive of Total. Taking into account Total’s existing 19.4% stake in Novatek and the Russian company’s intent to retain 60% of the project, it lands the French group with an overall economic interest in Arctic LNG 2 of 21.6%. Should Novatek decide to reduce its participation below 60%, Total
will have the possibility to increase its direct share up to 15%. The two sides have also agreed that Total will have the opportunity to acquire a 10 to 15% direct interest in any of Novatek’s future LNG projects on the Yamal and Gydan peninsulas. Arctic LNG 2 will have a production capacity of 19.8 million tonnes per year (Mt/y), from three liquefaction trains, and draw on reserves from the Utrenneye onshore gas and condensate field. The project will involve installation of three gravity-based structures in the Gulf of Ob on which three liquefaction trains of 6.6 Mt/y each will be installed. A final investment decision is expected to be taken on the project in the second half of 2019, with plans to start the first liquefaction train in 2023.
1.41 million tonnes
1,180 km
A record monthly amount of LNG sent from Russia’s Yamal LNG plant in 19 cargoes to regasification terminals in Europe during February
Length of the proposed Alaska Stand Alone Pipeline to deliver gas from Alaska’s North Slope to customers in Fairbanks, Anchorage and other parts of the state
8
Sources: Eni, Arctic Council, NOAA, Norwegian Petroleum Directorate
NEWS
Members of the Arctic Council: Canada, Denmark, Finland, Iceland, Norway, Russia, Sweden, USA
8.5%
US$21bn
90
Estimated cost of Arctic 2 LNG project in northern Russia
Blocks to be offered in Norway’s 2019 APA round, of which 48 are in the Arctic Barents Sea
Estimated reserves at Equinor’s Snøhvit field, the only producing gas field in the Barents Sea, revised down by the Norwegian Petroleum Directorate
Seismic companies CGG and TGS are to run a Greater Castberg TopSeis survey in the Barents Sea. The survey is 5,000 sq km, and will be acquired and processed with the latest developments of CGG’s TopSeis acquisition and imaging technology. The survey will include the highly prospective Castberg area, and cover existing and newly awarded licences in addition to open acreage with several play models in multiple geological layers. The acquisition is expected to commence late Q2 2019 with final delivery to clients in Q4 2020. The project is supported by industry funding. Kristian Johansen, CEO, TGS, said: “Greater Castberg will expand the great TGS data coverage in the
Offshore seismic survey
Barents Sea. The survey sits in the right place of the Barents Sea, and production licences will start
Norway approves Nussir copper mine Norway’s government has given another clear sign it intends to boost development in its far north, after it approved the development of a copper mine near Europe’s northernmost point. Nussir is a well-studied copper deposit with gold and silver as by-products. The approval follows years of opposition from campaigners, including indigenous Sami herders and fishermen. But Industry Minister Torbjoern Roe Isaksen said in a statement that the project would contribute positively to the local community, bringing new jobs and skills. “The mining project will strengthen the industrial base in the north,” he said. The company leading the project, Nussir ASA, confirmed in February that it has been awarded an operating licence from the Ministry of Trade and Industry to extract copper from the site in Kvalsund municipality in Finnmark.
producing from this area in 2022. The area calls for high-technology solutions, and a tailor-made solution
for this area is created in close collaboration with the clients and within the JV.”
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USA and Iceland set to boost economic ties
The USA and Iceland are to set up formal economic channels to boost trade and investment, in a move that has been interpreted as an attempt by Washington to assert its presence in the Arctic, amid rising influence in the region by Russia. “We have now established an economic dialogue between our two nations which I think will bear fruit quickly,” US Secretary of State Mike Pompeo said at a press conference. Pompeo also said that Iceland sits in a “strategic place in the world.” With melting polar ice, the region may offer world powers new shipping and naval routes between Asia, Europe and America’s east coast. Iceland assumes the two-year rotating chairmanship of the Arctic Council this May. The group comprises Canada, Finland, Iceland, Norway, Russia, Sweden, the USA and Denmark, all of which have territory inside the Arctic Circle.
www.frontierenergy.info SPRING 2019 5
CGG
Greater Castberg TopSeis survey in the Barents Sea
NORWAY
Norway casts net far and wide across the
BARENTS SEA Already an oil and gas producing region, exploration and development is gaining traction in Norway’s Barents Sea. Expect more to come in 2019 as further acreage is opened up and made available to a core of familiar name investors
T
6 SPRING 2019 www.frontierenergy.info
More drilling on the cards in the Barents Sea
Barents Sea blocks in the autumn of 2018 and at least a further two taking place in 2019. Other industry players landing new Barents Sea blocks from the 2018 round, either as operators or joint venture partners, include: Aker BP, Lundin Norway AS, Petoro, DEA, DNO, Spirit, Inpex, Edison, Repsol, Concedo and Vår Energi. DNO netted a stake in seven further Barents Sea blocks, underscoring its commitment to the area. The co-venturers in the 2018 bid round highlights a core group of players with a clear focus on Norway’s Arctic region. And while most blocks were in areas closer to Norway’s northern coast, some of the areas pushed further into the north, notably PL 1031, which brings together Equinor with Aker BP and Petoro.
Spending disconnect While there’s no doubt plenty of interest, there may be, however, a disconnect in how much investors are willing to spend on their new acquisitions, at least for now. “It’s undoubtedly positive to see so many licence awards and active companies in this year’s APA – but the proof is in the work commitments,” noted Jamie Thompson, an analyst with Wood Mackenzie’s Europe upstream team. There’s certainly plenty of oil to be found, with the area’s flagship project Goliat now in
production – though it was now discovered more than a decade ago. The Snøhvit gas export project is also well established, although it was unearthed even further back, in the mid eighties. The Johan Castberg (formerly Skrugard) field – situated approximately 100 km north of the Snøhvit field in the Barents Sea – is currently the poster child for Equinor’s Barents Sea programme, after receiving the development green light last year. It is scheduled for first production in 2022 and marks the next big leap for Norway’s Barents Sea conquest. The project’s resource base consists of the three oil discoveries Skrugard (2011), Havis (2012) and Drivis (2014), located in PL 532. The plan includes a floating production, storage and offloading (FPSO) vessel and a subsea development with a total of 30 wells, 10 subsea templates and two satellite structures. Cost, of course, was a key factor in the decision-making process, with the original estimates slashed by half from around NOK100 billion to NOK50 billion. The project received a further shot in the arm last October when Equinor announced the Skruis exploration well, drilled about 8 km north of the original discovery, which indicated a volume of 12-25 million recoverable barrels of oil. “The Skruis discovery confirms the
OMV
his could be a big year for expansion into some of Norway’s frontier Arctic areas, as the government pushes exploration deeper into the Barents Sea. Potentially, some 90 blocks could be released in the annual licensing round in the so-called Award in Pre-defined Areas (APA), according to the nation’s oil minister KjellBoerge Freiberg. More than half of these could be in the Barents Sea. In the APA 2018 round, just 14 Barents Sea blocks were up for grabs. On March 14, the Ministry of Petroleum and Energy launched a public consultation for a proposal to expand the so-called TFO area. On the basis of assessments by petroleum experts, an expansion of the area was proposed, including 48 blocks in the Barents Sea, 37 blocks in the Norwegian Sea and five blocks in the North Sea. The deadline for comments on the proposal is set for April 30. Freiberg has said that he is keen to maintain the positive momentum in the Barents Sea with more exploration and production activity in the area. It is regarded as part of a long-term development strategy for the country’s far north region. It could accelerate an existing trend, with the award of others areas earlier this year from last year’s round. State oil firm Equinor was handed 29 new licences by Norway’s Ministry of Petroleum and Energy as part of APA 2018 – including six in the Barents Sea. Its activity with the drill bit has been modest of late, though, with four wells on existing
NORWAY
PL 1027: 7220/3, 7221/1,2,4,5 Lundin INPEX DEA DNO
40% 20% 20% 20%
PL 1025 S: 7218/6,9, 7219/4,5,6,7,8 Vår Energi 30% Equinor 50% Petoro 20%
PL 902 B: 7120/1,2 Lundin Aker BP DNO Petoro
PL 1031: 7323/7,8 Spirit Equinor Aker BP Petoro
40% 20% 20% 20%
PL 1029: 7221/3, 7222/1,2,3, 7321/12, 7322/10,11,12 Lundin DNO Spirit
40% 40% 20%
PL 1028: 7222/2,3 Aker BP Equinor Petoro
50% 30% 20%
PL 1030: 7223/2,3, 7224/1 Aker BP Equinor
50% 50%
Lundin wells come up dry
PL 1026: 7221/6,9, 7222/4,5,6,7,8,9 Aker BP 40% Equinor 30% Petoro 30%
40% 30% 10% 20%
PL 767 B: 7120/3, 7121/1,2,3, 7122/1 Lundin 50% INPEX 40% DNO 10% PL 1021: 7019/2,3, 7020/1, 7119/12, 7120/10 DEA 50% DNO 50% PL 1022: 7121/9, 7122/7 Aker BP Concedo DNO
40% 30% 30%
PL 229 F: 7121/9, 7122/5,7,8 Vår Energi Equinor
65% 35%
potential in this part of the Barents Sea ... The partners will now further consider tie-in of the discovery to Johan Castberg,” the company said at the time. The Castberg field area is estimated to hold 450-650 million barrels of oil, excluding Skruis. Italy’s Eni and Norway’s state-owned Petoro are also joint venture partners in the project.
Johan Castberg steel cutting First steel cutting for the topside of the Johan Castberg vessel commenced at the end of last year at Kværner’s yard at Stord. “Johan Castberg is the next major development on the Norwegian continental shelf and will open a new area in the Barents Sea for Equinor,” said Anders Opedal, Equinor’s executive vice president for technology, projects and drilling. OMV (Norge) AS has likewise made good progress on its Wisting discovery, with estimated recoverable volumes rising to 440 million barrels of oil, compared to
improved reserves estimates will help to underscore the project’s economic case, a key factor for any oil development but especially so in the Arctic. “Wisting is a big discovery, and we have now a more robust business case to move the project forward towards development.” The discovery is located in the Barents Sea and was identified in 2013 by exploration well 7324/8-1. It sits inside block PL 537, which was awarded to OMV (Norge) AS in the country’s 20th licensing round back in 2009. The company is the operator with a 25% working interest, alongside partners Equinor, Petoro and Idemitsu Petroleum Norge.
PL 1024: 7125/2,3, 7126/1,2, 7225/12, 7226/7,10,11 Repsol DNO
70% 30%
PL 1023: 7123/6, 7124/1,2,4,5 Edison 50% Lundin 50%
350 million barrels in 2017. It follows efforts over the past year or so to get a better understanding of the shallow Wisting reservoir. Six wells have been drilled to date, yielding a huge amount of data. In addition, the Wisting team has successfully combined traditional seismic with Controlled Source Electro Magnetic (CSEM) in its technical studies for subsurface optimisation. “We now see the increased potential of Wisting,” Knut Mauseth, senior vice president OMV (Norge) AS said in January. The company is now in the process of putting together development options for the field. The current reference concept is an FPSO with a subsea production system consisting of 19 producers and 15 water injectors. Two FPSO concepts – in the form of a circular and a ship-shaped hull – are being matured, with the final selection expected during 2020. Mauseth said recent studies on the field and
Not all explorers have enjoyed the same success though. Lundin Norway AS earlier this year completed the drilling of a well targeting the Pointer and Setter prospects in PL767 in the southern Barents Sea. Oil shows were encountered at various intervals in the Pointer prospect but the well was classified as dry, the company confirmed at the end of February. The main objective of the well, 20 km north of the Snøhvit gas field, was to test the two distinct lower Cretaceous sandstone targets, the shallower Setter prospect and the deeper Pointer prospect. Oil samples and data were collected to be analysed in order to mature further leads and prospects in the block – operated by Lundin with partners Inpex and DNO – and in adjacent parts of the Hammerfest Basin. The well was drilled with the semisubmersible drilling rig Leiv Eiriksson, which after completion of plugging and abandoning operations moved on to drill exploration well 16/1-31 S. This is a dual branch well targeting both the Jorvik and Tellus East prospects on the eastern side of the Edvard Grieg field in PL338. Lundin is the operator of PL338 with a 65% interest, joined by OMV and Wintershall. Unfortunately, it was preceded by another disappointment with exploration well 7132/21, targeting the Gjøkåsen Shallow prospect in PL857 in the southern Barents Sea, which also came up dry. This was the first exploration well in the block and was operated by Equinor (partnered by Lundin, Aker BP and Petoro). This well was drilled by the West Hercules rig, which is now drilling on the Gjøkåsen Deep exploration well 7132/2-2, also located in PL857– where there were strong rumours circling of a discovery by late March. The objective here is to test deeper exploration targets in the same structure. The result of the Gjøkåsen Shallow well has no impact on the prospectivity of the Gjøkåsen Deep target, a Lundin statement read. FE www.frontierenergy.info SPRING 2019 7
NPD
NORWAY
NOK25 billion. In total, more than 2 million working hours will be included in the construction of the topside; it is expected to generate jobs for 4,800 people. “Simultaneously, work will begin at a number of yards along the entire Norwegian coast. Already, many small and large Norwegian suppliers are in the process of delivering to Johan Castberg. This shows the competitiveness and competencies of the Norwegian supplier industry in hard global competition,” said project director for Johan Castberg Knut Gjertsen. There will be extensive activity at the yards in Verdal, Egersund and Sandnessjøen in addition to Stord over the next few years
NORWEGIAN SUPPLIERS
at the front of the queue
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Local content is everything as Norway rolls out the mighty Johan Castberg development in the Barents Sea ready for a 2022 start-up
T
he Johan Castberg development will have ripple effects equivalent to 47,000 man-years in Norway during the development phase. It is a huge project. It
also underscores a growing trend to spend at home on local suppliers. The value of Norwegian goods and services from Johan Castberg alone will amount to around
Arctic test for wired drill pipe technology
A new intelligent drill pipe system, that could pave the way for automated drilling, has already been road tested in the Barents Sea, it has emerged. Equinor announced recently that it is stepping up its use of the wired drill pipe to acquire subsurface real-time data during drilling operations, in line with a broader corporate digitalisation strategy and to prepare for automated drilling. NOV and Schlumberger have been awarded corporate frame agreements for global deliveries of the wired drill pipes to the Norwegian oil major. Both suppliers use solutions from IntelliServ, which is jointly owned by the two companies. According to NOV, the technology will be an enabler for future drilling campaigns, enabling telemetry-related time savings, increased drilling
8 SPRING 2019 www.frontierenergy.info
High-speed data transfer The wire inside the drill pipe allows for highspeed data transfer during drilling operations performance, and optimum wellbore placement through integration of real-time downhole tool data and surface software applications. Geir Tungesvik, head of TPD Drilling & Well, said that Equinor already has good experience from using the technology during its Barents Sea exploration campaign of last year. “This technology gives us a deeper understanding of what is happening inside and around the well during drilling, and makes it easier to make the right choices, based on real-time data, during the drilling operation,” he said. “We will eliminate expensive mistakes, such as obstructions in the open hole during and after
IntelliServ
A new wired drill pipe to acquire subsurface real-time data during drilling operations has already been road tested by Equinor in the Barents Sea
drilling and having to drill sidetracks. It also gives us a better understanding of the reservoirs and enables us to optimise the well placement. We become more efficient because we can control the speed and power of the drilling against the limit values that are most suitable underground.”
The wire inside the drill pipe allows for highspeed data transfer. The signals transmitted through the drill pipe are estimated to be 10,000 times faster than the pressure waves of the drilling mud in conventional drill pipes. “That is why we are expanding the use of this technology, while we are upgrading all rigs and some platforms in 2018 and 2019 to prepare for more automated drilling. This technology is an important element of our digitalisation strategy. I look forward to expanding the use of high-speed data transfer, which I believe will help ensure safer and more efficient drilling operations,” added Tungesvik. The contracts with the two suppliers, NOV and Schlumberger, allow the technology to be used on all Equinor installations globally. The total contract value may exceed NOK1 billion, Equinor says, during the first three years of the contract period. In addition, commitments have been made on the use of wired drill pipe delivered by NOV for other specific operations elsewhere, such as
Equinor
The Johan Castberg field development plan
NORWAY
constructing the many parts that will form the complex topside. It will be installed on the 200metre long FPSO vessel that will be producing on the Johan-Castberg field for 30 years from the planned production start in 2022. The construction of the other two big puzzle pieces of the FPSO is also underway: the hull is under construction in Singapore, and the turret is being built in Dubai. These will eventually arrive at Stord in 2020 for assembly and completion before the vessel is moved to its permanent home in the Barents Sea.
The iconic Goliat platform in the Barents Sea
Hard numbers
Geir Tungesvik: technology “makes it easier to make the right choices” Mariner in the UK, the West Hercules exploration campaign on the Norwegian continental shelf and Transocean Enabler’s drilling campaign on Trestakk. The estimated value of this work is around NOK300 million. Peggy Krantz-Underland, Equinor’s head of procurements, added: “Technology development in this segment is progressing fast and we are eager to see the development of other solutions in the market that may be relevant for us to test in the short or longer term.”
Goliat field to implement network upgrade Telenor Maritime is to install 2G and 4G networks on the world’s most northerly oil field Vår Energi AS has entered into an agreement with Telenor Maritime to equip the Goliat field in the Barents Sea with 2G and 4G networks, improving safety and emergency response capability in the region. “We are delighted to conclude our efforts in securing this agreement, which will enhance the network reliability on the Goliat field,” said Asbjørn Skoge, asset manager Barents Sea at Vår Energi. “Other offshore activities will benefit from improved safety and emergency response due to the mobile network coverage available for people at sea.” Telenor Maritime already operates mobile 4G networks on the Norwegian continental shelf. It is looking to build on experiences from delivering tailor-made mobile solutions in the North Sea and the Norwegian Sea, to expand into the Arctic waters of the Barents Sea, Telenor Maritime chief executive Lars Erik Lunøe said. Installation of the equipment on the Goliat floating, production, storage and offloading (FPSO) unit is to commence in the second quarter of 2019, with an expected completion in the third quarter. Additionally, the agreement includes supporting vessels
to the Goliat licence and other users in the area, within approximately 70 km of the Goliat field. “As operator of the Goliat field, we are dedicated to taking corporate social responsibility in regions where we operate,” said Skoge. “Major ripple effects in the northern region have taken place as an effect of the Goliat development, and we expect to retain substantial ripple effects due to ongoing operations and future maintenance activities. In this case, we are content with the mobile communications services creating a safer environment for people offshore, including the fishing fleet and growing tourism industry.” In periods with production shut down such as turnarounds or other activities, the network may be impacted, but the objective is to keep the networks’ uptime as high as possible. “Mobile operators and technology have through time transformed how businesses operate,” added Lunøe. “A state-of-the-art high-speed 4G network will facilitate Vår Energi to carry out even more innovation and efficiency improvement on the Goliat field, benefitting from high-speed mobile coverage, with improved communications between offshore installation and supply vessel. Low latency, high capacity, stability and available wireless communication will promote the industry’s opportunities for integrated operations.”
www.frontierenergy.info SPRING 2019 9
Vår Energi AS
Jørgen Bratland
The prime focus on Norwegian industry suppliers appears to be marked out in hard numbers. In 2018, Equinor said it purchased goods and services worth NOK141.7 billion from more than 9,000 suppliers globally. More than two thirds of this (NOK95.2 billion) went to suppliers with a Norwegian billing address. Another development (outside of the Barents Sea) is the Johan Sverdrup project, the largest ongoing industrial project in Norway. It has secured more than 70% of its contracts from local suppliers during a first phase, with the second phase set to be even higher. This field is scheduled to come on stream in November 2019. FE
ALASKA
America’s ‘energy dominance’ policy boosts
Opportunities and uncertainties abound in Alaska’s oil and gas industry, creating a consistently challenging environment for operators. What’s certain is that natural resources and potential are there in abundance, as is the high profile environmental resistance 10 SPRING 2019 www.frontierenergy.info
I
t’s quite possible that no other American president has garnered as much media attention than the present incumbent, Donald Trump. Yet, despite the president’s broadly supportive stance towards the oil and gas industry, there remain significant hurdles to development when it comes to unlocking the potential of sensitive areas like Alaska. Oil production is long established, of course, though somewhat down, it seems, according to early indicators this year. Alaska North Slope oil production will average 511,500 barrels per day (bpd) for the current fiscal year to June 30, down 3% from an earlier estimate, according to the Alaska Department of Revenue in its semi-annual forecast released in mid-March. The previous forecast, released last fall, expected the current
fiscal year’s North Slope production to average 526,800 bpd. And it could mark the beginning of a new trend. The latest forecast said that North Slope production will increase in the coming fiscal year to 529,000 bpd, then decline for several years, hitting a low of 469,100 bpd in 2024. The state used to produce more than 2 million bpd but this has slumped in recent years. Bear in mind also that production is coming from mostly ageing fields, and it’s easy to see why there is a keenness among the industry at least to restore momentum. Outside of the North Slope, production from the Cook Inlet in southern Alaska is also falling. Here, production is expected to average 14,400 bpd in the current fiscal year and fall
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Despite the challenging climate conditions and environmental constraints, it remains a region with proved resources and production history. Towards the end of last year, the US Department of the Interior (DoI) gave conditional approval to Hilcorp’s longawaited oil and gas production facility in federal waters off the Alaska shoreline. The privately-held company is seeking to build a nine-acre artiďŹ cial gravel island in the shallow waters of the Beaufort Sea.
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steadily in future years, dwindling to 5,100 bpd in ďŹ scal 2028, according to the forecast. Against a backdrop of environmental pressures and a previous White House administration that sought to block further
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The maritime boundaries and limits shown hereon, as well as the divisions between planning areas, are for initial planning purposes only and do not necessarily reflect the full extent of U.S. sovereign rights under international and domestic law.
hydrocarbon development, it’s clear there are mixed messages for oil and gas companies to contend with. Certainly, the industry itself seems to have the appetite for more Alaska exposure.
The so-called Liberty Project, if developed, would be the ďŹ rst oil and gas production facility in federal waters off Alaska. It would be similar to the four oil-and-gas-producing artiďŹ cial islands currently operating in the area’s state waters: Spy Island, Northstar Island, Endicott Island and Oooguruk Island. “Working with Alaska Native stakeholders, the Department of Interior is following through on President Trump’s promise of American energy dominance,â€? noted former US Secretary of the Interior Ryan Zinke on October 24, 2018. “American energy dominance is good for the economy, the environment, and our national security. Responsibly developing our resources, www.frontierenergy.info SPRING 2019 11
ALASKA
Aerial view of BP’s Prudhoe Bay operations
in Alaska especially, will allow us to use our energy diplomatically to aid our allies and check our adversaries. That makes America stronger and more influential around the globe.” The approval process rests on stringent conditions and criteria, however. The Hilcorp plan was conditionally approved only after incorporating input from the public, and from North Slope communities and tribal organisations.
Safeguards As the project moves forward, the Bureau of Ocean Energy Management (BOEM) will continue to work with the company to ensure all appropriate safeguards are stringently applied. Approval conditions include: restricted drilling into the hydrocarbon-bearing zone, which may occur only during times of solid ice conditions; seasonal restrictions on activities and vessel traffic to reduce potential disturbance to Cross Island subsistence whaling activities; and obtaining all required
permits from other state and federal agencies. Joe Balash, the DoI’s assistant secretary for land and minerals management, added that the Hilcorp plan represented a “relatively conservative, time-tested approach” toward offshore oil and gas development.
The draft proposed plan suggests 19 lease sales in Alaska’s OCS, including three in the Chukchi Sea; three in the Beaufort Sea; two in Cook Inlet; and one sale each in 11 other programme areas. Perhaps this gives a flavour of things to come. There are clear hopes of reversing longterm production declines given the high promise of the region and its proven reserves. That includes potential oil and gas lease sales in the Beaufort Sea, off Alaska’s northern
Alaska LNG gaining momentum state-owned company’s proposed LNG project. Both BP and Exxon produce massive amounts of oil in Alaska and have discovered huge gas resources that are stranded in the North Slope. “Our respective organisations share an interest in the successful commercialisation of Alaska’s stranded North Slope natural gas,” said AGDC’s interim president Joe Dubler. “BP and Exxon
Mobil possess world-class LNG expertise which may help AGDC responsibly advance this project with maximum efficiency for the benefit of Alaskans, and I welcome their collaboration.” The Alaska LNG project aims to liquefy 3.5 billion cubic feet per day of gas for sale to customers in the Asia-Pacific region from a facility to be built in Nikiski on the Kenai Peninsula south of Anchorage. It includes an 807-mile (1,300-km) pipeline from the North Slope running across the state. BP
One of the more ambitious projects on the drawing board is the new Alaska LNG scheme, estimated to cost a massive US$43 billion. And the initiative has some heavyweight backing from Exxon Mobil and BP. Alaska Gasline Development Corp (AGDC) said in March that it had signed an agreement with both super majors to help advance the
coast, and other areas. Here, BOEM is completing environmental impact studies to analyse the potential effects of exploration and development. The area identified for the potential lease sales includes the entire Beaufort Sea Outer Continental Shelf (OCS) planning area and encompasses about 65.1 million acres. The DoI’s 2019-2024 National Outer Continental Shelf Oil and Gas Leasing Draft Proposed Programme proposes lease sales in the Beaufort Sea in 2019, 2021, and 2023. BOEM last held a lease sale in the Beaufort Sea in April 2007, more than a decade ago, which resulted in the leasing of 90 blocks. But that could be the tip of the iceberg. Alaska Senator Lisa Murkowski said in March that she is keen to tie up details of a much broader programme for the OCS that would see licensing in other key areas too. The draft proposed plan suggests 19 lease sales in Alaska’s OCS, including three in the Chukchi Sea; three in the Beaufort Sea; two in Cook Inlet; and one sale each in 11 other programme areas. Revisions to the original
12 SPRING 2019 www.frontierenergy.info
ALASKA
plans unveiled last year are expected to be made public in the near future. The OCS licensing initiative, Murkowski says, is to “reinforce our nation’s status as a global energy leader,” another indicator of the Trump influence in prising open Alaska’s oil sector.
Officials confirmed recently that no seismic will be undertaken in the ANWR until at least December this year, after the company seeking permission ran out of time to get the required permit. The BOEM recently increased its estimate for the Beaufort Sea by 700 million barrels to a total of 8.9 billion barrels, while the Chukchi Sea is estimated to contain 15.4 billion barrels. The Cook Inlet is a developed basin but remains a critical source of natural gas to the Railbelt. Areas that are excluded from the draft proposed programme include the North Aleutian Basin. There are also hopes of planned lease sales in the Arctic National Wildlife Refuge
Lisa Murkowski, Senator for Alaska
(ANWR), another controversial location, but any further progress here seems unlikely at least during 2019.
Seismic delay Officials confirmed recently that no seismic will be undertaken in the ANWR until at least
December this year, after the company seeking permission ran out of time to get the required permit. The Interior Department said in February there will be no seismic exploration this winter on the coastal plain of ANWR. “We can confirm that seismic surveys will not take place until December 2019,” Alex Hinson, a DoI spokesman was quoted by Reuters as saying on February 8. The company applying for the permits, SAExploration, had applied for a start date as early as December 2018 for seismic testing as a precursor to drill in the ANWR. The area has been off-limits to drillers for decades. Congress opened up the Arctic territory for oil leasing as part of a tax bill that passed in late 2017. The seismic application remains active, however, though it will be altered, the DoI official added. “The applicant has asked us to amend both permits to reflect a December 2019 start date.” Environment groups are against any exploration, including seismic work. Critics argue that exploration and drilling will harm wildlife and the area’s delicate eco system. For both sides, the permit delay buys time. Indeed, it will be a fascinating year as Trump’s pro-oil agenda navigates a formidable environmental opposition. FE
www.frontierenergy.info SPRING 2019 13
PIPELINE REPAIR
COMPOSITE contends with Arctic underwater pipeline repair ///////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
Composite technology is proving to be valuable in repairing critical infrastructure in exacting environments. By Buddy Powers and Martin Pashuck, ClockSpring|NRI
M
14 SPRING 2019 www.frontierenergy.info
and would deliver long-term performance at the maximum operating pressure (MAOP) of 2,785 psi (192 bar). The installation variables and the required specifications led the owner to ClockSpring|NRI, where experts suggested using Snap Wrap, a multi-layered composite repair system made of high-strength, corrosion-resistant fiberglass split sleeves. This repair system is ideal for areas with tight access and is designed to permanently reinforce corroded and damaged pipeline systems. It is installed with a highperformance adhesive and a filler material and is fitted to the pipe without the need for cutting or welding.
Preparation Once the repair was selected, a team needed to learn how to perform an installation. Training was carried out in Houston for the diver who would perform the Snap Wrap repair during a weather window in late May to early June, when the water temperature in the inlet would be approximately 43°F (6°C), the minimum application temperature threshold for the composite repair. A barge carried the diver and support team to the worksite. Installation was scheduled to take place during slack tides, which occur every six hours, giving the diver bottom time of approximately 25 to 40 minutes. Because the
CS-NRI
Team members on the barge applied filler and adhesive to the Snap Wrap repair sleeves and placed them on the frame developed specifically for this underwater installation.
aintaining pipeline integrity in exacting environments poses significant challenges, particularly in high-traffic areas offshore. When the pipeline is in an ecologically sensitive region and is difficult to access, the challenges are compounded. A pipeline owner in Alaska encountered a series of obstacles when the decision was made to address damage on 20 girth weld joints on a 10-inch (25.4-cm) gas pipeline in Cook Inlet. The line needed to be repaired, but there were a lot of variables that had to be taken into account in determining how the line would be restored. There is considerable marine traffic in the inlet, and the work would need to be done from a floating structure with station-keeping ability that did not require mooring. Subsurface conditions also posed difficulties. There was zero underwater visibility at the repair site 100 ft (30.5 m) below the surface, and there was very little clearance between the lines. The concrete coating on the pipeline was 2 inches (5 cm) thick, which in some cases left only 2 inches (5 cm) of clearance. The work window posed another challenge. The project would have to be executed during the summer months and during slack tides, the short time window during which there is no movement either way in the tidal stream – before the direction of the tidal stream reverses. Finally, the owner needed a solution that would not require the pipeline to be moved
PIPELINE REPAIR
split sleeve in the open position during the dive to make placing it on the pipeline much easier. Using the frame and ties cut the application time in half, which made the installation process much more efficient.
Execution
tide flow deposits glacial silt, the diver would need to clean the pipeline before each step of the installation to be sure the adhesive functions as needed to properly secure the Snap Wrap to the damaged area of the pipeline. One of the application criteria was that each sleeve installation had to be completed during a single operation because anything that was only partially installed would have to be retrieved and discarded. To mitigate waste, the team trained on the deck before the installation began so every step could be carried out as efficiently as possible. In onshore installations, the filler and epoxy are placed on the repair area, and the sleeve is clamped on over top. Because this installation
was being done under water, the filler and epoxy had to be placed on the sleeve and carried by the diver to the repair area, where the sleeve would be secured to the pipeline. The team on the barge had no difficulty making up the sleeves for installation, but the lone diver faced challenges placing the Snap Wrap on the pipe following the normal installation process with zero visibility. Creative thinking led to a solution. The diver descended to the pipeline, located the girth weld, and loosely installed band clamps before and after the repair area so it would be easy to find the correct landing spot for the composite sleeve. Meanwhile, the team created a frame that could hold the prepared
An inspection camera shows the completed Snap Wrap repair.
Taking the next step Understanding the unique site conditions and being willing to develop alternative ways of installing the products led to a novel application in challenging underwater conditions. The installation team learned some valuable lessons from this project that will lead to further improvements for harsh environment installations. The willingness to attempt this type of installation for the first time took trust and cooperation. Although the composite technology had proven effective on many previous projects, none had delivered the number of challenges presented by this offshore repair. This solution proves the applicability of composite solutions in water in cold conditions and illustrates the adaptability of the technology. FE www.frontierenergy.info SPRING 2019 15
CS-NRI
Sunrise, on location
During each dive, the installer inspected the pipe to determine how much room there was to install the composite sleeve and cleaned the area to ensure the repair sleeve would adhere to the pipe. The next step was to loosely install band clamps above and below the repair area. Picking up a prepared repair sleeve at the surface from team members on the barge who had applied filler and adhesive material, the diver descended with the sleeve and used the specially designed tool to place the Snap Wrap sleeve on the pipeline, orienting the seam 180 degrees from the primary defect and tightening it to extrude any excess filler. Wiping the excess filler from sides of sleeve, the diver moved the band clamps to the next repair area, cleaned excess hardened adhesive from the outside surface of the Snap Wrap sleeve, and placed wrap ties around the finished repair to hold it firmly in place while it cured. With the installation complete, the diver could return to the surface to pick up the next prepared sleeve. The diver repeated this process, placing each sleeve with the seams oriented 90 degrees from the previous one. He inspected the sleeves to ensure proper curing, then installed Contour WA, a proprietary composite solution with engineered, bi-axial stitched e-glass tape impregnated with a water-activated polyurethane resin, to the remainder of line for impact protection. During each session, the diver made as many dives as possible before tide conditions prevented further work. Following this work programme, the diver repaired all the damaged girth welds and restored the line to safe working order.
CANADA
A man walking on the helicopter pad on Terra Nova
New lessons, new developments shape ///////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
Newfoundland and Labrador will soon see a new face leading the line in the development of the region’s emerging offshore oil and gas sector. There remains plenty of work to be done in an area with huge long-term potential
T
he provincial government of Newfoundland and Labrador is setting up a new oil and gas entity – as yet, unnamed – as it seeks to benefit from the further growth and development of the offshore industry. Siobhan Coady, Minister of Natural Resources, introduced legislation on March 11 to establish the new corporation which will be “focused on maximising opportunities for growth in the province’s offshore oil and gas industry”. The resource potential in Newfoundland and Labrador’s offshore sector is high, with over 650 leads and prospects identified to date. Only 7% of this offshore potential has been explored, however, which has already yielded a combined resource potential of 49.2 billion barrels of oil and 193.8 trillion cubic feet of gas. Coady said the new entity will conduct offshore seismic work and other geoscience research to help unlock future resource potential. “This new Crown corporation will allow us to realise our plan for growth and delivers on commitments made in Advance 16 SPRING 2019 www.frontierenergy.info
2030 – helping us respond to industry needs and positioning our province as an ideal place for global investment,” she said. “This is another important step forward in realising our economic potential for jobs and growth in the oil and gas industry.”
Next steps Coady said the next steps will include creating a name and interim board for the corporation, which will report directly to the Ministry. It will also drive exploration by attracting new investment and maximising returns through equity investments. Another key aim is to enhance local supply chain opportunities. Bull Arm Fabrication Inc. will become a subsidiary of the new corporation under the revised structure. Creating a separate oil and gas vehicle will also enable Nalcor Energy to focus on its core business, the ministry noted in a statement. And there is plenty of work to be done, given the scale of the province’s offshore sedimentary basin area, which is greater than the US’ Gulf of Mexico. Bit by bit, the
offshore sector has been emerging although it has been a slow path. Discovered in 1979, it is now 20 years since first oil was produced from the Hibernia project, with the projected field life now extended beyond 2040. The Hebron oil field, discovered in 1980, achieved first oil in 2017 and is expected to produce more than 700 million barrels of oil. In May 2017, Husky Energy and its partners announced they were proceeding with the West White Rose extension project with first oil expected in 2022, and an extension of the Terra Nova field is also anticipated. The state’s new oil and gas corporation will work alongside some of the industry’s bestknown upstream players, such as super-giant Exxon Mobil, which is a lead player at the Hebron oil field. The combined output of Canada’s Atlantic projects is currently around 280,000 barrels per day – though there is massive hope for expansion long-term. Husky Energy’s focus offshore Newfoundland and Labrador is in the Jeanne d’Arc Basin, home to the White Rose and Terra Nova oil fields, and the Flemish Pass Basin, where the company and its partner have also made recent discoveries. It is developing the West White Rose project using a fixed wellhead platform, with first oil still anticipated in three years’ time. That’s despite issues at the White Rose project and the SeaRose FPSO, following a shutdown last year triggered by back-to-back spills last November caused by a failed flowline valve –
Suncor Energy
ATLANTIC OFFSHORE
CANADA
Building oil spill response capacity in Nunavut
the largest yet for Newfoundland and Labrador’s nascent oil sector. The SeaRose FPSO – still to resume pumping oil at full capacity – began operations in 2005 and serves the White Rose field as well as the North Amethyst, West White Rose and South White Rose extensions.
Challenging environment Canada’s Suncor Energy likewise holds interests in all current major producing assets in the area and is a key partner to Husky and Exxon, among others. It noted recently that drilling activity at Hebron is ongoing, with production continuing to ramp up. A fourth production well came online during the final quarter of 2018 contributing to increased volumes. Other exploration and production activity during the fourth quarter included development drilling at Hibernia and White Rose, as well as development work on the
West White Rose project. In December, Suncor re-started production at its Terra Nova FPSO which had shut down for repairs before a major storm struck in November, which subsequently affected production on several of Canada’s offshore facilities; repairs were completed but Terra Nova remained shut down during the storm and did not start until inspections were complete. Canada’s C-NLOPB industry regulator says production start-up of the Terra Nova FPSO commenced December 2 with a slow and controlled production re-start process. All operators continue to navigate the unique challenges posed by Atlantic Canada’s extreme environment. Husky and Suncor were once ordered to suspend operations on the SeaRose FPSO after an iceberg came too close to the facility in 2017, though it eventually passed without incident. Harsh weather has
Changing environmental conditions and advancements in engineering and technology have led to more ship traffic in Canada’s Arctic — a change that brings both opportunities, but also increased risk from accidental spills of oil or other harmful substances. With funding from Irving Shipbuilding, the Enhanced Capacity for Oil Spill Situational Awareness and Response (ECOSAR) project team — led by ice engineering experts C-CORE — is developing practical, community-based solutions for these issues. One key initiative is to develop a programme that uses satellite data to detect when a spill occurs. Another is on developing an oil spill response training programme for Nunavut residents in the far north of the country. Other partners include Memorial University’s Fisheries and Marine Institute, the Nunavut Fisheries and Marine Training Consortium, and Polar View. The ECOSAR team is working with the Nunavut Department of Environment to prepare and deliver an oil spill response course in Iqaluit. Last year, a workshop was held to provide training to representatives from across Nunavut to become trainers, with the goal of returning to their regions to help build a critical mass of potential responders for all local communities. “Sustainable development in the Arctic requires maintaining a delicate balance between enabling economic benefits for local populations and managing the resulting risks to their environment,” said Thomas Puestow, principal investigator for the project. “ECOSAR will engage Arctic communities in reducing the risk of Arctic shipping by building local capacity for oil spill response, thus mitigating the potential for marine pollution impacts on food security and traditional livelihoods.”
repeatedly hampered work at the FPSO, delaying the recovery of the failed flowline, central to the investigation into the spill incident. On March 19, C-NLOPB announced that the failed flowline connector had been brought to the surface to be brought onshore. The complexity of the operation, and the impact of the weather, underscores the challenges faced by all in successful operations off Canada’s eastern flank. FE www.frontierenergy.info SPRING 2019 17
Suncor Energy
SeaRose FPSO off the east coast of Canada
ARCTIC SHIPPING
PAME launches Arctic SHIPPING DATABASE //////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
The Arctic Ship Traffic Data (ASTD) project will enhance knowledge of shipping activities across the Arctic region, providing vital information and insight for the protection of the area and its people
A
new shipping database for the Arctic region aims to expand the knowledge base of the far north region for the maritime industries. The comprehensive Arctic shipping activity database – which includes archived information from 2005 to 2018 – was launched in February by the Arctic Council’s Working Group on the Protection of the Arctic Marine Environment (PAME). The so-called Arctic Ship Traffic Data (ASTD) project has been developed in response to a growing need to collect and distribute accurate, reliable, and up-to-date information on shipping activities in the Arctic. The database will be updated regularly with new information as it becomes available. The intention is to position the Arctic Council at the forefront of Arctic shipping data analysis.
Tracking tool PAME Chair Renée Sauvé said the new database offers an increasingly sophisticated tracking tool for the region as a whole and for all those with an interest in the Arctic and the growth of shipping activities in the area. “When PAME released the Arctic Marine Shipping Assessment Report in 2009, it contained data on Arctic shipping activities that had been collected by asking Arctic nations to fill in an Excel spreadsheet,” said Sauvé. “Now, we are able to use satellites to gather information on shipping traffic in the Arctic. I am confident that the ASTD database will benefit PAME, the Arctic Council, and others by providing an invaluable tool to support a wide range of reports and analyses. The ASTD will increasingly be pivotal as we seek to better understand the growth of Arctic ship 18 SPRING 2019 www.frontierenergy.info
traffic in the years to come.” The ASTD project collects a plethora of historical information, including ship tracks by ship type, information on number of ships in over 60 ports/communities across the Arctic, detailed measurements on emissions by ships, shipping activity in specific areas (for example: the EEZs, Arctic LMEs and the Polar Code area), and fuel consumption by ships. Access to the database, to be used only for non-commercial purposes, is available to all Arctic Council members, accredited academic institutions, and other recognised research entities. Key highlights include: • Number of ships in the Arctic, distances sailed, and hours operated • Location of ships, ship routes, and ship speed • Ship types, including size and flag • Pollution measurements from ships, including CO2 emissions • Other environmental information such as sea ice extent. The launch is a significant milestone in PAME’s work to improve knowledge of historical Arctic ship traffic activity and various factors that affect such activity, such as sea ice extent, meteorological and oceanographic conditions, and international regulations. The database will allow users to analyse vessel traffic patterns, fuel use, and air emissions, among other economic and
environmental conditions. PAME and the Arctic Council also intend to use the data from the system to conduct analyses and develop projects across its own working groups. Participant countries, currently seven of the eight Arctic States, will have access for their own research and analysis, while Permanent Participants, Arctic Council Observers and other subsidiary bodies can gain access to the system upon request. Users can also add their own data to the system.
More advanced technology The project seeks to further the work of the shipping database developed in 2005 for the release of the Arctic Marine Shipping Assessment Report (AMSA 2009), albeit with the application of more advanced technology for data collection and presentation. It also marks a step to reduce the knowledge gap of circumpolar ship traffic in the Arctic. With changes in the Arctic sea ice extent and projected changes and increase in shipping in the region, the database will allow the Arctic Council to be at the forefront of monitoring trends and support studies that enhance Arctic marine safety and support protection of the area’s people and environment. FE For more information on the Arctic Ship Traffic Data (ASTD) database visit www.astd.is
RUSSIA
Get ready for ARCTIC LNG 3 ////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
With work now gaining momentum on Arctic LNG 2, ahead of a planned 2023 start-up date, and shipments from Yamal LNG making their way to customers around the world, get ready for the next phase of Russia’s great gas export grab
N
ews comes thick and fast out of Russia’s oil and gas rich Arctic region these days. No sooner was production flowing from its Yamal liquefied natural gas (LNG) project, than attentions were turning to a second mega gas export plant, dubbed Arctic LNG 2. In recent weeks, lead sponsor Novatek has confirmed details of involvement by French oil company Total in the US$20 billion-plus venture. Now, get ready for Arctic LNG 3, reckon analysts at Wood Mackenzie. That was the theme of a briefing note by the energy consultancy late last year after Novatek announced the North Obskoye discovery in the shallow waters of Ob Bay, in northern Russia. “The field is located close to the South Tambeiskoye field, the source for the Yamal LNG project, and contains estimated recoverable reserves of 11.3 trillion cubic feet of gas (320 bcm),” it noted. “It is a discovery of global significance in 2018 and could lead to development of the third LNG project of Novatek – Arctic LNG 3.” It’s a massive boost and could be a key development to watch for the future, as things accelerate on Arctic LNG 2. This will draw on resources from the Utrenneye gas-condensate
field, which is located on the remote Gydan Peninsula in northern West Siberia. The Arctic LNG 2 project envisages constructing three LNG trains at 6.6 million tons per annum each, using gravity-based structure platforms. The venture represents the second LNG mega project led by Novatek, after Yamal LNG.
Equity partner Leonid Mikhelson, Novatek’s chairman, said the confirmation of Total as an equity partner in the scheme builds on a close relationship from the successful Yamal LNG venture, which commenced production at the end of 2017. (On February 4, 2019, Yamal LNG announced that it had shipped its 10 millionth ton of LNG since the commencement of the project). Total’s consideration includes a payment for a 10% participation interest as well as financing for the project through the capital of Arctic LNG 2. But Mikhelson has also strongly hinted that it could soon be joined by another powerful foreign investor in the shape of Saudi Arabia’s state oil company. “We are in talks with Saudi Aramco [on the Arctic LNG 2 project]. I think we will get something concrete in coming months,” he was quoted as saying by Reuters
in March. Work on the Arctic LNG 2 project has made significant headway in recent times. Front-end engineering and design (FEED) work was completed in October confirming preliminary cost estimates between US$20 billion and US$21 billion. Moreover, additional exploration drilling confirmed significant reserve growth at the Utrenneye field, and accordingly, the Russian state reserves commission subsequently increased the field’s natural gas reserves to approximately 2 trillion cubic metres under
Novatek
Facilities at Yamal LNG
20 SPRING 2019 www.frontierenergy.info
RUSSIA
Total
The LNG tanker Christophe de Margerie
Russian reserves classification. It has meant plenty of work for suppliers and manufacturers. Engineering giant Siemens landed a contract in February to supply compressor equipment for the three liquefaction trains. The order includes three feed-gas compressors and six boil-off gas compressors, with a provision for localising the equipment fabrication for the project’s third train inside Russia. Siemens also supplied the gas turbine generators and boil-off gas compressors on Yamal LNG. “Our next project, Arctic LNG 2, will utilise new technological solutions and employ domestic manufacturers,” said Alexander Fridman, first deputy chairman of the Novatek management board. “The supply contract envisages new prospects for localising the compressor equipment fabrication for the LNG industry, which is consistent with our strategic aim of creating and developing an LNG centre of excellence in Russia.” Other contractors include a joint venture of Italy’s Saipem and Renaissance, a Turkish oil and gas services company, which has landed the €2.2 billion project for the design and build of the three 30-metre-high concrete gravitybased structures. These will be fabricated in two dry docks in a Novatek-provided facility in Murmansk, before being towed and installed in Gydan – underlining Moscow’s determination to keep work local. FE
Arctic Shipping Company selects Maritime Connect Network connectivity vital to ensure safety in the Russian Arctic
ASC
Russia’s Arctic Shipping Company (ASC) has chosen Maritime Connect from Orange Business Services to keep its cargo ships connected and online while at sea. ASC specialises in cargo transportation, including along the Northern Sea Route (NSR), which runs from the Barents Sea, near Russia’s border with Norway, to the Bering Strait between Siberia and Alaska. The new contract follows the successful completion of a pilot with the shipping firm. Maritime Connect combines multiple networks, including satellite, to ensure connectivity for cargo ships wherever they are, even on the high seas. It gives the crew the ability to work in a single virtual corporate network, essentially turning vessels into fullfledged ‘offices at sea’. Network connectivity is especially important for safety on the difficult NSR. For example, the ship is able to easily access updated ice conditions and keep its electronic mapping system up-todate while underway. Despite the harsh
An Arctic Shipping Company vessel
environmental conditions, this route helps shorten shipping time. The network also greatly simplifies communication with contractors and port authorities. In addition, a local phone number is allocated to each ship, and crew are able to use unlimited Internet and make home video calls from personal smartphones via the deployed Wi-Fi network. “The Northern Sea Route allows companies to save time and money by providing a shorter connection between Asia and Europe,” said Richard van Wageningen,
Senior vice president IMEAR, Orange Business Services. “However, the route is also known as risky and not an easy one. Seamless network connectivity is critical to safety and saves not only time and financial resources, but also the crew’s welfare.” ASC’s chief executive Mikhail Artyukhov said the speed of deployment was another critical factor in selecting the Maritime Connect service. “The seasonal window where we are able to use the Northern Sea Route is very limited…our partners were able to carry out the work during a short stay in port.”
www.frontierenergy.info SPRING 2019 21
LNG SHIPPING
one completed in the face of increasing size and complexity. The oil and gas industry has hesitated to embrace the unique challenges posed by the Arctic environment. At the LNG USA Summit, Adkins delivered a presentation on optimised module design for LNG liquefaction plants and the implications for marine transportation. “Modularisation has become the dominant construction strategy for the EPC industry and was the key to opening the Arctic. It has also shifted the relationship between marine logistics, fabrication and installation,” he concluded.
RED BOX provides marine transportation solutions for modularised Energy Infrastructure Projects
Early collaboration
MODULARISATION: the go-to strategy for LNG projects ////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
RED BOX Energy Services provides marine transportation services for modularised energy infrastructure projects. After playing a pioneering role in facilitating the on schedule ‘first gas’ for the Yamal LNG project, it believes there are multiple future opportunities above the Arctic Circle for LNG Projects
T
his February, RED BOx Energy Services was awarded the prestigious ‘Most Efficient LNG Service Provider of the Year Award’ at the 3rd Annual LNG USA Summit in Houston. Red Box was recognised for the leading role it played in the successful Yamal LNG project. The Red Box Team safely completed 32 voyages over a two-and-a-half-year period, delivering 286,000t and nearly 60% of all modules for Yamal LNG. The Red Box Team has led the way in the transportation of LNG liquefaction modules over the last ten years including Gorgon LNG and Ichthys LNG in addition to Yamal LNG.
Award winning
Marine transportation solutions Red Box provides comprehensive marine transportation solutions for modularised energy infrastructure projects in close collaboration with Energy and EPC companies worldwide. Over the course of dozens of voyages above the Arctic Circle from China and Europe to the Yamal LNG port of Sabetta, Red Box validated – for the first time – the possibility of using the Northern Sea Route (NSR) throughout the year. “Using the Northern Sea Route, significantly shortened the time required to transport high-value modules to the project site,” stated Red Box 22 SPRING 2019 www.frontierenergy.info
Adkins pointed out the benefits of early involvement at the design stage of LNG modules. “Early collaboration with module designers and vessel operators will capture significant value and cost reductions,” he told the conference. This is especially significant given that fabrication and marine transportation delays represent the biggest cost risks for project completion, especially in the Arctic setting where the risks and costs potentially increase yet again. Red Box is committed to sharing its experiences in Arctic marine heavy transport with the LNG project community. “Marine logistics management is a powerful tool for EPC contractors to expand fabrication options, mitigate site risk and offset delays at fabrication yards,” said Adkins. With its exceptional track record on the Yamal LNG project and its longstanding reputation for safe and reliable heavy transport services, the energy sector would be wise to take note. FE
Philip Adkins: RED BOX pioneered the yearround navigation of the Northern Sea Route
chief executive Philip Adkins. “By capturing time through optimised marine logistics, we were able to contribute a scheduling cushion that could be applied to reducing the impact of any fabrication or installation delays. As a result, all three trains of Yamal LNG achieved first gas on time and on budget,” he noted. It has been a long journey, however, and
6
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POLAR CODE
The journey to POLAR CODE COMPLIANCE
Meeting the challenge of Arctic shipping: how ABS worked alongside German shipowner Oldendorff Carriers to ensure compliance in the Polar Code era. By James Bond, ABS, and Lutz Meissner, Oldendorff v//////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
F
our months before the IMO’s Polar Code became maritime law, the German shipowner Oldendorff Carriers sent two Kamsarmax vessels on a voyage from the Canadian west coast to Raahe, Finland, via the Northern Sea Route (NSR). The ships, the M/V Georg Oldendorff and M/V Gretke Oldendorff, left Vancouver 10 days apart in August 2016 and were escorted through the Laptev Sea by an icebreaker, even though they were expected to encounter almost no ice. Both ships were rated Ice Class 1C. These incident-free transits of the NSR lead Oldendorff to further explore the potential of the Arctic shipping routes and additional polar operations. With the IMO Polar Code now in force, today’s voyages need to be considered in light of that regulation. Last July, Oldendorff asked ABS to support their journey to compliance with the Polar Code. It started with a one-day training session on the Code, including a review of its regulatory requirements and the hazards of 24 SPRING 2019 www.frontierenergy.info
polar operations. As the Code requires a mandatory operational assessment for all ships undertaking the transit, ABS produced a comprehensive environmental-hazard report that included elements such as expected air
The report included an interpretation of the associated data and a list of the operationally specific steps that needed to be taken before and during the mandatory assessment. temperatures, sea-ice risks (based on ABS’s adaptation of the IMO’s Polar Operational Limitation Assessment Risk Indexing System [POLARIS] methodology), ice accretion, precipitation, seawater temperatures, etc.
The report included an interpretation of the associated data and a list of the operationally specific steps that needed to be taken before and during the mandatory assessment. For the sea-ice risk analysis, ABS-POLARIS, a software tool, was used to plan and determine the ice class IC limitations for the area of operation and time of year.
ABS-POLARIS image In the ABS-POLARIS image (shown right), the five-year average data for an IC ship and winter ice is illustrated. For this “normal” iceclass operation, it depicts risk index outcomes (RIO) greater than zero (the green and blue contour regions on the plot). During the intended dates (shown on top), entrance into the western portion of the Kara Sea is possible, as is entrance into the eastern region of the Chukchi Sea. However, a full transit of the NSR should not be attempted. For operations planning, the IMO POLARIS methodology allows the user to add a value of 10 to the RIO number if an icebreaker escort accompanies the journey. The figure below is for “no” icebreaker escort. Subject matter experts on polar shipping from ABS met with a team from Oldendorff in Lübeck, Germany, for the operational assessment, hazard identification (HAZID) and workshop. ABS presented analyses of the operational area and vessel-specific environmental
POLAR CODE
• “Must have” procedures • Procedures not required by the Code but considered necessary to improve polar water safety or environmental protection • Equipment to be added to the ship While Oldendorff were generating their PWOM, ABS served as an advisor, answering questions, clarifying the Code’s requirements and occasionally liaising with coastal states for regulatory updates.
Decades of experience
hazards, while Oldendorff detailed the vessel’s characteristics and the intended area of operations. To ensure full compliance, the HAZID process examined all potential hazards identified in the Code, and any additional hazards that were realistically probable during operations; the risk of each hazard was initially evaluated without risk-control measures. Each risk was then re-evaluated to consider existing safeguards and potential risk controls such as procedures and the modification or addition of equipment; any controls were carefully considered for practicality and effectiveness.
ABS’s experience with winterisation projects emphasised the adoption of practical solutions; Oldendorff, for their part, offered significant experience with the area of operation and a robust safety culture that required the exercise to exceed the minimum requirements of the Code. Finally, the risks were re-examined to consider all control measures and ensure that the risks were reduced to “As Low as Reasonably Practicable” levels. After the workshop, ABS produced a report on the inputs, discussions and the outcomes of the operational assessment, including guidance for writing the mandatory Polar Water Operational Manual (PWOM), and three lists:
With decades of experience in polar shipping and a comprehensive set of associated hazard-analysis tools, ABS was well positioned to support Oldendorff’s compliance goals. With their solid history of Arctic operations and a historic dedication to the safety of people, assets and environment, Oldendorff are well suited for polar water transport. The company have six ships that are now Polar Code ready, needing only to add minor pieces of equipment and undergo a Class survey to be certified for operations. Issuance of a Polar Ship Certificate would signify compliance with the requirements of the Code. Responsible polar operations happen when the extensive preparations that were the foundation for the journey to compliance are put into practice to protect the environment, the ships and the people that serve on them. FE www.frontierenergy.info SPRING 2019 25
SAFETY & SURVIVAL
Experience makes the difference in
POLAR CODE SAFETY ////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
The Polar Code is designed to protect the environment and the safety of vessels sailing in polar waters. It came into effect in January 2018, and all vessels must comply by the end of 2022 – but are ship and offshore asset operators truly ready and compliant to face the extreme challenges of sailing in polar waters? Many of those that do tick this box share one thing in common – they’ve consulted an experienced supplier with a pedigree of polar safety
E
ach year, more and more tourists visit the polar regions, brought in their thousands to witness the breathtaking beauty at the ends of the Earth. The number of cargo and service vessels sailing in polar waters is also growing and the same can be said for offshore energy related activities, as the icy waters continue to become more accessible. But it doesn’t take a hardened polar explorer to know that sailing in Arctic or Antarctic waters presents a wide variety of extreme challenges to vessels and the people who sail with them. Even in calm weather, ice accretion and shifting ice floes, low temperatures and extended periods of darkness create a heightened all-around risk to any vessel. And what if things go wrong? Are shipowners equipped to deal with the harsh realities of a polar emergency?
Deciphering the code At least part of the answer lies in the relatively new Polar Code, which was introduced by the IMO partly to address these concerns. The Polar Code applies to ships over 500 tons and passenger vessels carrying more than 12 passengers that sail in polar waters. All newly built vessels must already comply with the Code; other vessels must comply at their next certificate renewal inspection, no later than 1 January 2023. But compliance isn’t one-size-fits all – in fact, and for good reason. The Polar Code provides information on equipment, how vessels should be prepared, and offers guidelines for crew responsibilities when operating in 26 SPRING 2019 www.frontierenergy.info
A VIKING YouSafe Blizzard Polar immersion suit
polar waters. But it doesn’t tell shipowners what specific gear and equipment meets its requirements. Instead, it requires that they perform a risk assessment and then choose equipment that meets the level of risk identified. There are no specific rules for what needs to be in a personal survival kit, for example. Instead, operators must begin by performing a thorough analysis of the conditions where the vessel will be sailing, then design the kit from there. And survival kits are just the tip of the
A group survival winter kit
iceberg. Applying the same method to all the life-saving equipment and procedures needed for polar waters can be a bit like navigating through a blizzard. So how do you do it? For many, the solution is to work closely with a safety equipment supplier who has real and documented experience of polar challenges – and the products and services to meet these challenges. The largest player in this league is VIKING Life-Saving Equipment, which manufactures the full spectrum of life-saving gear, from MES (marine evacuation systems), lifeboats, hooks and davits to polar-ready personal protective equipment.
Polar pedigree VIKING helps shipowners around the world ensure they are primed and ready if disaster strikes, and it has decades of experience of providing safety equipment and training for polar vessels and the countless offshore rigs that dot the region. The Danishfounded but truly global company was, for example, the first to develop liferafts that can operate at temperatures down to -50oC, as well as polar immersion suits tested at -62oC. “Right now, not every vessel is capable of meeting Polar Code requirements for iceproof evacuation solutions and equipment that can support survival for every man, woman and child on board over several days in polar conditions,” says Benny Carlsen, VIKING’s SVP of Global Sales. “We see it as a major part of our mission to educate shipowners about the Code and help them meet the requirements with very safe, yet affordable, products, training and solutions.”
SAFETY & SURVIVAL
can be assigned and tracked to specific cabins. This is something we are happy to offer.”
One-stop shop for polar readiness As well as providing polar-ready equipment, VIKING helps shipowners assess the specific risks their vessels face, and then put together a complete safety package that is guaranteed to meet Polar Code specifications. For shipowners who have signed up for a VIKING Shipowner Agreement, this kind of tailored support comes as standard. A VIKING Shipowner Agreement is a uniquely customisable concept that covers sales and servicing for almost all products and brands in a variety of predictable, fixed-price structures – and it enables shipowners to tap directly into up-to-date knowledge of requirements, regulations and recommendations in the field. “As a one-stop sea and polar safety solution, VIKING Shipowner Agreements are proving extremely popular. In fact, seven out of ten shipowners expand their contracts during the period, and 98% opt for renewal,” says Carlsen.
Polar safety majors join forces
A search and rescue expedition liferaft in ice.
Innovation fuelled by experience Over the recent years, VIKING has been deeply involved in the regular multistakeholder SARex (Search and Rescue Expedition) exercises that take place in Svalbard, an icy archipelago midway between mainland Europe and the North Pole that has long been used as a stop-off point for polar exploration. The aim is to test which safety equipment and procedures really work – and which don’t – in polar conditions. “We put all of our polar-ready safety equipment through exhaustive, realistic testing,” says Benny Carlsen. “Every time we participate, we gain new insights into aspects of polar survival – and at times, there are a few surprises, too. Happily, most of these are positive, revealing just how well the gear performs in real polar conditions.” During the last SARex, for example, VIKING’s testers discovered that designing detachable gloves into immersion suits would make it far easier and safer to open food rations or use tools, as the wearer would not
have to remove layers of clothing first. The immersion suits provided by VIKING – such as the widely used VIKING YouSafe Blizzard model – work in temperatures down to 62oC, come with integrated buoyancy, and of course include detachable gloves. Keenly aware of the difficulties shipowners face when interpreting the Polar Code, VIKING launched four new standard polar survival kits last year. Using experience gained across all SARex expeditions, these new Personal Survival Kits and Group Survival Kits (PSK and GSK) are designed to accommodate the varying demands of the different seasons, temperatures and climatic conditions under which different vessels may operate. “We’ve designed the kits to cover the requirements of most polar operators,” Benny Carsen explains. “But we also know that every vessel and operation is different, so we work with shipowners to customise the kits upon request. Some cruise lines, for example, want each kit to be custom-labelled so they
At the end of 2018, VIKING acquired renowned Norwegian boatbuilder Norsafe. Like VIKING, Norsafe has a long history of developing safety equipment for polar conditions. Prior to the acquisition, the two companies worked together on SARex expeditions, and Norsafe became the first lifeboat supplier to execute full-scale polar trials during the 2016 SARex expedition. The vessel used on this expedition was a SOLAS-approved 25-person VIKING Norsafe Miriam lifeboat with special design modifications for polar operation, including insulated seats, hull and keel reinforcements, and the ability to heat cold air as it enters the cabin. The expedition simulated a realistic escape, evacuation and rescue operation. Joining forces, VIKING and Norsafe can utilise and offer an endless range of maritime safety related synergies to customers across the board – not least when it comes to polar safety.
Polar readiness, here and now With the Arctic cruise boom placing fastrising demands on shipowners, polar-readiness needs to be solved here and now. “Even experienced operators need to determine, adapt and formalise their procedures to cope with polar conditions and the Polar Code,” says Carlsen. “But it’s an even tougher road for newcomers to these regions. We’re here to help shipowners interpret the Code, understand the requirements and take the appropriate steps. When it comes to polar safety, VIKING is surely a good place to start.” FE www.frontierenergy.info SPRING 2019 27
EVENTS, CONFERENCES & EXHIBITIONS /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
Arctic Shipping Forum April 2-5, 2019 Paasitorni Congress Centre, Helsinki, Finland A high-level forum in Helsinki for discussing new perspectives on the world’s most challenging arena for maritime commerce. Key issues under the microscope include developing technological capabilities, improving emergency response and securing a sustainable future for shipping in the Arctic. Major topics under discussion in 2019 include: Environmental impacts of shipping in the Arctic; Operations, logistics & planning in remote regions; Loss prevention and risk management; Planning, strategy and new regulations for the Arctic; New developments in ship design and technology for ice-going vessels; and Enhancing maritime domain awareness and connectivity in the Arctic. https://maritime.knect365.com/arctic-shipping-forum/ /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
Arctic Oil & Gas Conference May 21-22, 2019 London, UK Assessing the challenges and solutions for oil and gas exploration, production and transportation in Arctic and ice-infested regions. This London conference is a must-attend forum for all with an interest in the emerging Arctic region, and is expected to attract a large number of attendees from across the world. Get a comprehensive insight into current activity, opportunities and challenges facing hydrocarbon development in all major Arctic regions, including Russia, Norway, Canada and Alaska. Themes also include the challenges of drilling offshore in the region, support vessels, communications and satellite imagery. https://maritime.knect365.com/arctic-oil-and-gas/ /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
High North Dialogue 2019: Business in the Arctic April 3-4, 2019 Bodø, Norway Since 2007, the High North Dialogue conference series has brought together Arctic leaders – present and future – to discuss the dimensions of the changes taking place in and across the Arctic region. Set in Bodø – the second largest community in North Norway and gateway to Lofoten – the High North Dialogue 2019 will provide attendees with a different perspective on the future of the Arctic. www.highnorthdialogue.no
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28 SPRING 2019 www.frontierenergy.info
The 5th International Arctic Forum 2019 Apr 9-10, 2019 ExpoForum Convention and Exhibition Centre St. Petersburg, Russia The 5th International Arctic Forum provides a platform for discussing both the problems facing the Arctic and the prospects for the region. This year’s theme will be: ‘Arctic: Territory of Dialogue’. The event is held with direct support from the government of the Russian Federation and is designed to bring the global community together in the interests of securing the effective development of the Arctic and improving the lives of Arctic residents. https://forumarctica.ru/en/ OTC 2019 May 6-9, 2019 Houston, USA Celebrating 50 years since 1969, OTC’s flagship conference is held annually at NRG Park (formerly Reliant Park) in Houston, Texas. OTC is where energy professionals meet to exchange ideas and opinions to advance scientific and technical knowledge for offshore resources and environmental matters. OTC has expanded technically and globally since its inception with the Arctic Technology Conference, OTC Brasil, and OTC Asia. The largest industry event of its kind, featuring approximately 2,000 exhibitors and attendees from across the globe. www.otcnet.org Arctic Science Summit Week May 22-30 Arkhangelsk, Russia Supported by the International Arctic Science Committee, this event will bring together experts from around the world to discuss matters relating to climate change and development
of the Arctic population. Meetings and events will take place in Northern (Arctic) Federal University and Northern State Medical University, Arkhangelsk, in Russia’s north, with participants from more than 23 countries and regions expected to be involved. www.en.assw2019.science 8th Symposium on the Impacts of an Ice-Diminishing Arctic on Naval and Maritime Operations July 17-18, 2019 Washington DC, USA A forum for all parties in the shipping and maritime industries keen to learn more about diminishing ice levels in the Arctic region. The event takes place at the Amphitheater, Ronald Reagan Building and International Trade Centre in the US capital. Co-hosted by the US National Ice Centre, the US Arctic Research Commission and the Woodrow Wilson Centre. https://www.star.nesdis.noaa.gov/ Ice2019/ Arctic Shipping Forum North America October 2019 TBC Montreal, Canada Exploring the latest in operations, design and technology for shipping in the Arctic. Taking place this October, the Arctic Shipping Forum North America will offer a two-day showcase dedicated to the latest regulatory and technological developments for the Arctic region. Focused primarily on developments in the North America region, this event will also include regional spotlights on China and Russia, as well as the US and Canada. A mustattend event for all businesses with an interest in the Arctic and active in these markets. https://maritime.knect365.com/ arctic-shipping-north-america/
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