WEEKLY
Weekly
COVER STORY:
StatoilSignificant oil discovery offshore Canada
IN THIS ISSUE: Siemens Oil & Gas, Statoil,AMEC, Schlumberger, Wintershall, Baker Hughes, Gazprom, Petrofac, BP, Qatar Petroleum and many more...
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CONTENTS
EDITORIALS:
6 10 12 14 16 20 22 26 28 30 32 34 38 40 46 50 52
COVER STORY: Statoil- Significant oil discovery offshore Canada Latest Siemens wind turbine installed at SSE in the UK Wintershall takes over Brage operatorship and becomes production operator in Norway Siemens gas turbine SGT6-5000F demonstrates 25PPM NOx emissions on fuel oil Wintershall- From 0 to 100 in ten minutes: Wingass and E.ON bring highly efficient natural gas CHP plant on stream Baker Hughes- New guar-alternative fracturing fluid delivers cleaner fractures for improved recovery Baker Hughes introduces Staycool multidimensional cutters for improved drilling performance Gazprom marketing and trading marks the delivery of “Lena River”; another newbuild LNG this year Gazprom launches gas production in Vietnam Petrofac consortium appointed by KLPE LLP (KLPE) for integrated petrochemical project in Kazakstan Petrofac signs US$ 120 million agreement to deliver world class training capabilities for Malaysian National Oil Company BP has awarded UK companies over £1 billion of contracts Lukoil upgrades its mini refinary in Kogalym Technip awarded substantial subsea contract for the Delta House Project in the Gulf of Mexico Schlumberger releases new high definition imaging-whiledrilling service Qatar Petroleum and Qatar Shell formalize and strengthen learning and development collaboration AMEC- Largest offshore facility ever built in Baku sails away
ADVERTISERS: 2 5 8 18 19 23 24 36 37 42 43 48 54 55 56
Geodis Wilson Air Greenland Remontowa ThinQk KTV Group GN Rope Fittings Navigant Vympel Saturn Oil and Gas Isover Saint Gobain Progressive Global Energy Resources PA Marine Harsco Infrastructure Harris Pye Emerson Process Management
WEEKLY
Weekly
COVER STORY:
StatoilSignificant oil discovery offshore Canada
IN THIS ISSUE: AMEC, Siemens Oil & Gas, Statoil,AMEC, Schlumberger, Wintershall, Baker Hughes, Gazprom, Petrofac, BP, Qatar Petroleum and many more...
Featured in this issue: STATOIL SIEMENS WINTERSHALL BAKER HUGHES GAZPROM PETROFAC BP LUKOIL SCHLUMBERGER QATAR PETROLEUM AMEC
Worldwide Business Media Ltd. Oil, Gas and Shipping Weekly Norwich Norfolk NR7 9NQ United Kingdom Tel: +44 (0) 1603 470662 www.worldwidebusinessmedia.com www.oilgasandshipping.com info@oilgasandshipping.com Editor: editor@oilgasandshipping.com Sales: simon@oilgasandshipping.com Artwork: artwork@oilgasandshipping.com Oil, Gas and Shipping Weekly 2013 Oil, Gas and Shipping Weekly is published by Worldwide Business Media Limited, Norwich, Norfolk, NR7 9NQ United Kingdom. Registered No. 6809417 England/ Wales. VAT No. 972 7492 76. All rights reserved. Reproduction in whole or any part without written permission is strictly prohibited. Liability: while every care has been taken in the preperation of this magazine, the publishers cannot be held responsible for the accuracy of the information herein, or any consequence arising from it. All paper used in this production comes from well managed sources.
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Significant oil discovery offshore Canada Statoil (OSE:STL, NYSE:STO) Canada and coventurer Husky Energy have announced that the first Bay du Nord exploration well has discovered between 300 and 600 million barrels of oil recoverable. The Bay du Nord discovery, located approximately 500 kilometres northeast of St. John’s, Newfoundland and Labrador, Canada, was announced in August. A sidetrack well has been completed this week and confirms a high impact discovery. Additional prospective resources have been identified which require further delineation. The Bay du Nord discovery is Statoil’s third discovery in the Flemish Pass Basin. The Mizzen discovery is estimated to hold a total of 100-200 million barrels of oil recoverable. The Harpoon discovery, announced in June, is still under evaluation and volumes cannot be confirmed at this stage. The Bay du Nord well encountered light oil of 34 API and excellent Jurassic reservoirs with high porosity and high permeability. “It is exciting that Statoil is opening a new basin offshore Newfoundland,” says Tim Dodson, executive vice president of Statoil Exploration. “This brings us one step closer to becoming a producing operator in the area.” “With only a few wells drilled in a large licenced area, totalling about 8,500 square kilometres, more work is required,” adds Dodson. “This will involve new seismic as well as additional exploration and appraisal drilling to confirm these estimates before the partnership can decide on an optimal development solution in this frontier basin.” The successful drilling results from the Flemish Pass Basin demonstrate how Statoil’s exploration strategy of early access at scale and focus on high-impact opportunities is paying off. As an early player in the area, Statoil has confirmed its understanding of the basin and has opened a new oil play offshore Canada. The Flemish Pass has the potential to become a core producing area for Statoil post-2020. All three discoveries are in approximately 1,100 metres of water. Mizzen was drilled by the semi-submersible rig Henry Goodrich (2009). The Bay du Nord and Harpoon wells were drilled by the semi-submersible rig West Aquarius (2013). Statoil is the operator of Mizzen, Harpoon and Bay du Nord with a 65% interest. Husky Energy has a 35% interest. (High impact discovery = > 100 mmboe net to Statoil or > 250 mmboe in total) About Statoil: Statoil is an international energy company with operations in 34 countries. Building on 40 years of experience from oil and gas production on the Norwegian continental shelf, we are committed to accommodating the world’s energy needs in a responsible manner, applying technology and creating innovative business solutions. We are headquartered in Stavanger, Norway with approx. 23,000 employees worldwide, and are listed on the New York and Oslo stock exchanges.
Š Siemens AG 2013
Latest Siemens wind turbine LOGO! App V1.0.0 installed at SSE in the UK
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Answers for industry.
11.03.2013 15:56:23
Siemens has now installed a market-ready version of its new 6 megawatt (MW) gearless wind turbine on the test site of the power utility SSE, the UK’s largest generator of renewable energy. Together with its customer, Siemens plans to carry out final testing at the site before going ahead with series production for the UK market but also for international markets. The turbine of the type SWT-6.0-154 with 154 meter rotor diameter offers cutting-edge direct drive technology. Thanks to its coastal location Hunterston is perfectly suited to testing of offshore wind turbines: The surrounding wind conditions around are similar to those to which offshore wind power plants in the Irish Sea are exposed. With the final tests Siemens is getting ready for Round 3, the next round of the expansion of British offshore wind power. By working with SSE to install the new turbine on SSE’s test site, Siemens is demonstrating its commitment to customer collaboration and a partnership approach to bringing new products to market. Earlier this year, Siemens installed two 6MWs turbines at the Gunfleet Sands offshore wind farm operated by Dong Energy to carry out the first offshore testing of this ultra-modern direct-drive turbine. “We are proud to be installing the serial version of our 6-MW wind turbine in Hunterston,” says Jan Kjaersgaard, CEO for the EMEA Business Unit at Siemens Wind Power. “The United Kingdom is backing our technology in a particular way. That’s why we are seeking to collaborate with the country’s power suppliers right from the product development stage through to commissioning. We are focused on making a visible contribution to the UK’s economy.” In addition to cooperating closely with its customers in the UK, Siemens has also expanded its own presence in Scotland. In October, Siemens will open a new hub to support its onshore wind business across the UK. With a permanent staff of over 30 employees based in Livingston near Glasgow it will manage onshore projects in England, Scotland and Ireland, and coordinate construction, installation and EHS (Environment, Health and Safety) operations. Siemens already employs around 1,300 people in its growing renewables business in the UK. Siemens services and maintains almost half of the UK’s total wind-generating capacity - 1,900 Siemens wind power turbines for 12 offshore wind power plants with a total electrical generating capacity of 2.5 gigawatts and over 50 onshore wind farms delivering altogether about 2 gigawatts. The UK also plays a key role with Siemens global wind power business. Around 11 percent of the global Wind Power Division employees are British. Wind power and the associated service activities are part of Siemens’ Environmental Portfolio, with which the company posted revenue amounting to roughly EUR 33 billion in fiscal year 2012. This makes Siemens one of the world’s largest providers of environmentally compatible technology. In the same period, our products and solutions enabled customers to reduce their carbon dioxide (CO2) emissions by 330 million tons, an amount equal to the total annual CO2 emissions of Berlin, Delhi, Hong Kong, Istanbul, London, New York, Singapore and Tokyo.
Wintershall takes over Brage operatorship and becomes production operator in Norway
Wintershall Norge is taking over the operatorship of the Brage oil field on the Norwegian Continental Shelf (NCS) from Statoil. The Brage platform off Bergen is the first major production platform operated by Wintershall Norge. Since the transfer of equity in the fields Brage, Gjøa and Vega to the wholly owned BASF subsidiary at the end of July as part of the asset swap with Statoil, Wintershall Norge has raised its daily production from 3,000 boe to 40,000 boe. The asset swap thus turned Wintershall into a major producer on the NCS. With the operatorship of Brage, Wintershall now executes the complete E&P lifecycle in Norway: from exploration, drilling and the development of oil and gas discoveries to production. “We are taking over an excellent operation that Statoil has operated for 20 years. We are proud to be the chosen partner of Statoil to become an integral part of Norway’s oil production history at all levels. For the first time the Norwegian major has transferred a producing asset and manned installation to a new operator. Here I will pay tribute to the professionalism of Statoil in the commercial negotiation phase and for the cooperation and generous support in the preparation for the actual transfer,” said Martin Bachmann, Member of the Wintershall Board of Executive Directors responsible for Exploration and Production. “Taking over the Brage operatorship is a key element in our growth strategy. At the same time we have developed into a full service oil and gas company in Norway,” Bachmann said. Yesterday (September 30), Bernd Schrimpf, Managing Director of Wintershall Norge, and Øystein Håland, Statoil, Senior Vice President Operation West, Development & Production Norway signed the Main Transfer Protocol marking today’s completion of the process to transfer the operatorship of Brage from Statoil to Wintershall.
Long-term commitment in Norway Taking over the operatorship of Brage is a huge step for Wintershall Norge. “We are in sight of our daily production target of 50,000 barrels. The Wintershall Norge team has once again proven that we can make things happen, and that we deliver on our promises,” said Bernd Schrimpf. At the same time, the company is pushing ahead with the development projects Maria, Knarr and Edvard Grieg as well as with its latest discovery Skarfjell. Furthermore Wintershall is active in the research of Enhanced Oil Recovery (EOR) together with its Norwegian partner Statoil: the companies have agreed on joint study projects to extend the lifetime of producing reservoirs and to increase field recovery rates.
Recruitment success To guarantee the safe and stable operations of the Brage platform, Wintershall Norge has recruited 180 employees. The total number of this year’s new employees in Norway amounts to 240 – almost doubling the Wintershall workforce in the course of one year. “We have received over 7,000 applications from people who want to work for us,” said Schrimpf. “We are happy that most of Statoil’s Brage personnel decided to join us. This ensures that we keep the best knowledge and experience on board. On top of safeguarding the continuity in operatorship, we also gather experience in operating future fields.” Overall, Wintershall now employs more than 500 staff from 18 different nations in Norway with a female share of almost 40 percent. From now on all Brage activities will be coordinated from the new office in Bergen (Espehaugen), which is only a few minutes from the airport and the heliport.
Siemens gas turbine SGT65000F demonstrates 25 ppm NOx emissions on fuel oil
The Siemens gas turbine SGT65000F sets a new benchmark in the industry by demonstrating 25 ppm NOx emissions on fuel oil. The current industry standard is 42 ppm for other OEM F-Class gas turbines. In order to provide the highest power output for this type of turbine and at the same time lowest emissions on fuel oil Siemens invested in research and development of the SGT6-5000F combustion system with water injection. After extensive testing under real world conditions, this outstanding result has been achieved at the Elk River Peaking Station in Minnesota, USA, in conjunction with Great River Energy. This turbine with the new capability is already commercially available. “The SGT6-5000F is an extremely well-proven turbine in the US 60 Hz market with more than 270 units already in commercial operation worldwide and more than nine million cumulative hours of reliable operation. This new emissions level has strategic importance to our customers, and Siemens will continue to innovate and provide leading technology to enable their continued success”, said John Wilson, Head of Sales for Gas Turbine Packages in the Americas Region. “Great River Energy has a history of collaborative research on emission reduction projects, and this is another example resulting in measurable emission reductions,” said Michael Shevich, combustion turbine supervisor, Great River Energy.
From 0 to 100 in ten minutes: WINGAS and E.ON bring highly efficient natural gas CHP plant on stream
New combined heat and power (CHP) plant in Lubmin provides clean and environmentally friendly energy / Efficient preheating for onward transportation of Nord Stream gas / Secure electricity supply for over 50,000 households / Approx. 90% energy efficiency and full load operations in just ten minutes thanks to new gas turbine technology Supply security is also a question of energy efficiency: Against this backdrop, today WINGAS and E.ON Energy Projects brought the new, highly efficient combined heat and power (CHP) plant in Lubmin on stream. The CHP plant, located right at the landing terminal of the Nord Stream Baltic Sea pipeline, has a useful heat output of about 47 megawatts (MW) and an electrical output of about 39 MW. The plant generates up to 200,000 megawatt hours of electricity a year – enough to provide a secure supply for 50,000 households for a whole year. The plant sets new standards in terms of decentral and flexible energy generation: a highly efficient gas turbine developed by Siemens is being deployed in Lubmin for the first time. It allows the plant to reach full load capacity in just ten minutes. Lubmin, a central energy hub, offers ideal conditions for the construction of a natural gas-based CHP plant thanks to the existing infrastructure; the Baltic Sea pipeline delivers a reliable supply of natural gas right there. In addition, the waste heat generated in the gas turbine is used to reheat the gas, which cools down while traveling through the Baltic Sea pipeline, before its onward transportation over land. With the combined generation of electricity and heat, the overall efficiency of the plant is over 85%. This means that the Lubmin CHP plant saves around 40,000 tons of CO2 a year compared to the separate generation of heat and electricity – that is as much as 13,000 cars a year. “With the new CHP plant in Lubmin we are embracing an energy-efficient future – in several ways,” WINGAS Managing Director Dr. Ludwig Möhring notes. “The plant is a prime example of innovative, decentral energy generation: electricity and heat are generated precisely where they are needed, thus reducing the burden on the energy supply networks longterm,” Möhring explains. “The unique flexibility of the plant in Lubmin highlights once again the contribution that natural gas and natural gas technologies can make to ensuring the success of the energy transition.” “With this plant we are not only contributing to efficient, decentral electricity generation, we are also ensuring the smooth transportation of climate-friendly natural gas. The plant is part of our strategy to continue expanding heat and electricity generation using tried-and-tested and efficient combined heat and power technology,” Dr. Ingo Luge, Chairman of the Board of Management of E.ON Deutschland, adds. “Energy generated decentrally not only caters to the wishes of our customers, it is also a key element of the energy transition in Germany,” Luge continues. “The Siemens gas turbine SGT-750 used in Lubmin has an extraordinarily high efficiency rate, which means it functions extremely economically and in an environmentally friendly manner. Moreover, this turbine has the shortest maintenance times in its performance class,” says Thierry Toupin, CEO of the Gas Turbine and Generators Business Unit of the Siemens Energy Sector.
New Guaralternative Fracturing Fluid Delivers Cleaner Fractures for Improved Recovery
Baker Hughes announced today the commercialization of its ClearStar™ fracturing fluid system, which improves reservoir performance and delivers superior fracturing in both conventional and unconventional reservoirs. The ClearStar fluid system provides better flowback for increased production and improved economic results compared to guar, guar-derivate, and borate systems. The ClearStar system is a guar alternative that uses an efficient, refined cellulose derivative polymer to attain superior viscosity and achieve a low pH to reduce the potential for clay swelling that can restrict production flow. It delivers stable performance at temperatures up to 275°F (135°C). With customizable delay times based on lateral length and pump rates, ClearStar fluids enhance sand transport through the wellbore during pumping operations to ensure proper placement within the fractures. The ClearStar system has a high molecular weight compared to other guar-alternative fracturing fluids, so it requires a smaller amount of polymer to achieve the desired viscosity. Lower polymer loading helps reduce a fracturing operation’s overall horsepower requirements and related fuel costs. Used with the Baker Hughes EnZyme™ and HighPerm™ encapsulated breakers, ClearStar fluids minimize the risk of formation and proppant pack damage to ensure maximum flowback capacity and speed, and increase both initial and long-term hydrocarbon production. “We are delighted to add the ClearStar system to our robust fracturing fluid portfolio,” said David Gallagher, Baker Hughes Vice President of Production Enhancement. “This premium fluid can offer our customers superior flowback performance, and has been shown to significantly boost one year cumulative hydrocarbon production compared to conventional fracturing fluids.” In 32 separate treatments in Colorado’s Wattenberg field, the ClearStar fracturing fluid system produced an average 11% more cumulative oil over 350 days of production compared to wells stimulated using premium, guar-based fluids.
Baker Hughes Introduces StayCool Multidimensional Cutters for Improved Drilling Performance New technology extends cutter life and bit runs with cooler, sharper, more efficient cutter technology HOUSTON, TEXAS (October 1, 2013) – Baker Hughes Incorporated (NYSE: BHI) announced today the availability of its StayCool™ multidimensional cutter, which helps operators drill to total depth faster and more cost effectively by extending cutter life and footage per run. Used exclusively on the Hughes Christensen Talon™ platform of premium polycrystalline diamond compact bits, these cutters incorporate a contoured diamond table, wear-resistant diamond materials, and new interface designs. “Historically, operators would design more cutters into a bit to compensate for cutter wear or damaged cutters, which isn’t always the most efficient way to drill,” said Scott Donald, Vice President of Drill Bits for Baker Hughes. “The StayCool cutter allows us to offer a bit that maintains the same cutter density but can perform better when cutters are worn.” In challenging environments such as interbedded sandstones and carbonates, bit performance is directly related to cutters and their ability to withstand heat. Overheated cutters experience abrasive wear faster, which can lead to lower rates of penetration (ROP) and higher mechanical specific energy (MSE) or wasted energy that is not directly transferred into removing rock. In the Cana Woodford field of Oklahoma, this technology provided customers with a 10% improvement in ROP and a 37% improvement in footage when drilling through hard sands interbedded with hard limestones. In the Pinedale anticline of Southwestern Wyoming, StayCool cutters are being used to drill through abrasive sandstones interbedded with shale. In this area, the Talon bit with StayCool cutters has improved the distance drilled by 12% in 50 runs totaling 156,000 ft. StayCool cutters have already drilled more than 289,000 ft in 89 runs, in five different applications in field tests, and for more than 20 customers throughout the United States. The StayCool cutter’s patent-pending contoured design reduces friction, maintains a sharper cutting edge throughout the bit run, and reduces MSE. Laboratory testing has shown that the cutters generate 20% less heat on the cutter face than conventional flatsurface cutters. Less heat minimizes cracking tendencies on the diamond table that can lead to failures and shorten run life. As a result, run lengths are extended, and the cutters remain aggressive while enabling the bit to maintain higher ROPs throughout the bit run. Baker Hughes is a leading supplier of oilfield services, products, technology and systems to the worldwide oil and natural gas industry. The company’s 59,000-plus employees today work in more than 80 countries helping customers find, evaluate, drill, produce, transport and process hydrocarbon resources.
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Gazprom Marketing & Trading marks the delivery of “Lena River”; another newbuild LNG carrier this year Hyundai Heavy Industries (HHI) delivered liquefied natural gas (LNG) vessel Hull Number 2557 at a ceremony at the HHI shipyard in Ulsan, South Korea on Friday, 4 October. The vessel was named “Lena River”. The Gazprom Marketing & Trading (GM&T) group will time charter “Lena River” from Greek LNG tanker operator Dynagas for several years. She will be the third vessel on charter between GM&T group and Dynagas after “Ob River”, which became famous last year for being the world’s first LNG carrier to pass through the Northern Sea Route, and “Yenisei River”, which was delivered in July. GM&T’s steadily expanding fleet of LNG vessels will be used to support its growing global LNG trading portfolio.
The Gazprom Marketing & Trading (GM&T) group will time charter “Lena River” from Greek LNG tanker operator Dynagas for several years. She will be the third vessel on charter between GM&T group and Dynagas after “Ob River”, which became famous last year for being the world’s first LNG carrier to pass through the Northern Sea Route, and “Yenisei River”, which was delivered in July. GM&T’s steadily expanding fleet of LNG vessels will be used to support its growing global LNG trading portfolio. The state-of-the-art “Lena River” features membrane tanks, has a cargo capacity of 155,000 cubic meters and is powered by a tri-fuel diesel-electric propulsion system. Her 1A ice class and winterisation equipment allows sailing in ice conditions, including through the Northern Sea Route during open navigation. Like the “Ob River” and “Yenisei River”, the vessel will be operated by an international crew, including graduates of the Admiral Makarov State University of Maritime and Inland Shipping, St. Petersburg, Russia. “Lena River” is named after one of the three great Russian Siberian rivers that flow into the Arctic Ocean, completing the tradition established with “Ob River” and “Yenisei River”.
Gazprom launches gas production in Vietnam
Led by Alexey Miller, Chairman of the Management Committee, Gazprom’s delegation paid a visit today to the Socialist Republic of Vietnam. During the visit Alexey Miller held a working meeting with Truong Tan Sang, President of Vietnam. In addition, negotiations were held with Phung Dinh Thuc, Chairman of the Board of Directors of Petrovietnam Oil and Gas Group and Do Van Hau, President and CEO of Petrovietnam.
In the presence of the companies’ top officials a solemn ceremony took place on the occasion of launching commercial gas production from the fields of licensed blocks 05.2 and 05.3 offshore Vietnam, with 8.5 million cubic meters of gas and 3.5 thousand tons of gas condensate to be daily produced there. In addition, the Gazprom Management Committee Chairman Alexey Miller and the Petrovietnam President and CEO Do Van Hau signed the Agreement on the basic principles of the joint venture activities under a project for natural gas use as a vehicle fuel in the Republic of Vietnam. The document stipulates promoting the cooperation between the companies in the NGV sector, particularly when converting public transport in Ho Chi Minh City to natural gas. “The implementation of such large-scale joint projects will make it possible to bring the cooperation between our companies to a new level of strategic importance. I am sure it will make a significant contribution to developing the fuel and energy sector of Vietnam and providing its consumers with an environmentally friendly fuel over the long term,” said Alexey Miller. The parties reached the agreement to speed up the negotiating process surrounding liquefied natural gas supplies to Vietnam within the Vladivostok-LNG project and sign a Framework Agreement concerning LNG supplies before the end of 2013. The visit ended up with an awards ceremony where the superior honor awards of the Socialist Republic of Vietnam were presented. Vitaly Markelov, Deputy Chairman of the Gazprom Management Committee and Vsevolod Cherepanov, Member of the Management Committee, Head of the Gas, Gas Condensate and Oil Production Department were awarded the Order of Friendship of the Socialist Republic of Vietnam for the merits in the development of Vietnam’s oil and gas industry.
Petrofac Consortium Appointed by KLPE LLP (KLPE) for Integrated Petrochemical Project in Kazakhstan
Petrofac in consortium with Linde AG of Germany (Linde) and GS Engineering & Construction Corporation, Republic of Korea (GS) (the ‘consortium’) have been engaged by KLPE LLP (KLPE), to provide services in relation to development of its Integrated Petrochemicals Complex and Infrastructure (IPCI) project, situated in the Tengiz and Karabatan regions of Kazakhstan. The US$77 million first phase of the contract, valued at approximately US$21 million for Petrofac’s share, will involve the consortium undertaking engineering work on an Open Book Estimate (OBE). Petrofac will lead the consortium for the execution of the IPCI project and subject to satisfactory conclusion of the OBE and successful contract conversion, it is contemplated that the IPCI project will move into a second phase, in excess of US$3.5 billion, for a polyethylene plant comprising two streams each producing 400,000 tonnes per annum of product. The eventual scope for the IPCI petrochemical project will include the engineering, procurement, construction and commissioning of a gas plant, ethane cracker, gas pipelines, polyethylene plants and associated utilities and offsites in the Tengiz and Karabatan areas. Marwan Chedid, Chief Executive of Petrofac’s Engineering, Construction, Operations & Maintenance (ECOM) division, commented: “Alongside our partners, Linde and GS, I believe our consortium has the ability to deliver a high quality project. I am delighted that we are involved in such a strategic project with KLPE which represents another significant milestone for us in our relationship with the Kazakh market.” Petrofac’s ECOM division has been active in Kazakhstan for almost a decade and has successfully delivered a number of projects in the country. Separately, in July Petrofac ’s Integrated Energy Services business signed a Memorandum of Understanding with KazMunaiGas Exploration Production JSC (KMG EP) allowing the parties to explore opportunities to enhance oil production from the mature Emba fields of KMG EP’s 100% subsidiary EmbaMunaiGas JSC (EMG).
Petrofac Signs US$120 million Agreement to Deliver Worldclass Training Capabilities for Malaysian National Oil Company
International oil and gas services provider Petrofac has signed a US$120m agreement with PETRONAS, the Malaysian National Oil Company, for the operation and management of two high-specification training facilities that Petrofac is building to support PETRONAS’ workforce capability enhancement programme. Petrofac is currently constructing two “live” upstream plant training facilities, and a “live” downstream facility, which will supplement existing facilities at the Institut Teknologi Petroleum Petronas (INSTEP) training academy. Under the latest phase of the agreement, Petrofac will undertake the ongoing management and operation of the two upstream facilities, which are capable of training 500 delegates each year, for the next five years with an option to extend for a further two years. The agreement follows an earlier Memorandum of Understanding between Petrofac and PETRONAS aimed at exploring how the companies could collaborate in competency development and capability building. The operations and management components of the agreement, to be delivered by Petrofac Training Services (PTS), marks the largest contract win in the history of PTS. Andy Inglis, Chief Executive of Petrofac Integrated Energy Services, commented: “We are delighted that we are continuing to build on the existing relationship with our long-term customer PETRONAS to support its goal of enhancing Malaysian workforce capability in the oil and gas sector. Training is a core part of the IES offer and the award of our biggest training contract to date demonstrates our growing scale in an area which international and national oil companies have high on their agendas. The creation of this regional centre of excellence will enable PETRONAS to ensure the development of a highly-skilled resource pool to meet its own and industry needs now and in the decades ahead.”
BP Has Awarded UK Companies Over ÂŁ1Billion of Contracts for Key West of Shetland Project
BP announced today that it, and its partners, have now awarded over £1 billion in contracts to UK-based companies to provide services and equipment for the major re-development of the Schiehallion and Loyal oil fields to the west of Shetland. The project to redevelop the fields, which are operated by BP on behalf of its partners, involves two main elements: a brand new floating production, storage and offloading vessel and a major upgrade of the subsea infrastructure that will lie on the seabed. The latest in a series of awards has been made to OneSubsea which has been awarded a £65 million contract to manufacture subsea trees at the company’s facility in Leeds. This follows awards during 2012 and 2013 to companies based in Aberdeen, Fife, the Wirral, Newcastle, Leicester, Bristol, Shetland and many other UK locations. (See map below) Trevor Garlick, BP’s Regional President for the North Sea, said “The UK-based subsea engineering industry offers great expertise and capability and is fully engaged in developing highly-advanced equipment that will ensure we maximise recovery from this field until 2035 and beyond. It is great to see more than 30 companies from all parts of the UK working together to contribute towards this important offshore project.” Business Secretary Vince Cable said: “As I saw for myself at the Offshore Europe conference in Aberdeen last week, Britain’s oil and gas industry continues to thrive. Its expertise and innovation is impressive. “Employing over 400,000 people and providing the majority of our energy needs, the Government’s industrial strategy will help keep this important sector growing. “An important part of the strategy is reenergising the British supply chain. I want to create the conditions for the SMEs across the country to flourish in a highly-competitive global market. So it’s encouraging that the UK supply chain have played a major role in the development of BP’s Quad 204 project and I hope more will follow.” OneSubsea will manufacture 11 “Xmas Trees” for the Schiehallion re-development. Fixed to the wellhead of a completed well, subsea trees are used on offshore oil and gas fields to monitor and control the production of a subsea well; they can also manage fluids or gas injected into the well. Partners in the Quad 204 project are BP (36.3%), Shell (54.03%), OMV (4.84%) and Statoil (4.84%)
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Cong Prima 2M
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Hygrovision BL-mini
The Cong Prima 2M is a compact and inexpensive condensation type dew point analyser. It automatically measures the dew point of water or hydrocarbons in natural gas and is able to detect additives. The CP2M is a simple monoblock construction yet it can determine a condensate film only 5 nm thick using state-of-the-art technology based on principles of optical interference of laser light. The Cong Prima 2M is available for order in two versions, equipped to operate as a water dew point analyser or as a hydrocarbon dew point analyser with the option of either an analogue (4-20 mA) or digital (RS 485 modbus) output. Robust construction of the measurement chamber is designed to meet the challenges of making precision dew point measurements in an aggressive gas environment.
The Hygrovision-BL dew point analyser is a high precision instrument for measuring the dew point of water and hydrocarbons that is both compact and portable. The analyser can be used for automatic online measurements as well as for dew point spot checking as a mobile device. It represents a state of the art alternative to a conventional, simple visual observation type dew point mirror. The analyser is equipped with an automatic condensation detection system in addition to the visual system, employing interferometric analysis, the cooled surface of the condensation mirror is photo-electrically scanned to register condensation. Dew point measurements made visually can be objectively checked and refined with the automatic system. This instrument is equipped with a complex lighting system for illuminating the surface of the condensation mirror which enables the analyser to distinguish between water and hydrocarbon condensation.
The Hygrovision-BL-mini dew point analyser is a compact, partially automated instrument for manually measuring the dew point of water, hydrocarbons, and additives in natural gas. It is designed for use in the natural gas industry, however, because of the functional principles it employs, it is equally well-suited for any other application wherever quick and precise dew point information is required.
VYMPEL GmbH | Theodor-Heuss-Ring 23 | 50668 Cologne, Germany phone: +49(0)221/771092-50 | fax: +49(0)221/771092-31 | e-mail: contact@vympel.de
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LUKOIL UPGRADES ITS MINI REFINERY IN KOGALYM
OOO LUKOIL-West Siberia, a wholly-owned OAO LUKOIL subsidiary, started upgrading its mini-refinery in Kogalym. The project provides for the construction of an isomerization unit, reconstruction of a diesel-fuel hydrotreater and construction of a gasoline-compounding unit. Work is scheduled to be completed in December of 2014, at which time the plant will start manufacturing Euro-5compliant fuels. The project cost is RUR 1.548 billion. A turnkey contract was signed with OOO LUKOIL-Nizhegorodniinefteproekt. OOO Neftegazspetsstroy, part of the Atomenergomash machine-building enterprise of the Rosatom state corporation, will conduct land use engineering, construction and startup operations. LUKOIL and Rosatom signed a strategic-partnership agreement in April of 2012. The Kogalym mini-refinery was constructed in 1997. Its current oil-processing capacity is equal to 300,000 tons per year. The refinery manufactures automobile gasoline, diesel, jet fuel and paving bitumen.
Technip awarded substantial subsea contract for the Delta House project, in the Gulf of Mexico
Technip was awarded by LLOG Exploration Offshore L.L.C. a substantial(1) contract for the development of the Delta House field, located in the Mississippi Canyon area of the US Gulf of Mexico. This contract covers the project management, engineering, fabrication, installation and pre-commissioning of more than 200 kilometers of infield and export flowlines(2) and risers(3). The water depth of this development is comprised between approximately 100 and 2,000 meters (between approximately 360 and 6,500 feet). Technip’s operating center in Houston, Texas will perform the overall project management. The infield flowlines and risers will be welded at the Group’s spoolbase in Mobile, Alabama. The offshore installation is expected to be performed in the second half of 2014 by vessels from Technip’s fleet: the Deep Blue will lay the deepwater infield lines while the G1200 construction vessel will install the export flowlines. Frédéric Delormel, Technip’s Executive Vice President and Chief Operating Officer Subsea, has declared: “This new project reinforces our leadership in the US Gulf of Mexico deepwater market. It also confirms our positioning in deep to shallow export lines, following the acquisition of Global Industries.”
Efficient, Safe and Sustainable Insulation Solutions for the oil and gas industry ISOVER Technical Insulation – part of the insulation activity of SAINT-GOBAIN – offers products and systems designed for thermal and acoustic insulation as well as fire protection. Continuous innovation together with an international network of technical know-how makes ISOVER technical insulation the preferred partner for supplying the oil and gas industry. • efficient insulation systems to reduce energy costs and CO2 emmisions • safe solutions for process security, process efficiency and corrosion control • sustainable, light-weight and space saving constructions for Subsea, Marine & Offshore, LNG/LPG transport and storage, power generation and process industry applications
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PETRONAS SIGNS LNG SHIP CONTRACT WITH HYUNDAI HEAVY INDUSTRIES
PETRONAS has awarded a contract to Hyundai Heavy Industries to build four 150,200-cubic metre Moss-type liquefied natural gas (LNG) carriers to help meet the expanding needs and requirements of PETRONAS’ global LNG business.
The contract, signed on 10 October in Seoul, South Korea, also includes options exercisable by PETRONAS to order four additional LNG carriers of the same class. These spherical-type, new generation LNG carriers are scheduled for delivery to PETRONAS from the second half of 2016. MISC Berhad will act as the Project Manager and Technical Consultant to PETRONAS for the construction of these LNG carriers. Hyundai Heavy Industries, which was set up in 1972, has grown into the world’s leading heavy industries with diversified businesses that include shipbuilding, offshore engineering, industrial plant and engineering, engine and machinery, electro electric systems, construction equipment, and green energy businesses. Its shipbuilding division leads the global shipbuilding industry with a 15% share of the market.
Schlumberger Releases New High-Definition Imaging-While-Drilling Service
MicroScope HD service provides detailed logging-while-drilling images for reservoir description and completions optimization NEW ORLEANS, September 30, 2013—Schlumberger announced today the release of the MicroScope* HD high-definition imaging-while-drilling service. The MicroScope HD service provides unmatched logging-while-drilling (LWD) imaging for reservoir description to enable detailed fracture characterization and completion optimization in conductive drilling fluids for all well types, including horizontal and highly deviated wells. “In unconventional and carbonate reservoirs it is critical for geologists to fully understand the fracture networks that may challenge drilling operations and those that will contribute to production,” said Steve Kaufmann, president, Drilling & Measurements, Schlumberger. “This newly developed MicroScope HD technology provides detailed imaging of the formation to help prevent drilling risks, optimize completion design and potentially increase production.” The MicroScope HD service enables detailed formation structural modeling to identify fracture orientation that contributes to production. An understanding of how formations are deposited is further enhanced with the service through sedimentology analysis. For fracture characterization, the MicroScope HD service delivers dimensions of fractures, which provides geologists a better understanding of the fracture network. The MicroScope HD service has been field tested extensively in reservoirs in the Middle East, Europe and Africa, as well as unconventional reservoirs in North America. More than 45 job runs have been completed, confirming that high-definition images can be obtained reliably in conductive mud environments while drilling in oil and gas carbonate, sandstone and unconventional reservoirs. In the Middle East, Petroleum Development Oman (PDO) was experiencing heavy mud losses while drilling a well in an onshore carbonate reservoir. The MicroScope HD service provided high-definition images to accurately identify intervals with mud losses, which enabled PDO to isolate the challenging zones and optimize the completion design. For more information about the MicroScope HD high-definition imaging-while-drilling service, visit www.slb.com/MicroScopeHD.
Qatar Petroleum and Qatar Shell Formalize and Strengthen Learning and Development Collaboration
Qatar Petroleum and Qatar Shell signed an agreement tailored to further strengthen their professional learning and development collaboration. Mr. Ahmad Ali Al-Mawlawi, Director of Administration of QP, and Mr. Wael Sawan, Managing Director and Chairman of Qatar Shell Companies, signed the agreement, with the attendance of prominent representatives from both QP and Qatar Shell, at the official signing ceremony held at the Four Seasons Hotel, Doha. Through this formal agreement, QP employees will have continued access to learning courses offered by Shell Open University. Additionally, they will have access to SkillSoft, an on-line learning platform that includes more than 4,000 courses and books that address the learning needs and skill gaps of staff through virtual learning. These courses are applicable to all levels of the organization and cover all disciplines, such as business, finance, management, engineering, information technology, risk management, and health and safety. Mr. Sawan stated, “We are extremely proud to expand our long standing partnership with Qatar Petroleum in the area of learning and development. This agreement will further strengthen our cooperation with Qatar Petroleum to develop local capacity and talent that will help lead to a stronger knowledge-based economy in line with the Qatar National Vision 2030. Today’s signing is another significant milestone in Shell’s strategy to support the main priorities of the State of Qatar.” Mr. Al-Mawlawi said: “We are pleased to further enhance our strategic collaboration with Qatar Shell in the area of professional learning and development, which significantly contributes to QP’s objectives to nurture and develop our most valuable asset: the human capital. The agreement signed today sets an example of how a strong partnership can contribute to the continued professional development of human capital within the companies that have a natural synergy, and demonstrates how resources can be aligned and pulled together to achieve great results.” Qatar Shell and Qatar Petroleum are working closely to improve the learning capabilities, skills and talent of Qatari citizens. As part of this, Qatar Shell will be collaborating on future learning conferences that will be set up together and in partnership with QP. Under this agreement, QP staff can attend Qatar Shell technical training programmes. These include courses focusing on gas-to-liquids and liquid natural gas. Shell employees will also share best practices in the area of training and development with QP staff. In recent years, in partnership with Qatar Petroleum and Hamad Bin Khalifa University, Qatar Shell launched a unique initiative to establish and operate a regionally recognised Project Management Centre of Excellence, known as TAFAWOQ, which is Arabic for ‘Excellence’. Shell’s project management expertise has been demonstrated by the successful construction and commissioning of Pearl GTL, a record breaking project in terms of cost, physical complexity and size, construction workforce and diversity, as well as its performance in HSSE. TAFAWOQ aims to increase specific skills and general competence of the project delivery community in Qatar, at all levels. The programme spans the project lifecycle and will assist project engineers who are involved in project management, supply chain management and project delivery. The Project Management Centre supports these professionals as they deliver Qatar’s extraordinary capital investment programme.
Largest offshore facility ever built in Baku sails away
AMEC, the international engineering and project management company, and its partners in the AMEC-Tekfen-Azfen (ATA) consortium, today celebrated the successful completion and sail-away of the latest Chirag Oil Project topsides for Azerbaijan International Oil Company (AIOC). The Chirag Oil Project – West Chirag (COPWC) topsides is the largest facility ever built in Baku with a load-out weight of 20,000 tonnes. The COP-WC platform is the fourth phase of the Azeri-Chirag-Gunashli (ACG) development operated by BP on behalf of AIOC in the Azerbaijan sector of the Caspian Sea. The single integrated deck consists of a 48-slot drilling, processing and 175 bed-living quarters platform. The latest facility will be connected via the new subsea pipelines into the existing ACG infrastructure and will be used to enhance oil production and recovery by drilling more wells. “Construction on the project commenced in July 2010 after some six months upgrade and expansion of the ATA yard. This followed the successful completion of both the Process, Compression, Water Injection and Utilities (PCWU) and the Compression and Water Injection topsides for the Central Azeri field,” said AMEC’s in-country manager Peter Ward. “At peak we had over 3,000 people working at the yard who, I am proud to say, achieved 19 million man-hours without a single lost time incident on the project. A genuinely world class performance.” The yard upgrade included the opening of an onsite welder training school, which was used to assess, coach and test over 1,000 welders. A separate training facility was also set up to train and develop the electrical trades to ensure that the quality of the installation was of the highest standard. AMEC also has global Master Services Agreements for Engineering and Project Management services for both offshore and onshore oil and gas projects for BP, as well as a framework contract to provide environmental and related consulting services for all of BP’s assets in their upstream, refining and marketing, alternative energy and shipping businesses worldwide.
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Offshore asset repair and conversion Onshore processing plant manufacture Harris Pye Engineering provides global 24/7 in-situ repair, upgrade and conversion of rigs, jack-ups, semisubmersibles, FPSOs, FSOs, FSRUs and FSUs, and inspection and consulting services to the LNG industry. We also design, manufacture and install onshore oil processing equipment such as enhanced oil recovery skids. We are already world-renowned for all aspects of structural steel works; high and low pressure pipeworks; specialist welding; heat treatment; mechanical works including compressors; accommodation / outfitting design, manufacture and installation. Over the past twelve years we have expanded our services to include instrumentation, automation and control engineering; full electrical services and pipework system design, manufacture and installation using state-of-the-art 360 degree scanning equipment and software. Whether onshore or offshore, our approach to project managed in-situ turnkey repairs offers very definite advantages to the oil and gas sector. If you would like to know more about any of our services, please visit our website www.harrispye.com or contact us at our Abu Dhabi office: tel +971 2 679 8667 / email uaeoffice@harrispye.com