Oil, Gas and Shipping Magazine

ISSUE 68 www.ogsmag.com

Enefit Technology Industries Photo: Arno Mikkor

„For the benefit of our customers we are ready to improve not only our work equipment but our methods as well“

Konepaja H채kkinen Oy Konekuja 4, FI-21200 RAISIO Tel. +358 207 813 400 E-mail: email@konepajahakkinen.fi Website: www.konepajahakkinen.fi

SCOPE OF SUPPLY MACHINING CLAD WELDING NDT CMM MEASURING

Marine Safety Supplies, member of PTR Holland® Group, whom is the world’s largest producer of APPROVED Pilot & Embarkation ladders - always according to the latest regulations. Production plants in Newcastle (UK), Rotterdam (NL), Houston (TX-USA) & Singapore (Asia).

If you are elsewhere, airfreight goods can be delivered within 48 hours worldwide.

Complies: MED-ISO799:2004 & MED-ISO5489:2008 Marine Safety Supplies also stock a wide variety of marine & offshore products which can be found at our website, or simply give us a call or send us a fax.

PTR Holland® Group is an ISO 9001 certified company

Pilot and embarkation ladders • M.E.D. and CE approved

Suction pad and magnets • For easy and safe pilot transfer

Helicopter nets • Comply with CAP 437

Certified BPC engineers available, for service and refurbishments.

Fast delivery worldwide!

Marine House, Units 2-3 , Norman Terrace, Wallsend, Newcastle upon Tyne, NE28 6SU

Tel: +44 191 263 0191 Fax: +44 191 263 0104

sales@marinesafetysupplies.com www.ptrholland.com

CONTENTS

Enefit Technology Industries Photo: Arno Mikkor

„For the benefit of our customers we are ready to improve not only our work equipment but our methods as well“

Articles 6

18 34 42

Enefit Technology Industries “For the benefit of our customers we are ready to improve not only our work equipment but our methods as well” Kongsberg Maritime “Two centuries of success” Statoil “The power of possible” VSMPO Titan Ukraine “Geared up for surging demand expected in titanium tube market”

Oil, Gas and Shipping 2014 Oil, Gas and Shipping Magazine is published by Worldwide Business Media Limited, London, EC1V 2NX 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.

Oil, Gas and Shipping Magazine Tel: +44(0)203 5751249 Sales email: info@ogsmag.com Editor email: editor@ogsmag.com

CONTENTS

2 Konepaja Hakkinen OY 4 Marine Safety Supplies 23 ISIC Systems 26 Exova 27 Technip 32 NAG Marine 32 CC Jensen 33 Danbor 38 FMC Technologies 46 Vroon Offshore 47 IKM Cleandrill/ IKM Testing 48 Van Oord

ISSUE 68 www.ogsmag.com

ADVERTISERS

Cover Story: Page 6 Enefit Technology Industries

Photo: Arno Mikkor

6

www.ogsmag.com

From filter houses to This year began for me in a very interesting way – I, the Dutchman, living in Estonia for nearly 10 years, joined Enefit Technology Industries.

Why did I decide to move my life to this strange country? The country is small, but the ventures dealt with there are big in the European context. My employer Enefit Technology Industries is a company full of potential and more than 50 years of experience. Thanks to the work in the technology industry I get to be involved with world-class technological processes.

Enefit Technology Industries produces various metal products in our factory in Jõhvi in North-East Estonia,

around 160 km east of the capital Tallinn. Our main clients are in the energy field, as the parent company of Enefit Technology Industries is the state-owned company Eesti Energia, which is internationally known as Enefit. The parent company is active in shale oil production, oil shale mining and electricity generation. We serve all these activities one way or another.

by Enefit Technology Industries. For the new power plant our company constructed the fuel delivery systems for oil shale and biofuel and built the ash removal system.

Our main projects in recent years have been participation in the construction of the Enefit280 oil plant and in the building of the parent company’s new power plant.

The heart of the oil plant – the retort – was designed and manufactured

Enefit Technology Industries uses a large amount of the drawings made by customers in the export market, but our export customers have also started to appreciate our large engineering team and we are becoming the engineering

In addition to the oil shale industry, the company has competence and experience in other fields as well: offshore/subsea projects or even pulp and paper services.

7

subsea structures partner in our export markets.

And we even go a step further by becoming their erection partner or supervisor. Sometimes our new customers with high quality requirements need proof of our quality system management. Enefit Technology Industries is ISO 9001 and 14001 certified. We have HSE standards in place and, due to many audits by our foreign clients, we are continuously able to improve our HSE standards as well our quality handbooks.

We offer many services to many industries and due to close cooperation with our customers we are able to make the required investments to make our produc-

tion more efficient and deliver the products we make within the timeframe requested by our customers, as deadlines become tighter and tighter. For example at the request of one of our customers we have invested into a brand new XYLAN coating line. These kinds of investment also require us to invest in our workforce.

For a long time our core business has been industrial equipment for power generation and mining industry. This is still an important part of what we do but, more and more every day, we are moving into new fields. A few years ago we also entered a whole new world and

started producing subsea structures.

This has now become increasingly important for us and we see great potential in that market, hoping to increase our exports by at least 15% if not more in the coming years.

When I look around this seems a modest goal. The market is rapidly expanding and we are ready to meet that growth.

Peter van Buuren Business Development Manager, Enefit Technology Industries

Photo: Arno Mikkor

www.ogsmag.com

Enefit Technology Industries – Leading Through Experience Enefit group is the world’s leading oil shale energy company that recently celebrated its 75th anniversary. Enefit is Estonia’s national power company well placed at the forefront of oil shale extraction technologies.

One of Enefit group´s associated companies is Enefit Technology Industries. This company has played a very important role in the development of Estonia´s oil shale industry for more than half a century.

In recent decades they have been discovered by other companies as well. They have cooperated in different fields of industry both at home and abroad. Today Enefit Technology Industries is one of the largest metal processing, construction and maintenance companies in Estonia.

We spoke with Martti Kork, CEO of Enefit Technology Industries, and Otto Richard Pukk, member of the board of Enefit Technology Industries who is also responsible for the construction division.

To introduce the company, Martti Kork has to go back to more than half a century, “We have more than 50 years of experience in the energy sector and deliver into 40 different markets globally. In recent years Enefit Technology Industries has focused more and more on the offshore market with the focus on subsea structures.”

The company attaches great importance to its ability to develop, and the ability to be flexible. “Yes, it is important! For the benefit of our customers we are ready to improve not only our work equipment but

Martti Kork CEO, Enefit Technology Industries

our methods as well,” Martti Kork says. Otto Pukk adds that one good example from this area is recent investments into steel surface treatment (Xylan coating) and machining capabilities, “These have opened new opportunities for us in the offshore segment and our strategy is to vertically expand the services for subsea technology companies in the Europe and Africa region. Our geographical location (just 30 km from the most eastern deep sea port in the European Union) is helping us to offer cost effective logistics as well as fast deliveries for offshore companies.”

Martti Kork tells us that Enefit Technological Industries’ engineering department is the largest of its kind in the country, “Although we started deliveries to subsea market just few years ago already now about 50% of our engineering capacity is going to this market and the trend is growing fast.”

Otto Richard Pukk adds, “Our one stop service of complex industrial projects offers a full service from project management, design and

manufacture to equipment installation and maintenance. Enefit Technology Industries has over 27,000 m2 of production space.

This enables our company to have production capacity of 10,000 -12,000 tonnes per year working a single shift.” Otto Pukk says that metal structures, energy equipment and industrial machinery produced

by Technology Industries are mostly used in mines, power plants and oil plants as well as in offshore/ subsea projects or even in pulp and paper services. “Enefit Technology Industries uses its own designs for its products or works from customers’ designs,” takes Otto Pukk the possibilities together.

Martti Kork also described the parent company, “The Enefit group is the largest oil shale company globally and is Estonia’s biggest company with almost 7,000 employees. We were one of the first countries in the world to exploit oil shale reserves; in fact we have been involved in oil shale production since 1918. During almost 100 years, Estonia has mined more than one billion tonnes of oil shale, with

www.ogsmag.com

9

Otto Richard Pukk Member of the board, Enefit Technology Industries

Photo: Arno Mikkor

Enefit Technology Industries exports to more than 40 countries

Photo: Arno Mikkor

in excess of more than one billion tonnes still in reserve. Oil shale provides about ninety percent of Estonia’s electricity supply and Enefit group is also a big exporter of electricity across the Baltics and into Finland. The yield of oil from Estonia´s oil shale is in second position among oil shales from all over the world. Therefore Enefit

group is developing the shale oil business more and more. When the company built its new oil plant Enefit280, our enterprise had an important role there as well. This is a new generation oil plant.”

Enefit Technology Industries designed and manufactured the heart of the oil plant – the retort – and

built the retorting unit. Being part of this kind of construction process was a very valuable experience for the whole enterprise. “To construct the retort of a next generation oil plant, is a unique combination of processing units, each of them serving special purposes such as drying and pyrolysis of oil shale, combustion of semi-coke, as well

Enefit140 oil plant

as the dedusting and cleaning of vapours and gases. Enefit280’s modular design is essential to the allowance of easy maintenance, process optimisation and streamlined adaptability to the individual characteristics of different oil shale deposits. The efficiency of the technology comes from its one hundred per cent use of the mined oil shale. All organic matter is fully utilized, and high performance in oil extraction is further aided by additional revenue streams associated with utilisation of excess heat and gas generated in the process. Waste heat is used to generate electricity, making Enefit shale oil plants net producers of electricity. Nothing is wasted,” asserts Martti Kork as he describes the working process of oil plant Enefit280.

Expanding liquid fuels production is the cornerstone of Enefit group strategy. The plan for next few years is to develop operations upon a stable annual production of approximately 3 million barrels of shale oil.

The new Enefit280 plant produced its first oil in December 2012 and the operation of the plant will increase step-by-step to the designed parameters.

“Today we are finishing works in the new power plant of Enefit group.

Our enterprise designed and built the ash removal system for the plant and constructed the fuel delivery systems for oil shale and biofuel,” says Otto Richard Pukk, member of the board of Enefit Technology Industies. “Although we work largely on domestic projects we have, in recent years, been very focused on overseas growth. In recent years we have made a lot of collaboration with other industries besides our domestic oil shale industry.”

Enefit Technology Industries focus for growth is in deep-sea oil and the supply of high quality equipment manufacturing and surface treatment services for the deep sea oil industry. To this end, they have been working in partnership with Aker Solutions, leaders in deep-sea oil technology. Otto Pukk says, “Our involvement in deep sea oil operations has grown fivefold. Our attendance at ONS in Stavanger this year will allow us to expand our name in this area. We are looking for vertical growth, adding value and providing additional services to our customers”.

The company’s largest customers include a wide range of well-known industrial firms like ABB, Andritz, ALSTOM, FLSmidth, Foster Wheeler, Aker Solutions, METSO, MW Power, Sandvik Mining and Construction, TLT Co-Vent, Vestas, YIT Industria Ltd, GEA Bischoff and others.

In conclusion, Enefit shines as a beacon for the world’s oil shale industry. Its track record of technological advancement combined with streamlined operations and a huge regard for the environment are sign to this.

Enefit280 oil plant

Enefit Technology Industries More Than 50 Years of Experience Industrial Equipment and Metal Structures for Energy Sector Enefit Technology Industries offers a wide range of competitive technological project solutions for energy and industry. Our single-source service of complex industrial projects ranges from design and manufacture to equipment maintenance.

re Manufactu

t anagemen Project m n and desig

Testing

Assembly

nce Maintena Our industry is ISO 9001, ISO 14001, ISO 3834 certified.

Peter van Buuren, Business Development Manager Phone: +372 715 3365; Cellular: +372 512 6143 E-mail: peter.vanbuuren@enefit.com

An Exception to the Main Trend: Finland Subscribes Steelworks for China from Estonia Enefit Technology Industries manufactures steel parts for GEA Bischoff Oy’s Ion Blast Electrostatic Precipitators (ESP) in Estonia for the China Market. GEA Bischoff Oy is a Finnish company belonging to Process Engineering Segment of GEA Group. The company is acting in Emission Control business, which means delivering gas cleaning systems for industry. Recently GEA Bischoff Oy has delivered Ion Blast ESPs for spent acid regeneration (WSA) plants mostly in China, but also in Russia, Poland, Saudi-Arabia and Serbia.

The design of the Ion Blast ESPs is constantly developed in order to serve the high technical and quality demands of the customer.

WSA process conditions are extremely challenging. Inside ESP there could be an over pressure of 150 mbar and temperature of 450 °C. Due to SO2 and SO3 in the flue gases, any cold bridges will result in imminent corrosion damage. The emission guarantees are on BAT level, ≤ 3 mg/Nm3.

Enefit Technology Industries has a key role in the GEA Bischoff Oy’s supplier network. Enefit engineers work hand in hand with GEA engineers. Enefit services also include workshop manufacturing of steel parts, packing and erection supervision. In some deliveries Enefit is also in charge of the site assemblies.

Up-to-date 3D modelling tools help to increase standardisation and quality of the GEA assembly

GEA Bischoff Electrostatic Precipitators (ESP) produced and delivered by Enefit Technology Industries to China are used in production processes in petrochemical industry

Photo: Arno Mikkor

14

www.ogsmag.com

Most advanced mobile 3D laser measuring equipment used in Enefit Technology Industries for fast and reliable checking of manufactured subsea oil industry equipment against 3D computer models and drawings

documentation. When delivering complicated steel structures to countries like China, the local assembly team needs clear and simple instructions. Selected snapshots of various views show different assembly stages in detail.

a full coverage of photos of the well tagged goods before they are packed in containers. With GEA’s special “Tracking Tool” all parts can be identified and it is possible to assist the search intercontinentally from Helsinki office.

When a large number of parts is sent far away and unloaded at site for assembly that will start months later, it may be difficult to find again the parts. Enefit provides GEA with

Since high quality is required, it makes sense to manufacture steel parts also for China market at Enefit’s modern Jõhvi work shop in Estonia, close to Finland. Hence

the strict time schedules can be kept. When one supplier provides mechanical engineering, manufacturing, packing and erection supervision services, the battery limits are minimized. Thus GEA project managers can handle more projects cost effectively and with high quality.

Everybody knows his task.

Timo Seppälä Managing Director of GEA Bischoff Oy

Oil shale + biomass: reality for a state-of-the-art power plant Europe. Estonia. Ida-Viru County.

Here, in the heart of the oil shale industry with 100 years of experience, a new 300 MW power plant is nearing completion and will be using up to 50% biomass besides oil shale.

Last works inside the fuel delivery system of the new power plant

Photo: Arno Mikkor

Systems for delivering both oil shale and biomass at the Auvere power plant have been built by Enefit Technology Industries, a company with more than half a century of experience. Under the guidance of the specialists in the construction division at Technology Industries, one of the most important systems at the power plant – its ash removal system – is about to be completed.

Ash to be transported by means of air and water Burning Estonian oil shale generates ash up to 50%. More efficient utilisation of oil in boilers of a new type and co-incineration with biofuel will decrease the ash yield; however, its quantity will still be large. Without a reliable ash removal system, a power plant cannot operate.

“At the plant facilities, ash will be collected in dedicated hoppers, whence it will be channelled via a pneumatic pipeline into a separate ash removal pumping station,” Ants Sumberg, Project Manager in the construction division at Technology Industries, outlines the ash removal process. “Ash will be raised to a height of almost 30 metres, whence it will drop into a dedicated container with a volume of 320 cubic metres, in which ash will be mixed with water. The resulting pulp will

be pumped by ash pumps along a 1.2 kilometre route to an ash field, where ash will subsequently settle.

Water will be channelled back into the system.”

Several kilometres of pipes Ash removal in its entirety recalls the human cardiovascular system – long pipelines with a pumping station, its ‘heart’, in the middle. Just like the heart, the ash removal system, too, has to be continuously operational.

“At the moment, three ash pumps have been installed, normally with 1 pump working and 2 providing back-up,” Ants explains. “The pulp pipeline is backed up the same way.

Looking at all the dry ash and pulp pipelines together, however, there are nearly 8.6 kilometres of pipes across the whole system. You can

imagine the huge job that had to be accomplished in order to assemble the entire system.”

Pipes and equipment by the German manufacturer Claudius Peters have been installed as pneumatic pipes in the ash removal system. Pipe walls are 12.5 millimetres thick, providing several times the margin for withstanding pressure. Ash pumps, too, are from a German manufacturer, Warman, whereas the biggest pieces of equipment – inlet and mixing hoppers and pneumatic containers – were assembled at the Jõhvi mill of Technology Industries.

Big job Naturally, electricity production is paramount at a power plant; however, it is impossible without fuel delivery and ash removal systems.

Technology Industries built the start and end points for fuels passing through the new power plant, constructing systems that will ensure the continuous delivery of oil shale and biofuel and the removal of ash from the plant. Both types of equipment have been designed by engineers at Technology Industries, with Technology Industries also managing general construction and the design of other dedicated components for the ash removal system.

“It was a massive job, one that had to be completed under a relatively tight deadline. Alongside staff from Technology Industries, another five companies participated in the construction and set-up of the ash removal system, charged with specific jobs, such as geodetic surveys, installing ventilation etc,” Ants Sumberg recounts.

Work to construct the ash removal system lasted 11 months. The value of investments in the ash removal system project is approximately 12 million euros. Investments in the fuel delivery systems for the Auvere power plant are 25 million euros.

Thus, during this short time the cost of the projects completed by Technology Industries at Auvere totals 37 million euros, a most significant amount given such a short period for design and construction.

Work using the ‘turn-key’ method “We are doing this job on a ‘turnkey’ basis; in other words, we will turn over a completed site to our client, Narva Power Plants,” Ants Sumberg continues. “Irrespective of whether the work was done by

our subcontractors or us, the entire system will undergo thorough testing and will be turned over once fully operational.”

According to Sumberg, the Auvere power plant involves projects so large in scale and so unique that nothing analogous exists in Estonia.

“Whereas a few years ago you could characterise Technology Industries as a metals industry company also incorporating an installation and construction department, today it is a different story. We are one of Estonia’s biggest construction companies and have a metalworking mill with diverse facilities.”

Enefit Tecnology Industries designed and manufactured oil plant´s retort and built the retorting unit

Ash removal system of Auvere power plant

Enefit´s oil shale industry in North-East Estonia

Photo: Arno Mikkor

Fuels delivery systems

18

www.ogsmag.com

As a key operating part of the Kongsberg Gruppen (KONGSBERG), Kongsberg Maritime delivers systems for dynamic positioning and navigation, marine automation, safety management, cargo handling, subsea survey and construction, maritime simulation and training, and satellite positioning. Its solutions enhance efficiency and safety throughout the whole maritime technology spectrum and it is able to offer additional competence in providing turnkey engineering services within the shipbuilding and floating production sectors. Key markets are countries with large offshore, shipyard and energy exploration and production industries. In exploration Kongsberg Maritime provides sophisticated underwater and positioning technology and systems for survey vessel operation. In field development, it supports constructions and offshore vessels with innovative solutions for operation and specialist applications, whilst in production its hardware and software enhances output and minimises downtime. For maritime transport and offshore vessels, Kongsberg Maritime supplies ‘The Full Picture’, including navigation, automation, training and safety systems.

www.ogsmag.com

Kongsberg Marine has been engaged in marine activities for more than fifty years and during this time it has built up a wealth of knowledge on marine operations, user requirements and challenges. Kongsberg Marine has evolved to meet the unique challenges of the marine industry by providing cost-efficient products and systems tailored to each individual client.

Throughout the company’s history, Kongsberg has ensured the commercial availability of technologies and systems that enhance value for the users. In the 1960s, it installed the world’s first computer-based radar/ARPA. Since then, it has been at the forefront of many innovations, ranging from dynamic positioning systems to integrated automation systems and from fish finding equipment to fishery research.

Owing to the depth and ferocity of the North Sea, the development of the offshore oil industry was made possible by achievements comparable with those of the space industry. Kongsberg developed dynamic positioning systems for diving support vessels in the 1970s. This significantly increased the efficiency and safety of diving operations. Since then, the offshore and maritime industries have benefited from these achievements. In more recent years these advances have been applied to the cruise industry with dynamic positioning systems for manoeuvring and the complex task of precise position keeping.

19

20

www.ogsmag.com

In the early 1950s, Simrad, a subsidiary of Kongsberg, introduced the first commercial echosounder and sonar, making fish finding equipment available to ordinary fishermen. Since then, fishing has evolved into a technology-based industry, and Kongsberg has carved out a place at the forefront of technological developments.

As cost levels rose rapidly during the 1960s, the need to reduce ships’ operating costs became evident. People turned to technology for solutions, and Norcontrol and Autronica provided them. Norcontrol, with its first main engine remote control system, and Autronica, with its first alarm and monitoring system, enabled vessels to sail with unmanned engine rooms at night.

Operational safety was maintained, but less manpower was required. Under the ownership of Kongsberg, both companies have continued to improve the safety and efficiency of ship operations.

Kongsberg provides fully segregated network design featuring open system architecture. The network is fully redundant and based on industry standards. The standard hardware and software modules can easily be distributed throughout the network to ensure the optimal solutions for vessels. Having a standard network solution that brings all functions and information together also facilitates easy integration with other ship systems. Information is presented on multipurpose operator stations, offering an easy to use, intuitive user interface. All process and vessel data is available in the reporting system and can be incorporated into electronic logbooks and used for ship-to-shore communication.

www.ogsmag.com

LNG carriers built to last The success of the LNG industry is based on the shipping community’s total commitment to safety. The challenge for the LNG shipping industry is to ensure that a safety-first approach to ship design, construction, operation and maintenance is transferred to a new generation of ships, while facilitating the increased flexibility required by the growing, changing nature of the LNG trade. Flexibility is built into the cargo handling system to optimise terminal compatibility and the potential for universal trade, and propulsion systems are constantly improved to reduce transport costs. Kongsberg’s integrated system solutions provide the safety and flexibility needed to meet present and future requirements and standards.

Challenges facing the tanker industry Safe, economic transport of oil and oil-based products, ensuring cleaner seas and lower emissions of all types, represents pioneering work initiated by the tanker industry in close co-operation with the maritime community as a whole. Much has been achieved and the tanker industry has made major advances in addressing the principle marine environment challenges. There is however, still work to be done and the industry remains committed to developing effective, practical solutions for the tanker industry to minimise environmental impact.

21

22

www.ogsmag.com

Safe, economic transport of oil-based products Kongsberg cargo handling system has been developed to ensure safe, efficient operation. The cargo handling system takes full advantage of the quality and accuracy of its radar-based level gauging system and sensors for cargo, ballast and service tank monitoring. All information required for the loading and unloading processes are available to the operator online, ensuring safe, efficient operations. The complete loading and unloading process can be planned off-line well in advance, minimising turnaround time in port. The cargo handling system can easily be integrated into our engine room alarm, monitoring and control system, enabling full vessel control from all operator stations.

Offshore Kongsberg provides fully integrated navigation, positioning and automation systems to the offshore industry and offers the most accurate, reliable and efficient solutions available today. Whether the requirement is for complete systems or individual products, from the swift delivery of support for integrated navigation, positioning and automation systems to the sophisticated technology and skilled engineering that makes them possible, Kongsberg has the right solution.

www.ogsmag.com

23

Wide Screen ECDIS & Radar Displays Introducing Marine Displays in 26”WS and 27”WS with LED backlight, ISIC provides maximum flexibility for ECDIS and Radar category 1 applications.

With the first genuine 27” (16:9) monitor, certified for ECDIS, ISIC enables easy implementation of uniform bridge design, utilizing same aspect ratio across the bridge.

www.isic-systems.com

TRUSTED HARDWARE SYSTEMS

24

www.ogsmag.com

Offshore support vessels Kongsberg provides systems for all support vessels, whether carrying out supply, anchor-handling, ROV/ROT or diving support operations. Their products fulfil the requirements for offshore vessel operations, from basic joystick systems to the most advanced redundant dynamic positioning systems. The Kongsberg navigation bridge integrates all bridge equipment, the dynamic positioning system, and propulsion and thruster controls, while the aft work bridge is tailored for the particular marine operations that the vessel is designed for. The bridges provide an optimal operating environment, which strengthens safe, efficient operation and reduces the risk of human error.

Offshore loading – reduced fuel consumption Integrated bridge systems facilitate safe navigation. The propulsion plant is effectively controlled by Kongsberg’s integrated automation system and its radar based level gauging system assists in safe, precise cargo handling. However, its Class II dynamic positioning system, especially adapted for offshore loading takes station keeping a step further. The Weather Vane function keeps the bow up against the weather. This reduces the thrusters/propeller force required to retain the vessel’s position, saving fuel and wear and tear on equipment.

www.ogsmag.com

Optimal deep water drilling The Riser Management System (RMS) assists in all phases of the drilling operation. From the planning of riser make up through drilling in changing environmental conditions, the RMS ensures safe and efficient operation through extensive monitoring and supervisory features. Optimal vessel positioning during drilling operation is enabled by taking into account riser angles, tension and the specific riser characteristics. To ensure a well planned riser deployment, a powerful and easy to use riser simulator is available for validation of the planned operation. Pipe and cable laying, trenching and crane operations are just a few assignments that Kongsberg’s dynamic positioning system supports with dedicated functionalities tailored to ease and optimise specific operations.

Offshore – oil and gas production Kongsberg supplies offshore processing facilities with high-quality, efficient and reliable process control systems for oil and gas production. Standard hardware modules are distributed within a network, close to the process, where the embedded control applications provide local processing. The system strategy adds further system performance, by providing real-time response and actions as required by the process. The standard network solution that brings all functions and information together allows for easy integration with other systems. Information is presented on our multipurpose operator stations, with an easy to use and intuitive user interface. By integrating process control systems and process simulation with vessel systems, Kongsberg provides a fully integrated solution for offshore floating production units.

25

Testing, calibrating, advising

Pipelines... inline... on time!

In a market where asset assurance is a fundamental principle, Exova has a proud track record in providing testing services at the forefront of global oil and gas exploration, production and distribution.

Exova can help you get to where you're going, get in touch for a chat. t. e. w.

+ 44 (0) 330 222 0321 europe@exova.com www.exova.com

Building The Future At Technip, we are building the future through today’s most ambitious energy infrastructure projects. We are also creating the conditions that will generate tomorrow’s game-changing innovations by developing our people.

Entrepreneurial attitude, investment and anticipation are at the very heart of how we are taking it further.

www.technip.com

28

www.ogsmag.com

Surface positioning and attitude determination High performance position reference systems are a major contributor to safe, accurate positioning and navigation regardless of operational area. Kongsberg supplies satellite based systems utilizing ground infrastructure that include a complete range for dynamic positioning, hydrographic surveys, and seabed mapping with accuracy, reliability and integrity as required by the operational scenarios. Advanced motion sensor technology contributes to enhanced security offshore as well as giving optimal correction input for seabed mapping and hydrographic survey applications.

Green and fuel tight DP GreenDP® is designed to further reduce fuel consumption and wear and tear on mechanical parts of the power and thrusters system. This sophisticated system employs a control strategy that uses the smallest possible thrust vector, and thus power, to keep the vessel inside user defined boundaries and the working and operational area, as opposed to “bulls-eye” station keeping.

Process simulation services The dynamic simulation tool, ASSETT®, is used for process design verification, process control system verification, training and operator support and optimization. ASSETT® is a ‘Life cycle simulator’ that covers the development and use of the dynamic process simulation model throughout the entire period of construction, commissioning, start-up and operation of a plant. To maximize the benefits the simulator development is integrated into the engineering project. The dynamic process simulator is made available and has sufficient functionality to be of benefit during various phases of the project. Having created a high fidelity simulator, it is then readily available for training uses.

www.ogsmag.com

Subsea Acoustic sound transmission represents the basic techniques for underwater navigation, telemetry, echosounder and sonar technology. Common for all is the use of underwater pressure wave signals that propagate with a speed of 1500m/s through the water. When the pressure wave hits the sea bottom or another object, a reflected signal is transmitted back and detected. The reflected signal contains information characterising the reflected object. The sea is far from an ideal transmission medium, with acoustic noise and multipath interference as some of the major concerns. With more than fifty years in the business, Kongsberg has learned to master sound in water. To collect quality information about the seafloor, within the water columns as well as marine life, oceanographic research vessels are dependent upon a comprehensive suite of sensors. With Kongsberg sensors systems, mutual interference problems are avoided and quality information guaranteed. Data and images are all distributed and available over the vessel data network. Complete instrumentation and data processing systems are available, providing flexibility, productivity and data security.

Marine Simulation For years Kongsberg has been a market leading supplier of professional simulators to maritime colleges and training institutions all over the world. Every day these simulators are at the forefront of technology based training, with increasing emphasis on true-to-life software solutions, visual presentations and exercises to meet demanding teaching objectives. Kongsberg’s simulator software is fully scaleable and can be supplied as full mission or part task trainers for desktop applications and web-enabled simulators. A comprehensive software library of vessel models, propulsion plants, cargo systems, navigation instruments, and ports and fairways enables them to configure solutions to meet a variety of teaching objectives designated by our many customers, and validated by experienced professionals for realism and suitability to provide realistic and positive training.

29

30

www.ogsmag.com

SIMRAD Simrad, a Kongsberg company is a major manufacturer of hydroacoustic equipment for the fishery and fishery research markets, offering sales, distribution and service worldwide. Through technology, experience and through understanding the fishing industry, Simrad is an ideal choice for hydroacoustic equipment on fishing boats and research vessels. Simrad supplies complete solutions for finding the fish, evaluation of size and species and monitoring trawl and purse seine parameters. The majority of the world’s latest research vessels are all equipped with hydroacoustic technology from Simrad. They carry out their work using multiple echo sounder frequencies, sonars and catch monitoring instruments for improved stock assessment, species discrimination and species identification.

www.ogsmag.com

Kongsberg Maritime is a wholly owned subsidiary of Kongsberg Gruppen (KONGSBERG), an international technology corporation that delivers advanced and reliable solutions that improve safety, security and performance in complex operations and during extreme conditions. In 2014 KONGSBERG is celebrating its 200year anniversary.

31

Environmentally Acceptable Lubricants (EAL) New rules might affect Your oil system!

Be prepared for the new environmental regulations from the US Environmental Protection Agency (EPA).

In near future you might have to change from mineral oils to biodegradable oils.

With the CJC™ Oil Filter / Desorber Combi Unit it is possible to remove water from emulsified biodegradable oils in thrusters, stern tubes, rudders, stabiliser fins, controllable pitch propellers, etc.

www.owre-johnsen.no

Meet us at:

Avoid breakdowns, increase reliability and reduce Your maintenance costs....

Shark Jaws Controlable Pitch Propeller CPP

Thrusters

Stern Tubes

Winches

ONS

Stavanger, Norway Aug. 25-28, 2014 Stand J1014

Cranes

Steering Gear

Lifeboat Davits

Gears

Due to performance of the CJC™ Oil Filters and the trust in C.C.JENSEN equipment, one of our very loyal customers ordered 78 CJC™ Combi Units!

Hydraulic Bow Power Packs Thrusters Lube Oil MDO/MGO Fuel Hydraulic Valves

...install CJC™ Offline Oil Filters!

Clean Oil - Bright Ideas C.C.JENSEN A/S | www.cjc.dk

KIRK & HOLM

ONE-STOP-SHOP FOR THE OIL AND GAS INDUSTRY Four decades of providing offshore services and solutions worldwide have conveyed lots of experience, expertise and know-how to our staff.

• •

Today this has made us one of the world’s leading providers of quality solutions to the energy sector both onshore and offshore.

Oil, gas and wind logistics Offshore maintenance and service

DANBOR A/S · KANALEN 1 · DK-6700 ESBJERG · PHONE +45 7911 1900 · WWW.DANBOR.COM Part of NorSea Group

34

www.ogsmag.com

The power of possible Statoil’s second quarter 2014 net operating income was NOK 32.0 billion, a decrease of NOK 2.3 billion compared to the second quarter of 2013. Adjusted earnings were NOK 32.3 billion. “Statoil delivered solid operational performance in the quarter, with continued high production regularity on the Norwegian continental shelf and project execution according to plan. We have deferred gas production to enhance value, but remain on track for delivering on our production guiding for 2014.

www.ogsmag.com

Our quarterly earnings were impacted by divestments, seasonal effects and lower gas prices. For the first half of the year, earnings were around the same level as in the same period last year,” says Helge Lund, Statoil’s president and CEO. Statoil’s net income for the second quarter was NOK 12.0 billion, an increase from NOK 4.3 billion in the same period of 2013.

Earnings per share were NOK 3.75, an increase from NOK 1.38.

Adjusted earnings were NOK 32.3 billion, a 15% decrease compared to the second quarter last year. The net adjustments of NOK 0.3 billion are primarily related to gains and impairments. In the second quarter, the company recorded a gain of NOK 3.6 billion from the farm-down in Shah Deniz and the South Caucasus Pipeline. The gain was offset by impairments of NOK 4.3 billion in the US onshore business, mainly related to sustained local price differentials. Adjusted earnings after tax were NOK 9.9 billion, compared to NOK 11.3 billion in the same period last year.

35

36

www.ogsmag.com

“Our cash flow from operations before tax is NOK 118 billion so far this year, and we have a strong balance sheet. We will pay a dividend of NOK 1.80 per share for the quarter, in line with our commitment to capital distribution to our shareholders,” says Lund.

Net debt to capital employed at the end of the quarter was 16%. Organic capital expenditure is USD 10 billion year-to-date, and the guidance of USD 20 billion for 2014-2016 remains unchanged.

Statoil’s adjusted earnings from upstream activities in Norway decreased from NOK 31.5 billion to NOK 24.1 billion. Earnings from upstream activities outside Norway increased to NOK 6.3 billion from NOK 5.9 billion, while earnings from the midstream increased to NOK 2.4 billion from NOK 0.8 billion.

In the quarter, Statoil made the high-impact Piri discovery in Tanzania. The discovery brings the total of gas in-place in Block 2 up to approximately 20 tcf, adding volumes for a future large-scale gas infrastructure development. Exploration expenses were NOK 2.7 billion, down NOK 1.4 billion compared to same quarter last year. The decreased expenses were mainly due to increased capitalisation as a result of successful wells.

“We continue progressing our programmes to reduce cost and improve capital efficiency. In the quarter, we have announced a potential to reduce between 1100 and 1400 positions. Reductions of around 1000 positions in our staffs and support services are already implemented. We have also established six specific high-impact projects addressing technical efficiency across the company, and we are now executing the first wave. We are on track, and will provide an updated status when we report our results for the full year,” says Lund.

Statoil delivered production of 1,799 mboe per day in the second quarter, down 9% compared to second quarter in 2013.

Starting and ramping up of new fields such as Skarv in Norway, Marcellus and Eagle Ford in the United States together with PSVM and CLOV in Angola contributed positively to the production. This increase was partly offset by divestments and redetermination, expected natural decline, seasonal effects and optimisation of gas production.

Statoil continued its strong progress on project development and execution, including the award of a letter of intent for two steel jackets to the Johan Sverdrup field. This represents a new step forward in planning of the first phase of this important development on the Norwegian continental shelf.

www.ogsmag.com

The serious incident frequency (SIF) improved from 0.9 in the second quarter of 2013 to 0.7 in the second quarter of 2014.

Statoil is an international energy company with operations in 33 countries. Building on 40 years of experience from oil and gas production on the Norwegian continental shelf, Statoil is committed to accommodating the world’s energy needs in a responsible manner, applying technology and creating innovative business solutions. The company is headquartered in Stavanger, Norway and has approximately 23,000 employees worldwide. It operates on the belief that competitive returns for its shareholders are best achieved through a values-based performance culture, stringent ethical requirements and a code of conduct, which promotes personal integrity. Statoil aims to meet the demand for energy, which is necessary for further economic and social development, while showing consideration for the environment and making an active effort to fight global climate change. Safe and efficient operations are its first priority. Statoil has won great renown for its technical safety monitoring system and safe behaviour programme. It focuses on contributing to sustainable development via its core activities in the countries in which it operates.

Statoil has grown alongside the emergence of the Norwegian oil and gas industry, dating back to the late 1960s. Today, the company is one of the world’s largest suppliers of oil and gas. In 1972, the Norwegian State Oil Company, Statoil, was formed, and two years later the Statfjord field was discovered in the North Sea. In 1979, the Statfjord field commenced production, and in 1981 Statoil was the first Norwegian company to be given operator responsibility for a field, at Gullfaks in the North Sea. Statoil merged with Norsk Hydro’s oil and gas division on 1 October 2007. The new company was given the temporary name of StatoilHydro, and the new company reached a size and strength for considerable international expansion. The company changed its name back to Statoil on 1 November 2009. Norsk Hydro’s oil history stretches back to the late 1960’s, when the company was a license holder in the giant Ekofisk discovery in the North Sea in 1969. Statoil has been one of the most important players in the Norwegian oil industry, and has contributed strongly to make Norway into a modern industrial nation. Today, Norway is one of the world’s most productive petroleum provinces and a test lab for technology development.

Statoil is the leading operator on the Norwegian continental shelf, and a company in an expansive phase internationally. As the fields on the Norwegian continental shelf become increasingly mature, Statoil is actively seeking international opportunities to apply its expertise in offshore and deep water development projects. Partner-operated fields represent a significant proportion of Statoil’s oil and gas portfolio. The portfolio ranges from development projects to mature fields. The complexity of these requires detailed knowledge of the areas involved.

37

38

www.ogsmag.com

© Copyright 2014 | FMC Technologies Inc | All rights reserved

FMC Technologies SA Route des Clérimois - CS10705 89107 Sens Cedex France Tel. : +33 3 86 95 87 00 www.fmctechnologies.com

Besides being a leading operator of innovative floating production platforms and production ships, Statoil has an enviable record in producing hydrocarbons via subsea (seabed) installations. Its goal is to maximize the production on the Norwegian continental shelf and lay the ground for further growth. To achieve this, further technology development is being pursued along the lines of compact and environment-friendly solutions, solutions that improve recovery from the reservoirs, technology that permits long tie-backs to land and equipment for ultradeep water.

Once the equipment has been developed and installed, efficient intervention systems are essential for carrying out modifications and repairs – both in the well and on the seabed. Dedicated high-capacity vessels for seabed intervention, modification and repair (IMR), light well intervention (LWI), and through-tubing rotary drilling (TTRD) have been developed to achieve fast response times. These in turn enable high levels of productivity and reservoir recovery.

www.ogsmag.com

Statoil is taking subsea longer, deeper and colder. Through innovative thinking and collaboration with partners and suppliers, Statoil aims to develop the elements required for a subsea factory by 2020. A subsea factory is a process plant on the seabed making it possible to utilize remote-controlled transport of hydrocarbons at any offshore facility. The future resources are further from land, at greater depths and in colder and harsher environments. The subsea factory will be vital to realise business opportunities for Statoil in these areas and help to realise its production goal of 2.5 million barrels of oil equivalent (boe) per day by 2020. Statoil believes that compact separation facilities on the seabed will be a key to success in Arctic areas or deepwater areas like the Gulf of Mexico and Brazil. Its offshore portfolio is well suited to the application of subsea production and processing. Statoil operates 500 subsea wells and has a 25-year track record of subsea technology development, implementation and operation. It has already taken the first technological steps, making the world’s first complete subsea solution for separation and injection of water and sand from the Tordis wellstream, and has developed the first subsea facility for injection of raw seawater on Tyrihans. Projects such as the oil-dominated multi-phase transport on Tyrihans and Snøhvit’s gas condensate transport are at the forefront in the development of multi-phase transport over long distances. The next step is to realise subsea gas compression in 2015.

39

40

www.ogsmag.com

Shale resources have begun to transform the global energy outlook. Due to reserve additions from shales, global natural gas reserves are estimated by the International Energy Agency to last around 250 years at present consumption levels. According to the International Energy Agency (IEA) World Energy Outlook 2011, unconventional gas (shale gas, tight gas and coal bed methane) now makes up 60% of marketed production in the US and production estimates of tight oil in the US alone could exceed 1.4 million barrels per day by 2020. Global natural gas reserves are now estimated by the IEA to last 250 years at present consumption levels due to reserve additions from shale gas.

For Statoil, shale and tight rock reservoirs are a key growth area that increases its long term reserve base. Statoil’s heritage as a pioneering company and its technology competence, gives a strong foundation for our strategic ambitions in shale. The development of shale and tight rock resources enables both local and global economic development, creating jobs and wealth at the local and national level, whilst also meeting growing world energy needs.

www.ogsmag.com

Statoil’s shale and tight gas and oil business began in the US through active partnerships in the Marcellus play along the eastern seaboard, the Eagle Ford play in south Texas, and our own operatorship of tight oil activities in North Dakota and Montana in the Bakken play. Shale and tight rock opportunities are in the early stages of development in many other parts of the world.

What of the alternatives? Statoil is leading the way in harnessing new energy sources, including carbon capture and storage, and wind energy. The use of fossil fuels results in emissions of the greenhouse gas CO2. Carbon capture and storage (CCS) is an important contribution toward reducing CO2 emissions, and Statoil is actively pursuing CCS in many areas. It has stored CO2 on Sleipner Vest since 1996, and we continue to be a champion for the development of CCS. New renewable energy is one of the most exciting growth areas in the energy market. Statoil is focusing on establishing a position in markets where the company has natural advantages, particularly within offshore renewable energy.

41

42

www.ogsmag.com

VSMPO Titan Ukraine

“geared up for surging demand expected in titanium tube market”

VSMPO Titan Ukraine Ltd. and VSMPO Titan Scandinavia AB are members of the titanium industry’s largest fully integrated producer, VSMPO-AVISMA Corporation.

With production of seamless titanium tubes since 1964 in Nikopol, Ukraine, VSMPO Titan Ukraine Ltd. is a unique special-purpose tube works focused on manufacturing of both seamless cold-worked and welded tubes from titanium and its alloys. VSMPO Titan Scandinavia AB manages the Ukraine operation and sales in Scandinavia from the business office in Örnsköldsvik, Sweden.

In November 2012 VSMPO-AVISMA Corporation decided to create a high technology site for manufacturing welded tubes of titanium alloys at VSMPO Titan Ukraine Ltd. and in December 2012 two automated tube welding lines, were purchased for fabricating welded titanium tubes with outside diameter from 12.0 to 60.3 mm with a wide range of wall thickness. To support the production of hydraulic tubes from titanium alloys for aerospace application, long-term investments will be made in 2016 by purchase of new pilger mills.

www.ogsmag.com

VSMPO Titan Ukraine Ltd. complies with world standards for production and is approved with a variety of certificates, such as the TUV Nord certificate for compliance of quality management system, with requirements for international standard ISO 9001. It is also SAE AS 9100, ISO 14001, EN/ISO 17025, PRI Nadcap (MTL, CP, NDT, HT and Fluid Distributional Systems) approved. After participating in Statoil’s qualification program in 2011, the enterprise was included into the TR-2000 list of approved suppliers according to NORSOK M-650 Rev. 4, qualification of special material manufacturers.

Both aerospace and NORSOK vendor approvals conduct more detailed, technically superior audits which improves supplier quality throughout industry through stringent requirements. It is one of the way in which the petroleum and aerospace industries identifies those who excel at manufacturing quality products. These approvals establish a set of qualification requirements to verify that the manufacturer has sufficient competence, experience, necessary facilities and equipment to manufacture these high-quality products and to provide a full range of programs and services designed to improve manufacturing process, product quality and promoting collaboration between global stakeholders in the petroleum and aerospace industries.

The technical case for titanium application to seawater service was well established in the early 1970’s and performance of titanium over the last 40 years has validated the technical case. With expanding global production the application base for titanium was able to expand and this expansion allowed the stocking of service centers worldwide to support existing and developing applications. Resistance to the various forms of corrosion in seawater compare to Al, Cu, Ni and stainless steel alloys show that only titanium is resistant to all forms of corrosion in seawater to temperature exceeding 70 0C.

43

44

www.ogsmag.com

The markets for traditional corrosion resistant materials like copper, copper-nickel are facing some important supply side constraints that could potentially lead to price rises, improving the economics of substitute materials. The price differential between copper and titanium can be a good indicator of the business case for using titanium in industrial heat exchange applications since copper-nickel and titanium tubes are to a certain degree interchangeable.

Production of copper and nickel is relying on continually decreasing ore grades as high grade readily accessible resources have been mined. With energy prices continuing to rise for many of the same reasons, the expectation is that copper and nickel prices will continue steady escalation. Regulatory restrictions on exports of non-processed nickel ore and increasing production and mining costs for copper and nickel, along with global demand forecasts for electricity and clean water, will result in a cost advantage for titanium products. As titanium has twice the strength of copper-nickel alloys and is nominally ½ the density there is significant weight and space savings to be realized when designs are optimized for titanium.

Titanium application to industrial processes can grow by new application development or substitution for historical materials of construction. There is a large potential for substitution as strong economic activity has impacted copper and nickel prices dramatically in the recent history, recovering global economic growth can be expected to repeat this trend going forward. The growing stress on the supply side of these commodity metals is impacting on the economics of material selection and titanium will be shown to be an attractive alternative for many applications within these industrial processes.

VSMPO Titan Ukraine Ltd. supplied 300MT of Grade 2 seamless titanium tube for the Gasco 4th NGL project in UAE, 60MT – for KNPC 4th Gas Train project in Kuwait and have been included into such manufacturer lists as Saipem, Shell, Exxon, KNPC, GASCO, Statoil, Dow and Sabic.

www.ogsmag.com

VSMPO-TITAN UKRAINE LTD. 56, Trubnikov Ave. 53201, Nikopol, Ukraine tel: +380 566 638810 fax: +380 566 638800 e-mail: info@tw-vsmpoavisma.com.ua web: www.tw-vsmpoavisma.com web: www.vsmpo.ru

VSMPO Titan Scandinavia AB Sjรถgatan 1A SE-891 60, ร rnskรถldsvik, Sweden tel: +46 660 15473 fax: +46 660 15474 e-mail: kosta.antonov@tw-vsmpoavisma. com natalia.antonova@tw-vsmpoavisma.com web: www.tw-vsmpoavisma.com web: www.vsmpo.ru

45

Meet · Deliver · Succeed

VROON provides a diverse range of services and solutions for key offshore-support needs, including platform supply, emergency response and rescue, anchor handling and subsea support.

Our versatile fleet of more than 100 vessels follows a rigorous maintenance programme, which together with ongoing orders for new builds, ensures our continued commitment to providing services that are safe, reliable and cost effective.

We have the fleet to meet your needs, the people to deliver and the determination to succeed.

For more information visit www.vroonoffshore.com

ABERDEEN • DEN HELDER • GENOVA • SINGAPORE

WWW.VROONOFFSHORE.COM

IKM Mud Recovery without Riser (MRR)

Our focus is growth!

First well successfully drilled Maersk is the first company to use the new Mud Recovery technology from IKM. The well was a development well in the Gryphon Field on the British sector of the North Sea. The water depth at well location was 112 meters and it was drilled using the semi submersible drilling rig Sedco 704.

By utilizing the MRR System from IKM, Maersk Oil UK have saved money and increased safety.

The system worked without down time and to everybody’s satisfaction. I would not hesitate to recommend this system for other operators.

Campbell Syme Drilling Superintendent Maersk Oil North Sea UK Limited

The challenge was to drill a deviated 17 ½” section riserless in an area with known hole instability problems. The solution was the Mud Recovery without Riser (MRR) System from IKM. The MRR system gave Maersk the benefit of a closed mud system with full mud return without having to run the BOP and the marine riser for drilling, casing running and cementing.

The MRR is a dual gradient top hole drilling system that utilises a subsea pump skid to return drilling fluid and drill cuttings during riserless drilling.

The section was drilled to TD without any HSE incidents or MRR related non productive time.

Deployment of Subsea Pump Skid with Mud Return Line

Well Head Interface Module (WHIM) on HPWH housing

Running 13 3/8” casing

IKM Cleandrill AS / IKM Testing AS T: +47 51 64 90 00 E: IKMTesting@IKM.no

www.IKM.com

Marine ingenuity

Get more info with

Offshore Oil & Gas In just two words, marine ingenuity, we express that we are passionate dredging and marine contractors with a worldwide innovative approach to meet your challenges.

Our people - who manage a versatile fleet - specialise in dredging, marine engineering and offshore projects (oil, gas and wind).

www.vanoord.com

Offshore and EPC Contractors

Dredging

Offshore Wind Projects