Oil, Gas and Shipping Magazine by Oil, Gas and Shipping

ISSUE 80 www.ogsmag.com

Statoil: More to discover Page 32

GLOBAL SURVEY SPECIALIST •

Bigger • Better • Stronger

UTECsurvey.com

The Editor

Oseberg Field Centre: Photo Øyvind Hagen - Statoil

Taking bets on $100 oil

Editor

The

Martin Ashcroft

elegates heading for Aberdeen next month for the biennial SPE Offshore Europe Conference and Exhibition will no doubt find some reasons to be cheerful, if only for having secured a hotel room in the oil capital of Europe. After one of the hardest years for the oil and gas industry, even Aberdeen hoteliers are suffering, however. According to a recent monthly survey from accountancy and business adviser BDO, year-on-year hotel occupancy in the city fell 17.5 per cent to 62.5 per cent, while revenue per room fell by 30 per cent to £52.45. Conference delegates will curse about the prices they are being charged, but here is one of the simplest examples of supply and demand you could wish for, because it has few variables. It’s just the number of people wanting a room against the number of rooms available. The same principles apply to the price of oil as to the price of a hotel room, but predicting the former is a much more complicated business, which is why ‘industry experts’ have become an industry sector in their own right and a decent living can be made from forecasts and analysis. It’s a fascinating sector to watch, because my expert will take the same figures as your expert and come to a totally different conclusion because of the

weight they attribute to each different variable. How long will the Saudis be able to persuade other OPEC members to ride out the storm rather than reduce production? What will happen if Iran complies with the nuclear agreement and a flood of Iranian oil hits the market? How long can shale operators withstand OPEC’s price attack? How much will China’s energy demand grow? What kind of help can the offshore sector expect from governments? Making his own prediction about the price of oil in January this year, Prince Alwaleed bin Talal, a member of the Saudi royal family and a billionaire entrepreneur, told USA Today that “I’m sure we’re never going to see $100 anymore.” On the other hand, American billionaire oil tycoon T. Boone Pickens predicted on US TV channel CNBC that “we’ll be back at $100 a barrel within 12 to 18 months.” They all have their own angle. I think it’s fair to say that when the price of oil collapsed over the latter part of 2014, no-one saw it coming. By that token, it’s probably fair to say that nobody really knows what it’s going to be this time next year, but everyone will have a great deal of fun talking about it, in Aberdeen and elsewhere. Will the price of oil ever reach $100 again? You pay your expert and take your choice. www.ogsmag.com 3

Contents Page 32

Cover story: Statoil: More to discover

The Editor: Taking bets on $100 oil

UK to reduce subsidies for renewable energy

Offshore Europe 2015

The plan for Iran

Monthly news & features

Raccortubi Group

Trelleborg new oil & gas sealing resource

Flex Coil- heat transfer solutions

Frames supplies electrostatic coalescers

Aggreko

Tendeka expands in China

Spectrex: Rising to the toxic gas challenge

Financing for Mexicoâ&#x20AC;&#x2122;s new gas pipeline

Interview: Vicente Boluda

ROCOL improves temperature range of grease

Hyundai Heavy Industries

ACE Winches reels in S.E Asia business

Oil, Gas & Shipping media information

ADVERTISERS Page: 2 Utec Survey 6 Kenz Figee 7 IMI Sensors 12 Ebara International 14 Oil, Gas & Shipping 16 TerraMar Networks 18 IT Vizion 18 Kippertool 20 Shepherd Offshore 22 The Heavylift Group 23 World Mining Magazine 24 Biardo Survival Suits 25 Wintershall 36 Raccortubi Group 42 Aggreko 43 Rapp Bomek 45 Tampnet 56 Flex Coil 76 Spectrex Inc. 84 Rapp Bomek 87 D&R Valves 90 Technip 92 FMC Technologies 93 Heatric/Meggitt 98 VersaDev 99 EverSea 100 Telenor Satellite Broadcasting

PRODUCED BY WORLDWIDE BUSINESS MEDIA

Features Editor:

Martin Ashcroft martin@ogsmag.com Editor:

Vanessa Ward editor@ogsmag.com Sales:

sales@ogsmag.com General email contact:

info@ogsmag.com

Design and Artwork:

artwork@ogsmag.com Managing Director:

Simon Ward

Company Information:

Page 26

The plan for Iran

Worldwide Business Media Limited London EC1V 2NX United Kingdom www.ogsmag.com Tel: +44(0)203 5751249 Advertising Rates:

Double Page £6000.00 Full Page £4895.00 Half Page £2450.00 Quarter Page £1450.00 Lead Article + Front Cover £19,995.00 All advertisement rates include design free of charge The magazine is printed in A4 format on 250gsm gloss laminated cover and 170gsm matt internal pages. The magazine is both a printed hard copy magazine and distributed electronically. Currently our global readership is just over 105,000. The magazine is also a media partner and supporter of some of the world’s largest exhibitions and conferences.

Page 10

Monthly news & features

Oil, Gas and Shipping Magazine 2015 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.

OFFSHORE CRANES

ENGINEERING

CRANE SERVICES

DEMANDING CONDITIONS EXCEPTIONAL SOLUTIONS Kenz Cranes is a leader in the design, manufacturing and maintenance of offshore hoisting and lifting systems. With a history spanning several decades, we have combined constant technological development with an unprecedented client focus to deliver one of the best product and service portfolios in the industry.

WWW.KENZ-FIGEE.COM

New times, new challenges With less than a month before the free-to-attend SPE Offshore Europe 2015 (8-11 September) opens its doors in Aberdeen, the industry is looking forward to welcoming visitors from all over the globe to discuss and debate both the technical and people challenges facing the oil and gas business today.

espite the current difficult market conditions, oil and gas will remain indispensable to the world for securing heat, light, mobility and prosperity for many decades to come. According to the International Energy Agency’s World Energy Outlook 2014, oil and gas will still supply around half of the world’s energy by 2040. Sourcing skilled, innovative and motivated people and developing new technologies are essential for the industry to be successful in meeting this demand. The event will open on Tuesday 8 September with a plenary session focusing on the basic challenge of meeting energy demand while balancing concerns over climate change, security of supply and consumer affordability. Professor Brian Cox is confirmed as a speaker. Arguably the UK’s best known physicist, his books and TV programmes are read and watched around the world and are credited with making science engaging and accessible to millions. Other confirmed speakers include: Keisuki Sadamori, Director, Energy Markets and Security, International Energy Agency; Simon Bittleston, Vice President, Research, Schlumberger; Matt Corbin, Managing Director, Aker Solutions; and Liz Rogers, Vice President Environment, Social Responsibility and HSSE Compliance, BP. The keynote programme, chaired by Michael Engell-Jensen, Executive Director of the International Association of Oil & Gas www.ogsmag.com 8

Producers (IOGP), will offer 11 sessions dealing with important elements of the framework within which the industry is likely to have to operate in the coming years. Topics to be addressed include: health; the safety and security of people and assets; well intervention; financing investments; oil spill response; and inspiring the next generation to join the industry. The technical programme, chaired by Charles Woodburn, Chief Executive Officer, Expro, will present more than 75 papers, demonstrating that the industry’s engineering, manufacturing and technology excellence is set to assure a long-term sustainable future. Speakers drawn from all over the world will discuss topics such as asset and well integrity, maximising economic recovery, smarter field development, pipelines and risers, subsea processing, talent development, unconventional gas development, process safety, and decommissioning. Meanwhile on the exhibition floor, around 1500 global organisations will showcase their technologies, services and expertise. At least 300 companies, large and small, will be exhibiting for the first time at the show. Exhibitors will represent the complete supply chain of companies including operators, drilling contractors and oilfield service companies, consolidating Aberdeen’s established reputation as a supplier of services and products to projects worldwide.

Offshore Europe 2015

Reflective of the global nature of the industry as a whole there will be a large overseas exhibitor presence with representation from 44 countries and 33 international pavilions. And the majority of registered UK visitors to date have overseas remits too – 35% of them are involved in projects in Africa, 30% in the Middle East and 25% in Asia Pacific. Planning is also well advanced for the Deepwater Zone, where a dedicated theatre will host industry experts presenting topical case studies and participating in panel discussions. With content programmed by Subsea UK, the Society for Underwater Technology and ITF, these sessions will address deepwater developments; the future of inspection, repair and maintenance; new technologies for efficiency and effectiveness; subsea challenges for enabling deepwater production; and ultra deepwater challenges. In the event’s largest Deepwater Zone to date, some 30 companies from this rapidly evolving sector will display their latest products and services. Entrepreneurial visitors will have the chance to meet potential investors on Wednesday 9 September. After a morning of investment workshops presented from the operator, venture capitalist and entrepreneur perspectives, a limited number of companies will be invited to one-to-one meetings to discuss investment projects with some grant, early seed and direct industry funding providers. The exciting breakfast briefings and topical lunches are booking up fast. Confirmed breakfast briefing speakers include Steve Varley, UK Chairman and Managing Partner, EY; Lars Christian Bachar, Executive Vice President, Development & Production

International, Statoil; and international oil and energy consultant, Manouchehr Takin. BP’s Bernard Looney, Chief Operating Officer, Production, is the confirmed lunch speaker on Tuesday 8 September, and Andy Samuel, Chief Executive, Oil & Gas Authority, will speak at the lunch on Wednesday 9 September. On Thursday 10 September, the lunch session will be given over to a small operators’ panel chaired by Neil McCulloch, President, North Sea, EnQuest. With its emphasis on recognising the long-term need for a secure talent pipeline, SPE Offshore Europe 2015 will be running ‘Inspire’, its largest ever programme of activities for a younger audience, allowing students to engage with the industry face-toface.

Visit www.offshore-europe.co.uk for further information and to register for this free-toattend global event.

www.ogsmag.com

Picture: Gudrun platform (Harald Pettersen-Statoil ASA)

www.ogsmag.com

Monthly news & features www.ogsmag.com

News and features

Trelleborg unveils new oil and gas sealing resource

Frames supplies huge electrostatic coalescers to Saudi Arabia

relleborg Sealing Solutions is launching a new online resource for engineers at an international conference next month as part of its commitment to the oil and gas industry. The website ‘oilandgas-seals.com’ provides a comprehensive overview of seal profiles proven in the oil and gas industry, enabling engineers to identify optimum sealing solutions for specific applications within the field. It provides information on material compatibility covering issues such as sour gas and rapid gas decompression, spanning different applications, including drilling and exploration, completion and production systems. The resource will be officially launched at SPE Offshore Europe, which takes place at Aberdeen’s AECC, from September 8 to 11, with members of the Trelleborg Sealing Solutions team giving demonstrations at stand 1H81. The website is fully compatible across all platforms including tablets and smartphones. David Brown, global lead group director oil and gas for Trelleborg Sealing Solutions, said: “We have built up a significant amount of knowledge and information in relation to materials and sealing expertise and the new website is a way of sharing it and is part of our commitment to the industry.” The new website complements the company’s online Knowledge Center, which was launched in January to bridge the gap between design engineers’ needs and standard technology documentation, bringing useful information together as part of one digital portal. To visit the new site, go to www. oilandgas-seals.com.

rames, a Dutch supplier of oil and gas solutions, has completed the fabrication of two enormous electrostatic coalescers for the Shaybah Oil Field gas/oil separation plant in Saudi Arabia. Frames was awarded the contract for design and supply of the vessels by Samsung Engineering, the Korean EPC contractor, in 2014. Located in the northern edge of the Rub’ Al-Khali desert, the Shaybah Oil Field is Saudi Aramco’s most remote oil field, currently producing about 750,000 barrels per day. The electrostatic coalescers (also known as dehydrators / desalters) will be used to dehydrate and desalt an additional 250,000 barrels of oil per day at the Shaybah Field and are therefore huge in size; 49 meters long and 4.3 meters in diameter. Frames’ electrostatic coalescers use an electrostatic field to remove water and salts from crude oil. The internals are fabricated in-house in The Netherlands, while the

fabrication of the vessels themselves was subcontracted to Frames’ local strategic partner MIS Arabia, a renowned fabricator in The Kingdom of Saudi Arabia. From there the vessels are transported to the Shaybah Oil Field, a journey of more than 800 km through the desert. Geert Willemse, sales manager at Frames Separation Technologies, says the delivery of the electrostatic coalescers is a new milestone in Frames’ relationship with Saudi Aramco. “Our first supply to Saudi Aramco started in 1993 with two separator skids for the Berri Platform. Later, many large multiphase separators followed for the Shaybah, Khurais, Safaniyah and Hawiyah fields as well as produced water treatment applications for the Shaybah, Khurais and Manifa fields. Since electrostatic coalescers are the last and crucial step in the crude separation train, the recent supply of also these items confirms the confidence of Saudi Aramco in our capabilities as a world-class solution provider.”

Tendeka expands in China with exclusive AICD agreement

endeka, a provider of completions systems and services to the upstream oil and gas industry, has signed a two-year agreement with Eternal Asia Supply Chain Management for the exclusive supply of its market-leading FloSure autonomous inflow control devices (AICDs) in China. The strategic partnership with China’s first listed supply chain service enterprise,

is a significant development in Tendeka’s growth within the country. Eternal Asia has a sound knowledge of the Chinese market, and the company’s global footprint will provide Tendeka with potentially greater business opportunities in the country’s oil and gas sector. Tendeka’s AICDs have a proven record in reducing unwanted gas or water

production, enabling increased oil recovery rates and a better sweep of the reservoir. “The combination of Tendeka’s technology and product knowledge with Eternal Asia’s local expertise and innovative supply chain systems will provide clients with an AICD system that will significantly increase the yield from Chinese oil fields,” said Alan Pearson, Tendeka’s chief financial officer. www.ogsmag.com

COVER STORY:

ISSUE 65 www.ogsmag.com

BE LIKE BP, SHELL, HALLIBURTON, DOW, HESS, TULLOW OIL, BHP BILLITON, SUBSEA 7, STATOIL, AND MANY MORE. BE ON THE FRONT COVER AND HAVE THE LEAD STORY IN A MAGAZINE WITH NEARLY 90,000 READERS. PROMOTE YOUR COMPANY VALUES TO THE GLOBAL OIL, GAS AND SHIPPING INDUSTRIES.

Halliburton “Solving challenges”

T U L LO W O I L Offshore Technology Conference Edition

H A L L I B U RTO N

Issue 65 “Solving challenges”

Issue 71 “Africa’s leading independent oil company”

D O W I N N OVAT I O N S U P P O RT I N G E X H I B I T I O N S AND CONFERENCES G LO B A L LY Oil, Gas and Shipping is the supporter and media partner of many exhibitions and conferences worldwide. These include ADIPEC, ONS, Offshore Europe, OSEA, SMM Hamburg, CIPPE, GASTECH, World Gas Conference, LNG, Tank World and many more. Our magazines are also distributed at many other events.

Issue 70 “Fueling sustainability & productivity”

ISSUE 73 www.ogsmag.com

O U R R AT E S F O R P RO M OT I N G YO U R C O M PA N Y TO OV E R 1 0 5 , 0 0 0 READERS WORLDWIDE EVERY MONTH Front page (dedicated to your company) + 12/16 page lead main editorial £7995.00 (usual rate £19,995.00)

B P G RO U P

Double page advertisement £6000.00 Full page advertisement £4895.00 Half page advertisement £2450.00 Quarter page advertisement £1450.00 (all prices are in £ GBP and if you require conversion please contact us)

Issue 73 “A British success story”

ISSUE 67 www.ogsmag.com

A British Success Story

A PARTNER IN PIONEERING SUBSEA TECHNOLOGY Subsea 7 builds on its track record in the harshest offshore environments

SUBSEA 7

Issue 67 “A partner in pioneering subsea technology”

ISSUE 63 www.ogsmag.com

MAERSK

Cover Story:

S H E L L G RO U P

Issue 64 “Pioneering for the future”

Shell Group

B H P B I L L I TO N

Issue 72 “A leading global resources company”

Issue 67 “Navigating complexity, unlocking potential” OT H E R C O M PA N I E S F E AT U R I N G A S T H E C OV E R A N D L E A D A RT I C L E I N C L U D E : KANON Hess Corp Teekay Shipping Statoil Flexitallic Dylan Group Linde Ag Tyco and many more... Go to www.ogsmag.com to view our latest and previous issues

For more information please contact us at info@ogsmag.com or telephone +44(0) 203 5751249. You can also visit our website for further details and media information at www.ogsmag.com

Asset tracking and fleet management Land, Sea, Air

Intelligent solutions to help your run a safer, more efficient operation GLOBAL VESSEL TRACKING

AIS DATA

FLEET MANAGEMENT & SECURITY

We obtain GPS information using Inmarsat C terminals, next generation Skywave hardware or AIS data and display it on our web-based mapping portal.

Premium satellite and terrestrial AIS data sent to you as a configurable data feed or displayed on our mapping portal

Details of all your assets recorded in a convenient online database. Operational tools including geofencing, alerts and SSAS monitoring

News and features

Major financing for Mexico’s new natural gas pipeline

ompleting another major energy infrastructure deal in Latin America, the law firm Milbank, Tweed, Hadley & McCloy LLP has represented a group of financial institutions in providing financing for the $820 million build-out of a new natural gas pipeline in Mexico.  The La Laguna Pipeline project, stretching for 289 miles between El Encino in the state of Chihuahua and La Laguna in Durango, will connect a pair of power plants owned by Comisión Federal de Electricidad (CFE), Mexico’s stateowned electric company. The project is especially noteworthy because it will carry natural gas originating from Texas and supply power plants in northern Mexico with an alternative energy source to fuel oil.    Financing will go towards design, construction and operation of the La Laguna Pipeline, which is being developed by Fermaca Pipeline El Encino Holdings, a subsidiary of Mexico’s leading energy infrastructure company Fermaca Global LP. The pipeline, which will have a transportation capacity of 1,500 MMscfd, is expected to be operational in the first half of 2017.    The La Laguna Pipeline project is the latest major US-Mexico pipeline financing handled by Milbank. In recent years, the firm represented lenders in funding the construction of the 120-mile Agua Dulce natural gas pipeline from Texas to Mexico, and also a 237-mile natural gas transmission pipeline with an interconnection point at the US/ Mexico border in the Mexican state of Chihuahua.    The joint lead arrangers represented by Milbank consisted of Citigroup, ING, NordLB, Banco Santander, Sabadell and Goldman Sachs.    “Mexico continues to make major strides in its energy infrastructure and the La Laguna Pipeline promises to help bring energy to the northern part of the country,” said Milbank partner Dan Bartfeld, who heads the firm’s Global Project Finance group.

ROCOL improves temperature range of grease for wire rope and umbilicals

ROCOL, a UK manufacturer of

maintenance lubricants, has launched Biogen Wireshield, an improved lubricant for wire rope and umbilicals. Independent testing has demonstrated consistently high lubrication performance within a temperature range of -50ºC to +180ºC, meaning that offshore operators can now depend on a single wire rope and ROV umbilical lubricant in all operating conditions. Biogen Wireshield eliminates the risk of grease going brittle at very low temperatures, and at the highest operating temperatures, such as those endured by the wire ropes in active heave compensation (AHC) systems, it eliminates the safety risks associated with inferior products melting and dripping onto decks. The product has already been certified under EU Ecolabel as an Environmentally Acceptable Lubricant (EAL) to comply with the requirements of the latest US VGP (Vessel General Permit), enabling the marine and offshore industries to meet stricter environmental safety requirements while benefiting from enhanced day-to-day operational performance.

Manufactured in the UK by ROCOL, Biogen Wireshield has already demonstrated superior corrosion resistance, with zero galvanic reaction after 1000 hours in salt spray testing. The product also offers shear stability in the presence of salt water, with little degradation in testing. It also provides maximum penetration to the cable’s core. The lubricant’s pseudoplastic rheology means that shear or agitation causes a reduction in dynamic viscosity, which allows maximum penetration into ROV umbilicals and wire ropes, as well as increasing pumpability during application to minimise blockages. “A ‘no compromise’ approach was taken to the development of Biogen Wireshield,” said Gareth Procter, ROCOL’s business development manager for marine and offshore industry, “and the key to its success is its formulation, which includes unique proprietary ingredients. “The most remarkable result is the extent to which the formulation has exceeded performance expectations, such as the operating temperature range and corrosion protection. It is quickly proving itself to be the total wire rope and umbilical solution.” www.ogsmag.com

safe t

org

n atio aniz

Non-Sparking Tool Kit

P/N: KIT SCBHTK

INVE

SECU

RITY

Kit SCBHTK

ility

Mob

NTOR Y

LICIT

SIMP

Recommended for use in hazardous environments where combustible vapors, liquids, dusts, or residue are present.

Applications include but are not limited to: • Maintenance and Repair Operations (MRO) • Collection, holding and transfer (CHT) • Hot work • Transportation (airports, railroads, tanker truck, shipping & shipyards) • Chemical, Petrochemical and Gas operations • General Dust Environments • Oil Platforms, onshore/offshore • Power Plants, Gas, Steam, Combined Cycle • Pipeline repair and installation

Connect with KipperTool: Please follow Kipper Tool Company on Facebook!

Features Foam & Tool Guides for Rapid Inventory and Foreign Object Debris (FOD) prevention. 800-295-9595 | SALES@kippertool.com | kippertool.com

News and features

ACE Winches reels in business in South East Asia

lfie Cheyne, CEO of Scottish winch and deck machinery specialist ACE Winches, joined a strong trade delegation accompanying the Prime Minister on the recent British Trade Export Mission to South East Asia. “Being part of this important UK trade delegation mission to Asia Pacific will allow ACE Winches to further build its presence in the region, enhancing client relations and showcase it’s technologically advanced products and services,” said Cheyne. “The mission will endorse the excellence of British research and development, and high quality engineering solutions.” A supplier of high quality manufactured products, ACE Winches has already earned £10m of business in the Far East. It was awarded a contract worth approximately £1m last week to supply equipment and manpower to serving operator ENI Indonesia for the Jangkrik Muara Bakau Block Project. The specific delivery is focused around ACE Winches’ Hire Equipment Business to support technically advanced well intervention and subsea well head

deployment activities. To facilitate the trade agreements ACE Winches recently appointed Indonesian company Abumas in Jakarta as its local representative. In May 2015 ACE Winches delivered a bespoke design and manufactured package of winching equipment, consisting of 150te Electrically Driven and PLC Controlled Stinger Winches, worth approximately £1.5m. The equipment will be used for deployment onboard McDermott’s Derrick Lay Vessel, the DLV2000, a combination heavy lift and pipelay vessel with deep water capability. This vessel is scheduled for delivery from Keppel Singmarine Pte, Singapore in 2016. With the expertise of ACE Winches’ research and engineering teams, the company was commissioned by Heerema Marine Contractors to supply three large chain mooring systems for operations onboard their deep water construction vessel Aegir to support the Ichthys LNG Project, 220 kilometres offshore Western Australia, for Japanese operator INPEX – one of the world’s largest chain and winch packages manufactured to date, with an export value exceeding £4 million.

Delivered in June 2015 the winches will deploy and tension 178mm chain. Continuing with a strong Asia Pacific link, in May 2015 ACE Winches provided Helix Energy Solutions Group with deck machinery equipment worth over £1m for its new build semi-submersible well intervention vessel Q7000. The reeler package was shipped to Jurong shipyard, Singapore, for installation. The vessel is designed for global deep water, well intervention operations. Commenting on the mission, Prime Minister David Cameron said: “Innovators like ACE Winches are leading the way in exporting manufacturing excellence to South East Asia and their delivery of various deals in the region worth £10 million is credit to the skills and expertise of their workers across Scotland. I’m delighted they are joining me on my trade mission across the region, paving the way for even more success.”

Send your news to martin@ogsmag.com www.ogsmag.com

Neptune Energy Park

Newcastle upon Tyne Neptune Energy Park Lifting The Standards •

760m Deep Water Quay Up To 8.5m Chart Datum

•

Marine Test And Fabrication Drydock

•

Warehousing - Over 500,000 Square Feet

•

Abnormal Load Transport Routes

•

Client Dedicated Project / Construction Areas

•

Quayside And Internal Storage

•

Heavy / Abnormal / Irregular lifting capabilities

•

On site Heavy lift Dockside Cranage with Maximum weight and radius of 800 Ton at 11 metres / 500 Ton at 24 metres and 300 Ton at 28 Metres radius, including Material and Product handling Services

Please contact us at any time regarding property development, project work or facility usage

Tel: +44 (0) 191 234 4038 Email: headoffice@shepherdoffshore.com Web: www.shepherdoffshore.com

Offshore Technology Park Newcastle upon Tyne

A unique offshore and marine cargo handling terminal with a world class reputation in service, cost effectiveness, efficiency and flexibility. • Deep water terminal • Heavy / Abnormal / Regular lift specialists • Dockside cranage SWL 325T (at 24.25 metres radius) • Heavy load out access routes & quay capability • Rigging fabrication & seafastening services • Storage solutions • Warehousing • Freight forwarding services • Project specific support To see how you could benefit from our unique service’s please call us on:- + 44 (0) 191 262 9614 Tel: Email: Web:

+44 (0) 191 262 9614 headoffice@shepherdoffshore.com www.shepherdoffshore.com

News and features

UK to reduce subsidies for renewable energy

the UK, the Department for Energy and Climate Change has announced proposals to reduce renewable power subsidies to keep household energy bills under control. Energy and Climate Change Secretary Amber Rudd said: “My priorities are clear. We need to keep bills as low as possible for hardworking families and businesses while reducing our emissions in the most cost-effective way. “Our support has driven down the cost of renewable energy significantly. As costs continue to fall it becomes easier for parts of the renewables industry to survive without subsidies. We’re taking action to protect consumers, whilst protecting existing investment.” Commenting on the announcement, Centre for Policy Studies Research Fellow Rupert Darwall, said: “The statement by the Energy and Climate Change Secretary . . . that meeting carbon reduction targets

is ‘more important than renewables targets’ is the first big step back to energy policy sanity. As the Competition and Markets Authority pointed out in its report earlier this month, the renewables target is more of a constraint than carbon reduction targets. “The energy secretary has grasped the nettle that more renewables mean higher electricity bills. Spiralling electricity bills are not politically sustainable. However her announcement will increase the risk premium demanded by renewable investors. Already there is a dearth of investment in new capacity required to keep the lights on when the weather isn’t producing enough electricity to meet Britain’s needs. In reality, there are two choices – use the government’s balance sheet to remove the political risk premium charged by the private sector or return the electricity sector to the market.”

The solar industry said subsidies were one of the cheapest ways that the government could meet its climate change targets. Under the government’s plans, so called “small scale” solar farms will no longer qualify for support under a key subsidy mechanism - the renewables obligation - from April next year. Subsidies for large scale solar farms were cut in January. The Energy Secretary told the BBC’s Today programme: “We can’t have a situation where industry has a blank cheque, and that cheque is paid for by people’s bills. We can’t have a system, which we’ve had up to now, where there is basically unlimited [subsidy] headroom for new renewables, including solar.” The government plans also include reducing subsidies for power stations which convert to biomass, and proposals to review feed-in-tariff schemes. www.ogsmag.com

World Mining Magazine

March 2015 Issue 4

Involved in the mining industry? World Mining Magazine has over 93,000 readers across the globe. Take a look at www.ogsmag.com

Wo rld M

inin g Ma ga

zin

201

5 Is

sue 6

W or ld

ini M ag

ine

W mi ome A ning n in im busi : n p ess e Ge r a n ag de t ive e r n mi da is o ni n i

SU E

A global leader in mining, metals & minerals

Val e:

Tra n nat sform u into ral res ing and prosp ources e dev sustai rity elop nab men le t

Rio Tinto

ng n t th ind he e us try

www.ogsmag.com

Can you imagine

innovative teChnologies without

german

know-how?

we canâ&#x20AC;&#x2122;t! Find out more on

our website

The plan for Iran 26

www.ogsmag.com

What does the future hold for Iranian oil and gas now that an international agreement has been reached on its nuclear programme? Martin Ashcroft investigates www.ogsmag.com

rance has a national holiday on 14 July to commemorate the storming of the infamous Bastille prison in Paris by revolutionaries in 1789. They call it La Fête Nationale, but in English it’s known as Bastille Day. Time will tell whether 14 July will become a national holiday for the people of Iran, but it was certainly a landmark day for the country this year with the signing in Vienna of The Joint Comprehensive Plan of Action. That’s not the most imaginative title for a milestone in international relations, but it could mark the beginning of the end of Iran’s isolation as a ‘sponsor of terrorism’.

The plan

The plan is a nuclear agreement between Iran, the P5+1 (the five permanent members of the United Nations Security Council— China, France, Russia, United Kingdom, United States—plus Germany), and the European Union, under which Iran agrees to eliminate its stockpile of medium-enriched uranium, cut its www.ogsmag.com 28

stockpile of low-enriched uranium by 98%, and reduce by about two-thirds the number of its centrifuges for at least fifteen years. For the next fifteen years, Iran has also agreed not to enrich uranium over 3.67% or build any new uranium-enriching or heavy-water facilities. It’s a heavy agreement. The plan has still to be ratified by the US Congress, and Iran must prove its compliance to the satisfaction of the International Atomic Energy Agency (IAEA) before any sanctions are lifted. Let’s not forget that it was Iran’s refusal to grant sufficient access to nuclear inspectors in 2006 that precipitated the latest round of sanctions in the first place. Almost ten years have passed since then, and the screw has been tightening. So Iran has three months to demonstrate to the International Atomic Energy Agency that it is meeting its commitments and the IAEA hopes to issue a final report by 15 December. If all that happens, Iran will regain access to international energy markets and the global financial system.

The plan for Iran The effects

With Iran’s economy heavily dependent on its oil and gas sector, these international sanctions have had a profound effect. Iranian light and heavy crude oils are the country’s two main crude oil export grades. The sanctions imposed by the United States and the European Union at the end of 2011 and during the summer of 2012, respectively, precipitated a reduction of more than a million barrels per day in Iranian crude oil exports as major customers in Asia, Europe and elsewhere sought supplies from other members of OPEC. According to the US Energy Information Administration (EIA), Iran exported 2.6 million b/d in 2011, most of which went to Asia, particularly China (550,000 b/d), India (320,000 b/d), Japan (315,000 b/d) and South Korea (250,000 b/d). Iran’s crude oil and condensate exports were down to an average of 1.4 million b/d in 2014. Iran’s oil and natural gas export revenue was $118 billion in the 2011/2012 fiscal year (ending March 20, 2012), according to the

“Iran is the only state close to Europe with enough natural gas to rival Russia’s dominance in most European gas markets” International Monetary Fund. In the 2012/2013 fiscal year, oil and natural gas export revenue dropped by 47% to $63 billion. The IMF estimates that Iran’s oil and natural gas export revenue fell again in the 2013/2014 fiscal year by 10% to $56 billion. Iran exports only a small volume of natural gas, because most of its production is domestically consumed, but international sanctions have also affected its natural gas sector. The sector has been expanding, but production growth has been slowed by the lack of foreign investment and technology.

The resources

The sanctions

Iran has been subject to US sanctions of one kind or another since the hostage crisis of 1979-81 when the American Embassy in Tehran was occupied by protesters after the Islamic Revolution. Sanctions have increased in breadth and depth since then and other countries have joined in to form an international consensus, specifically to steer Iran away from nuclear weapons. The United States has since imposed an arms ban and an almost total economic embargo on Iran, which includes sanctions on companies doing business with Iran, a ban on all Iranianorigin imports, sanctions on Iranian financial institutions, and an almost total ban on selling aircraft or spare parts to Iranian aviation companies. The European Union has imposed restrictions on cooperation with Iran in foreign trade, financial services, energy sectors and technologies, and banned the provision of insurance and reinsurance to Iran and Iranian-owned companies.

Despite the effects of sanctions, Iran ranks among the world’s top ten oil producers and top five natural gas producers. It has the world’s fourth-largest proved crude oil reserves (nearly 10 per cent of global oil reserves) and the second-largest (18 per cent) global natural gas reserves. According to Oil & Gas Journal, as of January 2015, Iran’s estimated proved natural gas reserves were 1,201 trillion cubic feet (tcf ), second only to Russia. This represents 17% of the world’s proved natural gas reserves and more than one-third of OPEC’s reserves. Iran’s largest gas field is South Pars, a non-associated gas field located offshore in the middle of the Persian Gulf. South Pars is a portion of a larger gas structure that straddles the territorial water borders of Iran and Qatar, where it is called the North Field. South Pars reserves account for almost 40% of Iran’s proven natural gas reserves, and the field is also estimated to hold 17 million barrels of condensate in place. Iran experienced higher production growth than usual in 2014 as a result of new phases at the South Pars natural gas field coming online. Iran is the second-largest oil-consuming country in the www.ogsmag.com 29

Middle East, second to Saudi Arabia. Its domestic oil consumption is mainly diesel, gasoline, and fuel oil. Oil consumption averaged 1.8 million b/d in 2014, similar to the previous year. Almost all of Iran’s product consumption was met with domestically refined product. Historically, Iran has had limited domestic oil refining capacity, being largely dependent on imports to meet domestic demand, but it has responded to international sanctions by expanding its domestic refining capacity. As of December 2014, Iran’s total crude oil distillation capacity was slightly more than 2.0 million b/d, according to energy analysts FGE. Iran also extracts petroleum products at natural gas processing plants (naphtha and liquefied petroleum gas).

“We want to make sure that there is absolutely nobody that can accuse us of violating the sanctions. We have had enough trouble with regulators.” The future

If the US Congress approves the agreement and Iran complies with its terms, sanctions will eventually be lifted and Iran can begin trading normally with the Western world again. What is this likely to mean for Iran’s role in global markets? There are many permutations. Unable to sell to the West, Iran has been selling oil at discounted prices to China, India, Japan, South Korea, Turkey and Taiwan. The end of sanctions could mean the end of these discounts, removing Iran’s pricing edge with these customers and opening the door for Saudi Arabia and other Gulf producers to increase their share of Asian markets at Iran’s expense. The other side of this coin is that these countries have been buying Iran’s oil under waivers from US financial sanctions, in return for agreeing to import only limited amounts of Iranian oil. Freedom from all sanctions would allow them to buy as much Iranian oil as they like, leaving their other suppliers in Africa, Russia and the North Sea among others, looking for new buyers. The lifting of sanctions would undoubtedly affect Iran’s relationship with OPEC for other reasons, too. Iranian president Rouhani recently criticized the Saudis for what he believes to be their intentional policy to suppress the price of oil by maintaining high levels of production – a move not popular with some other OPEC members, either, and not universally popular at home, where a budget deficit is causing concern. If Iran were released from its international shackles, it may shout a little louder than before. Opportunities will arise elsewhere, too. International energy specialist Brenda Shaffer suggests in her essay for The Washington Institute that Iran may target Europe as a market for its natural gas. “Since the Russia-Ukraine crisis erupted last year,” she says, “Tehran has tried to position itself as a reliable www.ogsmag.com 30

alternative to Russia as a gas supplier to Europe. Indeed, Iran is the only state close to Europe’s borders that possesses enough natural gas to rival Russia’s dominance in most European gas markets.” European officials have long acknowledged their desire to reduce their dependence on imports of Russian gas. Iran has the potential to become an important gas supplier to its own region, too, and has established agreements with some of its neighbours to export natural gas via planned regional pipelines. One market that will not be open to Iran for the foreseeable future, of course, is the United States, whose embargo on imports of Iranian oil will remain in place for the time being. Nevertheless, the Iranian government is naturally upbeat about its energy sector bouncing back, with oil minister Bijan Zanganeh claiming recently that if sanctions were lifted, “Iran will double its oil exports within two months.” You can’t blame them for being optimistic, and his prediction might not be as far-fetched as it sounds. Many observers believe that Iran will need up to 12 months to boost its production back up to pre-sanction levels, even if it can attract the investment to do so, with global over-supply largely responsible for the price of oil still hovering around the $50 a barrel mark. With sanctions not due to be lifted until next year, however, Iran

The plan for Iran

has some lead time to get ready. With millions of barrels of crude oil and condensate in offshore storage tankers, (BNP Paribas estimates 30 million barrels but Platts puts it at ‘roughly 40 million barrels’), it might well be able to double its exports quickly for a limited period, until its production facilities can catch up.

The issues

International oil companies are keeping a close eye on Iran now, of course, and Iran held initial talks with companies including BP, Shell, Total and Eni on potential projects earlier this year, but they are all obliged to play a waiting game while the sanctions issues play themselves out. The state-owned National Iranian Oil Company (NIOC) is responsible for all upstream oil and natural gas projects. The Iranian constitution currently prohibits foreign or private ownership of natural resources, but international oil companies (IOCs) can participate in the exploration and development phases through buyback contracts. Iran is now planning to change its oil contract model to allow IOCs to participate in all phases of an upstream project, including production. Iran’s deputy oil minister Amir Hossein Zamaninia said the country’s Integrated Petroleum Contract – under which new projects will be awarded – “will address some of the deficiencies of the old buyback contract.”

Another major issue is that nobody wants to risk investing in facilities only to have them confiscated under ‘snap back’ measures which would re-invoke sanctions in the event of a breach of the agreement. The wording of the original agreement has caused some confusion, which has yet to be resolved. The agreement says that snap-back sanctions “would not apply with retroactive effect to contracts signed between any party and Iran or Iranian individuals and entities.” According to analysts and people familiar with the Obama administration’s plans on enforcement, however, any company that signs a contract with Iran after the nuclear deal is implemented would not be “grandfathered in” automatically and would have to wind down their operations if the US snaps back sanctions. To allow the contracts to continue would undermine the credibility of the snap-back clause, they argue. BP chief executive Bob Dudley said he was anxious to avoid ensnaring the company in legal trouble by moving too fast. “We’ve been really careful,” he said. “We want to make sure that there is absolutely nobody that can accuse us of violating the sanctions. We have had enough trouble with regulators.”

www.ogsmag.com

Picture: Asgard B (Oyvind Hagen-Statoil ASA)

www.ogsmag.com

Statoil: More to discover Statoil is an international energy company with operations in 37 countries. Building on more than 40 years of experience from oil and gas production on the Norwegian continental shelf, Statoil is committed to providing the worldâ&#x20AC;&#x2122;s energy needs in a responsible manner, applying technology and creating innovative business solutions.

www.ogsmag.com

tatoil is headquartered in Stavanger, Norway with approximately 22,000 employees worldwide, and is listed on the New York and Oslo stock exchanges. The company has operations in exploration and production, natural gas and new energy. This feature looks at Statoilâ&#x20AC;&#x2122;s major operations, which despite being located mainly in the Norwegian shelf, have a significant global reach. 34

www.ogsmag.com

Statoil

Picture: Heidrun (Harald Pettersen- Statoil ASA)

Ongoing operations: Heidrun

This field in the Norwegian Sea has been producing oil and gas since October 1995 from a floating tension leg platform with a concrete hull. Heidrun was discovered in 1985 by Conoco, which served as operator for the exploration and development phase. A total of 76 wells are planned on the main field, including 51 producers, 24 water injectors and one gas injector. The north flank of Heidrun was brought on stream in August 2000. Oil from the field is primarily shipped by shuttle tanker to Statoil’s Mongstad crude oil terminal near Bergen for onward transport to customers. Gas from Heidrun is piped to Tjeldbergodden in mid-Norway and provides the feedstock for the Statoil’s methanol plant there. Since 2001, the field has also been tied to Åsgard Transport. Heidrun gas is piped through this trunkline to Kårstø

north of Stavanger and on to Dornum in Germany – a total distance of roughly 1400 kilometres. Heidrun has become the first Statoil field able to handle all produced water without any environmentally harmful discharges. This follows investment of some NOK 600 million in a plant for injecting such water - and any oil or chemical residues it contains - back into the reservoir. The result is zero harmful discharges under normal operation and the injected water serves as pressure support to improve oil recovery. The injection facility is able to handle just over 110,000 barrels of produced water per day.

Gina Krog

Gina Krog is located about 30 kilometres northwest of the Sleipner gas field and the discovery will be developed to Sleipner. Gina Krog (previously Dagny), which was originally a minor gas discovery just north of Sleipner, is a field that has been considered for development on a number of occasions since it was discovered www.ogsmag.com 35

STAINLESS STEEL, DUPLEX, SUPERDUPLEX, 6MO & NICKEL ALLOYS STAINLESS STEEL, DUPLEX, SUPERDUPLEX, 6MO & NICKEL ALLOYS

Hot formed butt weld ﬁttings up to 56”

FULL RANGE BUTT WELD FULL RANGEOF OF BUTT WELDFITTINGS FITTINGS FROM WITH FROM PRODUCTION WITH NORSOK M-650 Ed. 44 approval NORSOK M-650 Ed. approval

Cold formed butt weld ﬁttings from ½” to 16”

STAINLESS STEEL, DUPLEX, SUPERDUPLEX, 6MO & NICKEL ALLOYS

In 1988, Raccortubi S.p.A. established Tecninox S.r.l., manufacturer of butt weld fittings in stainless steel, duplex, superduplex, 6Mo and nickel alloys, with the intention of becoming a manufacturer as well as a stockist and supplier. It recognised that, by incorporating the Tecninox production, it could be of added value to its customers thanks to a new-found ability to supply the critical fittings element of a package quickly, on demand and to customer specifications. Over the course of the years, Raccortubi and Tecninox have worked together for the continuous improvement of productive processes via automation, use of advanced technology and evolution of quality assurance, meaning that today the achievement of added value for the client is stronger than ever before. Raccortubi Group can offer customers fittings to NORSOK M-650 Ed. 4 specifications, manufactured by its integrated production plants, from strategically placed distribution points around the world. Raccortubi’s subsidiaries in Dubai, Brazil and Singapore are conveniently located near shipbuilding ports to supply pipes, tubes, fittings and flanges in stainless steel and special alloys directly from stock. Raccortubi Group is making sure that it has fully-tested and certified piping materials in full compliance with the vast majority of end-user requirements at its disposal, from both production and stock, to fulfil customer needs to short timescales.

PETROL RACCORD EXTENDS QUALITY HOMOLOGATIONS WITH NORSOK M-650 Ed. 4 approval Under Raccortubi ownership, Petrol Raccord has renewed its commitment to the most up-to-date quality standards, adding NORSOK M-650 Ed. 4 certificates to its already-substantial collection. Using the hot forming method, Petrol Raccord manufactures butt weld fittings up to 56”, almost without wall thickness limitations, for the oil & gas, power generation and petrochemical industries. It has its own internal laboratory and, thanks to its experience and expertise, holds an impressive number of end-user approvals, as well as ASME certification for the nuclear industry. Both Raccortubi Group’s integrated manufacturing plants, Petrol Raccord and Tecninox, are implementing NORSOK M-650 Ed. 4 standards, which have been cemented in place as part of their day-to-day procedures. Not only are such norms practised without fail, but the resulting top-notch processes and quality controls are constantly under analysis for improvement and further development. By ensuring manufacturing to such specifications at its production facilities, Raccortubi Group is guaranteeing the supply of the highest-quality fittings in stainless steel, duplex, superduplex, 6Mo and nickel alloys in the provision of complete project packages.

raccortubigroup.com

in 1974. When oil and gas were proven in the neighbouring structure Gina Krog Øst (previously Dagny) in 2007, the Gina Krog landscape was reviewed again. Further delineation during the period 2008 to 2011 determined a contact between Gina Krog and Gina Krog Øst and confirmed substantial volumes of oil under the entire structure. The development of Gina Krog, which will be among Statoil’s major new developments with an estimated 225 million barrels of oil and gas, illustrates the importance of exploring and developing in mature areas with established infrastructure. In June this year the Gina Krog jacket was installed in the North Sea and the top floors of the living quarters were lifted into position at Stord – two major operations carried out as planned and without any incidents. A balance of timing, strength and delicacy is required to achieve an operation like this. On Friday 19 June the barge carrying the Gina Krog jacket left the Hereema Fabrications yard in Vlissingen, manoeuvred www.ogsmag.com 38

“The development of Gina Krog illustrates the importance of exploring and developing in mature areas with established infrastructure” by four tugboats into practically open waters. The Fairmount Expedition tug took over and steered to sea with the barge in tow. The Hermod heavy-lift vessel headed for the same location in the North Sea, where it would install the jacket on the seabed.

Statoil

Picture: Heidrun (Øyvind Hagen- Statoil ASA)

The following day the Boa Odin tug left the Aluship yard in Gdansk, Poland, towing a barge carrying the top floors of the Gina Krog living quarters on course for Leirvik, Stord. There, the first section of the living quarters constructed at Stord was waiting for the top module from Poland. The Uglen heavy-lift vessel also arrived at the island’s main port, ready for the lifting operation. On Friday 26 June, almost precisely one week after the jacket left the shipyard in the Netherlands the barge was tilted by trimming the ballast. Weighing more than 17,000 tonnes including rigging and floatation tanks, the huge jacket slid slowly and under control into the sea, where it was left floating horizontally in the water. After personnel were transported to the jacket to rig up for the lifting operation, Hermod reached its lifting position and the huge jacket legs were safely installed on the seabed in their correct positions. “The operation was successful and went according to plan and without any incidents,” says Rune Danielsen, head of transport

and installation in the Gina Krog project. “This operation has been planned for 2.5 years, and we had to change to a different heavy-lift vessel in the process. It is wonderful to see the jacket installed on the seabed, where it will remain for several decades,” says Danielsen. Over the next few days the Hermod heavy-lift vessel drove the platform’s 18 piles, each measuring more than 90 metres, into the seabed, ready to install the 265-tonne predrilling module. The Uglen heavy lift vessel placed it safely on top of the Stord module. “The lifting operation went according to plan and without any incidents. The module from Poland was sprayed with seawater from the waves during the voyage and will be flushed with freshwater before we continue the completion and fitting of the living quarters,” says Bjørn Iversen, project leader for the Gina Krog living quarter. The next major milestone will be to jack up the whole module and install the lifeboat suspension system from Harding in Rosendal. www.ogsmag.com 39

“Thanks to systematic maintenance of Norne for 17 years the vessel is now in a good technical condition. In light of this we are now considering extending Norne’s life to 2030”

Picture: Norne (Anne-Mette Fjærli- Statoil ASA)

www.ogsmag.com

Statoil

www.ogsmag.com

Reliable Rental Power and Cooling... When You Need It Most The oil and gas industry is currently facing unique challenges. Ensuring a cost effective supply of power and reliable temperature control equipment doesn’t need to be one of them. Aggreko has over 50 years’ experience in working with oil and gas customers. We’ve over 200 worldwide service centres from where we provide turn-key rental solutions which keep production on-track, no matter what.

Aggreko, Power and Cooling Specialists in Oil & Gas Aggreko Norway Tevlingveien 15, 1081 Oslo , Norway T: +47 810 00 333 E: post@aggreko.no Aggreko operates from over 200 locations throughout the world. For the location nearest you, please go to: www.aggreko.com/contact

Fire-rated doors to offshore and onshore projects Full scale tested • • • • • • • •

Sliding doors Hinged doors A0, A60, H0, H60, H120 J30 Manual & Automatic Doors Pneumatic operated doors Blast doors Weather- Water& Gastight doors

Tel +47 75 59 16 00 office@rappbomek.com www.rappbomek.com

Project manager for the Gina Krog facility development, Vidar Martin Birkeland, has followed the project from South Korea, where the topsides are under construction. “It is thrilling to pass two major milestones at the same time, but that is how it is in the world of projects. It is great fun when everything goes well as it did here, proving that we have clever people who have planned the operations well,” says Birkeland. And there will be more milestones to reach this year. When the jacket is properly piled into the seabed and the predrilling module is installed, the Maersk Integrator drilling rig will arrive. It is a completely new drilling rig, delivered from Singapore earlier this year. “Having arrived at the field around the middle of July, the rig will prepare for drilling of the first production well at the Gina Krog field. This year is very exciting for Gina Krog, and the activity is so high that we are spending NOK 1 million per hour, day and night, during the whole year,” concludes Jan Einar Malmin, vice www.ogsmag.com 44

president of Gina Krog field development.

Norne

Production began from Norne in the Norwegian Sea on 6 November 1997. Located 85 kilometres from Heidrun, this area has a water depth of 380 metres. The field has been developed with a production and storage ship tied to subsea templates. Flexible risers carry the wellstream to the ship, which rotates around a cylindrical turret moored to the seabed. Risers and umbilicals are also connected to the turret. The ship has a processing plant on deck and storage tanks for stabilised oil. Gas has been exported from Norne since February 2001. It travels through the Norne Gas Export Pipeline and the Åsgard Transport trunkline, via Kårstø north of Stavanger, to continental Europe. The field is roughly 1,400 kilometres from the landfall at Dornum in Germany. Initially scheduled to be shut down during 2014, Statoil’s plan now is to extend the life of the Norne field to 2030.

Statoil

Is your offshore vessel or rig within 4G coverage today? Tampnet, the leading 4G operator in the North Sea, already covers: ⋅ 45 oil and gas platforms in Norwegian sector ⋅ 22 Statoil platforms in the North Sea ⋅ 64 oil and gas platforms in the UK sector ⋅ 4 oil and gas platforms in the Danish sector

Transit

We are not finished; during the next 12 months we will double our coverage area in the North Sea. Our next big project will enable full 4G coverage in the Gulf of Mexico. Contact sales@tampnet.com for an updated coverage map. Find out more at tampnet.com

Fibre Optic

Wireless

Picture: Norne by night (Harald Pettersen- Statoil ASA)

“Thanks to systematic maintenance of Norne for 17 years the vessel is now in a good technical condition. We have also aimed to facilitate improved recovery and phase-in of new discoveries to the Norne vessel. In light of this we are now considering extending Norne’s life to 2030,” says Norne operations vice president Kristin Westvik. So far Norne and its satellites have produced some 700 million barrels of oil equivalent, and have added considerable values for Statoil, partners Eni, Petoro, Dong, and for northern Norway. The recovery factor for the main Norne field today is 56.5% – a top result worldwide for production from subsea fields. Today, production flows from fifteen subsea templates thanks to several successful exploration campaigns controlled from Statoil’s exploration community in Harstad. In the Norne licence alone 26 exploration wells have been drilled, five of them successfully; the Norne, Stær, Svale, Dompap and Fossekall fields. The last subsea template to be installed was the Skuld fast-track project in 2013,

which represented a total investment of almost NOK 10 billion. In addition the Alve field and the Eni-operated Marulk field have been tied in to the Norne FPSO. “We now aim to increase the recovery factor to 60%. The remaining resources in the Norne area may total as much as 300 million barrels of oil equivalent—the equivalent of an Aasta Hansteen field,” Westvik says. The focus now is on progressing the good maintenance work to keep up the good technical condition of the FPSO hull. Statoil will establish a project in 2017 detailing the scope and time of investments, and will also apply for an extended technical life for Norne by 2021.

Peregrino

After just four years in production, the Peregrino field in the Campos basin offshore Brazil has passed a significant milestone, with 100 million barrels of oil produced since April 2011. The field, jointly owned by Statoil and Chinese Sinochem, achieved www.ogsmag.com 45

“Peregrino demonstrates the power of the possible, and we are proud to operate a project that is both exciting and challenging. These results reflect the professionalism of our people, and the application of technology developed by Statoil, in Brazil and elsewhere.”

Picture: Peregrino A platform (Øyvind Hagen- Statoil ASA)

www.ogsmag.com

Statoil

www.ogsmag.com

the milestone on 2 August this year. “We are pleased to have reached a major milestone in our Peregrino operations,” says Pål Eitrheim, country manager of Statoil Brazil. “Peregrino demonstrates the power of the possible, and we are proud to operate a project that is both exciting and challenging. These results reflect the professionalism of our people, and the application of technology developed by Statoil, in Brazil and elsewhere. We are constantly learning and we look forward to reaching new milestones as we continue to develop this large field,” he says. According to a report published by the Brazilian National Agency of Petroleum, Natural Gas and Biofuels (ANP) in March 2015, Peregrino is Brazil’s eighth largest field, and has the second heaviest oil ever produced in Brazil. It is also the largest field operated by Statoil outside Norway and accounts for about 12% of its international production (around 720 thousand barrels per day). The recoverable reserves are estimated between 300-600 www.ogsmag.com 48

“According to a report published by the Brazilian National Agency of Petroleum, Natural Gas and Biofuels (ANP) in March 2015, Peregrino is Brazil’s eighth largest field, and has the second heaviest oil ever produced in Brazil” million barrels. The operation includes two fixed drilling platforms (WHP A and WHP B), and a floating production and storage unit (FPSO

Statoil

Statoil quick facts: Statoil is headquartered in Stavanger, Norway with approximately 22,000 employees worldwide The Gina Krog jacket weighs over 17,000 tonnes Production began from Norne in the Norwegian Sea on 6 November 1997 The recovery factor for the main Norne field today is 56.5% – a top result worldwide for production from subsea fields The Peregrino field in the Campos basin offshore Brazil has produced 100 million barrels of oil since April 2011 Planning of Johan Sverdrup commenced in March 2012 and will be built and installed between 2015 and 2019 The first-phase development of the Johan Sverdrup field will create around 51,000 man-years of work The Mariner Field is located on the East Shetland Platform of the UK North Sea, approximately 150 kilometres east of the Shetland Isles The development of the Mariner field will contribute more than 250 million barrels of reserves, with average plateau production of around 55,000 barrels per day The Aasta Hansteen gas development in the northern Norwegian Sea is on schedule for production start-up in third quarter 2017

Picture: Johan Svedrup Field Centre (Statoil- Statoil ASA)

Peregrino), with a production capacity of 100,000 barrels per day. With an excellent track record, Peregrino achieved all its production, efficiency, cost and safety targets in 2014. In January this year, the development plan of Peregrino Phase II was submitted to ANP. With total estimated investments of US$3.5 billion, the project involves a new drilling platform (WHP C) and will add about 250 million barrels in recoverable reserves to the Peregrino field. Phase II of the project will enable the extension of the economic life of Peregrino and is an important and strategic part of Statoil’s ambition to consolidate a strong position in Brazil.

Milestones and future opportunities: Johan Svedrup

The gigantic Johan Sverdrup field, one of Norway’s biggest and

Polarled is a new 480-kilometre gas pipeline running from Aasta Hansteen to Nyhamna, Norway

most profitable industrial projects, will provide enormous value. The field could produce revenues amounting to NOK 1350 billion and its construction and operation will provide new knowledge, new solutions and new opportunities. Johan Sverdrup is situated in mature acreage that has been thoroughly studied, and where the most central environmental aspects are that the development receives its power from land; that produced water will be purified and re-injected into the reservoir; and that cuttings drilled with oil-based liquid will either be brought ashore, or purified and discharged offshore. Planning of Johan Sverdrup commenced in March 2012 and will be built and installed between 2015 and 2019. It’s a tight plan, but feasible. Work in phase 1 is based on standard technology, though development will be demanding due to the size of the project, 200 square kilometres. Statoil’s previous experience of complex, major projects will prove valuable here. In many ways the project represents the sum of 40 years’ www.ogsmag.com 49

â&#x20AC;&#x153;Johan Sverdrup represents all we stand for as an industry and our faith in the future. This will be a gigantic project that will secure energy supply and jobs and result in substantial spinoffs and value for Norwegian society, the industry and the partnership behind the development.â&#x20AC;? Picture: Johan Sverdrup Field (Statoil- Statoil ASA)

www.ogsmag.com

Statoil

www.ogsmag.com

Picture: Mariner with reservoir (Statoil- Statoil ASA)

development and activities on the Norwegian continental shelf (NCS). All the experience, technology and expertise gained during this period will benefit this project. “Johan Sverdrup represents all we stand for as an industry and our faith in the future,” says Arne Sigve Nylund, Statoil’s executive vice president for development and production. “This will be a gigantic project that will secure energy supply and jobs and result in substantial spin-offs and value for Norwegian society, the industry and the partnership behind the development.” The first-phase development of the Johan Sverdrup field will create around 51,000 man-years of work nationally, of which as many as 22,000 are expected to be performed by suppliers in Norway and another 12,000 by their subcontractors. Calculations show that 2,700 man-years of work will be created in an average year in the production phase, with 3,400 man-years expected to be created at peak development. Based on estimates from Agenda Kaupang it is possible for the Norwegian supplier industry to be awarded more than 50% of the assignments in 52

www.ogsmag.com

the construction phase and around 90% in the operating phase. “It is very important for the Johan Sverdrup development that the Norwegian supplier industry positions itself well for the opportunities lying ahead,” says Nylund. Total investments for the first development phase are NOK 100-120 billion, while production will be in the range of 315,000380,000 barrels per day. Johan Sverdrup will be a long-term project that several generations will bring to maturity and operate. The 200 sq km field will be developed in stages. The partners are currently working on various development scenarios for the various phases in order to ensure that the first construction phase forms the basis for an overall, integrated development. “We are planning for a stepwise field development with various installations tied back to a joint field centre. This will ensure continuity and comprehensive resource utilisation and also generate the greatest possible added value for our owners,” adds Nylund. Depending on the future choice of capacities and technical solutions, an early estimate for full development

Statoil the heaviest on the market. To enhance production performance and also assist the separation and refining processes a diluent will be mixed with the oil down hole, just above the reservoir. The crude will be marketed internationally, with a primary focus on Europe. Sharply declining local heavy oil production means that the Mariner blend is seen as potentially attractive to the European refineries when it enters the market. The development of the Mariner field will contribute more than 250 million barrels of reserves, with average plateau production of around 55,000 barrels per day. The field will provide a longterm cash flow over a 30 year field life. Production is expected to commence in 2017. The concept chosen includes a production, drilling and quarters (PDQ) platform based on a steel jacket, with a floating storage unit (FSU). Drilling will be carried out from the PDQ drilling rig, with a jack-up rig assisting for the first four to five years. More than 130 reservoir targets are planned, for production or injection. While the number of well slots at the platforms is less, this will be solved through use of multi-branch technology, side tracks and reuse of slots. Heavy oil projects such as Mariner have required the development of pioneering technology. Since its discovery in 1981, the Mariner field has been subject to a number of development studies by different operators. Statoil is the first company to put forward a development concept that will fully address the complexities of this field, in particular related to reservoir management, recovery rates and project execution.

Aasta Hansteen

indicates NOK 170-220 billion with daily production put at 550,000-650,000 barrels per day.

Mariner

The Mariner Field is located on the East Shetland Platform of the UK North Sea, approximately 150 kilometres east of the Shetland Isles. The field consists of two shallow reservoir sections – the deeper, Maureen Formation at 1492 meters and the shallower Heimdal reservoir at 1227 meters. In December 2012, Statoil made the investment decision for the Mariner project, which entails a gross investment of more than $7 billion. Statoil acquired 44.44% and operatorship for Mariner from Chevron in 2007 and a further 20.6667% of Mariner from Nautical Petroleum in 2010. JX Nippon Exploration and Production (UK) Ltd (28.89%) and Dyas Mariner Ltd (6%) are partners in Mariner. Strategically the Mariner project fits well within Statoil’s heavy oil growth theme. The oil produced from Mariner will be among

The Aasta Hansteen gas development in the northern Norwegian Sea is on schedule for production start-up in third quarter 2017. The project is being developed in several parts of the world, including South Korea where the hull and topside are being constructed by Hyundai Heavy Industries in a consortium with Technip. The first offshore work has begun on the seabed with the laying of a fibre optic cable and installation of rocks for the Polarled pipeline. The Aasta Hansteen field will be run from Harstad, Statoil’s new Operations North organisation. The supply base will be located in Sandnessjøen and the helicopter base in Brønnøysund. The planned field development includes a SPAR platform, which will be the first such installation on the Norwegian continental shelf. The SPAR is a floating installation consisting of a vertical column moored to the seabed. The installation features conventional topsides with processing facilities. The risers transporting the gas from the seabed to the platform and further to Polarled will be pure steel, which will be first of its kind on the Norwegian continental shelf. The hull will be fitted with storage for condensate, which will be loaded to shuttle tankers at the field. “We are building the largest SPAR platform in the world, and we are setting a new depth record of 1,300 metres for a field development and pipeline on the Norwegian continental shelf,” said Torolf Christensen, Statoil’s head of Aasta Hansteen. Polarled is a new 480-kilometre gas pipeline running from Aasta Hansteen to Nyhamna, Norway. The pipeline facilitates the development of Aasta Hansteen and other fields in the Norwegian Sea. The project includes expansion of the Shell-operated gas plant at Nyhamna. A separate pipeline between Polarled and the Kristin platform will connect new infrastructure to existing infrastructure on Haltenbanken. In addition, preparations will be made for the tie-in of existing and future discoveries in the area.

Julius

In July this year Statoil and its partner Total E&P Norge announced a gas and condensate discovery in the Julius prospect, www.ogsmag.com 53

â&#x20AC;&#x153;We are building the largest SPAR platform in the world, and we are setting a new depth record of 1,300 metres for a field development and pipeline on the Norwegian continental shelf â&#x20AC;?

Picture: Aasta Hansteen (Statoil- Statoil ASA)

www.ogsmag.com

Statoil

www.ogsmag.com

Specialists in heat transfer products for the offshore and onshore oil and gas industry

Flex coil supplies coils in all sizes and virtually all material combinations in accordance with the needs, wishes and requirements of the customers. Flex coil experts are always available to provide advice and guidance on topics such as relevant materials, sound specifications, assembly, operating and maintenance instructions for our products.

See our article on page 58

CONTACT US AT: KnĂ¸sgĂĽrdvej 115 - 9440 Aabybro, Denmark TEL +45 9824 4999 EMAIL flexcoil@flexcoil.dk WEBSITE www.flexcoil.dk

Statoil

Picture: Statoil’s head office (Harald Pettersen- Statoil ASA)

in the King Lear area in the North Sea. Statoil estimates the volumes in Julius to be between 15 and 75 million barrels of recoverable oil equivalent. The well also appraised the King Lear gas and condensate discovery made by the PL146/PL333 partnership in 2012 and provided important information on reservoir distribution and reservoir communication in the King Lear discovery. It is expected that the King Lear volumes will stay within the previously calculated range of 70-200 million barrels of recoverable oil equivalent. “The King Lear and Julius discoveries are located in one of the most mature parts of the Norwegian continental shelf - just 20 kilometres north of Ekofisk, the first commercial NCS discovery made 45 years ago. The discoveries confirm Statoil’s view that even such mature areas of the NCS still have an interesting exploration potential,” says May-Liss Hauknes, Statoil vice president for exploration in the North Sea. The way in which Statoil works is as important as the goals it

achieves. Key to the successful development and execution of its massive projects are Statoil’s supplier and partner relationships. The company also applies a precautionary approach and a combination of corporate requirements and risk-based local solutions to manage its environmental performance. The company strives to meet high standards in emissions to air, waste management and impact on ecosystems – wherever it works. This includes integrating environmental and social risk management into its planning and decision-making processes, at all levels in the organisation. Oil and gas will undoubtedly be an important part of the world’s energy mix for decades to come and Statoil works hard to develop resources responsibly. The company aims to be recognised as the most carbon-efficient oil and gas producer, committed to creating lasting value for communities. www.ogsmag.com

www.ogsmag.com

Flex Coil- Heat transfer solutions for the offshore oil and gas industry Flex Coil manufactures custom built heat transfer solutions for the offshore oil and gas industry as well as a variety of other industrial heat transfer applications. Flex Coil produces Titanium Coils for air handling units using sea water as a cooling medium, Air Blast Coolers for rigs and ships, as well as dry coolers , air cooled condensers and evaporators for heat rejection applications.

www.ogsmag.com

Flex Coil Titanium Coils

The heart of the custom air handler

The right material choice for the application Seawater is often used as the cooling medium in offshore air handling units. Since the water will circulate through the cooling coil, titanium is the material of choice. The graphic on the right shows why Titanium is most compatible with sea water cooling applications. This graphic can be downloaded from the Flex Coil web page for additional clarity. Flex Coil Titanium coils are selected, designed and manufactured to meet the demands for offshore installations. Often the Titanium coil can be the most expensive component in the custom air handler. The material selection, welding material and fabrication processes all require proper attenetion to obtain the quality results required to meet the duty for this environment. Flex Coil staff are trained and certifed to perform all aspects of Titanium welding, assembly and coil pressure testing.

www.ogsmag.com

Flexcoil

Selecting & rating Flex Coil’s custom designed CoilCalc selection program is used to size coils based upon the air handling manufacturer’s requirements. CoilCalc takes into consideration the coil size based upon the air handling manufacturer’s dimensions and applies the heat transfer parameters to select the appropriate coil to meet the duty. The data used in CoilCalc has been verified through extensive testing in Evapco’s state of the art research and development lab. Recent test results were reviewed by Statoil engineers confirming the data in CoilCalc aligns with the lab test results for selections made for the air handler requirements pertaining to the Johan Sverdrup platforms. Flex Coil unequivocally guarantees the thermal performance of all of their coil products and offers a lifetime warranty on all Titanium Coils.

Research & development Flex Coil makes full utilization of its parent Titanium Coils fitted in Custom Air Handlers

company Evapco’s state of the art research and development laboratory. The Evapco lab consists of five test chambers, including an ammonia test chamber, a low temperature test chamber, a steam center, a coil tunnel test and a component testing lab. Customer visits to the Flex Coil Factory and The Evapco Research and Development Lab are highly encouraged

www.ogsmag.com

Quality from start to finish Flex Coilâ&#x20AC;&#x2122;s attention to quality starts with material control. All materials are sourced from Flex Coil approved vendors. Material certificates are issued with all raw materials. Full positive material inspection (PMI) is carried out using RF technology to confirm the material is as specified and ordered. PMI is again carried out when the product is complete to confirm the correct material was used. Flex Coil welders are fully trained and certified by the FORCE Institute for all weld joint configurations required to manufacture the product. Welds are inspected for proper integrity and colour, both externally and internally using a camera scope. Coils are then tested at 1.5 times working pressure or at a higher pressure if requested by the customer. Coils are pressurized and submerged in the test tank and observed for a specified period of time to assure there are no leaks. After testing the coils are cleaned, passivated and prepared for packaging. Flex Coil prepares all documentation for material traceability, positive material identification reports, weld colour inspection reports, pressure test certificates, capacity and rating data sheets and final results of any FAT. Flex Coil maintains all certifications and registrations required such as Norsok, DNV, ISO, CE and GOST R.

www.ogsmag.com

OE 2015 See Flex Coil at the Danish Pavilion Offshore Europe Exhibition Aberdeen Scotland Sept 8-11

OTC 2016 See Flex Coil at the Danish Pavilion Offshore Technology conference Houston, Tx May 2-5

www.ogsmag.com

Not only coils

In addition to titanium and specialty coils, Flex Coil manufactures a complete line of dry coolers and air cooled condensers for offshore and onshore markets. The base design is easily customised for specific applications as was demonstrated on the recent project for the Nyhamna natural gas processing facility in Norway. The Nyhamna project presented unique challenges. Working with some of the biggest names in the offshore industry, Flex Coil along with our agent MovAir, worked closely with

(above) Load calculation

engineers from Wilhlemsen Engineering, Shell KvĂŚrner and AKER Solutions to fulfil all aspects of the specification. In addition to general required documentation, Flex Coil provided explosion load calculations for this critical project.

www.ogsmag.com

The Orman Lange gas field and the Nyhamna processing plant will supply 20% of the natural gas to the UK from Norway

Custom design solutions

Flex Coil has worked with the top names in Shell, AKER Solutions, Kvaerner and Wilhelmsen Engineers visit Flex Coil for full FAT of the Nyhamna project

the offshore industry to meet the stringent specifications for offshore and onshore critical process applications. Conducting a thorough factory acceptance test (FAT) is a crucial part of the process. Over the years we have worked to provide accurate information the first time to expediently fulfil the specification requirement. The FAT process starts at the project kickoff meeting where a clear path is plotted to allow smooth handling when the final FAT is conducted. For the Nyhamna project all tasks were completed on time including full sound and vibration testing at our facility in Aabybro, Denmark.

www.ogsmag.com

Flexability Offshore-IndustrialCommercial and everything in between, Flex Coil is your GO TO source for custom cooling solutions.

www.ogsmag.com

Contact Flex Coil at Tel:+45 98 24 49 99 E-mail: flexcoil@flexcoil.dk Visit www.flexcoil.dk to find out more about our products

www.ogsmag.com

Renting power and temperature control equipment eases cost pressures in the oil and gas sector By John Wilson, Aggreko General Manager for the Nordic Region

s record low oil prices show little sign of strengthening, oil producers are increasingly turning to rental options for power generation and temperature control equipment to reduce costs and avoid capital expenditure throughout the full lifecycle of a rig. Aggreko, a specialist global temporary power and temperature control supplier to the oil and gas industry, reports increasing demand for its rental equipment - from construction and commissioning of rigs, through to production, decommissioning and abandonment where required.

Rental savings

“As profitability falls and capital expenditure budgets are cut, the oil and gas industry is seeking to reduce costs and capital investment by increasingly renting specialist power generation and temperature control equipment. This is often a lower cost, lower risk and more flexible option than buying equipment,” says John Wilson, Aggreko General Manager for the Nordic Region. “In this way clients can avoid the time consuming process involved with getting www.ogsmag.com

www.ogsmag.com

Aggreko capex sign-off, and instead, use operational or maintenance budgets.” He explained, “If customers choose to buy generators they will specify equipment to meet their project’s current power demand, but requirements often change over time. When demand falls for example, the generators could be working inefficiently, wasting fuel and creating the possibility of excessive emissions. While if requirements increase, then an additional power source will be required. Temporary generators offer a flexible solution, as they can be hired on a long or short-term basis and can be scaled up or down with very short lead times, to meet varying power requirements.”

“Working with Aggreko, customers have assurance that the equipment is fully tested and serviced ready for immediate use, rather than relying on their own equipment that will deteriorate over time and prove unfit for purpose if it’s not regularly serviced” Wilson also explains how renting power also reduces the responsibility and risk that lies with the customer in terms of servicing and maintenance. “Using rental generators moves the risk and responsibility of service, maintenance and repair to the rental company and away from the customer. Working with Aggreko, customers have assurance that the equipment is fully tested and serviced ready for immediate use, rather than relying on their own equipment that will deteriorate over time and prove unfit for purpose if it’s not regularly serviced”.

All-inclusive cost

Managers are increasingly seeking budget certainty. By carrying out a site survey Aggreko can provide detailed and accurate project budgets for turn-key solutions, from consultancy through to installation, service and repair and removal. Aggreko reports increased demand for its fixed cost model, which is fully inclusive of all ancillary equipment, spares, servicing and maintenance. As such, customers can forecast and budget accurately, with no hidden costs.

Flexible Solutions for oil and gas lifecycle

Rental power and temperature control solutions are increasingly being used during all phases of the exploration and production life cycle.

Construction

Temporary power is often required for construction projects without adequate mains supply, both for on and offshore applications. www.ogsmag.com

www.ogsmag.com

Aggreko Commissioning

Power can be required during hook-up, whilst loadbanks hired from Aggreko can be used to load test emergency generators and UPS units to ensure full functionality before they go online.

Back-up power

Rental generators can be used to fill power gaps and ensure that full production continues if the regular power supply is disrupted. For facilities without back-up power, temporary generators can be available on stand-by to provide a reliable, cost effective emergency power source.

Secondary power

The power demands of many facilities often meet or even exceed their maximum power supply. If there are additional power or voltage requirements, e.g. for construction or drilling projects, to power cranes, pumps or drill rigs etc, temporary generators may be used.

Planned shutdowns and maintenance

Temporary power provision can be used during periods of planned maintenance to allow operations to run as normal or with minimum interruption.

Accommodation

Providing power and comfort cooling for worker accommodation.

Decommissioning and abandonment

Rental power can be used as part of the deconstruction activity. The power provision can be scaled up or down to meet the specific needs of the project as it progresses, including critical power on NUI and MMI facilities.

Global service

With more than 40 years’ experience of meeting the specialist needs of the oil and gas industry, Aggreko has developed unrivalled expertise and the world’s largest containerised fleet. For more complex project requirements, Aggreko designs and builds bespoke systems at its UK manufacturing facility. Aggreko’s specialist equipment includes silenced gas and diesel generators, chillers, air conditioners, heaters, dehumidifiers, cooling towers and loadbanks, which are designed and certified to withstand the extreme demands of offshore environments and can all be rapidly deployed anywhere in the world from more than 200 service centres.

Further information please contact: John Wilson, Aggreko Norway, Tevlingveien 15, 1081 Oslo, Norway. Tel: +47 810 00 333. Email: post@aggreko.no

www.ogsmag.com

Spectrex

RISING TO THE TOXIC GAS CHALLENGE

oxic gases can often be very advantageous, having many benefits and useful applications within a variety of industries. As is known, high concentrations can cause much damage to humans and can be life threatening. Two particular examples of toxic gases commonly present in industrial and agricultural environments are ammonia, which is greatly used, and hydrogen sulfide which, on the contrary, is most often a by-product.

Ammonia (NH3) features in various industries in a wide range of processes, either as a raw product or as a byproduct, including carbon capture and storage in the Oil & Gas industry and fertilizer, among others. Gaseous ammonia is colorless with a characteristic smell, toxic and can cause lung damage and death, as well as fires and subsequent explosions at extremely extraordinary concentrations. Hydrogen Sulfide (H2S) gas is also toxic and colorless and has a â&#x20AC;&#x2DC;rotten eggâ&#x20AC;&#x2122; odor. It is produced by the anaerobic breakdown of organic material, found in many industries such as construction and the petroleum industry, among others. H2S does not cause irritation at low concentrations but can be fatal at high concentrations. In addition to this, when burnt, H2S releases www.ogsmag.com

Courtesy of Piho Engineering

Toxic Gas! H2S or Ammonia Detect it quickly and safely with Quasar 950/960 Open Path Gas Detector

HEADQUARTERS NJ (USA): +1 (973) 239-8398 HOUSTON OFFICE: +1 (832) 321-5229 EUROPE: +44 (141) 578-0693 spectrex@spectrex.net | www.spectrex.net

Spectrex

sulfur dioxide which is a very dangerous, toxic and strong smelling gas which can cause irritation and death. One method of detecting toxic gases is by ‘point’ type detectors, where the monitored gas reacts with the electrochemical based sensor in a grid formation. Requiring periodic calibration and maintenance in large plants or potentially high risk areas may be a burden. This is considerably improved in many applications using the method of open path, line of sight gas detection, where much fewer detectors are required for any given area.

Spectrex SafEye is a leading range of open path gas detectors which includes the Quasar 900, a highly accurate and reliable detector for flammable gases, alongside a solution for the detection of toxic gases before their concentration rises to a dangerous level. The SafEye 950/960 open path toxic gas detector detects the following gases:

Open path gas detection

The detector is able to detect ammonia/H2S at distances of up to 263 ft (80 m) using open path, line of sight technology and is immune to false alarms caused by background radiation sources such as sunlight, filament lamps, projectors, heat generators and other type of optical detectors.

Open path gas detection is based on a beam of light being absorbed by the detected gas between a transmitter (source of light) and a receiver (detector) over long distances. The chemical absorbs some of the beam’s energy and the intensity of the beam is therefore reduced. The received beam signal is used to determine whether or not a gas is present. This method can monitor even traces of gases as they “cross” the path between the transmitter and receiver units. With reliability and safety being the most important issues when measuring and monitoring combustible or toxic gases, detectors must be reliable and fast with minimum false alarms, withstand harsh environments, be low maintenance and setup.

• •

SafEye 950 – ammonia (NH3) SafEye 960 – hydrogen sulfide (H2S)

The receiver contains several sensors according to the specific gases (or chemical families) to be detected with the signal and reference wavelength bands in the 0.2-0.3 microns UV range. The detector provides a warning signal when no longer able to provide accurate detection (e.g. the path is blocked or obscured). However, they can function effectively even when 90% of the light is obscured by extreme environmental interference such as fog, rain and smog. www.ogsmag.com 77

Vicente Boluda, third generation ship owner, heads one of the world’s leading and fastest growing shipping lines, with a presence across the Spanish coast, Portugal, France, Italy, North & West Africa, the Indian Ocean and Latin America

Interview: Vicente Boluda, President of Boluda Corporación Marítima and former President of Real Madrid Football Club How has being a former president of Real Madrid Football Club influenced you?

The opportunity to head up such a prestigious national and international organisation is a unique experience, and an honour for those like me, who are passionate about this sport. Although my time at Real Madrid was short, it gave me the chance to introduce important changes for the club’s history, as part of an exciting General Assembly where we would pass key proposals.

What is the key to Boluda CM’s success?

I believe our clients’ loyalty towards Boluda CM is the best compliment we can have. Success is not mine, however; it is down to all those people who have made it possible over the years to position Boluda CM where it is today, at the forefront of global maritime services. I always say that constancy, perseverance and hard work will facilitate the journey to achieving your goals. But also, humility. In business one has to be humble, talk to people on 78

www.ogsmag.com

equal terms, and always be willing to learn. I believe that the decision to diversify the activities of our corporation at a precise moment in time was crucial, as it was also to bet for our group’s internationalisation. In summary, humility and hard work.

What makes Boluda CM different?

We provide an all-round maritime transport service; freight the goods from the manufacturer’s door to the retailer’s shelf. Our clients enjoy piece of mind. In addition to our current geographical diversification, we have also introduced sector diversification, therefore covering the full spectrum of the supply chain.

What are your core services and locations?

We offer services across five continents. On this side of the Atlantic our focus is on North and West Africa. Trade to Africa has increased over recent years, which has prompted us to invest heavily in this region. On the other hand, our towage services are indispensable at our ports, where Boluda CM is the industry’s benchmark.

Interview

How significant to your business are the bay and Strait of Gibraltar?

Last year was a milestone in the evolution of the operations performed by our tugs at the bay. Algeciras and its surroundings is for us one of the enclaves with more units, sixteen harbour tugs with great power. Furthermore, we also provide port fuel supply with four barges that make the presence of Boluda in bunkering the most important at a national level.

What are the greatest challenges facing the maritime sector?

At this moment in time, one of the main challenges for ports is the transformation they need to undertake to adapt to new megaships, and manage the number of containers they carry. This transformation will affect both docks and canals, but also loading / unloading and the capacity for logistics and storage. We cannot forget the introduction of new eco-fuels, the socalled ‘maritime fuel of the future’, gas. This will lead to changes in the treatment and management of waste.

Do you expect to explore new markets over the next five years? At Boluda CM our spirit has always been to grow in order to provide better services to our customers, so yes, we intend to expand our presence into other locations where we do not yet operate.

Your favourite ship?

I don’t have a favourite ship, they are like my children.

Paul González-Morgan Editor, Gibraltar Shipping Email: shippinggib@gmail.com Twitter: @ShippingGib Web: www.gibraltar-shipping.com

www.ogsmag.com

Hyundai Heavy Industries: The happy heavyweight

In a little over 40 years, Hyundai Heavy Industries has grown into the worldâ&#x20AC;&#x2122;s leading heavy industry conglomerate with global operations across seven business divisions from shipbuilding to electrical installation and industrial process plant

www.ogsmag.com

hung Ju-yung, the late founder of the Hyundai Group, created Hyundai as a construction company in 1947. Chung decided to enter into shipbuilding in the early 1970s despite having no experience, capital, or shipbuilding technology. Despite these challenges, the company received orders for two 260,000-DWT crude oil tankers from Greek magnate George Livanos while Hyundai’s Shipyard was still in the planning stages.

In March 1972, ground was broken on an empty stretch of beach in Ulsan to construct what would become the world’s largest shipyard. Hyundai then started building the two oil tankers and 82

www.ogsmag.com

the shipyard at the same time. Two years later, in 1974, Hyundai held a ceremony to simultaneously name the two tankers and dedicate the shipyard. Capturing the imagination of the international maritime community, the event was a historical first step for Hyundai Heavy Industries. Now the world’s biggest shipbuilder and a leading integrated heavy industries company with seven business divisions, 25 overseas-incorporated firms and 17 overseas subsidiaries, Hyundai Heavy Industries (HHI) has grown dramatically through innovation. A decade after its first delivery, the Hyundai Shipyard topped 10 million deadweight tons in aggregate ship production, and has maintained its leading position in the world shipbuilding market ever since, mirroring the growth of modern Korean heavy industry. Its success has allowed the company to expand into other heavy industry areas, ultimately leading to the formation of the integrated Hyundai Heavy Industries after its separation from the Hyundai Group in February 2002. The independent establishment of the Hyundai Heavy Industries Group included

Hyundai Heavy Industries

HHI quick facts: HHI employs around 26,000 people in production, R&D, management and administration The Shipbuilding Division has delivered more than 2,000 ships to 305 ship owners in 51 countries Hyundai-10,000 can lift objects up to 10,000 tonnes, about six times more than the Goliath crane The Offshore & Engineering division has successfully completed more than 170 projects, including over 100 EPIC turnkey projects The Industrial Plant & Engineering division’s experience in combined-cycle power plants includes the 2,000MW Sabiya Combined Cycle Gas Turbine in Kuwait and the 1,729MW Riyadh PP11 Independent Power Project in Saudi Arabia In March this year HHI-EMD reached a manufacturing milestone of 9,000 Hyundai HiMSEN diesel and gas engines, a reflection of the remarkable growth in the 4-stroke engine market HHI-EES manufactures high-quality power and distribution transformers with a rated voltage of up to 800 kV and a capacity of up to 1,500 MVA

mergers with Hyundai Samho Heavy Industries and Hyundai Mipo Dockyard. Today HHI employs around 26,000 people in production, R&D, management and administration. Its key shipbuilding yard covers 1,500 acres. The Gunsan and Onsans yard are also worldclass production yards, supporting a wide range of client and partner needs. HHI has a global business network in each of its seven business divisions: Shipbuilding, Offshore & Engineering, Industrial Plant & Engineering, Engine & Machinery, Electro Electric Systems, Green Energy and Construction Equipment.

Shipbuilding

Hyundai Shipbuilding Division, the world’s number one shipbuilder, leads the global shipbuilding industry with a 15% share of the market. The Hyundai shipyard stretches over four kilometres along the coast of Mipo Bay in Ulsan, Korea. The Shipbuilding Division is capable of building all types of ships to meet the various demands of its clients, with ten large-scale dry docks and nine huge ‘Goliath Cranes’. The division has garnered

many awards and set many records within the shipbuilding industry, having delivered more than 2,000 ships to 305 ship owners in 51 countries since its foundation in 1972.

“Hyundai Heavy Industries and Accenture are collaborating to design a ‘connected smart ship’ that will enable ship owners to improve fleet management and achieve potential operational savings through the application of digital technologies” A subdivision within Shipbuilding is HHI’s Special & Naval Shipbuilding Division. As a licensed National Defense Industrial Shipbuilder and engineering consultant for the Korean navy, it has the technology to design and build modern, reliable submarines, naval ships and auxiliary service vessels of various proven and advanced hull forms. www.ogsmag.com

Fire-rated doors to offshore and onshore projects Full scale tested • • • • • • • •

Sliding doors Hinged doors A0, A60, H0, H60, H120 J30 Manual & Automatic Doors Pneumatic operated doors Blast doors Weather- Water& Gastight doors

Tel +47 75 59 16 00 office@rappbomek.com www.rappbomek.com

Hyundai Heavy Industries

Currently Hyundai Heavy Industries and its partner Accenture are collaborating to design a ‘connected smart ship’ that will enable ship owners to improve fleet management and achieve potential operational savings through the application of digital technologies. Using a network of sensors that will be built into new vessels, ship owners will be able to capture a range of voyage information including location, weather and ocean current data, as well as on-board equipment and cargo status data. By applying realtime analytics to new and historical fleet data and using data visualization technology to present the insights, ship owners will be able to monitor their vessel’s status and condition in realtime to make data-driven decisions that support more efficient operations.

“The collaboration with Accenture is part of Hyundai Heavy Industries’ plans to expand its business from manufacturing into services” Services are expected to include real-time alerts and warnings, predictive maintenance and more efficient scheduling. The connected smart ship will be developed using a combination of Hyundai Heavy Industries’ shipbuilding and manufacturing expertise and Accenture’s digital and shipping industry experience. As ship owners seek innovative new ways to reduce vessel operating expenses, this collaboration will deliver a range of real-time services to improve the efficiency of their ships, while simultaneously strengthening Hyundai Heavy Industries’ competitiveness. “Businesses can gain a competitive advantage by embracing the connectivity wave underpinning the Internet of Things and integrating digital services into their products to keep pace with the next wave of innovation,” said Eric Schaeffer, senior managing director, Accenture. “Our collaboration with Hyundai Heavy

Industries utilizes our digital technology and deep industry experience to enable a traditional ‘products’ company to adapt its business model, taking advantage of digital technologies like analytics. Hyundai Heavy Industries’ willingness to create value for its customers through adopting elements of the Internet of Things is a great step on its digital transformation journey.” “Through this collaboration with Accenture, our ambition is to lead innovation in ship operations, shipping and the port logistics sector,” said Moon-kyoon Yoon, Chief Operating Officer of the Shipbuilding Division of Hyundai Heavy Industries. The connected smart ship uses Hyundai Heavy Industries’ on-ship platform and the Accenture Connected Platforms as a Service (CPaaS) and all connected devices can be monitored and maintained remotely. With real-time data collection and exchange across vessels, ports, cargo and land logistics, Hyundai Heavy Industries will be able to create additional services and revenue streams to customers across the lifecycle of ships and journeys, removing barriers between different elements of a ship’s operation. The collaboration is part of Hyundai Heavy Industries’ plans to expand its business from manufacturing into services. HHI has also recently developed the ‘Sea Weather Forecasting System’ in partnership with the Korean Institute of Ocean Science & Technology (KIOST). The system will enable HHI to manage sea trial schedules of ships it builds at its Ulsan yard 72 hours in advance, by analysing sea weather information such as wave height, wind speed and current patterns on an hourly basis in seven offshore areas including Ulsan, Gunsan and Jeju Island. The weather system is also expected to minimize any possible delay in lifting work by the floating crane due to unexpected weather conditions, through precision forecasting of the sea weather every 60 metres in Mipo Bay and Jeonha Bay where HHI is based. The geographic information system (GIS) can also display sea weather information on the specific spots on an electronic navigational chart. www.ogsmag.com 85

“HHI has also recently developed the ‘Sea Weather Forecasting System’ in partnership with the Korean Institute of Ocean Science & Technology (KIOST)” An HHI official said, “The weather forecasting system we developed is linked to 530 pieces of weather observation equipment across the nation and it can forecast 10 per cent more precisely than other existing weather systems by analysing adjacent sea topography 16 times more accurately.” In April 2015, Hyundai-10,000, HHI’s newest floating crane, took its place as the ‘symbol of HHI’, by lifting a topside module of Moho Nord tension leg platform by itself, thereby replacing the two 1,600-ton gantry cranes at its offshore yard. Hyundai-10,000 can lift objects up to 10,000 tonnes, about six times more than the Goliath crane, hence its name. Construction 86

www.ogsmag.com

of Hyundai-10,000 commenced at Hyundai Samho Heavy Industries (HSHI) in October 2013 and it was delivered to HHI’s offshore yard in late March this year. The world’s largest shear-leg type floating crane in terms of lifting capacity, the 10,000-ton shear-leg floating crane is equipped with two 180 metre long crane booms and two sets of 70m high back stays. The crane is operable with 16 sets of main hoisting winches, eight sets of jib hoisting winches and 72mm and 54mm wire ropes, which are each 5,700 meters long.

“If we build an 8,000 ton topside module with the Goliath Crane, our employees have to repeat the same operations five times” The main hook is made of eight sets of 1,250-ton hooks. The four sets of 2,200 kW main generators, two sets of 600 kW harbour generators and one set of 100 kW emergency generator produce the electricity the crane needs. The vessel also has a ballast system

EuropEan oil & gas

europeanoilandgas.co.uk

Hyundai Heavy Industries

for purifying the sea water the crane takes in while it is on the sea or at berth. To enhance safety, Hyundai-10,000 is specially designed to hold objects in the air even in an emergency situation when one of the two wire ropes is compromised. The crane is also engineered to maintain a hook angle of 15 degrees towards starboard/portside and 20 degrees towards the stern to handle the cargo in an optimal condition. The vessel can maintain its horizontal position automatically within a deviation of +/-100 mm when it lifts up a 50 metre-long cargo. The floating crane is expected to bring substantial benefits to HHI and its clients with on-time and early delivery.

“There was a time when a 10,000-ton offshore facility deserved to be called “a big order”, but now offshore facilities need to weigh more than 20,000-tons to earn that description”

I 108 R :P

“Let’s say the maximum weight of a topsidessue block we can make for offshore facilities such as FLNG, FPSO and 1,600 tons,” efFPU islastoIl said Park Jong-bong, COO of HHI’s Offshore & Engineering Division. “That means if we build an 8,000 ton topside module with the Goliath Crane, our employees have to repeat five times lease confIRm aP all the same prerequisite works to lift a 1,600 ton block such as hooking the crane’s wire ropes and rearranging the crane’s lifting points to the optimal locations, striking perfect balance. However with the Hyundai-10000, HHI can make a single 8,000-ton module, pick it up and install it at one time. It wouldn’t be hard to calculate the man-hours and construction time HHI can save from the streamlined lifting process.” There was a time when a 10,000-ton offshore facility deserved to be called “a big order”, but now offshore facilities need to weigh more than 20,000-tons to earn that right. A series of “big projects” lined up to be built with the world’s largest shear-leg floating crane in HHI’s offshore yard this year include, Quad 204 FPSO and Aasta Hansteen spar platform, Jangkrik FPU and Bergading central processing and wellhead platform. www.ogsmag.com 87

P 6 / 5 / 14

Offshore & Engineering

The Offshore & Engineering division of HHI is located 5 kilometres away from the main shipyard and operates the world’s largest offshore yard, covering 292 acres. HHI’s involvement in offshore structures began with a Saudi Arabian order for 89 jackets and deck structures for the Open Sea Tanker Terminal, as part of the Jubail Industrial Harbor Project in 1976. Since 1991, the Offshore & Engineering division has been a world-leading EPIC contractor, providing integrated services including engineering, procurement, installation, construction, transportation, offshore hook-up and commissioning, and project management. The Offshore & Engineering division has successfully completed more than 170 projects, including over 100 EPIC turnkey projects and is recognized as one of the most experienced and advanced offshore yards in the world. The range of products and services covers FPSOs, FLNGs, FPUs, semisubmersibles, jack-ups, TLPs, fixed platforms, subsea pipelines, and land-based LNG and processing modules. 88

www.ogsmag.com

HHI’s Offshore & Engineering division combines onshore process plant expertise with offshore module fabrication experience, to create a high-value added service. The division will continue to develop state-of-the-art technology and provide high quality services for the oil and gas industry.

Industrial Plant & Engineering

The Industrial Plant & Engineering division has 38 years’ experience in industrial plant projects. It provides sophisticated engineering capabilities for power plants and carries out, on a turnkey basis, all phases of project implementation including engineering, procurement, fabrication, construction, commissioning, and training. The division’s core business activities are EPC thermal power plants, co-generation power plants, combined-cycle power plants, desalination plants, and oil & gas production facilities, gas processing plants, LNG liquefaction, refineries, petrochemical plants as well as the fabrication and supply of key equipment for nuclear power plants.

Hyundai Heavy Industries More HHI divisions: Construction Equipment The Construction Equipment division is widely recognized as an industry leader for its use of advanced ergonomic engineering and technology. Backed by highly advanced factory automation, a zero-tolerance quality control inspection system and innovative engineering, the division offers a wide range of construction equipment to satisfy its customers’ needs. The division started production in 1985, and now manufactures hydraulic excavators, wheel loaders, backhoe loaders, skid steer loaders as well as industrial vehicles. The division markets and supports its products through 500 local distributors in 140 countries. It also maintains nine global operation centres in the United States, Europe, India, Indonesia, Brazil, and China (Jiangsu, Shandong, Beijing).

Green Energy Green Energy Division produces solar power, wind turbine energy and energy storage systems. HHI’s Green Energy Division has a total capacity of 600MW in solar modules and is the key supplier of wind turbines in Korea. Hyundai Solar is the largest and longest standing PV cell and module manufacturer in South Korea, with 600MW of solar cell and module production capacity. Since its first European solar module sales in 2006, HHI has established a worldwide network with a reputation for manufacturing high quality high-voltage modules and wind turbine systems. In 2011, HHI’s Green Energy division established the Euiwang solar power plant and the Taeback wind power plant, to expand its ability in power plant maintenance and inspection. Hyundai Heavy has installed an accumulated 100MW of wind turbines in Korea and around the world to date, including last year the largest unit ever installed in Korea with a 100 metre hub height and 140 metre rotor diameter.

Co-generation facilities simultaneously produce electricity and process steam from a single source of fuel. This system reduces overall fuel consumption and has therefore been selected for various applications such as petrochemical process plant, refinery plant and district heating, etc. HHI has constructed 23 cogeneration plants domestically and internationally. The division’s experience in combined-cycle power plants includes the 127MW Inchon Airport Combined-Cycle Power Plant in Korea, the 210MW Shaybah Power Generation Plant in Saudi Arabia, the 2,750MW Marafiq Independent Water and Power Project in Saudi Arabia, the 2,000MW Sabiya Combined Cycle Gas Turbine in Kuwait and the 1,729MW Riyadh PP11 Independent Power Project in Saudi Arabia.

Engine & Machinery

The Engine & Machinery division is the world’s largest marine diesel engine builder with approximately 35% global market share. The division reached the production milestone of 130 million bhp (brake horsepower) in 2-stroke engines in 2013. It is

also a leading manufacturer of propellers, cargo oil pumps, ballast water treatment systems, and side thrusters. In March this year HHI-EMD also reached a manufacturing milestone of 9,000 Hyundai HiMSEN diesel and gas engines, a reflection of the remarkable growth in the 4-stroke engine market and confirming Hyundai Heavy’s place as a market leader. The HiMSEN GenSet can use both diesel and LNG on LNG carriers and conventional LNG fueled ships. Sales of power plants including Packaged Power Stations (PPS) have increased dramatically in markets including Cuba, Brazil, the Middle East, Africa, Europe, and Asia. Sales of industrial pumps and robot systems are also increasing rapidly. These products have become strategic items in the division’s plan for long term growth. In terms of innovative and cutting-edge technology, 15 products have been selected as World-Class Products by the Korean government, a record achieved by no other Korean business to date. These include the 2-stroke marine engine, 4-stroke marine engine, crankshaft, propeller, marine propulsion shafts, www.ogsmag.com

Hyundai Heavy Industries

cylinder liner, cylinder frame, turbocharger, engine power plants, packaged power stations, cargo oil pumps, side thrusters, industrial robots and LCD handling robots.

various panels. These products have been installed on a large number of ocean going vessels and are highly regarded for their economy, efficiency, and outstanding performance.

Electro Electric Systems

Legacy

Hyundai Heavy Industries has earned a worldwide reputation as a business partner in the power industry with the manufacture and supply of a wide range of electrical equipment, such as transformers, gas insulated switchgear, switchgear, LV & MV circuit breakers, electric motors, generators, integrated control & monitoring systems, and power electronics. With cutting-edge designs, state-of-the-art manufacturing facilities and innovative production technology, HHI-EES manufactures high-quality power and distribution transformers with a rated voltage of up to 800 kV and a capacity of up to 1,500 MVA. HHI’s SF6 Gas Insulated Switchgear (GIS) is a major piece of electrical equipment used in substations, and contains a gas circuit breaker, disconnecting switch, earthing switch, voltage transformer, current transformer, and lightning arrester in a grounded metallic enclosure. The GIS is filled with sulphur hexafluoride gas (SF6), which has the best insulation and arcquenching capability. HHI’s marine electrical products include dry-type transformers, generators, motors, main switchboards, engine control room consoles, bridge control consoles, automation systems, and

Since its establishment in 1972, Hyundai Heavy Industries has grown into the world’s leading heavy industries company by successfully diversifying from shipbuilding into offshore and engineering, industrial plant and engineering, engine and machinery, electro electric systems, construction equipment and green energy businesses. HHI is proud to have played a pivotal role in Korea’s economic development, but also to have become a responsible global corporate citizen, contributing to the sustainable development of the world economy. The key to HHI’s success lies in its business philosophy, characterised by creative wisdom, positive thinking, and unwavering drive, inspired by the indomitable pioneering spirit of its late founder Chung Ju-yung.

www.ogsmag.com

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

Heatric printed circuit heat exchangers are unlocking the future of FLNG The key technical challenge of FLNG is to take a process developed in the relatively calm, accessible and ‘spacious’ onshore environment and deploy it where few of these things are true – with all the heightened safety considerations that this brings. Heatric printed circuit heat exchangers (PCHEs) are already well-established in FPSO applications because they help simultaneously tackle the three great offshore challenges – space, weight and safety. Now they are also playing an important role in shrinking and lightening the topside bulk of the new global fleet of FLNG facilities, including Shell Prelude. A total of 18 Heatric PCHEs are being installed on Prelude. Their duties embrace a wide range of operations, among them natural gas extraction and fractionation including first and second stage cold recovery, gas dehydration, and gas and refrigerant compression. Together they save some 1500 tons of topside weight, lowering the vessel’s centre of gravity and improving stability in heavy weather. A PCHE will typically be just onefifth the size and weight of an equivalent shell and tube-type unit thanks to its exceptionally high heat transfer-to-volume ratio. But for all their light weight and compact footprint, PCHEs are still comfortably able to handle pressures up to 650 bar (almost 9450 psi) and temperatures from cryogenic to 900°C (1650°F) while delivering closely-controlled process parameters. For existing platforms, PCHEs can debottleneck and boost throughput. For newbuild projects, like FLNG, they offer the opportunity

to design-in higher levels of process efficiency, safety and durability right from the start, unlocking a host of additional financial and operational benefits along the way.

Pioneer and leader It is fair to say that no-one understands printed circuit heat exchangers (PCHEs) like Heatric. It was the pioneering research of the company’s founders that created the very ﬁrst PCHE in 1985. Only Heatric has invested continuously for more than 30 years in reﬁning and developing the technology, working with the world’s leading oil and gas companies along the way. Today the company’s 15,000m2 of advanced production facilities – a single, integrated operation which includes one of the largest radiography and pressure-testing facilities in the UK – are still unique in being dedicated exclusively to PCHE design, development and manufacture. Heatric PCHEs are fully scalable with the recently extended factory able to accommodate the construction of the highest duty exchangers either

as single units or as multiple manifolded units – as was the case with some of the largest PCHEs provided for the Prelude project.

Light and effective The key to a Heatric PCHE’s powerful package of weight savings and capabilities is its diffusion-bonded core, which creates an exchanger with exceptionally high transfer efficiency and structural integrity. The characteristics of this design provides PCHEs with inherent and integral safety benefits which, together with a host of operational features, are of particular value to remote, floating processing applications. The seamless core construction minimises hold-up as well as vibration fracture risks, rendering PCHEs immune to catastrophic failure modes seen in other exchanger designs. Fire risks are also reduced because each PCHE is constructed entirely from stainless steel or higher alloys, with no aluminium or other low melting point material used in their construction. The future shape and disposition of a fullyfledged global FLNG fleet remains to be seen. But whatever liquefaction choices an operator makes, the compactness and robustness of PCHEs renders them uniquely able to deliver strong, powerful, structurallysimple solutions, all within an unmatched security and safety ‘envelope’.

Heatric. Leading heat transfer solutions www.heatric.com

info@heatric.com

T: +44 (0)1202 627000

www.ogsmag.com

OIL GAS AND SHIPPING MAGAZINE

MEDIA PACK 2015-2016 Our reader numbers globally (for both our printed and electronic magazine version: Argentina 845 Belgium 991 Belize 118 Brazil 3238 China 7236 Denmark 3253 Faroe Islands 14 Finland 1457 France 2322 Germany 2723 Greece 233 India 2564 Italy 934 Japan 453 Kazakstan 392 Netherlands 2789 Norway 9868 Poland 976 Russia 5769 Saudi Arabia 6921 South Africa 3512 Singapore 1986 Spain 1056 Sweden 4121 UAE 7219 Ukraine 645 United Kingdom 9961 USA 14763 Other 9122

TOTAL 105,481 Readers by position: President/CEO/ MD 32% Sales Director 9% Marketing/ BusDev. Director/ Mgr 12% Operations Director/ Mgr 4% Purchasing Director/ Mgr 25% Ship Owner/ Operators 8% Other 10%

About us: Oil, Gas and Shipping Magazine is produced by Worldwide Business Media Limited. It is published monthly and distributed in hardcopy print to over 24,000 readers and over 80,000 in electronic format globally. Our total readership is just over 105,000 and grows daily. As well being distributed to our readers we also offer customers the opportunity to have the magazine distributed to areas of their choice increasing their chances of response and making sure their advertising material is seen by the right people. Oil, Gas and Shipping is the media partner and supporter of many exhibitions and conferences worldwide and additional copies of the magazine are printed and distributed at these events. Founded in 2009, by Simon Ward, the magazine has grown to become a world renowned and respected media journal for the oil, gas and shipping industries. We hope this media pack offers the information you need and if you require more please contact us.

Exhibitions and confereces we support and partner: Oil Gas and Shipping Magazine is the media partner and supporter of some of the largest exhibitions and conferences worldwide. As well distributing magazines as to our normal readers globally we also distribute additional copies at these events. These include: World Gas Conference, France Offshore Europe, UK ADIPEC, UAE OSEA, Singapore CIPPE, China LNG 17, USA SMM, India SMM, Hamburg ONS, Norway ESGOS, UK Gastech, UK LNG, USA World Shale Oil and Gas Summit, USA OTC, USA OTC, Brazil

“Oil, Gas and Shipping Magazine has a readership of over 105,000 people across the globe every month”

Advertisement prices: Front Page (dedicated to your company) and 12 Page lead/ main editorial £19,995.00 Double Page Advertisement £6000.00 Full Page Advertisement £4895.00 Half Page Advertisement £2450.00 Quarter Page Advertisement Banner Ad on www.ogsmag.com Side Ad on www.ogsmag.com £1450.00 (All prices quoted are in Great British Pounds and payments can be taken through bank transfer or credit card. If you require a quotation in any other currency please contact us)

Specifications: Double - page: 426mm (width) x 303mm (height) - includes of 3mm bleed Full-page: 216mm (width) x 303mm (height) - includes 3mm bleed Half-page: 190mm (width) x 131.5mm (height) Quarter-page: 93mm (width) x 131.5mm (height)

www.ogsmag.com

Media information cover, nor anyone apart from the customer and associated advertisers who would read a four page article at the back of one of these monstrosities. Oil, Gas & Shipping magazine will generally publish a readable 60 to 100 pages, because I want our customers to have their articles and advertisements read.

How do you reflect on the challenges of your early years? When I started the company with my wife Vanessa we had very little money, no backing from the banks and there was a worldwide recession going on! All we had was an idea to sell to our customers. Our plan was to build a solid readership based on quality editorial and we believed that advertising would follow. Our readership is now almost 110,000 and is producing great business for our clients and ourselves. We now feature the biggest players in the industry in our editorial coverage and these customers find that promoting themselves in our magazine is a cost effective alternative to printing their own brochures and distributing them themselves.

How do you plan to develop in the future? We have no ambition to become the world leader in our sector! We leave that to those with greater resources (and egos) than we have. We do want our magazine to be a voice for its customers, however, rather than preaching to them, and for it to continue to develop as a valuable marketing resource. We welcome suggestions and editorial contributions because we want to publish a magazine that people want to read and respond to. What was your motivation for starting We have recently added Martin Ashcroft to your own magazine? our editorial team to help us step up to the next I had been an employee of media companies for a level. Martin has edited business magazines for long time and while their magazines were often good 20 years and his professionalism and insight publications, their relationships with their customers into news stories and features has already left a lot to be desired, failing to deliver what was made an impact on our website and our printed needed to promote their products and services. magazines. I believe strongly that when customers spend time Any company looking for editorial coverage and money promoting their business, every effort should contact Martin as he has the gift of should be made to help them get their message across writing the most readable, promotable and unto their target audience. When the customer gets a brochure like material you will ever read. positive response, we have a great chance of doing With Martin’s help we have launched a new business with them again in the future! magazine called World Mining, which follows We have significant readership across the globe the same concept as Oil, Gas & Shipping and we offer our clients the opportunity to have the magazine. World Mining has already achieved magazine distributed to companies of their choice. a readership of approximately 93,000 with This helps our customers and ourselves; ensuring its 4th issue. It’s a logical development for us, that the magazine is read by the customer’s target as many of our clients in Oil, Gas & Shipping audience helps us to grow our distribution list. operate in, or sell products and services to the mining industry, too.

Simon Ward founded Worldwide Business Media in 2009 to produce the magazine Oil, Gas & Shipping. Here, he shares his value-for-money vision for serving customers.

What is your major objective for Oil, Gas & Shipping magazine?

Quite simple, really. To publish a magazine with a quality readership and quality content that promotes its customers by covering the subjects and issues that concern them.

What makes Oil, Gas & Shipping magazine different? My previous employers were committed to maximising the number of adverts in their magazines, to such an extent that issues containing 200 or even 300 pages were being published every month. These were very well designed, pleasing on the eye, and quite profitable, but did little for the benefit of their readers or clients. I don’t know anybody (apart from the proofreader) who has read a magazine of this size from cover to

Contacts: Worldwide Business Media Ltd. Oil, Gas and Shipping Magazine World Mining Magazine London, EC1V 2NX. United Kingdom Tel: +44 (0)203 5751249 Reg No: 6809417 News and Features Editor: Martin Ashcroft martin@ogsmag.com General Editor: Vanessa Ward vanessa@ogsmag.com Sales: sales@ogsmag.com General: info@ogsmag.com Artwork: artwork@ogsmag.com

www.ogsmag.com If you would like to advertise or feature over several issues of the magazine please contact us for our reduced price deals we can offer for frequent advertisers.

Have electronic magazines replaced hard copy printed magazines? Definitely not! An electronic magazine is a great vehicle for sending out an instant promotion, but a printed magazine can be used at exhibitions and faceto-face meetings with greater effect than a tiny image on a tablet, mobile or laptop. Companies that produce only electronic magazines still charge hard copy print rates for advertising, despite their online magazines being cheaper to produce. We take a belt-and-braces approach to publishing by producing a printed hard copy and an emailed electronic copy of our magazines, so our customers can benefit from the best of both worlds.

www. ogsmag .com www.ogsmag.com

51 95

Be on the front cover and have the lead 1218 page editorial of an edition of your choice

Oil, Gas and Shipping Magazine offers its customers the opportunity to feature as the front cover and the main/lead article of the magazine. This gives companies the opportunity to discuss their operations and developments in more depth and reach our large global audience at a fraction of the cost it would take to publish sole brochures. All companies who take this option will also be given magazines to distribute on their own behalf. Previous customers have found this particularly useful for exhibitions and conferences and when new products have been developed.

ISS UE

66 w

Previous companies who have taken this option include Maersk, Statoil, Tyco, Shell Group, Subsea 7, Teekay Corporation, Halliburton, Hyundai Heavy Industries, Tullow Oil, BP and many more. This complete package includes: Front Page (dedicated to your company) 12-18 Page Lead/ Main Editorial Full Page Advertisement Total price: ÂŁ19,995.00 This package is available for all our editions including our editions distributed at our supporting and partnering exhibitions/conferences. If you would like to appear as the front cover and lead article please contact us at info@ogsmag.com or editor@ogsmag.com

96 52

www.ogsmag.com www.ogsmag.com

â&#x20AC;&#x153;Na v com igatin g p unl lexity o pot cking ent ialâ&#x20AC;?

ISSUE 67 www.ogsmag.com

Media information

(Issue 67: Subsea 7- article snippet below and cover image right) (Left: Previous front covers of Oil, Gas and Shipping Magazine)

A PARTNER IN PIONEERING SUBSEA TECHNOLOGY Subsea 7 builds on its track record in the harshest offshore environments

depth of expertise Investing in technology

ww .og sma

g.co m

In the offshore energy industry, Subsea 7 is the leading global contractor in seabed-to-surface engineering, construction, inspection, repair and maintenance (IRM) and other services. In recent years, this subsea market has entered an era of increasing challenge, with reservoirs at greater depths and in more hostile environments. The company has responded by developing a wide and versatile range of market-driven, enabling technologies and by extending its technical expertise. “Many of the large subsea developments in recent years are either marginal or extremely technically challenging, and probably wouldn’t have been attempted a decade ago,” says Øyvind Mikaelsen, Subsea 7 Senior Vice President, North Sea and Canada. “Today, Subsea 7 is much more than an installer of subsea infrastructure – we design pipeline systems for clients, develop technologies to support flow assurance in hostile conditions, and invest in world-class high-performance vessels which enable the execution of large, complex projects even in extremely deep waters.” The catalyst for this accelerated commitment to technology was the successful combination between two complementary predecessor companies, Acergy S.A. and Subsea 7 Inc. in 2011. “The 2011 merger delivered much more than enhanced volume, capacity and geographical range,” says Steve Wisely, Subsea 7 Executive Vice President Commercial. “It also gave us the widest range of technologies in key sectors in the subsea market, including pipeline riser systems, pipelay techniques, pipeline Bundles, Life-of-Field services and Remotely Operated Vehicles (ROVs). “As a result, the technologies we use are independent and fit for purpose. We are not committed to using in-house hardware – we meet the challenge of delivering each complex subsea project through selecting the most effective technical solution.”

Subsea 7 operates in every major offshore region worldwide, including the North Sea, the Gulf of Mexico, West Africa, Brazil’s pre-salt fields, West of Shetland, Western Australia and, most recently, the Norwegian Sea. Well established for decades in the Norwegian offshore market, and listed on the Oslo Børs, Subsea 7 is focused on playing a leading role in delivering technology-rich subsea projects in Norwegian waters. Safety remains the number one priority in all Subsea 7’s operations, and powerful hazard identification, risk assessment and safety management processes all contribute to the highest levels of safety performance. In Norway, Subsea 7 has had no Lost Time Incidents in over a year during more than 2,000 vessel days and 12 current projects.

Subsea 7 is certainly well placed to meet this requirement. The company has extensive global project experience in every element of subsea construction and engineering, from conceptual design through to installation and commissioning.

“Many of our areas of technological expertise are not what clients expect from an ‘installer’; flow assurance, Finite Element Analysis (FEA), concept analysis, structural riser design, the development of Autonomous Inspection Vehicles and other cutting-edge areas.”

“We have executed a huge number and diversity of subsea projects on a worldwide basis, and we harness all this technological expertise and know-how into safe, reliable delivery,” says Sunde.

As a result of this experience, the company is an acknowledged leader in key sectors of the subsea market, including Subsea Umbilicals, Risers and Flowlines (SURF) and Life-of-Field (LOF).

Subsea 7’s Seven Borealis a world-leading pipelay and subsea construction vessel

The subsea market Subsea installation is already a major growth sector of the oil and gas market, as operators explore technological alternatives to conventional offshore drilling and platform production, most notably for deepwater field developments. Industry analysts forecast that subsea production will match or exceed conventional platform production in the next 15 years, with the subsea processing market in particular estimated to grow from its current annual value of $500 million to a projected $8 billion by 2020. As subsea infrastructure grows in size and complexity to meet the demands of higher pressure deepwater installation, an increasing number of operators are demonstrating a preference for the packaged EPIC (Engineering, Procurement, Installation and Commissioning) or EPCI (Engineering, Procurement, Construction and Installation) contract models, which only a number of large top-tier contractors are able to deliver. “Innovative subsea technologies and large EPIC/EPCI contracts represent the future, but cost and reliability remain the two principal drivers in this industry,” says Thomas Sunde, Subsea 7 Vice President Technology. “Operators are prepared to give increased installation responsibilities to their contractors – but they want confidence in the contractors’ track record.”

SUBSEA 7

www.ogsmag.com

53 97

Providing Oil & Gas solutions for tomorrow’s needs

EverSea provides integrated contract solutions to the following focus markets: • engineering, procurement, construction and installation of minimum facility platforms; • engineering, preparation, removal and disposal of decommissioned platforms; • offshore service and maintenance support for platforms facilities; • well intervention services and P&A of wells. EverSea NV Part of GeoSea NV Haven 1025, Scheldedijk 30 . B-2070 Zwijndrecht, Belgium T +32 3 250 53 12 . F +32 3 250 55 41 info.eversea@deme-group.com . www.deme-group.com/eversea

FPAL Registration N°: 10054164

Member of the DEME-Group

Keeping you

connected at sea

Delivering high-powered satellite capacity across Europe and the Middle East Regardless of location, whether on land or at sea, Telenor Satellite Broadcasting provides uncompromised satellite-based communication solutions , helping you to stay connected at all times. www.telenorsat.com