European Oil and Gas Issue 103 Final Edition

issue 103 ď ˇ FINAL

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Achieving Fast-reacting, flexible energy sources can ensure security of supply

Risky business Pursuing investments and managing corruption risks Watch your waste The importance of treating wastewater from fracking

this ISSUE: The challenges of noise control

Editors Chairman Andrew Schofield Group Managing Director Mike Tulloch

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Over the

coming years the energy sector is set to change, particularly as we continue with the drive to decarbonise our supply and ensure that renewable energies such as wind and solar account for a greater share of many European countries’ energy mix. While this will undoubtedly help us meet the ever more stringent environmental regulations, the increased use of renewable energies brings its own challenges in relation to security of supply, affordability and sustainability.

The problem is that renewable energy can fluctuate – it is, in many cases dependent on the weather after all. It’s this consideration that has led operators to look to the development of fast-reacting and flexible back up energy sources that can ensure a secure, balanced grid, which is addressed in our lead feature this issue. We speak with Melle Kruisdijk of Wärtsilä, who believes that gas-fired generation from flexible and efficient gas plants could be the answer.

As ever in the oil and gas industry, one of the main hurdles at present is overcoming the regulatory and financial challenges of bringing such technology to market. Whatever your opinions on Europe’s future energy mix, as Melle says: “Ultimately we have to see change so that we can create a balanced, secure and effective energy mix for the future.”

“In fact, it is estimated that by 2050 CCS could reduce CO2 emissions by 0.6 billion tonnes in the EU and by nine to 16 billion tonnes worldwide

editors Libbie Hammond & matt high

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Art Editor Gérard Roadley-Battin Advertising Design Jenni Newman Production Manager Fleur Conway Production Administrator Vicky Howes

Ultimately we have to see change so that we can create a balanced, secure and effective energy mix for the future”

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Managing Editor Libbie Hammond libbie@schofieldpublishing.co.uk Editor Matt High mhigh@schofieldpublishing.co.uk Staff Writers Jo Cooper Drew Dann Steve Nash Editorial Administrator Emma Harris

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Regulars

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Fast-reacting, flexible energy sources can ensure security of supply

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IT

Big data and its challenges in oil and gas projects and organisations

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News

A look at some of the recent developments within the oil and gas industry

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Lead feature

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HSE

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Technology

Pursuing investments and managing corruption risk in Latin America

The importance of treating wastewater from fracking operations

The operational and reputation challenges of noise control in E&P

23 E.ON Gas Storage UK 25 NIS Gazprom Neft 32 Poole Process Equipment 34 Offshore Energy 2013 - Conbit 37 TESS 40 Lamons Nederland 42 VerdErg Connectors 44 Preem 47 TSC Offshore 49 Energinet.dk 34 53 OHT 55 Feoso Malaysia 59 Rodoverken 61 GPT 64 Awilco LNG 66 Innovative Input 61 68 Duiker Combustion Engineers 70 Oil States Skagit Smatco

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Profiles

Lead feature

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73 DanCopter 12

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Contents

126 Panalpina World Transport 129 Integrated Drilling Equipment 133 Aries Marine Corporation 138 Aalborg CPS 141 PV Drilling 145 Hendrik Veder Group 147 Oilgear Towler 153 Oceaneering International 156 Siemens Industry Automation

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101 Audex Pte 104 BHDT 106 Tideland Signal 108 Nordic Mining ASA 108 110 HCS Control Systems 112 STATS Group 115 Magyar Fรถldgรกztรกrolรณ Zrt 117 Muehlan 121 Vopak

and Drive Technologies

158 Hycrome (Europe) 160 Trelleborg Singapore PTE 162 BSM Valves 164 Serinus Energy 166 iXBlue 168 Plexus Group 166 170 Dolphin Heat Transfer 172 Matco Asia 174 Nordic Maritime 177 Sullom Voe Terminal

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75 WEC Engineers & Constructors 78 Floatel 80 IHC Motion Control 83 SAL Heavy Lift 88 ARCA Regler 90 Mellish Engineering Services 92 Lankhorst Ropes 95 Leni Gas and Oil 98 EAS/Electrical & Automation Systems

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Achieving

Melle Kruisdijk of Wärtsilä Power Plants discusses the importance of fast-reacting, flexible energy sources for ensuring security of supply

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Below Melle Kruisdijk, director of market development at Wärtsilä Power Plants

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here is little doubt that the energy sector is set to change in the future, particularly with the rise in demand for ensuring that renewable energies, such as wind and solar, account for a greater share of many European countries’ overall energy mix. The increased use of renewable energy, which brings its own challenges and raises issues around security of supply, affordability and environmental sustainability, means that utilities and system operators are looking towards fast-reacting and flexible backup energy sources to ensure a secure, balanced grid that can meet customer demand.

This is highly likely to come in the form of gas-fired generation from flexible and efficient gas plants that are capable of providing power in the event of fluctuations in renewable energy. Gas-fired plants are seen as the preferred

method of meeting this challenge over more traditional, or ‘inflexible’ forms of power generation like coal-fired plants or conventional CCGTs, which usually operate at baseload only.

European Oil and Gas Magazine recently discussed the recent developments within the new gas-fired plant market, as well as some of the potential regulatory challenges, with Melle Kruisdijk, director of market development responsible for leading market development activities in Europe, at Wärtsilä Power Plants, the global leader in Smart Power Generation. Wärtsilä sees Smart Power Generation as enabling the transition to a modern, sustainable power system due to its high efficiency, excellent operational flexibility, and multi-fuel capability. This technology has been developed by the business to provide a unique combination of features that will allow new horizons for sustainable, reliable and affordable power systems of the future.

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In order to highlight the importance of these developments, as well as illustrate the benefits of gas-fired plants in bringing the necessary flexibility to the grid, Wärtsilä recently commissioned a study by Imperial College London and Redpoint Energy, a specialist energy consultancy, to investigate the savings that could be made in the market in the foreseeable future. The study indicated a number of positives, including that a saving of £380 million to £550 million per annum could be achieved from 2020, depending on the wind sector. Furthermore, it was highlighted that these figures can rise to as high as £1.5 billion per annum in 2030 if renewable energy generation becomes a key contributor to the UK’s energy mix.

“In Europe in recent years we have seen a considerable focus on decarbonising the electricity sector to lower CO2 emissions, as well as a concentration on and support for

the development of renewable energy sources, the use of which has grown considerably,” Melle explained. “This has an affect on the residual part of the power generation sector, particularly as renewables have zero marginal running costs and thus take away a significant part of the operating hours of the rest of the generation fleet. They also bring down electricity prices in general so that the rest of the market has to deal with reduced operating hours and lower prices, and as a result many of these utilities are finding it difficult to keep plants profitable and are considering mothballing or even possibly decommissioning them.

“This has led to the key challenge, in that it raises concerns around the issues of security of supply in the market,” he continued. “At present there are discussions ongoing around these themes at a European level because it is highly important that for the medium term we

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The plants that we have developed can start up from a standstill to full load within five minutes, and then go from full load to a standstill within one minute again, and you can do that numerous times daily without any risk on the equipment’s life or operational capabilities

reform the market to ensure that security of supply is still maintained. This will undoubtedly impact the medium and longer-term outlooks for gas generation, particularly in the UK and Europe.”

Of course, different countries across Europe are developing their renewables programmes at different rates, with Germany in particular being a leader both in wind and in solar. “There has been some key developments, including very recently some of the larger utilities in Germany making public that they are considering closing down their gas fired generation because it is no longer profitable as a result of the growth in renewables,” Melle confirmed. “Where concerns around security of supply come into this is in the consideration that if this were to happen, then the levels or sustainability of wind power were to drop, the result will be a serious supply problem due to a lack of capacity on the grid.

“In dealing with this type of challenge it is important to distinguish between the two problems in security of supply,” he continued. “There is the longer-term problem of is there enough capacity to be able to meet peak demand? The more short-term challenge is the needed continuous balance between the inevitable fluctuations of the renewable energy sources in supply and demand, which is really where the flexibility comes in, and this what our solutions are able to address at Wärtsilä.”

It’s clear from Melle’s points that the key way to meet this challenge and ensure that the issue of security of supply

significant impact in the future, which is why it is something that needs to be addressed.”

While it is clear that steps are being taken to influence a change in the market, could more be done to make the markets work for flexible energy? There certainly needs to be further encouragement of the deployment of flexible energy sources and ensuring that the charges for imbalances are more cost reflective will be of high importance to create a market that values flexible energy. In order to achieve balance it will also be important for the market to be open for all participants to offer reserves of flexible energy to the system operator, while at the same time selling reserves to each other to meet their balancing needs.

“The balancing arrangement will likely come into force next year,” Melle said. “There are other issues that need to be looked at however, such as capacity mechanisms in place, which could jeopardize the market signals for flexibility.

It will also be important to measure the timing of these various policy measures. Firstly, the trading arrangements for balancing the power need to be addressed and improved, which will increase the investment cycle for more flexible power plants. Then it will be important to look at the specific markets for flexibility, which is a longer-term change that needs to implemented.”

At present, while the measures that Melle highlights clearly need to be addressed, there is little doubt of the importance of introducing flexibility into the energy markets, and at Wärtsilä, confidence in the company’s own technology remains high. “There is a lot of industry interest, with many of the leading figures saying that this is exactly what we need,” Melle pointed out. “At present we are just faced with the frustration of the lack of investment incentives with the market not presenting a favorable rewarding system.

I do however see a change looking ahead. The balancing arrangements are being addressed in the UK and in Europe and so I think that the future is positive. Ultimately we have to see change so that we can create a balanced, secure and effective energy mix for the future.”

Wärtsilä Power plants Melle Kruisdijk is director of market development at Wärtsilä Power Plants, and is responsible for leading the market development activities in Europe. He is a mechanical engineering graduate from Delft University of Technology and holds a Master in Business Administration from Berne University of Applied Science. He started his career in the energy industry in 1998 in a sales support function at Woodward Governor before joining Alstom Power in Switzerland. After holding several managerial positions in service management and strategy, he took on the position of business sales manager for new EPC turn-key Combined Cycle power plants in Europe. He joined Wärtsilä Power Plants in October 2011.

For further information please visit: wartsila.com/en/power-plants/highlights

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is addressed moving forwards is in the implementation of fast and flexible ‘back-up’ energy sources that can be implemented quickly and efficiently when needed, and are not excessively expensive due to their sporadic operation.

“Different technologies can be used to supply the flexibility that is necessary,” said Melle, “whether that is fastreacting gas plants such as those that we at Wärtsilä produce or other alternatives. Gas is well positioned to provide that flexibility because it is the most environmentally friendly conventional fuel with the least emissions, meaning that our gas plants represent an excellent opportunity.”

Wärtsilä’s technology and power solutions have been developed to deliver against the principles of Smart Power Generation (SPG), which is a set of requirements that the company believes need to be delivered to enable sustainable energy. Essentially, SPG requirements encompass the need for very high energy efficiency, the need for outstanding operational flexibility, and the need for multi-fuel operation.

Wärtsilä’s solutions are a form of highly flexible and efficient power plants that are based on reciprocating engines covering a capacity range of 10 to more than 500MW. “With the recent study we completed with Redpoint and Imperial College London we tried to illustrate that there are benefits of implementing SPG,” Melle added. “So, for example, we made the distinction between providing flexibility from a running/operational status to seeing what would happen if we required the same flexibility from a standstill position - and that is where our reciprocating engines come in to play. The plants that we have developed can start up from a standstill to full load within five minutes, and then go from full load to a standstill within one minute again, and you can do that numerous times daily without any risk on the equipment’s life or operational capabilities.

“Taking that into consideration then there are real advantages of implementing this type of flexibility. These plants are not running when they are not needed but they offer added value to operators in that they can provide the reserve flexibility that is needed to deal with any fluctuations that occur on the grid, and at the same time, when they are not running they are not taking any space on the grid that can be used by renewables. We were amazed by the results of the study, which we found very beneficial. The figures were really quite significant, which leads us to the ultimate question of why is no one investing in this technology yet?”

Unfortunately, there are still challenges in implementing this technology, as the positive investment market does not yet exist. “For the plant owner in the current market conditions, implementing our systems bring a very limited revenue stream, and that is where the challenges in investment lie. At present the problem lies in that there are no incentives to invest in this technology because the flexibility that the equipment can bring to the grid is not rewarded by any trading arrangements,” said Melle. “It hasn’t been a problem so far because the amount of renewable energy currently in the grid is limited, but it could have a

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Big

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challenges 8

Laura Shephard, of DataDirect Networks, discusses Big Data in oil and gas projects and organisations

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ompanies engaged in oil and gas exploration recognise the true value of speed and precision, with tens of billions of pounds being invested in new gas and oil development projects.

With this much money at stake, there is no room for anything but the most accurate information on where to drill, how much to bid on a site and how to apply the most sophisticated modeling and simulation technology to maximise reservoir performance. There are two fundamental ways in which oil and gas companies are pushing the boundaries of scientific discovery.

The first of these areas is higher-resolution capture methods, such as wide azimuth (WAZ), which uses a multisensor array to produce a higher-fidelity image, as well as newer approaches, such as multi-azimuth (MAZ) or rich azimuth (RAZ).

The second area where oil and gas companies are pushing the boundaries of scientific research is in constant algorithmic evolution. Incorporating new analytics that allow for continued advancement in the interpretation of seismic data both for new data coming in and also for historical oil fields.

By stretching the boundaries of scientific discovery, companies engaged in seismic exploration and processing are also pushing the limits of their underlying technology infrastructures. With the transition to these new formats outlined above, ‘single file sizes in excess of 100TBs are not uncommon, and this data must be ingested before it can be analysed’1.

According to Intersect360 Research, a market intelligence company specialising in high performance computing, “If there is a downside to the transition to these richer formats, it is in the vast increases in data sizes that companies must manage.”

One supercomputing class oil company summarised this as follows: “Before we go out into the field and contract with a company specialising in seismic data, we model the data in our computers… We’ve got a project that we’ve previously computed and moved the data off to tape, and there is about 115TB of data that we’re moving onto the spinning disk to do further analysis…”

The push for constant advances in algorithms puts even more pressure on the storage infrastructure to handle highvolume and high-density data. The oil and gas companies engaged in seismic processing can be much more precise in their discoveries if they can process larger data sets in shorter periods of time, so they can conduct a greater number of simulations within a specified time-frame.

In addition, another major change in seismic processing, which is also pushing the limits of data storage, is the use of pre-stack data in routine seismic interpretation and characterisation workflows. With pre-stack processing, organisations can use the entire seismic data set to create clearer understandings of earth models. This can help organisations make better business decisions in a much shorter time frame, but it puts a huge amount of pressure on the storage infrastructure. With pre-stack, “the storage requirements jump a hundred-fold and with that the stress on just about every component in the data chain: loading, storing, referencing and, most importantly, feeding to the computation/visualisation node of vast, randomly searched data samples in untold amounts,” according to an article in First Break2.

With pre-stack processing, organisations can use the entire seismic data set to create clever understandings of earth models. Not only does this help organisations make better business decisions in a much shorter timeframe, but also it puts a huge amount of pressure on the storage infrastructure.

The storage challenges faced by the oil and gas companies

1. Data Discovery: DDN Solutions for Seismic Processing, By Addison Snell, Intersect360 Research, September 2012 2. Intersect360 Research HPC market advisory service, “HPC user site census: Primary Applications at HPTC Sites”, August, 2011

DataDirect Networks Laura Shephard is director of HPC and Life Sciences Marketing at DataDirect Networks, the world’s largest, privately-held data storage infrastructure provider. The company has a unique focus on the requirements of today’s massive unstructured data generators, which has enabled it to develop a comprehensive product portfolio for big data applications that are optimised for the world’s most dataintensive environments.

For further information please visit: ddn.com

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engaged in seismic exploration and production are in many ways unique to their specific requirements, but are in other ways, somewhat representative of what other industries are experiencing in the push towards analysing vast amounts of data – often referred to as big data.

Big data has been described by McKinsey & Company as “the next frontier for innovation, competition and productivity.” The research firm IDC has characterised big data as one of the four pillars of computing’s next dominant platform, along with cloud computing, social networking and mobility.

Gartner has defined big data as a term to describe “extreme information management and processing issues that exceed the capability of traditional technology along one or multiple dimensions to support the use of information assets.” This characterisation certainly fits the challenges faced in seismic processing, in particular, the growing volume of data, and the speed at which it must be processed and analysed.

Inputs Outputs per Second (IOPS), a common performance measurement used to benchmark computer storage devices, is a major challenge for oil and gas companies and their big data workflows, and similarly storage capacity and I/O bandwidth are often cited as the two most important storage attributes for big data applications.

In upstream oil and gas applications like processing, high performance for both IOPs and bandwidth are critical to the speed of the overall workflow, and this means storage can become the biggest bottleneck in the race to discovery.

High-performance storage solutions, such as those from DataDirect Networks (DDN), must be designed to meet the most pressing storage challenges of the seismic processing, namely: capacity, speed, performance and scalability.

DDN | SFA12K™ combines SATA, SAS and solid-state disks into a simply managed, massively scalable, multi-

petabyte platform that can be tailored to a balance of throughput and capacity. Data resides on the optimal disk technology, according to priority and access pattern, while the system sets the appropriate RAID level to maximise performance and cost-effectiveness. In the background, the system performs multiple levels of parity generation and realtime data integrity verification and error correction without impacting application performance.

The SFA12K is capable of 40GB/second of throughput for both reads and writes, 1.4 million disk IOPS and 1.7 million cached IOPS. The combination of modularity and performance feature allows users in seismic processing environments to configure systems that meet current and foreseeable size and performance needs.

There is no doubt that the leaders in the oil and gas industry will continue pushing the envelope for any competitive advantage in their quest to discover and manage the richest and most profitable reservoirs. It should be no surprise that, of all vertical markets in high performance technical computing, it is the oil and gas companies that have the highest overall rate of internal software usage – programmes and algorithms that are developed in house2.

Better technology yields better information and better information yields better results.

The shift to higher resolution capture methods, the constant evolution of algorithms and the increased use of pre-stack data are drivers of breakthrough discoveries, and drivers of dramatic changes in the requirements demanded from the underlying storage infrastructure. Storage solutions must be designed to deliver on the speed, precision, capacity, scalability and performance required for oil and gas companies to achieve both their scientific goals and their long-term business goals. DDN has been able to consistently deliver on all of these measures to some of the world’s largest national, major and independent energy companies and we are proud of our role in working with partners and customers in seismic exploration and production to push the boundaries of discovery.

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IT

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Above: (l-r) Frederic Delormel, executive vice president and chief operating officer subsea, and Bill Morrice, UK managing director

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Building for future Technip, world leader in project management, engineering and construction for the energy industry, has opened its brand new purposebuilt UK subsea headquarters in Westhill, on the outskirts of Aberdeen. Reinforcing the company’s

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long-term commitment to serving the North Sea market, this new

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Technip’s people, a key priority for

site brings much of the company’s 1200-strong workforce together onto one site and aims at improving the quality of facilities for employees, which supports the development of the Group.

This £15 million redevelopment project saw the construction of a 60,000 sq ft building and one and a half storey car park to replace existing buildings on the site. Bill Morrice, managing director of Technip’s UK operating centre, said: “The development of our Westhill site comes at an extremely positive time for the company. Providing these new facilities is an important step for us as we aim to ensure we continue to be in the best possible position to meet our clients’ developing needs, both now and in the future. People are central to Technip’s success and the investment in a new purpose-built site reinforces the company’s long-term connection of over 40 years with Westhill and its commitment to the North Sea market.”

Above: CNR International’s Murchison platform, which faces decommissioning

Important training Decommissioning industry body Decom North Sea (DNS) is launching a new training course to give an overview of the increasingly important sector.

With decommissioning spend forecast to be around £1 billion a year for decades to come and the Government recently announcing changes to bring more stability to the sector, increased employee numbers will be needed to maximise the opportunities on offer to the supply chain.

As a result, DNS is to start holding two-day training courses in key locations across the UK to give an overview of the activity involved with offshore decommissioning, how it is currently undertaken and what the future could look like. The first is taking place in Aberdeen on November 20th and 21st, with further courses to be scheduled for next year.

These are the first training courses to be offered by DNS and are aimed at anyone working in, connected to or with an interest in decommissioning, including operators, contractors, regulators and the financial services sector.

DNS director Callum Falconer, said: “Decom North Sea has now established a clear strategy in delivering value to its members, and this offering is aligned to this strategy. We believe these courses will increase knowledge of decommissioning and create a common understanding across our industry that will be of significant benefit to people working within our sector.”

Consult the experts Statoil has awarded a major frame agreement for drilling and well technology consultancy manpower to AGR Consultancy in Norway. Starting in January 2014, the agreement mainly covers Statoil’s operations in Norway, but the services may be performed globally. The five-year contract has extension options, which could see it extend to ten years in total.

Based in Stavanger, the Norwegian AGR Consultancy team, part of global oil and gas service provider AGR, has grown considerably in recent years and is aiming for further growth under new manager Thomas Veseth Saue. As well as Norway, AGR Consultancy has teams in Aberdeen, Perth and Houston, and associated offices in all the main oil hubs around the world.

Welcoming the latest contract win, Sjur Talstad, AGR’s executive vice president Norway and Russia, said: “We currently have a contract with Statoil for consultancy services and the company’s renewal of the agreement demonstrates how satisfied they have been with the quality of our consultants.

“AGR has placed consultants for more than 180 clients in over 100 locations. What gives AGR Consultancy the advantage in this competitive market is being a business division within AGR, with its unrivalled expertise in well, reservoir and facilities engineering.”

News

Above: Proserv chief executive, David Lamont (right), receives Private Equity Backed Business Entrepreneur of the Year Award from Mark Sesnan, managing director of GLL

The chief executive of rapidly growing energy technology services company Proserv has scooped the award for

Subsea specialist ROVOP has appointed a finance director to further strengthen the company’s position for future growth. Alan Shanks takes up the post and also joins ROVOP’s board of directors, bringing extensive experience in successfully facilitating and managing strategic business expansion from a financial perspective.

Previously financial director for subsea oil and gas group, Harkand ISS, Alan’s track record also includes considerable experience of working with owner managed and private equity backed businesses to help drive forward growth.

Steven Gray, managing director at ROVOP, said Alan further strengthened the management team at the independent company, which focuses exclusively on providing remotely operated vehicle (ROV) services for the oil and gas and offshore wind markets.

He said: “ROVOP has experienced exceptional growth since it was established and Alan joins at a time when the company enters an exciting new chapter. We are particularly pleased to have attracted someone of Alan’s caliber because his great depth of knowledge, both at an industry and corporate level, will be pivotal to helping ROVOP further build on its growth.”

Alan added: “I’m joining an experienced and knowledgeable team. Their notable achievements and dynamic nature makes ROVOP an attractive company to work with and I look forward to playing a role in future successes.”

Private Equity Backed Business in the

Reaching new depths

and production, drilling, and

Churchill Drilling Tools, the provider of reliable and easy to use systems for the drilling and completions markets, has announced the deployment of its dart activated DAV MX™ circulating valve at a record measured depth of 26,012ft.

Churchill’s DAV MX and its Smart Dart™ activation technology were deployed at the record depth in a development well off Louisiana in the Gulf of Mexico. Enabling rapid and assured reamer bypass in a sidetrack operation, the application exploited the deepwater capability of the Smart Dart to withstand both rapid delivery speeds and high temperature and pressure variations.

Using its multi-cycle capability, bypass deactivation was equally simple and assured as the assembly was pulled from hole. This proved the capability of the system to give the operator total control over both the fluid path directions and the drilling equipment whilst maintaining the well control flow-rate objectives set out in the programme.

The DAV MX is used globally across a range of drilling environments including deepwater, high-pressure, high-temperature (HPHT) and high-angle extended reach drilling. The Mechanical Extrusion system is significantly more reliable, faster and more cost effective than polymer extrusion, the process used for traditional ball-activated systems. The system’s previous record deployment exceeded 16,000ft in a well West of Shetland.

exceptional growth over the past 12

EY UK Entrepreneur of the Year 2013 awards.

David Lamont was praised for the company’s impressive acquisition strategy, its geographical reach and the opportunities for further expansion.

Mr Lamont reached the UK final after winning the Scottish Entrepreneur of the Year title in June. At the Scottish awards he had been recognised for moulding “a phenomenal business of a truly global nature”.

Proserv, which is headquartered in Westhill, Aberdeenshire, has fast emerged as a leading industry specialist in exploration infrastructure technical solutions and services to the global energy industry.

The company has experienced months particularly in the subsea services sector.

Mr Lamont said: “This award is a tribute to the hard work and dedication of everyone at Proserv, indeed we believe it is the Proserv people and the way we work as a team that is the single greatest reason for our success and bright future.

While I am very proud of this award and what Proserv has achieved over the last few years, I am most excited about what the future holds for us and ensuring we deliver on our very considerable potential.”

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Strengthened team

Award winning business

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Above: Alan Shanks, newly appointed finance director at ROVOP

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Risky European oil & gas

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business

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Tony Duthie and Rik Workman of Forensic Risk Alliance, on pursuing investments and managing corruption risks in Latin America

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s Europe economically stagnates, or at best returns to anaemic growth, Latin America, along with other emerging markets, continues to become an increasingly attractive investment destination. With an abundance of natural resources, low cost labour and growing populations (and middle classes) seeking improved living standards, international businesses have expanded their footprint. But is the level of governance and transparency, so increasingly important to investors and regulators, in the Latin American private and public sectors developing at an equally rapid rate?

The most recent Transparency International CPI report on the perception of public sector corruption suggests not. Whilst TI placed more than half of the Latin America countries in the top half of its Index only three countries - Chile, Uruguay and Costa Rica – were attributed a score of above 50. Indeed, whilst this may suggest a degree of progress, the Index also found that two thirds of America’s countries scored below 50, that is they were perceived to be more corrupt than not.

Removing the US and Canada from this grouping, the picture of Latin America is even worse.

In recent years, international law enforcement, led of course by the US, has prosecuted many international businesses and businessmen involved in bribery in Latin America. The prosecutions of Alcatel-Lucent, Siemens, Biomet, ABB and Pride International span an array of industrial sectors and numerous Latin American countries.

The penalties of some $800m imposed by the US DoJ and the SEC against Siemens still rank as number one in its FCPA enforcement (Foreign Corrupt Practices Act) efforts.

In Latin America, Siemens paid bribes to public officials in Venezuela through sham consulting agreements with local ‘fixers’ in connection with transport infrastructure, used shell companies and middlemen in Argentina and is still being investigated in Mexico regarding allegations surrounding bribes paid to officials of PEMEX, the National Oil Company.

The US FCPA medical devices investigation prosecuted Biomet for paying bribes to doctors in Argentina and Brazil to recommend and purchase its products, a practice that has been widespread for years. In Mexico, ABB used fictitious invoices and gave a Ferrari and a yacht to local officials. In Argentina, one medical device case had the perverse scenario of bribes being discovered by the tax police, yet instead of prosecution, the doctors were simply asked to pay tax on their illegal earnings.

In today’s world of global business comes expanded global enforcement and co-operation. Anti-corruption authorities

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are sharing information and intelligence on an increasing scale as the OECD and the US look to help emerging countries improve their own national enforcement capabilities.

Furthermore, international development agencies such as the World Bank are also vigorously investigating corruption allegations linked to the projects it finances. Siemens itself was debarred – or voluntarily agreed – from bidding on World Bank projects for two years.

Articles such as this require by definition sweeping generalisations and as such need to be appropriately caveated – recognising the geographical, economic and political diversity in the continent and indeed within the countries themselves, we thought we should highlight some relevant themes as regards some key Latin American oil and gas markets, as well as some more general trends in the natural resources sector.

Democratisation Similar to many other countries in Asia and West Africa in particular, greater freedom of information as well as growing middle classes, have led to an to increasing ‘democratisation’ and scrutiny – evidenced both in the media (especially social but also print and TV) as well as in the polling booth. This in turn has led to changes in elected governments, increased accountability, retrospective scrutiny and demands for reform.

For example, in Brazil the street protests in June during the globally televised FIFA Confederations Cup, the dress rehearsal for the 2014 World Cup, were transmitted all around the world. What started off as a protest against increases in bus fares quickly turned into a wider protest

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against the government, the poor quality of public services and public sector corruption, which despite Brazil’s economic growth over the past decade, remains high at all levels of government and is particularly entrenched in respect of certain areas (e.g. customs, certain municipalities, police and the military). As a result, and in unprecedentedly short time for the Brazilian Congress, a new anti-corruption legislation law was passed that, for the first time, will make businesses vicariously liable for the bribes paid by their employees to either Brazilian public officials or foreign public officials. This new legislation follows pressure from the OECD and its 2007 peer review of its then existing laws. When enacted, the key to the commitment to root out public sector corruption will be measured against what it always has been, namely enforcement.

Similarly the revelations around the mensalao scandal, where millions of dollars were paid in bribes to members of Congress, 25 of whom were convicted in 2012 including chief of staff Jose Dirceu to former President da Silva, points to greater transparency, accountability and critically enforcement – especially in the context of changes in Government.

What is also interesting is the direct impact that this ‘democratisation’ can have on both inward and outward foreign investment. For example, in Guinea, Vale, the giant Brazilian mining group which acquired its stake in the Simandou mountain project from Beny Steinmetz Group Resources, has put the iron ore project on hold in light of the recently and democratically-elected Guinean government’s review of the award of the original licences and mining rights.

Nationalisation There are several examples of asset expropriations in Latin America. Most recently Argentina and Repsol, and historically Venezuela has been a noticeable recidivist. Typically the motivation is politically driven resource nationalism with contractual breaches and corruption allegations providing the justification. However, Latin America’s dilemma is an ongoing need for international investment, perhaps best demonstrated

by Argentina’s recent ‘partial U-turn’ and its current Pemex backed efforts to re-attract Repsol’s millions by offering it a stake in Argentina’s shale formation.

Certainly as regards Venezuela, there is too much oil and gas in the county for international investors to stay away permanently. Whilst the source of overseas investment during the Chavez years for the most part moved away from western partners, ventures with Russia and China in particular, grew. Ventures with Gazprom and CNPC have been established and even Chevron has re-invested.

Venezuela remains an investment destination despite it remaining stubbornly perceived as one of the most corrupt countries in which to do business (it ranks as the most corrupt Latin American country – TI’s Index placed it 165 out of 176 scoring only 19 out of 100).

Investors with sufficiently robust pre-investment due

diligence procedures and operational controls (which we discuss further below) are able to operate in these higher risk locations for appropriately higher returns. The key is to have sufficient and well-documented pre-investment due diligence to mitigate these corruption risks before they crystallise. It is also key to be able to walk away from an investment if this cannot be achieved and demonstrate a track record of doing so.

This is further the case for investment structures that include multilateral and/or commercial political risk insurance mitigations. It is key to ensure the preinvestment DD can address fraud and corruption risks as any subsequent allegations and evidence of such risks can render policies null and void. We are also beginning to see examples where such allegations are being used by states to try to strike out their obligations under relevant Bilateral Investment Treaty arbitrations.

‘Operational’ corruption Day to day graft, extortion, bribery or facilitation payments are endemic – recent FCPA prosecutions and investigations in the oil and gas sectors have touched on Brazil, Argentina, Colombia, Venezuela and Mexico as mentioned above.

Typical touch points in natural resources include customs, tax, local government and industry bodies (permitting and planning permissions etc.), environmental agencies, trade unions etc.

The risks here are unlikely to threaten the viability of an investment (although not always the case) but expose the company to potentially extremely costly investigation risks – costly in terms of fees to external lawyers and forensic accountants as well as management time and supply chain impact. The drive for local content often requires the extensive use of local vendors and investors, which can heighten the risks.

A good example of these operational risks can be seen in the numerous Panalpina related investigations and prosecutions, which touched on a number of countries globally including Brazil. The allegations surrounded customs clearance processes and bribes to expedite or avoid altogether cumbersome procedures – around for example customs assessment, temporary importations, pre-clearance regimes etc. The impact the investigations had on the logistics and in-country operations of the oil services companies cannot be understated. In addition, the companies that used Panalpina paid out very significant fines and investigation costs.

Various risks exist in direct or indirect interactions with public officials. Managing these risks can only be effectively done by carrying out iterative risk assessments, transactional testing and implementing effective controls within key operations (e.g. logistics, tax, employment, CSR etc.) to prevent red flags from arising before they are contracted for, accounting to prevent payment in the event a red flag is spotted after the event and within compliance and internal audit – to prevent systemic red flags.

Lead two

European oil & gas

Corruption risks in Latin American remain high partly due to the endemic corruption within certain entities and offices but increasingly due to the local, international and multilateral regulatory enforcement regimes.

This is true in Latin America and elsewhere (e.g. GSK and China).

Dealings with public officials and entities must be highly transparent both pre-investment as well as throughout the operational phases.

Senior legal and compliance oversight is a constant requirement.

With close oversight in the early years of an investment, the culture and practices of local employees can be directed towards a system where incidents or concerns over bribery can be caught at the earliest possible opportunity. No system is perfect, and an on-going confidential whistleblower process in which local employees have faith, can greatly help a business operate to its highest compliance standards.

A compliance driven culture allows companies to pursue higher risk and higher return investments. It underpins the value of the investment and protects investors from financial and personal risk. Given the typical value, profile and economic lifecycle of natural resource investments, businesses need to address and mitigate corruption risks up front and over time.

Furthermore, as enforcement trends build momentum, it is always useful to consider how business conducted today will look a decade down the line – bribery and corruption investigations take time and are often concluded five to ten years (or more) after the actual incident occurred – governments change, and what was perceived as acceptable business practices a decade or more ago is seen as far from acceptable now.

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Conclusion

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Forensic Risk Alliance Toby Duthie, partner and Rik Workman, partner are from Forensic Risk Alliance, an expert provider of international eDiscovery and data forensics solutions and foreign accounting services. As a litigation consulting firm the company specialises in supporting clients facing cross-border litigation and multi-jurisdictional anti-corruption cases.

For further information please visit: forensicrisk.com

waste Watch your

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Water companies need to get more creative in their approach to the treatment of wastewater from fracking, as Richard Coulton explains

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Below Richard Coulton, CEO of Siltbuster Group

he recent exploitation of shale gas has dramatically increased the natural gas reserves in the US and from a consumer’s point of view has, in the short-term, significantly reduced energy costs. This trend now looks set to be repeated worldwide and in particular in those European countries such as the UK and Poland, where similar geological conditions exist.

Like any energy source shale gas exploitation has an environmental impact, be that the effect of carbon based energy sources on global warming or localised impact during drilling and well development processes. These issues are not new and lie at the heart of the debate on how best to meet the ever-increasing worldwide demand for energy on a more sustainable basis.

What is new about shale gas exploitation is that, unlike conventional oil or gas well drilling, shale gas exploitation generates a significant volume of wastewater, particularly in the short term during the well development stage and to a lesser extent throughout the operational life of the well, as well as in the long-term from limited drainage from the fractured strata (produced water).

As the gas is found at great depths beneath the surface in highly compressed low permeability strata, it is necessary to artificially increase the permeability of the rock by hydraulically fracturing to allow the gas to flow into the well. Hydraulic fracturing (fracking) was first developed in the 1940s and has subsequently been used to enhance the recovery from over a million oil wells. The process is not new, it is well established. The associated risks are known and as far as possible have, based on previous experience, been managed down to an acceptable level.

During the fracking process, significant amounts of fluid are pumped into the formation at high pressure to open existing fissures or develop new ones. Typically this fluid comprises 90 per cent water, around ten per cent sand (to hold the fissures

open whilst oil, gas and formation water flows into the well) and less than 0.5 per cent other additives (to keep the sand in suspension and improve fissure penetration).

Once the high-pressure fracking pumps are switched off, the sand filled fissures partially close up and a proportion of the fluid flows back to the surface (flowback). Unlike conventional oil/gas wells the relatively low permeability of the shale means that a significant proportion of the fracking water flows back to the surface for either re-use or disposal.

As each well is fractured in a number of short discrete lengths, the returned fluid can, with suitable treatment, be reused to fracture other sections of the well, thereby minimising the overall volume of wastewater generated. However, even with re-use, the development of each well results in the generation of a significant amount of wastewater.

Water also continues to seep out of the formation during the operational life of the well, albeit at a much reduced rate.

Initially its composition will be similar to the fracking fluid but will eventually revert to that of the formation water.

Historically, this water was not reused and was either discharged locally or tankered away to the nearest municipal waste water treatment plant. Options that are no longer economically or environmentally acceptable.

So, what are the key issues the water industry is faced with in developing a strategy for treating wastewater from the rapidly developing European shale gas industry? Different treatment strategies are required to allow the re-use of flowback water for ongoing fracking operations from those used to manage the off-site disposal of both the excess flowback water and the small volumes of production rate generated throughout the operational life of the well.

During fracking on-site water treatment systems are

HSE

As the characteristics of the water generated from each gas field is different and each drilling contractor uses their own blend of additives during the fracking, the on-site treatment technology needs to be not only mobile, but also sufficiently flexible to cope with this variability. Consequently a one size fits all approach is not always viable and the water treatment system, based on a modular approach tailored to site specific chemistry, is required to provide the most effective approach in both maximising water re-use and minimising cost. To achieve this, the water treatment industry needs to: 66 Work closely with the drilling contractor to fully understand the nature of the contaminants to be removed and treated water requirements.

66 Move out of its current comfort zone of working either in the laboratory or a fixed location/permanent water

Shale gas is probably set to become a significant energy source. The challenge for the European water industry is to recognise this opportunity and develop appropriate treatment solutions for the wastewater generated.

Siltbuster Group Richard Coulton is CEO of Siltbuster Group, the UK’s leading authority on water treatment, wet waste and the prevention of waterborne pollution for construction sites. The business, which consists of highly experienced process engineers backed by the largest and most varied fleet of water treatment equipment in the UK, offers an unrivalled range of solutions for silt management and the prevention, control and treatment of water contamination.

For further information please visit: siltbuster.com, Call 01600 772256 Email enquire@siltbuster.com

European oil & gas

required to treat the flowback water to a suitable standard for re-use without detrimental impact on the well. To achieve this, a mobile treatment solution is required to: 66 Remove suspended solids through flotation and/or clarification.

66 Reduce the concentration of scale forming constituents (such as calcium, magnesium, barium iron and manganese) by chemical precipitation.

66 Break down and remove unwanted organic compounds (such as hydrocarbons and organic based additives) by chemical/electrochemical oxidation followed by flotation/ clarification.

66 Destroy bacteria that could potentially adversely affect the performance of the wells using a combination of chemical oxidation (i.e. by the use of chlorine, ozone, etc.), UV sterilisation or the addition of biocides.

The requirements for off-site disposal of excess flowback and production waters are dictated by the ultimate need to release this water back into the environment without causing harm. In the US the most common method of disposal is to pump the water back deep underground via injection wells into suitably isolated geological strata, where the natural ground water is similar to that of the wastewater. However, such an approach is likely to be less acceptable in Europe due to increased environmental concerns regarding the small but perceived risk of shallow groundwater pollution from leaky injection wells and the possibility of inducing minor earth tremors. Consequently there is increased reliance on the wastewater industry treating this water to a suitable standard for disposal to surface water.

To achieve this the principal issues that need to be addressed by the wastewater industry are: 66 The very high Total Dissolved Solids (TDS - chlorides and to a lesser extent sulphate) concentration found in the water. As these are typically around 100,000mg/l (but can be as high as 300,000mg/l) the use of RO to concentrate the TDS in a reduced volume is not viable and other options such as thermal evaporation are cost prohibitive.

As a result, for most applications, the only economically viable option is tankering the wastewater off-site and diluting other wastewater streams to concentrations suitable for release into the environment following treatment to remove suspended solids and reduce the BOD/COD. 66 The removal of naturally occurring radioactive Minerals (NORMs) to safe level by chemical precipitation.

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treatment facility and move on to site with the drilling contractor.

66 Develop a range of portable water treatment solutions that can be redeployed in a matter of days as the drilling contractor moves from one well location to another.

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advice Sound

Calum Forsyth, CEO of IAC Acoustics, analyses the operational and reputational challenge noise control poses for the industry

A

n evolving industry

In recent years the oil and gas industry has witnessed nothing short of a minirevolution: thanks to technological advances in horizontal drilling, combined with hydraulic fracturing, previously unreachable reserves of oil and gas are now becoming commercially viable to extract. This change has been most profoundly felt in the US, where shale gas is gradually transforming the country from an importer to a net exporter of energy, while at the same time providing cheaper feedstock for the nation’s manufacturing industry.

Many European governments, looking on with envy, are now trying to kick-start their own energy revolution,

with the UK, Germany and Poland amongst a number of countries who have granted exploratory licenses to operators willing to commit the time and money required to confirm the size of the resource in place. In some cases, the numbers are already tantalising. For example, in June the British Geological Survey estimated that the UK could secure at least 25 years’ worth of gas from just one prospect in the northwest of the country1.

While the economic and social benefits from this new source of energy are clear, shifting the focus of exploration to onshore Europe, many parts of which are densely populated, poses a new set of challenges for an industry that has predominantly operated offshore for many years.

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Noise as an onshore pollutant One of these key challenges is the issue of noise. Like any other industrial sector, noise is by no means a new issue for the energy industry – particularly for oil and gas companies, who have been tasked with protecting their employees from the considerable operational noise experienced on drilling rigs around the world. However, as the industry comes into closer proximity with communities across Europe, gaining the consent of the public to explore – what’s referred to as a ‘social license to operate’ – requires a cultural shift in how the industry views issues like noise. This sentiment was echoed recently by the International Energy Agency, which cited public acceptance as the biggest obstacle facing the nascent onshore exploration industry in Europe.

Simply put, as the scale of onshore exploration expands in the coming years in Europe, so too will the level of noise associated with it. In a number of cases, the exploratory wells will be located just a few hundred metres from households or environmentally sensitive habitats. As a result, companies operating within the industry are set to come under increasing pressure – regulatory, politically and reputationally - to recognise and mitigate the impacts of their operations on the communities surrounding their sites.

As a result of the rapid pace at which the industry has grown in Europe in recent years, the regulatory regime for noise from onshore exploration is only beginning to catch up. While the European Union has 19 pieces of existing or proposed legislation that regulates different

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As previously highlighted, the onshore focus of Europe’s nascent exploration industry will require oil and gas companies to take the impact of site noise on local residents into much greater consideration elements of onshore exploration, such as the Water Framework Directive and the Environmental Impact Assessment (EIA) Directive, there is still no noise-specific regulation for the industry. In its absence, some Member States have taken the initiative and elected to bring forward their own guidelines; for example, in July the UK Government published a new set of ‘Planning practice guidance for onshore oil and gas’ that identifies noise as one of the key issues to be considered as part of the planning process2. It also emphasises the importance of operators conducting robust noise mapping assessments to document the baseline level of ambient noise prior to any operations commencing on site.

Protecting onsite rig personnel While minimising the impact of noise on nearby communities will be essential for operators to gain public trust, they must also ensure that they continue to protect their staff working on the rigs themselves.

Onsite rig personnel are naturally the most affected by industry noise, being subjected to the high volumes in closer proximity, and for a more prolonged period of time than those outside the site. Deafness and other hearing-related problems such as tinnitus are common risks of insufficient noise control, and – if severe enough to require medical treatment – can directly affect a company’s overall business performance, as sick leave results in lost manpower, working hours and, in turn, industry output.

The distraction of noise can also significantly reduce workers’ levels of concentration, which is particularly dangerous given the high-risk environment of an oil or gas plant. Reduced productivity is a by-product of lost

concentration and, for the same reasons as sickness leave, can also diminish overall business performance. A study into worker productivity in the oil and gas industry found that whilst many enterprises consider the productivity of their employees to be linked to their skills and ability, as much as 86 per cent of productivity problems actually reside in the employees’ work environment3. Noise, as a consistent background disturbance, plays a large role in this environment.

Aside from the physiological health consequences of acoustic overexposure, noise at oil and gas sites also poses a very real physical threat due to the mechanical stress it places on the machinery and equipment. Noiseinduced vibrations and pulsations in the rig apparatus can reach extremely high frequency and – if appropriate control products are not put in place – can cause cracks and fractures in the apparatus and lead to potentially fatal explosions and fire. In addition to the clear health and safety impact that such an incident would have on the workforce and those living in the immediate vicinity, an industrial accident would also be extremely detrimental to the company’s reputation and operational ability; a fact that helps to demonstrate the close connection between noise, health and safety, business repute and business performance.

In contrast to the framework for onshore noise pollution facing communities, there are already a number of measures and noise-related rules in place to reduce the impact of high decibel ratings on industry workers. The UK’s Control of Noise at Work Regulations for example, state that employees should not be exposed to noise levels higher than 80 dB (A-weighted).

In many spheres, the oil and gas industry is viewed in a negative light, and the creation of a healthy and safe environment is a crucial means of ensuring that damaging opinions are kept to a minimum. A great deal of negative press for the onshore oil and gas industry relates to acousticrelated concerns, with noise induced stress and irritation particularly common. Whilst industry regulations state that noise generated by the rig must not be higher than the ambient noise measured before the site was there, the quiet, rural environment in which many of the proposed oil and gas plants will be located will mean that in reality, at least a low level of noise is likely to be audible. As previously highlighted, the onshore focus of Europe’s nascent exploration industry will require oil and gas companies to take the impact of site noise on local residents into much greater consideration.

On a strategic level, noise can impact the health of the business. Even before an onshore oil rig is operational, the perceived level of noise that the site will generate is often a major source of disapproval in the local vicinity. Aside from the mechanical equipment and apparatus that emit loud noises in themselves, the sound from the workforce and increased traffic in the area are also often concerns. Noise is one of the most cited objections to the commissioning of onshore oil and gas sites, both at the planning and operational stage. At worst, such complaints could result in refused planning permission for the rig and at best, they could lay the foundations for ongoing community animosity towards the site, which can damage the company’s – and therefore industry’s - repute and potentially harm future business in the area.

In the oil and gas sector such outcomes would be farreaching and could severely hamper Europe’s projected energy production figures. If the onshore oil and gas sector is going to develop and become a widely accepted part of the energy provision network, companies acting in the field need to address noise-based issues up front. Incorporating practical and effective acoustic control products into the core fabric of site buildings and equipment can help, by tackling the issue of noise from the outset as a means of upholding industry regulations, maintaining good community relations and conveying a positive corporate image.

1 The Carboniferous Bowland Shale gas study: geology and resource estimation,

https://www.gov.uk/government/uploads/system/uploads/attachment_ data/file/209021/BGS_DECC_BowlandShaleGasReport_MAIN_ REPORT.pdf 2 https://www.gov.uk/government/uploads/system/uploads/attachment_

data/file/224238/Planning_practice_guidance_for_onshore_oil_and_gas.pdf 3 http://www.academicjournals.org/ajbm/pdf/pdf2010/Mar/Taiwo.pdf

IAC Acoustics Calum Forsyth is CEO of IAC Acoustics, the world’s largest provider of noise control products and systems. With over 60 years’ experience, the company has built a strong reputation based around its commitment to designing and manufacturing top quality products that make the world a quieter place. IAC Acoustics rightly holds the position of being a true pioneer in its sector, a position that has been built by its vision “To be globally recognised as the organisation that thinks bigger, innovates faster and delivers quicker in the field of sound control”.

For further information please visit: iac-acoustics.com

European oil & gas

Noise and the wider community - conclusion

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PROFILE

E.ON Gas Storage UK

gas

E.ON Gas Storage UK is part of one of the largest investor-owned power and gas companies in the world. A subsidiary of E.ON Gas Storage GmbH, it benefits from over three decades of experience gained in gas storage throughout Europe. In 2002 E.ON entered the UK energy market through its purchase of Powergen. E.ON UK is now solely engaged in the sale of gas and electricity products to more than eight million homes and businesses with the aim of delivering cleaner and better energy.

In 2012, E.ON undertook a major review of its customer-facing activities and has recently refocused its strategy to achieve its vision of being a trusted energy partner to its customers by 2015.

With the decline in UK continental gas production there is an increase in reliance on imported gas from more distant countries. By 2015 it is predicted that 70 to 80 per cent of gas will come from abroad. E.ON Gas Storage UK aims to develop, build and operate storage facilities in the UK that will provide security of supplies and help to stabilise prices. It is currently working on two major underground gas storage schemes that will increase the flexibility of the UK gas system. The Holford Gas Storage facility in Cheshire is now fully operational and the Whitehill Gas Storage project in East Yorkshire is currently awaiting

final investment decision.

The operation in Holford is one of the UK’s most flexible underground gas storage facilities. It has eight caverns, each measuring approximately 100 by 100 metres and all are now in full commercial operation. With a capacity of 160 million cubic metres, it has the capabilities of injecting and withdrawing at rates of up to 22 million cubic metres a day.

Holford was of strategic importance to E.ON because of the salt quantities underground. Salt formations are well suited to natural gas storage.

The main benefit of salt caverns, like the facility at Holford, is that the petro-physical properties guarantee a natural tightness allowing very little of the injected natural gas to escape unless specifically extracted.

Following a series of seismic tests E.ON Gas Storage is providing its expertise into the development plans for a second major underground gas storage facility at Whitehall, near Aldbrough in East Yorkshire. It is predicted that once construction commences it will take approximately eight years to reach full commercial operation.

The site will be much bigger than the facility at Holford, and as such the planning has been far more strictly monitored. There will be ten caverns situated approximately two kilometres below the ground. With each measuring 80 by

European oil & gas

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Gathering

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European oil & gas

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PROFILE

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E.ON Gas Storage UK

With the decline in UK continental gas production there is an increase in reliance on imported gas from more distant countries. By 2015 it is predicted that 70 to 80 per cent of gas will come from abroad. E.ON Gas Storage UK aims to develop, build and operate storage facilities in the UK that will provide security of supplies and help to stabilise prices 100 meters an overall capacity of 500 million cubic metres will be achieved with injection and withdrawal rates of 13 million cubic metres a day. In domestic terms, this facility alone could meet the daily demand of around seven million UK homes.

Utilising its location close to the North Sea, the caverns will be created by pumping seawater through wells drilled into the formation and then returning the more concentrated water to the sea as brine. This process was used on the development of the Holford site.

E.ON recognises the effects on the environment and landscape. Conscious of this, it has invested in maintaining and improving the landscape around the Holford site, and the same approach has been taking in the implementation of Whitehill. The site was specifically chosen because of its high capacity to accommodate the types of landscape change that could arise

through the development of a gas storage facility.

There is a high level of existing woodland cover and, comparatively, the area is sparsely populated. Additionally E.ON has already started a programme of hedgerow planting to screen the development. The plans detail that despite some of the gas processing plant being 25 metres high, the wellheads themselves are to be sunk down and would not appear to be more than three metres in height.

The procurement of gas is based on contracts with producers who provide the same volumes to be supplied on a regular basis throughout the year. So over the summer when consumer demand is low the underground storage facilities can take delivery ready to meet demand when daily consumption is high in the winter months. It is the underground gas storage facilities that will ensure a balance between the virtually continuous supply of gas from the producing countries and deliveries to the customers where demand fluctuates sharply depending on the season.

E.ON has been monitoring the state of the gas market and the unpredictability has highlighted the need to begin construction on the Whitehill project. The increased use of renewables creates a need for a clean backup of an alternate supply when required, and focused at achieving fast response time to these demands E.ON continues to look towards the Government to recognise the need for gas storage and offer measures of support.

E.ON Gas Storage UK eon-uk.com/generation/ gas_storage.aspx

Services Develops, builds and operates storage facilities in the UK

PROFILE

NIS Gazprom Neft

Pulling

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together 25

Naftna Industrija Srbije Above MHC/DHT complex in Pancevo Refinery enabled NIS to switch to production of environmentally friendly “Euro 5“standard fuel

(Petroleum Industry of Serbia, NIS) is a vertically integrated energy company operating from its headquarters in Novi Sad, Serbia, which is ideally located as the Balkans’ centre of trading and investment. NIS implements its vertical supply chain to provide a comprehensive package of oil and energy solutions and currently employees around 5500 people.

The company’s activities include exploration, production and the processing of crude oil, which are serviced by its two refineries in Pancevo and Novi Sad. Other areas in which the company operates include the use of modern technologies for electricity production by using domestic energy sources with minimum impact on the environment.

This spirit of co-operation and affiliation has

Tubular goods for the Oil & Gas Industry Interpipe is a global steel pipe producer and one of the top ten largest producers of seamless pipes in the world. The company’s production facilities are located in Ukraine and are therefore well connected to serve the markets in the region. Annual production in 2012 was 1.1 million tons of steel pipes.

Interpipe supplies tubular products to clients in 80 different countries all around the world via the network of sales offices located in the key markets of Europe, the CIS, the Middle East and North America.

Expert solutions for oil and gas industries Interpipe’s experience in and understanding of the oil and gas industry gives us the opportunity to find tailored solutions for clients and create long-term partnerships with them.

Working closely with our clients we achieve efficiency increases in exploration work and cost reductions for oil extraction. Above all, we provide a reliable product for oil and gas pipelines.

Over the years Interpipe has built a strong partnership with Lukoil, Rosneft, Surgutneftegaz, Kaztransoil, Turkmenneft, Uzbekneftegaz, SOCAR, Kuwait Oil Company and SITEP. Amongst European oil and gas companies that purchase our products are Romgaz, NIS Serbia, NIS-Petrol Srl and Rompetrol.

Ivan Mazanka, Regional Sales Director for the European market, explains how Interpipe is operating in the market: “The quality of our products and our continuously developing partnerships enable us to maintain and multiply our business with significant European customers. For instance, our partnership with NIS-Gazpromneft has seen our product purchase grow from 500 tons in 2011 to more than 7000 tons in 2013”.

transporting oil and gas. This includes tubing and casing OCTG pipes according to API 5CT standard, seamless and welded line pipes according to EN 10208-1, 2 and API 5L standard, special pipes and premium connections.

Our products are applied in diverse hostile environments as basic elements for submerged pumps and engines. Pipes used for downholes are made of steel to sustain high gravity or heavy pressure. These pipes have close tolerances and high straightness. Mr. Mazanka points out: “For instance, Interpipe supplies a wide range of products to NIS’s divisions in Serbia, Bosnia and Herzegovina, Romania and Hungary. Most recently, Interpipe’s tubing and casing pipes according to API 5CT were successfully applied for NIS-Serbia ’s development of onshore fields”.

Quality focused pipe producer Quality control is a key part of Interpipe’s process when manufacturing products. The quality of our pipe products is approved by international standards API 5CT, API 5L, EN (DIN), ASTM, JIS, GOST and often exceeds customer specifications.

“Quality control for pipe products is implemented at all stages of the production process, from continuous casting at Interpipe’s in-house state-of-the-art steel melting mill to the non-destructive testing of pipes and shipping to customers”, – Ivan comments.

He also stresses that as the company not only meets standards requirements, but also those set by the industry, Interpipe is receiving approvals from major oil and gas companies including Shell, South Oil Company and ENI S.p.A, etc.

Development vector With the oil and gas industry still dealing with the aftermath of the global recession, the ability to equate potential or existing customers’ special requirements is a fundamental aspect of Interpipe’s growth strategy. Ivan highlights how Interpipe is going to remain at the industry forefront: “At the moment we are working on our transition to long-term contracts with key customers including NIS Gazprom. Developing these partnerships helps us to better understand their business and support where we are most needed. Another key priority for us is to develop close cooperation between our technical department and NIS-Gazpromneft’s technical experts. The collaboration will afford us the opportunity to produce pipe products in line with real market demands”.

A wide range of pipe products The Interpipe product portfolio is focused on creating value-added and technological advantages for companies extracting and

For more details visit our website www.interpipe.biz

NIS Gazprom Neft

With an impressive array of services and supporting divisions, strong industry ties and dedicated parent company investment, NIS is incredibly well placed to solidify its leading role within Serbia and the surrounding region over the coming years

Left NIS Oilfield Services has obtained a certificate for providing services in the EU

become a major driving force for the NIS brand as the company works closely in partnership with the various disciplines within the brand, its investors and automotive companies including Mercedes-Benz, Ĺ koda, Halliburton, Chevron Lummus Global, GGE. The company is part of Gazprom Group, which at the time of writing operates 56.15 per cent stake in NIS, while the Republic of Serbia owns a further

29.88 per cent. Citizens, employees, former employees and other minor investors own the remaining portion of the company. At present NIS has around 2.4 million shareholders and as of September 2011 is listed on the Belgrade stock exchange.

Currently NIS is focused on exploration and production, crude refining, sales and distribution, oilfield services, energy and

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PROFILE

27

energotehnika-juŽna backa novi sad

Energotehnika-Juzna Backa Ltd. Novi Sad was founded in 1958 as a part of national electric company Elektrovojvodina, with the main purpose of constructing the electrical power network in the territory of Former Yugoslavia. The very first step in the erection and maintenance of electric power utilities and plants was made on June 28th 1958, when the company’s experts took part in the realisation of a pioneering project for the introduction of 20 kV voltage level to an electrical energy transformation.

Since then, the company has participated in the construction of almost all the major electric power facilities in the former Yugoslavia. Guided by the needs of the market, the business has consistently invested in the introduction of new technologies and the development of human resources, which has resulted in the ability to respond and perform the most demanding projects in the energy, and oil and gas engineering industries.

Since July 2010, the company has been fully privatised and it represents one of the positive examples of privatisation in Serbia. Today it is a modern, highly organised business that employs more than 400 employees, of which 70 are highly skilled and more than 200 skilled workers (electricians, mechanical staff, certified welders). The company also employs more than 40 engineers (electrical, mechanical, civil and welding engineers).

Energotehnika-Juzna Backa Ltd. Novi Sad has founded two subsidiaries in Germany and in Bosnia and Herzegovina. The revenue it generated in 2012 was 50 million euros.

The company owns all of the necessary licenses required to operate in the energy, infrastructure and projects in the field of oil and gas technology. Furthermore, numerous references of the company, as well as the personal experience of employees, represent a guarantee for the successful implementation of even the most complex projects. The company has extensive experience in the implementation of IPC projects and further experience with foreign investors.

Ever since 1976 Energotehnika-Juzna Backa Ltd. Novi Sad has been successfully participating in the construction of thermal power plants, construction of heating plants and the construction of thermal power and gas distributive networks.

One very impressive fact to note is that the company has built over 400 kilometers of gas network, and installed over 8500 substations of all voltage levels, as well as over 13,000 km of electrical distribution network.

Recent important references include the construction of the natural gas underground warehouse Banatski Dvor, and more than 25 million euros worth of projects in various fields for investor FIAT, Kragujevac.

In the last ten years Energotehnika-Juzna Backa Ltd. Novi Sad has focused its capacities on the development and implementation of alternative energy sources and energy management.

Numerous projects have been implemented in the field of geothermal energy and in the usage of biomass. The most important projects in these areas are the construction of a biomass boiler with the capacity of 18 MW in Sremska Mitrovica, and the construction of a complete heating and cooling system in the Aqua Park complex in Backi Petrovac using the heat pumps. The company also has the ability to implement projects in the field of automatisation, instrumentation and remote control as well.

The company has completed very demanding projects for investor NIS (PETROLEUM INDUSTRY OF SERBIA) in the field of electric power, thermal energy and process engineering, of which it would particularly highlight its electrical installation works on 220kV GIS in Oil Refinery Panževo.

Current, ongoing projects that the company is carrying out for NIS include:  Design, supply and construction of cogeneration plant ’Kikinda Gornje’ with the capacity of

995kWe - turnkey project.  Construction of a gas pipeline from SS - Velebit to the MG-07 at a length of 6.9 km.  The separation of CO2 from a natural gas – construction of gas pipeline for transport of

separated CO2 for injection into gas cap, at the length of 15km.  Reconstruction of heating system SS-1 Velebit - turnkey project.

Energotehnika-Juzna Backa Ltd. Novi Sad is well equipped and owns over 100 light and heavy trucks, vehicles and specialised equipment to work on the installation of electric power and thermal power facilities, as well as high pressure gas pipelines and other types of pipelines.

The company has implemented ISO 9001, ISO 14001, ISO 18001, and ISO 3834 in the field of welding.

The key factor that distinguishes the company from others in the market is its ability to provide a complete support to the investor, and to take the complete responsibility for delivering turnkey projects.

PROFILE

NIS Gazprom Neft

secondary businesses, which include non-core assets like drinking water production and hotel operation. Currently, NIS is the only company in Serbia dealing with exploration and production of crude oil and gas, as well as the production of geothermal energy. Oil and gas are produced in 45 fields in Serbia and under concession with Angola, with NIS operating 650 wells, 95 of which are currently exploited. The company expanded its operations to Bosnia and Herzegovina, Bulgaria, Romania and Hungary, which remains a priority area for future development. At the time of writing the company’s production amounts to over 1.7 million tons of oil equivalent, which has been the result of significant growth in the past three years and this is a trend that looks set to continue. Complementing these operations, NIS has 18 systems for production of geothermal water and it produces liquid petroleum gas (LPG) in its Elemir production unit.

As the majority owner of NIS, Gazprom Neft has executed a number of investment projects with an aim to increase oil and gas production since 2011. Until the end of 2015 NIS is set to invest around 1.5 billion euros. The objectives of this will be to encourage growth of production and an increase in resource base, to facilitate a high level of productivity, investment in the application of new technologies, industry

expansion in Serbia and abroad and a decrease in costs to increase investment efficiency. The ultimate goal of this investment will be to enable production of around five million by 2020.

As a vertically integrated company, NIS is able to supply its own oilfield service capacity as well as to service the needs of third party companies.

NIS Oilfield Services renders activities including; geophysical exploration, special operations for measuring oil, gas and water wells, maintenance and overhaul of facilities and equipment and the transportation of equipment and personnel. NIS Oilfield Services has obtained a certificate for providing services in the EU, along with national certificates for providing services in Romania and Hungary. Owing to its modern equipment portfolio and highly experienced personnel the company has also carried out operations in Egypt, Turkmenistan and Azerbaijan.

According to its own philosophy ‘equipment modernisation, an innovative approach and application of new technologies are the essential requirements for progress, competitiveness and achieving regional leadership.’ With an impressive array of services and supporting divisions, strong industry ties and dedicated parent company investment, NIS is incredibly well placed to solidify its leading role within Serbia and the surrounding region over the coming years.

Owen Oil Tools LP has been the main supplier of high quality perforating products to NIS since the mid-1980s. Harrold Owen, the owner, an inventor and explosives scientist, was the original contact with NIS’ production group, supplying high performance shaped charges to enhance the productivity of NIS wells. Previously, NIS used low performance products, but as demand increased for more effective completions to optimise hydrocarbon production, the Owen products became sought after. This was an important step for what was then the Federal Republic of Yugoslavia to improve its energy sector and national infrastructure. This co-operation has continued today after all the changes made within the country and the new Serbian Republic.

Owen has been there to provide products and support throughout the turbulent times.

The recent advancements of Owen shaped charges, new cutters, and some other new product development will make co-operation with NIS much stronger and will be very helpful in the long-term. It will reduce material costs, maintain product consistency, and contribute to enhanced oil and gas production for NIS and GASPROM.

NIS Gazprom Neft nis.rs

Services Total energy solutions

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Owen Oil Tools LP

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Inset NIS' filling stations network operates under two brands; consumer brand NIS Petrol and premium Gazprom brand

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perfection Process

European oil & gas

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Part of a £60m privately-owned group

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of companies, Poole Process Equipment is a global leader in the design, manufacture and renovation of shell and tube heat exchangers, air cooled heat exchangers and pressure vessels, serving the oil and gas, energy and process industries all over the world. The company is located in Poole in the UK with administration, HR, IT and treasury functions based nearby in Southampton.

The history of Poole Process Equipment spans over 40 years, and over this time it has refined its working processes and enhanced its approach in order to meet the needs of its demanding and successful blue-chip clients.

Major investment and a new management approach have moved the business from being a predominantly local manufacturer to a regional and international company.

“Our strategy is called our 2020 vision. We promote and create continuous improvement, which generates real value and upper quartile service for our clients – safely and profitably,” explains Paul Drennan-Durose, managing director, on the company’s brand new website, www.poole-process.co.uk.

“Leaders in our chosen sectors and recognised as a supplier of choice. Our level of passion and the personal commitment to our objectives make us a powerful force – we exceed and excel.”

The main area of expertise for Poole Process Equipment is shell and tube and air cooled heat exchangers, where it is an expert in design, build and manufacture, testing and overhaul, and can offer a complete solution – a one-stop shop.

Clients that use Poole Process Equipment Ltd include those in oil and gas exploration, gas terminals, refineries, petrochems and power generation. A recent project in an oil refinery is a good example of how the company works.

Poole Process Equipment Ltd provided the

complete design, manufacture and supply of eight air cooled heat exchangers simultaneously for a critical and dangerous process hydrofluoric service. Attention to detail and an acute awareness of getting it right for process and safety reasons is a key strength of Poole Process Equipment.

Another contract recently won was from a major gas terminal. Poole Process Equipment's reputation for being reliable and credible coupled with a track record of build success for these kinds of units in high pressure services generated confidence with the client in awarding this project. The organisation completed the units in full and on-time. This included operating closely with the client and their inspection body and the exchangers met all the service demands they were designed for. This successful result has led to further project awards from this client’s other sites.

Poole Process Equipment Ltd can manufacture in a wide range of metallurgies from carbon steel to exotic alloys. It also offers carbon steel/corrosion resistant clad exchangers, which can deliver a cost effective alternative to complete alloy units too - providing clients with choice and value.

Completing the product portfolio are pressure vessels, which are designed and built at Poole Process Equipment Ltd’s enlarged facility in the UK to industry design standards including ASME and PD5500 and cover a wide range of sizes, complexities and metallurgies.

Poole Process Equipment’s capability to manufacture and also repair, re-tube and renovate has built a reputation in the oil and gas world for being a leading facility and solution provider.

Its investment, skill and experience allow the business to take on the most complex of repair requirements in the shortest possible guaranteed turnaround time. For example, on a project

strategy is based on having the best people in the right roles and aligning them effectively with our clients.”

“With foresight we see that businesses face challenges from skills shortages and we don’t take any challenge for granted. It was against this backdrop that we launched Skills 2020, an integrated skills and education strategy involving our entire business. This is already helping us shape our existing team to meet today’s and tomorrow’s client needs, and has seen us successfully introduce an apprenticeship programme in 2010 and launch a graduate scheme in 2012. This is already supporting the controlled development of our client base and the structure is firmly focused on generating engineering and service excellence for our clients.”

Poole Process Equipment Ltd is eager to discuss where it can help and add value to your business and is contactable on +44 (0)1202 674683; email:- enquiries@poole-process. co.uk and more details are available on our new website www.poole-process.co.uk.

The main area of expertise for Poole Process Equipment is shell and tube and air cooled heat exchangers, where it is an expert in design, build and manufacture, testing and overhaul, and can offer a complete solution – a one-stop shop

Poole Process Equipment poole-process.co.uk

Services Shell and tube exchangers, air cooled heat exchangers and pressure vessels

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undertaken for an international gas terminal client, Poole Process Equipment Ltd was called upon to re-tube multiple heat exchanger bundles.

It was supporting a turnaround team who were faced with an unplanned need to complete the refurbishment within a major turnaround in a short time window.

Its successful track record with this client combined with the investment the company had already made in tripling the size of its production premises, its leading edge equipment and the quality of its team all generated client confidence on this project. Furthermore its agility, service and quality performance resulted in further projects being awarded to it during the duration of the turnaround.

Successful project completions such as this are testament to the skills and dedication of Poole Process Equipment Ltd’s staff. Managing director Paul Drennan-Durose is “eager to stress just how important our staff are and the plans the company has going forward to recruit and develop even more valuable employees. Our

Poole Process Equipment

European oil & gas

PROFILE

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Trusted

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expertise European oil & gas

Founded in 1993 as a structural

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BePe Construction BePe Construction makes the impossible possible. In three weeks they produced six spreader beams for us, meeting GL classification standards. In their range of products they consider the larger picture of the project and take responsibility for some of the engineering solutions.

Innovation, quality and speed are key aspects of their mission statement.

engineering company, Conbit has grown significantly and expanded into new services and markets to earn a reputation as a leading brand in offering exceptional turnkey solutions within the field of offshore brownfield modification projects. Today the company employs 45 engineers from its main office in Best, the Netherlands. It is active in a diverse range of industries globally including offshore oil and gas, energy, petrochemical, infrastructure, and logistics. Key to its success has been the professionalism of its committed team who are divided into structural engineers, draftsmen, project managers, transport and installation technicians and other supporting staff. Conbit is proud of the high level of co-operation within its organisation and of the personal and informal relationships that have characterised the company as an approachable and professional business partner.

Conbit has identified itself as a trusted expert in the field of complex and often challenging transport and installation projects. The installation of huge structures or manoeuvres under extreme conditions requires dedicated analysis and competent professional knowledge to be executed efficiently and safely. This is especially true when transport over sea is required, where acceleration forces due to ship motions act on the transported structure.

Similarly, the offshore environment can create hazards to installation during even relatively calm weather, meaning that such work

should always be carried out with the highest professional proficiency.

With an excellent track record of successfully carrying out such demanding installations, Conbit has won successive contracts from wellestablished and globally recognised operators like Total, Gaz de France, ExxonMobil and others. The company has been prevalent in helideck services, including supply and installation of perimeter netting installation, flare tip exchange, installation of offshore modules, the lifting of offshore living quarters and lifetime extension services.

During 2012 Conbit completed a prestigious project of lifting two offshore accommodation units for the K6-P platform in the Dutch North Sea. The work was carried out for Total E&P Nederland BV. The project was a significantly complex one, involving engineering and method statement, load testing and inspection, the provision of lifting equipment, supply of rigging and rope access crew, co-ordination of third party activities and the provision of vessel support crew. Installation of the living quarters was compounded by the weight of the structures, coming in at 44 MT and the difficult location of the units, which were to be located just below the rig’s helideck. The rig’s own deck crane was not able to provide neither the capacity nor the dexterity to position the units and other lifting devices such as crane vessels were similarly disadvantaged. This, in part was what convinced the rig’s owners to employ the expert installation services that Conbit is able to offer.

offshore energy 2013 - Conbit

Conbit remains dedicated to its mission to deliver the most efficient, safe and reliable services and aims to develop and implement cutting-edge solutions globally

Conbit conbit.eu

Services Transport and installation solutions

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requirement of the crew to be able to demobilise within 20 minutes to allow for helicopter activity to continue and bad weather that meant that installation work had to be stopped for two days.

While the project was in its preparation stage, several meetings took place to ensure that all parties involved were clear on their part in the operation and once the crew arrived all of the necessary tools and equipment had been supplied ready for the job to commence. The nets were provided by Finnish company Frictape as one of Conbit’s carefully selected suppliers and are the only nets on the market with a third party type approval certificate stating that the nets comply with CAP437 and UK oil and gas guidance.

Conbit remains dedicated to its mission to deliver the most efficient, safe and reliable services and aims to develop and implement cutting-edge solutions globally. By encouraging teamwork, operating in multiple disciplines and prioritising safe and efficient working conditions the company is well place to act as a market leader in transport and installation solutions.

European oil & gas

The lift was successfully achieved through the combination of the team’s expert engineering skills and the creation of several strategic lifting points to facilitate the lift. The lifting system ultimately consisted of a lifting boom with a height of approximately eight metres and another lifting point, which was created to hold a lift line that ran through the helideck.

Each of these lines was connected to a 15 MT lifting winch. Prior to the lift the hoist system was tested several times and full safety briefings were issued. Once the lift was started a 0700 on 10th June the lift was completed and the unit connected in less than 24 hours.

During June this year Conbit won a repeat contract from Dana Petroleum after successfully completing a previous contract for the company.

Tasked with helideck net fitting on the F2-A Hanze Platform, located in the Dutch sector of the North Sea, 200 km northwest of Den Helder, a dedicated crew was flown offshore on the 20th June and was able to finish the installation six days later. This was achieved despite the

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PROFILE

TESS

hose Specialised in the production of low and medium pressure rubber hose on rigid mandrel, IVG is today oriented to develop a range of special products and complete assemblies to ensure the best service and quality support in the most specialised industrial sectors. The co-operation between IVG and TESS International is an example of success of the teamwork for the satisfaction of the international market needs.

Since it was last featured

in European Oil and Gas Magazine during 2010, TESS has continued in its mission to ‘hose the world’ and maintained steady momentum in recent years. It has increased its turnover from 1.9 billion NOK in 2010 to an estimated 2.5 billion NOK for 2013, and in addition to this it has continued to develop the TESS Hose Management (THM) database. THM was developed to catalog hose specifications and performance rates to reduce the delivery time of suitable replacements and equivalents. The system also allows for a detailed analysis of hose suitability in various applications. During 2010 there were 23,894 registrations and so far in 2013 there have been 50,396 additions to the register. This gives a total of around 240,000 hoses logged to the THM system. Further developing its business, TESS has opened new branches in Macae (2011) and Houston (2012), as well as four new Partnershops, which offer localised hose solutions to customers, as well as becoming active in a further ten locations across Norway. The company has also continued to develop its reputation within the oil and gas

sector and has been awarded several new frame agreements with key clients including Statoil, FMC and Shell.

The backbone of the company continues to be hoses, couplings and related services.

Since 2010 it has continued to develop and improve its product range so that it remains able to offer products and services with market leading returns on investment. This is an area in which the company feels its services have become even more prudent in recent years, as business co-ordinator Bent-Ole Hilbert explains: “While TESS is founded on safety and quality, we are concerned by an increasing number of examples of quality being compromised by price in an industry where uptime and safety are in the spotlight. TESS will stay loyal to its principles and has instead focused its resources on developing and designing complete uptime solutions and concepts.” The core of this approach will be to work closely with its clients to develop long-term relationships and establish a firm understanding of their challenges and needs. By working in collaboration with its customers TESS is committed to providing tailor made concepts through its range of integrated solutions including its TESS Pertnershops, e-commerce and container solutions. These, in conjunction with the knowledge and expertise gained through the TESS Hose Management database, are all focused on the reduction cost related to downtime, maintenance and logistics and to optimise the refurbishment process and improve HSEQ. TESS integrated solutions represent an innovative approach to customising a supply solution in close collaboration with customers.

European oil & gas

IVG

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Right on the

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European oil & gas

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OP srl OP srl was founded 30 years ago with the aim of producing equipment for hydraulic hoses for hydraulic systems. OP srl is capable of developing evertopnotch equipment so as to meet all rigid and flexible hoses manufacturing requirements including crimping machines, cutting machines, hose skiving machines, inserters, markers, hose unwinding machines, test and cleaning benches, pre-assembly and 37° and 90° flaring machines, deburring machines, hose benders as well as complete machining centers. Our wide range of products has enabled us to work closely with Tess International, which has lasted for over ten years, providing them with equipment for both the rigid tube and flexible hose, which are used in its workshop and resold to its customers.

As a result, clients can expect an impeccable level of knowledge and professionalism as well as a more efficient and cost effective buying solution, with an agreed and customised product range. During July of 2013 TESS opened a Partnershop at the processing company Boliden Odda, which is set to greatly reduce Boliden’s buying operations. “The reasoning behind establishing the Partnershop was based on the fact that Boliden themselves understood that they had a purchasing solution which was unnecessarily costly. Almost all of the employees were purchasing their own item, and both the resources used on purchasing and the transaction costs where high,” begins Bent-Ole. “Through close collaboration and thorough analysis the foundation of a good tailor made solution was made. Instead of a large number of invoices, it was agreed that there would only be 12 invoices throughout the year. TESS is replacing 70-80 different suppliers and the agreement guarantees that Boliden will save 25 per cent compared to how purchasing was previously organised,” he explains. TESS has established several Partnershops over the years, including customers like FMC and Wärtsila.

TESS International remains focused on the professional market, with solutions for both onshore and offshore applications. It operates with a diverse client portfolio in a range of sectors including offshore oil and gas, maritime markets and the subsea environment. Offshore and subsea markets are an area where the company anticipates significant growth and has invested heavily in during recent years. “TESS was one of the founding companies of Subsea Valley, a cluster of companies representing market leading technology in the area between Oslo and Kongsberg,” says Bent-Ole. “It is estimated that the companies in this area alone account for 73 per cent of global subsea installations, with FMC and Aker Solutions being two of the biggest players.” The group has over 190 members representing 55,500 employees and a turnover of 111 billion NOK. The ethos that drives the group is one of co-operation; by working in partnership the companies involved are able to create a strong value chain with all members pulling together with a focus on expertise, quality and capacity.

The company maintains a close relationship with and supplies major subsea companies.

PROFILE

PH IndustrieHydraulik PH Industrie-Hydraulik is a leading European manufacturer of hydraulic hose couplings and compression fittings made from stainless steel AISI 316 and 316ti. It produces an extensive range of articles that comply with most international standards including: DIN, SAE, BSP and JIS specifications. Its product range is utilised in many varied industrial fields, e.g. in offshore, foundry and rolling mill technology, chemical plants, paper machines, hydraulic engineering, fluid and aggressive media, shipbuilding and others.

TESS tess.no

Services Hoses, hydraulics and related services

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continue to increase. One of our two founders, Mr Jolberg, believes that the move from oil and gas to renewable energy will be much shorter than many people believe. Within this sector the focus will still be on competency, experience and quality. Many of our partners feel the same way and we will work hard to follow the development into this new market.”

Within this the company’s goal is both clear and ambitious. By 2020 TESS is aiming for a turnover of ten billion NOK. The company is serious about its fundamental business philosophy of following its customer, and is looking to expand to have 200 locations within Norway. As it expands into new areas it is committed to opening facilities in new geographical locations around the world as it follows customers depending on where their needs take them. As 2014 dawns part of its market anticipation will see TESS develop its own daughter company, TESS Subsea, to further strengthen it’s presence in this rapidly growing industry.

European oil & gas

For example, it tenders a frame agreement with FMC for the supply of hydraulic flying leads. Australia and Angola are some of the areas currently being supplied, with further operations starting in Brazil. Within the oil and gas sector TESS is involved in most applications where there is transfer of fluid ranging from subsea jumpers and drilling hoses to jet cleaning and bunkering operations.

Looking to the future TESS is focused on continuing to meet the needs of its customers and anticipating the direction of the oil and gas sector. It sees the need for oil companies to reduce costs and therefore collaborates with operators to analyse challenges and optimise processes. Through its THM system and co-operation with fellow Subsea Valley members TESS represents a key player in enabling the oil and gas industry to progress efficiently.

“Some people believe the oil boom is halting,” Bent-Ole says. “We do not believe that. The ‘age of oil’ will go on for a long time and at the same time the renewable energy segment will

TESS

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globally Local thinking,

Alloy & Stainless Fasteners Alloy & Stainless Fasteners (ASF) holds industry assemblies together with Lamons’ extensive worldwide network, when industry requirements demand special metal fasteners (bolts, nuts, studs, sockets and bent bolts) that are custom made for a variety of corrosive environments, high strength applications, high and low temperature service situations, and custom fastener dimensional needs.

ASF works alongside Lamons with quick delivery to meet industry’s needs in construction, breakdowns, turnarounds, maintenance and need-it-now 24-7 fastener requirements.

Since last appearing in European Oil and Gas Magazine during February 2013, Lamons has expanded its global presence through the acquisition of several specialist gasket and bolt suppliers. By focusing on the provision of high quality products and dedicated local service it is fast gaining a reputation as a leading manufacturer and supplier of gaskets and bolts across a range of applications.

The company boasts manufacturing facilities in the US, China, Brazil, the Netherlands and India. Its state-of-the-art facilities produce a range of standard and bespoke products for the refining, chemical, power generation, petrochemical (upstream and downstream), and pulp and paper industries. A differentiating feature of Lamons’ production capability is that its facilities are set up with the same manufacturing equipment so that it can guarantee that a Lamons product will be the same wherever it is made.

Its manufacturing plants are supported by sales and support services across the US, Canada, Europe, the Far East and Brazil.

This means that its customers can be sure that wherever they are in the world, they can rely on the same high quality

products and services that Lamons has to offer.

In the interim months since February 2013, the company has been aggressively focused on expanding its global footprint and its product portfolio. Seeking to expand its production and service capabilities in the Southeast Asian market through a series of acquisitions, Lamons now operates Basrur Uniseal Private Limited in India and Lamons Thailand (was formerly Tat Lee Thailand Ltd). Commenting on the Tat Lee acquisition, branch manager Tarek Said explains: “The Lamons philosophy is very simple; it is basically to establish branches that are close in proximity to our customers. Tat Lee is a manufacturer of specialty and standard gaskets, mainly in the petrochemical, refinery and energy plants. We plan to expand this location with bolt capabilities similar to our Rotterdam facility.

The company will allow Lamons to increase its capabilities in the Southeast Asian market as well as its service level and market share.”

The company has also increased its European holdings with the acquisition of Wulfrun, based in Birmingham, UK. Like its Southeast Asian expansion, the move is intended to strengthen Lamons’ position in a targeted market, however what makes the Wulfrun acquisition different is that the company traditionally offers a much more specialised product as Tarek elaborates: “Wulfrun is unique and the company has opened some doors for us in as much as it offers specialist machine bolting and greatly enhances Lamons’ ability to deliver these services throughout the EU region.” The incorporation of the new business will also further strengthen its existing European branches, solidifying the company’s reputation as a global leader in producing and providing bolts and gaskets.

Complimenting the acquisition of new branches, the company has also introduced several new products to its portfolio in recent months. Lamons CorruKamm™ technology is a revolutionary new design that provides the benefits of a kammprofile technology with the additional attribute of recovery that is desired to offset flange relaxation and unloading. This design resembles a typical kammprofiled sealing element in that it utilises a heavy substrate capable of extreme load bearing properties. The dramatic feature that this design incorporates is a precisely located corrugated pattern that greatly enhances the ability to deflect and compress under load This creates a scenario in which the gasket will be more forgiving where perfect alignment and parallelism do not exist.

says: “Lamons is separating itself from other companies by diversifying into different sectors.

As a company it is probably one of the few, if not the only one that specialises in the full range of sealing products from Ring Type Joint metallic gaskets and semi-metallic gaskets, to isolation gaskets and compressed sheet material. Our customers recognise us as a global company that services locally. We differentiate ourself in that we make sure we are very close to our customers. Extending our product portfolio and expanding on the service the company is able to offer customers is what Lamons is about.”

With 2014 rapidly approaching Lamons is committed to increasing its global footprint in the near future and further developing the service it offers to its local customers. In summary Tarek concludes: “Lamons Nederland was founded in 2008, so it is a relatively new company, but Lamons has been in operation since the 1940’s.

What we are doing is to transform the company from an American manufacturer to a truly worldclass manufacturer.”

Lamons Nederland BV lamons.com

Services Gasket and bolt supplier

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Other recent additions to the company’s impressive range of products include the fire safe Isotek Defender isolation gasket and its Matrix line of premium biaxially oriented PTFE gasket material. The Defender FS provides a solution for electrical isolation and the reliability of being fire-safe in one groundbreaking gasket design.

The gasket features established industry isolation technology combined with the sealability of the Kammprofile range. Its isolation technology is based on the use of fiberglass-reinforced epoxy, which maintains high compressive strength and has proven to be a suitable material for bolted joint assembly. The gasket ensures excellent dielectric strength within cathode protection systems and produces the lowest loss of product due to its high joint integrity. The Defender FS also makes use of Lamons’ Matrix line of PTFE gasket material, which has been designed for use in critical piping systems where superior chemical resistance and performance is required.

Commenting on the company’s increased product range and corporate philosophy Tarek

Lamons Nederland

European oil & gas

PROFILE

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Poised for

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growth

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VerdErg Connectors Ltd

is a company destined for meteoric growth. Since it was last featured in European Oil and Gas Magazine in 2010 its turnover has risen by 300 per cent and similar growth is planned to continue to £100 million per annum by March 2018. To contend with the significant contracts awarded in 2011/12, the company has increased its workforce from around 50 personnel to over 140 in the last 12 months. However, there is more to come. VerdErg, it seems, is placed to become a major force within the oil and gas sector in the coming years.

The company can trace its history back to the late 1970’s as one of the original engineering consultancies in the emerging subsea market. Its founders were originally experts from Vickers Oceanics’ manned submersibles business, who left to create their own company, knowing that advances in robotics and instrumentation would give Remotely Operated Vehicles industry dominance. The company was originally known as FUEL (Furness Underwater Engineering Limited) and gained a respected reputation for developing advanced subsea technologies. In 2002, it was acquired by the Houston-based INTEC Engineering as a springboard for its entry into the European market place. Later that same year the Dutch Heerema Group purchased INTEC, including its ex-FUEL business unit.

By 2005 the ex-FUEL segment of INTEC’s operation was subject to a management buyout and renamed VerdErg; ‘Verd’ is a word with the root meaning green in many European languages and ‘erg’ is a unit of energy. The new name was chosen to be representative of the

company’s ongoing philosophy of providing ecological solutions to the energy market. Today, VerdErg’s operations are divided into two distinct areas: VerdErg Connectors, servicing the subsea energy market and VerdErg Renewable Energy developing wave, tidal and river hydropower technology.

The company has enjoyed a longstanding relationship with BP, operating within the environmentally hostile West of Shetland region of the North Sea. Since 1991 VerdErg has provided BP with all of its connection equipment in the Shetlands basin, representing a core of VerdErg’s business. However, in recent years, as VerdErg has grown and developed, it has expanded into new areas and increased its customer base to include several other major operators such as Chevron and ExxonMobil.

“Up until 2005 we had been serving one major client, which was BP,” begins managing director Richard Freeman. “Following the management buyout we invested in product development, giving breadth to our product range to be able to appeal to new clients. A major milestone for us was that in 2009 we had shifted from being largely dependent on BP to their projects being only 30 per cent of our turnover.”

In 2012 the company was awarded a contract that would again change the focus of its business. Reflecting its long-term history with the company, VerdErg was awarded a major contract by BP within its ambitious Quadrant 204 project, West of Shetlands. The contract not only provides immediate activity for VerdErg, but is set to run for the next 20 years with various field developments evolving to carry it forward.

However, while involvement with the Quad 204 project will undoubtedly be a major source of activity for VerdErg in the next few years, work for new clients has also been secured as Richard elaborates: “You could be forgiven for thinking that our work is again rather dominated by BP, however we have won another contract with a major operator that is of comparable size that we hope to be able to announce soon. We were also involved in the Angola Block 31 project and are currently bidding for similar work offshore Angola that gives us an exciting prospect for growth there too.”

VerdErg was also awarded a contract with yet another major operator during 2012 to design 20” connectors for offshore Eastern Canada.

More recently still, it has been awarded a contract for the supply of a side-by-side, run-toplace rigid horizontal system combined for 8”

clients” comments Richard.

“We join their teams early on, looking at field layout design to make sure the connections can be made and obviously we work in designing and procuring the equipment for them. We aim to have the same relationship going forward with our newer clients and we have engineers embedded within their teams to achieve this. In some ways being a smaller company allows us to be more collaborative than some of the larger companies.”

Moving into the future the company is keen to continue to build on its current strengths and further solidify its reputation, as Richard closes: “There are very few companies that focus solely on connectors. We are currently about the fifth largest out there and we plan to be the third largest within five years; and with our current contracts we are set to do that. We are then keen to grow from 20 per cent to 33 per cent market share, which would put us just behind the major hardware manufacturers. They obviously have a lot of other equipment in their portfolios, whilst we work exclusively in connection systems.”

There are very few companies that focus solely on connectors.

We are currently about the fifth largest out there and we plan to be the third largest within five years

VerdErg Connectors verderg.com

Services Subsea connector solutions

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and 16” connection sizes, this time for one of the industry’s leading main contractors.

The company’s success in maintaining long-term relationships and in attracting new clients can be attributed to the high quality of its product and in the professional approach it takes in its operations. “The connectors we supply are owned by the operator for the entire life of the field, this ties us in to the field throughout its operational lifetime. So we have developed very close relationships with our customers and especially our longer-term

VerdErg Connectors

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quality

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Midroc Rodoverken Midroc Rodoverken has a long history with Preem in Lysekil.

Rodoverken was one of the companies that built the refinery in the 1970s and has been a strong partner since then. During the years Rodoverken has had a fixed staff on site, knowing the plant inside out and managing the daily maintenance and project.

Today Rodoverken is stronger than ever, and is the biggest contractor with over 400 people on site during the turn over 2013.

Below Petter Holland, VD Preem

With a turnover of

£11.1 billion, a refining capacity of more than 18 million cubic metres of crude oil every year at its two ultramodern refineries, a lubricant factory (J/V), six operational depots and approximately 600 gas stations, Preem AB holds the crown as the largest oil company in Sweden. On top of this, the company is the biggest supplier of MK-1 diesel in the Swedish market; the diesel is a typical ‘city diesel’ with a sulphur content of less than five parts per million (ppm) and very low particles content in the emissions, vastly lower than the maximum 50 ppm quality that has been required in Europe since 2005.

Focused on supplying the Swedish market with environmentally adapted, effective oil products, Preem AB’s two refineries, located in Lysekil and Gothenburg, are managed and optimised as one system, with common management, strategy, development and future plans. As a result of continuous investment, the two refineries are today among the most modern and environmentally friendly in Europe and the world; furthermore, they have been certified in accordance with ISO 14001, which represents the core set of standards utilised by companies for the design and implementation of an effective environmental management system. Recent investments, in line with new EU regulations, include the refinery in Lysekil being extended with the most up-to-date technology for the production of wholly sulphur-free vehicle fuels; the facility became operational in 2006 and makes it possible for more fuel-efficient

engines to be built in the future. Current plans are underway to construct an additional facility in Lysekil, which will have the capabilities to separate the heaviest fractions of crude oil from both refineries and refine them to create diesel, gasoline and LPG. Headquartered in Stockholm, Preem AB buys and supplies its two refineries with crude oil, before marketing and selling all products.

Its strategy is to operate its refinery system at maximum capacity; approximately 18 million cubic metres per year, while also focusing production on environmentally classed products based on renewable tall oil from the Swedish forests. Qualities produced include gas oil, gasoline, diesel oils, aviation fuel and heating oils for supply customers and companies in Sweden.

It is also one of the country’s major exporting firms, with more than 67 per cent of production exported primarily to northwestern Europe. To ensure high quality, all production is monitored and controlled from Preem AB’s central control room, which uses advanced regulatory systems, instruments and computers.

Taking advantage of its location, which offers privileged access to Sweden as well as close proximity to crude oil supply from the North Sea and Russia, the organisation’s two refineries are both connected to deep-sea harbours. The harbours enable the company to receive very large crude carriers (VLCC) and facilitate access to export markets.

Established in May 1996 when industrial firm OK Petroleum changed its name to Preem, the

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Services Produces and sells oil

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other adverse impacts on the environment during the energy-efficient production of high-quality fossil fuels, grow the utilisation of wind power for electrical production and upgrade waste heat into a usable energy.

Following a three-year contract worth approximately SEK10 million that was signed in autumn 2010, Preem is further extending its co-operation with Chalmers University, in Gothenburg. A world leader in the research of renewable fuels, Chalmers has been involved in projects to enhance utilisation of waste heat and the optimisation of winter properties in tall oil.

With refinery development playing a critical role in the transition from fossil to renewable fuels, Preem has chosen Chalmers as a key partner in its innovative work for future sustainability through carbon capture and storage (CCS) and the use of raw materials such as vegetable oil and animal waste. Over the next five years the two companies aim to focus on Preem’s sustainable refineries and the development of sustainable fuels in order to meet the increasingly important environmental and climate requirements.

Current plans are underway to construct an additional facility in Lysekil, which will have the capabilities to separate the heaviest fractions of crude oil from both refineries and refine them to create diesel, gasoline and LPG

European oil & gas

company quickly became a familiar brand to the public, as 400 Texaco gas stations and 130 OK stations in western and southern Sweden were rebranded under its new name and ‘bear’ symbol.

Deriving from the English word ‘pre-eminent’, Preem’s biggest challenge is to live up to its name as a company that delivers a superior service to its competitors. Keen to market itself as an oil firm with a friendly, strong, customer focused side, a smiling bear was chosen as the symbol to reflect both the company’s size and professionalism.

Boasting a 30 per cent share of the overall fuel market in Sweden, Preem is also the leading supplier in the commercial market, with a 37 per cent share in diesel sales, 38 per cent in heating oil sales and 64 per cent in fuel oil sales. With a focus on the production of high quality, high margin, cost-effective transportation fuels that meet stringent standards in both Europe and Sweden, the company’s core priorities are to lead the transition to a future sustainable society. To do this, Preem AB intends to grow the share of highquality and environmentally adapted renewable fuels it produces, minimise emissions and any

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PROFILE

TSC Offshore

value Part of TSC Group Holdings Ltd, TSC Offshore is a business division specialising in product and service supply, serving both the onshore and offshore drilling industries around the world. As such the company offers a comprehensive range of products including drilling equipment, mechanical handing equipment, solids control equipment, power control and drives, and tensioning and compensation systems for semisubmersible rigs and drillships.

One prominent activity is the design, build and sale of complete rig packages for jackup rigs, semi-submersible rigs, and platform modular rigs, as well as individual jacking systems and rack materials. In addition, TSC Offshore designs and builds offshore deck cranes for drilling rigs and production platforms.

Completing the supply chain, the company also provides maintenance, repair and operations (MRO) services to its clients.

The in-house design capabilities means that TSC Offshore is able to meet the needs of today’s drilling operations with innovative and reliable products. Finite element analysis and 3D modelling techniques are used to simulate operating conditions, ensuring that risks are eliminated at the design stage. The company

works alongside its clients to fulfil their specific needs, and as part of this is able to develop customised solutions.

Priding itself on working around the clock and around the world, TSC Offshore maintains a whole network of engineering centres, manufacturing facilities, sales offices, distribution and service facilities strategically located in all major oil and gas producing regions. This all stems from, and is managed by, TSC Offshore’s operational headquarters and central distribution centre in Houston, Texas.

The wide scope of TSC Offshore has earned the company a client base that consists of many of the world’s leading drilling contractors, oil majors, offshore engineering and construction companies, and major shipyards. Many of these clients have worked with the business for over a decade, and TSC Offshore is committed to remaining their preferred vendor for future projects and upgrades.

One such relationship is with Yantai Raffles Shipyard Ltd, which since March has been a wholly owned subsidiary of CIMC, which TSC Offshore signed a market agreement with in February 2010. Since then the company has delivered many projects for YSR, including a recently announced eighth jack-up rig package.

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TSC Offshore

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Worldwide Oilfield Machine (WOM)

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This is for Yantai CIMC Raffles’ new Y13-1293 rig, and has a value of approximately $29.6 million to TSC Offshore.

Two previous projects for Yantai CIMC Raffles have also now entered into the final stages of completion, and show the progress TSC Offshore and client have made in achieving an effective co-operation to meet the increased demand for jack-up rigs. The combination of new discoveries of offshore reserves, and the aging nature of existing jack-up fleets means that drilling rig packages and solutions are a key future requirement. By 2015, it is estimated that more than 117 jack-up rigs will have been in service for over 35 years, and as such in need of upgrade or replacement, and TSC Offshore is well positioned to benefit from this trend.

Mission critical drilling rig packages are a core element of the integrated solutions offered

by TSC Offshore. It’s also a main driver of the company’s revenue growth as internally designed and manufactured equipment continues to be recognised for its reliability and efficiency. In addition, TSC Offshore products are certified by the American Bureau of Shipping – Certified Drilling Standards (ABS-CDS) and other internationally notable classification authorities, assuring the industry of their high quality.

This year has seen the TSC Group put in place a number of other key strategic alignments, including one with Lanzhou Lanshi Oil Equipment Engineering Co Ltd to develop the on- and offshore drilling market. This will see the two companies co-operate on equipment supply, promotion, after-sales services and global network to enhance mutual growth and market share.

For TSC Offshore this means being able to take advantage of the world-class manufacturing facilities of the Lanshi Group.

The company will also provide Lanshi with

competitive prices for its solid and electric control systems, and maintenance services, which will increase TSC Offshore’s share of the oil and gas equipment industry. The two companies will also jointly bid for additional offshore and land rig drilling tenders.

Another new co-operation is with the China Industrial and Commercial Bank (ICBC), which will assist TSC Offshore in its aspiration to become a major player in the global shale gas equipment manufacturing market. Even more recently though, TSC Offshore has entered into a strategic framework agreement with Wuyand Iron and Steel Co Ltd, a subsidiary of Hebel Iron and Steel Group (HBIS), which will enable it to provide a one-stop service for jack-up leg rack products within China’s offshore equipment manufacturing industry.

Capable of putting together the perfect package at any stage of its clients operations, TSC Offshore is a first name within its market. This is backed by the company’s strict corporate social responsibility programme, and quality management system. The effectiveness of this can be seen in TSC Offshore’s attainment of ISO 9001, and is continuously improved through planned reviews. As such the company’s customers receive only the highest quality products and services at a competitive price, in a timely manner, and with a safe working environment.

It’s this model that TSC Offshore will continue in, particularly as more customers look towards end-to-end solutions. Likewise, TSC Offshore’s ability to put together an added value proposition of all products, equipment and services related to drilling, which is also managed in-house, results in highly integrated seamless solutions that deliver for the client, whatever their demands.

WOM’s patented, field-proven technologies have broken industry records and set new standards of performance making WOM products preferred by TSC Offshore. WOM has been partnered with TSC since their acquisition of Patriot Crane Company five years ago. Since then, WOM has provided TSC with ABS and CDS certified choke, cement and standpipe 15k manifolds for their H211 and H212 projects on the Super M2Self elevated drilling units constructed at the Raffles shipyard in Yantai, China. Currently, WOM is providing TSC with the control package for their H213 project.

WOM is also working with TSC to provide manifolds and BOP’s for trailer mounted drilling rigs for deployment in Latin America and South America. The manifolds were manufactured at WOM’s Houston and India facilities and were assembled and tested at WOM’s API approved India and Singapore locations. Utilising the patented Magnum gate valve that has made WOM the industry standard for reliability and quality, the 10,000 and 15,000 PSI manifolds produced for TSC are well-suited to operate under the most rigorous conditions and at the highest expectations.

WOM possesses the capability to fully customise and manufacture manifolds for onshore, offshore and subsea applications, for virtually any environment and to any industry requirement.

TSC Offshore t-s-c.com

Services Offshore rig packages

PROFILE

Energinet.dk

energy The Energinet.dk pipeline project was a significant undertaking, with high complexity, intensity and many technical challenges.

Energinet.dk looked for a engineering partner that was able to securely take it from A to Z. Energinet.dk trusted COWI to manage the project's main challenges. Close collaboration and a very dedicated and experienced team secured the success. COWI is very proud of this achievement and is ready to add value in future projects.

Below Torben Brabo, gas division director at Energinet.dk

Owned 100 per cent by the Danish state, Energinet.dk was established in December 2004 as the transmission system operator (TSO) for Denmark’s gas and electricity networks. It is also the co-owner of the electrical interconnections to Norway, Sweden and Germany. Furthermore, Energinet.dk is responsible for the natural gas storage facility at Lille Torup in northern Jutland, and has access to a similar site at Stenlille in Zealand.

“We own, operate, and invest in the development of the main transmission infrastructure in Denmark, in close co-operation with the Government and our neighbouring countries,” highlights Torben Brabo, gas division director. “On top of that we have some public service obligations such as paying subsidies in green gas production, along with our efforts to integrate renewable energies into the systems, which is all part of our focus on investment and initiatives for the implementation of green energy. We are also very involved in developing and ensuring national energy security of supply for the future.”

He goes on to outline an important aspect of Energinet.dk’s operations: “Although we are a state owned company, we are run as a private business in the sense that we try to take best practice from the sector and incorporate it into our business processes. This includes things like targets, KPIs, and efficiency goals. Since our formation we have improved our benchmarking

compared to other electricity TSOs, which saw us noted as being amongst the most efficient electricity transmission system operators in Europe according to independent analysis. We also have a similar voluntary benchmarking initiative for our gas operations, in agreement with a number of other TSOs. These results are not public, but they help us to identify best practice and possible areas where efficiency changes can be made.”

On the gas side of the business Energinet.dk has seen a larger shift from domestic production from the North Sea to rising imports of gas through Germany from the north European markets. As such, the company has recently inaugurated a new 94-kilometre pipeline, parallel to an existing pipeline, and a new compressor station.

“This is a direct result of our open season process that we were partaking in alongside Germany, Poland, Norway, Sweden, and the Netherlands in 2009-2010. Alongside this we conducted a cost benefit analysis, which shows how the market function will improve, and how our security of supply increases in accordance with different infrastructure investments.

Essentially, open season is more or less the commercial business indicator for some of these projects,” explains Torben.

“With a need to ensure security of supply though, our regulator required us to invest in 30 per cent additional capacity for the new pipeline,

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security of supply, storage facilities for excess (wind) energy, and flexibility so that when conditions aren’t favourable we can still produce energy. For example this may be a gas system, which can generate power when the wind isn’t blowing or sun doesn’t shine.

“We have two main development tasks for achieving this. The first is to integrate the wind turbines into the network with transformer stations and offshore cables, and the second is the need to upgrade the interconnectors to neighbouring countries for optimum development. This is both in terms of technical engineering so that we have a stable power system, but also commercially so that we have enough interconnectors to ensure Danish consumers have the cheapest possible power supply, and producers the bigger market areas,” he continues.

Parallel to this Energinet.dk is also investigating different paths for its gas operations, both in terms of renewables and fossil fuels. “The general agreement within the Danish government is that as long as Denmark has fossil fuels in the North Sea, both oil and gas, they should be extracted,” describes Torben.

“There is also the potential option of shale gas developments. Although as a country we are aiming for clean energy, we still have a large energy sector based on the production of gas. Therefore we need to ensure we have the infrastructure, for both distribution and transmission, so we can export and import these resources. But we are also looking at the introduction of green gases, such as biogas, and the possibilities of converting excess power from wind turbines into hydrogen. So there’s quite a lot that we’re doing to secure the networks for the future,” he concludes.

Energinet.dk energinet.dk

Services Gas and electricity transmission system operator

European oil & gas

to ensure that it not only supports existing needs and market players, but also that we had a better market function in the medium to long-term,” he adds.

A total of 1.5 billion Danish Krone (DKK), and one million man-hours has been put into the construction of the new pipeline and compressor station. In developing the system, Energinet.dk visited several other similar projects to identify best practice for implementation. “Originally we had looked at positioning the compressor station at our border to Germany, but we concluded that there was a point elsewhere where our two main pipes meet, and so it was preferable to have the station at this intersection. The infrastructure has been prepared in such a way that it can pressurise gas at different levels for transit in each direction, giving us multiple usages from the investment. As such, in the medium to longterm the pipeline can be used to strengthen Norwegian imports, gas supply from Germany, and delivery to Poland and Sweden as required,” notes Torben.

Understanding the energy mix for the future is an important task for Energinet.dk.

To this end the company undertakes complex planning, which considers future capacity requirements and long-term security of supply.

As a power TSO, Energinet.dk subscribes to a national energy strategy, which covers users of primary fuels in all consumption types. Into this political goals are then incorporated, which are dominated by a move towards renewable energy.

“By 2020 the aspiration is to have 50 per cent of electricity derived from wind turbines, and 100 per cent from renewable sources by 2050 aiming at carbon neutrality,” reveals Torben.

“This creates a number of points of note, namely

With 3600 employees the Aarsleff Group is one of Denmark’s leading civil engineering contractors with an annual revenue of DKK 6.7 billion – of which 42 per cent comes from abroad. We work as a general infrastructure contractor, and we specialise in civil engineering work, underground structures and marine construction. Within the past ten years, Aarsleff has developed competencies within railway work and establishment of offshore wind farms, and today we are among the industry’s leading players.

With a history of more than 100 years, the STREICHER Group combines quality and expert know-how with many years of experience in different sectors such as pipelines and plants, mechanical engineering, civil and structural engineering as well as raw and construction material.

Within its parent company MAX STREICHER GmbH & Co. KG aA, with its headquarters in Deggendorf/Germany, employs 3200 people in about 30 locations worldwide.

JOHANN BUNTE is a leading German construction company with some 1600 employees and an annual turnover of more than 500 million euros. From its inception as a haulage contractor in 1872 JOHANN BUNTE became an experienced and reliable partner in different sectors such as road construction, civil engineering, pipeline and plant construction, hydraulic engineering and project development. With its headquarters in Papenburg, JOHANN BUNTE operates both nationally and internationally.

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JV AARSLEFF – STREICHER – BUNTE I/S

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OHT

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transporters The

Having first been

established when its former parent company looked to expand its activities into the heavy lift business, today OHT AS is the third largest heavy transport vessel operator in the world. In reaching this position, the company has undergone various conversions and acquisitions in order to become a full-time integrated player in the heavy lift market. Most recently, a restructuring of the OHT Group has seen it gain a new parent company in Albatross Investering AS, now renamed to Offshore Heavy Transportation AS. Speaking previously to European Oil & Gas, chief commercial officer Dagfinn Thorsen

explained the Group was left unaffected by these changes: “The management company OHT AS remains unchanged and business goes on as usual. All chartering, engineering and operations are carried out by OHT AS through management agreements with the ship owning companies.

Both the ship technical management and crewing company are kept unchanged. In fact, the technical management company is, and has always been, part of the new owner’s business.”

In order to grow its presence in the market, OHT AS has always focused on offering a full spectrum of services. To this end, the company maintains a fleet of four semi-submersible

PROFILE

OHT

able to achieve an average speed of 13 knots for these deliveries, even given the 30,000 tonne weight and with almost 200 feet long legs on each rig. Following on from this, in 2012 OHT was contracted by Maersk to tow three large JU rigs. These transports will take place in 2014 and 2015.

Reflecting on another successful past project in an earlier conversation with European Oil & Gas, this time with Soluciones Energeticas to move a buoyant tower from China to Peru, Dagfinn said: “This project is the first to involve a transverse mating operation (i.e. over the side

end user is ConocoPhillips, but we actually carried out the transportation for Saipem,” notes Dagfinn. “They used their crane vessel to lift the module from our ship to the jacket, so we were working together with them on that.”

The module was built by SMOE in Singapore, and then transported by OHT via the Suez Canal to Stavanger. It contains 552 single cabins, office space, a telecommunications centre, a hospital, and heli-deck hangar space for two helicopters.

Whilst this is undoubtedly a major piece of equipment, OHT’s assets have transported even heavier pieces of up to 30,000 tonnes each in the past.

These were in the form of three large JU drilling rigs for Rowan Companies, from Singapore to Norway and Scotland. OHT was

of the vessel). It was also quite complicated.

First the vessel loaded the buoyant tower and the topside module (on a high support) by trailers (roll-on operation). Upon arrival in Peru the vessel ballasted down with a huge aft trim to float-off the buoyant tower, but still keep the topside module above water. The tower was ballasted to an upright position, towed to the vessel’s side and secured to a pre-installed support on the vessel’s deck. Then the topside was skidded out over the shipside and the buoyant tower was deballasted to lift the weight off the vessel and the support. It was a very tricky operation – but all went well.”

Turning his attention to the current status of the market, and OHT’s prospects for the future, Dagfinn concludes with how the company defines itself against the competition: “We’re still working mainly in the spot market at present and we do see that it is perhaps stronger for this last part of the year then before. The offshore drilling market remains good, and we see a lot of new drilling rigs coming out from yards, all that we hope to see as cargo. Whilst there are other heavy lift companies out there, and the principles of what we do may be similar, we believe that OHT sets itself apart with its engineering/operation and vessel capabilities, and this will help us retain our leading position in the market.”

Whilst there are other heavy lift companies out there, and the principles of what we do may be similar, we believe that OHT sets itself apart with its engineering/ operation and vessel capabilities

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heavy lift vessels, which it uses to provide dry transportation of offshore drilling rigs and onshore modules to its clients. These are the ‘Eagle’, the ‘Falcon’, the ‘Hawk’, and the ‘Osprey’. The vessels are known for their high speed and safe operations, and are backed by staff with a long experience in the industry.

Likewise, OHT AS focuses on the key concerns of its customers in working to arrive and load cargo on time.

Earlier in the year, the ‘Osprey’ was contracted to deliver a 12,000 tonne hotel and field centre module for the Ekofisk field in Norway. “The

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Services Semi-submersible heavy transport vessels

Far East Oil Terminal Two (Feoso Malaysia)

Slick

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solutions Incorporated in 2003, Far East Oil Terminal Two (M) Sdn Bhd (Feoso Malaysia) is a specialist third party manufacturer of lubricants for passenger car, motorcycle, heavy and light commercial vehicles, metalworking, and general industrial and marine applications. It also provides packed lubricant warehousing, base oil storage and lubricant laboratory testing services.

With a strategic vision to become a world-class specialist OEM lubricant manufacturer and a one-stop lubricant solution to its customers, the plant already services both local and major companies in the majority of South East Asia and Australia.

“We are a 100 per cent third party toll blender; we don’t make our own brand but blend for other companies, both local and international. A major local customer is BHP, which took over all BP gas stations; we also pack for oil companies such as BP and the Philippines firm Petron too,” explains Gan Eng Kiong, general manager of Feoso Malaysia. With its office and manufacturing plant located in a free trade zone in Westport, Port Klang, the division of Hong Kong headquartered FEOSO Group has spent the last decade earning itself a reputation as a reliable manufacturer of high quality

lubricants. “We have had a fairly challenging few years, particularly in 2008 when the financial crisis hit us quite badly,” says Gan. “The plant only really began to grow three years ago and after we improved a number of key issues including quality assurance, filling capacity, staff competencies and high staff turnover. For example, we had a very high staff turnover, which meant training people up for jobs was almost impossible. To stabilise turnover we empowered staff by getting personnel involved in decision making and offered training.”

Strategically located in the West Port of Port Klang, the 12th largest port in the world, Feoso Malaysia’s plant of 6.7 acres has a dedicated base oil pipeline of 0.7 km length that connects with the shared jetty; it is through this pipeline that base oils via vessel are transferred directly to and from the plant. “The fact we are located at a port where we can buy our main ingredient, base oil, in bulk is definitely a key strength of Feoso Malaysia,” highlights Gan. With a production capacity of 50 million litres of lubricant annually in one single shift, Feoso Malaysia has a total of 24 base oil storage tanks that range in size from 17 MT to 1750 MT. These have a total storage capacity of 10,000

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MT, however Gan has plans to double this amount over the coming years. “We have 6.7 acres so there is a lot of space for us to expand into, and we are currently looking to expand our sheltered warehouse where we store both raw materials and the finished products; once we get local council approval we aim to expand it by 25,000 square feet. This will enable us to enhance our warehouse and transport services to become more of a one-stop lubricant solution to our customers,” he says. “We are also looking at building new tanks and taking our capacity to 20,000 MT, which will allow us to store much more base oil for both manufacturing and rental services. We want to deliver a complete solution, customers can give us an order, we can send it to their end user; our clients don’t even need to see the product.”

Having earned a reputation as a manufacturer of high quality lubricants, the terminal prides itself as a specialist in its field and is committed to constant improvements in all areas of production and services to meet the evolving needs of its wide customer base. To deliver satisfaction, each and every blend made by Feoso Malaysia is tested at its state-of-the-art lubricant testing laboratory, which ensures each and every blend made by the terminal passes its stringent quality control process. All raw materials for the manufacture of blends must also be quality tested and monitored by its qualified chemists. On top of this, the laboratory provides analysis on used oil, reporting on the condition of the used oil

as well as an insight into the engine’s/machine’s condition. Committed to a high standard of quality, the ISO 9001: 2008 certified Feoso Malaysia works only with reliable suppliers of its raw materials that are also approved by major oil firms. Suppliers of base oils include Petronas (Malaysia), ExxonMobil (Singapore) and S-Oil (Korea); the company also works closely with the best additive suppliers such as Infineum Lubrizol and Afton.

Other facilities at the terminal include a drum yard, which takes up an acre and a half of land to store finished lubricants and additives in drums, five blending tanks in sizes ranging from 40 MT, 20 MT, 15 MT, ten MT and five MT; these give the terminal flexibility in the blending of lubricants for a variety of volume requirements.

With a strategic vision to become a one-stop solution, the terminal is focusing on warehouse and facility expansions; these include acquiring a further three filling machines to triple filling capacity and building four new blending tanks of 50MT each. “The reason for the tank increase is to be able to blend additives for major oil companies,” explains Gan. “We have been approached by a number of them but we don’t have the necessary facilities to deliver this service; seeing this demand in the market, we plan to move down from purely providing lubricants to also manufacture additives and brake fluids. Ultimately we want to deliver a complete solution to all of our customers, not just manufacturing, but all related services.”

BRB International BRB International is an international additives, chemicals and silicones producer dedicated to servicing its customers with a wide range of tailor-made solutions.

BRB has nine locations worldwide from which it can supply its markets and meet its customers’ needs.

BRB’s strength lies in the commitment of its 150 employees, putting the customer first and being flexible in both service and product solutions.

Its focus on R&D, technical field support, customised products and problem solving mentality gives BRB a unique position in the market. BRB is able to service smaller and middle size customers as well as larger multinationals.

Far East Oil Terminal Two (M) Sdn Bhd (Feoso Malaysia) feoso.com.my

Services Lubricant toll blending

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Far East Oil Terminal Two (Feoso Malaysia)

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standpoint

Norconsult With track records going back to the design of the gravity based concrete structures in the North Sea, Norconsult AS has developed extensive design knowledge for atmospheric LNG tanks. The full containment cryogenic tank meets the highest safety standards in the industry i.e. European Standard EN 14620 in accordance to EN 1473 and hence is the safest design available for LNG storage globally. The design provided to the Lysekil project is similar to the tank designed and constructed at the Skangass Risavika LNG base load plant in Norway. In addition to the tank design, Norconsult covers all design disciplines and phases in such a project.

Above Inside of the tank as it is almost fully erected. Visible is the scaffolding needed to build the tank, which is mainly used for inspection

Founded in Gothenburg during 1944, Rodoverken AB has a long history in storage design and installation. Its roots are naturally humble compared to the company Rodoverken would become, however when Rodolfo Arabella first began installing storage tanks for oil heating systems for domestic use, he was sowing the seeds for an industryleading brand within industrial design and installation. Crucial to the company’s growth was the unique Spiral construction method that Rodolfo pioneered and that the company has refined ever since. Today Rodoverken’s legal name is Midroc Rodoverken AB and it operates as part of the Midroc Europe group, primarily serving clients within the Nordic region but with increasing focus further afield as

emerging markets offer promising opportunities for expansion. Its business is largely split into two divisions offering storage tank solutions on one hand and pipeline installation and servicing on the other. Additionally, within each of these sectors Rodoverken is able to offer comprehensive aftersales and maintenance support for ongoing operations.

For many companies operating within Europe and the Nordic region, the onset of the financial crisis emerging around 2008 caused a significant decline in business. However, Rodoverken has not only weathered the storm but has also managed to grow convincingly in recent years.

Under its current CEO, Magnus Dahlberg, the company has managed to more than double its turnover since he took the helm some six years ago. Reflecting on this Magnus comments: “I would say that we have been very flexible and that we have seen opportunities early on.

So we have been able to move effectively into areas where we have seen our clients’ needs developing. We have a lot of experience in these markets and with two key areas; we are able to lean on one when the other is a little slow. That has been a strong combination to have.”

The intuitive nature of the company, which results from its years of experience, is complimented by the strength of its parent company as well its innovative Spiral Production method. As part of the Midroc group, Rodoverken is well supported and can rely on extensive in-house services that might otherwise prove costly to obtain. Its spiral design technique is an innovation that has proven beneficial to Rodoverken and it clients time and time again as it eliminates the need for time-consuming scaffolding and continuous heavy lifting. The technique involves the rotating of the tank from a single point so it turns almost like a screw. As it rises it can be welded at ground level so that the need for heavy lifting equipment is largely eliminated. This can be of enormous benefit where construction is taking place in tight spaces, as marketing director Fredrik Nilsson elaborates: “Sometimes a customer needs a big tank on a small site, which means it can’t be pre-built and transported, but has to be constructed on-site. With the spiral method the sheetmetal plates are welded in place from the same position at ground level, which requires only a small work area, and weather protection can be provided together with an optimum work environment. We’ve put a lot of effort into developing this method and it is something we

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are really trying to make the market aware of.�

A recent example of the spiral technique in operation is the highly successful installation of a storage tank for an LNG plant in Lysekil for Skangass. Having been heavily involved in the development of the LNG receiving terminal itself through its piping and engineering division, Rodoverken also provided the necessary storage solutions. The project was scheduled for completion in early 2014, however as of October 2013 the construction is complete and the terminal and supporting infrastructure are close to operational readiness. Commenting on the progress of the installation, project manager Maths Gustasson says: “We started the Skangass project about a year and a half ago in the middle of May. By January we began the construction of the tank itself using our Spiral construction technique, then during May we had started the internal piping and by July we had finished and begun pressure testing. This is a very good technique as we are able to work safely. We have very good safety accreditation and we make sure

we carry out a risk evaluation at every stage so that we are able to minimise the dangers as much as possible.�

By being able to carry out projects efficiently, safely and ahead of schedule Rodoverken has earned a reputation as a reliable and trusted partner in the installation of storage tanks in the LNG market and other sectors including water, gasoline and other products. Because of this the company has a long list of satisfied customers including big names within the oil and gas industry such as ExxonMobil, Skangass and Statoil. Its recent work in Lysekil is one example of the growing list of references that Rodoverken is able to present to demonstrate its undisputed competency as it moves forward to win new contracts. Traditionally the company has been focused on Sweden and has enjoyed high volumes of work in Norway and while these will continue to be key markets for Rodoverken, it is committed to exploring new opportunities as the LNG market grows throughout Northern Europe.

Above The big roof being lifted from its production site on the ground to its place on top of the tank

Rodoverken AB rodoverken.de

Services Design, prefabrication and installation of industrial plants

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GPT

of the world’s largest manufacturers of flange isolation kits came together. PSI (Pipeline Seal & Insulator Co Ltd) of St Neots UK and Pikotek of Denver, Colorado have combined manufacturing and engineering expertise totalling nearly 80 years.

GPT manufactures a wide range of engineered products for the pipeline industry and has a vast portfolio of products dedicated to sealing, isolating and connecting the world’s pipelines.

A main focal point for GPT is assisting pipeline owners and operators to protect their assets in the fight against pipe and flange corrosion and to enhance safety.

Since the early days of oil and gas exploration and production, pipeline and flange corrosion has always been a major issue, costing operators billions of dollars a year. In fact, industry sources estimate the global cost of corrosion in the oil and gas industry to be in excess of $1.3 billion.

For offshore facilities, some operators estimate 60 to 70 per cent of maintenance costs are directly related to corrosion issues.

Robert Colton, GPT’s Oil & Gas segment

Right Robert Colton, GPT’s Oil & Gas segment leader

leader states: “Over the past 30 years, operating conditions in the oil and gas industry have changed hugely and have become more challenging not only from a production perspective and the complexities that brings, but also in terms of the transportation and refining of the highly corrosive media that is being extracted. We have found that the offshore oil industry in particular is continually pushing oil exploration to greater depths than ever before, which in turn leads to greater pressure conditions and harsher environments. Advanced technologies developed over many years have meant that drilling to exploit hydrocarbons is now reaching greater depths, thus producing a higher rate of production from domestic reservoirs. However, whilst deeper drilling increases the life of these wells and production, this comes at a cost in that the media can contain much higher levels of highly corrosive Hydrogen Sulphide H2s. As a result of these increasingly sour environments, GPT (PSIPikotek) has over the last 20 years, seen an increased demand for higher corrosion resistant alloys, which are utilised in its critical service flange isolation kits.”

GPT manufactures its full range of flange isolation kits in two locations: Denver, Colorado, US and St Neots in the UK. These kits are made up of a number of vital components, which together ensure the integrity and safety of piping systems is maintained. Flange isolation kits are designed to seal and electrically isolate complete flange assemblies. By isolating the flanges, current flow in cathodic protection systems can be controlled and by eliminating metal-to-metal

European oil & gas

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Our expertise in pipeline corrosion protection and integrity, product innovation, engineering excellence and safety truly allow us to seal, connect and protect the world’s pipelines

Left Todd Anderson, vice president of GPT

nickel alloys and titanium cores to meet the everincreasing demand for these products. GPT’s PSI and Pikotek brands are recognised globally and have been installed in many offshore and onshore facilities worldwide.

As it moves into the future, GPT is dedicated to continuing to grow and develop its product range, as Robert concludes: “GPT is well placed to achieve its vision and to continue to step up the standard for engineered pipeline solutions.”

Todd Anderson, GPT’s Vice President adds: “As a global organisation, servicing industries that are both global and local, we are committed to provide regional support structures to best meet the demands of our customers. Our expertise in pipeline corrosion protection and integrity, product innovation, engineering excellence and safety truly allow us to seal, connect and protect the world’s pipelines. GPT has an aggressive growth plan and has made major investments to create a stronger foundation to support this growth. We are excited to work with the industry to meet the challenging pipeline needs.

Along with other EnPro Industries companies, our passion and dedication toward excellence and improvement drive us to be number one in the world at meeting the pipeline industries needs. We look forward to working with customers in these dynamic areas.”

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GPT is also the manufacturer of the VCFS range of flange isolation kits, which were the first flange isolation kits in the world to be approved to API 6FB standards. The gaskets utilised in the VCFS design have a patented seal system that in the event of a fire will contain the media.

This technology has become a standard offering for North Sea platforms and is fast becoming the norm for facilities worldwide. As with the standard range of critical service isolation kits, the GPT VCFS fire safe seals can also be manufactured with any core material to suit the application. GPT’s US and UK facilities now hold large stocks of laminated stainless steels, high

European oil & gas

contact, galvanic corrosion cannot occur.

GPT manufactures a number of different flange isolation kits to suit varying applications and conditions. For critical service applications, the company manufactures systems that have a metallic central core, which has a high dielectric strength GRE retainer bonded to both sides so as to effect the electrical isolation. Historically, the core material utilised was generally a stainless steel 316. However, over recent years there has been a growing demand for more corrosion resistant materials. GPT’s engineering teams in the UK and US have developed gaskets with a number of different cores, which have been required by operators to suit various applications. Such cores include 316L, Duplex, Super Duplex, Inconel 625, inconel 825 and titanium.

Robert elaborates: “We are the world leaders in the design and manufacture of flange isolation kit technology and we expect to maintain our standing because we listen to the customer, understand their needs and invest heavily into research and development so as to meet their needs and maintain the integrity, and indeed safety of our clients’ facilities worldwide.”

With conventional metallic ring joint (RTJ) and spiral wound gaskets, there is always the opportunity for corrosion to occur. Galvanic corrosion can be a major issue with metal-tometal contact. Different metals have differing potentials and when they come into contact with each other can cause a galvanic reaction that results in corrosion, which can be costly and dangerous. Also, as the RTJ and spiral wound gaskets do not match the flange bore, there is a small gap between the flanges in which deposits can build up, thus creating the potential for corrosion. GPT’s Isolation Gaskets match the bore of the flange and pipe schedules, which eliminates the risk of deposits forming and reduces the risk of flange corrosion. The whole range of GPT flange isolation gaskets have seals, which are fitted into machined grooves on the sides of the gaskets. This means that the GPT’s Flange Isolation Kits can be utilised in any flange type including RTJ. For RTJ flanges, the seal location is fixed between the RTJ groove and the bore of the flange thus rendering the groove redundant. The robust design and construction of the isolation gaskets means that they can withstand extremely high-pressures and are regularly used in ANSI flanges up to class 2500 and API 10,000.

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GPT gptindustries.com

Services Engineered pipeline solutions

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Part of the long established Awilco AS Group, Awilco LNG has been operating LNG vessels since early 2011.

The company was formed following the acquisition of three 125,000 cbm LNG carriers: WilGas, WilPower, and WilEnergy, which it has been operating ever since out of its headquarters in Norway.

Speaking previously to European Oil & Gas Magazine, chief executive officer Jon Skule Storheill said: “Arguably the core strength of the company is the fact that it has available ships to be utilised in the very tight tonnage situation that exists today, whereas most LNG vessel

owners have fixed the majority of their fleets to long-term contracts.

“This fact places the company in a particularly good position, especially at a time when the market has quickly improved for ship owners.

This clearly demonstrates the increased demand for LNG transportation services.”

2011 was a very strong year for LNG transportation following the Fukoshima tragedy with increased ton-mile and high production from LNG plants and through 2011, Awilco LNG’s vessel utilisation increased from 27 per cent in the second quarter to 88 per cent by the fourth quarter. 2012 proved a little disappointing with LNG production coming off rather than showing the expected increase, leading to a slightly more challenging market with rates coming off their highs of some USD 150,000 pd for modern vessels early in the year to around USD 100,000 pd at year end. This is a level that has been more or less unchanged for 2013, as Awilco LNG is taking delivery of its two newbuildings from Daewoo Shipbuilding & Marine Engineering Co Ltd in Korea. Both are built with membrane tanks, as

Clearly Awilco LNG continues to see good things from the market as the company is currently considering plans to expand its fleet even further with a number more newbuild vessels, which would be delivered in 2017. This development is in tune with the strategy that Jon had set down previously: “Awilco LNG’s overriding goal is to create shareholder value. To do this we need to continue to show excellent performance to our customers and make the most of what we have in terms of capabilities and assets, while also making sure to grasp the right opportunities to grow the business as and when the chances present themselves.”

From an environmental perspective, the company continues to work to minimise the impact of its fleet with a zero tolerance for spills, emissions of ozone depleting substances, and dumping of waste

Awilco LNG awilcolng.no

Services LNG vessels

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opposed to the moss type tanks that are on the original three vessels, and boast tri-fuel DFDE engines, which are the most efficient and ecofriendly technology, as well as being larger at a capacity of 156,000 cbm. The first new vessel, WilForce, joined the fleet recently and has already fixed its maiden voyage, with the second, WilPride, due to be delivered by the end of the year.

At present both the WilForce and WilPower are being technically managed by Awilco LNG Technical Management AS (ALNG TM), which is the company’s in-house technical management business. The WilGas is also set to join shortly. On delivery, WilPride will also come under ALNG TM’s management. In contrast V.Ships LNG, the largest player in that market, is technically managing WilEnergy. All commercial operations of the vessels are handled from Awilco LNG’s main office in Oslo.

The main objective of Awilco LNG is to ensure the satisfaction of its clients. As such the company strives to attain and maintain a level of quality that is considered to be the best in the business. This includes the application of international standards for quality and safety such as ISO and ISM, and employment of professional staff with training delivered in all areas of responsibility.

Safe and efficient ship operation not only means on-time delivery and high service levels, but also ensuring there is no accidents, personal injuries, or environmental damage as a result of these activities. By managing the safe custody of its vessels, and customers’ cargoes, Awilco LNG believes it can position itself as the shipping company of choice.

From an environmental perspective, the company continues to work to minimise the impact of its fleet with a zero tolerance for spills, emissions of ozone depleting substances, and dumping of waste. Likewise, Awilco LNG is undertaking work to reduce its NOx and SOx emissions in line with industry regulations.

Well-trained and informed staff are key to achieving these aspirations, as is a robust safety management policy.

The volume of short-term contracts being awarded in the LNG market has certainly been a boost for Awilco LNG as the company has a fleet of tailored tonnage that is readily available to meet those needs. It has also benefited from the extensive experience within the shipping and offshore segment of its parent company, which has helped it quickly establish itself.

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Redefining

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Asisto specialises in the design, engineering and manufacture of control systems for the dredging, offshore, underwater and heavy lift industry, and is the main supplier for electric and software control systems to Innovative Input (II). The company delivered its first control system to II about ten years ago, for winches on a 2000T sheerleg in Dubai, and since that time the relationship has gone from strength to strength.

Asisto is frequently consulted by II in its quotation phase, and can offer advice on the selection of electric parts, sensors and software solutions.

Perhaps more so

than other companies operating within the oil and gas sector, Innovative Input is a company founded on a principle. During 2001 Innovative Input was established by its current managing director Piet Kalkman with the vision of supplying specialised heavy equipment for offshore, onshore and civil applications. Coming from an acclaimed background within the sector Piet founded the company with a profound commitment to knowledge, creativity and experience. As such, it is renowned for expecting that its engineers are able to judge what is technically possible; thinking as inventors and acting innovatively to reach goals. By committing to this philosophy of innovation, the company has set itself apart as a forward thinking and progressive partner. Innovative Input is headquartered in Ridderkerk, Holland and started life purely as a design office.

However, following the success of its product applications it expanded into the delivery of tailored equipment and began to co-operate with external partners to facilitate the production of its bespoke designs. Furthermore, the company is able to work with its clients at every level of product application including concept studies, basic designs, calculations, detailed designs, drawing plans and the final delivery of manufactured equipment.

Although the company provides specialised designs based on its customers’ requirements its product portfolio can be broadly separated into cranes, winches, lifting gear and special equipment. Its cranes have been designed for applications including heavy lifting work, floating derricks, A-frame constructions and pipe handling systems and can be manufactured for weights of 400t, 600t and more. All of its cranes are delivered completely assembled and are fully tested for functionality in the presence of an independent, certified inspection authority. Similarly, a global network of aftersales support ensures that service levels are

maintained and that customers can operate the company’s innovative design with confidence.

Complimenting its cranes, Innovative Input’s range of lifting gear is likewise designed to meet the requirements of its customers ranging from lifting, cantilever/equaliser and spreader beams to yokes, swell compensators and more. As well as supplying its clients with tailored design applications, Innovative Input is able to recognise industry trends. To this end it includes equalisers as part of its standard delivery programme in anticipation of customer requirements.

In terms of its winches, Innovative Input is able to provide lifting solutions of a capacity up to 650 tonnes for a variety of offshore and onshore applications. Winches are often subjected to high stresses and demands and as such, special designs are often required to ensure the suitability of the equipment. Owing to its bespoke design portfolio, Innovative Input is able to provide winches for a host of applications including anchor, traction, hose and umbilical winches as well as capstans and for floating derricks.

At the core of the company’s vision is its commitment to providing unique solutions to more unconventional jobs. Over recent years Innovative Input has delivered a number of highly specialised and challenging solutions to clients all over the world. These include the engineering of an Upper Side Arm to aid the pipelaying process onboard a deepwater vessel operating within a high swell environment.

The arm was designed to guide special pipeparts vertically and consists of a stable arm and ‘hand’ coated by a polymeric material. The arm is designed to be rested on a diagonal pipe that also serves as storage for the equipment when it is not in operation. As well as fully designing this custom machine the company also carried out full FEM calculation to assess its working capability. For all of its design applications, Innovative Input’s specialist team are on hand to help customers establish how to best meet their requirements.

Innovative Input is able to count itself as an industry leader when it comes to cutting edge design solutions. It has developed a close relationship with its producers and subcontractors as well as with its suppliers to ensure that it can service its customer effectively.

This spirit of co-operation helped the company win a challenging project for a modular spreader beam system during July 2013. The requirement

market, however despite the international placement of its clients it is interesting to note that increasingly its operations are focused in China. “A lot of European firms are keen to build in China because they think it is cheap,” says Piet. “However, when you are building ships you need to produce the equipment there too due to the cost of transport. Because of this we are becoming increasingly active with partners in China in the production of equipment for European clients.” As it moves in to 2014 and beyond, Innovative Input is committed to continuing to provide robust and revolutionary design in the ever increasing demands of the oil and gas industry, as Piet concludes: “Conformity becomes an enemy for us. We see new inventions as not being a threat to shareholders and business, but as the key in driving industry forward. We are keen to improve the efficiency of the industry and we are looking for people with the courage to try new designs and innovations, both as part of our company and as partners.”

Innovative Input innovativeinput.nl

Services Unique design solutions

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for the system was that it was able to spread from 2m to 26m in multiple steps with a design load of 1250t. The beam sections were required to fit in a single 40ft container for transportation purposes and had to be designed according to DNV specifications. The relatively short delivery time of the project meant that many companies were not able to meet these requirements in a satisfactory enough way to convince its client to award the contract, however Innovative Input was able to demonstrate its readiness and take on the project. Piet elaborates: “We have very good contact with our suppliers, classifying bodies and subcontractors. In this case got them all together in one room along with our client to host a meeting showing that we had every stage of the project in hand and accounted for. The client was impressed to see how effectively we could manage and centralise all of the project’s needs and awarded us the contract, which we were able to undertake successfully.”

The company’s dynamic product portfolio and bespoke solutions find it servicing a global

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Burning

ambition Duiker

Combustion Engineers has earned a reputation as a leading name in combustion technology since it began supplying equipment to the petrochemical industry during the 1950s. Its main activities include designing, supplying and installing a range of gaseous fuel process burners for oil refining, chemical and natural gas processing ventures all over the world. It provides a comprehensive range of equipment including burners, vessels, waste heat boilers, burner management systems and instrumentation. Whatever the project, the company’s expert team of engineers is dedicated to delivering cost-effective, environmentally friendly and uniquely tailored solutions.

During the 1950’s the company’s original portfolio included mainly in-line, reducing gas generator and incinerator burners. However, as the company has progressed its global experience and technology-focused innovation have allowed it to further push the limits of burner design for a range of applications including normal

air, enriched air and pure oxygen. Duiker is committed to investing in the development of new technologies and currently has five dedicated research and development engineers as well as a fully functioning in-house test facility for burners and associated equipment. The company built the world’s first oxygen enriched burners for sulphur recovery and today is able to supply its smallest burners with a capacity of three tons of sulphur per day to its main burners that handle 2000 tons per day.

At present sulphur recovery remains Duiker’s main market. It supplies equipment for sulphur recovery units to most of the major refiners and gas processing companies around the world and can rightfully be considered the market leader in this niche industry. The company takes a uniquely innovative approach to the combustion process, which starts with the high-intensity mixing technology that forms the basis for all of its process burners. The burners are designed to have mixing characteristics that result in extreme reliability and allow operators to achieve the lowest possible emissions. Equally, continual refinement and innovation of the incineration process have introduced increasingly economical designs. In all of its designs Duiker is focused on low emissions, excellent flame stability, high turn-down ratios, low maintenance, reduced lifetime cost, energy cost savings and the ability to deal with upstream upset conditions.

What sets Duiker apart is its knowledge of the processes in which its combustion equipment is applied. As sales manager Stijn Hoffland elaborates: “This knowledge allows us to design specialised equipment such as the Duiker high intensity, multiple vortex burner, which provides a cleaner input for the downstream equipment and is much more reliable than the industry standard. This reduces scheduled and unscheduled downtime and thus adds a lot of value to the unit.”

Within the industry there have also been innovations and the introduction of new regulations that have also driven the need for innovation, as Stijn elaborates: “Legislation such as the systematic reduction of sulphur allowed in bunker fuels as well as emission reductions in the petrochemical industry drive our market.

There are therefore a lot of opportunities for companies that can provide innovative solutions for the complex challenges faced by refiners and gas processing companies.

“Within the industry, the shift from conventional oil to super heavy oil and tar

suitable to debottleneck existing facilities.”

Duiker enjoys global coverage with its head office based in Holland, sales offices in China and subcontracted manufacturing plants in Malaysia, China, Netherlands and Vietnam.

Eighty per cent of the company’s business is currently found outside of Europe. This global reach has allowed the company to focus on consolidating its position in existing markets and allow natural growth by expanding the product range that it offers its customers. Looking to the future the company is likely to remain focused on the oil and gas industries, but it is also interesting in following the renewable power industry as a possible new market. Duiker is committed to continuing the level of growth it has seen in its main markets during the past ten years by providing bespoke solutions to the complex challenges faced by its clients. With a strong product portfolio, dedicated development team and market-leading reputation, Duiker is set to lead the way in sulphur recovery over the coming years.

Gouda Refractories Duiker Combustions Engineers B.V. - Gouda Refractories B.V. The relationship between our companies is long lasting, successful and intense. Both companies are active at the high end of their markets and share certain core values such as quality and innovation. A perfect example of this relationship is the recent customised one-day refractory training course that Gouda Refractories organised at its premises for a group of sales engineers and product specialists from Duiker Combustion Engineers B.V.

Duiker Combustion Engineers duiker.com

Services Sulphur recovery and combustion solutions

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sands results in much larger amounts of sulphur which need to be processed at refineries and upgraders. Exisiting plants often have to resort to technologies such as oxygen enrichment to debottleneck their facilities or invest in new equipment. Furthermore we see that the increased amount of bound nitrogen in the crudes further increases the hydraulic load of sulphur recovery units, due to the high amount of ammonia which needs to be treated.”

Resulting from the industry trend towards super heavy oil and tar sands, Duiker has developed a patented technology that allows the processing of ammonia outside of sulphur recovery units. “This stoichiometry-controlled oxidation process can reduce the capital investment in a grass roots sulphur recovery unit (including a sour water stripper and tail gas treating unit), by ten per cent,” Stijn explains. “As the operational expenditures of this technology also lie lower, we are able to provide the industry with a cost effective alternative processing option. Finally the technology is very

Duiker Combustion Engineers

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Oil States Skagit Smatco

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PACCAR Winch PACCAR Winch is a global leader in the manufacture of gear, hoist, winch, and drive products.

Comprised of brands BRADEN, CARCO, and Gearmatic; PACCAR Winch provides industry leading customer service both before and after the sale with over 300 team members working for its customers. PACCAR Winch is a PACCAR Company, traded publicly on the NASDAQ as PCAR.

LLC operates as part of the wider Oil States Industries Group, which can trace its roots back to 1942 when it was founded as a supplier of rubber components and other products for the Texas oil patch. During this time the group began to develop clutch and brake product lines, which would become precursors to its hugely successful ElastaFlex clutches that are now staple components in the marine, mining, paper and logging sectors. The Skagit Smatco division is a conglomeration of three companies that each brings unique experience and skill-sets to the group. The Skagit Smatco division maintains the Skagit and Smatco winch brands and also operates the former Applied Hydraulics group, which manages the company’s Nautilus range of marine cranes. Combining the strengths of each of these brands has given the group an impressive product portfolio and range of services, which has earned Oil States Skagit Smatco a reputation as a leading provider of bespoke solutions to a host of marine lifting applications.

The Smatco brand was established in 1948 as the Southern Machine and Tool Company.

Based in Houma, Louisiana the development of the region’s offshore drilling industry led to the manufacture of Smatco’s first winch in 1967. Since then the company has developed a standard line of winches with models ranging from 10,000 to 1,320,000 pounds line pull. As it has progressed Smatco has expanded its product line to include low-pressure hydraulic driven winches, diesel engine powered winches, electric

motor driven winches, combination drum/ traction winches, as well as storage reels, stern rollers, accessories and deck fairleads. Today, all Smatco winches are designed using a modular concept and are available with diesel, hydraulic and electrical power sources.

The group’s Nautilus cranes have been successfully installed in all parts of the world since 1985, catering for offshore drilling and production duty cycles on fixed and floating structures. Nautilus cranes are globally recognised for their quality and reliability. This reputation is founded on a bedrock of efficiency, safety and functionality, which is supported by a continuous development and design process.

“We have been manufacturing these cranes since the 1980s, and have an installed base of thousands globally, but the designs continue to evolve and there have been many developments that have changed the way we build cranes,” begins Tim Reggio, director of sales & marketing for Oil States Skagit Smatco.

“Everything including the look and structure of the cranes has changed, so we are continuing to develop our cranes and design new models.

For example, we are getting increasingly involved in the removal of older platforms from offshore oil fields, plus assisting the offshore wind farm industry with turbines being installed in various parts of the world today, which are larger and have a heavier tonnage, up to 500 tons and some of them work on what we call the cone design. What this means is that everything is contained within one central housing unit.

with the division as a whole that each piece of equipment should be tailored to its customers’ needs. Tim elaborates: “We don’t build anything that we would call ‘cookie cutter,’ everything we build is a custom application. We get in at the early stages of the design studies and co-operate with engineering companies as early as possible so that when the product goes out to the market it has already been designed for that application.”

As it moves into the future Oil States Skagit Smatco anticipates significant growth. With it entering into what it identifies as ‘hot spots’ around the globe, it is safe to assume that the company will see even greater returns in the coming years. There are challenges facing the market but, as Tim concludes, Oil States Skagit Smatco is well placed to meet them: “When I think about our company, I think everybody is excited about what we are doing. We are keen to tell our customers that we are here and ready to work for them. We want to make sure that we take care of our people while at the same time giving customers excellent service and I think that we are doing just that.”

Oil States Skagit Smatco LLC oilstates.co.uk

Services Bespoke engineering solutions

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“The idea behind this is that all of the crane’s machinery and hydraulics are contained internally inside the crane. This way, it is protected from the weather and the crane itself has offers a smaller swing radius. When you combine the cone design with the advantage of the smaller swing radius, installation of this type of crane uses less valuable floor space on a jackup, freeing deck for other functions.”

Since the early 1900’s Skagit Products has been involved in the construction of heavyduty machinery for a variety of industries. It has a firmly established reputation as a leader in supplying and manufacturing deepwater mooring systems for offshore drilling vessels, pipelay and derrick barges as well as floating production systems. The brand offers windless, mooring winches, traction winches, traction winch/windless mooring units, conventional drum/windlass combination mooring units, construction vessel winches, jack-up winches, as well as hoists, underwater fairleads and deck fairleads/guide sheaves. While it offers a diverse range of products, the Skagit brand shares a belief

Oil States Skagit Smatco

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( THINK OIL & GAS ) The rugged and reliable Eurocopter range is put to the test transporting crews safely to and from assignments. Enduring extreme heat and freezing weather conditions to reach offshore rigs and wells in remote land-based locations.

Specify an EC225.

Thinking without limits

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PROFILE

DanCopter

It has been a positive 12 months for Danish operator DanCopter A/S since it was last in European Oil & Gas Magazine in November 2012; currently operating in Denmark, Great Britain, the Netherlands and Nigeria, the company celebrated its first year of successfully transporting passengers in the North Sea for Shell in July 2013 and received its fourth EC225 model the same month. “Since our last interview we have invested in two new aircraft, EC225 models, one of which was delivered July 2013 and the other is due for delivery in July 2014.

They will be operating within the Norwegian oil and gas market, where we are mainly focusing our attentions alongside our daughter company Blueway Offshore Norge; the North Sea’s Norwegian continental shelf is an area of huge growth right now,” highlights Jens Anders Jensen, managing director of Dancopter.

Operating in the North Sea since 2003, DanCopter has successfully transported 42,000 passengers along with 740 tonnes of baggage in the first 12 months of its contract with Shell, which is due to last until at least 2017.

In relation to this, the business has contracted all passengers and freight to and from Shell platforms, as well as check-in, processing and security services to SaxonAir, which has a multi-million pound business aviation centre in Norwich airport. “We started this contract with four aircraft, which has now gone up to five; three of which operate out of Norwich and two out of Dan Helder. The past 12 months

have been a very positive period for us, with operations very busy at the beginning,” says Jens. “This is due to us winning two major deals that are both starting up around the same time, one being the biggest contract in the Danish sector with Maersk Oil, the other being the Shell contract. However, operations are now more stable and are going very well; we are now focusing on consolidating these contracts and also preparing for another contract with Shell that will start on 1st July 2014.”

Traditionally the role of crew transfer vessels, the offshore transportation of personnel and materials has seen increased competition from helicopters, which offer a cost-effective alternative with benefits such as faster flying times and the ability to bypass challenging wave conditions. Undertaking its first flight on 1st February 2003, the operator today has ten years experience in serving major oil companies such as Hess, Dong Energy, Det Norske and Wintershall. In 2008, the company’s market was further strengthened when Norwegian group Blueway AS, boasting many years experience in providing helicopter services both on and offshore, acquired 100 per cent of its shares.

Following this takeover, Blueway and DanCopter formed a new daughter company in 2009 to specifically serve its customers in the Norwegian sector, Blueway Offshore Norge Since its inception, DanCopter has aimed to provide safe and punctual transportation of personnel to vessels and platforms in the

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North Sea. To consistently meet these goals, it adheres to three core values: safety, flexibility and precision, with safety taking a core area of interest, following the suspension of the EC225 from service in 2012. “Safety is a top priority for us as we focus on trying to be the best in class for flight data monitoring, particularly in the way our pilots operate the aircraft and monitor components to prevent breakdowns,” says Jens.

“We have had a policy for mandatory analysis of the component monitoring system in order to pursue any unwanted developments in the components of the helicopter. This is an area where we believe there is a lot of work to do in order to improve safety, both in the way we operate the helicopter and also the condition of components in the helicopter.”

The EC225 was suspended from service

by EASA after an investigation into the main gearbox shaft failures of this type of helicopter in the North Sea in 2012. However, EASA approved the prevention and detection measures developed by Eurocopter, allowing the EC225 to return to service around the world. “Because the EC225 was not accepted to fly for a period of time with our customers we are now getting back into full operations for that helicopter type. Our two new EC225 investments will be operating in the Norwegian offshore market, with one dedicated to our July 2014 contract with Shell.” Able to carry 19 passengers on heavy-lift missions to platforms 150-155 miles from land, DanCopter is confident the helicopter type’s large cabin and ability to deal with winds, icy conditions and waves makes it ideally suited for the challenging task of transportation in the North Sea. Executing operations with helicopters

representing ultra-modern technology, safety and comfort, DanCopter’s fleet includes six Eurocopter EC 155 B1 helicopters, six AgustaWestland AW139 helicopters and four Eurocopter EC225 helicopters.

Despite a focus on the North Sea, in and around Northern Europe, the company’s long-term relationship with Shell resulted in operations expanding into Nigeria for the first time in July 2010. Activities commenced for the multi-annual contract in co-operation with DanCopter’s Nigerian partner and are still ongoing as the country continues to gain increased interest from the oil and gas industry, as Jens elaborates further: “We are working with our Nigerian partner Caverton Helicopters on the Shell contract, with six AW139’S operating out there on a fleet basis. We are also looking at other areas of interest in Africa, particular where we can use our experience with the knowledge of a local partner.”

With 95 per cent of DanCopter’s business based around crew transportation, the company has rapidly established itself as a leader in its field by ensuring personnel arrive at their required destination on time and fit to work.

Having developed a solid reputation, the company has grown from a small operator to one of the largest in the oil and gas sector; a development that Jens views as advantageous to its future growth. “DanCopter has enjoyed huge growth over recent years, which is because we are a very practical company that is trying to retain the flexibility of our smaller company roots while also offering the safety and quality of a large company. We aim to continue focusing on safety throughout all of our operations in the North Sea and Africa,” he concludes.

Energy high in the sky Eurocopter is well aware that of all its civil customers, it is oil and gas operators who face the most demanding working conditions: maximum availability, the highest possible safety standards and optimised operating costs.

Eurocopter makes all its resources available to customers such as Dancopter, helping to ensure their missions are a success.

Operating six five-ton twin-engine EC155s, Dancopter has been carrying out missions on behalf of Shell to platforms in the southern North Sea and Den Helder since 2003. Thanks to this helicopter’s fast cruising speed and spacious cabin accommodating up to 12 passengers, Dancopter’s EC155 fleet has carried nearly 42,000 people in the last 12 months.

Dancopter also has four EC225s, with a fifth scheduled for delivery in summer 2014. These aircraft perform passenger transport missions to offshore oil platforms in the Danish sector for customers such as Maersk Oil and Gas. The EC225 is the oil and gas industry’s helicopter of choice thanks to its seating capacity of up to 19 passengers, its state-ofthe-art technology - with modern avionics and a next-generation autopilot - and its improved safety features. In 2012 Dancopter completed nearly 150 flight hours a month with some of its EC225s.

Dancopter performs to the very best of its ability in the challenging environment of the North Sea, and Eurocopter is by its side 365 days a year to safeguard the success of its missions.

DanCopter A/S dancopter.dk/en

Services Offshore helicopter transportation

Clear

transmissions WEC Engineers & Constructors Pte Ltd, which was formerly known as Wah Chang Engineering Corporation Pte Ltd, was originally established in 1972 and since then has worked with numerous industries worldwide offering an extensive spectrum of services covering design, procurement, construction, commissioning and project management.

Since its establishment the business has continued to evolve, and from 1997 it has secured wide-ranging projects in areas such as Singapore, Hong Kong, Indonesia, Vietnam and PRC. Typically, these are for clients including government bodies, public utilities companies, pipeline and plant customers, airport service providers, and international engineering and construction contractors.

In order to service these regions effectively WEC has a number of operations centres established throughout the South East Asian sector, China and in India, where it has built and established strong relationships with suppliers, sub-contractors and business partners. Building such a strong base has been important in allowing WEC to expand its business further into the Greater Asia region, the Middle East and beyond, which is a key part of the company’s forward vision.

Today, WEC is principally a specialist provider of engineering, procurement, construction and commissioning (EPCC) services for large-scale infrastructure projects for the transmission and storage of commodities like oil and gas, and

water. Its core business involves offering the entire spectrum of EPCC services, encompassing everything from engineering design, sourcing and procurement services through to fabrication, installation, testing and final commissioning.

Whilst the company carries out this work for a range of clients the core of its EPCC activities revolve around the key areas of aviation fuel system storage, transmission pipelines, and plant engineering and specialised projects.

However, thanks to its considerable experience in the industry WEC regularly partakes in the design and construction of long distance transmission pipelines, complete with leak detection, SCADA and CP systems, as well as specialised plant piping systems complete with process storage tanks.

Experience and skill are in fact some of the key strengths of WEC in setting it apart from its competitors in the industry. The business has a long tradition of working closely with clients across a broad spectrum of sectors, including both multi-nation and local conglomerates in the oil and gas industry. This is demonstrated in the company’s proven track record of repeat contracts with many clients, including Power Gas of Singapore and the Changi Airport Fuel Hydrant Installation Company Pte Ltd. In order to maintain such a reputation, and thus continue to be a leading player in its field, WEC relies on the expertise of its people and the stringent quality standards that exist throughout the organisation. As Lee, Chak Meng, company managing director, explains on WEC’s website: “We pride ourselves on having the best safety records in the industry.

We make a concerted effort to ensure that this culture is weaved seamlessly into best practices in our projects. We are ready for our next growth phase as we continue to embrace safety and quality through people empowerment, continual improvement through staff/worker training, and the application of cutting-edge technology as our way of life. In WEC we have dedicated and committed people working as a team, who have the passion to overcome challenges and to meet customers’ stringent quality and safety objectives.”

When it comes to oil and gas projects the company is regularly involved in specialised contracts related to plants and facilities, such as oil and gas production and petrochemical plants. For example, WEC has occasionally been involved in the construction of civil works and the installation of underground

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WEC Engineers & Constructors Pte

Through a combination of high-quality and superior expertise and knowledge, WEC Engineers & Constructors has achieved its vision of becoming the preferred engineering services company in Singapore for infrastructure works WEC Engineers & Constructors Pte Ltd wec.com.sg

Services Provider of EPC work

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pipelines and above ground piping works for use with petrochemical facilities in and around Singapore. These have been for clients such as Bechtel International, Foster Wheeler, Stone and Webster Asia Inc, and WorleyParsons.

While this is related to onshore production the company also has experience of contracts in the offshore market. In 2004 for example WEC successfully completed the installation of a multi-deck offshore facility platform for oil production that is owned by CNOOC SES Ltd. This particular project, worth US$5.2 million, marked the company’s first offshore operation, during which it carried out project management

services and supervised installation works.

In relation to offshore oil and gas, WEC is also involved in the construction of onshore transmission pipelines carrying natural gas from offshore installations. Such transmission pipeline systems include a number of specialised areas, such as emergency shut down valve stations, receiving stations and off-take stations, line valve stations, and launcher/receiver stations.

Alongside these aspects, WEC is also capable of completing pigging operations such as calliper and intelligent pigging.

Through a combination of high-quality and superior expertise and knowledge, WEC Engineers & Constructors has achieved its vision of becoming the preferred engineering services company in Singapore for infrastructure works. Over the coming years the business aims to consolidate its position in transmission pipelines and tank farms, while at the same time expanding in aviation fuel system works and creating new growth markets in plant engineering and the rehabilitation of pipelines.

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Established in 2006

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Flowserve Flowserve has led the development of marine thruster designs for 50 years under the heritage Pleuger brand. The Pleuger WFSD azimuthing thruster combines this experience with the latest market requirements to produce a versatile design that exceeds the demands of the offshore industry. The 7° tilted-shaft propeller maximises thrust, while a broad range of mounting options reduces installation and maintenance costs making the Pleuger WFSD the first choice for drilling, construction, and accommodation vessels.

to satisfy market demand for a new generation of offshore floatels, Floatel International Ltd has since grown to become a major player in the floating accommodation market. With ongoing contracts for both its present DP semi-submersible vessels, Floatel Superior and Floatel Reliance, both built at Keppel FELS Shipyard, Singapore, the company also has a third semi-submersible accommodation vessel, Floatel Victory, due for delivery in the final quarter for 2013, a fourth accommodation vessel, the Floatel Endurance, due for delivery in early 2015 and the recently ordered fifth accommodation vessel, due for delivery in the end of 2015. All three new builds are also being constructed by Keppel FELS. The premier provider of floating accommodation’s delivered its first asset on March 18th 2010, 43 days ahead of schedule; specifically designed to meet the latest stringent North Sea regulations for year-round operations in the harshest of environments, the Floatel Superior is currently operating for Statoil in the North Sea. Notable for being the first North Sea floatel constructed in two decades, the 440 accommodation capacity vessel was closely followed by Floatel Reliance, which was

delivered on October 29th 2010, 63 days ahead of schedule. Built in accordance with ABS class, the vessel was designed to operate in medium harsh environments and offers accommodation capacity for 500 persons; the asset is currently continuing its five year charter for Petrobas, which began in January 2011.

The first four vessels have been contracted with some of the biggest oil and gas firms such as Statoil, Petrobras, Chevron, BP and Total.

Floatel International’s subsidiary, Floatel International AB, provides onshore operational support services and onshore supervision of the vessels under construction. Located in Gothenburg, Sweden, Floatel International AB’s management team has more than 20 years of experience within the offshore construction and floatel service industry. Presently the company has a site office in Singapore that takes care of the newbuilding at Keppel FELS and site offices in Brazil and Norway providing onshore support for the vessels under operation. Floatel International comprises of some 300 people in total, whereof 55 persons works onshore Now firmly established in the high end accommodation market, the company has built up a solid backlog of work and the three vessels under construction are all committed for work that commence soon after delivery. This success stems from the firm’s reliability, the superior capabilities of its vessels and its dedication to giving customers the best possible service; core strengths proven in its long-term working relationships with major firms and the operation of Floatel Superior and Floatel Reliance.

The next vessel due for delivery, Floatel Victory, will be equipped with DP3 positioning capability and a ten-point chain mooring system; built according to ABS class, the vessel is designed to meet the latest UK HSE regulatory requirements for operating in the harshest environments around the world. Features on Floatel Victory include 35 office workstations and conference facilities, workshop facilities for construction support, a main crane with a 120 tonne capacity and an auxiliary crane with 64 mega tonne capacity. The Floatel Victory will also possess a telescopic gangway with +/-7.5 metre telescopic range that enables the vessel to remain bridge connected in harsh weather conditions. Due for delivery in the fourth quarter of 2013, the Floatel Victory will provide accommodation for six to eight months charter for Chevron at the Jack & St. Malo project in the Gulf of Mexico. The vessel is also charted

the safe transfer of personnel to the installation and telescopic action +/-8 metres. Due for delivery in the fourth quarter of 2014, the Floatel Endurance will provide its maiden charter for six months firm plus options at Chevron’s Wheatstone HUC development in Australia.

In line with its business model of providing high-end accommodation vessels, Floatel International signed a new contract with Keppel FELS for its fifth vessel. Similar to Floatel Victory, it is designed to meet the latest UK HSE regulatory requirements for operating in the harshest environments around the world.

Despite the majority of its contracts being based in the North Sea, the company is not focusing its development in any specific geographical area, but will go where it can get the best contracts for its assets. Regardless of location, Floatel International is dedicated to continuing to give its customers the best possible service by supplying the market with modern, comfortable and high-quality accommodation.

Floatel International is dedicated to continuing to give its customers the best possible service by supplying the market with modern, comfortable and high-quality accommodation

Floatel International floatel.se

Services High-end floating accommodation

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on a firm one year contract with BP at the Clair Ridge Development Project on the Shetland Isles on the UK Continental shelf in June 2015. This agreement comes with options for BP to extend its stay beyond the contracted time frame.

As the oil and gas industry moves into harsher environments and deeper waters, Floatel International signed another contract with Keppel FELS for its fourth asset, Floatel Endurance. Similar to the Floatel Superior, the vessel is designed for operations in the North Sea, including the Norwegian Continental Shelf, as well as operations in tropical waters; the diverse vessel will be operating in an area with some of the most demanding regulatory requirements and some of the most severe environmental conditions in the world. The vessel will have an accommodation capacity of 440 persons, two large cranes with a maximum lifting capacity of 100 tonnes each and the capability to transfer goods and material to the adjacent installation. Furthermore the Floatel Endurance will have a telescopic gangway for

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A strong

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brand Above MaXine heave compensator

Established in 1969, IHC Motion Control is a cluster of companies under the IHC Merwede Group; IHC Hytop, IHC Winches and IHC Vremac Cylinders supply hydraulic systems and winch systems to the oil and gas, dredging and maritime industries. “As part of the IHC brand, we work closely together with IHC Offshore Systems, a sister company, as well as IHC Fabrication, IHC Piping and IHC Drives & Automation, to produce equipment and approach the market as a joint operation. Each company uses its strength and focus, together we present a total system to the outside world, with the overall market approach done by IHC Offshore for the oil and gas market,” says Wouter Kruijt, cluster director at IHC Motion Control.

Specialising in complete hydraulic systems, hydraulic power units, as well as diesel power packs, controls and winches for all applications in the dredging, heavy lifting and offshore industries, ISO 9001 certified IHC Hytop’s 100 employees have the capacity and expertise to deliver complete installations on a large scale, including electric powering and controls.

Using the experience and knowledge within its organisation, IHC Hytop can successfully execute projects for basic and detailed engineering, planning, production and on-site commissioning activities. With its VCA/SCC certified service team offering support to its clients 24 hours a day, seven days a week, the EPCC subcontractor can keep customer investments productive.

“At IHC Hytop in Sliedrecht, we offer two products, the complete design of hydraulic systems and also winches,” explains Wouter.

“The hydraulic systems can be separate hydraulic power units called HPU, larger integrated hydraulic systems, with full piping and commissioning, or hydraulic cylinder systems; for the latter we work with IHC Vremac as they produce cylinders up to large dimensions. We also have a range of winches, including riser-pull in winches, traction and storage winches, which are powered either electrically or hydraulically.

We produce the hydraulic powered winches completely by ourselves, while the electrical powering part is supplied by IHC Drives & Automation or Elma.”

Viewed by its customers as an accessible, fast and flexible, transparent and high quality supplier, IHC Vremac Cylinders, with 100 employees, designs and manufactures the hydraulic cylinders, swivels and accumulators.

Specialising in hydraulic cylinders for harsh and challenging environments for the dredging, offshore and heavy lifting industries, the company also supplies its services to other divisions under the IHC brand, such as IHC Engineering Business, as well as directly to other customers. With 50 years of experience in technology, engineering and manufacturing, IHC Vremac Cylinders produces at its own production and office facilities in Apeldoorn, measuring a total of 8500 square metres, to offer excellent quality products at cost-effective

Vremac Cylinders, new and larger machinery is being installed, enabling a better throughput and more complex machining.

With technological innovation the group’s underlying strength, IHC Hytop and IHC Vremac continuously adapt products to suit market developments. “We recently solved a problem relating to well intervention and installation operations in deep sea areas, say several kilometres deep, which is a world where normal steel winches or winch cables will reach their limit of functioning. We found a solution through using a fibre rope cable and have made a new fibre rope winch for this development (IDsis), which has been tested and will be put in operation in the market by early 2014. This involves winch design, fibre rope design and application; we don’t have fibre rope ourselves but designed the fibre rope in close co-operation with cable manufacturers,” highlights Wouter.

AT IHC Vremac a lot of development is completed continuously towards cylinder coatings for harsh applications, and recently the new heave compensation system MaXine was launched to the market.

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prices. Dedicated to retaining its strong reputation, the company manufactures to strict quality control standards, with all materials purchased to strict specification and supplied with certificates, thus ensuring the reliability of the cylinders.

As a cluster under the IHC Merwede Group, IHC Motion Control benefits from an excellent track record in the manufacture and delivery of products for the specialist maritime sector, on top of the collaborative relationships it retains with other divisions that make up over 3000 employees across the globe. On top of this, the cluster holds the same commitment to the continuous development of design and construction activities for its customer base as its parent company, resulting in ongoing investments to ensure future success. “We have two new assembly halls at IHC Hytop, each with neat facilities and excellent equipment capacity; the biggest equipment we can now manufacture internally is 200 tonnes. Our hydraulic test facility has also been upgraded and we can work with more automation as well, ensuring we are set up for the future,” says Wouter. At IHC

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IHC Motion Control

Boasting 20 per cent of the world market for offshore FPSO installation and offloading equipment, IHC Hytop and IHC Offshore Systems were recently awarded major orders of a total of ten hose reels systems for FPSO’s, likely to be extended in the future. “We have worked with all the major FPSO operators, including SBM, Modec, and BW Offshore,” says Wouter.

“The market is very positive for us right now; a very nice workload and more than sufficient opportunities in current tenders, which puts us in a luxury position. We have an excellent customer base and are happy with that, but if you look into further extension you need more qualified, skilled personnel and qualified subsuppliers as well. If you are supplying winches or other systems to the offshore industry, there are rules and regulations in place, particularly if you supply highly loaded equipment as you are using high strength steels. These high strength steels then require specific skilled steel suppliers and handling suppliers; this requires our attention continuously.”

Looking to the future, IHC Motion Control is anticipating an increase in interest from its new rental business for winches and heave compensation systems, which is so far proving a successful development. On top of this, the cluster is aiming to expand its geographical reach over the coming years in areas such as China and Singapore, using present IHC subsidiaries, while also generating demand for new innovative equipment, as Wouter concludes: “We expect 2014 will be the year that the fibre rope winch will be fully launched into real world operation; at the moment there aren’t many winch manufacturers who have a good and certified system. My guess is the next year will result in the turn-around period for the deep sea installation market towards the use of fibre ropes and fibre rope winches.”

IHC Motion Control ihcmotioncontrol.com

Services Design and manufacture complete hydraulic systems

PROFILE

SAL Heavy Lift

The big

SAL Heavy Lift

GmbH, a member of the “K” Line Group, is one of the leading carriers worldwide specialised in the transportation of heavy lift cargo. This includes equipment for the oil and gas industry, offshore wind, cranes, heavy machinery, and floating cargo. The company is headquartered in Hamburg, and maintains an international network of agencies and subsidiaries in Japan, China, Australia, UK, Finland, Singapore, the Netherlands, and the US. In order to deliver its services SAL Heavy Lift owns and operates a fleet of 16 modern heavy lift vessels. These are characterised by their lifting capacities of up to 2000 tonnes SWL, low draft, voluminous intake capacity, and high speed of 20 knots. “We also have an in-house engineering department which develops innovative transportation solutions for individual customer requirements,” adds Lars Rolner, CEO and managing director of SAL Heavy Lift.

“One of our great advantages is our fixed crew, which is employed by the company, and is well-educated by the “K” Line Maritime Academy,” he continues. “We have developed a very strong corporate identity throughout the entire organisation, and always comply with the

highest industry standards, with all staff trained and briefed according to task. Safety is our highest priority in all aspects of our business and is never to be compromised upon.”

Turning his attention to the areas where SAL Heavy Lift has seen the most growth, Lars says: “Apart from our heavy lift semi-liner service from the Middle East to Far East, and vice versa, SAL Heavy Lift is deeply involved in a number of larger projects involving lifts of above 1000 tonnes. This includes the loading of a living quarter of 1425 tonnes, and measuring 42x37x36-metres – a total of 54,353 cbm, in Rotterdam, the Netherlands. With a tight timescale of just two weeks planning and preparing, SAL Heavy Lift was able to make all of the necessary arrangements. This included the design, manufacture and certification of tailor-made equipment, and MV Svenja’s standard equipment also had to be adapted to this unique job.

“After loading the living quarters from a barge into the hold, the vessel transported the cargo with an open hatch and overhang of 20-metres to Geoje, Korea. Due to the huge co-operation of all involved parties, the project was completed

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loader’s balance while being lifted, so to generate counterweight special water pockets, each capable of holding up to ten tonnes additional weight, were fixed on the cargo and regulated during the whole lifting operation.

“In this way, a safe embarkation was ensured.

The entire loading was completed successfully in only three hours due to the excellent co-operation of all parties involved. After two more days of thorough cargo fixing, MV Lone made its way to Port Cartier in Canada, where the ship loader was discharged smoothly,” he continues.

At the end of 2012 MV Lone was awarded its first offshore installation contract to be undertaken using its DP2 system. The success of this project saw the vessel win one of its most high profile projects – assisting with the removal of the Costa Concordia wreck.

The Lone transported and installed several of the large platforms that the wreck now rests on, the largest of which weighed 1000 tonnes.

Furthermore the MV Lone installed all the sponsons on the port side, which assisted in the righting of the vessel and ultimately the re-floating of it. The final part of the contract

Alex. Birger Grieg AS Alex. Birger Grieg AS is acting as general agent for SAL Heavy Lift GmbH in Norway.

For decades the company has proudly been facilitating Norwegian port calls for the premium geared and semi-sub heavy lifters. The scope includes personal involvement and close co-operation with clients, authorities and owners.

Dedicated and skilled staff, offering single point of contact have always been appreciated by charterers and shipowners.

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within the expected time frame.”

Meanwhile, the MV Lone has recently broken the Bremen port record for its heaviest cargo to date, as Lars elaborates: “This was for a ship loader of 775 tonnes, measuring 57.89x23.20x34.80-metres, which had been built directly on site at the Port of Bremen, which is Europe’s biggest port for heavy cargo.

The biggest challenge was to keep the ship

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SAL Heavy Lift

Heinrich Wegener & Sohn Bunkergesellschaft

Fuelling heavy lift OW Bunker is one of the world’s largest physical suppliers and traders of marine fuel oil and lubricants. The company provides the highest quality products and services from its operations in Europe, the Middle East, Asia, Africa, and North and South America, and has over 30 large and small bunker vessels in its global fleet.

Working with international and local customers, the company uses state-of-the-art bunker tankers and highly trained crews to ensure the efficient delivery of quality products, on time and of the right quantity. OW Bunker can supply in port as well as offshore, creating tailored solutions to meet the requirements of each vessel, and the needs of each customer’s operations. The company also provides advanced risk management tools and services, working with customers to lock in costs and maximise efficiencies and profitability within their operations.

was the largest lift of all - the blister tank. This structure was ultimately attached to the bow of the Costa Concordia to assist with re-floating but also to ensure the bow didn’t break off during the righting process. Weighing 1500 tonnes and comprising of two hinged sections, the complete unit was lifted using both the vessel’s cranes from a barge and set down on the water for

towage to the wreck.

The general freight market may be under pressure with rates particularly competitive, but within SAL Heavy Lift’s niche segments business remains good. Describing the changes that have been made in the company throughout the year, Lars notes: “We have established SAL Offshore B.V. in the Netherlands, which with a dedicated team of well experienced commercial engineers and HSEQ people originating from the offshore industry, will bring our company the expertise needed to successfully operate in the offshore field.”

He concludes with SAL Heavy Lift’s overarching vision: “We want to expand further and grow within the super heavy lift market and the offshore installation segment. With our modern fleet combining transportation and offshore installation, we see great potential for the installation of mooring spreads, transition pieces, foundations, tidal turbines, and oil and gas equipment.”

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OW Bunker

We are proud of our long-standing business relationship with SAL Heavy Lift GmbH and look forward to its continuation for many years to come.

We have been engaged in the international bunkering and lubricating oil business for over 40 years. Well-known shipping companies at home and abroad rely on our high standard of performance, and long-term co-operation, delivery and shipping agreements with more than 200 companies worldwide ensure our ability to supply our customers' ships.

In addition, one of our main lines of business is the sale and distribution of SHELL-MARINE lubricants to German owners at home or abroad, placing at our disposal one of the world's largest distribution systems and enabling us, as a bulk buyer, to offer favourable terms to our customers.

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SAL Heavy Lift sal-heavylift.com

Services Transportation of heavy lift cargo

ARCA Regler can track its history

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industry Directing

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Below Markus Doenni, managing director of ARCA Flow Group

back over 90 years ago when, in 1917 Ragnar Carlstedt filed a patent for the nozzle-flapper system, which represented a major breakthrough at the time and is still in use in use within the company’s field of business. The following year ARCA Regler was founded and has subsequently achieved dynamic growth, earning a reputation as a leading name in control valve technology since then. Today ARCA is a globally active group, operating under the roof of the ARCA Flow Group, which is represented in over 80 countries so that ARCA calls ‘the world its market.’ ARCA Flow Group represents over 500 employees, 220 of which are employed

by ARCA Regler. It boasts a global network of representatives and joint venture partners in local offices in India, China, Korea and Mexico, giving it an instantly recognisable global footprint. Among its other accolades and achievements ARCA was recently placed on the Top list of 100 most innovative companies within the German small and medium enterprise sector (SME). Given the SME sector’s reputation for driving innovation with industry this is no small feat; ARCA’s placement on the Top 100 list is a major signifier of the company’s dedication and ability to innovate and this is a trend that it is set to continue.

Its products range from globe-style, two-way, three-way, single and double seated control valves and angle style valves to hygienic control valves. Within its impressive product portfolio can be found brand examples such as

ARCA’s ECOTROL® and BIOVENT® valves.

Completing its range, the company also offers angle and globe type steam conditioning valves, linear and rotary actuators as well as E/P and smart positioners and an extensive variety of accessories. Its range of products has understandably found business in a suitably diverse selection of markets including power plants, steel mills, refineries, chemical plants, food production as well as coal gasification, compressors and machinery or concentrated solar power.

Partnerships and development remain key areas for ARCA when it comes to expanding and improving its range of solutions. The company was the first to develop an electropneumatic smart positioner during the 1980s, which led to the evolution of a longterm partnership with Siemens AG and the development of the world-class ARCAPRO® positioner series. In terms of industry recognition, its ECOTROL® valve is regarded as the international benchmark in control valves, with thousands of sales each year. “It’s all about generating innovations by designing them around customer requirements and by continuously advancing the underlying technology to the next level,” observes managing director Markus Doenni. “Thinking of new ways of doing things, providing a competitive advantage to our customers has always been our philosophy.”

Complementing its industry recognised products, ARCA prides itself on providing

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excellent after sales and maintenance services.

“We not only manufacture complex, ultra-high performance valves, we also strive to be the perfect partner when it comes to maintenance and complex instrumentation,” says Markus.

“ARCA valves are known to be exceptionally durable, but in case our customers request on-site care, an experienced team of technicians from either of our plants, or from our global service partners is available to immediately respond to unforeseen situations – regardless of where our customers are located.” The company’s years of know-how and in-depth knowledge base ensure that it is able to carry out inspection and maintenance projects quickly and thoroughly.

Through its products and dedicated global service network ARCA is able to offer targeted solutions to the oil and gas industry. It is a sector that the company sees as being highly important and in which it invests significant time and resources, as Markus elaborates: “Oil and natural gas are a primary source of energy driving the global economy. We have valves supporting extractions carried out under extreme offshore conditions or in the icy temperatures of Siberia, as well as the desert heat of Africa or tropical climates in Asia. These conditions, as well as the whole range of storage and processing in refineries, really make oil and gas a very demanding market when it comes to providing control valves that perform day in and day out. ARCA valves have helped ensure production and process reliability in this industry for many years, and a wide variety of precision-engineered control valves are available that include - but not are limited to - DN15 (1/2”) to DN600 (24") and PN16 to PN400 (ANSI 1502500) sizes as well as special-purpose valves for all media handled in these areas.”

As it looks to move in to the future, ARCA is dedicated to continuing to provide excellent customer service and its trademark strong product portfolio. Research and development and a keen interest in its customers’ requirements will likewise continue to drive the business as it seeks to meet the challenges of the oil and gas sector. Operating on a global level with a highly accredited reputation, ARCA is set to be a firm industry fixture as it heads to and beyond 100 years of its business.

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With an established reputation for providing high quality non-standard bolts and a steady history of growth and expansion, Mellish Engineering Services Ltd has become a leading name in the provision of safety critical bolt solutions within the oil and gas industry.

The family run business has over a decade of experience and has grown from servicing some local customers to tendering business with some of the biggest names operating within the oil and gas sector. Under the guidance of its director Peter Rattenberry, works director Andy Rattenberry and UK sales director Matt Rattenberry, along with export sales director Andrew and current managing director Mark Rattenberry, the company continues to nurture new business through the implementation of its robust production processes and customer driven focus. Recently, the business was able to provide a major exporter with an order worth half a million pounds and its business remains strong.

The company’s specialised product portfolio includes special petrochemical bolting, nonstandard and special fasteners with a full range of hexagon and socket head fasteners, studbolts, engineer studs, nuts and washers.

Mellish has invested in modern state-of-theart CNC machines and also operates heat inducted forge presses, which are capable of

forging a wide range of diameters and lengths.

Throughout its product range, the company is able to implement common alloy grades is well as more exotic materials such as Super Duplex, Hastalloys and Inconels. To ensure that its customers receive the right quality products on time, every time, the company operates a specialist tooling department based at its production facility. Having quality tooling such as its spark erosion and tool room equipment enables Mellish the flexibility to produce products like its hot forged fasteners in time for rapid delivery.

To ensure that its customers experience total peace of mind the company operates internal and external testing facilities to allow a full spectrum of testing to be requested including MPI and crack detection. This, with full traceability and BSI accreditation solidifies the world-class reputation of Mellish products.

Following its steady expansion and growing reputation, Mellish was able to acquire its sister company Tipper Engineering during 2010. Tipper was founded over 40 years ago and carries with it an established reputation as a proven manufacture and supplier of a comprehensive range of standard petrochemical bolting solutions. Its long history also demonstrates a competent and professional

a recession and then a double dip recession yet during those years we took on ten new employees, of which two were managers. We also purchased Tipper Engineering and invested in a new site. Our steady business is largely due to 70 per cent of our turnover being derived from exports to countries that weren’t affected by the financial crisis. Furthermore we do not rely on a single big customer, and not placing all our eggs in one basket has meant revenue is more consistent. Managing director Mark Rattenberry has successfully led the Mellish team to experience year-on-year growth for the past five years.”

Moving forward, operating under the umbrella of Middlemore Engineering Services, Mellish is well placed to further develop its market presence and reap even greater rewards in the future. The company has successfully navigated the recession while undertaking a major transition and is now securely set to settle down and continue to tend its customers and deliver demanding orders on time, every time.

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track record of servicing producers, OEM’s and distributers involved in oil and gas. Together both companies operate in synergy under Middlemore Fastener (Holdings) Ltd, offering complementary services and an impressively diverse product portfolio.

A key differentiator for Mellish is that following the acquisition of Tipper the decision was made to house both companies in a single location. This led to an important round of investment for the business, and during 2012 a new 35,000 square foot building was obtained, gutted and purposerebuilt to an exacting set of requirements. The focus of the redevelopment was to encourage an efficient, shared workflow between the two companies, which would also benefit from the sharing of capacity, stock and skills. Under this arrangement Middlemore is in a primary position to provide total fastener solutions.

The total investment in the new facility reached around half a million pounds. Of this around £200,000 was spent on the new site itself, while more then £200,000 was invested in integration, new machinery and renewed marketing, which included everything from stationary, website design and a newly installed bar-code stock system. Coinciding with the development of the company’s facilities, it has also expanded its management team and export department, which is currently headed up by export sales director Andrew Rattenberry. Having evolved into a truly international organisation, the team has several employees speaking French, German and Italian to enable the company to operate effectively in several markets. The company’s ability to communicate effectively and from close relationships with its clients will continue to be a significant factor moving forward as Mellish targets new markets in Europe and South America.

During 2011 Middlemore Engineering Services’ turnover was £5 million, with the addition of Tipper Engineering adding a further £1.5 million, resulting in a potential annual turnover of £6.5 million. While not the largest figure in the market, Middlemore Engineering remains proud of its strong and efficient approach, which continues to garner a trusted reputation for the business. Furthermore, the company’s ability to invest and grow at a time when the sector was in the throws of the global recession only serves to underline the resiliency of its operation as Matt Rattenbury, UK sales director observes: “People have talked about

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Part of Royal Lankhorst

Euronete Group, world-leading rope manufacturer Lankhorst Ropes has roots in the rope trade reaching as far back as 1751, when the firm was established as a ropery and sailmaker’s loft in Sneek, the Netherlands. When Nikolaas Jurgen Lankhorst took over the company in 1803, it gained its current name and slowly grew from a local artisan business to a global supplier of rope and ship mooring lines during the 19th and 20th centuries. In July 2012, the group was acquired by specialist steel wire and wire rope producer/ seller WireCo WorldGroup, the largest group in the world to manufacture and market both wires and synthetic products. With this acquisition, WireCo WorldGroup’s turnover will increase to approximately $1 billion USD, while the global workforce will reach 4500 employees.

Continuously striving for enhanced product performance, innovation and customer satisfaction, Lankhorst Ropes’ products include, but are not limited to, a full single point mooring range, MODU lines, permanent deepwater mooring lines, deep sea heavy lift ropes, STS transfer ropes, oceanographic lifting and coring ropes and heavy lift slings.

Due to an increase in demand for the supply of deepwater mooring ropes in reels of heavier weights, some at approximately 120 tonnes, the company decided to move its production

of these types from Pavoa de Varzim to a more convenient base. Located in Viana do Castello, Lankhorst Ropes’ new factory on the coast has excellent links to the harbour of Oporto and offers increased efficiency in the transfer of large reels of deepwater mooring rope to the quayside for load out. Covering approximately 3600 square metres of production facilities, the factory also benefits from 2400 square metres of storage area. On top of this, the forward-thinking firm recently strengthened its market presence in Rio de Janeiro, Brazil by opening a dedicated factory in the country.

Boasting modern production and testing equipment, the factories have the capabilities to permit activities such as extrusion of rope yarns, full scale prototype testing, break strength testing of up to 1200 tonnes, stranding of rope yarns into strands and simulation of installation to be undertaken in-house. Entering the deepwater tether market in 1998, the company consequently uses state-of-the-art machinery for this challenging and burgeoning sector; this includes the recent addition of a Herzog subrope braiding machine.

Used on four production facilities in the Gulf of Mexico since 2008, Lankhorst Ropes’ proven high quality Gama 98 polyester ropes are to be supplied to Anadarko Petroleum Corp’s Heidelberg Spa platform for Technip. Designed

within an outer braided jacket, the Gama 98’s sub-ropes are each computer monitored throughout the production process to ensure they all have equal tension and length. The Gama 98 includes up to 18 sub-ropes, each with a long-lay length and braided construction, which thus gives a 100 per cent torque free rope. Awarded a contract with Technip and Anadarko in 2012 to supply of a total of 31,400 metres of Gama 98 polyester ropes at a 4200 kips minimum breaking load to Technip and Anadarko for the Lucius Spar project, this new contract continues the positive relationship between the three firms.

Constantly enhancing its products, Lankhorst Ropes recently manufactured the world’s strongest rope for Eni Norge’s Goliat platform.

The floating production platform will not be held in place with chains or wires, but instead with tailor-made, specially adapted mooring lines that have the capabilities to operate in the harsh conditions faced in the Barents Sea. Varying in length from 900 to 1800 metres, the Goliat platform’s 14 mooring line’s will have rope at a maximum length of 1250 metres. Using fibre rope provides a range of benefits for Eni Norge, the most important of which is weight; a polyester rope weighs a mere three per cent of a chain’s weight, while retaining the same minimum breaking strength of 2579 tonnes.

Looking to achieve further growth in the

coming years Lankhorst Ropes has recently strengthened its offshore and deepwater team with the appointment of Neil Schulz as sales director deepwater mooring. Neil, who has considerable experience in the industry, will be responsible for developing the company’s presence in the growing deepwater mooring market. He said: “Lankhorst Ropes has a formidable reputation in the offshore mooring industry for its sales and technical prowess. I am delighted to have the opportunity to contribute to its future success and again working alongside Chris Johnson, sales director, Lankhorst Ropes – a friend and former colleague for many years.”

Following contracts with major oil and gas firms and world firsts in the rope sector, the forward-thinking Lankhorst Ropes has a positive future ahead as it benefits from its relationship with new owner WireCo WorldGroup. Being part of a huge global group gives the company access to the necessary tools that will thus ensure faster development of its offshore and marine activities over the coming years.

The Gama 98 includes up to 18 sub-ropes, each with a long-lay length and braided construction, which thus gives a 100 per cent torque free rope

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to produce 80,000 barrels of oil and 2.3 million cubic metres of natural gas per day, the Gulf of Mexico based Heidelberg Spar will be moored in 1620 metres of water and therefore requires 20 deepwater mooring ropes, each approximately 1100 metres in length, with a minimum breaking strength of 1905 Tonnes.

A polyester rope tether manufactured from highly efficient sub-rope cores laid parallel

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Since it was last featured in European Oil and Gas Magazine during December 2012, Leni Gas and Oil Plc (LGO) has continued to consolidate its niche strategy of delivering growth through the acquisition of proven reserves and enhancement of production.

During the course of the past year the company has made impressive strides in its Trinidad holdings and it continues to search the market for new opportunities.

Having acquired the Goudron oilfield in Trinidad during October 2012, LGO wasted no time in beginning the process of asset enhancement to ensure increased production followed as quickly as possible. Commenting on the company’s progress in the Goudron field CEO Neil Ritson says: “Recently we celebrated the first anniversary of operations with a visit from the Minister of Energy (Kevin Ramnarine) and the President of the state oil company, Petrotrin (Khalid Hassanali). His Excellency Arthur Snell the British High Commissioner also attended and we were able to show them

the huge advances we had made in the last year.

During this time we have reactivated about 60 existing wells and improved the infrastructure with new sales facilities. In the first year we produced about 60,000 barrels and we are now producing close to ten-times as much as we were a year ago.”

LGO’s operation of the Goudron field has proven to be highly effective with a year of operations completed with 70,000 accident free man-hours being undertaken. Goudron produces an average 38-degree API light sweet crude oil, which is piped via the Petrotrin oil export pipeline, directly to the Pointe-a-Pierre refinery in western Trinidad. The success of this project has generated a lot of interest in the company’s capabilities and it is currently working towards its mid-term target production of 2000 barrels of oil per day (bopd).

Its 50 per cent share in the Icacos field further expands the company’s operations in Trinidad.

The Icacos field is relatively small compared to the Goudron operation, but reflects part of the

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Chapman Davis LLP The auditors of ‘Leni Gas & Oil plc’, Chapman Davis LLP, are specialists in the admission of natural resource companies on the AIM market of the London Stock Exchange. The firm, established in 1985, is one of the top 20 UK auditors of AIM listed companies and has acted as reporting accountants in over 40 listings. Chapman Davis LLP has a number of clients in the oil and gas industry operating in Europe and worldwide and is one of the top ten UK auditors of AIM listed companies in the sector.

company’s wider interest in the Cedros Peninsula where it holds private petroleum leases and has a collaboration agreement with Beach Oilfield Limited. It is intended that the collaboration will explore the southwestern peninsula where the companies share joint operations; this represents part of a wider strategy of targeting the underexplored East Venezuelan Basin where it extends into Trinidad.

Overall, Trinidad’s southern onshore oilfields are a perfect match for LGO’s strategy of acquiring and redeveloping fields with underexploited reserves. It continuously looks for new opportunities in the region and is currently collaborating with Maxim Resources over a possible future joint operation in the productive South Erin block. In conjunction with the potential benefits of working with partners like Maxim and Beach Oilfield Ltd, LGO is confident that it will increase production in its current holdings through the use of new technology, improved facilities and infill wells.

Furthermore, additional opportunities exist to acquire further assets and the company is keen to exploit untapped exploration potential in each of its fields.

Spain also remains an important asset for LGO, with production continuing in

the Ayoluengo Oilfield and trial production operations taking place in the adjacent exploration acreage. The company acquired the Ayoluengo field in October 2007 and currently produces low sulphur 37 degree API crude at the site. The field is the largest onshore oilfield in Spain and significant work has been undertaken to remove oil contamination that has accumulated on some well sites during its long history. Like its Trinidad operations, LOG’s Spanish holdings have generated a high level of interest from potential partners, as Neil states: “We continue to produce a regular amount of high margin oil from Spain and are in the process of carrying out some low cost interventions to a number of key wells in order to restore their production to 2012 levels. There is continuing interest from various people to partner and even buy the Spanish assets from us and there is a programme in place to increase production through at least five sidetracks when a partner can be located.” Neil continues: “In the meantime we are continuing to work on reducing the arsenic impurities in the oil so that we can send it to the BP Espana Castellan refinery where we will receive a better price for the oil.”

The last year has also seen LGO divest noncore holdings in projects that didn’t fit its niche

own cash generation and the commercial debt markets to continue our growth. This is a very positive feature of LGO as we go into 2014.”

Moving forward the company is poised to dramatically increase its production over the coming years. Trinidad remains dead centre in its approach with the first new wells to be drilled in the Goudron in over 30 years planned to commence in late 2013 following the receipt of regulatory approvals, which are expected in the near future. Over the next 18 months LGO hopes to embark on drilling between 20 and 30 wells, each with an anticipated initial production rate of at least 60 bopd. Concluding with the company’s vision for Trinidad Neil says: “We are looking to get to 5000 bopd net production in Trinidad over the next five years and thereby secure five per cent of the local oil market. That is enough of a challenge for now. Beyond that we may look elsewhere, but Trinidad offers plenty of near-term opportunity with its long history of oil operations and a supportive stance from its government.”

strategy of onshore oil field reactivation and today its assets lie solely in Trinidad and Spain.

Neil comments: “Being more focused makes us more efficient and we are able to operate with close to a hundred per cent local staff. For example, everyone working for LGO in Trinidad is a Trinidadian national, which is cost effective and also sits comfortably with the corporate stance on localisation.”

All of the company’s operations are also underpinned by a philosophy of professionalism and social responsibility. Environmental protection is a cornerstone of this vision, with the Goudron field situated on the edge of the critically important wildlife sanctuary of the Trinity Hills and Ayoluengo located within a Spanish national park. As one of only a few international junior oil companies with a proven track record in the niche market of field reactivation, LGO has gained a leading edge when it comes to acquiring new projects and operating them effectively. Recently it reached a key milestone of 500 bopd, providing an important revenue stream to stimulate future growth. “The capital markets are still hugely unsupportive of junior oil and gas companies,” explains Neil. “However, we at LGO are now in the enviable position of relying only on our

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Founded in 1988, independent

Anda- Olsen AS Anda- Olsen AS is a subcontractor and a partner for EAS Automation AS regarding battery packages and chargers for use with control systems and motor starting. It starts with a proposal regarding the solution, and after that it is sizing of the system and the documentation work. With a network of suppliers in Europe, the Far East and other places in the world we are able to give solutions in power application, AC and DC UPS solutions and more or less all kinds of battery solutions. Anda- Olsen AS is a solution provider and acts like a partner for most of its customers.

engineering firm EAS/Electrical & Automation Systems has been in continuous development since its inception and today is a leading supplier of advanced control and switchboards for emergency generators and fire pump systems.

Previously in European Oil & Gas Magazine in November 2012, the company highlighted its continued aspirations to widen its service offering with a change in brand name from EAS-Automation AS to its current title. Since then, the Norwegian firm has enjoyed increased growth in its workforce and expanded its geographical markets.

“Over the past year EAS has celebrated 25 years in the business, we have also grown from eight to 19 employees and have doubled our turnover. In line with our wider aspirations, we have also started our own production department so we can manufacture our own switchgears and control panels in-house,” enthuses Tron Olav Johannesen, managing director of EAS. “At the end of last year we were in the process of being certified as a UL listed company for the production and delivery of control panels for projects that have UL requirements or for both the US and Canadian markets. On top of this, we have signed a couple of collaboration agreements, which has been another important aspect of our growth.”

Designing panel cabinets and boards according to the specifications of clients, the highly adaptable firm manufactures products with close co-operation and dialogue between its production department, engineering department and the customers to ensure the best possible results are achieved. Committed to offering

customers quality, reliability and flexibility, EAS works towards the most stringent industry standards such as BS, DIN, NFPA, IEC and CSA. Enhancing its reputation further, the company was recently listed in UL’s registry of approved industrial control panels for the US and Canada. Highly reputed, UL is a global independent safety firm with over 100 years expertise in its field; becoming part of UL’s global list of businesses requires the ability to manufacture equipment in accordance with its standard for hazardous installations and results in a strong global reputation for quality. Since being listed in UL’s registry, EAS has enjoyed a number of projects in this new area, as Tron highlights: “We just completed a project for ExxonMobil in Canada as a sub-supplier to Eureka Pumps. The project was successful on our part; it has been a learning process in regards to UL, but other than that we remained within our niche market.”

Offering a wide range of services to the offshore, marine and onshore industries, EAS undertakes all aspects of a project from development and consultation to engineering studies and commissioning. Following its investment into a new workshop, the company has added the independent manufacture of control systems and switchboards to its comprehensive list. “We have a production line of around 500 square metres, which is located close to our engineering department; there is an area for customer testing and our office facilities are located there,” says Tron. Its core products consist of fire pump control panels, low voltage switchboards and emergency generator control panels for complete packages; these are available

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working on control systems for fire water pumps for the Total Martin Linge project in Norway.”

With the majority of EAS’ work still based in Norway, its focus for the future is to become a strong partner within the oil and gas market by enhancing the relationships it has developed with both Eureka Pumps and Deif as well as MTU Friedrichshafen, a German based manufacturer of large diesel engines.

Furthermore, having enjoyed huge growth and success over a short time period, Tron is keen to focus on consolidation over the coming years.

“Since we have expanded, we have doubled both our employee number, the income and our turnover so we have more than enough going on right now coping with that. However, our goal over the next three to five years is to strengthen our position in the oil and gas markets by growing our product portfolio and expanding our production facilities. Another core business for us in the future will be upgrading and modification projects of old platforms; we want to be a part of that,” he concludes.

Enhancing its reputation further, the company was recently listed in UL’s registry of approved industrial control panels for the US and Canada

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for a variety of diesel engines, pump motors, pumps and alternators, with a diverse range of options to suit unique project requirements.

Focused on the booming oil and gas industry, EAS has more than eight years experience in delivering safety equipment to SIL requirements and other oil and gas specific standards such as NORSOK. Following collaborative agreements with Eureka Pumps, a pump supplier with 30 years’ experience in the oil and gas market, and Deif, a global supplier of environmentally friendly, safe and reliable solutions for a range of industries, the company has further increased its presence in this booming market over the last 12 months. “With 25 years of experience, EAS has developed a solid reputation and our customers look at us as a supplier that offers flexibility and quality; these qualities have been key to our growth and involvement in a number of projects over the past year,” says Tron. “For example, we worked on the Hebron project for ExxonMobil, where we have been a supplier for both Eureka Pumps and Wartsila. We are also currently

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Audex Pte

Global

Aker Solutions Aker Solutions offers a wide range of vapour recovery systems (VRU) for applications at truck and ship loading terminals. The company has recently launched a range of vapour recovery systems, the Depot Series; a range of units designed specifically with the fuel distribution terminal business in mind. Six pre-engineered designs that would cover most depot loading applications are included in the range. The VRU recently provided to Audex Pte Ltd, for ENOC’s Fujairah terminal, was amongst the first of the range to be delivered. The systems being pre-engineered, allow for low cost and fast delivery, whilst retaining all the usual high standards you would expect from Aker Solutions.

This involves the conversion of existing tanks for chemical storage, a new truck loading bay and the revamp of supporting ancillary facilities.

“Though there is an emphasis to finish the project on time and within budget, workplace safety is of utmost importance to the company,” highlights Mr. Leong. He also reports that this project is currently “on schedule and en-route to achieving a zero loss time incident record.”

As of today, Audex’s primary business is offering integrated engineering, procurement, construction and commissioning services (EPCC) for storage facilities in the oil and chemical industries. In this area, the firm has earned an excellent reputation for delivery of premium quality and value complete engineering solutions that meet or even exceed global industrial standards. Ultimately, partnering with Audex, clients can enjoy solutions that encompass the delivery of costeffective, competitive pricing and unrivalled customer service.

In 1994, Audex was incorporated as a joint venture firm between Chiyoda Singapore and Plant Engineering Construction Pte Ltd. Over the years, it has greatly progressed to become an international, leading multi-discipline company with top-rated global standards in its field. During the middle of 2011, Audex’s renowned reputation was additionally strengthened when it became a wholly owned subsidiary of PEC Ltd – a leader in international business provision for integrated

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has enjoyed a successful and highly productive 12 months since it was last featured in European Oil & Gas Magazine in November 2012. As an industry leader in engineering, procurement, construction (EPC) and project management consultancy (PMC), the firm has further strengthened its position in the Middle East as well as in Singapore with even greater notable projects.

“The past year has been an exciting journey for the company. We have successfully completed two tank terminals, amassing approximately 340,000 cubic metres of storage capacity and have also opened a 30,000 square metres workshop and fabrication yard in Fujairah,” Mr. Leong Hoi Hoong, general manager of Audex said.

Another major project that Audex has recently secured is a piping fabrication and installation works contract in Jurong Island, Singapore.

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Mr. Leong elaborates further that with the discovery of several deepwater fields in Indonesian waters, this region “has quickly become Asia’s top country for gas reserves, around 3.18 trillion cubic metres,” and with this, “Indonesia’s oil and gas industry has fast tracked,” through “attracting many investors from around the world.”

With Audex’s expertise, vision and knowledge, it has been commissioned for several FEED design and EPC projects in Indonesia since

With a list of past achievements under its belt, Audex has attained the status of a prominent and leading complete engineering service provider to global major industries

2007. Following the completion of a FEED project for an oil storage terminal expansion project in Indonesia, there are several ongoing discussions with one of the largest crude oil producers in the state for upcoming design projects in Surabaya.

On top of these developments in Indonesia, even greater opportunities have emerged in China. Presently, Audex has established offices in China, in Chengdu and Shanghai.

In 2014 and ahead, Audex will be penetrating the Chinese market with additional projects through its team of highly experienced and certified engineering specialists.

“According to present developments, it is no doubt that we have witnessed a stable and steady growth in the Middle Eastern market over the years,” added Mr. Leong. “Our future goal is to continually enhance our standing as a major EPC player in the oil and gas, as well as petrochemical industries, by tailoring complete engineering services according to industrial requirements.”

Audex strongly believes in developing its commitment towards every client around the world and looks forward to deepening their partnerships in a long-term manner. The firm looks ahead to go the extra mile to achieve excellence, and will continue to work towards expanding its presence in new and existing markets as an oil storage terminal specialist so as to provide fit-for-purpose as well as cost-effective solutions for every industrial client.

MRC Transmark, a subsidiary of MRC, has over 90 years of experience in the valve industry, and is the world’s leading valves and flow control equipment supplier.

Understanding the tight time constraints and high expectations of its clients, MRC has over $1 billion USD in valve stock located in more than 100 warehouses around the world.

With workshops and service centres located in over 20 different countries, MRC can offer expert technical assistance to clients including actuation, modification, testing and more.

MRC’s vision is to be the leading and preferred one-stop flow solution provider.

MRC Transmark and Audex have recently completed a successful partnership in the supply of valves to Vopak Chang Chun Terminal.

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trade facilitating services. This acquisition boosted Audex’s success as the firm began leveraging on PEC’s leading expertise, technology, strong financial standing to expand its business activities into greater worldwide markets and participate in larger upcoming projects.

Owing to a great synergy between the parent company and Audex, another major triumph of Audex’s is the completion of Horizon Terminal Limited’s $100 million oil terminal in Fujairah, which was commissioned at the end of May 2013. Handling Class-1, Class-2 and Class-3 petroleum products, this terminal has the capacity to store more than 240,000 cubic metres of oil and will further establish the Emirate as a key regional hub in the oil and gas industry.

“Audex was awarded a contract for the engineering, procurement, construction, testing and commissioning works for EFDTT terminal, primarily intended for facilitating Horizon Terminal Limited, a wholly owned subsidiary of Emirates National Oil Company Ltd (ENOC) LLC,” explains Mr. Leong.

Working within a period of 22 months, Audex achieved a fruitful project mechanical completion for Horizon Terminal Limited’s oil terminal and this was according to the tight schedule set. As a result, Audex was awarded a certificate of recognition in appreciation of the valuable contribution made to this project in 2012, as well as another certificate of recognition for best EHS performance in 2013.

With a list of past achievements under its belt, Audex has attained the status of a prominent and leading complete engineering service provider to global major industries.

Nevertheless, the firm believes in striving for even better results and is fully aware of the latest opportunities, even in the Asian market.

“We are continually looking for opportunities to expand our EPC activities abroad through both new and existing customers and to ensure excellent delivery of our complete engineering solutions,” elaborates Mr. Leong. “Through our combined efforts, Audex has managed to secure and complete projects in the South East Asia region and also the Middle East. In the meantime, we have also progressed into the African market.”

When Audex last appeared in European Oil & Gas Magazine, the firm anticipated a specific increase of oil and gas activities in Indonesia, China, Vietnam and Myanmar over the next five to ten years. Subsequently, Audex has indeed made tremendous advances in these areas since then.

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With the pressure for business development and growth at an all time high, BHDT has been taking growth in its stride.

Having expanded into its role as a key manufacturer and supplier to the oilfield market, European Oil and Gas Magazine spoke with project manager Wolfgang Lussner in June 2012 about BHDT achieving a balance between its traditional approach and future progression, and 16 months on, there have been significant changes at the business.

Between 2009 and 2012, alongside customer growth and product development, BHDT actively pursued its premises growth with the purchase of a new workshop and new properties for future expansion. The challenge, reiterated by Wolfgang in the previous feature, was to maintain the high quality and reliability that it is renowned for, whilst increasing its speed of operation.

In an industry that relies on the highest quality materials, manufacture and testing, it is essential to have state-of-the-art production processes. To conform with the standards required and expected by customers and industry, one of the steps in the process of manufacturing high pressure systems and components is to perform destructive material tests and non-destructive examination at its premises, alongside an array of other standard examinations. Since entering the market, it was of fundamental importance to BHDT to improve all aspects of the different processes needed to deliver such critical parts as, for example, high

pressure piping for swivel systems on FPSOs. Whilst retaining overall interest in design, purchasing, fabrication and quality control, in the time since the last interview, BHDT has invested â‚Ź5.9 million into its growth with two main developments. The first of these investments was made with the focus of equipping the business to tackle the increasing demands of quality assurance imposed by the industry and demanded by its customers.

BHDT has used its investment to commission a new building of 700m2, constructed solely to house its development and growth of product control. BHDT now provides the additional space to nurture and grow in this area, with the testing of industry specific high-pressured materials in a uniform fashion alongside the manufacturing process.

By drilling to the core requirements of its customers, BHDT has displayed understanding in its desire to provide the market with adaptable components and systems based on quality. Using the same strategic approach for the design and development procedures of its products as it does with business strategy BHDT is showing outstanding results both in production and growth.

Its policy to improve the business as a market leader for the entire product field by using top technology and quality has been supported in its investment in an innovative fatigue testing machine, which offers high frequency pulsation testing of new materials with pressures to 4000

BHDT is also offering a 100 per cent leak free connection in its range of metal-tometal connections with special steel seal rings, providing three sealing surfaces in one joint

BHDT GmbH en.bhdt.at

Services High-pressure equipment and high-pressure components

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bar, allowing the business to meet the global demand of the capacity increase that the industry is experiencing.

Alongside quality, its president Dr. Harald J. Aichhorn recognises the importance of the development of technology, and has actively sought to further this area of the business.

A large part of the investment, mentioned previously, has been made in the acquisition of two new deep hole-drilling machines - doubling the capacity of its deep hole-drilling. The increase of its high precision drilling operation allows BHDT to comfortably meet the demand to manufacture high-pressure tubes up to 21m in length with a drilling diameter from 20 to 200mm. The modern production equipment and the knowledge of its highly trained work force permit the treatment of a range of materials, whilst allowing very small fabrication tolerances.

BHDT produces a wide product line of flanges in all sizes, including weld neck, blind, cladded and swivel flanges, but has further developed its range of compact flanges. This design offers outstanding benefits in situations where weight and stress are critical factors in pipe design.

In comparison to the ANSI flange connection the compact flange range can save up to 80 per cent of weight, withstanding high bending and tension loads without leaking. A massive benefit of this is the reduction in time spent on retightening bolts following such stresses on these joints in systems. BHDT is also offering a 100 per cent leak free connection in its range of metal-to-metal connections with special steel seal rings, providing three sealing surfaces in one joint. The development of this range is providing a secured future for high-pressured installations.

Having developed a key working relationship with the specialist coating company, Stieg GmbH, the last 16 months have continued to show increased demand within the oilfield equipment market. The willingness of the company to adapt to demand and produce industry ready products is proving an influential trait in the market.

In recognising the importance of knowledge development, and adhering to its direction of working closely with its customers, BHDT has recently involved itself in workshop training.

This equips it to offer in-depth instruction on an array of its products.

As the industry rolls into 2014 BHDT is looking towards its own role. Continual growth, and developing its core infrastructure to maintain its position as an industry leader will feature heavily in its scope, and by working closely with its customers BHDT is continually reviewing their fundamental needs, which will drive the business forward through the next year.

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industry Guiding the

With over 55 years of industryleading products and a knack for introducing globally recognised ‘firsts’ within the aid to navigation (AtoN) market, it is hardly surprising that Tideland Signal has garnered a reputation as a world-class partner within the oil and gas sector and beyond. Founded in 1954 the company has continued to grow, expanding its business to operate on a truly global level.

Currently Tideland Signal is headquartered in Houston, Texas with offices located in Canada, Singapore, China, the United Arab Emirates and the United Kingdom. As part of its business strategy the company operates divisions dedicated to AtoN services in the Middle East, offshore oil and within gas exploration in the Gulf of Mexico as well as facilities for buoy construction in Canada, Asia, South America, the United Kingdom, Italy and the Middle East.

Marine aids to navigation are at the core of the company’s business and are an area with far reaching applications, as executive vice president Paul Burford elaborates: “The kind of service we provide is essentially that if you’re sailing a ship we provide all the things that you would see from the vessel that stop you from running into rocks and guide you home safely. So it’s solutions like lighthouse beacons, fairway buoys and jetty lights that you would find at harbour entrances.” Currently Tideland Signal’s operation is largely centered around three areas; harbour

installations, offshore and wind farms. Each area comes with its own unique requirements and challenges that potential suppliers need to be aware of, as Paul details: “Port and harbour equipment is usually for general marine use and tends to be fairly rugged to meet the challenge of the harsh marine environment. Within the offshore energy market there is a much more of a technical requirement because we are providing equipment in an environment where gases are present, so our equipment cannot give off a spark or have hot surfaces otherwise there is a risk of explosion, the results of which can be catastrophic. Finally, the offshore wind farm sector rather falls roughly in between the two.

It does not carry the same risk as oil and gas installations but it is offshore, so it has all the challenges of operating on a remote structure in unforgiving conditions.”

The company’s product portfolio is as extensive as its global reach. It is able to provide first-class products including lanterns, buoys, radio aids, power sources, helideck systems and many others. Within the market Tideland Signal has pioneered a host of leading technologies since the 1960s including the world’s first transistorised, automatic lamp changer that was introduced in 1965. Other innovations include the first Microsoft Windows based AtoN satellite monitoring system (1991), production of the lowest power Racon unit, the System 6 (2002)

PROFILE

Sea they did not expect to be recovering oil by now, but with advanced exploitation techniques operators are still able to get product out of the ground meaning they are prolonging the life of the oil rigs.”

Tideland Signal tidelandsignal.com

Services Aids to navigation solutions

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At present Tideland is active in almost every country in the world that has a coastline or inland sea, offering service contracts to some of the oil and gas sector’s leading operators

European oil & gas

and the first 30 degree vertical divergence LED lantern (2011). During the 1990’s Tideland Signal was one of the first companies to introduce LED’s to the AtoN market, which has been an innovation that has gained so much traction that LED lights now almost entirely dominate the sector.

A major differentiating factor for Tideland Signal is in its ability to provide turnkey solutions in a niche market where most operators are focused on only part of the full package. It offers the full range of products, engineers to install and maintain them and large solar OV arrays to power them. A further major strength for the company is in its years of experience within the market, allowing it to anticipate its customers needs in an expert and professional manner. “We pride ourselves on our customer service,” Paul exclaims. “We’re not a company that sells consumables at the cheapest possible price, we offer full solutions to our clients and we value their custom. We want them to come back to us time and time again, so it’s about forming relationships with them. It’s a specialist area and often our customers depend on us to know what they need.

“Rather than the client having to have the expertise in-house, they can rely on Tideland to have the knowledge of industry requirements and regulations. So when it comes to deciding which systems they will need they don’t even need to know the details of their requirement; our customers can rely on us to be able to tell them.”

At present Tideland is active in almost every country in the world that has a coastline or inland sea, offering service contracts to some of the oil and gas sector’s leading operators. It has recently won a contract with Technip for 20 sets of its HeliLED status beacons including the solar power units to operate them, for a project in the Middle East. Another of its successes of which it is proud is the solar PV system used to power GUPCO’s Hilal B platform in Egypt. Tideland worked with the engineering company ENPPI to design, deliver and commission a 35kW system that is the only source of power on the platform The company can also boast a rich history serving the North Sea market as Paul explains: “We have been supplying North Sea platforms since the industry began; we have worked with hundreds of platforms in the area. A lot of those early systems we put out in the 1970’s are still working so operators are now upgrading them. This is partly because within the North

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miner

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Established in 2006

, Nordic Mining was formed as a demerger from a company with a strong presence in oil and gas, but also a minor portfolio in mineral assets. Ivar Fossum, CEO, recognised the deficit of minerals being extracted and a foundation to establishing itself as a new mineral company: “The geological potential is significant in Norway, but also in the other Nordic countries. We have some strong aggregate producers in Norway but hardly any miners of high-end minerals and metals. We established early a list of elements and minerals, which we think have a role today, but have an even brighter future.

“Modern society is year-by-year having to cope with climate problems, emissions, the demand to make cheap energy and to store new energy, and elements with unique properties are vital to offer solutions these challenges.”

Future player in rutile In 2007 Nordic Mining began developing the Engebø project. The project, to develop one of the world’s largest deposits of natural rutile, is centred on the west coast of Norway.

A realisation of this project will establish the company as a long-term supplier to the titanium and pigment industry. Ivar elaborated: “This has been by far the largest project, which has acquired many of our resources. The Engebø project is unique both with regard to its high-

grade deposit and the location right by the sea.

The future rutile export from Norway to Europe will lead to a significant reduction in CO2 emissions compared to overseas imports. Small plant-to-plant shipments will offer great benefits for our customers.

The storage of new energy has been the driver for another of Nordic’s assets. The Keliber project in Finland is developing a number of lithium deposits in order to produce highgrade lithium carbonate, a critical material for modern batteries. Ivar explained: “The political view from the EU is that we really need to be proactive in order to supply Europe with some specific minerals. There is a complete misbalance between what is being produced and what is imported. Lithium is an element where there is no current European production.”

CSR Ivar highlighted that the potential impact on communities is highly considered: “The set of values that the management establish in a new company like Nordic Mining is an important element in recognising our responsibility, socially and environmentally. It is necessary to anchor our values, the company and the project in the local communities. Scandinavia has a culture that is consensus orientated. We’re used to having broad processes that involve society, local communities and stakeholders in these kinds of projects. Our goal is to transform deposits into labour, into employment, and into long-term industry.”

Nordic Mining has recently established a project for extracting high purity quartz in Norway.

Even if quartz is a highly abundant element around the world it is rare to find extremely pure quartz deposits. Pure quartz products have properties that are critical for certain applications like optics and microelectronics. These products have specific qualities with high prices that may justify a development even in Norway.

Future in the North and at the seabed Looking to the future, Ivar explained: “We are focusing our resources towards our titanium project, and we are careful not to deviate too much, but we have drilled a couple of exploration holes in the north of Norway looking for palladium platinum. This has given us some interesting results including nickel, copper and gold.

“We are also involved in a pilot project for seabed minerals with the Norwegian University of Science and Technology. This will be finalised at the end of 2013, and will bring a first estimate for the marine mineral resources along the mid-Atlantic ridge within the Norwegian continental shelf.”

Optimistic, Ivar said: “We think that we will face some interesting crossroads in the years to come. We see that the Engebø project could easily have its own journey and destiny away from the mother company as it has such a major worldwide role in natural rutile.”

Nordic Mining is the first company in Norway for many years to be delving in to major mining projects. Ivar reiterated: “We are reinitiating the mining industry in Norway. We have a unique approach and with it I think we are paving the way for many others, including internationals.”

The development of the company from a junior competitor to an industry leader is a target that Ivar is fixed on: “We are very serious.

We behave as a big industrial company because we know that we will be one day. For some time we have had a group structure that operates each project as a separate, share holding company, which gives us real flexibility. We aim to see these subsidiaries grow in terms of workforce, competence and key personnel, and to be a project engine as well as an industrial company.”

The last two governments in Norway have emphasised the need to boost the mineral sector, and mining in general. Politicians in the EU are continuously seeking to fund projects in the sector. Ivar concluded: “The outlook is extremely favourable. We think we have merely touched the potential in Scandinavia so we believe that the whole region can be an important supplier of minerals to Europe for many years to come.” Nordic Mining is traded on the Oslo stock exchange (Oslo Axess) with the ticker NOM.

Pure quartz products have properties that are critical for certain applications like optics and microelectronics.

These products have specific qualities with high prices that may justify a development even in Norway

Nordic Mining ASA nordicmining.com

Services High-end mineral and metal mining company

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High purity quartz

Nordic Mining

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Subsea is a shore thing European oil & gas

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but its feet firmly grounded, HCS Control Systems was part of a £9 million equity funding deal in June 2013. The opportunity to acquire HCS arose with the retirement of one of its founding shareholders.

Managing director Brett Lestrange led the HCS management team to the completion of the deal: “We are going in with new investment, and with an invigorated approach to growing the business.

We’ve added a depth of capability with our knowledge, experience and financial backing, so we’re looking at fairly aggressively developing the business and taking HCS to the next level.”

The company has established a loyal client base and has gained a great reputation amongst them. With a clear focus on business development Brett said: “We have been producing very high quality subsea equipment and delivering it on time. This is a big deal in the subsea business and is a key part of our growth plan. Firstly we are looking to expand the number of services and products that we offer to our existing clients, providing a whole suite of equipment that is designed, built and tested as a package, and subsequently ready to go offshore.

In doing this we are looking to take a greater role in our clients’ projects.

“Secondly, there are additional customers in the sector that HCS are talking to in order to expand our client base. Thirdly, we are introducing new products and services, expanding on what we offer.” By developing these three areas the company is looking to take advantage of its geographical position within the oil and gas hub of the northeast of Scotland.

The new management team plans to open an Aberdeen base, specialising in sales and service support, whilst retaining its core manufacturing capabilities in Fife. Brett highlighted: “This gives us some distinct advantages over being based solely in Aberdeen. There’s a vast skilled manufacturing pool of labour in Fife and across the central belt of Scotland. I hear daily the challenges of labour supply, but we are easily

able to access this band of highly trained and highly skilled technicians that are an ideal fit for our business. Locally we are also supported by a large number of high quality suppliers with whom we have long-term working relationships.

“We are looking at expansion of the testing and assembly facilities in Glenrothes over the next year. In advance of the new business that’s coming in we are hiring additional engineering graduates alongside apprentices. At a time where the consensus in the industry is that there is a lack of resources, skilled personnel and capacity, we are telling our existing and prospective clients that we can handle more. We’re scaling up, we’re very optimistic, and year on year 2013 is already substantially better than 2012.”

Developing innovative solutions to problems faced by the subsea industry and with a patent pending on its design, HCS has developed in-house a new Zone 1 rated high capacity electric umbilical reeler. Client engagement was sought from the early days of its conception.

“They really helped to crystallise that development because we knew that there was an end application there,” explained Brett. The zone one electric reeler is primarily for deepwater applications requiring large diameter, long umbilical lengths beyond two or three kilometres, for deployment and retrieval of subsea production trees. “These units can weigh in excess of 50 tonnes,” he continued.

“With the electric drive system we are able to accurately and precisely control the deployment and retrieval of the umbilical. Utilising its PLC control allows us in real-time to accurately log any loads and tension seen by the umbilical.

With this data we can manage the integrity of that umbilical, so are able to give much greater assurance to the operator that there’s no inherent defects or areas of weakness from prior deployments that could result in operational problems,” he said.

For its clients, the main benefit of the application is its use in deep water, but another advantage of the technology is the suitability in cold, and arctic conditions where pneumatic systems can suffer from freezing and hydraulic systems can be problematic. Brett expanded: “It’s a good example of the innovation drive through HCS and really opens up a dialogue with customers. They are recognising that we are able to take on a greater scope in their project, giving them a fully tested suite of equipment, but also being able to innovate and develop products that are key to their business. It’s a method that is going

equipment that clients have utilised out there, but the continual question over geographical expansion needs to be considered carefully. It is important not to spread our efforts and focus too thinly, so geographical expansion at the moment is lower down our priority list, behind fully developing our core businesses in the markets we are in.”

Recognised for its commitment to health and safety and dedicated to continuous improvement the company earned, for the second year running, the RoSPA Gold Award. Reflecting, Brett said: “It’s extremely helpful in terms of new clients understanding who we are and what our priorities are. We are extremely proud of it.”

Summarising the strategic view for the next five years Brett reported: “We want to be recognised as one of the leading subsea design, manufacturing and project support companies in the global market. Maintaining our excellent health and safety record, delivering high standards of quality and repeatedly delivering our scope on time is how we see our business growing.”

HCS Control Systems Ltd hcs-control-systems.com

Services Design, manufacture, assembly and test of equipment for the subsea industry

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well in terms of the new business plan and we are pleased with the positive response we’ve received.”

The management team has a background working for and with the international service companies, so has a good understanding of the challenges they face on these big demanding products. It is driven to get beyond the initial transactional level of business and is making time to engage with them and understand their business needs.

Delving into the activity this year Brett acknowledged: “Around 80 per cent of HCS’ production is destined for export. Our clients, based primarily in the UK, Norway and the US are purchasing systems often destined for projects in West Africa, Asia and beyond. They recognise our capabilities and the support we can offer and that, to us, translates into purchase orders of substantial contract values.

“We see great scope to increase our core market share and we’re making some significant roads into developing in new areas. We recognise Brazil is a fantastic market. We have

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Isolation and

intervention

European oil & gas

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During the past 15 years

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STATS Group has evolved from a two-person start-up business to a firmly established brand with a strong global presence and an annual turnover of £26 million. The company was founded in 1998 by managing director Peter Duguid and Lorraine Porter, a brother and sister team local to the Aberdeen area. Over the course of its history the company has continued to expand and diversify and now offers a broad portfolio of process and pipeline isolation, intervention, repair, subsea and shutdown services worldwide.

The company’s success has been built on a culture of innovation, value and fast response, allowing it to transition through several defining milestones during recent years. During 2009 STATS Group opened a purpose built headquarters building on a four-acre site at the Midmill industrial estate in Kintore, just outside of Aberdeen. The total investment in the facility was valued at £5 million and provided 40,000 sq ft. of workshops, storage and testing facilities as well as 10,000 sq ft. of office space.

Remarking on the move STATS’ managing director, Peter Duguid, commented: "We have vastly increased working space to extend our range of tools and increase our product development and we now look forward to bidding for larger and more complex work scopes. While other businesses are contracting, we are determined to maintain a measured drive towards growing the STATS brand globally, and we now have the capability to recruit additional staff to achieve our objectives."

During February 2012 STATS Group marked its second big milestone when it received a £7.8 million equity investment from the Business Growth Fund (BGF). The BGF was established to support the UK’s fast growing smaller and medium-sized enterprises (SME) and the investment in STATS marked the Fund’s first entry into the oil and gas sector. Regarding the investment BGF regional director for Scotland, Simon Munro said: “Our investment in STATS is a milestone for BGF as our first in the vibrant oil and gas sector. STATS' highly specialist approach to pipeline isolation, and in-depth understanding

of the technical issues involved, results in safe operations and significant savings for its clients.

"I am hugely impressed by what Peter Duguid and his management team have achieved to date and have no doubt that there is much more to come. As a technically differentiated business, offering unique products to a large and growing international market, STATS represents exactly the sort of business that BGF wants to invest in."

STATS has not been slow to capitalise on the boost provided by BGF’s investment. During the following 12 months it has relocated its Canadian holdings to a new office and workshop facility in Edmonton, opened a new facility in Abu Dhabi in the Middle East and established a new technical support centre in Cumbria, UK. In addition to these, the company is in the process of opening a workshop in Texas, which will give STATS a truly global footprint. COO Dave Shand expands: “Within oil and gas it is often a small world and customers that operate in the North Sea also work internationally, and it has primarily been our previous clients who have asked us to assist them elsewhere. Initially these are one-off projects, however once we have established those projects we have created bases from which we can offer further services throughout the world.”

In 2012 STATS Group was also awarded a global frame agreement by BP to provide pipeline isolation and intervention services.

STATS has worked with BP in the past but the three year agreement formalises the relationship covering all BP’s regional business units. STATS has committed to developing industry best practice by working with BP and three other contracting parties to develop and promote industry standards. Recent projects performed by STATS on BP assets include workscopes in the North Sea, Azerbaijan, Angola and Trinidad.

STATS Group is a trusted partner in providing process and pipeline isolation and intervention services. Its dedicated team offers a consultation service to assist operators in assessing the optimum solution for their operational requirements. Pipeline intervention and isolation can be achieved using STATS’ patented fail-safe BISEP™, which provides double block and bleed isolation deployed through a single full bore hot tap penetration. This high integrity isolation is provided by the spherical BISEP head, which houses twin compression seals and provides a facility to bleed and monitor the intermediate annulus. The seal annulus port proves and monitors the seal integrity before

includes all equipment to isolate the pipelines prior to repair, provision of call-out services to maintain the equipment in a state of readiness of deployment, as well as personnel to assist in the field deployment, tracking, operating, monitoring, and retrieval of the tools. The tools will be located in storage for up to ten years on a standby status, awaiting call off to complete live projects in Qatar should an emergency deployment arise.

Concluding with an outlook for the future of STATS Dave says: “I can see the company tripling in size during the next three to five years. The demand is certainly there, as the infrastructure of pipelines is not getting any younger. As clients look to extend the lifetime of their assets they are going to need more and more isolation and repair services.

“The most importing thing for us going forward is building good, solid relationships with our suppliers, who we consider to be part of our team. It’s about building long term relationships and helping to encourage mutual growth.”

STATS Group statsgroup.com

Services High integrity pipeline and infrastructure solutions

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and during intervention work. This technology revolutionises the market with significant safety benefits and fail-safe features compared to traditional line stop technologies with cup seals and additional bleed ports.

Furthermore, the company differentiates itself through its application of engineering solutions as Dave points out: “We have got competition but our competitors are big established companies whereas the market we cater to is for more tailored, engineered solutions to the pipeline isolation sector. Because we are smaller we can be flexible and tailor solutions exactly to our client’s needs.”

STATS is in the final stage of Factory Acceptance Tests for a range of patented remotely operated Tecno Plugs™ for Qatargas.

The multi-million pound contract covers the design, manufacture, test and storage of a new range of high integrity Remote Tecno Plugs for 32”, 34” and 38” pipelines, which will become part of Qatargas’ Emergency Pipeline Repair System (EPRS). The EPRS provision

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Supplying

security

Following months of

discussion, state-owned MVM Hungarian Electricity Ltd acquired the previous E.ON Földgáz Storage and Trade companies, valued at approximately HUF260 billion. The transaction includes all shares of the natural gas trading and storage firms, including the underground gas storage facilities and all natural gas stored there. This acquisition is in line with the Hungarian government’s plans to make all gas storage units state-owned, which will ensure security of supply and also control gas prices on a long term. “From 1st October our name became Hungarian Gas Storage; the takeover process took from March to October and the company is now 100 per cent state owned. Aside from these developments the business is the same, we still have the four storage sites with a total capacity of 4.4 billion cubic metres and still have the same customer base,” explains Mr. László Fritsch, CEO of Hungarian Gas Storage, previously board member of E.ON Földgáz Storage.

The main client of Hungarian Gas Storage is the Hungarian Gas Trade Ltd, however it also works with third party firms such as the Hungarian branch of RWE, GDF Suez, as well as ENI. “We also work with a couple of smaller companies with smaller shares on the Hungarian

gas market, such as Shell, Exxon and some others,” says Mr. Fritsch. “Over the past two to three years we have tried to introduce some new products to enhance the service we deliver to our customers in order to fulfil requirements of clients from the biggest to the smallest range.

The so-called virtual product enables us to satisfy injection needs during withdrawal periods and vice versa, as well as the withdrawal needs of the customer throughout the injection period.

The second product we have introduced over the last 12 months is the Flex Plus, which allows customers to acquire additional flexibility and we also have products to enable customers to buy additional peak.”

Furthermore, Hungarian Gas Storage is currently attempting to implement a gas loan product that can be offered to the customers on a 30-day period. However, the product is still under approval by the responsible authorities, there are already requests from more customers to support their portfolio through this product.

In Hungary today, natural gas is one of the country’s most important energy sources, and Hungarian Gas Storage is the country’s largest commercial natural gas storing firm. As part of the MVM Group the company has adopted MVM’s values in all operations, which includes

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Zsana is the largest site and the flagship of the company, with more than 2.1 billion cubic metres of gas capacity.

The second largest is Hajdúszoboszló with 1.5 billion cubic metres capacity

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responsibility for all employees, the environment and society. On top of this, the company is customer and performance focused; open to improvements and strong on teamwork, with a core objective to ensure long-term gas supply for Hungary throughout the winter period and to participate in the country becoming an unavoidable player in Central Europe.

“Our location is highly advantageous to us as we are in the centre of Europe, which means we are able to offer flexibility not only to Hungary but to the Central European region as a whole.

We keep trying to gain export deals with limited success for the time being, however this is an area we believe to grow in the future,” highlights Mr. Fritsch. “Furthermore, our location enables us to offer security of supply, which will make us crucial not only to Hungary but also to Romania, Croatia and even Ukraine.”

The company’s four primarily sandstone facilities were first built in the 1970’s and were owned and operated by MOL before being acquired and privatised by E.ON Ruhrgas in 2006. They are located near the towns of Hajdúszoboszló, Zsana, Pusztaederics and Kardoskút. Two of the sites have the majority of the gas capacity share, while the other two are much smaller, as Mr. Fritsch discusses in more detail: “Zsana is the largest site and the flagship of the company, with more than 2.1 billion cubic metres of gas capacity. The second largest is Hajdúszoboszló with 1.5 billion cubic metres capacity. Pusztaederics and Kardoskút both share 300 million cubic metres in total,

with Pusztaederics particularly important in the equilibrium of the whole system, as it is the only site in the western part of the country.

“To fulfil all customer demands, our four storage sites and their technical flexibility are of key importance. It happened several times that during the summer injection period one of the sites was operating in withdrawal mode. To ensure the maximum flexibility it is also crucial to minimise the time-need of switching from injection mode to withdrawal. Thanks to the earlier developments, Zsana today can change its operation mode within less than 12 hours.”

Following this development of the Zsana site, which ran from 2007 until 2009 and enhanced mobile capacity by over 400 million cubic metres, there are potential plans to reconstruct the injection part of the Pusztaederics site. “The filling level of the storage is lower than previous years therefore we might expect challenges during the next months, however the storages are in proper technical condition so we are confident to provide the necessary security of supply for our customers,” says Mr. Fritsch.

Despite the challenges it has faced, Hungarian Gas Storage has a strategic focus for the years ahead: flexibility to help balance the difference in demand between summer and winter peak consumption, optimisation of trading tools and security of supply. On top of this, the company’s long-term plan is not to increase capacity, but to ensure its sites operational function as efficiently as possible through ongoing refurbishments.

Magyar Földgáztároló Zrt. (Hungarian Gas Storage Ltd) magyarfoldgaztarolo.hu

Services Gas storage

With a history

WIWA Wilhelm Wagner GmbH & Co. KG WIWA Wilhelm Wagner GmbH & Co. KG is a leader in spray technology, fluid handling, material extrusion and injection systems. Since the 1970s WIWA has supplied Muehlhan worldwide with equipment for heavy corrosion protection i.e. the Professional 28064 single component high pressure spray unit, and special unit to apply intumescent fire protection materials.

WIWA’s products are engineered and manufactured in Germany by 120 highly skilled employees and distributed by WIWA affiliated distribution centers in the US, Middle East and China. Together with its worldwide distributors, WIWA delivers best-in class solutions to fit each customer’s requirements.

totaling over 130 years, Muehlhan has earned an impeccable reputation for the provision of surface protection and coating solutions. The company was founded in 1881 and originally focused on the cleaning of steam boilers before expanding to include ship cleaning, insulation work and shipping supplies.

Throughout its early history the company worked to deliver innovative new methods to its business and continued to do so as it began to develop new coating and blasting technologies during the latter half of the last century. During the 1980’s Muehlhan began a process to transform itself into an international operation, beginning with new daughter companies in Eastern Europe before growing to explore new opportunities throughout Europe, the Middle East and Asia. To generate a financial platform from which to launch further growth, the business became a joint stock company in October 2006 and was renamed to Muehlhan AG. Today Muehlhan is a corporate group active within a number of sectors including shipbuilding, ship repair, oil and gas, industry and wind energy. The group incorporates almost 30 subsidiaries within Europe and the US, as well as in the growing markets of the Middle East and Asia, employing around 2100 people.

Muehlhan takes pride in the fact that its brand stands for quality, integrity, reliability and respect, with its employees forming the foundation of its corporate success. The group encourages a culture of responsibility, competence and efficiency and offers its employees continuing training to ensure that they are able to deliver world-class customer service. This is because the group considers its customers to be its raison d’être and is keen to demonstrate why it is considered as an industry leader through the quality of its service.

The Muehlhan Group has grown to offer a broad range of services including surface protection, insulation, filling and fairing, scaffolding, access, technology and rope access as well as steel construction and consulting, engineering and inspection services. Within the oil and gas sector its targeted services are in asset integration, including insulation, coating,

passive fire protection and any kind of access technology, such as scaffolding and rope access.

The group is able to offer services geared towards new buildings as well as for the repair and maintenance of existing offshore facilities.

This applies to all stationary and floating drilling, extraction and production facilities where Muehlhan’s clients are involved in exploration, oil and gas extraction as well as new vessel construction and repair yards. While operating in the dangerous offshore environment, the group is keenly aware of its customers’ high demands regarding safety. Ensuring that its operations do not compromise safety standards or impair production processes is a key consideration in the way Muehlhan operates.

Asset integration is a key area in which the Muehlhan Group offers innovative technology to ensure that every job is carried out effectively and efficiently. It offers a range of technologies for many different surfaces and materials so that it is able to tailor its operations depending on the needs of the individual project. Using its proprietary U-ARC technology the group is able to recycle and re-use blasting material, which greatly reduces operating costs for the customer and improves environmental performance. The U-ARC towers are designed to have a very small footprint to limit interference with customer operations in narrow docks or on board offshore structures. µ Jet is another proprietary technology combining ultra-high pressure water jetting up to 3.000 bar and abrasive blasting for superior life span of coatings in the most demanding offshore environments. Combined with unmatched quality of severely rusted surfaces, flexibility and productivity are key characteristics. With µ Jet systems conventional dry blasting, washing or ultra-high pressure water blasting can also be performed.

The group understands that the asset value of steel structures depends on the right coating. With its years of experience in the field the company has extensive knowhow in operating all relevant coating systems by all major paint suppliers and closely analyses the client requirements to match with the optimal coating system. An innovative concept for surface protection includes foils that are applied like wallpaper on cleaned surfaces. First tests have shown interesting results, particularly on offshore structures. Blasting and coating chambers are essential during new construction to allow best technical and commercial results.

When, for market reasons, investing into blasting and coating chambers are prohibitively high temporary solutions that create stable

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covered Innovation

Muehlhan

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PROFILE

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and flexible and reduces cost, material consumption, manpower and environmental impact. Other benefits of the coating robot are that if offers an annual coating performance of up to several hundred wind towers. The robot also prevents overspray and ensures an even coating thickness distribution as well as reducing paint consumption and VOC emissions by up to 25 per cent. It combines Muehlhan automation technology with specially developed control and tailor-made spray technology and can be operated in either Muehlhan’s own coating halls or on-site at customers’ manufacturing premises.

Despite challenging market conditions, Muehlhan finished the first half of 2013 with a surplus returned to investors of one million euros, with sales between January and the end of June 2013 totaling 96.2 million euros. As the group looks to the future it can rely on its comprehensive product portfolio and innovative service packages to support it in a challenging environment. Through its dedicated investment into new technologies and money saving practices the company can expect to be a market leader for many years to come.

Muehlhan muehlhan.com

Services Surface protection solutions

europeanoilandgas.co.uk

climatic conditions are offered. Muehlhan has designed, built and operates blasting and coating chambers in Europe, Asia and the US. Quality is at the heart of the group’s coating operations and the trade associations NACE International, FROSIO and Germanischer Lloyd certify its inspectors. Similarly, the company complies with all special requirements for fireproofing coatings.

Innovation remains at the heart of Muehlhan’s operation as it continues to develop its position as a global specialist for surface protection and complementary services. The company recently received the Structure Award for Innovations in Coating during the recent SSPC conference in San Antonio. The distinction was given in recognition of the world’s first fully automated, robotic-based coating process for complete wind tower sections. SSPC president Bill Shoup praised the robot saying: “This technology is an innovative approach for an economic, environmentally friendly and high quality coating procedure to help meet the future demands of wind tower manufacturers, especially for offshore applications.” The Muehlhan coating robot is extremely efficient

Muehlhan

European oil & gas

PROFILE

119

We have a passion to protect what matters most

...now and in the future Tyco Integrated Fire & Security is the world’s largest company that is specialized in security & (fire) safety solutions. When it comes to safety, we do not take any risks.

We continuously work at smarter and better systems that guarantee safety for millions of people around the world. Do you want to know how we can protect your world?

Call 0800 – 225 52 38 or visit www.tyco.nl in The Netherlands and 02 467 78 11 or www.tyco.be in Belgium.

Safer. Smarter. Tyco.™

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pack Leader of the

Established in 1999

Below Eelco Hoekstra, chief executive officer at Vopak

following a merger between Van Ommeren and Pakhoed, Vopak has developed a strong tradition for excellent leadership, strategic collaborations and continual expansion through investment. Today the company is the world’s leading independent tank storage provider, operating 83 terminals in 31 countries spread across all five continents.

Having spent the last decade focusing on storage as its core business, the company has divested itself from shipping, distribution and other activities to become a specialist in the storage and handling of liquid chemicals, gases, petroleum products, biofuels and vegoils.

Headquartered in Rotterdam, the Netherlands, Vopak boasts an ever-increasing combined storage capacity of more than 30 million cubic metres across the globe, with terminals strategically located for its large customer base along the major shipping routes. As customers are mainly active in the chemical and oil industry, Vopak stores a diverse range of products that are readily available to a number of industries. Dedicated to customer service, the firm’s ongoing growth stems from total commitment to the success of its clients, with operations based on its core values of loyalty, transparency, commitment to employees and mutual trust.

Marking 400 years of existence in 2016, the company is to further develop its global leadership in tank storage with a continual expansion initiative. Eelco Hoekstra, chief executive officer at Vopak, discusses the company’s developments since it was last featured in European Oil and Gas magazine in January 2013: “In 2013 we have expanded a number of locations and invested in new ports and new tanks; we have also been involved in two divestments, which is all part of our continuous strategic drive to align our terminal network with long term market development.”

He continues: “In March 2013 we inaugurated a large new terminal in Algeciras, Spain, which has 403,000 cubic metres and 22 tanks, predominantly for fuel oil to serve the bunker market there as we have jetties capable of receiving vessels up to 225,000 dwt.

We think this is the first truly independent oil storage company in Algeciras, which is beneficial as it can be used by several parties.

The bunker market in the Straits of Gibraltar and the Mediterranean Sea is an area we have always been attracted to because of the strategic connections between Europe, the Middle East, West Africa, America and Asia so developing a position there has been on our radar for some time.”

A key transit area, which stands at the

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Vopak

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Tyco Tyco inTegraTed Fire & securiTy secures vopak Terminals Tyco Fire & Integrated Security provides security for the terminals of Royal Vopak N.V. at various locations.

This primarily concerns the fire safety of the storage tanks and the handling of chemicals, gasses and oil.

At various Vopak locations, Tyco uses infrared flame detection for securing both the terrain and the storage tanks.

European oil & gas

europeanoilandgas.co.uk

There is a high risk of explosion at the terminals of Vopak, for example in Eemshaven, Europoort and Amsterdam Westpoort. Therefore it is very important that these locations are secured at the highest level. Tyco decided to use the Flame Vision triple infrared S271f + and S271i-flame detectors. These advanced detectors have three infrared sensors and are less sensitive to false and unwanted alarms. The detector can be connected directly to the detector loop of the Tyco MZX-fire alarm control panel. The detectors are located at the top of the dome roof and are focusing on the floating roof, Foam wall and rimseal of the tank. The flame detectors detect infrared radiation which is generated by the hot CO2 in the combustion gases of organic fuels. Based on the measured values from the three sensors, the ratio and flicker frequency determines whether there is fire in the tank. Because the detector is integrated in the MZX addressable detector loop, it can be programmed in various ways and applications.

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Industrial sites and installations in the industrial sector are often large and complex. With the ability to integrate the Tyco MZX-fire panels in a network, the fire and fault notifications can be centrally monitored in both the central control room as in other operating locations. This results in being able to take quick and focused actions in case of an emergency and to provide correct information to the emergency services.

The storage of oils and gasses, similar to the storage as situated at Vopak, requires a high level of security. When a tank is on fire, the risk for an explosion can be very high,� says Jaap van der Oord, Senior Account Manager fire detection systems FASH, at Tyco Integrated Fire & Security. “Our advanced detectors are fully ATEX certified and comply to the EN54-standards. We are one of the few companies in the market that offers such an advanced detector.�

European oil & gas

crossroads of the world’s main shipping lines, the port of Algeciras is also part of the second biggest European market for bunkering services. Vopak holds an 80 per cent stake in the terminal, with partner Vilma Oil holding the minority share of 20 per cent; it was designed

by Vopak and will operate under global Vopak standards. “We are very pleased to have entered Algeciras and have had our first few months of operating there. Right now we are assessing what we want to do at the terminal in preparation for the future,” adds Eelco.

With a long history of developing collaborations that strengthen its service offering and global network, Vopak announced a joint agreement with Magellan Midstream Partners for a potential new storage terminal along the Houston Ship Channel for the storage and handling of crude oil, refined products and ethanol. As part of the agreement, the parties will work on a feasibility study to assess the development of a deepwater storage and handling facility that would consist of tanks, barge and ship docks in a strategic location. “We have been operating in Houston for many years as a large chemical storage facility, which has very successfully developed into a versatile port of call for chemical manufacturers. We realise that with the shale gas revolution, because of the fracking currently used and the type of oil associated with it, that the infrastructure of the US for both national distribution as well as the use of refineries and ports is subject to change momentarily,” says Eelco.

“Both the storage industry and pipeline players are trying to find out what the future US market will look like and whether gas will be exported as LNG; we are no different there. We have acquired some land close to our existing chemical facility that will allow us to not only build storage tanks, but also develop very good water access with our maximum draft of 45 feet. We also have invested in logistics to enable access via train and trucks. With this move from chemicals into the oil and gas sector we wanted to do this with very strong partners, which is why we signed an agreement with Magellan.

We have access to water, land and rail, while they have access to pipelines. It is a very strong combination,” highlights Eelco.

Having spent a lot of time attempting to predict the future market growth for gas, oil and chemical industries, the company benefits from a strategic scenario-based way of thinking, which has resulted in a clear view on how its network should be laid out and where terminals should be based. Aware of the increase in chemical

Vopak

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123 gas storage demand, caused amongst others by production expansion in Europe, Vopak has ensured it is well positioned to capture additional flows for its customers through an expansion at its terminal in the port of Vlissingen. The additional 36,800 cubic metres will enable the terminal to minimise an expected global imbalance of certain chemical gases for its customers, while also continuing its reign as the leading LPG and chemical gases hub in Northwest Europe.

“We have been storing propane and butane for several years in Vlissingen and expect the overall trading of these products to increase. If you look at the world, it is most likely that the Middle East and North America will be strong on these products, while Europe and Asia will be short,” explains Eelco. “As a company we will try to play our role in the potential increase of propane and butane, which makes this recent development at the terminal a natural extension.

If you look at the size of the terminal, it is currently 130,000 cubic metres, so adding an extra 36,000 to 37,000 gives you a real sense of the expansion, just short of 30 per cent.

“We are pursuing similar opportunities for propane storage globally, with South East Asia an area we are keen to further develop the storage of these products. We have also recently built three propane tanks in China for one of our

Ivens Constructiebedrijf

NV Antwerp-based Ivens Constructiebedrijf NV is a leading provider of tank solutions for the safe storage of bulk liquids. While very proud of its unique 83-year heritage, the family owned business has never let its sense of tradition stand in the way of innovation and the development of new markets. In recent years, Ivens’ order book has been boosted by renewed efforts of European countries to increase the size of their strategic petroleum reserves, as well as the catch up on maintenance activities. One of Ivens’ main customers in both domains is Royal Vopak. New green field tank terminals for the storage of chemical or petroleum products have been built as turnkey projects by Ivens. Tanks need to be maintained as well, for the biggest of Vopak’s tanks in Rotterdam Ivens is selected as preferred partner for maintenance activities. Vopak is and will always be an important client for us and we will continue to act on optimising our partnership, even in areas outside Europe.

124 European oil & gas

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PROFILE

and pumps remain all working well and are still what the market demands. Ultimately it is all about creating a sense of passion and belonging within our different terminals and develop a mindset within our staff to provide a service that customers expect, 24/7. We have a recognisable network and we also want to be recognised as a company with excellent safety and services,” concludes Eelco.

European Pump Sales European Pump Sales (EPS) BV is the supplier of the HC twin-screw pumps. Increasingly clients are requiring one pump, which can be used for the pumping of different products, and is viscosity and density independent. These pumps also need to work on different capacities and at different pressures.

The HC twin-screw pump can be used in all parts of the terminal pumping process, such as stripping, low or high capacity transfer.

European Pump Sales BV has helped Vopak through the design and preparation of suitable solutions. In 2009 EPS delivered the world's largest casted twin-screw pump. In 2012 an even larger type surpassed this.

Vopak vopak.com

Services Independent tank storage

europeanoilandgas.co.uk

customers; the propane and butane markets are interesting to us and are definitely areas we will be monitoring over the coming years,” he adds.

Acknowledging gas as a cheaper fuel in comparison to alternatives, Vopak is a supporter of the increased exploration and production of it; as such the company is involved in the LNG Rotterdam - Gothenburg project, which involves the development of a small-scale LNG chain in both the port of Rotterdam and the port of Gothenburg. The collaboration between the ports will accommodate LNG supply for cleaner maritime transport and thus enable shipping firms to switch to LNG powered vessels that meet the stringent 2015 emission requirements for the Baltic, English Channel and the North Sea. “A lot of companies are assessing the opportunity of gas being used for heavy duty transport for trucks or shipping; this could be inland shipping, barge shipping or deep sea shipping. We would like to develop infrastructure to facilitate those markets if they become economically viable and one area we foresee this happening is in Europe. We already have our Gate terminal in Rotterdam, which will serve as an anchor point to serve different ports and distribute LNG across different areas in Europe,” highlights Eelco. “This project ties in with the SECA regulations that will come into place in the Baltic Sea in 2015; LNG could play an interesting role in improving emission levels where sulphur emission above 0.1 per cent is prohibited. In preparation for this, we need to develop infrastructures for this market; with our partners Gasunie and Swedegas and the ports of Rotterdam and Gothenburg we are working together to get this project off the ground. We sent a proposal to the European Commission and they clearly support the initiative, which is why they gave the project a grant of 34 million euros to develop the chain, as a priority project for European transport infrastructure development.”

Following a huge level of investment in 2013, the future looks positive for Vopak as it aims to continue investing and growing throughout 2014 with infrastructure upgrades and expansions. Furthermore, the company is looking to further enhance its service levels to make sure it is the most safety conscious, efficient and effective firm in the market place.

“Vopak has made tremendous improvements on safety and we have become very trustworthy in this area; we aim to improve our service offerings in layers, through working on hardware to ensure equipment such as the tanks, jetties

J. de Jonge flowsystems is your specialist and partner for design, development and manufacturing of loading/ unloading equipment, heat exchangers, rotating equipment, steel structures, storage tanks and piping projects, including industrial plastics.

Having 60 years of experience in the petrochemical/chemical industry, offshore, and in particular the tank storage industry (preferred vendor for Vopak) J.de Jonge flowsystems has built up a strong reputation in maintenance, renovation, as well as for greenfield projects.

Pragmatic, innovative, flexible, and prompt reactivity are some of the keywords for the organisation.

J. de Jonge flowsystems has also designed and developed a range of products such as marine loading arms, hose towers, hose reels, QC/DC couplers, strainers, heat exchangers, PIGlaunchers, tailor made skids, etc.

J. de Jonge flowsystems is VCA Petro, ISO 9001 and Atex certified.

European oil & gas

J. de Jonge flowsystems

Vopak

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Bold European oil & gas

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developments

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Since last appearing in European Above Panalpina invests in aircraft and its UK transport fleet Right Aberdeen's logistics hub Below More capacity - the 747-8F holds up to 139 tonnes of cargo

Oil and Gas Magazine in February 2012, intercontinental air and ocean freight services provider Panalpina World Transport Ltd has enjoyed ongoing growth and success, as Mark Woodhouse, strategic development manager of the UK oil and gas business, elaborates further: “We now have a new CEO and have seen a big rise in our share price, which can be seen in our recently released third quarter figures.

Gross profit has increased by six per cent to CHF 403 million. There has also been quite a bit of investment; we have added two 747-800 freighters to our aircraft fleet, one of which flies from Houston to the UK, and have spent £1 million on new trucks for our UK based transport fleet.”

Against the backdrop of a slow market, Panalpina’s overall results for the third quarter are in line with expectations, with market share gained in both ocean and air freight in terms of volumes. On top of this, logistics showed double-digit growth in gross profit terms, which is due to the group’s investments in value-added services, and consumer/retail, healthcare and the oil and gas industries displayed higher than average volume growth.

“Generally speaking, the industry is still quite weak as far as freight forwarding goes; however, for us in the oil and gas market, business has been buoyant,” enthuses Mark. “Working in oil and gas, the biggest issues for Panalpina by far are space constraints and trying to recruit new people. It’s a general issue for the oil and gas industry at the moment, whether it is engineers or roustabouts, you just can’t get the staff. To deal with this issue we do a lot of in-house training and are increasingly having to bring staff in from our overseas offices just to fill the gap.”

With a superior network of 500 branches in over 70 countries, and partnerships in a further 90, Panalpina World Transport is a truly global organisation. Panalpina’s origins can be traced back to 1895, since which time the group has strategically expanded its service offering over recent years through a number of pivotal acquisitions. One of the more notable purchases for the group was Norwegian Grieg Logistics, a leading logistics provider to the Norwegian oil and gas, maritime and shipping industries, in February 2012, which further cemented its position within the global oil and gas sector.

Over four decades and counting, Panalpina has proven its long-term commitment to the oil

With third quarter results meeting expectations and a recent global contract win with a major multinational oil and gas firm, the future looks positive for Panalpina as it gains a stronger foothold in emerging markets while continuing to deliver globally integrated, tailormade, comprehensive solutions to its customers around the world.

Panalpina World Transport Ltd panalpina.com

Services Freight logistics

europeanoilandgas.co.uk

and gas industry, with a particular focus on the highly challenging upstream sector. Previously talking to European Oil and Gas Magazine in 2012, Mark elaborated on this side of the organisation: “The Aberdeen facility works purely within the upstream aspect of oil and gas. We service our customer’s requirements by concentrating on managing the whole supply chain through an end-to-end approach, as opposed to just putting cargo onto a ship or plane, such as distribution, customs clearance and freight capacity management.”

To deliver superior solutions that go above and beyond the demands of its customers in a challenging and ever changing industry, Panalpina offers more than the shipping of homogenous containerised cargo within known consumer goods trade lanes. Dealing with volatile requests, the division transports freight such as sizable capital equipment, subsea installations, pipes, rig components, related chemicals and electronics equipment to or from extremely remote locations that include the Siberian tundra or shore bases along the coast of West Africa.

“One of our core services is a combined air/ocean/road transport concept called the African Star; we fly our own aircraft into the Congo, which we use as a hub for our own coastal vessels that operate up and down the West African coast delivering cargo to the oil supply bases,” explains Mark. “We have all our own offices in Africa and approximately 400 personnel working for us out there at the moment.” Specifically designed for the oil and gas industry, this unique cargo service delivers freight directly to shore bases along the coast, which avoids issues such as bottlenecks and customs delays.

Having developed a strong presence in West Africa, with over 50 years experience within the region, Panalpina is now setting its sights on burgeoning oil and gas areas such as Morocco, Iraq and East Africa. “Throughout 2013 we have been focused on emerging markets, with new developments in Iraq as well as Morocco, where we have a lot of projects coming up with service companies and drilling contractors. On top of this, we have also worked on further expanding into the Caspian area and East Africa, where we have recently established our own free trade area in Kenya. We can offer just-in-time services to our customers enabling them to hold stock whilst waiting for call-off without being registered in country,” highlights Mark.

Panalpina World Transport

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DESIGNED TO BE 30% LIGHTER THAN THE COMPETITION, WHILE HAVING A SMALLER FOOTPRINT AND MORE POWER.

THAT’S PUMPING PERFECTED.

The PZ 2400: Built for Extreme Expectations.

With more horsepower, a smaller footprint and 30% lighter than competing pumps in its class, The PZ 2400 defies logic. That’s okay. We don’t build pumps to be logical; we build them to last. Our proven innovations, like patented Y-style fluid-end technology, significantly reduce stress and radically enhance longer life over conventional pumps. Built to exacting standards, our pumps will help you meet severe onshore and offshore production requirements without sacrificing real estate. See what 150 years of unyielding perfectionism can do.

Connect with us at: 1-866-GDPUMPS

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GardnerDenverPumps

GardnerDenverPumpsTV

@GDPumps

11/6/13 3:13 PM

success Rigged for

An industry leader

Above and below Sparta Rig working on location in South Texas (Eagle Ford Shale play)

in the manufacture of drilling rigs, Integrated Drilling Equipment has developed a global footprint and an excellent reputation for high quality, customer driven products. By combining resources, expertise and 30 years of industry experience, IDE has all the capabilities in one place to deliver a one-stop-shop to customers requiring high quality API certified drilling rigs and rig related components. A specialist in comprehensive rig services, the company offers other services such as rig modifications and rig refurbishment.

Last featured in European Oil and Gas Magazine in October 2012, IDE’s president and chief operating officer Richard Dodson elaborates on the firm’s progression over the past year: “Since our rollout of IDE’s new rig designs in 2009, which are centred on the concepts of safety, faster spud to spud cycles and cutting edge control systems, IDE quadrupled in size over 2012. The advancements we have made since October 2012 have been focused primarily on three core areas: continuous improvement of our current designs, manufacturing processes and project management; a new design for our modular platform rigs, and the expansion of automation technologies, controls and service.

We also became a Public Company in December 2012, and therefore began to streamline how

we measure and track our performance, both collectively and individually.”

With the shale gas boom in the US driving demand for rigs, the Texas based IDE has delivered more than 50 rigs over the past seven years through a combination of new-build contracts and refurbishment projects. “Our customer base ranges from small domestic independent drilling companies, large international and publically traded drilling firms, to national oil companies and their subsidiaries,” says Richard. A key factor to IDE’s success and excellent global reputation is its fast service response to customer requirements for specialist drilling solutions, whether it is for harsh environments or for areas where quick, efficient rig moves are essential.

“Our service response to customer needs has become an industry benchmark by which others are compared; as some companies grow, service takes a back seat to more lucrative product lines, however at IDE this will remain one of our core offerings and we accept this role with a great deal of pride and passion! Another differentiator is our ability to customise rig packages for our customers and to refurbish and reconfigure existing rigs to compete more effectively in the horizontal rig market,” highlights Richard.

In 2009 the company noticed a shift from

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Integrated Drilling Equipment (IDE)

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43 gardner denver Big performance. Small footprint. impreSSive hiStory.

Anyone who measures awesome by the cubic inch has to be impressed with the Gardner Denver PZ 2400.

Even if it were the same size as competing pumps in its class, it still delivers more horsepower—2400 BHP, as the name implies. Fact is, at 63,500 lbs., it’s 30 percent lighter and has a much smaller footprint than those same pumps. Offshore, where space and mobility are prized, two PZ 2400s can replace three of its competitors.

Gardner Denver excels at delivering innovation without compromising in other areas. American-made, its pumps have a reputation for outlasting anything on the market, boosting productivity. Falcon fluidend technology, for example, simplifies installation and extends fluid-end life up to three times that of conventional counterparts. For customers, that translates to greater performance, improved safety and lower total cost of ownership.

European oil & gas

europeanoilandgas.co.uk

Of course, the company has had time to perfect its approach. It’s been in business since 1859. It built the industry’s first drilling pump 100 years ago and its first frac pump 60 years ago. Currently, Gardner Denver is the only company in the industry offering both drilling and well-servicing solutions. Without question, pumps are part of its DNA.

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While it has a long history, the company doesn’t coast along on past success. Instead, it continually evolves its product line, utilising field-testing and customer feedback to advance design, geometry and manufacturing.

That level of commitment doesn’t end with the pumps. With an extensive OEM parts inventory, Gardner Denver offers an unbeatable service package and can perform certified repair, even on competitors’ pumps.

It has eight state-of-the-art facilities to deliver that support 24/7: Quincy, Illinois; Oklahoma City, Oklahoma; Tulsa, Oklahoma; Altoona, Pennsylvania; Shreveport, Louisiana; Fort Worth, Texas; Odessa, Texas and Cheyenne, Wyoming. Coming very soon: San Antonio, Texas.

Whether you measure performance by the cubic inch or by the number of satisfied customers, Gardner Denver delivers.

Integrated Drilling Equipment (IDE)

with numerous companies in this area. We feel strongly that Mexico is a significant part of our manufacturing and product line diversity going forward and have multiple rigs now working there, where we are offering a very responsive service and support capability.”

Moving into 2014, the technological and geographical developments within IDE over recent years are certain to ensure the innovative company has a positive future of continued quality solutions and excellent service, as Richard concludes: “Moving into 2014, the advances we are making in our drilling controls, automation, hydraulics and walking systems, coupled with our improved proprietary rig designs, will provide a significant opportunity for growth. We have a vision to expand our manufacturing footprint in terms of geographical diversity and product line expansion. If we duplicate the growth we achieved from 20092012 we can easily see our revenue topping the billion dollar plateau within the next three to five years.”

A key factor to IDE’s success and excellent global reputation is its fast service response to customer requirements for specialist drilling solutions, whether it is for harsh environments or for areas where quick, efficient rig moves are essential Integrated Drilling Equipment (IDE) ide-rig.com

Products Drilling rigs and equipment

europeanoilandgas.co.uk

DC Silicon Controlled Rectifiers (SCR) control house-based rigs to AC Variable Frequency Drive (VFD) control systems and has positioned itself to become a leader in this area with the Centurion VFD system. Developed through years of experience, the fully customisable, engineered and tested Centurion VFD system has been specifically designed for drawworks, mud pumps, top drive and rotary table operations for both land and marine applications.

A provider of three market leading selfelevating and modular land drilling rigs, the Sparta Drilling System (SDS), self-elevating drilling system (SEDS) and Desert One, IDE is committed to continuously enhancing its technologies for customers requiring high quality drilling rigs for shale opportunities and horizontal drilling needs. The offshore modular rig solutions, with integrated drilling systems, are designed to increase drilling efficiency, reduce non-productive time (NPT), deliver maximum rig-up safety/efficiency, offer improved management of available rig power, reduce platform-to-platform move times and improve drilling envelopes.

Combining two industry proven structure technologies, a hydraulic winch raised parallelogram substructure and a vertically erecting mast, the SDS is a highly efficient and safe rig that is suitable for well programmes requiring minimal drilling time and fast rig moves. Meanwhile, the patent pending SEDS is a box-on-box substructure with a bootstrap style vertical mast, which extends with drawworks.

Accommodating up to 1.5 million lbs. of static hook load, SEDS' self-erecting mast is 152 feet long and can be assembled and put up with minimum crane usage. Lastly, the Desert One series drilling system is a modular box style rig structure that has the ability to transport in a single load, making it ideal for rig moves within a desert environment.

The company’s domestic customers are most active in the Marcellus, Backen, Eagle ford, Permian basins as well as other Shale plays. However, following the opening of oil exploration and production for private companies in Mexico in the middle of 2013, IDE is currently working with numerous companies in the country to meet the future need for offshore platform rig and land rig requirements, as Richard discusses further: “In 2013 we have focused on growing our footprint in Mexico with our new modular platform rig designs and are working closely

European oil & gas

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131

leevac shipyards jennings, llc

LEEVAC Shipyards Jennings, LLC is building two 270 ft. PSV’s for Aries Marine.

LEEVAC’s design team, LEEVAC Design Services, LLC, worked closely with the operational and sales personnel at Aries Marine on this design and was truly a collaborative effort. The vessel has a diesel-electric plant with Siemens multi-drive technology along with Schottel azimuthing drives and tunnel thrusters. The vessels have been designed and will be built under the latest ABS Classification Rules for worldwide operations and have the following additional notations: DPS-2, FI FI 1, and ACC. The vessels are currently under construction and are slated for delivery next year.

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Leevac Shipyards, LLC has both new construction and repair facilities in three locations: Houma, Jennings, and Lake Charles. The newest addition to the LEEVAC family is LEEVAC Shipyard Houma, LLC located on the Intracoastal Waterway with 110,000 sq. ft. of covered construction area and four large dry-docks. LEEVAC Shipyard Jennings, LLC has an impressive 130,000+ sq. ft. of covered fabrication area and four large covered construction bays to improve efficiency and to limit weather interruptions.

LEEVAC Shipyard Lake Charles, LLC is a ten acre complex with no water depth or height restrictions and has two dry-docks. With these state of the art facilities LEEVAC Shipyards, LLC has and will continue to serve virtually every aspect of the commercial maritime industry.

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‘We Make it Happen’

Tyco Tyco inTegraTed Fire & securiTy secures vopak Terminals Tyco Fire & Integrated Security provides security for the terminals of Royal Vopak N.V. at various locations.

This primarily concerns the fire safety of the storage tanks and the handling of chemicals, gasses and oil.

At various Vopak locations, Tyco uses infrared flame detection for securing both the terrain and the storage tanks.

There is a high risk of explosion at the terminals of Vopak, for example in Eemshaven, Europoort and Amsterdam Westpoort. Therefore it is very important that these locations are secured at the highest level. Tyco decided to use the Flame Vision triple infrared S271f + and S271i-flame detectors. These advanced detectors have three infrared sensors and are less sensitive to false and unwanted alarms. The detector can be connected directly to the detector loop of the Tyco MZX-fire alarm control panel. The detectors are located at the top of the dome roof and are focusing on the floating roof, Foam wall and rimseal of the tank. The flame detectors detect infrared radiation which is generated by the hot CO2 in the combustion gases of organic fuels. Based on the measured values from the three sensors, the ratio and flicker frequency determines whether there is fire in the tank. Because the detector is integrated in the MZX addressable detector loop, it can be programmed in various ways and applications.

Industrial sites and installations in the industrial sector are often large and complex. With the ability to integrate the Tyco MZX-fire panels in a network, the fire and fault notifications can be centrally monitored in both the central control room as in other operating locations. This results in being able to take quick and focused actions in case of an emergency and to provide correct information to the emergency services.

The storage of oils and gasses, similar to the storage as situated at Vopak, requires a high level of security. When a tank is on fire, the risk for an explosion can be very high,” says Jaap van der Oord, Senior Account Manager fire detection systems FASH, at Tyco Integrated Fire & Security. “Our advanced detectors are fully ATEX certified and comply to the EN54-standards. We are one of the few companies in the market that offers such an advanced detector.”

AP

opportunities Rammed with

“

Aries Marine Corporation was founded by my father, Dwight S Ramsay, who is still actively involved in the firm as chief financial officer. We began primarily as the owner and operator of self-elevating workboats before we diversified the company by adding offshore supply vessels (OSVs) to our fleet as well,” says Court Ramsay, president of Aries Marine Corporation. “We currently have 24 vessels, 15 of which are liftboats for the offshore oil production and construction industry that range in leg length size from Class 130 to Class 200. We also have nine OSVs that service both Gulf of Mexico shelf operations and deepwater drilling projects; these range in deadweight tons of 1100 to 5553.”

The 15 self-elevating work platforms are outfitted with cranes ranging from ten to 125 tonnes and equipped with a Boatracs system, which provides vessel positioning and wireless communication. Accommodations for third party personnel are available for platform maintenance and repair, pipeline repair, workover operations, rig tending, well-hookups and salvage operations. Meanwhile, Aries

Marine Corporation’s versatile fleet of platform supply vessels are designed to transport cargoes required for drilling and production operations.

The vessels utilise below deck space for dry bulk and liquid cargo, while the open deck area is available for tools, pipes and supplies.

Being equipped with dynamic positioning, Z-Drives and stern skeg thrusters enables improved station keeping, necessary for safer offshore offloading operations. Furthermore, the company has the flexibility and capability to modify its fleet to suit specific projects.

The privately held Louisiana Corporation was first established in 1981 to own and operate workboats in the Gulf of Mexico. Also known as liftboats or jack-ups, these vessels provide stable, mobile work platforms, living accommodations and crane capabilities for work crews delivering services to offshore oil and gas production platforms. Originally associated with drilling operations, the company’s strategic move into supply boats has resulted in a diverse business mix within the marine industry that has attracted all of the major oil and gas producers and most independents over the years.

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“We currently have ongoing long-term relationships with some of the globally known oil and gas firms and are the preferred vendor of these firms; this is due to our rigorous safety record and varied fleet. We have established an excellent reputation due to our operations being carried out by safety focused and experienced personnel,” says Chuck Levert, of sales and marketing at Aries Marine Corporation.

With customer satisfaction through excellent service being the core objective of Aries Marine Corporation, the organisation prides itself on the efficiency of its operations, the cleanliness of its vessels, and its own safety record. Placing a high priority on individual safety and prevention of pollution, it is committed to continued improvement of training programmes and

complying with all safety, environmental and customer requirements. “There is always a certain amount of hazard in all typical jobs undertaken by crew, such as unhooking or hooking lines or maintenance of the back deck; our guys have delved down to know the details of these jobs.

The information is then shared among other personnel during the numerous safety meetings we have both onshore and offshore,” says Court.

“When operating offshore, the environment has daily challenges and we like to think we provide a service to our customers that allows them to sleep comfortably at night.”

Making every effort to accomplish a culture of continuous improvement, Aries Marine Corporation’s supervisors conduct and monitor the safety policies in place, including safety

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our largest issues at the moment.”

In line with demand and its strategic plans for the future, Aries Marine Corporation has four vessels, being constructed in Louisiana.

Leevac Shipyard will deliver the first and second vessels, which are expected in October 2014 and February 2015 respectively. The LDS 270 DE platform support vessel (PSV) will

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When operating offshore, the environment has daily challenges and we like to think we provide a service to our customers that allows them to sleep comfortably at night

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meetings, near miss reports and JSA’s; any potential hazards are then eliminated through corrective action. Despite the stringent rules and regulations in place to ensure safety and high quality service, the company believes the real key to its first-rate safety culture is its employees, who are encouraged to practice good judgment at all times. “Crew safety is a culture, and our guys are sincerely committed to safety management and the efficient operation of our vessels; that is why customers trust us to deal with any issues that may come up,” says Court.

Benefitting from a high level of demand due to drilling activity in the deepwater Gulf of Mexico continuing to rise, the firm’s main challenge is resourcing labour, as Court elaborates: “Finding high quality, well educated, licensed individuals is always a challenge because there is always a high demand for them. I think this demand will increase as more tonnage comes online over the next couple of years, so this is definitely one of

have a deadweight capacity of 4000 LT and will be capable of carrying more than 13,000 barrels of liquid mud. On top of this, it will be powered by four 3516C Caterpillar generators at 1825 kw each. Marine Industrial Fabrication is constructing two self-elevating workboats (liftboats) for Aries Marine Corporation.

Extending the range of the fleet to 215’ leg length, these new vessels will have larger (175 ton) crane capacity, extended deck space and an increased number of bunks. Oversized propellers have been integrated into the design to enhance close maneuvering control.

“We are selling off our older vessels and building newer ones, which is a very strategic move for us; we have taken a lot of time and effort researching who we are building for and how these new vessels will fit in with other vessels being built out there and have further developed closer relationships with our customers, who can help direct us on what we choose to build,” concludes Chuck.

Aries Marine Corporation ariesmarine.com

Services Owner and operator of vessels

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A renewable The past three years

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Above Solar towers at Abengoa Solar's Solucar Complex, Seville, Spain Below Svante Bundgaard, CEO of Aalborg CSP, at Abengoa Solar's Solucar Complex, Seville, Spain

have been an important period in the development of Aalborg CSP. The company was formed after the successful merger of BK Aalborg and BK Engineering, which took place on the 1st January 2011. Owing to the onset of the global financial crisis it was decided that co-operation between the two companies would allow for a more streamlined approach to the market and strengthen both entities under a single brand.

The sharing of knowledge and expertise within the new company also means that Aalborg is able to offer highly targeted and focused solutions to the growing concentrated solar power (CSP) market at a time when renewable energy sources are becoming increasingly important to the environment and to the global economy.

Despite the growing need for affordable energy within domestic and commercial markets, the global economic crisis has had a significant impact on the renewable energy sector as a whole, as governments and industry turn to more traditional energy suppliers. “In general our key market has been difficult since the financial crisis,” explains Aalborg CSP CEO, Svante Bundgaard. “The power plant sector of CSP is mainly driven by government

programmes for renewable energy and also by the financing market’s ability to support renewable energy. This has been under pressure for some time so the development period for projects within our sector is relatively long, sometimes between two to four years. Often developments have been postponed so that we have projects that were first talked about in 2009, which may be going ahead as ‘real’ projects in 2014. Sometimes it can be as much as five years before we can expect to move out of development and into production.”

While the renewable sector faces significant challenges, it retains an important role in helping to meet the world’s growing energy needs and as such remains a robust market. Through its strategy of streamlined co-operation and by operating in markets outside of Europe and the US, where CSP is more readily embraced, Aalborg CSP has developed a strategy for positive growth over the coming years. “The European market for CSP has been really diminished in recent years and in Spain where we have been active, operating companies have been hit with some severe changes in operational tariffs. This has brought real insecurity to the market, however looking outside of Europe it’s

The company continually invests in the development of new technologies and expansion into more receptive markets. Currently it is active within the Middle East and South Africa as well as Spain, and it plans to expand into Chile in the near future" clear that the current development is within the Middle East, particularly Saudi Arabia where there are there are some very aggressive plans to develop renewable energy as an alternative to fossil fuel. This has been promoted and initiated with some promising pace, which is very encouraging,” Svante oberves.

The company continually invests in the development of new technologies and expansion into more receptive markets. Currently it is active within the Middle East and South Africa as well as Spain and it plans to expand in Chile in the near future. Within these markets Aalborg CSP specialises in the provision of advanced concentrated solar power plants. From a technical standpoint, Aalborg benefits from being the ‘new kid on the block’ and considers itself to be at the cutting edge of CSP development. “We are boiler people,” Svante says. “We are based in Aalborg, Denmark, which has a strong tradition of boiler production, which has inspired world-class boiler engineering. This is what drives us in developing the CSP market; we are focused on delivering the quality standard usually reserved for more traditional power plants to the renewable market.

“The CSP industry has a precondition that power boilers leak. They are using heat

exchangers that leak under high stress situations, but if you look at the oil and gas industry, it would simply be unacceptable to buy a power plant boiler that leaks. Yet somehow the CSP industry has not really realised this. We are still getting specifications from customers saying you need to allow five per cent allocation for spare parts for leaking, but if you allow leaks for any amount of time over the 25 year lifespan of these plants you are encouraging a lot of down time. Our major contribution is to focus on the traditional virtues of the oil and gas boiler market and bring them to the renewable sector.”

Offering design values and standards usually found within the oil and gas sector to the CSP market is a dual-layered strategy for the company as it reinforces the need for renewable solutions in the eyes of the world’s governments and provides a real incentive for future partners to invest into the business. “We are certainly looking to grow the company, but really we are interested in lowering the cost of energy,” says Svante. “As we have seen with the wind sector, subsidies run out if you do not show you can lower the cost of energy. So we are interested in promoting the technologies that make renewable energy more effective. If you can deliver even a

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Aalborg CSP

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Above 50 MWe solar steam generator system in Seville, Spain

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Aalborg CSP

three to five per cent increase in energy it makes a huge difference.”

Aalborg also delivers a firm understanding of the principles and challenges involved in CSP energy production. As such, it is able to deliver market-leading solutions in the design of its CSP power plants. For example, knowing that the ‘burner is not always active,’ its plants are designed with energy storage and ramp up and down operations in mind to accommodate for

diminished sunlight. It is paramount that CSP plants are able to respond quickly to changes to weather conditions and ramp up and down quickly to run as efficiently as possible, as well as to be constructed handle the stress that this imposes on the equipment. Understanding these principles has enabled the company to work with established industry partners across the globe to bring CSP to new areas. Recently, it completed an ambitious project in India with Godawari Green Energy and Lauren CCL Engineers Pvt. Ltd. Moving into the future Aalborg is committed to growing the company as well as continuing to develop the utilisation of renewable energy. One area it is keen to invest in is the development of molten salt power plants due to the relative ease of deployment and the effective storage solutions offered by the process. As the world begins to fully address the need for renewable energy in the future, Aalborg is ready to ensure that CSP energy is available to play its part in a wider energy solution.

Left Parabolic trough system for district heating in Thisted, Denmark

Aalborg CSP aalborg.csp.com

Services Concentrated solar power

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PV Drilling

service operates as a subsidiary of the Vietnam Oil and Gas Group and member of the International Association of Drilling Contractors. The company was formed with a clear desire to become the leading drilling contractor in the region as well as offering prestigious services to the global market. The company provides a wide range of services in oil and gas exploration and production activities but broadly speaking is able to divide its operations into two main areas. The first of these is the management and operation of onshore and offshore drilling rigs, which is an area that plays a vital role in yielding revenue and profit for the company. During 2012 PV Drilling gained over $300 million through the safe operation of its rigs as well as the chartering of three other jack-up rigs through strategic partners Transocean, ENSCO and Diamond Offshore to meet demand in the domestic market.

At present the company owns and operates a fleet of three jack-up rigs, one land rig operating in Algeria and one semi-submersible tender assist-drilling (TAD) rig. All of its rigs are the latest generation of their kind including its jackup rigs, which are Keppel Fels MOD V B Class models able to operate at 400ft water depth and capable of drilling at a depth of up to 30,000ft.

Its state-of-the-art semi-submersible TAD drilling rig is a Keppel Fels SSDT 3600E HP design with a max drill depth of 30,000ft while its land rig is of 2700 HP design and able to drill to a maximum depth of 18,000ft. With these assets PV Drilling currently occupies almost 50 per

cent of the drilling market in Vietnam and in the coming years is committed to adding several advanced jack-up rigs to its fleet, as well as an additional semi-submersible rig. The acquisition of further assets reflects an ongoing response to the rapidly moving market and the company’s intention to realise a strategy of expansion in the near future. Included within this strategy is the delivery of a new 400ft jack-up rig from Keppel Fels, which is due for completion in February 2015. The rig, named PV Drilling VI, will be furnished with the most advanced technology in its field and primarily serve the global market operating from Southeast Asia, the Middle East and the Gulf of Mexico.

Complimenting its offshore and onshore rig operations, a key second strand for PV Drilling is its ability to deliver both traditional and hightech well and drilling related services. These include, but are not limited to mechanical services, fabrication, tool rental, tubular running, well testing, mud logging, wireline logging, well completion, cementing and directional drilling. In conjunction with its fleet expansion operations, the further development of these services is a key priority for PV Drilling. To ensure that it is able to offer a comprehensive package of services the company is in close co-operation with its reputable partners worldwide to develop all-inclusive integrated solutions, which are unprecedented in Vietnam’s domestic market.

To help it pursue its goal of promoting its reputation as a leading contractor in the region,

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Expro’s mission is

WELL FLOW MANAGEMENT™ We provide services and products that measure, improve, control and process flow from high-value oil and gas wells, from exploration and appraisal through to mature field production optimisation and enhancement.

We provide a range of solutions across six areas of capability:

Exploration & Appraisal Testing Subsea Safety Systems Drilling & Completion Flowback & Clean-up Production Well Integrity & Intervention For further information on our operations in Asia, please contact our Bangkok Office on +662 620 1777 or email Nigel.Ashton@exprogroup.com or Kevin.McCartan@exprogroup.com

www.exprogroup.com

CELEBRATING 40 YEARS OF EXCELLENCE

dedicated management board who, along with the support of its parent business PetroVietnam, are able to expertly guide the company through challenging times.

PV Drilling enjoys a diverse customer base with which it seeks to maintain close professional relationships to encourage successful current and future business. The core of its business is divided between subsidiaries of PetroVietnam and well known global operators in the oil and gas industry. Subsidiaries of PetroVietnam include PVEP, PVEP POC, and Bien Dong POC, while some of PV Drilling’s global customers include Chevron, Gazprom, Petronas, Premier Oil, Salamander, Talisman, Idemitsu, Soco, Perenco, JX Nippon Oil, Sonatrach. To consolidate its relationships with all of its valuable clients, PV Drilling has implemented a customer relation management programme to ensure that it is able to match up to its customers’ expectations and respond to their requests in a timely fashion.

Moving into the future PV Drilling has a wealth of determination, proven track record of success and technical knowhow to carry it forward. The company offers an energetic outlook and is keen to demonstrate its talents to new customers as Pham Tien Dung explains: “We are building an image of PV Drilling as a young and dynamic drilling contractor, differentiating our corporation from competitors by optimising the operational cost and diversifying our scope of services. PV Drilling aims to define itself as a one-stop drilling services provider with unique bundled services that facilitate oil and gas operators in deploying their drilling campaigns by better synchronising workflows and reducing overlapped processes and procedures.”

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PV Drilling relies on a number of strengths that give the company the means to achieve its strategic vision. The skill and dedication of its workforce is of paramount importance to the company’s operations. According to PV Drilling’s president & CEO, Pham Tien Dung: “Starting the business with very limited resources, in both financial terms and in infrastructure, PV Drilling relied on nothing but the persistence and competence of its own initial staff. Today we have a staff of approximately 2000 and are proud to possess a crew of highly skilled engineers and experts at all functional and managerial levels.

Thanks to them, the rig fleet has been operated with excellent efficiencies, absolute safety and greatly appreciated by our clients.”

Likewise, the company’s fleet remains an integral ingredient in its ongoing success. Its advanced rig fleet is supported by reliable machinery and intelligent integrated control systems supplied by respected manufacturers such as NOV, Cameron, Hydril VAM Drilling, Siemens etc. The fleet is also put under a strict reliability-centered maintenance (RCM) programme to ensure the maximum performance and eliminate downtime. The overall aim of the company’s focus on the performance of its fleet is to maintain a market edge and offer a level of service that is unparalleled in the region.

Moreover, PV Drilling can rely on the support of a large number of strategic partnerships and joint ventures worldwide with renowned oil and gas companies including Baker Hughes, BJ, Expro, Marubeni Itochu and Oil States Industries. These joint ventures have allowed it to expand its scope of high-tech services, gain access to the latest advances in technology and absorb valuable experience allowing PV Drilling to further develop and refine the high level of service it is able to offer. Furthermore, the company has a firm financial foundation and a

PV Drilling

Expro Expro’s mission is well flow management. We provide services and products that measure, improve, control and process flow from high-value oil and gas wells, from exploration and appraisal through to mature field production optimisation and enhancement.

Our vision is to be the market leader in well flow management, using the industry’s best people, to deliver the highest standards of safety, quality and personalised customer service.

Expro’s 40 years of experience and innovative technology empowers the company to offer tailor-made solutions for its customers across the energy sector. With 5000 employees across 50 countries, Expro offers a truly global service solution.

PV Drilling pvdrilling.com.vn

Services Professional drilling solutions

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Hendrik Veder Group

Endless

Years of experience in offshore and marine Elcee Holland B.V. is a technical supplier and specialist in (heavy duty) bearings and lifting equipment. For more than 25 years Elcee is the A-supplier in safety in lifting, Elcee is the importer of Gunnebo Sweden.

Lifting equipment such as lifting chains, crane blocks and sheaves are daily used in the on-and offshore industry. For the bearing industry we develop among others spherical bearings, propeller and rudder shaft bearings, selflubricating bronze bearings and high alloy steel bearings, mainly used in joints, rudders, bridges and floodgates.

Below Large cable-laid sling in Rotterdam workshop

In September 2012 a single, market-orientated organisation was officially established. The creation of Hendrik Veder Group was the result of a merger between three companies; Hendrik Veder, RopeQuip and European Rope Services.

As a sole operator, Hendrik Veder entered the steel wire rope product industry in 1800. With an excellent reputation in the heavy offshore lifting industry it has been creating tailor made solutions for, amongst others, maritime services, lifting and the rigging industry ever since.

European Oil and Gas Magazine spoke with Hans Struijk, sales director within the group: “Having registered as a one company organisation, we chose to operate under two names,” he explained. The group’s interests in the energy market would be managed by the historically established Hendrik Veder name, and the supply to the wholesale market would be through RopeQuip. “By using two trade

names we are able to keep a clear identity within the markets.

“We have an enormous production and good distribution capacity. Geographically we limit ourselves to the European market as we have a fair share in many different applications. To service these areas we have satellite sales offices in France, Germany, Poland, Scotland, and England,” he continued.

Adding to its portfolio, in April 2013 the group purchased the G. van der Lee rope factory.

Explaining the fundamental beliefs, Hans said: “We believe in craftsmanship, and its history. The new acquisition exists with a strong background that compliments our principles. It has a very old factory, and it’s a very old company.” Van der Lee was established in the 16th century and remained within the family, making it the longest family-owned business in the Netherlands. “We foresee a great future for the company within our group. It provides us with a lot of knowledge and production capacity in the field of high performance fibre ropes which can be used in our operations. It is the main, and the last, such operating facility in the Netherlands, and to our European clients it is of great importance that from a product liability and responsibility perspective we are not just a trader but also a manufacturer ourselves,” he confirmed.

Reviewing the European market Hans assessed the financial goals: “We have an interest and strategy to grow our business and our footprint within the European market. Today the

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Hendrik Veder Group

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It is the main, and the last, such operating facility in the Netherlands, and to our European clients it is of great importance that from a product liability and responsibility perspective we are not just a trader but also a manufacturer ourselves

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business has a turnover of 62 million euros and we will grow our business over the next three years to a 100 million euros turnover. We are driven to remain as one of the top three players servicing our clients.”

To develop in this way the company is focused on its clients. Hans addressed this vision: “We can make a difference in providing a quality of services to our customers by securing availability and a high level of craftsmanship. We believe that this has been underestimated for a long time in the industry. Today, many people forget that modern equipment must be produced, handled, and assembled by knowledgeable skilled people.

We believe that by keeping control of that aspect our business will grow securely.

“Being a main player, we have a good understanding of the areas we supply. Energy is a market where we must follow our customers both in size as well as in the type of products, and the level of quality required. As our top clients are moving towards geographical areas like the arctic and extreme deepwater, which are not easily serviced, there is an increased demand for the highest level of quality of materials, and it is our goal to service them, if necessary on the locations where they operate. So we follow our customers and we need to be prepared with the highest level of equipment,” he adds.

As a manufacturer for heavy industry the group faces pressures on its flexibility, and seeks continuous improvement in its product scope.

“We have a natural method of developing sophisticated solutions. We look at the demand and by remaining in continuous contact with

our clients we are able to supply the correct products. If we are unable to provide the solution ourselves we will source from other companies. It is that level of understanding that sees us achieve results,” explained Hans.

Hendrik Veder Group was at Europort 2013 in November. This is the latest in a series of exhibitions it has attended. Hans spoke of this aspect of sales targeting: “It’s our continuous strategy to present ourselves in exhibitions around Europe, and we are already planning a presence at a further nine over the next 12 months. We do not just present ourselves as a provider of certain products or services. With our direct communication with clients we are selling a truly one-stop-shop service for the lifting and mooring industry. Our high-profile clients are looking for somebody who can supply a project and remain as a partner providing servicing, as well as assisting in initiating solutions for projects.”

Shortly it will be announced that Hendrik Veder Group has established a new strategic partnership in Scandinavia, further enhancing its growing resources. Looking forward Hans commented: “You can’t do everything from a distance. You must have a capacity to be closer to the customers. That means that geographically we must be looking for opportunities. As a result we have an add-on strategy. We will be growing our business in the European market by organic growth as well as purchasing businesses. We all know that turnover costs money and you must plan where you want to go, and you must be sure that you can handle the additional business.”

Above Endless cable-laid slings up to 304 mm (12”) diameter

De Haan SE The solid brand since 1898 The Dutch company De Haan Special Equipment BV designs, manufactures, tests and delivers lifting blocks and steel wire rope sockets for many worldwide manufacturers. The company’s ties to the Netherlands dates back to 1898, as De Haan started as a natural rope manufacturer and then grew to be one of the world’s top three suppliers in special equipment. De Haan’s products nowadays are predominantly used in the offshore industry and in large building projects, such as the construction of windmills and mooring systems. The company’s target group for lifting blocks includes manufacturers of port, ship, factory and mobile cranes.

Hendrik Veder Group hendrikvedergroup.com

Services Steel wire and fibre rope solutions, products and services

PROFILE

Oilgear Towler

Global

Since it was founded in 1921 Oilgear has earned a reputation as a trailblazing contributor of hydraulic/electric systems and equipment within the oil and gas sector and beyond. The Towler brand (Est, 1935) was added to the business when the Oilgear Company of Milwaukee acquired Towler Hydraulics during 1985. Since then the company has continued to grow and diversify into new markets to become a truly global provider of engineered hydraulic solutions.

In 2008 Oilgear acquired Olmsted Products, a world leader in high flow/high pressure valves and in 2009 it added Clover Industries, a designer and manufacturer of integrated cylinder systems, both complimentary to the original Oilgear value proposition.

Today Oilgear employs 750 people worldwide, including fully-integrated production, service and training facilities throughout Europe, the Americas, Asia Pacific and the Middle East, each with a mission to serve customers as “One Oilgear”. While high-performance hydraulic power solutions have been central to the company’s business since 1921, Oilgear’s partnership with the oil and gas industry began

in 1957 when Bethlehem Steel commissioned Oilgear to design and build the hydraulic drive and control systems required for the jacking system used on its ‘Mr. Gus II’ and other similar jack-up rigs. Owing to the robust design and production of the Bethlehem rigs, many of them remain in operation today with the original Oilgear Petrodyne system still providing a reliable service.

Oilgear understands the need for reliable equipment that can withstand the harsh conditions found in many of its niche markets. Its products have earned a reputation for quality and durability in challenging applications throughout the oil and gas, marine, military, metals and civil markets. Within the oil and gas sector Oilgear’s experience includes high-performance hydraulic technology for jack-up systems, sea floor breakthrough detection and control, platform leveling, deep sea mooring, rig tensioning, antirecoil systems, mast rising and land based rig walking systems. Oilgear Towler believes many more of its designs transfer easily to the offshore oil and gas sector, highlighting its proven range of high pressure valves and piston pumps that operate up to 1000 bar, its marine winch, steering

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Within the oil and gas sector Oilgear’s experience includes high-performance hydraulic technology for jack-up systems, sea floor breakthrough detection and control, platform leveling, deep sea mooring, rig tensioning, antirecoil systems, mast rising and land based rig walking systems

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and propulsion systems and its patented ‘Transfer Barrier’ technology that is currently used in highpressure variable flow applications and offers great potential within oil and gas for extreme pressure injection, mud/slurry and dirty water pumping and hydraulic fracturing.

This Oilgear technology represents an engineering breakthrough that out performs existing less efficient alternatives. “We can leverage the engineering capability and global footprint of the Oilgear Group with additional Towler products and systems to create solutions and product offerings unlike any other company in the world,” observes managing director Kieran Doyle. “We are excited about oil and gas and believe Oilgear will play a much broader role in this market moving forward.”

Oilgear global holdings are divided into several divisions that deliver products and services across the world. In addition to regionalised branches of the Oilgear name, such as Oilgear China Co. Ltd, the company also

incorporates the Clover Industries and Olmsted Products brands. Clover is a highly experienced designer of robust hydraulic cylinders and integrated cylinder systems with inclusive tensioner systems. Based in the US, Clover is also able to offer a number of manufacturing strengths including state-of-the-art CNC and multiple-axis high-speed machining centers, manual and automated welding equipment, multiple medium and large CNC lathes, heavy duty material handling capabilities and paint booths equipped to handle an unlimited variety of exterior finishes. Clover provides solutions for a range of end user applications including land based oil and gas rigs, where it offers mast raising and rig walking solutions. Its unique Clover Walker Rig System comprises specially designed hydraulic shoes driven by AC power that are built directly onto the rig to become part of it’s overall structure. Clover’s extensive testing capabilities allow it to test cylinders up to 30 inches in diameter with lengths up to 64

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Bank Bottom Engineering Services Bank Bottom Engineering Services was established in 1952 and is regarded as the leading specialist in sub-contract machining for the mining, earth moving, rail, defence and energy focused businesses.

Our services include Edgecam computer aided design, horizontal and vertical machining, temperature controlled inspection department, Lloyds accreditation and can handle up to three tonnes.

We are proud to be a major supplier to Oilgear Towler and look forward to many more years of our successful business partnership.

feet and pressures of up to 20,000 psi. Its testing facility allows it to deliver world-class hydraulic cylinders, accumulators and intensifiers. Clover Industries operates a strict material traceability programme to ensure its welders and welding procedures are all certified. The division takes great pride in its ISO 9001:2008 and ASME certification and reliability Olmsted Products is also based in the US with facilities in Traverse City, MI and is an industry leader in valve technology for offshore motion compensation. The division specialises in high flow, high-pressure hydraulic valve solutions, which have applications in many complex offshore areas including subsea jacking and tensioning systems. Its range of hose rupture valves for hydraulic and pneumatic hose systems are designed to offer protection against discharge and hose whipping during major hose failures. Valves are available for hose sizes of two inches and larger and have a pressure compensated flow shut-off rate where the shutoff rate is relatively unaffected by change in air density due to pressure change. These valves have a nearly instantaneous closure speed, require no external electrical pilot signal, are available in inline or 90Deg body configurations and are DNV and ABS approved. With 40 years of experience in fluid dynamics and

multi-physics simulation and a unique testing facility capable of testing flow rates in excess of 80,000 lpm, Olmsted is able to offer its clients valve solutions at exceptionally high standards including a range of high pressure ball valves designed for subsea environments and a line of velocity fuse valves to protect against excessive flow through hydraulic systems.

Oilgear’s global presence in hydraulic valve technology extends beyond the design and manufacture of its valves and other products; it also offers lifetime support for its customers’ systems and is dedicated to keeping this equipment running as efficiently as possible. Its aftermarket services cover all areas of assistance including service, repair, retrofits, upgrades and training. Oilgear operates a customer support centre that is staffed by trained professionals who are on hand to answer customers’ questions and to arrange repair returns, process parts orders and schedule field servicing, meaning that its clients can rely on expert support at all times.

Furthermore, the company’s global coverage allows it to remain close to its customers and provide target services, as Kieran explains: “The Oilgear geographical foot print provides our customers with peace of mind and security in the knowledge that our worldwide coverage

underpinned by a philosophy of ‘right first time manufacture, on time delivery and listening to our customers’. With this culture and its wealth of experience and global support driving it forward, Oilgear is confident that it will maintain its vision of being the first choice for customers seeking hydraulic solutions to demanding worldwide applications.

Oilgear Towler oilgear.com

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includes servicing and training facilities in 50 countries around the world. Oilgear’s capacity to design, engineer, manufacture, test and install electro-hydraulic specific solutions to the complete satisfaction of our clients provides the reassurance they need when placing high value capital equipment orders. Essentially, Oilgear reduces its customers’ risk.

“Our business evolves out of a customer need for a quality, reliable hydraulic solution,” Kieran elaborates. “For example, National Oilwell Varco (NOV) designed an Ideal Prime Rig to handle the harsh conditions of the desert environment using Oilgear pumps in its hydraulic power units (HPUs). However, Oilgear’s business is generated from a broad range of sectors; notably we are very proud to have Oilgear equipment included on the CNV-78 USS Gerald R Ford Aircraft Carrier.”

As 2014 approaches, Oilgear is committed to expanding its technical innovation to deliver improved solutions to new and existing markets. Its focus on continued innovation is

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PROFILE

Oceaneering International

Extensive

work class systems, and 8000m rated UltraDeepwater systems.

What's more, Oceaneering has developed the best ROV labour force in the industry through continuous investment in its employees. The company has had an ROV Training Program in place since 1995 and has a budget of over $10 million per year for ROV operations and maintenance training.

The range of ROV systems and technologies available is very extensive, including for example the Millennium Plus ROV, the Maxximum ROV, the Spectrum ROVE and the Sea Maxx Satellite ROV. A machine from another member of this family, the Magnum ROV, recently set a new ROV ultra deepwater drill support depth record offshore of India. The Magnum ROV is a side entry cage deployed, dual manipulator 170hp heavy work class ROV. The cage or Tether Management System (TMS) supplies an additional 85hp, is capable of powering skids and also has thruster control and auto heading. The Magnum ROV evolved from years of experience in deepwater work class ROV operations. The ROV delivers performance in water depths to 10,000 fsw and also in severe weather conditions.

The specific vehicle that broke the record mentioned previously was a Magnum Plus work class ROV working at 10,385 feet water depth (3165 metres). The Magnum 169 is supporting drilling operations onboard rig Dhirubhai Deepwater KG1 (DDKG1) for ONGC and has been in service since the third quarter of 2009.

The ROV is a 4000 metre rated system that has logged over 8309 hours and 961 total dives [at time of writing].

The previous 2011 record of operating at 10,194 feet (3107 metres) water depth was also

European oil & gas

Established in 1964

, Oceaneering has developed from an air and mixed gas diving business in the Gulf of Mexico (GOM) to a diversified, sophisticated applied technology organisation that has operations around the globe. The company has achieved this expansion by undertaking a strategy of internal research and development augmented by tactical acquisitions.

After almost five decades in business, today Oceaneering is a global oilfield provider of engineered services and products, chiefly working with the offshore oil and gas industry, and focusing on deepwater applications. In addition, through the use of its applied technology expertise, Oceaneering also works with the defence, entertainment, and aerospace sectors.

For the quarter ended September 30, 2013, Oceaneering earned net income of $104 million on revenue of $853 million, while employing approximately 10,900 people in 25 countries.

The company serves its oilfield customers through the trade names of Oceaneering International, Oceaneering Intervention Engineering, Oceaneering Umbilical Solutions, Oceaneering Grayloc, Oceaneering Rotator, and Oceaneering Asset Integrity. In addition, its Advanced Technologies Group, which includes Oceaneering Technologies and Oceaneering Space Systems, serves customers outside the petroleum and gas industry.

When it comes to remotely operated vehicles (ROVs), Oceaneering is the world’s largest work class ROV operator and the leading provider of ROVs to the oil and gas industry. It employs over 285 work class ROV systems and more than 2000 ROV offshore personnel worldwide.

In addition, it is also the world’s largest manufacturer of ROV systems. The company’s ROV fleet includes 2500-3000m rated work class systems, 4000m rated Millennium

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INNOVATIVE

LOGISTICS FOR YOUR OIL & GAS PROJECTS Shore Base Management Bespoke Re-Supply Logistics Petro Maritime Logistics Turnkey EPCM solutions Custom made WMS/TMS/T&T system Consultancy Road and Marine Surveys Global Oil & Gas Hubs

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Indeed, as recently as October 1st 2013 Oceaneering International announced it has commissioned the construction of a subsea support vessel from BAE Systems. Expected delivery of this vessel is by the end of the first quarter of 2016.

The vessel will be used to augment Oceaneering’s ability to provide subsea intervention services in the ultra-deep waters of the US GOM. M. Kevin McEvoy, president and chief executive officer, stated: “Deepwater drilling rig use in the GOM is currently at a historically high level of 40 rigs, and recent industry market reports have forecast that it may grow to as many as 60 rigs by the end of 2015. Our vessel will be equipped to perform increasingly complex deepwater field development installation work and life-of-field IMR projects resulting from the increased drilling activity. In particular, this vessel will have a crane that is capable of handling lifts 100-tons greater than any of the vessels we currently operate. This will increase our capability to meet our customers’ demand to safely handle heavier subsea payloads in deeper water depths.”

It is clear that Oceaneering’s ROV expertise is remarkable, and its equipment is supported by a variety of technologies including 3D high definition ROV video, the Atlas Hybrid Manipulator, heavy weather deployment launch and recovery system and ROV tooling packages Oceaneering International oceaneering.com

Services Engineered products and services for offshore oil and gas

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set in India by Oceaneering Millennium 77 while working onboard rig Dhirubhai Deepwater KG2 (DDKG2) for Reliance Industries Limited (RIL).

Another interesting project in which Oceaneering’s ROV technology plays an important role is at NASA’s Neutral Buoyancy Laboratory (NBL) near Houston. The human spaceflight industry has used neutral buoyancy underwater testing for years to simulate and practice mission critical tasks. This testing capability is now commercially available at NBL and an Oceaneering Millennium Plus Work Class ROV has been installed at the facility for these commercial testing operations.

It is clear that Oceaneering’s ROV expertise is remarkable, and its equipment is supported by a variety of technologies including 3D high definition ROV video, the Atlas Hybrid Manipulator, heavy weather deployment launch and recovery system and ROV tooling packages.

Nevertheless, this very comprehensive ROV offer is only one branch of the company’s activities; Oceaneering’s offering also covers subsea products, subsea projects, asset integrity and advanced technologies.

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Commercialising

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innovation

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Below Andrew Peters, divisional director, Siemens

turns over 75 billion euros supplying technology to many sectors. In the UK Siemens has had a presence for over 170 years and invests significant amounts of money into its UK operations.

Today the Industry Automation and Drive Technologies (IA&DT) division has integrated itself deep into the oil and gas field; with the development of electronic solutions replacing outdated hydraulic methods. European Oil and Gas spoke to divisional director Andrew Peters about the impact it is making on the industry: “We have to be sure that the electric control solutions we provide are robust and reliable.

The operatives within the industry are used to the operations with hydraulics and if something goes wrong, they know how to fix it. So we need to be sure that our remote diagnostic and training is of a very high standard but the value gained in the transition from hydraulic to electric far outweighs the challenge so we are working in that direction.”

Siemens supplies its large drive motors to a number of international companies, but also has a broad spectrum of customers who rely on its products. Subsea 7 and Divex vessels are operating throughout the oil and gas industry using Siemens technology. Its integrated drive system is also supplied to other industries. Faced with the task of incorporating new technology into the industry it has established SITRAIN, a training centre in Manchester running courses that provide learning solutions for the complete spectrum of automation requirements. “We see a lot of oil and gas companies at our facility every year. We provide them with in-depth training about our products and technologies and this is

really valuable for the industry,” explains Andrew.

Looking towards the future of manufacturing in the UK, Siemens is involved in the Government Catapult Programme, focused at bringing industry and academia together. The technology and innovation centres are where the very best of the UK’s businesses, scientists and engineers can work with one another on research and development (R&D) transforming innovative ideas into products and services.

Recognising the importance of commercialising innovation, the aim is to adopt, develop and exploit innovative products and technologies to accelerate economic growth.

Alongside developing products, Andrew highlights Siemens’ strategy towards bringing talent into the industry: “We are part of the E3 power academy offering sponsorship to undergraduate students studying electrical (energy) engineering at universities.

Manufacturing is demanding around 7500 graduates each year, but only 2000 are coming through.” It is not just graduates that the company is looking to. Siemens has a history of development through its ranks explains Andrew: “We have our own apprenticeship scheme, and we are also looking to younger generations to support the sector.”

Following the birth of the University Technical College programme Siemens is involved in helping to customise courses at centres in Walsall, Wigan and Sheffield to equip students aged 14-16 with the technical knowledge to support a future career. Shedding light on this Andrew says: “The pupils are coming out from school vocationally trained and competent, with significant exposure to the high value manufacturing industry. We

Siemens Industry Automation and Drive Technologies

in development and construction. Siemens drive technology is also being implemented on wind farms in the Hornsea zone off the UK’s Yorkshire coast. “There is a development of hydropower in Scotland and research is going into its development, so we are ensuring we stay aware of these developments,” says Andrew.

“The companies that we work with in the oil and gas industry all have the capacity to branch into the renewable sectors. However, their focus for the next period is predominately on oil and gas and can help this market become more energy efficient and improve too,” he continues.

Siemens is currently working on an important project with Maritime Developments Ltd supplying tensioning and winching equipment for Subsea 7 projects throughout the world.

Summarising Andrew says: “The challenge for the UK is deciding on what steps to take and when. We are faced with rising energy bills, and inevitably fuels will run out, so the move to renewable energies will have to be undertaken at some point and our equipment is ready for it.”

RINGSPANN RINGSPANN is at the forefront of mechanical transmission technology, innovation and design, and it is this that is helping Siemens’ engineers integrate backstops, freewheels, brakes and shaft couplings into new designs for the oil and gas industry.

With a portfolio consisting of freewheels, brakes, cone clamps and torque limiters, RINGSPANN can offer a standard product or a purpose designed solution no matter what your application or your requirements.

Siemens Industry Automation and Drive Technologies siemens.co.uk

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are working to overcome the misconception that manufacturing is a dirty industry and we are bringing in new talent.”

Focusing on the current climate Andrew indicates the future looks good: “The oil and gas industry has been very buoyant in the last 18 months and manufacturing in the UK is doing quite well. The UK is currently at the point where businesses are upgrading equipment to ensure they continue to offer their customers reliability. It is important that we understand the customers’ needs and work back to develop a solution that adds value.”

By working with partners Andrew sees positive opportunities developing: “Of course fossil fuels have a finite life, and we are witnessing a rebalancing towards renewables.”

Siemens has been engaged in the UK renewables market from the early stages and its portfolio includes products and services for major wind farm developments, including the world’s largest, recently commissioned London Array Offshore Wind Farm, as well as major projects

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Hycrome (Europe) Ltd was founded in 1947 from a long established family engineering business that had manufactured components for the loom and textile industry.

The company’s first main development was in 1951 when a hard chrome plating facility was introduced, complimenting its manufacturing facilities. The business built up its expertise and became a specialist applicator of chrome, nickel, zinc, cadmium, gold and silver, although it no longer actively carries out zinc, cadmium, gold or silver lining.

Progressing into the 1950s and 1960s Hycrome became involved in aerospace repairs and coating requirements, introducing grinding for post coating machining. In the 1970s and 1980s the business began its involvement in oil and gas valve component upgrades and repairs. In 1990 Hycrome became a wholly owned subsidiary of Score Group plc, which had been a user of its products. Score Group, set on developing the business and determined to offer the industry something different, invested money in the midst of quite an aggressive approach to its success.

Score Group put substantial financial investment and time into the company and continues to do so each year.

In 1997 Hycrome relocated to a purpose built 63,000 sq/ft facility in Burnley that housed a full

valve repair and maintenance operation.

Being heavily involved in the oil and gas industry, Score was aware that many of the platforms were reliant on additional power from gas turbine engines. With the financial backing and the relocation, the business started looking at overhauling, manufacturing and upgrading gas turbine parts for the power generation sector.

“We wanted to offer more than just service and repair to valves that require maintenance every six to 12 months. With the upgrades we offer, the longevity of the valves’ performance may be increased to 18 to 24 months,” explains business development manager Paul Sconce.

“The solutions and services on offer, allow long term cost savings, increased product performance and rapid turnarounds. We are reacting to what the industry needs,” he adds.

The coatings offered by Hycrome are applied by an array of methods and materials, offering advanced thermal coatings and the latest repair methods. The applications are used on products such as ball valves, mechanical seals, shafts and pistons amongst many others. Many of the coatings and application services on offer are used to reduce friction, enhance the wear resistance or increase the corrosion resistance of the product within its environment.

Reflecting on the growth into this area Paul says: “The services that we offer cover many industries but by 2003 we really focussed on oil and gas, power generation and aerospace. In the past ten years we have significantly grown

invest in our people.”

An additional 10,000 sq/ft extension to the facility is due to be completed by March 2014, and the business is set to grow physically and meet the demands of expanding within the industry.

Having reached the end of its financial year, the company has been in a position to review the strategic approach. Paul discusses: “Last year we focussed on growing within the client base that we had. Naturally, from a sales role, we did take on a few new contracts and clients that is as a result of the growing demands of the industry.

We have spent time on skills and training to provide our customers with the full support of quality, delivery and cost.”

He concludes: “Looking towards the next year, we are looking to grow what we have got.

Over the last two years we have established eight new customers based nationally around Europe and we are making sure that we are well positioned to service their needs. Quality and integrity are two key factors in business, so it pays to be selective with the contracts you take on.”

Many of the coatings and application services on offer are used to reduce friction, enhance the wear resistance or increase the corrosion resistance of the product within its environment Hycrome (Europe) Ltd hycrome.com

Services Engineering and surface treatment specialists

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the business in all three of these areas. We are no longer just a service provider; we also offer engineering support, manufacture and create new business through repair schemes for the oil and gas industry and power generation.

“We are here to ensure that brand new parts benefit from longevity of life, and old parts are repaired and brought back to the original standard or to the next level. By taking a proactive and innovative approach we are able to generate repair schemes that suit the needs of the industry. Some of the repairs we have been looking at are for products that have been subjected to erosive chemical reactions.”

The company recently achieved second place in the Burnly Business Awards’ innovation awards, recognised for its technological investment in thermal coatings, laser fusion welding and general repairs where coating principles apply.

Hycrome has refined its chemical usage, reduced utility spend despite price increases, developed repair schemes and products to increase efficiencies throughout its industry sectors, and most importantly, introduced green initiatives within the business. Tartaric Sulphuric acid anodise had been introduced as a cleaner and environmentally friendly alternative to chromic acid anodise as an aluminium surface treatment. ISO 14001 environmental management has been established for many years along with other industry known accreditations such as NADCAP. In the economic crash, as with many operations, the company had to cut back but since recovery began has made a gradual increase in employment and turnover, and Paul is looking optimistically to 2014: “We could be exceeding eight and a half million pounds next year with orders from our current customer base, so year-on-year we are looking at a ten per cent growth.”

The business is also focussed on the safeguarding of apprenticeships and jobs at Hycrome. Expanding on his confidence Paul says: “Each year we take on four to five apprentices. They do not necessarily have to be school leavers either. Our focus over the past four years has been to generate the skills level in Hycrome. Employees are moving through to supervisory and management roles, and we equip those who want to progress with the resources to complete further courses and degrees. It is in the interest of the business to develop knowledge and it is recognised that we

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The pressing In 2001 Trelleborg Singapore Pte Ltd was incorporated into the Trelleborg Group through the acquisition of Hercules Rubber and Chemical Industries Pte Ltd (established in 1967) and its associated companies. Today the company operates as part of the engineering systems division within the group.

As a world leader in engineered innovative elastomeric solutions Trelleborg Singapore is focused on providing infrastructure,

construction and oil and gas industries with solutions that seal, damp and protect critical applications in demanding environments, accelerating the performance for its customers in a sustainable way.

Its primary designed and manufactured engineered elastomeric products are distributed for use in offshore projects in over 60 countries worldwide. Through its extended footprint the company has established many customers within the EPCI sector including three major Korean shipyards. With the majority of its clients within the Asia-Pacific region, the business has recently expanded into China, Europe and the US. Trelleborg has a team of qualified design engineers and chemists within the research and development (R&D) department in Singapore producing state-of-the-art rubber compound formulations for new and existing products.

Quality control inspectors within the company oversee rigorous physical property tests on the rubber. Trelleborg aims to maintain the standard that its customers and the industry have become reliant on, and to maintain its production at an optimum cost.

Managing director of Trelleborg Singapore, Julian Wee highlights what the company brings to the oil and gas industry: “We specialise in applications for topsides, down to jacket structures, pipelines and floating production, storage offloading (FPSO) and FLNG. Additionally we have expertise in corrosion protection coatings, fire protection, load transfer products and high performance seals. We have a range of very good solutions to meet customer needs and we are able to offer them at a fast speed. Moving our fender business to China was a strategic decision that is more efficient for the group.�

The company operates closely with its clients, supporting them with its engineering knowledge to produce solutions that meet their needs. The efficient working relationship has been a key factor in the expansion of its product range.

The suite of products includes Leg Mating Units (LMU) that are used in the float-over processes. The LMUs consist of a steel structure incorporating rubber elements to achieve a specified spring rate.

Three years ago in 2010 Trelleborg Singapore installed the world’s largest testpress for elastomeric components testing. The investment represented a major step forward in the development of its offshore business and in particular in supporting and securing float-

Trelleborg Singapore Pte

over projects. Julian explains: “The gigantic test-press has been engineered, procured, constructed and installed by our team in Singapore. The press will be used primarily for LMU and Deck Support Unit (DSU) product testing. It can also be utilised for other high capacity load transfer products like FPSO/ FLNG module support bearings and seismic products.” The robust structure constructed with extra high tensile steels of outstanding yield strength has a load capacity of 18,300 MT and itself weighs 600 tonnes.

With its fabrication facility and test press located in Singapore the manufacture and testing of products can be completed in a shorter time frame without relying on a third party. The groundbreaking equipment was inaugurated into the business as a result of increased market demand, with the sizes of topsides on production platforms varying from less than 1000 tonnes to in excess of 40,000 tonnes. The facility enables Trelleborg Singapore to test LMU and DSU units in-house to design factored loads. Julian continues: “The high capacity equipment allows us to perform full-scale testing and it’s proving to be a very good investment, for us and for our customers.”

The robust structure constructed with extra high tensile steels of outstanding yield strength has a load capacity of 18,300 MT and itself weighs 600 tonnes

Trelleborg Singapore Pte Ltd trelleborg.com/en/Hercules

Services Designs and produces engineered elastomeric solutions that seal, damp and protect applications

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Enhancing the highly engineered range of products, Trelleborg Singapore recognises that the safety and protection of both people and the environment is essential in the development of its solutions. It is by abiding to its own carefully developed strategies that the company remains active in the market.

As recovery from the backlash of the economic crash continues there is substantial growth ahead and Trelleborg Singapore recognises the advantage of being based locally within the region. Shedding light on recent activity Julian says: “We have had several projects secured. We have been quite successful in developing within the floating liquefied natural gas (FLNG) market.” FLNG is a cost-effective and flexible solution for commercialising new gas discoveries in deepwater locations. He concludes: “We believe this is a market that will be expanding quite strongly in the coming years. Business has been quite positive and we are looking forward to 2014 and beyond.”

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solutions Fast- track

Dutch manufacturer BSM Valves

is one of the world’s most integral fast-track producers of specialist tailor-made valves for a range of industries such as oil and gas, chemical, petrochemical, nuclear and power. “We started with the valve part of the business 11 years ago and are now the biggest company in the world in terms of tailor-made specialty valves. To increase efficiency we have built a new facility where everything can be done in one place; this is much more economical and operational,” explains Govert Coers, marketing director at BSM Valves.

Established more than 20 years ago, the company has enjoyed significant growth due to its short delivery times and modern, fast and efficient manufacturing processes. Originally a trading firm for flanges and fittings from special alloys, BSM Valves set up its own machine shop approximately 15 years ago; from there the company began producing valves and valve components for the oil and gas industry.

With production doubling over the last three years, the company’s brand new production site will enable it to continue supplying its

tailor-made solutions worldwide, as Govert elaborates further: “Oil and gas is our biggest market; working globally, we supply mainly to international firms and see growth opportunities in Brazil, Russia, India and China (BRIC) as well as existing locations such as Australia and the North Sea.” Producing valves in sizes from a ¼ inch up to 18 inches, in pressure ratings of 150 pounds up to API 10,000, BSM Valves utilises state-ofthe-art equipment to guarantee the best possible quality and the shortest delivery times. Current products that the company manufactures at its in-house production facility includes ball valves, gate valves, globe valves, through conduit, check valves, needle valves, specialty fittings, strainers and flanges.

Equipped with the latest production technologies, BSM Valves’ manufacturing facility ensures short lead times and unrivalled quality.

All valve parts are produced from scratch, using bars and forging materials, which enables BSM Valves to increase production speed while maintaining the best possible quality standards.

Manufactured to withstand temperatures from minus 196 degrees Celsius to 550 degrees Celsius, its valves are suitable for a diverse range of applications. Once the parts are manufactured, the valves are assembled by highly experienced personnel before they are tested extensively in the company’s in-house testing department.

With a strong reputation for high quality products, BSM Valves makes every single valve from scratch before thoroughly checking they are fit for purpose; this greatly reduces turnaround and gives the company the opportunity to increase efficiency in its research and development (R&D) efforts. Core tests include cryogenic testing, high pressure gas testing, mechanical endurance testing and helium sniffer testing.

Defined in the industry for its short delivery times, Govert emphasises the importance of BSM Valves having all of its services under one roof: “All of our products are designed to the latest standards while also meeting the specific requirements of our clients; we are a kind of doctor, people come to us with a problem and we deliver a solution to them in six weeks. If companies went to a standard manufacturer they may have to wait up to 30 weeks, so our delivery time is a major strength. On top of our modern production facility we have a very large R&D department, which is necessary for us to get the designs into the factory in a short timeframe to

has also developed internal training and an education programme for its staff; this is also available to third parties and other firms. “We don’t have many valve plants in places like Italy or the UK so we deliver training to new and experienced staff to ensure we have the expertise available for our 20-30 per cent year-on-year growth,” explains Govert.

As the oil and gas industry continues to evolve, BSM Valves has the knowledge and skills to develop its products to continue providing solutions to customers, as Govert concludes: “Companies are now getting oil from increasingly deep seas and we are seeing more and more requests for valves being used at 10,000 to 15,000 psi. Because of this, valves need to be made out of special materials due to problems such as corrosion, abrasion, temperature and pressure; we try to keep our position as a pioneer by using the latest software and IT analysis software, which gives us the feeling that the market will develop positively for us in the future.”

Producing valves in sizes from a ¼ inch up to 18 inches, in pressure ratings of 150 pounds up to API 10,000, BSM Valves utilises stateof-the-art equipment to guarantee the best possible quality and the shortest delivery times

BSM Valves BV bsmvalves.com/en

Services Manufacturer of tailor-made valves

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guarantee the requested delivery time. To work in these time limits you have to be organised like in the military.”

Viewing R&D as a key part of the manufacturing process, the Breda based firm prides itself on its ability to deliver modern and effective design solutions. Always looking for ways to solve new challenges, BSM Valves boasts a highly-experience team of technical staff and engineers that are all experts in their fields of design, welding and testing, materials selection or customer service. “We have the best skilled and experienced people working in our office, which means when customers come to us with a problem and need an immediate answer we can deliver that answer and analyse the best way to provide a solution. We have knowledge available in-house, which is why people come to us from all over the world; because of time differences around the world, our staff will take work home to find a solution and work out a quotation that night,” highlights Govert.

To further guarantee effectiveness, BSM Valves

BSM Valves

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partner European oil & gas

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Below Yimothy M. Elliott, president and chief executive officer at Serinus Energy

in European Oil and Gas Magazine during August 2011 Serinus Energy has evolved significantly.

During the past two years the exploration and production company has increased its production and reserves in Ukraine, acquired Winstar Resources and as a result changed its name from Kulczyk Oil Ventures, and listed its shares on the Toronto Stock Exchange. Production has also increased to in excess of 5150 boepd with 2P reserves increasing to 20.06 MMboe and 3P reserves to more than 40 MMboe.

The company’s main shareholder is Kulczyk Investments S.A. an international investment house founded by Polish businessman Dr. Jan Kulczyk. The investment house first invested in Serinus during 2007 when it was known as Loon Energy. Today Serinus operates assets in Romania, Tunisia, Brunei and the Ukraine.

“The last two years were probably the busiest time in the history of the company,” says Timothy M. Elliott, president and chief executive officer. “The single most important event during this time was the acquisition of Winstar Resources, the Canadian exploration and production company. This not only resulted in Serinus listing on the Toronto stock exchange

but also resulted in a major increase in assets, production and reserves.” The acquisition of Winstar was valued at approximately $110 million dollars and represents a major milestone in the company’s history. Complimenting the boost in assets resulting from the acquisition, Serinus has invested in the development of its production and exploration activities within its traditional locations.

With a geographically diverse portfolio and a production base that is balanced between principally oil production in Tunisia and principally gas production in Ukraine, combined with exploration upside within its existing asset base, Serinus is poised for continued organic growth. Today the company holds 13 operated licenses across five countries.

Within the Ukraine Serinus holds a 70 per cent stake in KUB-Gas LLC, which it acquired in June 2010. Since its acquisition of KUBGas gross production has increased from less than five mmscf/d to over 30 mmscf/d and several hundred barrels per day of condensate.

As a result it is now one of the country’s largest private gas producers. Between 2012 and 2013 six wells have been made ready for commercial production on the

As the business moves into 2014 it plans to take advantage of discoveries resulting from its exploration activities and its continued co-operation with the EBRD to drive further growth during the coming years. “We are very happy to co-operate with the EBRD for the second time,” says Timothy. “The bank will be providing up to $60 million in long-term financing for development of the company’s Tunisian oil fields. Thanks to the previous loan the company’s operations in Ukraine are selffinancing and the whole company is quickly and steadily growing. We believe that the scenario will be repeated with our Tunisian assets.”

With such high levels of activity in a geographically diverse set of regions, Serinus remains an energetic and successful operator within the oil and gas sector. Its strategy of balancing production and exploration has proven effective enough to attract the support of lenders and working partners alike giving the company impressive momentum and support as it heads into 2014 and beyond.

With such high levels of activity in a geographically diverse set of regions, Serinus remains an energetic and successful operator within the oil and gas sector

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Olgovskoye licence and a further three on the Makeevskoye licence, resulting in an increase in returns for the company.

As a result of its purchase of Winstar, Serinus acquired assets in Tunisia where it owns 100 per cent of the country’s Chouech Essaida, Ech Chouech, Sanrhar and Zinna concessions and a 45 per cent working interest in the Sabria concession. The other 55 per cent is currently operated by Entreprise Tunisienne d'Activités Pétrolières (ETAP). The company believes that Tunisia represents an opportunity similar to that seen in Ukraine, but with much larger upside potential. The focus in 2013 will be on the Sabria field, in which the company plans to drill two wells. If these work this will lead to a continued development drilling programme as the oil initially in place (OIIP) is estimated at over 300 million barrels, which means there should be a significant amount of oil remaining to be produced. The company plans to fund capital programmes through internally generated cash flows and EBRD funding.

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The deep

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Mapping the unknown is not just

166 Above iXBlue USBL positioning system for offshore applications Below iXBlue acoustic system in operation

a concept, and out there in the ocean, iXBlue has products that are assisting the exploration that feeds the oil and gas industry. Today, iXBlue is a high-technology company designing, developing and manufacturing technologies used for navigation, positioning, subsea imagery, and ocean and land exploration worldwide.

With bases in France, the UK and Australia, and ten satellite sales and support offices around the globe employing over 450 people with a turnover in excess of 80 million euros, it is not just a blip on the radar.

Business for iXBlue is split with 70 per cent dedicated to civil maritime and 30 per cent naval defence, working predominantly with oil and gas companies and associated suppliers as well as hydrographic and geophysics companies.

Marketing and communications director Bertrand Laubie highlights the strengths that have plotted its route so far: “We are not just manufacturers of products, we invest 20 per cent of our turnover into research and development of critical components with patented designs.

The result is that customers are attracted to our company because we have the capacity to support their needs. We manage the key elements ourselves, we do not depend on the market, and this is very important in the oil and gas industry. For the business it is key that we have a worldwide presence remaining close to our customers by offering technical support through our locations.�

The high performance inertial technology engineered by iXBlue has been selected to provide two UK Royal Navy aircraft carriers with navigational systems meeting the specific operational requirements of the vessels. The solid state, maintenance free unit has also been selected for other prestigious products including anti-aircraft frigates for the French Navy and integration into the Astute class nuclear submarines for the Royal Navy.

Following the development of its new positioning systems iXBlue has established itself as a key partner of main operators in oil and gas.

The solutions meet their strong requirements, providing flexibility and reliability.

The company has also announced a partnership with Saipem, focused on the development of quicker processes for metrology.

Acoustic products division director Christian Giroussens highlights: “This is one of the most challenging applications for subsea positioning as it requires accuracy to a few centimetres and at the same time requires the measurement as quickly as possible. Saipem published a request for innovative ideas to produce a solution, so we approached them with our inertial technology.

We also knew that the combination of acoustic and inertial would be beneficial, providing a quick result that can be trusted. Saipem had a pure understanding of metrology, and with our ideas we have been able to produce reliable and accurate systems that are fast to operate. We had the opportunity to deploy the technology,

PROFILE

Seatronics Seatronics, an Acteon company and global leader in the rental and sale of marine electronic equipment, offers the largest stock of iXBlue assets on the rental market. Exclusive to Seatronics, the RTS Gen 5 Mux has been confirmed by iXBlue to offer superior performance in terms of PHINS DVL data throughput at 100Hz when used as part of the Com Met Metrology Package.

Seatronics also offers a PHINS/ ROVINS INS to DVL calibration service.

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In 2005 iXBlue launched its underwater global acoustic positioning system. GAPS was an innovative platform with an integral all-in-one construction that was easy and fast to deploy and operate. “The next step was the integration of the product in terms of interface, opening it up to other applications in the range. GAPS-NG is now compatible with other existing systems that can be deployed on the seabed or tracked vehicles. The best example of its concept is that our competitors now copy it,” says Christian.

As business moves into 2014 iXBlue is focused on improving its product range of acoustic positioning and inertial navigation systems. Bertrand summarises: “We are proposing new compact solutions to our range, utilising the same technology. We know that we can increase business in our different areas and regions. We have the capabilities to become the leader thanks to our know-how. We will also be providing full solutions and integrated systems that we know will benefit our customers. The next three years hold great opportunities.”

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ComMet, in real conditions and compare it to conventional solutions. Sufficient vessel and ROV time with skilled operators helped us reach our objectives.”

Since its qualification the system has been used in projects in West Africa, Egypt and South China Sea. Christian continues: “For the BONGA NW project in Nigeria we had a very small window to complete the processing of the data. An advantage of this technology is the time saved. We were able to complete eight metrologies in 48 hours from deck to deck, so a metrology in six hours as a mean value. This is one of the best turnarounds on the market.”

ComMet is built around a set of products that the company already has in its portfolio. With the ability to operate at any water depth the equipment is made of standard iXBlue positioning blocks that can be reused for other applications whenever metrology is completed. Flexibility has ensured that the company provides the oil and gas industry with navigation systems for 80 per cent of the ROVs on the market.

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A newstandard

With its POS-GRIP®

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Above HGSS 18-3/4" subsea wellhead 20Kpsi

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At present key features of the POSGRIP HGSS subsea wellhead design include 18-3/4-inch full bore system, rated to 15,000 per square inch (psi) and 350 degrees Fahrenheit and four million pounds of ‘instant’ casing hanger lockdown capacity

Below Ben van Bilderbeek, founder and CEO Plexus Group

friction grip technology wellhead equipment in use on more than 300 wells worldwide, Plexus has become a leading name when it comes to delivering innovative equipment and services to the oil and gas, engineering and service industries. The company was admitted to trade on the London Stock Exchange AIM market during December 2005, and is headed up by its founder and CEO Ben van Bilderbeek who is an accomplished engineer with 35 years of industry experience.

It was van Bilderbeek who designed, developed and ultimately commercialised the POS-GRIP system, which was first patented in 1997.

Since that time the proprietary technology has become an industry leading solution in surface wellhead design, delivering a number of innovative safety and operational benefits particularly for unconventional high pressure high temperature (‘HP/HT’) applications. Following a number of high profile incidents in the field, and in particular the 2010 blowout in the Gulf of Mexico there is a growing demand and need for better and safer innovative technology and solutions both for the surface and subsea, and in a statement van Bilderbeek said: “Recent well control incidents around the world have highlighted the need for robust, high performance, subsea wellheads in oil and gas operations, particularly in extreme and hostile environments.

“Specific functionality is being demanded such as instant casing hanger lockdown, long term metal-to-metal sealing, and the ability to monitor sustained casing pressure and then enable remedial action and bleed off capability.”

POS-GRIP wellhead technology supports tubular weight and activates seals through the application of elastic deflection to an outer wellhead body onto an inner casing or tubing hanger, to lock the system into place. During surface wellhead operation the system is powered by reusable hydraulic devices, which are fitted temporarily to flanges on the outside of the wellhead. The system was first introduced to the North Sea as a flexible rental wellhead system for jackup drilling operations.

The technology has been successfully operated for 12 years, particularly for HP/HT wells. As the oil and gas industry is forced to move into increasingly extreme environments, to contend with a growing demand for oil and gas products, Plexus has continued to develop POS-GRIP technology. As the product has evolved it has been adapted for specialised wellhead systems and builds on the advantages it has over existing

‘slip and seal’ and ‘mandrel hanger’ technology including enhanced safety, larger metal-tometal seal contact areas, virtual elimination of movement between the seal parts, fewer components and enhanced corrosion resistance.

POS-GRIP also has the benefit of being simpler to manufacture, has a reduced installation cost, a lower unit cost, and increased reliability.

Plexus operates three categories of activity Plexus Surface Wellheads, Plexus Subsea, and Plexus Technologies. While Plexus Surface Wellheads is focused on delivering the POSGRIP system to service primarily jack-up rig drilling operations, Plexus Subsea is in the process of taking the proven surface technology subsea, and is currently focused on the delivery of the POS-GRIP HGSS subsea wellhead system through a joint industry project (JIP) in collaboration with a number of oil and gas operators including ENI, Oil States Industries, Maersk Oil subsidiary Maersk Oil North Sea UK, Shell Plc subsidiary Shell International Exploration and Production, Wintershall Holdings GmbH subsidiary Winterhall Noordzee, Total S.A, and Tullow Oil Plc. Following blowout incidents like that in the GOM, the JIP was formed at the request of the industry to address new drilling rules introduced by the USA and to develop new safer technologies in wellhead design. Commenting on the progress Plexus is making with the project van Bilberbeek notes: “Inherent in conventional wellhead design are a number of systemic deficiencies, and as a result it is not immediately obvious that in many cases the subsea wellhead is at the heart of well integrity incidents. The difficulties of using conventional casing hanger lockdown solutions I believe lay behind the delays that occurred in controlling the 2010 GOM blowout. Since the accident, it is now against the US drilling rules to leave subsea casing hangers loose in the wellbore and, to meet these new regulations, a more dependable way of achieving ‘instant’ lockdown is being sought, and which will make obsolete the need for problematic lock rings, or lock down sleeves. We believe that our new POS-GRIP HGSS subsea wellhead JIP initiative is uniquely placed to address such issues.” The project has already finalised the main design parameters, and testing of key components is now underway, with full testing planned to be completed by the third quarter of 2014 after which the running of a prototype will be pursued. Any intellectual property resulting from the JIP will be owned by

PROFILE

Plexus Group Yardbury Group Yardbury Group is a unique combination of mechanical and electrical engineering businesses, which offer a comprehensive blend of resources to the oil and gas industry. From conceptual design through manufacture and installation, to maintenance and integrated life-cycle asset management, we provide our clients with an impressive and proven combination of engineering expertise, excellent facilities and equipment. It is because of these key skills and our ‘Maintenance Readiness and Emergency Response’ that Plexus has chosen to streamline and project manage their ‘POSGRIP’ products for repair and recertification with Yardbury Group.

Plexus Group plexusplc.com

Services Wellhead equipment

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division assists in the design of new products and manages research and development, and testing. The Technologies division works towards providing the company’s customers with bespoke solutions, as well as looking to improve designs and create new applications that are currently used within the oil and gas industry.

The division’s current and forthcoming projects include the HPHT tie back connector, ‘HG’ Wellhead dry tree, ‘HG’ tie back and platform drilled wellhead/welltree, Plexus well-tree and the POS-GRIP riser connector.

Both Plexus and its founder were honoured during 2013 with Plexus winning the ‘Best Oil and Gas Plc’ at the Annual Stock Market Wire Awards, while Ben van Bilderbeek was awarded the prestigious ‘Entrepreneur of the Year 2013’ accolade at Grant Thornton’s Quoted Company Awards. Looking to the future Plexus intends to follow this success by accelerating the roll out of its POS-GRIP technology with an aim for it to become the future best available and safest technology (BAST) wellhead standard within the oil and gas industry for wellhead design.

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the Plexus Group. At present key features of the POS-GRIP HGSS subsea wellhead design include 18-3/4-inch full bore system, rated to 15,000 per square inch (psi) and 350 degrees Fahrenheit and four million pounds of ‘instant’ casing hanger lockdown capacity.

Furthermore, the HGSS will avoid acknowledged problems associated with using lock rings and is working on a feature to provide annulus pressure monitoring and bleed-off capability. The rigid metal annular seal technology is qualified to match the standards for premium casing couplings and the system’s annulus casing can also be opened and resealed to enable remedial cement jobs. The project will exceed the American Petroleum Institutes’ (API) 17/D/ISO 13628-4 recently provided operator requirements, with life cycle testing and wellhead standards that are more stringent than those proposed by API. Helping the company to achieve greater potential from its IP in the future, Plexus operates Plexus Technologies as the research and development arm of its business. The

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Exchanging Wicksteed Engineering Wicksteed Engineering Ltd is the UK’s largest manufacturer of tube expanding, pulling and cleaning equipment, which is used in the manufacture and maintenance of heat exchangers, condensers and boilers. Wicksteed prides itself on the price, quality, delivery and technical support that it offers to its customers.

Following a challenging period between 2011 and 2012 where the sector saw a slowdown in projects, Dolphin Heat Transfer (DHT) has remained robust and resilient while the market has increasingly regained momentum. Since it was last featured in European Oil and Gas Magazine during March 2010 the company has redoubled its operations and invested in new equipment in anticipation of a continuing increase in demand. It is located in Ajman, UAE and services a number of operations within the Gulf Cooperation Council (GCC) including the ADNOC group made up of ADGAS, Takreerk Zadco and Adma Opco. The company is part of the Dolphin Group, a collection of companies that manufacture thermal products for the industrial,

air conditioning, marine, oil and gas and automotive sectors. Dolphin Heat Exchangers is focused on the provision of heat exchangers to the oil and gas industry, both within the GCC and beyond.

The company was founded in 2004 and specialises in the design and manufacture of shell and tube heat exchangers, air-cooled heat exchangers, pressure vessels and finned tubes. It has state-of the-art fabrication facilities located in the Ajman Industrial Area, which have recently been improved with new welding and finning machines. Complimenting this, DHT has also hired additional engineers and workmen to cater to the strengthening market, which promises to boost production throughout the GCC region. Reflecting on the market between 2011 and 2012 in comparison to the emerging circumstances of 2013, Mr. Nooruddin Jetpurwala, chairman of the Dolphin Group comments: “The market was challenging in 2011 and 2012 but has seen significant improvement this year and also going into 2014. There are definite opportunities ahead as several new multi-billion dollar projects have been announced and are in various stages of execution in the oil and gas industry. DHT has been proud to be a part of several of these prestigious projects and will continue to look for new opportunities in the future.”

To address the needs of a newly galvanized market place, DHT is able to rely on a number of key strengths. As part of the Dolphin Group

production process as Nooruddin elaborates: “While the products that we design and manufacture are at a highly matured stage in their development cycle, there are several areas that we look at to improve the efficiency of our design and procurement process. We have developed design and manufacturing capabilities for hair pin type heat exchangers and also developed special welding techniques for air cooled heat exchangers, for example.”

As 2014 rapidly draws nearer DHT is ready to embrace the rigors of a buoyant market place.

“We are looking at an annual compounded growth of around 25-30 per cent over the next three years. This could be even higher if the projects that have been announced are implemented as per schedule,” Nooruddin concludes. “DHT looks to the future with great confidence and optimism. It has played a key role in the oil and gas industries in the GCC and looks forward to play an even more enhanced role in supporting the growth of this industry in the future.”

DHT’s highly experienced engineering capabilities give it the ability to turn around products at blistering pace while complying with all international standards and stringent customer specifications

Dolphin Heat Transfer dolphinheattransfer.com

Services Heat exchangers

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it has the support of vast resources and financial strength, which benefit all of the company’s operations including design, manufacture and marketing. This coupled with its efficient manufacturing facilities allows DHT to define itself as a leading producer within the GCC region. “DHT’s highly experienced engineering capabilities give it the ability to turn around products at blistering pace while complying with all international standards and stringent customer specifications,” explains Nooruddin.

“The competitive edge also comes from the pricing and sourcing strategies, which add further value to the product.”

The company is able to provide products that fit its customers exacting specifications. Its heat exchangers are tailored to meet customer requirements through either a rigorous selection of parts for its plate heat exchangers (PHEs) or through tailored design options for products like its shell and tube extractors. Mechanical design software is employed to produce optimum designs and technical drawings before the specifications are passed to fabrication facilities that employ CNC drilling, orbital welding machines, TIG/ARC welding, plasma cutting and a full compliment of production equipment.

The company operates production facilities in Sharjah and all of its facilities are American Society of Mechanical Engineers (ASME) U and S certified, as well as National Board R and NB certified and run according to ISO 9001:2008 industrial standards. Furthermore DHT is a regional seller of PHEs from the US-based firm Mueller. These heat exchangers offer greatly reduced requirements for space and a high level of efficiency complimented with low maintenance levels. This makes PHEs an extremely cost effective solution for clients.

DHT believes that no company can enjoy sustained growth without being innovative in all areas of its operation. As such it is dedicated to constantly developing its product portfolio and

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The full

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In 1981 Matco Asia

WESTLOCK CONTROLS Westlock is a leading provider of innovative solutions for the networking, monitoring and control of process valves, supplying reliable products manufactured to the highest industry standards. Westlock’s solutions deliver process, maintenance and operational efficiencies, and are used in all industrial area classifications from hazardous, including explosionproof and intrinsically safe, to non-hazardous for full weather protection or sanitary installations.

Part of Pentair, delivering industry-leading products, services and solutions to a variety of industries, Westlock enjoys a close working alliance with Matco Asia to serve its end users. With manufacturing, sales and service facilities worldwide, Westlock provides a 24/7 global service.

was established in Singapore as the first Asian based valve automation centre for Bettis actuators, providing a comprehensive service of mounting, calibration and testing of valves and actuators.

With 32 years of experience in the oil and gas industry, the company today is one of the leading players in the actuator and valve automation market, representing a network of professional supply, distribution and representative firms based in the South East Asia region. On top of this, Matco Asia is involved in the promotion and distribution of related equipment; engineering and supply technologies to industries including petrochemical, chemical, pulp and paper, water treatment and process industries.

Previously in European Oil and Gas Magazine in December 2012, Matco Asia has enjoyed ongoing growth and success over recent years, with high levels of business and shipping resulting in record sales throughout 2011 and 2012. This growth is set to continue, as recent investments and ongoing training will enable the firm to take advantage of the booming oil and gas market.

In 2013 Matco Asia has been awarded several major contracts, including a three-year service contract with Petronas Carigali Vietnam (PVCL).

Matco Asia has a long history of serving wellknown global oil and gas firms and boasts a 100 per cent successful project completion record since its inception. With decades of experience under its belt, the firm has a strong understanding of the dynamic environment its customers work in and therefore strives to deliver a fast response rate through unrivalled support and services. These include quickly assembled ‘Tiger Teams’ that are able to fly offshore or to

customer sites to deliver high quality quick reaction support throughout SE Asia.

As the oil and gas industry continues to change, the company is determined to change with it through the provision of unrivalled support and services as well as continuous investment in its state-of-the-art facilities. As such, 2011 was an important year for the ongoing evolution of Matco Asia, as it not only marked 30 years of commitment to customers and partners in the oil and gas market, but also announced the company’s relocation to new facilities at Joo Koon Crescent. This cutting edge building not only further cements the firm’s dedication to its customers and partners, but

also strengthens its services through increased productivity and efficiency in the processes of assembly and production.

Following decades of building the foundations of its business, Matco Asia has developed a distinguished, widespread presence and excellent reputation for high quality, flexible, comprehensive services. This diversity is achieved through its affiliations with the Matco Asia Group, of which Matco Asia (Singapore) is its technical and commercial hub. The group, which also includes the divisions Matco

to valves before they are completely tested, calibrated and warranted by valve automation experts. Furthermore, the firm offers full maintenance and retrofit programmes that can be carried out at its cutting edge facilities.

Investments into a new site boasting an in-house, full service valve repair and testing facility and a world-class valve automation and controls facility have been complemented by the expertise of its employees. Technicians are trained at the company’s facility in Singapore, where instructors use a curriculum of formal classrooms and on-the-job training provided by both Matco and its suppliers. By the end of December 2012 the firm had developed a pool of 40 certified technicians and has strived to double this number throughout 2014.

Dedicated to continuous growth and development, Matco Asia’s strategic future plans include establishing a valve repair service at its state-of-the-art facility, which will further enable it to deliver more services and support to its customers in an efficient and timely manner.

Left Bettis G-13 actuator, the largest Bettis actuator that has been installed in Asia Bottom Left A Shafer actuator - Shafer is an Emerson product Centre A Bettis actuator

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Services Actuators, valve automation and engineering

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(Thailand) Co, Matco Asia Indonesia, Matco Asia Myanmar, Matco Malaysia Sbn. Bhd., Matco Asia Vietnam, Matco Asia Brunei and Matco Asia Pilipinas, gives Matco a competitive edge due to its expansive presence in the region.

Committed to complete customer service, Matco Asia represents a number of major brands in its portfolio; this includes actuators, valves, automation and controls, accessories and services.

The actuators and the construction of control panels for said actuators is the company’s main product line, with the portfolio for actuators including products from manufacturers such as Bettis, Shafer, Dantorque and Kinetrol. Meanwhile, its valves, automation and controls portfolio includes products from the likes of Tyco, Versa, Deltrol, Mercer Valve Co and Westlock.

Covering all core areas related to its product range, Matco Asia’s comprehensive range of services includes integrated valve automation packages that are specially designed and assembled with efficiency to suit unique control loop requirements. These packages are fitted

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Singapore based

ship owner and management firm Nordic Maritime provides a comprehensive range of marine, seismic and offshore services, with operations mainly focused on Southeast Asia, Australasia, the Middle East, India, West Africa, Russia and China. With a passion for success, the company is driven by a team of exceptional personnel, who strive for client satisfaction through delivering the best possible standard for its offshore operations. Its extensive fleet includes specialised vessels such as 2D and 3D seismic survey vessels, seismic chase/support vessels, crew boats as well as DP2 IRM subsea vessels and DP2 offshore accommodation barges.

“We established Nordic Maritime in 1999 as a Norwegian based ship manager for a Russian third party owner for 2D and 3D seismic vessels; from then on we had three vessels that we managed until 2005 when we acquired our own first vessel, a support chase boat to support the seismic vessels we managed. At this point we became an owner and manager,” explains Kjell Gauksheim, chief executive officer (CEO) of Nordic Maritime. “In 2006 we moved to our current location in Singapore and continued our acquisitions with another seismic support chase vessel the same year. In 2007 we converted a 2D seismic vessel under Nordic Maritime and in 2008 we ordered two DP2 accommodation barges.”

The company’s strategic move to Singapore came as a result of the booming oil and gas market in the Far East and South Asia, which

it has since taken advantage of by participating in ambitious and challenging projects, as Kjell highlights: “In 2008/9 we collaborated with the Vietnamese National Oil Company (PVEP) on a project that involved the conversion of a 2D seismic vessel. After we sold the vessel to PVEP we then had two years of a management contract for the vessel, which involved training for local engineers to become self maintained operators. In 2011 we handed over the vessel to PVEP and our successful involvement in this project was over.”

This unique experience, involving an extensive ‘on the job’ training course specifically designed for the project, has given Nordic Maritime a strong advantage when it comes to understanding customer demands through open dialogue and transparency of knowledge and experience. Today Binh Minh 02 is a productive 2D seismic vessel operating in Vietnamese waters under the Vietnamese Flag.

As a Singapore company with Norwegian owners, Nordic Maritime benefits from a strong reputation for delivering high quality services in a fast growing market; not only a ship management and agency, the company also provides project management and building supervision of a range of first class offshore vessels for the oil and gas industry. As complex deepwater exploration and development becomes a global reality, Nordic Maritime is ready to tackle any new challenges through providing a range of first class offshore vessels with deepwater capabilities.

Nordic Maritime’s new building programme of premium DP2 accommodation and subsea vessels offers customers a diverse variety of services in the deepest of waters; these include accommodation, ROV, IRM, subsea light construction work and seismic support and survey activities. The newbuild vessels being constructed to increase Nordic’s fleet are all equipped with DP2 systems and are designed to handle the most challenging environments. With a firm belief in delivering multipurpose, versatile vessels for an ever-evolving industry, Nordic Maritime aims to help clients reduce vessel operation costs while also achieving sustainable and economical developments in their oil fields.

Elaborating on the company’s offshore seismic acquisition services and growth further, Kjell highlights: “Conversions are 100 per cent controlled and executed by our project management and site execution team. We take on the full project management at the shipyard

Asia. However, we believe Indonesia is a growing market and this will be our focus going forward.

We now have two vessels under the Indonesian flag, to comply to the local cabotage regulation, and have been looking to increase our fleet in the offshore support side as well due to the potential work we see here,” says Kjell.

With an active few years behind it, Nordic Maritime aims to secure its future by continuing to generate revenue from its services in the seismic sector and investing this money into newbuilds for the offshore support market, as Kjell concludes: “As an operator of smaller seismic vessels, we know what is required on the support side, which is why we have developed a design for a very fuel efficient and highly competitive vessel. This design is currently being offered to the biggest seismic operator firms worldwide; at the moment we are building these vessels with full ice-class and a high expectation on comfort and clean-design to meet the highest standards in the market. This is a new venture we are trying to develop.”

As an operator of smaller seismic vessels, we know what is required on the support side, which is why we have developed a design for a very fuel efficient and highly competitive vessel

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and do everything from A-Z; we did this in 2007 converting a 2D seismic vessel and chartered her to BGP-CNPC. In 2009 we converted a same designed 2D seismic vessel and made an outright sale to PVEP and are again just rigging our own 3D seismic vessel. She was laid up in South East Asia and we purchased her from a Norwegian owner before refurbishing and fully converting her into a four-streamer 3D seismic vessel. She sailed out on her first job in early November. We have decided to flag the new ship under an Indonesian flag in line with our development there.”

Having established a strong foothold in Asia through continued investments, market awareness, flexibility and open dialogue between customers, the firm opened an office in Indonesia in 2010 and is now looking at the opportunities for further growth. “The last two years have been very active for us within the 2D and low-end 3D market. We have completed around 5000 square kilometres of 3D in the Middle East and around 25,000 line kilometers of 2D seismic acquisition around South East

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PROFILE

Sullom Voe Terminal

Motherwell Bridge Motherwell Bridge are proud to have built the Sullom Voe Terminal originally and to now be involved in its current programme of storage upgrade. Motherwell Bridge are renowned the world over as one of the very few experts in design and construction of large diameter floating roof tanks up to 115 mtr dia, as well as more conventional fixed roof tanks in the 20-60 mtr range. The company are currently involved with projects in its Tanks and Gas Holder business on every continent of the globe.

Located at the northern end of the Shetland Islands, the BP operated Sullom Voe terminal is one of the largest of its kind in Europe, producing its eight billionth barrel of oil in mid 2010. Constructed between 1975 and 1981 and covering 1000 acres, Sullom Voe’s main purpose is to handle production from 38 oilfields in the East Shetland basin and to act as a buffer between these fields and the tankers that ship oil to refineries across the globe. Production is received through the Brent and Ninian pipelines East of Shetland and through the Clair pipeline and shuttle tanker West of Shetland, with massive investment plans currently in place to cope with the future influx of North Sea onstream oil and gas projects.

“Sullom Voe was built for the production of around 1.3 million barrels a day back in the 1970s and in 2010 reached a major milestone with eight billion barrels of oil. Its capabilities are to take hydrocarbons from offshore to stabilise the oil, to split the hydrocarbon into oil and gas and to then export the stabilised crude oil by tanker to refineries. Over the past ten years we have been 99 per cent available to our customers,” explains Peter Miller, vice president of North Sea Operations (Midstream), at BP. “Approximately 28 different companies have

interests in the terminal and we are working together to invest in a multi-million pound intervention programme to give it a new lease of life. This is a very simple programme of shutting down parts of the site for renewal, putting up scaffolding, taking off insulation, replacing lines and returning all of the metal to the thickness it needs to be. We are doing this to ensure the site is fully operational throughout 2020, 2030, and 2040; a major task considering a lot of the equipment has been in constant operation since the 1970s.”

Already more than a decade past the period it

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Sullom Voe Terminal

was designed to last, the ageing terminal requires a major upheaval that is expected to last eight years. These changes are in line with BP’s plans to invest £3 billion on the development of the Schiehallion project and a further £4.5 billion on the massive Clair oil field. “Clair is a very exciting field with between seven to eight billion barrels of oil in place and is Europe’s largest reservoir,” explains Peter. “BP is the operator of this field and is currently investing in its development.

The oil we recover will be transferred through Sullom Voe. The project is going very well, with BP confirming the safe installation of the platform structures in 2013. From here, the rest of the platform’s construction is ongoing and it is expected to come onstream in 2016.”

Originally discovered in 1977, the Clair field is located 75 kilometres west of Shetland and spreads across a vast 220 square kilometres, in water depths of 140 metres. The Clair Ridge development will boast the capability to produce approximately 640 million barrels of oil over a 40-year timeframe, with peak production anticipated to reach 120,000 barrels of oil per day.

Facilities will consist of two bridge-linked steel fixed steel jacket platforms and topsides, one of which will be a drilling and production platform and the other will be for quarters and utilities.

Furthermore, BP and its co-venturers are also proceeding with a two-year appraisal programme, named Greater Clair, which involves looking into the potential in developing a third phase of the Clair field. Starting with a two year programme to drill five appraisal wells, the number could increase to between eight and 12 wells if results are positive.

Meanwhile, the Schiehallion oil field was shut down in April to make way for its £3 billion redevelopment, which could last up to three years. “There is still a lot of oil left in Schiehallion, which is why we are investing in a brand new floating, production, storage and operating vessel (FPSO) vessel that will be stationed on the oil field. Again, the

hydrocarbons from Schiehallion will come through the terminal, hopefully for many years to come,” says Peter.

To cope with the large increase in offshore production, new facilities at Sullom Voe include a plant that will be utilised to sweeten the gas that is produced at Clair Ridge, which will involve the removal of hydrogen sulphide so the gas can be used at Sullom Voe and also exported to the Magnus field – where it is injected into the reservoir to increase recovery (EOR scheme).

BP anticipates more than 1000 people will be based at Sullom Voe throughout the development process of these major upgrades, almost doubling the current 220 staff and 300 contractors based at the terminal. In preparation for this, BP is currently searching for experienced oil and gas personnel, particularly trained engineers, to work at the terminal.

“We have ongoing employment prospects in the Shetland Islands and aim to draw as much of our workforce from the Shetland Islands as we can. To supplement that we are hiring, and continue to hire BP staff from around the rest of the UK who will come and work on rotation here,” highlights Peter. “We are also looking at all of our capability and ability to support the work and accommodate the people, as well as our ability to have that number of people working here safely. There are certainly a lot of employment prospects here.”

Focused on bringing these investments into fruition, BP is creating a positive future for Sullom Voe and its operations in the Shetland Islands, as Peter concludes: “The vision for the terminal is basically to continue the success of the past through being online, available and running at lowest possible cost. Although this involves us spending a lot of money in the short term, it will get the terminal in a place where its life can extend to 2020, 2030 and 2040. Our strategic plan is nothing more complicated than that; we aim to be here, be operating, be safe and be efficient - as we have been for the past 30 years.”

STREAMLINE SHIPPING GROUP Since 1997 Streamline Shipping Group has provided a dedicated consolidation and freight forwarding service to BP Sullom Voe, covering all materials between the Terminal, UK mainland and beyond.

Over this period we have successfully supported numerous developments and very much look forward to working with BP on this latest project.

Streamline offers a unique service for shipments to and from the Northern Isles with a combination of its own cargo vessel, daily trailer services, loose and project cargo. With our fleet of vehicles, plant and a network of trusted partners there is no collection or delivery that cannot be covered.

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from exploration to end user Schofield Publishing Ltd 10 Cringleford Business Centre Intwood Road Cringleford Norwich NR4 6AU T: +44 (0) 1603 274130 F: +44 (0) 1603 274131 Editor Matt High mhigh@schofieldpublishing.co.uk Sales Manager Rob Wagner rwagner@schofieldpublishing.co.uk

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