Oil & Gas Today Special Edition #1 November - December 2020

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Editor’s Message

Dear Reader,

That's hundreds of news articles with ups and downs in the Oil & Gas industries. We’ve seen considerable changes in the oil & gas industries throughout all of our issues and endeavors of each of the oil & gas players. And we shall be taking out a special event during the Oil & Gas events 2019, offering all exhibitions to avail special offer for advertising and this time distribution bonus at the biggest in Thailand as the Thailand Oil & Gas Expo 2019 at BITEC, Bangna, Thailand.

We are honoured to present about the upcoming change in global standards IMO 2020 for marine fuels will transform oil product flows. Asia is well placed to capitalize on the shift, despite the challenges of rising costs and oil prices, write by JY Lim and Kang Wu of S&P Global Platts Analytics. Flip to find out more in "In the Hot Seat”

So go on and indulge in this edition of Thailand’s Oil & Gas Today and do pass it on to other colleagues who may benefit from it, after all knowledge is best when shared!

For any interesting articles pertaining to the Oil & Gas or Offshore Marine industry, please feel free to share it with us at editor.th@fireworksbi.com.

Stay in touch with us on www.thaioil.com and follow us on Facebook, Twitter and LinkedIn for more update.

Managing Director of Fireworks Media (Thailand) Co., Ltd.

Kenny Yong

Guest Editor

PTTEP Receives an Exclusive Right to Develop the Integrated Domestic Gas to Power Project in Myanmar

PTT Exploration and Production Public Company Limited (PTTEP) will move forward the Integrated Domestic Gas to Power Project in Myanmar after receiving an exclusive development right from the Myanmar government. This integrated energy project aims to provide energy security to Myanmar as well as to lead the company to explore the new business as targeted.

Mr. Phongsthorn Thavisin, Chief Executive Officer of PTTEP, said the company today signed Notice to Proceed for the development of Inte grated Gas to Power Project with U Than Zaw, Permanent Secretary of the Ministry of Electricity and Energy (MOEE). This project will promote the utilization of domestic gas supplied from PTTEP’s gas fields in the Gulf of Moattama, starting from Zawtika and Myanmar M3 projects, to generate affordable electricity for Myanmar.

“Today marks our first step in extending our business along the gas value chain in Myanmar, following the “Execute & Expand” strategy which will drive the company towards sustainable growth.

This project will also support the

Master Plan, which aims for all households to have

CEO. PTTEP’s Integrated Domestic Gas to Power Project is a combined energy projects from upstream to power generation. The investment worth approximately USD 2 billion include upstream develop ment projects, a 600-MW combined cycle power plant located in Kyaiklat in Ayeyarwady Region, and new offshore and onshore gas pipeline route from Kanbauk – Daw Nyein – Kyaiklat for approximately 370 kilometers, and Transmission line from Kyaiklat to Hlaingtharyar. PTTEP targets to make a Final Investment Decision (FID) in early 2022.

The electricity generation from this project is expected to account for approximately 10% of Myanmar’s existing installed power plant capacity. The generated power will be sold to the Electric Power Generation Enterprise (“EPGE”), a state-owned enterprise under MOEE, over a 20-year term with 5-year extension from the Commercial Operation Date (COD).

PTTEP Signs MoU with Universiti Teknologi PETRONAS in E&P Technology Development

Chayong Borisuitsawat (2nd right), Executive Vice President for Business and Organization Transformation Group, PTT Exploration and Production Public Company Limited (PTTEP) signed the Memorandum of Understanding (MoU) with Prof.

Dr. Mohamed Ibrahim Abdul Mutalib (2nd left), Vice Chancellor, Universiti Teknologi PETRONAS (UTP) for technology development collaboration to enhance petroleum exploration and production efficiency. The signing ceremony, held at PTTEP Headquarter, was witnessed by Bundit Pattanasak (right), Senior Vice President, Technology and Knowledge Management Division of PTTEP, and Assoc. Prof. Dr. Syahrir Ridha (left), Director, Institute Hydrocarbon Recovery, UTP.

Myanmar’s Sustainable Development Plan (MSDP) and its Energy

access to electricity by 2030,” said PTTEP

Thaioil’s Clean Fuel Project’s Laying of the Foundation Stone Signifies the Group’s Potential for Sustainable Growth

Recently, Thai Oil Public Company Limited held a foundation stone laying ceremony of the Clean Fuel Project (CFP)’s main production control building. The ceremony at Thaioil refinery in Sri Racha District, Chon Buri Province, was presided by Energy Minister Sontirat Sontijirawong and also in attendance were Prof. Dr. Thosaporn Sirisumphand, Chairman of the Board, Mr. Wirat Uanarumit, Chief Executive Officer, Thaioil’s executives, and distinguished guests.

Thaioil has invested in the development of the CFP project in order to increase the refinery’s competitiveness by increasing its oil refining capacity from 275,000 barrels per day to 400,000 barrels per day, creating economies of scale, reducing raw material costs and enhancing flexibility in crude handling, which will allow the refinery to increase its heavy crude processing by 40-50 percent and increase product value by turning fuel oil into jet fuel and diesel, which is more expensive and more environmentallyfriendly. The project is also in line with the market, which complies with the changing regulations such as the reduction in fuel oil use by sea transport in 2020 as well as the production of Euro 5 Standard of gasoline and diesel for a good environment and quality of life. The CFP project is considered the

first private sector’s Mega Project in the Eastern Economic Corridor (EEC), which will create an opportunity for Thailand to become Southeast Asia’s energy hub. The capital fund of the CFP project is approximately 4,825 million USD. The project, which began in 2019 and is expected to start its commercial operation in 2023. Photo shows (from left): Mr. Wirat Uanarumit, Chief Executive Officer and President, Thai Oil Public Company Limited; Mr. Chansin Treenuchgron, President and Chief Executive Officer, PTT Public Company Limited; Mr. Sontirat Sontijirawong, Minister of Energy; Dr. Siri Jirapongphan, Former Minister of Energy; Prof. Dr. Thosaporn Sirisumphand, Chairman of the Board, Thai Oil Public Company Limited.

Unithai Group Of Companies Has Opened

The Most Advanced Decommissioning Business In Southeast Asia

Dr.Chulapong Taweesri, Chief Inspector of the Ministry of Industry of Thailand with Dr.Attasit Korchaiyapruk, Managing Director of United Waste Management Company Limited jointly open the United Waste Management Company Limited (UWM).

UWM’s vision is to provide decommissioning services focusing on cleaning and dismantling of Wellhead Platforms and jackets supporting Thailand oil and gas industry. The company is a subsidiary of the Unithai Shipyard & Engineering Limited located in Sriracha District, Chonburi Province. Mr. Naris Palakawong Na Ayudhya, Senior Permanent Secretary of Sriracha District, Pol.Capt.Tanabodee Toobteanrat, Assistant Director of Laem Chabang Port, Mr. Rawat Khiewsanit, Deputy Mayor of Laem Chabang, Mr. Sukhum Indaeng, Deputy Mayor of Laem Chabang, Assoc. Prof. Sutha Khaothian, Ph.D. Director of the Center of Excellence on Hazardous Substance Management, Laem Chabang Community Leaders and honored guests attended UWM opening ceremony as well.

PTTEP Enters into A Large Gas Field in Oman Immediately Increasing Sales

Volumes and

Enhancing Its Investment

Portfolio in The Middle East

PTTEP acquires a 20% participating interest in Sultanate of Oman’s Block 61, one of the largest gas developments in the Middle East. The acquisition will immediately add to the company’s petroleum reserves and sales volumes, foster its long term growth, and open up further investment opportunities in the Middle East.

capacity to deliver approximately 35% of total gas output in Oman. The investment will have an immediate effect of increasing PTTEP’s petroleum reserves and sales volumes. Furthermore, this will also open an opportunity for PTTEP to develop a high potential project in Oman in collaboration with world-class E&P companies.

“Since 2019, PTTEP has invested in key assets in Oman including PDO (Block 6), the largest onshore oil field in Oman, and Oman LNG, the only LNG gas liquefaction complex in the country. The investment in Block 61 is aligned with PTTEP’s direction of growth, focusing on highly prolific areas, and supports our strategy towards gas value chain investments as gas pro duced from the block will boost availability of gas supply for Oman LNG. This successful acquisition will further strengthen PTTEP’s foothold in Oman in the long run and pave the way for future investments in the Middle East,” said Mr. Phongsthorn.

signed a Sale and

with BP Exploration (Epsilon) Limited

for a 20% participating interest in Oman’s Block 61 with a transaction value of USD 2,450 million, subject to final net working and other closing adjustments per SPA at completion of the transaction following government approval expected within this year. The value excludes potential contingent payments which are capped at a maximum amount of USD 140 million, and subject to certain milestones stipulated under the SPA being accomplished. The acquisition will be funded from cash available on PTTEP’s balance sheet.

Block 61 is a producing onshore gas field with enormous resources and significant importance to Oman’s natural gas market. Block 61 has the

Covering around 3,950 square kilometers in central Oman, Block 61 is comprised of two phases, Khazzan gas development which began production in 2017, followed by Ghazeer in October 2020 with a combined daily produc tion capacity of approximately 1,500 million cubic feet per day (MMSCFD) for gas and more than 65,000 barrels per day (BPD) for condensate. The block is targeted at developing total gas resources of 10.5 trillion cubic feet (TCF).

After the acquisition is completed, BP (the Operator) will hold a 40% participating interest, while other partners including OQ (Omani national oil company), Oman’s national oil company; PTTEP MENA; and PC Oman Ventures Limited, a subsidiary of PETRONAS, will hold 30%, 20% and 10% participating interests, respectively.

At present, PTTEP has invested in upstream and midstream businesses in Oman, including PDO (Block 6), the largest onshore oil field in Oman; Mukhaizna (Block 53); Oman Onshore Block 12; and Oman LNG, the only LNG gas liquefaction complex in the country.

Mr. Phongsthorn Thavisin, Chief Executive Officer of PTT Exploration and Production Public Company Limited (PTTEP), said PTTEP MENA Limited, a subsidiary of PTTEP, has

Purchase Agreement (SPA)

(BP)

Thailand Grants Gulf Energy Licenses to Import Up to 1.7 mln

Tonnes of LNG A Year

Thai Gulf Energy Development Pcl received licenses from the government to import up to 1.7 million tonnes of liquefied natural gas (LNG) each year, the company said on Thursday, in a move that will cut energy costs.

It becomes the second firm to be granted such a license, after the state-owned Electricity Generating Authority of Thailand (EGAT), as the country moves to free up its natural gas market and position itself as a regional trading hub for LNG.

In a statement, Gulf Energy said the Energy Regulatory Commission had approved its request for an LNG shipper license in the amount of 300,000 tonnes a year.

A license for 1.4 million tonnes a year was also issued to Hin Kong Power Holding Limited, Gulf said in a separate statement. It has a 49% stake in Hin Kong Holding, while Ratch Group Pcl holds 51%.

Gulf said its license would be used to supply LNG to 19 of its small

power projects in the company. Hin Kong’s license will be used to provide fuel for a 1,400-MW power plant.

The licenses will lower LNG costs and energy prices for industrial users and the country, Gulf said.

Previously, PTT Pcl and its subsidiary had been Thailand’s sole gas supplier and LNG importer.

Gulf Energy had issued a request for proposal (RFP) in April to buy 1.1 million tonnes of LNG each year for 10 years from 2023, traders said.

By 2037, Thailand plans to have 53% of its total capacity of 77 GW coming from natural gas sources.

Betting on $100 Oil, Indonesia Driller Aims to Triple Output

Oil’s dominance as an energy source may be on the wane, but one Indonesian producer is confident there’s still plenty of opportunities to be had as the age of the hydrocarbon enters its final act.

PT Medco Energi Internasional is aiming to lift its oil and gas output from 120,000 barrels of oil equivalent a day to 300,000 in the next five to 10 years, said President Director Hilmi Panigoro. The explorer -- which already has fields from Indonesia to Libya to Mexico -- is most interested in buying existing onshore wells, he said in an interview in Jakarta.

Medco’s strategy is based on Panigoro’s view that a dearth of exploration and strong aviation and petrochemical demand will push crude prices above $100 a barrel in a decade or so. That runs counter to the perspective of oil majors like BP Plc, which said recently that some of its resources probably won’t see the light of day due to low prices and an investor push for lowcarbon projects.

Crude prices are likely to stay around $60 a barrel in the short term,

but “in the long run it will be a different story as not enough investment is happening upstream to replace declining production,” Panigoro said. There will be an oil shortage even if fossil fuel use ebbs as electric vehicles take off, he said.

Medco, which also owns copper and gold mines and gas-fired power plants in Indonesia, kicked off its buying spree with the purchase of Ophir Energy Plc this year for 408 million pounds ($513 million). Ophir has oil and gas assets in Indonesia, Thailand and Vietnam and the acquisition will add about 25,000 barrels of oil equivalent a day to Medco’s 2019 output, it said in a statement.

As much as $46 billion of oil and gas assets in Australia and Southeast Asia could be available for purchase as the majors seek to divest producing fields and rebalance their portfolios toward more high-growth areas in the U.S. and South America, Wood Mackenzie Ltd. has said in notes this year. Southeast Asian state oil companies may also seek to sell small stakes in large projects, such as PT Pertamina’s Rokan block, in order to help finance operating costs, according to the energy consultancy.

PT Panin Sekuritas is maintaining its buy rating on Medco, said Jakartabased analyst Juan Oktavianus. The Ophir purchase was a positive for the company’s financial performance and it has opportunities for more acquisitions following divestments of some subsidiaries, he said.

Medco prefers onshore assets to deepwater projects because of the heavy capital investment required in offshore fields, said Panigoro, a graduate of the Colorado School of Mines. Medco will be “opportunity driven” and consider assets where the cost of production is $10 a barrel or less, he said.

“There will always be money for the right assets,” Panigoro said. “Besides ensuring that it fits into our business, we will also ensure that our debt-toebitda ratio doesn’t exceed three.”

Chevron Steers Away from Arbitration in Thai Energy Dispute

Chevron told Reuters in July that moving to an arbitration process provided for by the 1971 contracts was a possibility.

The company had objected to a request by Thailand’s energy ministry to pay a security deposit for the full decommissioning cost of all of the company’s assets in the Erawan gas field.

Neither Chevron nor the ministry would disclose the amount of the requested guarantee when asked by Reuters. But local newspaper Thansettakij has reported it as around 75 billion baht ($2.5 billion), citing industry sources.

The Chevron spokesman said arbitration was still a possibility if talks do not succeed.

U.S. energy major Chevron Corp has decided to continue negotiations with Thailand rather than seek arbitration to resolve a dispute over who should pay the bill for removing offshore oil and gas platforms, the company told Reuters.

Thailand wants Chevron to pay the full decommissioning costs for the energy infrastructure, estimated by one local newspaper at up to $2.5 billion.

The dispute has implications for other international energy companies such as France’s Total SA and Japan’s Mitsui & Co, which also have stakes in offshore energy concessions in the Gulf of Thailand.

“We have agreed to temporarily suspend the arbitration process to allow more time for resolution discussions,” a Chevron spokesman told Reuters, adding that the company was “encouraged” by the Thai energy minister’s desire to come to an agreement.

A spokesman for Thailand’s energy ministry said he could not comment on talks with Chevron.

Minister of Energy Sontirat Sontijirawong said in July he wanted to resolve the dispute as a matter of urgency to avoid arbitration, but that the issue was complicated.

The dispute arose in 2016 when Thailand retroactively enforced a new energy ministry regulation requiring gas field operators to pay the costs to decommission all installed assets even if they no longer operate those assets.

Chevron argues that under the terms of its initial contracts dating from 1971, it is only liable for infrastructure that is no longer usable.

Chevron is due to hand over operation of the Erawan gas field to Thailand’s state-owned oil firm PTT Exploration and Production Pcl in April 2022 when its concessions expire. The new law would require Chevron to pay the future costs of decommissioning the assets it has installed, including those it transfers over to PTTEP.

Other operators in Thailand are watching the dispute closely in case it changes their future liabilities for assets in Thailand. Foreign investors in Thailand in other industries were also concerned about what precedent the case might set for the sanctity of their contracts.

“It will snowball, as it’s not just Chevron,” said Kornkasiwat Kasemsri, director of the Energy and Resources Policy Research Center at Thailand’s Rangsit University.

“What decision is made in this case could affect other cases to follow.”

Chevron won the concessions to operate four blocks constituting the Erawan gas field, Thailand’s second largest, from 1972 to 2012, after which the contracts were extended for 10 more years.

The contracts, for blocks 10-11 and 12-13, were first signed under the Petroleum Act of 1971. The act has been amended six times since.

Chevron lost out to PTTEP, a unit of the state-owned PTT Pcl, in a bidding round for the new concession in December.

The concession for the Erawan natural gas field, operated by Chevron, will expire in 2022. Production is depleting ahead of the end of the concession, forcing Thailand to increasingly rely on imported LNG. (Photo supplied)

Sapura Energy Reports Asia Contracts

Sapura Energy announced it has secured new work in in Malaysia, Thailand and Brunei worth approximately RM 774 million ($184.9 million). The three new contracts and two contract extensions bring the value of its cumulative contract wins year-todate to about RM3.1 billion ($740.7 million), it said.

Sapura Fabrication has been awarded a contract from Brunei Shell Petroleum Company (BSP) for the provision of engineering, procurement, construction and installation (EPCI) works for the Salman project in Brunei. The project is divided into two parts consisting of the Salman greenfield scope and the Egret East greenfield scope.

The Salman greenfield scope entails EPCI works and support for hook-up, precommissioning and commissioning of wellhead platform and substructures, pipelines and umbilical, water and chemical injection module, along with a construction yard upgrade. The Egret East greenfield scope consists of front-end engineering design (FEED) services with an optional EPCI scope for wellhead platforms, substructures and pipelines.

In Malaysia, Sapura Fabrication was awarded a contract from PETRONAS Carigali for the provision of procurement, construction, hook-up and commissioning (PCC), and start-up works of BNJTK BN-84 well tie-in for Bardegg-2 and the Baronia enhanced oil recovery (EOR) development project.

For its drilling segment, Sapura Drilling Asia has secured a contract

with PTT Exploration and Production for the provision of its tender-assist drilling rig, Sapura T-17, for the Bongkot gas field in the Gulf of Thailand.

Meanwhile, Sapura Drilling Asia has been awarded a contract extension by PETRONAS Carigali for the provision of its semi-submersible tender-assist drilling rig, Sapura Berani. The contract entails the drilling of five additional wells in Erb West, offshore Sabah and the Dulang facilities, offshore Pen insular Malaysia.

In addition, Sapura Drilling was awarded a one-year contract extension by BSP for the provision of its semi-submersible tender-assist drilling rig, Sapura Pelaut.

Using AI to Unlock Oil and Gas 'Treasure Trove'

Researchers aiming to help operators maximize recovery are using artificial intelligence (AI) to unlock a vast amount of rw data collected by the oil and gas industry.

The Intelligent Data Quality Improver (IDQI) project is an initiative involving the University of Aberdeen and co-funders the Oil & Gas Innovation Centre (OGIC), software R&D company HyperDAP Ltd, and The Data Lab –Scotland’s innovation centre for data and AI.

The project aims to develop algorithms that will bridge the gap between the vast amounts of big data available to the oil and gas industry - predominantly in exploration and production - and its ability to analyse, interpret and manage it effectively.

Professor Wamberto Vasconcelos, from the University’s Department of Computing Science, said: “Data is potentially among the most valuable assets created and owned by a business, but without proper interpretation it has very little value.

“The oil and gas industry alone produces 2.5 quintillion bytes of data each day, but only 1 per cent of this data is analysed, which is a missed opportunity in terms of asset value maximisation and new field discovery".

“The IDQI aims to address this issue, using Distributed Optical Sensing data to develop algorithms capable of performing automated analyses on digital exploration and production datasets".

The oil and gas industry alone produces 2.5 quintillion bytes of data each day, but only 1 per cent of this data is analysed, which is a missed opportunity in terms of asset value maximisation and new field discovery"Professor Wamberto Vasconcelos

“This means we can extract and interpret most of the hidden information in a matter of minutes using, among others, a range of AI techniques such as machine learning, fuzzy logic and rule-based reasoning. This has the potential

to unlock a vast treasure trove of data that is not currently exploited”.

added “There is a substantial amount of context-related information hidden inside datasets, which adds value well beyond what data themselves convey on the surface".

“Once extracted and made explicit through data analysis and interpretation, this information can be formally measured against the quality of those datasets – the more information, the higher the corresponding dataset quality".

“At present, very little analysis and interpretation is performed in several specialist areas of oil and gas exploration and production. For example, distributed optical sensing data from wells is constantly acquired but almost invariably stored without in-depth analysis, as it can take weeks for a human expert to analyse one single day of data records".

“IDQI has the potential to revolutionise the way that this raw data is interpreted, providing greater speed, accuracy, and ultimately providing insights that can be of real benefit to operators".

Nicoletta Compatangelo, Managing Director of HyperDAP Ltd,

Oil and Gas Will Keep A Dominant Position in Energy Market Until 2040

Home to 60% of the world’s population, Asia Pacific is one of the places most vulnerable to severe weather phenomena caused by climate change. Because power generation accounts for a significant proportion of greenhouse gas emissions, it is no surprise that countries in the region are looking for more sustainable ways to produce electricity.

Still, power is ultimately a source of good. People use it every day for work and play. Communities need it to drive economic growth.

As a leading energy solutions provider, Mitsubishi Power is helping Asia Pacific strike this balance between delivering reliable power and protecting the environment.

For decades, we have worked with governments, state-owned utilities and other customers in the region as they embark on their respective energy journeys.

Our work in Thailand began in 1968 when we collaborated with the Electric Generating Authority of Thailand (EGAT) on the construction of the Queen Sirikit Dam. Since then, our installed base has grown to over 25 GW –equivalent to 50% of the country’s current power generating capacity.

The strength of the Mitsubishi Power and EGAT relationship led to the creation of a 2009 joint venture called EGAT Diamond Service (EDS) to deliver trusted gas turbine maintenance. Serving both domestic and international customers, EDS ensures reliable and efficient operations in the region’s path toward cleaner power generation.

Other key projects in the country include supplying J-Series Air Cooled (JAC) gas turbines to two natural gas-fired power plants – each with a generating capacity of 2,650 MW – currently being built in Chonburi and Rayong provinces. With 99.6% reliability, these turbines incorporate the latest designs and technologies to reduce carbon emissions and lead the category in terms of efficiency. We also recently signed a full turnkey contract for the engineering, procurement and construction of the 1,400 MW Hin Kong Combined Cycle Power Plant Project in Ratchaburi province, about 100 km west of Bangkok.

Through it all, we are guided by a strong belief that the paths to decarbonization – though many and varied – all require optimizing existing assets while simultaneously deploying new solutions.

As we enter a new chapter in our history, Mitsubishi Power will continue to deepen and expand our partnerships in Thailand and further fortify our capabilities and offerings to support the country’s energy transition journey.

On top of building strong local partnerships, we are at the forefront of developing innovative energy technologies. Our Gas Turbine Combined Cycle (GTCC), Integrated coal Gasification Combined Cycle (IGCC), Air Quality Control Systems (AQCS) and biomass-fueled technologies are set to transform power systems all around Asia Pacific – making them more efficient while significantly reducing their carbon emissions. We also design and deliver other advanced clean energy solutions such as fuel cells and energy storage systems to harness and utilize energy more effectively and flexibly.

We are engineering the power plant of the future, incorporating technologies not usually associated with power generation such as data analytics and Artificial Intelligence as well as building capacity to run with cleaner fuels. Our T-Point 2 GTCC validation facility in Japan – regarded as an icon for long-term prototype testing – is on track to becoming the world’s first autonomous combined cycle plant powered by our suite of AI-enabled TOMONI™ digital solutions.

And to further support the realization of a zero-carbon society, we are working toward accelerating hydrogen adoption in power generation. In 2018, we completed test trials of 30% hydrogen co-firing in gas turbines using dry low NOx combustion technology. Now, we are in the midst of converting GTCC plants in the Netherlands to run solely on hydrogen by 2025.

Mitsubishi Power is paving the way for an energy future that works for people and the planet. With clear commitments and plans, we are confident that this future can be achieved in Thailand and in this region. Access to clean, reliable, and affordable power drives progress, and nowhere is this potential greater today than in Asia Pacific.

China, Philippines: 'Bigger Step' Possible Offshore

Duterte's spokesman said earlier this month that he would meet Xi to discuss a 2016 arbitration ruling that invalidated China's claim to sovereignty over most of the South China Sea.

A report at meeting by China's state news agency Xinhua made no mention of the ruling, which China has vociferously disputed.

It said Xi urged the two sides to "set aside disputes, eliminate external interference, and concentrate on conducting cooperation, making pragmatic efforts and seeking development".

"As long as the two sides handle the South China Sea issue properly, the atmosphere of bilateral ties will be sound, the foundation of the relation ship will be stable, and regional peace and stability will have an important guarantee," it quoted Xi as saying.

The two sides could take a "bigger step" in the joint development of offshore oil and gas, it quoted Xi as saying.

Xi made the remarks on August in a meeting in Beijing with Philippine President Rodrigo Duterte, who has positioned himself as a friend of Beijing but has come under growing pressure at home to push back against China's maritime assertiveness.

The visit comes amid a recent rise in tension on multiple fronts, with Chinese vessels challenging energy assets and sea boundaries of Malaysia, Vietnam and the Philippines, prompting the United States to accuse China of "coercive interference" and holding hostage $2.5 trillion of oil and gas in the region.

Duterte "expressed his view that the path to peacefully resolving the South China Sea disputes is through cooperation, rather than confrontation", according to Xinhua.

He also pledged to speed up joint maritime oil and gas exploration with China.

On Thursday, China and the Philippines announced the establishment of an "intergovernmental joint steering committee and a working group between relevant enterprises" on oil and gas cooperation, Xinhua reported.

China's claims in the South China Sea, through which about $5 trillion in ship-borne trade passes each year, are contested by Brunei, Malaysia, the Philippines, Taiwan and Vietnam.

Chinese President Xi Jinping said China and the Philippines could take a "bigger step" in the joint development of oil and gas resources in the South China Sea if they can "properly" handle their dispute over sovereignty.

New ABB Emission Monitoring Solution Helps the Maritime Industry Achieve Decarbonization Targets

The launch of ABB’s CEMcaptain will help shipping comply with the sulphur emission regulations that were enforced in 2020, and keep in check their CO2 footprint.

In January 2020, the low sulphur and nitrousoxide emission limits in the International Maritime Organization regulations became effective worldwide. CEMcaptain is a powerful emissions monitoring system from ABB designed to help the maritime industry meet these new regulations and become more sustainable. Its measurement and digital capabilities increase on-board safety, provide process optimization and substantially reduce ownership costs. By consistently achieving 98 percent and more uptime, the new system not only requires less maintenance effort but also saves time otherwise spent on handling non-compliance issues.

Designed with busy mariners and a regularly changing crew in mind, CEMcaptain is a multi-component analyzer system that continuously provides real-time data offering reliable measurement of emissions with the highest stability. Operating in even the harshest of conditions it integrates analyzer modules and sample handling components in a standalone cabinet, making installation easy.

Equipped with ABB’s renowned Uras26 non-dispersive IR gas analyzer, CEMcaptain simultaneously and continuously measures sulphur dioxide (SO2) and carbon dioxide (CO2) in line with regulation requirements. Each analyzer has two separate gas paths to allow for continuous CO2/SO2 measurement of separate streams, with up to four different components per analyzer module.

“Our solutions are driving the evolution of sustainable shipping, paving the way to a zero-emission marine industry. ABB has more than 60,000 Continuous Emissions Monitoring Systems (CEMS) installed in over 100 countries that help monitor our environment,” said Stephen Gibbons, ABB’s Head of Product Management in Continuous Gas Analyzers. “We draw on 60 years of experience in emissions monitoring to provide this support in concrete terms. CEMcaptain has been combined with innovations in on-site and remote digital services. The result is a solution that provides the industry with a digital toolbox that increases regulatory compliance and operational efficiency.”

Fast fault reporting, diagnosis and repair are achieved via the on-site and remote digital services which help operators get closer to 100 percent availability for their gas analysis instrumentation. Dynamic QR codes are integrated into the ABB CEMcaptain system display panel. All relevant diagnostic information can be collected from the analyzer via a scanned code and transferred to ABB support. This means that maritime instrumentation technicians can send real-time information to an ABB service expert to get immediate guidance on appropriate maintenance. ABB Ability™ Remote Assistance with secured connectivity direct to ABB support is also offered for real-time solutions to problems. These features reduce the costly training of changing crews as well as the number of experts required on board. They also increase on-board safety by reducing crew exposure to emissions.

CEMcaptain GAA610-M is approved by all major classification societies (DNV GL, ABS, Lloyd’s Register, Bureau Veritas, ClassNK, Korean Register).

New powerful emission monitoring solution for the marine industry Compliance with maritme emissions regulations becomes easy with ABB's new analyzer solution

High Technology Bearings Minimise Vibrations on Patrol Boats

The high-tech material Sylomer helped to reduce the noise level to 79.2 dB in the wheelhouses of six patrol boats manufactured by the Singaporean shipbuilder Lita Ocean.

Buers (Austria), Singapore: Lita Ocean, a leading shipbuilding and marine services company in Singapore, recently built six patrol crafts ordered by the Maritime and Port Authority of Singapore. To efficiently minimise noise and vibrations in the wheelhouses of the 17 meters long vessels, the naval architects and engineers relied on the elastic polyurethane material Sylomer from Getzner Werkstoffe.

When the Singaporean shipbuilding and marine services company Lita Ocean received an order from the Maritime and Port Authority of Singapore for six patrol boats with a length of 17 meters in the summer of 2019, the involved naval architects quickly recommended the use of the Getzner Werkstoffe anti-vibration materials for the wheelhouse bearings. “The decoupling of the wheelhouse with our in-house developed polyurethane material Sylomer lowers noise levels significantly and ensures standard-compliant working conditions”, explains Keith Wong, Area Sales Manager Asia Pacific at Getzner Werkstoffe. “Sylomer bearings help to decouple sources of vibration disturbances such as drive motors, HVAC equipment or pumps and therefore protect sensitive electronic components in the wheelhouse. That leads to a longer service life of the vessel’s structure and infrastructure.”

Maximum noise level 79.2 dB

After completing the installation works, the Lita Ocean experts, among them naval architect Mr. Win Lu and Assistant General Manager Mr. Mohamed Tamiri, measured the noise level in different areas of the vessel. The maximum level recorded in the wheelhouse was 79.2 dB – a very satisfying result, below the target level of 80 dB at maximum load set by Lita Ocean.

To determine an ideal anti-vibration solution for the patrol boats, the naval architects calculated all important parameters and decided to use two different types of Sylomer in order to achieve the best optimisation level: the soft Sylomer SR11, and the stiffer SR42. Experts from Getzner Werkstoffe accompanied the process with technical consulting, for example regarding the type of adhesive used or the installation of elastic washers.

Proven long-term efficiency

The polyurethanes from Getzner convince with proven long-term behaviour even when exposed to salt water. Sylomer performs in many different applications since decades – its excellent long-term

behaviour has not only been proved in numerous reference projects, but also approved by notified research and test institutes such as the Technical University in Munich.

Sylomer Marine

For the shipbuilding sector, the company has introduced the specialised and fire-retardant anti-vibration product Sylomer Marine. The IMO/ SOLAS certified product is mostly used for the bearing of ships hulls. Thanks to its resilience and outstanding vibration isolation and vibration dampening qualities, Sylomer Marine reduces wear and noise pollution and minimizes damage to the infrastructure.

Emerson Releases New Sensors

Capable of Carbon Monoxide and Oxygen Depletion

Emerson has released two new Rosemount™ 628 Universal Gas Sensors to measure carbon monoxide and oxygen depletion in additon to hydrogen sulphide measuring capabilities.

The new sensors enable a broader range of hazardous situations to be monitored using the Rosemount 928 Wireless Gas Monitor platform.

The Rosemount 928 Wireless Gas Monitor is suitable for monitoring hazardous conditions in process plants, remote wellheads, pipelines, storage terminals and other facilities.

For easy installation and maintenance, the Rosemount 928 Gas Monitor has hot-swappable main components, including the power module and the Rosemount 628 toxic gas sensor.

“Hydrogen sulphide monitoring is vital to personnel safety, leading many facilities to install Rosemount 928 Wireless Gas Monitors,” said Joshua Hernandez, Global Product

Manager of Flame and Gas Detection at Emerson Automation Solutions.

“Having the ability to monitor for oxygen depletion and carbon monoxide is a major step forward in wireless gas monitoring.”

With the addition of sensors for carbon monoxide and oxygen depletion detection, the monitors can be used for other appli cations, or additional gas monitors can be deployed.

“Companies can now solve a long-time challenging safety issue simply and costeffectively, which shows the power of wireless network technologies.”

“Current wireless network users can benefit from the new gas sensing types which greatly increase toxic gas safety at their sites.”

Halliburton Introduces Downhole Cutting Technology

With this portfolio, operators will achieve single blade cuts in a short span of time with real-time downhole data that is capable of reducing uncertainty of data.

According to Halliburton, the technology eliminates the need for traditional explosive charges and chemicals, resulting in enhanced safety and un-complicated transportation. The complete portfolio of the new technol ogy provides faster and accurate cutting solutions.

Each operation of the electro-mechanical downhole cutting requires minimal surface equipment to carry out faster disposal from any wireline unit.

Halliburton Wireline and Perforating vice-president Trey Clark said: “The ability to deploy cutting services rapidly and efficiently is important for pipe recovery."

“This new technology complements Halliburton’s extensive well intervention portfolio, helping operators reduce the cost to construct new wells and extend the life of old wells.”

Halliburton said that an operator has recently used the electro-mechanical down hole cutting service for a well abandonment programme in the North Sea. The technol ogy saved one and half days of rig time per well, which is a decent reduction from the initial plan.

Westerton

The

IMO 2020: Are Asian Refineries

Ready?

The upcoming change in global standards for marine fuels will transform oil product flows. Asia is well placed to capitalize on the shift, despite the challenges of rising costs and oil prices, write

The refining industry is on the brink of a major shift in the demand structure of bunker fuels, and refiners are making plans to meet changing product demand brought about by the IMO 2020 deadline.

The initial effect will be to create a huge disposition issue for some 3 million barrels per day (b/d) of high sulfur fuel oil (HSFO), globally. That volume will need be replaced by low sulfur fuel oil (LSFO), marine gasoil (MGO) and various low sulfur blends of gasoil

and residuals, with some volumes absorbed by the power sector with the expected drop of HSFO prices.

In order to make those changes, relatively expensive steps are required throughout the refining industry to rebalance products. S&P Global Platts Analytics forecasts that the spec change will have a widespread effect on price spreads of refined products in 2020.

For middle distillates, cracks are forecast to surge. HSFO cracks are expected to fall and HSFO absolute prices may drop to low levels towards the end of 2019, incentivizing

increased use in power generation.

Despite all these challenges, Asia is set to benefit from IMO 2020 more than most other regions due to its surplus of gasoil and its relatively high complexity of refineries. Asian refiners have continued to upgrade, allowing them to achieve greater yields of valuable lighter products and strip out sulfur. This will set them on a better footing to adjust for IMO 2020.

China and India are well-placed to take advantage of the bunker spec change with their high ratios of coking and hydrocracking versus crude distillation capacities. Japan is a major LSFO producing and consuming country in Asia while South Korea is a major gasoil exporting country. Both stand to benefit from high distillate cracks.

JY Lim and Kang Wu of S&P Global Platts Analytics

The IMO bunker spec change in 2020 will be the most disruptive event to hit the refining sector in decades, even as Asian refiners have made concerted efforts to supply compliant fuels. But Asia’s rising surplus of gasoil will help to ease the region’s transition.

The IMO 2020 spec change will have a widespread effect on price spreads of refined products. Specifically for middle distillates, cracks are likely to increase significantly in the fourth quarter of 2019, and peak sometime in early 2020. Both HSFO flat prices and cracks are expected to fall in 2020.

Installation of exhaust gas cleaning systems, also referred to as scrubbers, is one alternative solution that the shipping industry

Asian product demand growth by year

(million b/d)

-1.0 -0.5 0.0 0.5 1.0 1.5

can choose, leading to the continued use of some volumes of HSFO. Other solutions for the shipping industry include LNG bunkers, and the use of other fuels meeting the sulfur requirements, or simply non-compliance. But these are expected to represent a tiny percentage of bunker fuels used: Platts Analytics expects that the compliance rate will be high.

The change will also mean a significant shift in the composition of Asian oil demand, with the gasoil share rising by 2 percentage points from 2019 to 2020 and fuel oil share declining by 2 percentage points.

Singapore, as the world’s largest bunkering hub, will have to make major changes. Singapore’s product demand composition will undergo a drastic change, with HSFO demand dropping in 2020 while demand for MGO and LSFO rises. Market participants are keeping an eye on how Singapore will gear up to meet its bunker demand. Singapore is the world’s largest bunkering market and today imports huge volumes of HSFO.

In 2020, Singapore will still be a net importer of HSFO as vessels installed with scrubbers will continue consume the fuel, but most of its demand will switch to 0.5% LSFO and MGO, creating new challenges to its supply chains.

Overall, the changes are likely to benefit refining in Asia, which is long on gasoil, and the major bunker suppliers and China are developing supply options for LSFO The Maritime and Port Authority of Singapore

(MPA) is working with stakeholders to ensure an adequate availability of compliant fuel oil at its port ahead of 2020, with a list of suppliers made available in mid-2019.

Since 2000, Asian refiners have added substantial volumes of refining capacities as well as upgrading capabilities. In fact, the region has been adding conversion capacities more rapidly than crude distillation units (CDUs) over the past few years

India’s conversion ratio – or the amount of more complex conversion capacity, such as fluid catalytic cracker (FCC), resid catalytic cracker (RCC), hydrocrackers (HCU), or coking capacity relative to CDU capacity–has improved the most among Asian refiners. It is expected to reach a new high this year after a series of upgrading works to prepare refineries for a nationwide rollout of the Bharat VI standard, which applies to gasoline and gasoil and mandates a limit of 10 ppm sulfur, equivalent to Euro 6, in April 2020.

However, China’s conversion ratio is still ahead, although the improvement has slowed over the last few years. China implemented the Nation 6 standard with 10 ppm sulfur levels (equivalent to Euro 6) nationwide in January 2019.

Japan’s refinery conversion ratio has improved due to CDU closures as part of the METI’s Refinery Ordinance. Japan is well ahead in its preparations as it has substantial residue desulfurization facilities, which were originally built mostly to make LSFO for power generation. South Korea’s conversion

Gasoil

Naphtha Mogas LPG Jkero FO Ot hers

*Forecast

Source: S&P Global Platts Analytics

ratio also improved over the years due to upgrading.

In addition, Asian refiners added significant hydrotreating or hydrodesulfurization (HDS) capacity to meet government mandates for tighter product specifications. Asia’s HDS to CDU ratio has improved sharply over the last several years, and will increase further this year.

The higher conversion and HDS ratios in the region will enable refineries to have more flexibility in terms of their choices on crude slates, and more fuel oil will be converted into valuable lighter products. Asian refineries are now on a better footing to make changes to meet IMO 2020 bunker specs.

stic industrial demand, as the country’s economy slowed and moved to more services-oriented growth. South Korea net exports also accelerated last year, but India remained the top regional gasoil/diesel exporter. In the meantime, Japan’s net gasoil exports declined in 2018 on a cut to refinery runs.

For 2019 as a whole, India’s net gasoil exports are likely to decline in 2019 due to its robust domestic demand and heavier turnarounds as refineries upgrade to meet the mandate of Bharat VI standard (10 ppm sulfur) nationwide in April 2020.

Japan’s exports, however, are expected to be slightly higher this year on the back of

Net gasoil expor ts by the Asian “Big Four”

(million b/d)

The “Big Four”

Asia’s “Big Four” (China, India, Japan and South Korea) have been exporting increasing volumes of gasoil, due to higher refinery runs as demand growth moderates.

further declines in domestic demand despite refiners’ possible cuts.

In a nutshell, Asia’s net exports of gasoil are expected to rise. Platts Analytics expects Asia’s net exports of gasoline to ease slightly in 2019 from last year as regional refiners shift yields toward middle distillates due to stronger distillate cracks. The shift in yields towards distillates will be more apparent come 2020 as distillate cracks strengthen further.

China has become a prominent regional exporter of gasoil. It is a minor net fuel oil importer. China is building desulfurization and conversion facilities and we expect the country to increase its share of the global bunker supply market by increasing production of compliant bunker grades. To further optimize utilization, China could import more medium or heavy sour crudes and increase coker operations, if government policy permits it.

In effect, China is well-placed

to benefit from the shift to IMO 2020, particularly with its experience from the early implementation of the new Emission Control Area (ECA) rules from January 1, 2019. The rule means that any vessel en tering any port in China along the coast or entering internal waters must use bunker fuels with a sulfur content of no more than 0.5%. This is essentially the same quality specification as the broader IMO specification change set to go into force in 2020.

Singapore will be a major outlet when demand for marine gasoil picks up come 2020. However, given its long distillate position, China may take the opportunity to expand its own bunkering operations.

India is the largest regional net exporter of gasoil and a very minor net importer of fuel oil. Indian refineries are relatively well positioned to deal with challenges associated with bunker spec changes under IMO 2020 owing to their high level of coking and HCU capacity relative to FCC, which would allow refiners to produce more gasoil than gasoline. State-owned IOCL, for instance, has already carried out detailed tests to advance the production of low sulfur fuel oil

compliant with IMO’s 2020 rule and aims to start supplying cargoes commercially from September 2019.

Japan is a regional minor net exporter of gasoil and a very minor net exporter of fuel oil. Japan is not currently a major bunker center. But it has substantial residue desulfurization facilities. These were originally built mostly to make low sulfur fuel oil for power generation, but have since been repurposed into refinery conversion unit pre-treatment facilities (to help meet low sulfur diesel and gasoline specs). It is likely that some of these could be shifted back into fuel oil service. That could provide LSFO both for the modest local bunker market, and perhaps more likely, as an export to Singapore.

South Korea is a major regional net exporter of gasoil/diesel and a minor net importer of fuel oil, and will stand to benefit from high distillate cracks in 2020. The country is a mid-size player in the Asian bunker fuel market. Refiners in the country are ramping up investments to destroy high sulfur residue and boost production of lighter and lower-sulfur products.

In summary, the IMO bunker spec change in 2020 will be the most disruptive event to hit the refining sector in decades even as Asian refiners have made concerted efforts to supply compliant fuels. However, Asia’s rising surplus of gasoil will help to ease the region’s transition. IMO 2020 will drive up demand for gasoil and drive down demand for HSFO, increasing the price differential between the two.

The surplus of gasoil in the region will tighten with a substantial increase in gasoil demand as a result of the spec change. Power generation’s use as a sink for HSFO is likely to increase come 2020. In Asia, Bangladesh and Pakistan will have the potential to increase their usage of HSFO, but the Middle East and perhaps Russia will absorb a substantial part of the surplus.

In the longer term, as the demand for HSFO bunkers begins to grow post-2020 as a result of ships adding scrubbers, and as additional conversion and residue desulfurization capacities start up, spreads will narrow and the historical Singapore HSFO arbitrage could return.

Applications of Surface Engineering Coating in Repairing Machinery Parts in the Thai Industry

in Thailand is comprised of a range of applications. For some applications, the machines’ owners can implement the repairing process by themselves, while other uses require a complicated process with experienced and trained workers. This depends on the severity of the problem, difficulty of the process, costs of equipment and materials, etc. The analysis of the severity of the damage of machinery parts upon discovery of the defect can be done by the following:

• Degree of difficulty of dismantling the machine and the mobility of the machinery part

• Cost and time associated with purchasing a new part from OEM

As a result of the economic recession in Thailand and the world, there is a slowdown in industrial development, and there is a prediction that this could lead to serious economic problems shortly.

For this reason, many businesses in the industry try to reduce the costs of production as much as possible. Costs of production in terms of repairing and maintenance of machinery parts is one of the essential aspects. As a machine operates, there is a movement of many parts, creating friction on the surface, which in turn leads to wear problems. Furthermore, environmental factors such as a change in temperature, acidity, and dust can lead to attrition or corrosion.

Typically, a solution of machinery breakdown due to corrosion or wear is to replace the affected part by purchasing the new one from Original Equipment Manufacturer (OEM) or producing an identical copy from OEM. However, there are some cases that OEM has already discontinue producing or distributing that machinery part. Besides, by purchasing a new part form OEM, it could be very time-consuming and costly.

Furthermore, by reproducing the machinery part can lead to a lower quality, which could lower the quality of the products or services produced by the company in the future. Consequently, many firms in the industry choose to repair their machine by focusing only on the affected part when the problem is caused by corrosion or wear. However, this does not include components that are broken, crooked or completely damaged. Machinery parts that can be repaired by using Surface Engineering Coating are those that are abraded or worn out on the surface. By using Surface Engineering Coating, the original dimension of machinery parts can be restored, as well as enhances the usage life of machinery parts by strengthening the surface adhesion force, which could be stronger and of higher quality than those produced by OEM.

Surface Engineering Coating that is recently used for maintenance and repair

• Possibility of reproducing a new part that maintains the same quality as OEM's

• Whether the part has experienced wear, and the type of wear the part has experienced

• Whether the part has experienced corrosion, and the type and severity of corrosion the part has experienced

• The environment in which the machine operates in; in contact with other parts or explosion to air, type of chemicals that are in contact with the part

• Stability of the temperature in which the machine operates in

• Type of load that acts on the part; point load or distributed load

• Shape, size and weight of the art

Source: polymet.us

Once the analysis of the severity of the damage of machinery parts has been carried out, we can identify the process of repairing that is suitable for a specific machinery part. Here are some examples of the usage of Surface Engineering Coating in the industry in Thailand and a brief description of different applications and their advantages and disadvantages.

Weld Overlay is a popular method of repairing and maintenance because it is easy to apply. This is because a lot of companies have their welding machine and materials, as well as experienced welders and Welding Procedure Specialisation (WPS) and Procedure Qualification Record (PQR), as well as a lack of qualified welders in many industries in Thailand.

Advantages:

• Can coat with high thickness

• Creates a durable coated surface with high surface adhesion

• Convenient, fast and relatively cheaper than other methods

• Can be done by workers in the company

Disadvantages:

• High temperature could change microstructure of parts

• Chemical compatibility must be considered when considering the material used for welding

• Usually requires Pre-Heat and Post-Weld Heat Treatment (PWHT)

Advantages:

• Narrow weld with high strength

• Only cause minor changes in microstructure because of low heat application

• High accuracy due to small, tightly controlled laser beam

• Low thermal distortion

Disadvantages:

• High initial and maintenance cost

• Highly skilled labour is required

• Limited welding thickness

• Low energy conversion efficiency

• Not convenient for On-site jobs

Laser Cladding

Laser Cladding is another new method of Surface Engineering Coating, which was developed from Laser Welding by increasing the energy source of the laser beam to kilowatt, as well as including a system that constantly feeds metal powder into the area to be added, rather than using metal wire. However, nowadays, Laser Cladding is not very widely used due to its high cost and limited availability.

Advantages:

• Little to no distortion

• Small heat affected zone

• Greater impact resistant as compared to Thermal Spray

• Lower dilution rate and thinner clad as compared to Arc Welding

• Heat input less than 20% of the heat compared to Arc Welding

Source: www.durametal-alloy.com

Laser Welding

Laser Welding is a new method of Surface Engineering Coating in repairing machinery parts. In the past, laser welding was widely used in jewellery and mould industries. However, recently, laser welding has gained more popularity and is now used for repairing and maintenances machinery parts in a wide range of industries.

Disadvantages:

• High set up and maintenance costs

• Large equipment size

• Not portable

• High build rate and incorrect setup can cause stress cracking in the cladding

• Limited availability and capability

Source: www.ptamaterial.com

Plasma Transferred Arc Welding (PTA)

Plasma Transferred Arc Welding or sometimes called Powder Welding is a method developed from welding and thermal spray. PTA is normally used in valve and screw production and glass moulding industries, and used for Hard Facing Coating. However, this method is not wildly used in Thailand yet, due to high cost and limited application.

Advantages:

• Low level of inclusion, oxide and discontinuities

• Weld dilution can be controlled to less than 10%

• Very thin surfacing between basis material and the welding surface (1-2 mm.)

• The weld hard-facing has very similar metallurgical properties as the base material

Disadvantages:

• Requires powder material, which is more expensive than electrode or wire

• Higher heat input, as compared to thermal spray or laser welding

• Requires Post-Weld Heat Treatment (PWHT)

• The weldability of the base material needs to be considered

Thermal Spray Coating

Thermal Spray Coating has been used in Thailand for more than 40 years. In the

past, Flame Spray was used in a range of industries in Thailand. However, because of technical problems in the past, many businesses faced corrosion again shortly after the process, which caused Thermal Spray to lose its reputation and decreased its popularity. Later in the 2000s, there was a technological development in Thermal Spray Coating area, and more advanced Thermal Spray systems such as Arc Spray and HVOF started to emerge, which offered higher quality products and services. For this reason, Thermal Spray Coating gained more popularity and has been used widely in many industries in Thailand.

Advantages:

• Wide range of coating and substrate materials available

• Fast speed of coating formation

• Portable

• Very low heat input

• Low environmental impacts

Disadvantages:

• High cost

• Low degree of surface adhesion on small substrates

• Thick coatings are difficult to achieve

• Does not always indicate the characteristics of the original based materials

Hard Chrome Plating

Hard Chrome Plating is a method of Electroplating that was very widely used because of its high degree of hardness and corrosion-resistant, as well as a low Coefficient of Friction. Furthermore, Hard Chrome Plating also offered lower costs, compared to other plating methods. Because of its negative impact on health and the environment, Hard Chrome Plating is regarded illegal in many countries. However, Hard Chrome Plating is still used in some countries, including Thailand.

Source: coatingsworld.com

Advantages:

• The coating has high strength and good corrosion resistance with a Low Coefficient of Friction

Disadvantages:

• Hard Chrome Plating is banned in the EU and many other countries

• The process involves the use of hazardous chemicals and gases that are harmful to workers and the environment

• The process can only be done by trained and experienced workers

Brush Electro Plating

The process of Brush Electro Plating is similar to other Electroplating processes. However, this process involves brushing electrolyte wetting agent and on the surface of the specific area of the part, rather than dipping the part in the electrolyte wetting agent. Blush Electro Plating process can be used both in workshop conveniently because of its portability. Coating materials that can be used in this process include Copper, Nickel, Babbitt, Silver, etc. In Thailand, many businesses offer this service, both on-shop and on-site.

Advantages:

• Convenient for on-site jobs

• Does not involve heat in the coating process

• Works better with machinery parts with mild corrosion, compared to Thermal Spray and Welding

• Does not require machining process

Disadvantages:

• Requires skilled and experienced workers

• Not suitable for machinery parts with severe corrosion and wears

• If the surface finishing process is not done correctly, it can cause misalignment

Polymer Composite Coating

Polymer Composite Coating is a type of organic coating. Mostly, materials that are used are Epoxy Thermosetting plastics, which can be graded differently depending on its characteristics. For example, some epoxies have a different degree of heat tolerance, wear resistance and machinability. Sometimes, other materials such as glass, metal, and ceramic can be added into the epoxy to add in other characteristics. Example of this is a ceramic composite coating.

Advantages:

• Does not involve heat in the coating process

• Can be done by the machine owners

• Possible for on-site jobs

Disadvantages:

• The coating has low heat resistance (Below 200C)

• The curing process can be time-consuming

• If the surface preparation process is not done correctly, the coating will have low adhesive strength

Author: Kiattisak Meekhanthong Managing Director

Advanced Surface Technologies Co., Ltd

Wearable Tech May Help Improve Safety for Gas and Oil Operations

Oil and gas companies are evaluating the possibilities of deploying wearable devices in day-to-day operations to improve safety and efficiency in oilfield operations, according to data and analytics company GlobalData

Initial research focuses on enabling the real-time monitoring of field technicians to ensure their safety and to provide audiovisual assistance to perform asset maintenance, with the hope of adopting lightweight yet robust wearable devices, GlobalData noted.

These features of wearable technology encourage oil and gas companies to adopt helmets, smart glasses, wristbands and other devices that incorporate technologies such as wireless connectivity, artificial intelligence (AI) and augmented reality (AR).

Ravindra Puranik, oil and gas analyst at GlobalData, said, “Mobility is considered as the main driver and precursor to implementing any wearable technology in the oil and gas industry. Ever since the evolution of digital technologies, companies in the oil and gas sector are using industry-grade smartphones to capture field-level data and exchange information with onshore experts.”

“Instead of handheld smartphones, hands-free devices will increase work efficiency among the frontline workforce. Through different applications, wearable smart devices are expected to bring a paradigm shift in oil and gas field operations,” he added.

Wearable devices are also designed to provide safety to field staff by monitoring the wearer’s health condition, alerting them from exposure to potential hazards and also providing access to live locations of workers to the onshore support team. This, in turn, provides a sense of security among the workers and increases productivity.

“The oil and gas industry is integrating wearable tech with inspection and maintenance

technologies to improve data collection and minimise risk to its workforce. Wearable devices in the oil and gas industry are made to withstand extreme temperature variations and resist oil, chemical spills, heavy rain, and dust among other things, making the working environment more secure,” he stated.

GlobalData’s thematic research identifies oil and gas companies, such as BP and Shell, among the leading adopters of wearable technology. In addition to these, several other companies, including Saudi Aramco, Eni, Marathon Petroleum, Chevron, ExxonMobil, Baker Hughes, Schlumberger and NOV, have also started to incorporate wearable technology into their operations.

Wearable devices are also designed to ensure the safety of field staff by monitoring the wearer’s health condition. Source: BSEE/Flickr

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Fireworks to Hold 3 Big Exhibitions on Marine and Energy Industries

Fireworks Media (Thailand) Co. Ltd. is going to simultaneously launch three exhibitions: Thailand Marine & Offshore Expo (TMOX) 2020, Oil & Gas Thailand (OGET) 2020 and Powerex Asia 2020. Covering over 3,000 sq. m. areas, the event will take place at Bangkok International Trade and Exhibition Center (BITEC) in Bang Na, Bangkok, between 25 and 27 November 2020.

Over 200 brands of modern technology products and equipment from world-leading companies are showcased there with more than 3,500 industrial entrepreneurs. Most of them come from Harbor Department, Laem Chabang Port, Bangkok Dock Company Limited, Office of Promoting Conventions and Exhibitions (Public Organization), Asian Marine Services Public Co. Ltd., Energy Ministry, Industry Ministry, Provincial Electricity Authority, EGAT Academy, Petroleum Institute of Thailand and PTT Public Co. Ltd. among others.

Ms. Poontarika Saenrit, the manager of Fireworks Media (Thailand) Co. Ltd., announced that it was the fifth year that the three events had been simultaneously launched because each of them related to one another. The major aim is to showcase products and technology on the biggest off-shore industries, ship building and shipping in Thailand. There are many leading companies on ship building, design and construction businesses as well as operation

concerning ship business, building, repairing, navigation, transport and other off-shore industries from up to down streams of international levels altogether to present development and the latest technology on the concerned industries. Doing so will make the country as advanced as others in the world.

It is the 10th year that Oil & Gas Thailand (OGET) 2020 has been organized as the biggest and complete event of oil, gas and petrochemical products and technology in Thailand. It incorporates local and international leading business companies on oil and gas from the up and down streams. Also, there are a lot of specialists on the industry and academic seminars on oil and gas organized by specialized lecturers to talk about the latest development in oil, gas and petrochemical industries at present.

marine fuel business crisis effects in Thailand and how to revive the business by Mr. Kosit Feungsawad, the board member of Sea Oil Petrochemical Public Co. Ltd., and specialists on geology, geophysics and petroleum exploration and production businesses, Challenges and opportunities in storing gas as ice by Pramote Rangsanwichit, Ph. D., the dean of Chulalongkorn University’s Petroleum and Petrochemical College, and The future of ship building, repairing and off-shore engineering in Thailand under EEC’s policy and the National Economic Development Plan by Atthasit Kochaiyapruek, Ph. D., the board manager of Unithai Shipyard and Engineering Co. Ltd.

The Powerex Asia 2020 which has been organized for the third year is considered the biggest exhibition on electrical energy products and technology in ASEAN. It enables local and foreign entrepreneurs and investors as well as interested people to experi ence electrical innovations and have opportunities to participate in academic seminars on energy with specialists on the specific and other areas. Doing so will allow them to learn about the most recent innovations and technology.

In addition, seminars on 13 topics will be held throughout the event. To name but a few are Ways of adjustment to cope with

Ms. Poontarika added that the company also organized a hybrid exhibition which is in the form of physical exhibition along with the virtual one so that overseas participants who are unable to come here can visit the venue on-line throughout the period of the event. The available site is https://bit.ly/3l0OWjJ.

“Thailand Marine & Offshore Expo (TMOX) 2020”, “Oil & Gas Thailand (OGET) 2020” and “Powerex Asia 2020” will take place from 25 to 27 November 2020 between 10.30 a.m. and 5 p.m. at Hall 103 of BITEC in Bang Na. This year, special measures to safeguard and monitor COVID-19 infection are specially imposed with concerns on safety of both organizers and participants.

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