EIC Monthly News September 2015
Š 2003-2015 Shutterstock, Inc
www.the-eic.com
The EIC Chief Executive
The Chief Executive I hope you found the special edition of our August Monthly News useful. We dedicated most of the issue to the forthcoming EICDataStream platform because we wanted to let you know about its excellent new features. Well, I’m delighted to announce that the latest version of EICDataStream is now ready. If you’re already registered, please log in and try it out. I’m certain you will find it easier to use, will appreciate the enhanced functionality and will continue to value the quality of its project data in helping you to develop global business opportunities.
Amidst the spending review comes uncertainty over the next Contract for Difference allocation round and the levy control framework, which determines government support for future projects. However, the recent planning consent for Teesside A & B offshore wind farms shows that the momentum for offshore wind remains strong. The two projects are part of the Dogger Bank offshore wind zone in the North Sea, the capacity of which is estimated at up to 7.2 GW. As part of the EIC’s focus on engaging our diverse membership in cross-sector opportunities, we’ll be launching the UK Offshore Wind Showcase on 24 September in Lincolnshire. In addition to outlining opportunities in current offshore wind projects, the event will also give companies in the oil and gas industry the chance to find out how they can get involved in the sector.
Buzz words from the oil and gas industry, such as ‘standardisation’ and ‘collaboration’, would have been considered hollow without the recent actions from some of the major players. Last month there were a swathe of deals between companies, which will see those involved offer a more complete and cost effective service to operators.
In other areas of the power sector, the publication of the Energy Bill 2015/16 highlighted a carbon capture and storage investment plan. The plan, which will explore the possibility of using the North Sea for storing CO2, is positive for the industry.
Subsea 7, for example, has been particularly busy, forming an alliance with KBR to collaborate in the delivery of Concept and FEED services to the global offshore industry. In a separate deal, Subsea 7 also signed an agreement with OneSubsea to jointly design, and deliver integrated subsea solutions. This kind of collaborative approach should result in lower costs for operators, in turn making developments more commercially viable and more global projects possible in the near future.
Taking this forward, the EIC and key players involved in the White Rose CCS project, hosted an industry showcase which focused on carbon capture and storage. The event attracted a healthy audience of over 140 delegates, who heard from the project’s leading consortia including Drax Power Ltd, Capture Power Ltd, Alstom, BOC and National Grid Carbon. All of the partners involved outlined engagement opportunities and procurement timelines for companies looking to supply into the project.
During July, the P5+1 reached an agreement with Iran on limiting nuclear activity in return for lifting international sanctions. We’re encouraged and excited by this news as Iran is a potentially significant market for our members. To capitalise on this potential, we’ll be hosting an event on 23 September to give members a better understanding of the Iranian market. This will include information on existing trade sanctions, the region’s energy sector potential, current projects, the main opportunities and the support available to companies looking to do business there.
As we head towards the autumn, the EIC National Dinner is fast-approaching. The event, which is being held at the iconic Natural History Museum on 15 October, will welcome over 550 EIC members and distinguished guests from across the energy sector. As always, this year’s dinner promises to be a wonderful evening, with a delicious meal in the Central Hall and entertainment provided by Monty Halls, expedition leader, marine biologist and travel writer.
In the UK, the new Government has created a stir in the power sector with the removal of subsidies for onshore wind developments and consulting on the future of financial support for solar. We’re already seeing the knock-on effect of these changes, with a number of developers withdrawing plans for onshore wind projects (which are currently being tracked on EICDataStream).
During the course of the evening, we’ll also announce the winner of the EIC Award for Supply Chain Excellence, which will be presented by our Honorary President. I very much hope you can join us and look forward to seeing you there. Finally, whatever form the future of the energy mix takes, in the UK and overseas, the EIC will support you to make the most of your commercial opportunities. If you need help to do business in a region that’s new to you, or to maximise your membership, please get in touch with Harriet Fray at: membership@the-eic.com Claire Miller, Chief Executive
Enhanced tablet-friendly version online now
eicdatastream.the-eic.com www.the-eic.com
@TheEICEnergy
2
September 2015
EIC Sector Analysis
Sector Analysis
Connecting Europe
Benefits of electricity interconnections in Europe An interconnected European energy grid is seen as vital for Europe’s energy security, in order to increase competition in the market and encourage competitive prices. Greater interconnection is also pivotal to achieving the climate policy targets which the European Union has committed to. There are missing interconnection links between several countries, and building them will require the European Union (EU) to overcome its fragmentation of national energy markets and progress with the long aspirational EU Target Model. Although EU member states have increased their interconnection capacities in recent decades, some of them remain below the 10% interconnection electricity target. Interconnecting isolated national electric power systems must be a political priority for the EU, through a more co-ordinated approach and a solid regulatory framework. As underlined by the European Council, the interconnection target should mainly be reached through implementation of the Projects of Common Interest.
The commission estimates that around €200 billion are required up to 2020 to build the necessary infrastructure to adequately interconnect all EU member states. This includes €105 billion for electricity projects, out of which €35 billion would be for the interconnectors which acquired a PCI status and are necessary to reach the 10% target across the EU. The implementation of the PCIs is complex and requires cross-border co-operation and regulatory alignment. The four TEN-E regional groups for electricity: Northern Seas Offshore Grid; Baltic Energy Market Interconnection Plan (BEMIP); North-South interconnections in West-Europe and; North-South interconnections in Central Eastern and South Eastern Europe, follow the implementation of the PCIs in their region and report on possible difficulties and may propose corrective measures. However, regional co-operation needs to be enhanced to confront broader policy priorities that go beyond project specific issues of planning and implementation. The four regions will establish an action plan, including tangible interconnection proposals to achieve the 10% target agreed at EU level. The commission will monitor closely the implementation of the action plans and will work closely with the European Network of Transmission System Operators for Electricity (ENTSO-E) to make sure that the Ten-Year Network Development Plan (TYNDP), which constitutes the sole instrument for the selection of PCIs, widens its scope and clearly identifies projects to achieve the 10% interconnection target. An interconnected European grid will help deliver the ultimate goal of the Energy Union; to ensure affordable, secure and sustainable energy, growth and jobs across the EU, as well as reducing environmental impact. In order to achieve the goals of a more connected Europe, an aligned and transparent regulatory framework is needed. Progress is already being made and energy infrastructure is high on the European energy agenda, but there is still a lot to be done. Sarah Lister, Sector Analyst (Power & CCS) Tel +44 (0)20 7091 8606 Email sarah.lister@the-eic.com
Projects of Common Interest (PCIs) In October 2013, the EU Commission presented a list of 248 energy infrastructure projects that are of common interest (PCIs) intended to be launched between 2014 and 2020. These PCIs, in electricity and gas transmission, storage and liquefied natural gas (LNG), as well as in smart grids and in oil, have been selected by 12 regional groups established by the Guidelines for Trans-European Energy Infrastructures (TEN-E Guidelines). The list of PCIs is updated biennially, with a revised list expected at the end of October 2015. The PCIs will benefit from accelerated permitting through streamlined national processes and may be eligible for up to €5.85 billion of EU funding in aggregate. They represent a significant opportunity for investors, financiers, governments, promoters and contractors on a global scale. The table below shows some examples of current PCIs that, if and when completed in coming months and or in the medium term, will help member states reach the 10% target.
Examples of interconnection projects on PCI list. Information taken from EICDataStream
Project name/location
Operator/s
Transmission capacity MW
Total length km
Estimated start-up
EuroAsia Interconnector/ Israel, Cyprus and Greece
DEH-Quantum Energy Ltd
2,000
1,518
Q4 2019
LitPol Link/ Poland and Lithuania
Litgrid/PSE
1,000
163
December 2015
Aquitaine-Basque Country Interconnection/ France and Spain
Red Electrica/RTE
2,000
360
2020
Nordbalt Project/ Sweden and Lithuania
Litgrid/Svenska Kraftnat
700
450
December 2015
Nemo Link/ England and Belgium
National Grid/Elia
1,000
140
2019
www.the-eic.com
@TheEICEnergy
3
September 2015
EIC Monitor
EIC Monitor
Rise in wind turbine contracts return power industry to growth
The latest EIC Monitor report shows improving levels of contracting activity across power generation sectors in Q2 2015, with overall figures showing 6% growth in the number of major contract awards made since the last quarter. This is due to an upturn in wind turbine supply contracts for onshore projects in the UK, although cautious optimism is advised as the impacts of the UK Government’s halt to onshore wind subsidies is yet to be seen.
Spanish firm Gamesa also performed well in Q2 2015, securing three turbine supply contracts, one in England, one in Wales and one in Scotland. REG Windpower placed orders for a total of twelve 2MW turbines – six apiece for its Hallburn onshore wind farm, located north of Carlisle, and Mynydd Portref in South Wales. Gamesa’s other contract is a much larger order of 94 2.5MW and two 2MW turbines for ScottishPower Renewables’ Kilgallioch Forest (Arecleoch Phase II) onshore wind farm, located 5km south of Barrhill in South Ayrshire.
The number of major contract awards in the power industry has held steady in the last quarter (Q2: Apr-Jun 2015), with the number of major contracts (EPC, OEM Supply and PMC) awarded globally across thermal, nuclear and biomass developments equalling the 78 contracts awarded in Q1 2015. There was a sharp upturn in UK wind turbine supply contract awards in Q2 2015 with 10 contracts awarded.
The remaining onshore wind turbine orders have been placed with Vestas and Nordex, who each secured one contract each for Infinis’ Galawhistle wind farm in East Ayrshire (22 3MW turbines) and RES’ Glenchamber wind farm in Dumfries & Galloway (11 2.5MW turbines) respectively.
UK Wind Turbine Contracts in Q2 2015
Offshore, MHI Vestas has received another major order, securing a contract for 116 V112-3.45MW turbines for the 400MW Round 3 Rampion wind farm, located 13km off the Sussex coast, after developer E.ON Climate & Renewables secured investment from the UK Green Investment Bank in order to sanction the project. This is the largest order MHI Vestas has received to date in the UK and also includes a full scope service contract.
In Q2 2015, a total of 10 wind turbine supply contracts were awarded for nine onshore and one offshore wind developments, rising 100% from five awards in Q1 2015, and 67% from six contracts in Q2 2014. A total of four contracts were awarded in Scotland, four in England, one in Wales and one offshore.
Thermal, Nuclear and Biomass Major Contract Awards in Q2 2015
In Q2 2015, a total of 78 major contracts were awarded across 55 thermal, nuclear and biomass developments – the same number of contract awards in Q1 2015 – and decreasing 13% from 90 contract awards in Q2 2014. A total of 32 EPC contracts, 44 OEM Supply contracts and two PMC contracts were awarded.
Turbine manufacturer Senvion continues to do well out of the UK market, securing a total of four turbine supply contracts for onshore wind farms in England and Scotland. The German firm has been appointed by Blue Energy to supply four MM82 turbines for its Chiplow wind farm, located north of East Rudham in Norfolk; six MM92 turbines for its Kelmarsh wind farm in Leicestershire; and 25 turbines of an unspecified model number for its Beinneun wind farm, located west of Fort Augustus in the Scottish Highlands. RWE npower has also placed an order with Senvion for a further nine MM82 turbines for its Batsworthy Cross onshore wind farm in North Devon. www.the-eic.com
@TheEICEnergy
4
September 2015
EIC Monitor EPC Activity The US retains its stronghold on EPC activity in the global power sector, although there has been a slowdown in activity in the country with just six such contracts awarded in Q2 2015. Furthermore, activity levels on gasfired power plant have reduced, accounting for just three contracts, while the remaining three contracts have been awarded on transmission projects.
Emission Abatement System Retrofit is targeting a 40% reduction in nitrogen oxide emissions and, according to Doosan Babcock, will help to extend the lifespan of the power station to 2027. Elsewhere in the UK, National Grid has awarded two EPC contracts for work on the 400kV Nemo Link Interconnector, a 140km subsea link between the UK and Belgium. Siemens has been appointed to build converter stations in both Kent and Zeebrugge, along with a five-year service and maintenance agreement, while Japanese firm J-Power systems will design, manufacture and install its HVDC XLPE cable system.
In northern Ohio, Advanced Power has awarded Bechtel a turnkey contract to build its proposed 700MW Carroll County Energy Center. Located 4km north of Carrollton, the gas-fired combined-cycle plant is set to replace some of the 6.3GW of coal-fired power that is scheduled to be retired in the state in 2015.
Norway’s Statnett is moving ahead with two transmission projects, awarding Croatian firm Dalekovod contracts to build both the 525kV Ertsmyra-Vollesfjord transmission line and the 420kV Tonstad-Ertsmyra-Kvinesdal transmission line in the country’s Western Corridor.
On the East Coast of the US, utility company PSEG has appointed Canadian firm SNC-Lavalin to carry out EPC work for its 735MW gas-fired Keys Energy Center in Prince George’s County, Maryland. SNC-Lavalin has also secured an EPC contract for Western Gas Partners’ Clean Path Energy Centre, located on the outskirts of Farmington in New Mexico. The 680MW CCGT plant will be co-located with a 70MW solar PV project to deliver peaking capacity during higher load times, as well as baseload generation.
Another major transmission project, the Eastern Electricity Highway Project in Ethiopia, has moved into the electrical installation phase after Kenya Electricity Transmission Company awarded China Electric Power Equipment and Technology Company a contract to install 1,330km 500kV/400kV double-circuit HVAC transmission lines, two 500kV substations, three extended 400kV substations, 26 transformers, 29 electric reactors and 21 bays of 500kV/400kV outgoing line for the link from Wolayita Sodo in Ethiopia to Suswa in Kenya.
In neighbouring Arizona, utility Tucson Electric Power has awarded Atkinson Construction a contract to build its proposed 66km, 500kV Pinal-Tortolita Transmission Line from Casa Grande to Red Rock, which promises to improve service reliability in the area and expand access for renewable energy projects. The expansion of renewable power generation in the US has also been a catalyst for two further transmission projects in the Midwest. Omaha Public Power District (OPPD) has appointed Timberline Construction to build its 345kV transmission line, covering 290km from Sibley in Missouri to a site south of Nebraska City in Nebraska. At the same time, Clean Line Energy Partners is planning to build the Grain Belt Express Clean Line, a major 1,255km HVDC transmission line that will carry wind power from western Kansas to Missouri, Illinois and surrounding states. In June, Clean Line Energy Partners appointed local firm PAR Electrical Contractors to carry out EPC work for the project.
In the Far East, South Korea accounted for the one nuclear EPC contract awarded in Q2 2015. Korea Hydro & Nuclear Power Co Ltd has appointed a consortium of Samsung C&T, Doosan Group and Hanwha Engineering and Construction to build Units 5 and 6 of the Shin Kori nuclear power plant. The consortium will build the two APR1400 units as part of plans to increase nuclear power generation in the country to reduce dependence on energy imports. OEM Supply Activity In Q2 2015, Thailand dominated Original Equipment Manufacturer (OEM) Supply contracting activity with 12 contract awards, all for Bangkok Gas-Fired Cogeneration Plants 1-12, which are being built as part of Thailand’s Small Power Producer scheme. Alstom has been contracted to supply geared reaction steam turbine generators, auxiliaries and condensers for the plants, which will be constructed by Toyo Engineering at 12 sites in the suburbs of Bangkok.
In Q2 2015, there was also a significant level of EPC activity in Western Europe, with six EPC contracts awarded across power projects in England, Norway and Germany. In Germany, RWE awarded Amec Foster Wheeler a major contract to design, supply, erect and commission two 550MW ultra-supercritical circulating fluidised-bed (CFB) steam generators to replace the existing four 300MWe pulverised-coal units at the site in Niederraussem, near Cologne.
Alstom has also been successful in India, where the company has secured orders for electrical equipment on transmission projects. In southern India, Power Grid Corporation of India has placed an order for 10 756kV transformers for its Southern Region Strengthening Scheme, while in north-eastern India, Bihar State Transmission Company has placed an order for two 220kV and four 132kV air insulated substations for its Bihar Transmission Network Strengthening.
Emissions reductions are also on the cards for Drax Power Station in Yorkshire where operator Drax Power has awarded a consortium of Doosan Babcock and Fuel Tech a contract to install specialist emissions reduction technology on four boilers at the station. The Drax www.the-eic.com
@TheEICEnergy
5
September 2015
EIC Monitor Power Grid Corporation of India also awarded a further four contracts in Q2 2015 for the supply of electrical equipment for its Green Energy Corridor and Grid Strengthening Project in northern India, which will facilitate the transfer of renewable energy between states, and smooth out intermittency from renewable power sources. Larsen & Toubro has been appointed to supply towers for the 400kV Ajmer-Chittorgarh transmission lines; KEC International to supply towers for the 400kV TirunelveliTutcorin pooling station line; Techno Electric & Engineering Company to supply 765 400kV substations; and Xian XD Switchgear Electric Company to supply 400 230kV gas insulated switchgear and 400kV air-insulated switchgear.
A further OEM Supply contract was awarded to Fujikura by the State Grid Corporation of China for the supply of 14,000 tonnes of ACSR cables for the 2,000km XinguEstreito transmission line from Para to Minas Gerais. The 800kV line, the largest in Brazil, will transport hydroelectric power from the Belo Monte plant on the Xingu river.
In the US, activity has been dominated by equipment orders for gas-fired generation projects. After securing three contracts for US projects, GE Energy will supply two gas turbines and a steam turbine for AES Corporation’s Huntington Beach Power Plant Repower in California; gas and steam turbines for Advanced Power’s Carroll County Energy Facility in Ohio; and will supply and install upgrade equipment for WPS’ 620MW Fox Energy Center Upgrade in Wrightstown, Wisconsin.
In Central America, Mexico’s state-owned utility, Comision Federal de Electricidad (CFE), has awarded Siemens two contracts to supply power equipment for CCGT plants in the country. Siemens will supply two SGT6-8000H gas turbines and generators for the 683MW Empalme I power plant, located in the northern Sonora state, and a further set of gas and steam turbines for the 615MW Valle de Mexico II power plant in Mexico state. A contract has also been awarded to Toshiba to supply two sets of 175MW steam turbines and generators for the 924MW Norte III combinedcycle gas plant, located in Juarez, Chihuahua state.
Despite the current dominance of transmission projects in Brazil, there were two OEM Supply contracts awarded on power plant projects with Grupo Bolognesi appointing GE Power & Water to supply a total of six 7HA gas turbines, three apiece for its 1.2GW Novo Tempo and Rio Grande CCGT plants in Pernambuco and Rio Grande do Sul respectively.
Further east in the Mid-Atlantic states of Maryland and Pennsylvania, Siemens secured a further two equipment orders: one from PSEG for two SGT6-5000FS combustion turbines with duct-fired heat recovery steam generators and one 300MW condensing reheat steam turbine generator for the Keys Energy Center project in Prince George’s County; and one for a power block for Panda Energy’s 1GW Hummel gas-fired combined-cycle power plant, located in Snyder County. The latter is expected to be one of the largest coal to natural gas conversion projects in the US when it goes online in the second half of 2017.
There was also some OEM Supply contracting activity in the nuclear sector in Q2 2015. In China, Guangxi Development Investment Co awarded a consortium of Dongfang Electric Corporation, Dongfang (Guangzhou) Heavy Machinery Company, China Nuclear Power Engineering Company, Babcock and Wilcox Canada a contract to supply steam generators for its Bailong (Fangchenggang) Nuclear Power Plant Units 3 & 4 in China’s southern Guangxi Province. Meanwhile, in Europe, Fusion 4 Energy awarded Spanish firm Ferrovial a contract to supply a 1.2mV high voltage power grid for the International Thermonuclear Experimental Reactor (ITER) nuclear fusion plant in Cadarache, France.
In the same region, Dominion Virginia Power has placed an order with Mitsubishi Power Systems for three M501J gas turbines for its 1.6GW Greensville County CCGT power plant in Virginia.
PMC Activity Two PMC contracts were awarded on global power projects in Q2 2015, one of which is a major five-year contract to Jacobs Engineering to project manage EDF Energy’s programme of maintenance and life extension projects to its 15 nuclear reactors across eight sites in the UK. The contract covers the Dungeness, Hartlepool, Heysham 1 and 2, Hinkley Point, Hunterston, Sizewell and Torness power stations, as well as the East Kilbride and Gloucester technical centres, which total almost 8.8GW capacity.
There was OEM Supply contracting activity on just one transmission project in the US in Q2 2015, OPPD and Kansas City Power & Light’s 290km Midwest Transmission project. OPPD has awarded CG a contract to supply substation equipment for the 345kV line, which will link the existing Sibley substation in Missouri to Nebraska City Power Station in Nebraska. The majority of OEM Supply contract awards in Brazil have been for transmission projects. Abengoa has awarded a total of four contracts to Siemens to supply and install shunt reactors for its 500kV Presidente Dutra-Teresina-Sobral transmission lines, which will pass through the states of Maranhao, Piauí and Ceará; the 380km, 500kV Marimbondo II-Campinas transmission line in the south of the country; the 1,760km Xingu-Parauapebas-Miracema transmission line, which will transport hydroelectric power between the states of Para and Tocantins; and the 630km Sao Joao do Piaui-Milagres-Luiz Gonzaga transmission line, which will span the states of Ceará, Piauí and Pernambuco. www.the-eic.com
@TheEICEnergy
The other contract has been awarded to Poyry Group to provide project management and design review services for PT PLN’s PLTU Kalsel-1 Coal-Fired Power Plant, located in South Kalimantan, Indonesia. EICDataStream Data is sourced from the EICDataStream online project database, which tracks nearly 9,000 projects proposed or under development in the global energy industry. EIC Monitor is published on a quarterly basis. 6
September 2015
New Members
New EIC Members
Firetrace European operations are headquartered just outside Gatwick airport with a UK office and warehouse to serve the region. To ensure timely, effective support around the world, Firetrace also maintains sales offices in Sydney, Singapore, New Delhi, Dubai and Johannesburg. Firetrace micro-environment systems protect small enclosed spaces such as CNC and EDM machines, wind turbines, electrical cabinets, server racks, engine compartments and more where an increased risk of fire could be mitigated by an automatic suppression system. Firetrace micro-environment systems are compatible with most commercially available fire extinguishing chemicals, foams, and clean agents; require no electrical power to operate; and have listings and approvals from 20 international agencies such as UL, CE, CSIRO, FM and NFPA.
New Primary Member
APAVE Inspection UK Ltd
Unit 4, Burnside Industrial Centre Wellheads Road, Farburn Industrial Estate Dyce, Aberdeen AB21 7HG Tel +44 (0)1224 727 980 Email christopher.dixon@apave.uk.com Web www.apave.uk.com The Nominated Representative is Mr Christopher Dixon, Sales Manager. APAVE Inspection UK Ltd, part of the APAVE International Group, is a global service provider to the oil and gas, nuclear, renewables and marine energy sectors. Its portfolio includes a wide range of conventional and advanced inspection, verification, testing and certification services. Specialisms include – but are not limited to – digital radiography, time-offlight diffraction (TOFD), phased array, ultrasonics and heat exchanger inspection solutions. From its base in Aberdeen, APAVE Inspection UK Ltd draws on a global pool of expertise and resources in order to deliver the most fit-for-purpose solutions to its clients.
New Global Member
ProMinent Fluid Controls
Resolution Road Ashby de la Zouch Leicestershire LE65 1DW Tel +44 (0)1530 560 555 Email a.zimmermann@prominent.de Web www.prominent.co.uk The Nominated Representative is Mr Aldo Zimmermann, Assistant to the Director Process Metering Technology. For more than 50 years, the ProMinent Group has been a manufacturer of components and systems in the field of fluid metering as well as a reliable solution partner for water treatment. In addition to the treatment of public drinking and waste water, the key sectors include the chemical industry, industrial water treatment, food and beverage industry, treatment of swimming pool water and oil and gas industry. The extensive product portfolio consists of components such as pumps, process controllers and sensors; products for water treatment. For the process and plant technology used in the oil, gas and energy sectors, the Group provides process metering pumps and plants from its own production.
New Global Member
Broadcrown Ltd
Airfield Industrial Estate Hixon, Stafford Staffordshire ST18 0DF Tel +44 (0)1889 272 200 Fax +44 (0)1889 272 220 Email psmith@broadcrown.co.uk Web www.broadcrown.com The Nominated Representative is Mr Peter Smith, Global Manager Petroleum & Marine. Who can you rely on to power the energy industry? At Broadcrown the company understands power. It knows where gensets are concerned one size does not fit all. Working with customers Broadcrown optimises bespoke engineered solutions for performance, quality and cost. With 40 years’ experience, the company has the technical knowhow to engineer and manufacture to the highest quality for every installation in all applications, including on and offshore, floating and fixed. Ultimately, if you choose a Broadcrown generator, you know it’ll work when you need it most. Can you afford to go anywhere else?
New Global Member
The Monobuoy Company Ltd
The Barn House, Station Road North Thoresby Lincolnshire DN36 5QS Tel +44 (0)1472 840 571 Email andrew.charlton@monobuoy.com Web www.monobuoy.com The Nominated Representative is Mr Andrew Charlton, Procurement. The Monobuoy Company was set up in 1998 to provide multi-disciplined engineering, project management and construction services to oil and gas companies throughout the world. Its staff has accumulated well over 50 years experience in the fields of offshore offloading terminals. The company designs, builds and installs CALM buoys, FSOs and FPSOs. The Monobuoy Company also overhauls CALM buoys and has often used refurbished buoys for sale. In addition the company supports terminal operators by supplying spare parts, engineering and consultancy services.
New Global Member
Firetrace International
Unit 11, IO Centre Salbrook Road, Redhill Surrey RH1 5DY Tel +44 (0)1293 780 390 Email ssvorinic@firetrace.com Web www.firetrace.com The Nominated Representative is Ms Stephanie Svorinic, Product Manager Engineered Systems. Leader in special hazard fire protection, Firetrace International supplies powerful, flexible fire management solutions worldwide. www.the-eic.com
@TheEICEnergy
7
September 2015
Subsea Technologies’ Xtreme Release (XR) connector has been developed to remove the concept of maximum riser disconnect angle, a long standing challenge of subsea riser design. The (XR) connector differs fundamentally from all other subsea connectors because it is based on a face-to-face technology rather than a conventional male-into-female engagement. This key differentiator enables the XR connector to release safely, reliably and repeatedly with up to 100% of maximum bending capacity applied. By comparison, existing connectors – even those that claim to be capable of high angle release – cannot separate with high bending loads applied, so the maximum disconnect angle has to be limited to prevent lock-up. Why is this important? Any floating vessel connected by a riser pipe to a wellhead on the seabed must be able to disconnect rapidly from the wellhead in the event of a position-keeping emergency. If it can’t, there is a high risk of severe damage to the vessel (potentially causing injuries and fatalities), catastrophic failure of the riser pipe, severe damage to the wellhead and possibly loss of well containment.
Because the XR connector has no maximum disconnect angle and can release at up to 100% of maximum bending capacity, there is no risk of it locking up when released under load. This means that vessels can move much further away from the wellhead before disconnecting from the subsea wellhead, and when they do release, the vessel crew can be confident that there is no risk of finding the riser stuck. This unique capability means that the XR connector offers greatly improved vessel safety, improved asset protection and improved productivity. The XR connector also enables vessels to continue operations through more severe weather than previously possible, subject to other components in the riser system having sufficient bending capacity. Integral with the face-to-face seal technology are clamping dogs and, in a controlled or emergency release, significant kinetic energy can be imparted into the dogs. Ace subsea shock absorbers were designed into the assembly to safely absorb this kinetic energy and thus ensure that no damage occurs to the dogs or other equipment during the release. For more information visit www.acecontrols.co.uk
Asset Guardian Solutions Ltd (AGSL), which specialises in protecting companies’ process critical software assets, has secured a key contract with oil and gas operator Dana Petroleum. The contract requires AGSL to implement and support Asset Guardian, a software solution that helps to secure the integrity of process software and the mission critical processes that it controls. Asset Guardian software will be installed by AGSL on Dana’s Triton FPSO in the UK North Sea. By installing Asset Guardian, Dana’s process-related software and data will be stored in one central repository, improving workflow and reducing risk. In the event of a system failure, Asset Guardian dramatically speeds recovery of software and data, significantly reducing the impact that such an event has on production. AGSL engineers have already visited Dana’s offshore asset to gather existing process control software files and load this information into Asset Guardian. In addition, AGSL is providing AGSync software, which allows data and files to be synchronised between multiple onshore and offshore locations. As a result, the integrity of information is maintained, even when communications links are disrupted.
Ace Controls International
Asset Guardian helps maintain compliance with relevant regulatory standards and government directives relating to process critical systems, such as IEC61508, 61511, ISO 9001, CPNI and HSE KP4. The award of this contract from Dana to AGSL follows on the heels of several others. In recent months, AGSL has been awarded contracts by GDF Suez, Nexen Petroleum UK, Dolphin Drilling AS, Woodside, Inpex, Stena Drilling, BP Quad 204 and Clair Ridge, and nuclear energy provider EDF Energy. For more information please visit: www.assetguardian.com www.the-eic.com
MEMBER NEWS One of the world’s fastestgrowing specialist suppliers of DNV 2.7-1 offshore carrying units to the international energy sector, London-based Cargostore International Ltd, has appointed Niels Winther Shipping as the company’s offshore agent in Denmark. Niels Winther is entering the DNV offshore market with the rental and sale of a wide range of Cargostore DNV 2.7-1 certified offshore containers, specifically designed for the oil and gas and renewable industries, from its terminal at Esbjerg. Local operators had the opportunity to meet representatives of both companies at a special reception at the port facility in Esbjerg and were shown unique features of Cargostore’s range of DNV 2.7-1 Offshore CCU’s. All are available for immediate rental from the Niels Winther facility. Recent DNV product developments from Cargostore include a new and unique design of ultra-strong cargocarrying tool box unit with both top and front-loading functionality; a 20ft high cube skid frame featuring 22 flush-mounted D rings, offering various lashing options for all kinds of hard-to-deliver non DNV rated equipment; and a new damageresistant gas rack designed to carry a wide range of bottle sizes. Justin Farrington Smith, International Managing Director, Cargostore, said: “Cargostore’s 21 year heritage and focus on customer service is completely aligned to the long established Niels Winther business and its customer values and proposition. This is an exciting venture for both parties and complements our other locations in the North Sea.” Visit www.cargostore.com
Carbon Recycling International (CRI), a pioneer in power-to-methanol technology based on carbon capture and utilisation, and Cofely Fabricom, one of the leading multidiscipline engineering, project management and construction organisations in the UK, have announced a partnership to engineer and build solutions based on CRI’s powerto-methanol technology which can be deployed widely, such as in the chemical, power and steel industries. Under the terms of a framework partnership agreement the companies will develop an integrated product delivery team to engineer, construct and deliver equipment modules based on CRI’s design in order to more rapidly deploy power-to-methanol solutions in industry. Cofely Fabricom has over 25 years experience in providing innovative solutions for the engineering, construction and installation of complex modules for the oil, gas, chemicals and renewables industries for many blue chip organisations. CRI is the first company to demonstrate industrial solutions in power-to-methanol production, by capturing carbon dioxide (CO2) from flue gas, large-scale conversion of renewable energy to hydrogen, and by reacting hydrogen and carbon dioxide to produce methanol. CRI’s power-to-methanol production plant in Iceland, which has been operating since 2012, produces ultra-low carbon intensity methanol that is used for biodiesel manufacturing and gasoline blending. The plant has recently been expanded to 4,000 t/year production capacity. Please visit www.fabricom-gdfsuez.co.uk
Crowcon Detection Instruments Ltd – manufacturer of specialist gas detection equipment – has announce the next generation of intelligent gas detectors and transmitters: XgardIQ. XgardIQ is an intelligent and versatile gas detector and transmitter compatible with Crowcon’s full range of sensor technologies. XgardIQ is available fitted with a variety of flammable, toxic or oxygen gas sensors or may be installed with a remote sensor housing up to 15 metres from the transmitter. Providing analogue 4-20mA and RS-485 Modbus signals as standard, XgardIQ is optionally available with alarm and fault relays and HART communications. This comprehensive set of output interfaces ensures compatibility with virtually any control system from gas detection panels, to PLC’s, DCS’s and SCADA systems. HART communications enables diagnostic checking and maintenance using industry-standard communications tools remotely or locally in the hazardous area. The HART feature also enables XgardIQ to be logged and monitored automatically on asset management systems. XgardIQ offers powerful features that help to minimise the time that operators must spend in the hazardous area performing routine maintenance functions. Sensor modules can be simply and quickly ‘hot-swapped’ without a hot-work permit, either for replacement with a new pre-calibrated replacement module, or for temporary removal to a safe area for calibration. Engineers thus avoid the need to carry compressed gas cylinders onsite and the sensor module can be tested and calibrated in the safety of a laboratory. Visit www.crowcon.com @TheEICEnergy
9
Stork, global provider of knowledgebased asset integrity services focused on the oil and gas, chemical and power sectors, has appointed Ross Richardson as Vice President (VP) for Human Resources in its UK and Africa region. Mr Richardson’s responsibilities will include leading Stork’s UK and Africa Human Resources (HR) function in support of the company’s strategy and business objectives and representing the region in the company’s global HR team. Mr Richardson has extensive industry experience with 20 years in senior roles in the oil and gas sector. He spent a significant portion of his career leading the HR and HSE functions at KCA Deutag, before moving into organisational performance, human resources strategy and change leadership consultancy. Erik-Jan Bijvank, Senior Vice President, Stork UK & Africa, said: “Ross has both the expertise and experience to support a dynamic global business with over 2,000 employees based in the UKCS. I look forward to working with him in the second half of 2015.” Ross Richardson said: “I am delighted to join the team at Stork. This is a fantastic opportunity to bring to bear both my industry and consultancy experience in support of the company’s strategy by fostering world-class organisational capabilities supported by a high performing HR function.” Mr Richardson began his career as an Engineer Officer in the submarine service and he holds a BSc (Hons) in Naval Engineering. Please visit www.storktechnical services.com
Mech-Tool Engineering, the global fire, blast and heat hazard protection products manufacturer was ranked 10 in The Sunday Times HSBC International Track 200 in July 2015. The sixth annual Sunday Times HSBC International Track 200 league table ranks Britain’s midmarket private companies with the fastest-growing international sales. Mech-Tool Engineering, based in Darlington, County Durham is the highest-ranked company in the northeast. The company designs and manufactures specialist cladding and other materials for protection against fire and blast in the oil, gas, petrochemical and nuclear industries. International sales rose 140% per annum to £27.3 million in 2015, placing the firm at number 10 nationally. The International Track 200 is sponsored by HSBC and compiled by Fast Track, the Oxford-based research and networking events company. Amanda Murphy, UK head of corporate banking at HSBC, commented: “The Sunday Times HSBC International Track 200 is a great reflection of the value of building connections overseas. The world is getting smaller, and international business relationships are easier to build, providing ambitious businesses with many more opportunities to grow. I’m delighted to see so many great British mid-sized firms making such a strong impression on the world stage.” Please visit www.mechtool.co.uk
Ovivo has been awarded a contract to supply a polishing demineralisation water system for a power plant in south east Asia. Through its heritage brand Christ Water Technology, Ovivo will supply equipment meeting the requirements for ultra-clean demineralised water and complying with the feed water guidelines for high pressure boilers. The contract is worth over C$4 million with delivery scheduled for 2016.
Ovivo’s system is part of a cogeneration plant that will not only supply steam and power to the petrochemical plants and the other facilities in the complex, but it will also supply power to the national grid for public consumption. The scope of supply includes the engineering, manufacturing and commissioning of four lines of carbon activated filters and mixed bed filters to further demineralise the water coming from the centralised demineralised water supply. Marc Barbeau, President and Chief Executive Officer, said: “This additional large energy contract awarded to us continues to demonstrate that we are capitalising on our strengths of being a global technology and solution provider to the energy market. We like to partner with world-renowned clients who select us for the quality of our solutions and our capacity to support them wherever their projects are located across the world, thanks to our global platform.” Visit www.ovivowater.com
PEI-Genesis has opened a new facility in Zhuhai, China, as part of the company’s strategic plan to expand into new geographies. With the opening, the company expands its longstanding partnership with Amphenol, one of the largest manufacturers of interconnect products, allowing manufacturers in the rail-mass transit, commercial air, oil and gas, solar and industrial markets to access world-class interconnect technology with flawless quality and fast assembly and shipment. PEI has been an authorised distributor of Amphenol products for more than 15 years. The PEI factory in Zhuhai uses the same proprietary automation, the same process flow, and the same software used in the company’s facilities in the US and the UK, filling a critical need in the Chinese market for high-mix, low volume configured connectors. www.the-eic.com
MEMBER NEWS
Jane Fischetti, General Manager Asia, South America, and Distribution, PEI, said: “There is no other distributor in China focused on highmix, low-volume production. We want to be viewed as a Chinese company, bringing our unique ability to deliver millions of different part numbers in 48-hours, while also offering engineering and design support.” Please visit www.peigenesis.com
York-based specialist equipment housing manufacturer Portastor has strengthened its business development team with the appointment of two experienced sales professionals, Duncan Cammack and Steve Grundy. Duncan Cammack takes on the role of Business Development Manager in the power and nuclear industries, where Portastor’s bespoke modular equipment housings have been protecting mission-critical systems for over 40 years. Duncan will be responsible for driving new business in the renewables sector, as well as maintaining relationships with existing clients including power network operators, distributors and OEMs. Duncan has extensive sales experience in the processing industries, having worked for a large multi-disciplinary engineering consultancy serving the manufacturing and chemical sectors, and as key account manager for a global organisation helping businesses automate their production, processing and distribution facilities. Duncan Cammack said: “I’m excited to be joining Portastor at a time when the power generation and distribution sector is undergoing some fundamental changes.”
Steve Grundy also joins the team as Business Development Manager in the oil and gas sector. He joins Portastor from KLAW Products, a supplier of products used in the safe transfer of hazardous and non-hazardous liquids, gases and powders, and has a wealth of experience in the industry having previously worked for IMI Precision Engineering and United Springs. David Jennings, CEO, Portastor, said: “These appointments have been made at an important time in the development of our business. We are confident that Duncan and Steve bring the industry knowledge and experience that will enable us to strengthen our position as a go-to resource for major projects in the power, nuclear and oil and gas sectors.” Please contact the company for more information: Tel +44 (0)1904 624 872 Email action@portastor.com www.portastor.com
Following an accidental fire at the IOCL Jaipur terminal, an extensive review of safety measures recommended by the MB Lal Committee has resulted in the introduction of failsafe actuators for critical tank farm applications. These valves, known as ROSOV (Remote Operated Shut-off Valves), now provide tank overfill protection at the majority of storage facilities owned by the Indian oil industry. The application required the valves to be electrically operated, spring-return failsafe with SIL2 functional safety certification for use in hazardous areas. During the two-year specification writing period, Rotork worked closely with the three main oil companies in India, providing live product presentations, technical advice and performance reports, leading to the selection of Rotork Skilmatic SI/EH electro-hydraulic actuators operating triple-offset butterfly valves as the standard for the critical ROSOV application.
The Rotork Skilmatic self-contained electro-hydraulic valve actuator combines all-electric simplicity with the precision of hydraulic actuation and the reliability of spring-return failsafe operation. Standard Skilmatic features include non-intrusive setting, performance monitoring and configurable data logging of valve and process data for analysis, preventative maintenance and asset management.
Rotork
PEI-Genesis’ Zhuhai facility is open and fully operational. Sales and operational teams are ready to service customers with the same speed and dedication customers have come to expect from PEI in North America and Europe.
To-date, over 1,600 Skilmatic actuators have been supplied through Indian valvemakers. All actuators are certified explosion proof to Exd llB T4 with CCoE (Chief Controller of Explosives) approval and SIL2 functional safety system certification. For this application actuators are supplied with dual Modbus fieldbus communications and separate local controls mounted outside the tank bung with a local ESD (Emergency Shut Down) pushbutton. Rotork was also selected to supply 4,000 CP/GP spring return pneumatic actuators to various valvemakers for tank farm applications. Rotork therefore took the lead as the single vendor for failsafe actuators on triple-offset butterfly valves on all tank farm applications. Please visit www.rotork.com @TheEICEnergy
11
Events Diary
UK, Overseas & Training September 2015
16 Management Course: Networking That Works EIC London 17 Export Showcase: North America LNG and Downstream EIC London 17 Technical Workshop: Introduction to Shale Gas EIC London 23 Export Showcase: Opportunities in Post-Sanctions Iran EIC London 23 Technical Workshop: Introduction to Compressors Siemens, Camberley 24 Sector Showcase: UK Offshore Wind 2015 tbc 28 Management Course: Terms and Conditions in the Contract Four Points by Sheraton, Dubai 29 Management Course: Employment Law bto solicitors, EIC London 29 Regional Showcase: Collaboration and Commodity Sharing Aker Solutions, Aberdeen 30 Management Course: Terms and Conditions in the Contract Four Points by Sheraton, Dubai
October 2015 3 Industry Overview: Fundamentals of Subsea EIC Rio de Janeiro 6 Export Showcase: Saudi Arabia: Aramco Supplier Initiative EIC London 6 Industry Overview: Fundamentals of Oil & Gas EIC Houston 6 Industry Overview: Introduction to Upstream EIC Rio de Janeiro 7 Business Presentation: Opportunities with Technip St Regis Hotel, Abu Dhabi 9 Corporate Entertainment: 6th Annual Sporting Clays Tournament American Shooting Centers, Houston 14 Management Course: Understanding Engineering Procurement EIC London 14 Industry Overview: Fundamentals of Oil & Gas Four Points by Sheraton, Dubai 15 Management Course: Finance for the Non-Finance Manager Neos Learning, EIC London 15 Business Presentation: Opportunities with Techint Engineering Restaurante do Empresario, Rio 20 Management Course: Introduction and Awareness to ISO 9001 SGS Academy, EIC London 20 Regional Showcase: Northern Region Contractors Update tbc 20-24 Business Presentation: Opportunities in Sabah Kota Kinabalu, Sabah 22 Technical Workshop: Introduction to Centrifugal Pump Design SPP Pumps, Coleford, Gloucestershire 22 Industry Overview: Fundamentals of LNG EIC Houston 27 Industry Overview: Fundamentals of Natural Gas EIC Kuala Lumpur 27-28 Management Course: Finance for the Non-Finance Manager Four Points by Sheraton, Dubai 29 Export Showcase: Opportunities in the Norwegian North Sea Aberdeen November 2015 3 Industry Overview: Fundamentals of Subsea EIC Houston 4 Technical Workshop: Introduction to FPSOs EIC Houston 7 Technical Workshop: Introduction to FPSOs EIC Rio de Janeiro 10 Export Showcase: Opportunities in Egypt EIC London 10 Technical Workshop: Introduction to FPSOs EIC London 16 Technical Workshop: Introduction to Control Valves Severn Glocon, West Yorkshire 18 Management Course: Terms and Conditions in the Contract Dubai 19 Management Course: Commercial Awareness Neos Learning, EIC London 26 Industry Overview: Fundamentals of Oil & Gas EIC Rio de Janeiro December 2015 8 Export Showcase: Russian Export Showcase EIC London For further information on UK & Overseas Events and Training please contact: info@the-eic.com www.the-eic.com
@TheEICEnergy
12
September 2015
Events Diary
Exhibitions & Delegations 2015
Status
Overseas Delegation to Angola
Fully Booked
28 September-2 October Overseas Delegation to Mexico
Fully Booked
19-22 October
Overseas Delegation to Ghana
Fully Booked
ADIPEC
Fully Booked
28-30 September
9-12 November
Abu Dhabi
23-27 November
Overseas Delegation to Papua New Guinea
Register your Interest
23-27 November
Overseas Delegation to Venezuela
Register your Interest
10-15 January
Overseas Delegation to Algeria
Register your Interest
18-21 January
World Future Energy Summit (WFES) Abu Dhabi
Booking Now
31 January-4 February
Overseas Delegation to Egypt
Register your Interest
8-12 February
Overseas Delegation to Turkey
Register your Interest
22-26 February
Overseas Delegation to South Korea
Register your Interest
24-26 February
Australasian Oil & Gas (AOG)
Booking Now
2016
Perth
For further information on Exhibitions & Delegations please contact: events@the-eic.com
National Events 2015
@EICOverseas
Status
8-11 September
Offshore Europe
Aberdeen
Fully Booked
15 October
EIC National Dinner
London
Last Few Places Remaining
24-25 November
EIC Connect Energy
Manchester
Stand Space Still Available
For further information on National Events please contact: nationalevents@the-eic.com
AUSTRALASIAN OIL & GAS EXHIBITION & CONFERENCE
24 – 26 FEB 2016 CONTACT mark.gamble@the-eic.com www.the-eic.com
@TheEICEnergy
13
September 2015
EIC Overseas Exhibitions and Delegations
Overseas Exhibitions EIC Overseas Exhibitions and Delegations OTC Brasil Oil & Gas Exhibition and Conference 27-29 October 2015 #EICOTCBrasil15 Riocentro Convention Center, Rio de Janeiro The EIC is pleased to be returning to host the UK National Pavilion at OTC Brasil 2015. The International OTC Brasil Oil and Gas Exhibition is one of the world’s foremost events for the development of offshore resources in the fields of drilling, exploration, production and environmental protection. OTC Brasil focuses on the importance Brazil will play in meeting increasing global energy demand. The exhibition brings together key personnel within engineering, operations and procurement providing a unique opportunity to suppliers of goods and services worldwide attracting more than 15,000 industry leaders and buyers from 45 countries. OTC Brasil attracts the world’s foremost experts and companies to share knowledge, make new contacts, and explore the latest technologies in the offshore sector. Themed ‘The Atlantic: From East to West – An Ocean of Innovation’, this flagship technical conference will cover all aspects of offshore oil and gas exploration and development including topics related to geology, geophysics and subsurface technologies, offshore drilling and well systems, floating structures, advanced subsea production, as well as subjects on increasingly complex integrity management to keep offshore facilities operating safely and efficiently. OTC Brasil is the perfect platform for UK companies who are new to the market, those in the process of acquiring Brazilian companies, setting up manufacturing facilities, and those with fully fledged operations and experience in the market. Contact: deanne.lintorn@the-eic.com
Exhibition Report Brasil Offshore 2015 23-26 June 2015 Macaé Centro, Macaé, Brazil
The UK Pavilion at Brasil Offshore 2015
The EIC once again hosted the UK Pavilion at Brasil Offshore Conference & Exhibition, Brazil’s third largest offshore event with Macaé, as the main hub for Brazil’s oil and gas market, representing 84% of all oil and gas produced in Brazil, featuring 155 international exhibitors and over 50,000 visitors. A tremendously successful event with 11 companies in attendance ranging from companies totally new to market, to those in the process of acquiring Brazilian companies, setting up manufacturing facilities, and those with fully fledged operations and experience in the market. The pavilion gained a great deal of attention and was buzzing with activity throughout the four days, with the UK lounge acting as central meeting point for exhibitors, their clients and EIC members throughout the show. The bi-annual Brasil Offshore exhibition focuses on the importance Brazil will play in meeting increasing global energy demand. The exhibition brings together key personnel within engineering, operations and procurement. Brasil Offshore is considered one of the most relevant trade shows within the international offshore market, attracting visitors and exhibitors from 38 countries and covering all aspects of the Brazilian offshore industry. On Wednesday 24 June the EIC hosted a whisky tasting networking event supported by UKTI and Swire Oilfield Services. The event was extremely popular and well attended, giving an invaluable networking opportunity for all exhibitors to entertain their clients and potential customers and partners. The EIC also ran a workshop on Understanding Local Content where regulations in Brazil are very fluid, and changing frequently. The workshop drew attention to current regulations and give an insight into the implications of the Brazilian local content laws for the oil and gas sector. The EIC will be managing overseas delegations to Mexico and Venezuela later this year. If you are interested in attending and learning more about the opportunities in the oil and gas sector in these markets please contact: deanne.lintorn@the-eic.com
Australasian Oil & Gas (AOG) 2016 24-26 February 2016 Perth, Australia #EICAOG16 The EIC is proud to be organising and managing the UK Pavilion at Australasian Oil & Gas (AOG) 2016. Due to the falling value of the Australian dollar, prices have decreased from previous years for the 2016 show. Australia is also poised to become the world’s largest exporter of LNG come 2018, with many large projects underway. Opportunities are available for UK companies to assist the key operators and contractors in both operations and projects as well as maintenance. To be part of the exhibition please contact: mark.gamble@the-eic.com www.the-eic.com
@TheEICEnergy
14
September 2015
EIC UK News
News from our UK offices
With the final Wood Review calling for greater collaboration within the industry, this event will focus on how to collaborate and who to collaborate with. There will be a panel of operators, contractors and relevant professional bodies from across the North Sea oil and gas sector to discuss the opportunities on this topic. Collaboration and Commodity Sharing will also allow members with proven examples to showcase their learnings to other members, contractors and operators. This will then be followed by an interactive question and answer session with the panel and EIC members. Register your interest: pamela.nicholson@the-eic.com
Forthcoming Events
Export Showcase Opportunities in Post-Sanctions Iran Wednesday 23 September 2015 EIC Conference Suite, London After almost two years of talks, July saw Iran and the G5+1 group of countries, together with the EU foreign policy chief, reach an agreement to end sanctions. Iran has agreed to scale down its nuclear programme in return for economic sanctions being eased and eventually lifted. Iran offers a wealth of active and future energy projects worth over US$168.8 billion (source EICDataStream). Upstream, pipeline and refinery projects dominate this landscape and provide significant new build as well as repair and maintenance opportunities. Lifting of the trade sanctions in the oil and gas rich nation is positive news for the UK supply chain, but will be a gradual process. Legitimate business will continue to prove challenging while Iran implements its commitments to the deal and the banking and payment processes remain under a shadow of uncertainly. The end result will allow the G5+1 countries to do business with the Iranian energy and shipping sector. This Export Showcase will help members to learn more about the existing trading sanctions, the region’s energy sector potential and current projects, details of where the main opportunities lie and the support available to companies looking to do business in-country. This Showcase will help you determine what you can do now to prepare for exploiting the eventual opportunities the region has to offer. Register your interest: jennifer.hole@the-eic.com
Export Showcase Saudi Arabia: Aramco Supplier Initiative Tuesday 6 October 2015 EIC Conference Suite, London Aramco is a subsidiary of Saudi Aramco, providing solutions and strategic alliances across Europe, South America, Africa and India and providing a vital link between Europe and Saudi Aramco in terms of procurement, engineering, R&D and contracting. Saudi Aramco, the state-owned oil and gas company of the Kingdom of Saudi Arabia, is a top exporter of crude oil and natural gas liquids; with solid traction in the upstream market, the company is now looking to expand activities along the entire petroleum value chain. Its current project portfolio includes some of the largest of the Kingdom’s oil and gas investments and over 50 projects with a combined capex of US$137.4 billion are being tracked (source EICDataStream), offering a multitude of opportunities for the supply chain. The EIC’s Aramco Supplier Initiative aims to inform new and existing suppliers about the prospects available to them on global operations and projects. It also provides information on further scope for involvement with the company, including potential opportunities for UK suppliers to become registered and approved manufacturers, to localise manufacturing and services in the Kingdom of Saudi Arabia, to partner in the development of new technologies and to host engineering interns. Register your interest: jennifer.hole@the-eic.com
Sector Showcase UK Offshore Wind 2015 Thursday 24 September 2015 Hull/Humber, venue to be confirmed There have been a number of recent announcements about the offshore wind farm developments off the east coast of the UK, so we are planning to showcase this sector with a panel of speakers from the key organisations involved in these projects. Teesside, Yorkshire and Humberside will be included and the organisations will cover numerous topics including highlighting how the projects are developing, the estimated timescales, requirements, and future opportunities. They will also discuss how the supply chain can transfer skills and expertise gained from the oil and gas industry into this growing sector. Register your interest: jennifer.hole@the-eic.com
Regional Showcase Northern Region Contractors Update Tuesday 20 October 2015 North West, venue to be confirmed After a successful event in 2014, the Northern Region Contractors Update will feature in the programme again this year. Many of the speakers will be back by popular demand and there will be some new additions too from fabrication, EPC and project management. It will be a great opportunity for you to learn more about these major organisations, their project activities and how you can engage with them. The event will also provide a fantastic platform for networking with fellow members from across the UK. Register your interest: jennifer.hole@the-eic.com
UKCS Showcase Collaboration and Commodity Sharing Tuesday 29 September 2015 Aker Solutions, Aberdeen This Regional Showcase will focus on the changing landscape of the oil and gas supply chain by outlining how operators are beginning to collaborate and investigate commodity sharing.
EIC Newsbriefs – Keeping you up to date on energy news from around the world. Email membership@the-eic.com www.the-eic.com
@TheEICEnergy
15
September 2015
EIC National Events
Are you working or looking to break into the energy sector? UK power operators EDF Energy, Centrica and others will join international power companies and leading contractors Alstom, Amec Foster Wheeler, Doosan Babcock and Siemens at EIC Connect Energy 2015. This biennial event initiative encompasses two full days of conference sessions, vendor briefings and one-2-one appointments with companies looking to do business with the major operators and contractors across the power generation industry.
Over 75% of the exhibition is now sold as many companies have taken advantage of the low stand cost of just £2,600+VAT for a 9 sq m space. A number of prime locations and sponsorship opportunities are still available and include 2 x delegate places, 2 x places to the gala dinner and the opportunity to book one-2-one meetings with buyers. Delegate places are priced at just £295 +VAT for EIC members with an additional cost of £80 +VAT to attend the gala dinner. Bookings will open in September and can be booked online via the EIC website.
Returning to Manchester Central on 24-25 November 2015, EIC Connect aims to highlight the potentially lucrative global opportunities and identify UK capability on major energy projects around the world.
For more information and to book your delegate place please visit: www.the-eic.com/eicconnect/energy
Bob Bianchi, Business Development Director at Boulting Group and the Chairman of the Event Advisory Group for EIC Connect Energy, said: “EIC Connect Energy is a wonderful opportunity for companies from the UK to showcase their global capabilities, share knowledge and create new business helping to achieve even greater cooperation between operators, contractors and suppliers.”
EIC National Dinner 2015 Thursday 15 October 2015 Natural History Museum, London Last few places remaining.
Don’t forget the EIC National Dinner is taking place on Thursday 15 October against the spectacular backdrop of the Natural History Museum. A limited number of places remain for this annual event.
UK operators will host the conference sessions to explore the challenges facing the major operators in today’s world and pinpoint where the opportunities are globally. There is real scope for UK companies in the oil and gas supply chain to transfer their existing technologies and solutions into the emerging clean energy sector as the demand for more sustainable energy continues to rise and the oil price decline impacts on UK oil and gas assets.
The evening will begin with a canapé and drinks reception offering a fantastic opportunity for pre-dinner networking. Following the reception, guests will be welcomed into Hintze Hall where they will be able to take in their first views of their iconic surroundings. A sumptuous threecourse meal will follow accompanied by free-flowing wine, beer and soft drinks.
With an increasing emphasis on local content and the need to explain the various business models to smaller companies, state owned power companies will be attending the event to outline how UK suppliers can successfully work with local companies in their region and UKTI commercial officers will provide supporting advice for exporters wishing to gain an insight into how to do business locally.
During dinner guests will be entertained by expedition leader, travel writer and marine biologist Monty Halls, one of the most thought-provoking speakers in the UK today. The dinner is exclusively open to EIC members and guests.
Many leading multi-national contractors have been briefed to unveil their vendor requirements in a series of seminars in the exhibition and they will be sourcing new technologies and innovations from suppliers on a one-2one basis throughout the event.
Cost: Individual Place £215 +VAT Table of 10 £2,100 +VAT To secure your table please visit: www.the-eic.com/nationaldinner
Interest in the exhibition has been high with leading component companies looking to showcase their capabilities to the world’s key players including Centrica, EDF Energy, Scottish Power, Alstom, Siemens, Amec Foster Wheeler and Doosan Babcock. Limited stand space is still available. www.the-eic.com
@TheEICEnergy
Contact: Charmaine Atkinson, National Events Co-ordinator Tel +44 (0)1642 379 975 Email charmaine.atkinson@the-eic.com 16
September 2015
EIC National Events
www.the-eic.com
@TheEICEnergy
17
September 2015
EIC Middle East News
Middle East News
Forthcoming Events
Business Presentation Opportunities with McDermott Tuesday 15 September 2015 Yas Island Rotana, Abu Dhabi
Office News
Following the hot summer period we return knowing that it is a case of ‘all hands on deck’. Here in the Dubai office, we are delighted to welcome a new tenant. Bob Jennings of Seatrax joined us recently and we wish him every success with this new venture. In the meantime, we are pleased to bring you up to date with our events schedule. Following on from our traditional return networking event last month, which this year took on the theme of a curry night, we look forward to welcoming McDermott for our 15 September business presentation. For October, we have a few themes under discussion which we hope can be revealed shortly. November sees the much expanded ADIPEC taking place, which will then bring us to December when we will be hosting Petrofac. We also have training courses, delegations to Angola and Ghana and a scoping visit to the Africa Oil Show, the primary event that covers all of the ongoing activities taking place across the African continent. In the meantime, there are two interesting topics covering the subject of trade sanctions. The first is the situation with Iran and the other concerns opportunities in Russia. For Iran, an agreement has been struck between the Iranian Government and the negotiating team representing the US, UK, France, Russia, China and Germany, the so called P5+1. We don’t yet know how this agreement impacts on actual trade and the opportunities to successfully do business with Iran, but there are two schools of thought. The first suggests that there will be some sort of easing, perhaps to allow trade up to a certain volume, while the other suggests that everything will be eased. We are cautiously optimistic that Iran will eventually return to the international community in some guise, but it is not clear what form this will take. Once this is decided, we will make every effort to maximise UK involvement. The position with Russia is a lot clearer. Although there are a number of trade sanctions, these are considered minimal when compared to Iran. Broad categories cover a part of the financial community as well as upstream activities taking place within the Arctic Circle. For full details, please visit the UK government website at: https:// www.gov.uk/government/publications/financialsanctions-consolidated-list-of-targets A recent visit to the Moscow International Oil & Gas Exhibition confirmed the data being provided by EICDataStream, that there are many opportunities to be had with Russian companies. The 25+ EIC members who participated at the event were all confident that their presence had been worthwhile. As a result, preparations are in hand to organise a Russia-themed event in London and a delegation to both Moscow and St Petersburg. Please keep an eye on our events page for more details. We were pleased to have visits from Tony Stokes from DeepOcean, Kevin Strachan and Wilf Fernando from Glacier. Terry Willis, Director, Middle East, Africa & CIS Contact: terry.willis@the-eic.com
Management Course
Understanding Terms and Conditions in the Contract Monday 28 September 2015 Four Points by Sheraton, Dubai
Management Course
Understanding Terms and Conditions in the Contract Wednesday 30 September 2015 Four Points by Sheraton, Dubai To register your interest or to book on the above courses please go to www.the-eic.com/Training or contact Helen Aittis: helen.aittis@the-eic.com
Regional Comment
Bids submitted for Duba solar project Saudi Electric Company (SEC) has received commercial bids for the solar related package of this mixed use development. The Duba 1 ISCC is planned to run on a mix of natural gas and solar energy, and will have a total development cost of US$600 million. The Duba plant will have a guaranteed total output of 485-550MW, which will include 40-50MW output from the solar system. The planned commissioning date of the plant is 2017. Petrofac wins US$776m Kuwait project Petrofac has been successful in securing a major project in Kuwait against some stiff competition. Valued at US$776 million, the contract, awarded by Kuwait Oil Company (KOC) covers the installation of manifolds which will connect producing oil wells at three gathering centres (GCs). Each GC will be designed to handle up to 100,000 b/d of oil, 240,000 b/d of water and 240 million cf/d of associated gas. KOC expects the main scheme to be completed in December 2018. Tebodin to study Al Hosn storage project Tebodin has won a FEED contract covering a condensate storage tank project in Abu Dhabi. The contract was awarded by Al-Hosn Gas, a joint venture of Abu Dhabi National Oil Company (ADNOC) and US-based Occidental Petroleum. The FEED study will cover the design of a condensate tank with a capacity of 50,000 barrels and will include all piping connections, pumping and piping, sampling facilities, a filtration system, a tank water draining facility, bund wall, fire detection and protection facilities, electrical power supply, integrated control and safety systems (ICSS), evaluation of long-lead items, and determining the scope of work, schedule and cost estimated for the engineering, procurement and construction (EPC) phase.
EIC Newsbriefs – Keeping you up to date on energy news from around the world. Email membership@the-eic.com www.the-eic.com
@TheEICEnergy
18
September 2015
EIC Training Services
Training Services
Other upcoming courses include:
Management Course
Finance for the Non-Finance Manager Thursday 15 October 2015 Neos Learning, EIC London An essential course focusing on important aspects including business from a financial perspective, the purpose and drivers of correct budgeting and controlling cost to understanding and using financial terminology. This course enables delegates who are new to their role, or experienced but with no formal training to confidently analyse business expenditure.
Why has it all gone quiet? How many times have you sat through sales meetings where the question no-one can answer is ‘why has it all gone quiet?’ How many times have you heard ‘they won’t talk to us?’ How many times do you wish that you knew what was going on? How often has a buyer behaved completely differently from what you experienced on the last job? If some of these questions keep you awake at night, then maybe the EIC can help. In preparing a bid for submission, you have already taken a lot of care to provide the information that you think the engineering contractor needs and that you hope will secure the contract. But how can you tell that you have provided what is really required? If you had a better understanding of the contractor’s needs and the processes they use to evaluate your proposal, would this increase your chances of being successful? In October we are running a repeat of the one day course we held last year. John Bigglestone will share over 25 years’ experience in procurement for engineering contractors at all levels, from buyer to senior manager and discipline lead. The aim is to give sales professionals an understanding of how the contractor’s processes work. You will get a good deal of insight into what questions you need to ask and answer, to improve your chances of a win. The day will include insights into the roles of the different people involved and the constraints they operate under. It will look at how and when bidders lists are developed and finalised, how primary drivers vary depending on the type of contract with the client, how these drivers impact the procurement processes, how these work, what sales people should expect in selling to an engineering contractor and how to ‘delight’ a project buyer.
Management Course
Introduction & Awareness to ISO 9001 Tuesday 20 October 2015 SGS Academy, EIC London A comprehensive course focusing on key concepts such as the purpose and intent of the ISO 9000 standards, the requirements of ISO 9001:2008 and its use as a business tool through to the relationship between the two clauses. This course will allow delegates whose organisations are implementing ISO 9001 to gain a full understanding of quality management principles and aid continued improvement of quality processes.
Technical Workshops
Our Technical Workshops are designed for delegates new to the industry or anyone who would like to get involved to gain a real practical and commercial understanding of the field.
Technical Workshop
Introduction to Compressors Wednesday 23 September 2015 Siemens, Camberley An engaging workshop covering key concepts from the inner workings of compressors and drives to the thermodynamics of single shaft, gear type and axial compressors.
John Bigglestone, Trainer John has a wealth of industry experience with over 20 years’ working with KBR, including management and practitioner roles for over a decade. John was also purchasing and expediting discipline lead for the company’s Europe, Africa, Middle East and former Soviet Union region. An experienced group facilitator and trainer, John has managed the graduate training scheme and spoken at many conferences, notably EIC Connect events.
Technical Workshop
Introduction to Centrifugal Pump Design Thursday 22 October 2015 SPP Pumps, Coleford, Gloucestershire This workshop focuses on key concepts from initial selection of hydraulics and mechanical design to manufacturing and testing, incorporating a workshop tour and interactive demonstration.
Management Course
Technical Workshop
Understanding Engineering Contractor Procurement Wednesday 14 October 2015 EIC London A comprehensive course focusing on significant aspects from the stages of a project, what processes are carried out and the release of the bidders list to the procurement drivers in the oil and gas industry and how these shape procurement procedures. This course enables new delegates or those with experience but no formal training to gain a practical and commercial understanding of the field. www.the-eic.com
@TheEICEnergy
Introduction to FPSOs Tuesday 10 November 2015 EIC London A comprehensive workshop which comprises key concepts from design, build and advantages over a fixed platform to a more technical look at FPSO turret moorings and topside processing. In addition to our scheduled courses we are always happy to discuss your individual needs. Contact: terri.sylvester@the-eic.com 20
September 2015
EIC Asia Pacific News
Asia Pacific News Office News
Shell
In June, 29 member companies took part in Kuala Lumpur’s Oil and Gas Asia (OGA) 2015 show. This year OGA saw record-breaking attendance figures with over 23,000 visitors. All participating EIC companies in the UK pavilion were happy with both the number and high quality of visitors to their booths. We also had the pleasure of witnessing a signing ceremony between EIC member, Paladon Systems, and a Malaysian company, Songket Petroleum, where Paladon appointed Songket as its local agent for Malaysia. As part of our continuous efforts to build relationships with the local energy players in Kuala Lumpur and Singapore, we visited the offices of several companies. These included Alam Maritim, Barakah Petroleum, Brooke Dockyard, EnRa Group, ExxonMobil Malaysia, Fluor Daniels, GOM Resources, MMC Oil and Gas, Muhibbah Engineering, Murphy Oil, Ranhill, Reach Energy, SapuraKencana, SBM Offshore and Tamarind Petroleum. In mid-June 2015 we also attended a briefing by Petronas’s project procurement management department and Prime Sourcing International on Petronas’s new approach to their vendor registration system and procurement policies. In terms of events, we ran a business presentation on opportunities in Malaysia, which was presented by Fadhli Jamaluddin, Vice President, Malaysian Petroleum Resources Corporation. During the fasting month, we also hosted a networking event bringing EIC members in Kuala Lumpur and Singapore together with a number of key local energy players such as Petronas, SapuraKencana, MMC, Barakah, Petrofac and Fluor Daniels. An organised visit to SapuraKencana’s offices was also beneficial for the 24 member companies who participated. SapuraKencana’s procurement department gave a short briefing and took questions from EIC members on supply chain opportunities and their vendor registration system.
Regional Comment
Australia Technip Samsung awarded Browse FLNG contracts The Technip Samsung Consortium has been awarded two contracts by Shell for the Browse FLNG project in Australia, operated by Woodside. The Browse project covers the realisation and installation of three FLNG units to develop the Brecknock, Calliance and Torosa fields in the Browse Basin, 425 kilometres north of Broome, Western Australia. The Browse project will capitalise on Shell’s FLNG experience, as well as on Woodside’s offshore and subsea development expertise. The first contract awarded to the consortium covers the FEED elements of the Browse project, taking into account the composition of the gas, local weather conditions and factors specific to each of the three fields. This contract was immediately novated by Shell to Woodside as operator. Malaysia RAPID project gets cracking Petroliam Nasional Bhd (Petronas) is ready to start the construction works for the US$16 billion (RM57 billion) Refinery and Petrochemical Integrated Development (RAPID) project in Pengerang. This follows the steel cutting ceremony for RAPID’s Steam Cracker Complex (SCC) there in June 2015. Located within the Pengerang Integrated Complex (PIC), the project is targeted to start refinery operations by the first quarter of 2019. The project’s commercial operations are expected by the middle of 2019.
Forthcoming Events Business Presentation Opportunities in Sabah 20-24 October 2015 Kota Kinabalu, Sabah
Philippines Gas deposits discovered in northern Philippines The Department of Energy (DOE) has confirmed that Philippine National Oil Company-Exploration Corporation (PNOC-EC), a government-owned entity, has discovered natural gas deposits not far from a field that used to supply fuel for the gas-fired power plant in the province. Initial results from the Mangosteen-1 well, in Cagayan Basin in Santiago City, Isabela, show promising quantities of natural gas that can be harvested from the well.
Industry Overview
Fundamentals of Natural Gas Tuesday 27 October 2015 EIC Kuala Lumpur If you need any assistance or advice in the region or for more information about upcoming events, please contact: Azman Nasir, Head of Asia Pacific Contact: azman.nasir@the-eic.com
EIC Newsbriefs – Keeping you up to date on energy news from around the world. Email membership@the-eic.com www.the-eic.com
@TheEICEnergy
21
September 2015
EIC North and Central America News
North and Central America News Office News
Regional Comment
Mexico’s CFE announces US$10bn in energy projects National electricity company CFE plans to tender 24 major infrastructure projects, covering five pipelines, three branch lines, four electric power plants, three electric transmission projects and nine distribution projects. The projects will expand the country’s gas pipeline network by 2,300km, increase power generation by 1,442MW and add 3,000km in T&D lines. The largest contract would be for a US$3.1 billion, 800km subsea pipeline on the floor of the Gulf of Mexico from southern Texas to the Tuxpan port in Veracruz.
The EIC is investing time to develop strong partnerships with key stakeholders in market such as UK Trade & Investment, the British American Business Council, American Petroleum Institute, and companies of value to our members around key business opportunities. We look forward to releasing a series of events which will include business presentations, market showcases, and training. We will also be hosting the 6th Annual Sporting Clays Tournament in Houston next month. There are still sponsorship and team opportunities, so why not register today? The EIC, in partnership with UKTI, Aberdeen & Grampian Chamber of Commerce, NOF Energy and Subsea UK, will deliver an Overseas Delegation to Mexico from 26 September to 2 October 2015. The mission will provide the valuable opportunity to engage key local industry stakeholders, attend briefings, and meet local companies within three separate agendas: field performance and efficiencies, asset integrity management and subsea technology and deepwater. Please visit our website to find out more: http://www.the-eic.com/Events/OverseasDelegations/ OverseasDelegationtoMexico.aspx We are delighted to announce that EIC member Batt Cables, one of the world’s largest stock and distributors of electrical cables, recently opened its Houston warehouse. The company’s stock includes power, fibre and data cables. Although we are sorry to see Batt Cables leave as an EIC Houston tenant, we are delighted the company has been able expand its operation in the region. We wish them all the best.
Endeavor Management announces joint project The company has released a proposal for a JIP to support the industry’s need for global best practice development in subsea decommissioning. Its focus will be on several areas, including developing an economic model for cost predictions, examining resins as a replacement for cements in well P&A, improving methods and equipment to flush subsea infrastructure, and improving design of OEM equipment and subsea systems for more effective P&A. ExxonMobil, BP suspend Beaufort Sea drilling The Imperial Oil-led consortium has halted its exploratory drilling programme in the Canadian Arctic because of insufficient time to begin test drilling before its leases expire in 2020. Chevron made a similar decision in December. The projects have been slowed by regulatory hurdles and some of the world’s highest extraction costs. Imperial will seek to have its current lease extended retroactively to 16 years, to allow time for necessary technical studies and technology development. The leases where the proposed well would be drilled are located about 120km off the coast of the Northwest Territories.
Forthcoming Events Industry Overview
Fundamentals of Oil & Gas Tuesday 6 October 2015 EIC Houston
Industry Overview
MPLX to buy MarkWest Energy Partners The pipeline unit of refiner Marathon Petroleum has agreed to buy MarkWest, the second-biggest US processor of natural gas, for US$15.8 billion. The proposed deal combines the largest processor of gas in the Marcellus and Utica shale regions in Pennsylvania and Ohio with a growing oil and refined products partnership.
Looking towards the North & Central America market? For additional information about the EIC Houston office, its upcoming events and training, or if you require any assistance in growing your presence, please contact: Amanda Duhon Regional Manager (North & Central America) Contact: amanda.duhon@the-eic.com
SunEdison and Gamesa create joint venture The two companies have signed an MoU to develop up to 1GW of wind energy facilities, globally, by 2018. SunEdison and Gamesa will each own a 50% stake in the JV. Gamesa will supply the wind turbines and provide O&M services to the wind farms. Additionally, Gamesa may also provide EPC services for the projects. Upon construction, SunEdison will acquire the projects. SunEdison intends to place the power plant acquired from the JV on the call rights list for TerraForm Power.
Corporate Entertainment EIC 6th Annual Sporting Clays Tournament & BBQ Friday 9 October 2015 American Shooting Centers, Houston
Fundamentals of LNG Thursday 22 October 2015 EIC Houston
EIC Newsbriefs – Keeping you up to date on energy news from around the world. Email membership@the-eic.com www.the-eic.com
@TheEICEnergy
22
September 2015
EIC South America News
South America News
Forthcoming Events Industry Overview Fundamentals of Subsea Saturday 3 October 2015 EIC Rio de Janeiro
Office News
If you are interested in finding out more about the exciting opportunities in the South American market, please visit us at Offshore Europe. We will be presenting an overview of the market in the EIC lounge on 9 September at 4pm. There are also events related to both Brazil and Colombia taking place. On 9 September (9:30-14:00) at Offshore Europe, V Brazil-UK Oil & Gas Meeting: Invest in Brasil, organised by the Brazilian Embassy, will feature presentations from Petrobras and Shell among other institutions, and there will be a reception in the evening hosted by UKTI. For further details and to register for either of these events, please contact us. There will also be an Opportunities in Colombia Showcase in the EIC Conference Suite in London on Monday 7 September. The agenda will include key speakers from Shell, Amec Foster Wheeler and Ecopetrol. Members will also have the chance to book one-2-ones for all three initiatives. In July almost 30 members and key contacts from the industry attended a successful business presentation with General Electric (GE) Oil & Gas in Rio.
Industry Overview Introduction to Upstream Tuesday 6 October 2015 EIC Rio de Janeiro
Business Presentation Opportunities with Techint Engineering Thursday 15 October 2015 Restaurante do Empresario, Rio de Janeiro
Regional Comment
Brazilian bidding round attracts 39 companies The National Petroleum Agency (ANP) has received registrations from a range of oil companies interested in Brazil’s 13th bidding round for exploration blocks. Anadarko, BP, CNOOC, Ecopetrol, ExxonMobil and Geopark are some of the registered companies. ANP has said that companies from at least eight countries have registered, and many of them are allowed to explore in deep waters. The bidding round will offer 269 blocks, of which 84 are located offshore. The event where bidders present their offers takes place on 7 October. Brazil’s antitrust regulator approves Shell-BG merger The Brazilian antitrust regulator CADE has approved the merger of Shell and BG in the country following the companies’ US$70 billion announcement in May. The new company’s portfolio in Brazil will consist of 14 blocks in the Barreirinhas, Santos and Espirito Santo Basins, covering almost 10,000 sq km. The production of both companies is expected to hit 150,000 b/d of oil and 550,000 boe/d by 2020. BG is a Petrobras partner in the Lula (25%), Sapinhoá (30%), Lapa (30%) and Lara (25%) pre-salt fields, while Shell operates the Parque das Conchas complex in the Campos Basin and has a 20% interest in the Libra pre-salt field.
The speaker, Fabio Carvalho, GE’s Lead Sourcing Coordinator, gave an overview of the company’s activities in Brazil and some of its work in oil and gas. One of the highlights was GE’s dominance of the flexible riser market. It now supplies 75% of its global trade in flexible risers to Petrobras (Brazil has a 60% global market share). GE has also increased its presence in the Brazilian wind sector, having assembled 1,000 wind hubs locally in 2014. If you are interested in becoming a GE supplier, you can register to go on its central database, which is used by local GE supply teams around the world. However, GE advises EIC members to approach local teams directly in locations where you would like to do business.
Neuquén E&P agreements worth US$38bn Two agreements worth US$38 billion have been signed with the Neuquén provincial government for the exploration and production of unconventional reserves. The first agreement calls for the development of tight gas resources and shale oil in the Lajas and Vaca Muerta formations at the Lindero Atravesado concession, where Pan American Energy (operator and 62.5% interest) and the state-run oil company YPF (37.5% interest) plan to invest US$11 billion over the next 20 years. The second agreement is for the development of shale oil and gas present in the Vaca Muerta formation at the Bandurria Sur, Bandurria Centro and Bandurria Norte concessions, where YPF, PAE and Wintershall have pledged to invest US$27 billion over the next two decades.
If you need any assistance or advice in the region or for more information about upcoming events, please contact: Clarisse Rocha, Head of Americas Contact: clarisse.rocha@the-eic.com
EIC Newsbriefs – Keeping you up to date on energy news from around the world. Email membership@the-eic.com www.the-eic.com
@TheEICEnergy
23
September 2015
If you would like more information or are interested in becoming an EIC member, please contact: EIC Head Office and Southern Region 89 Albert Embankment, London SE1 7TP Tel +44 (0)20 7091 8600 Fax +44 (0)20 7091 8601 Email info@the-eic.com EIC Northern Region Unit 1, Business Village, Chapell Lane (South), Wynyard Park, Stockton-on-Tees TS22 5FG Tel +44 (0)1642 379 972 Email teesside@the-eic.com EIC Scotland 72 Carden Place, Aberdeen AB10 1UL Tel +44 (0)1224 626 006 Fax +44 (0)1224 637 393 Email aberdeen@the-eic.com EIC Middle East PO Box 54455, Office No 5WA 228, West Wing Building 5A, Dubai Airport Free Zone, Dubai UAE Tel +9714 299 3945 Fax +9714 299 3946 Email dubai@the-eic.com EIC Asia Pacific Lot 17-01, Level 17, Menara HLA, No 3 Jalan Kia Peng, 50450 Kuala Lumpur, Malaysia Tel +603 2725 3600 Email kualalumpur@the-eic.com EIC North and Central America Suite 850, 11490 Westheimer, Houston, Texas 77077 Tel +1 713 783 1200 Fax +1 713 783 0067 Email houston@the-eic.com EIC South America Ed. Manhattan Tower, 26th Floor, Avenida Rio Branco 89, 20040-004 Rio de Janeiro - RJ, Brasil Tel +55 21 3265 7400 Fax +55 21 3265 7410 Email rio@the-eic.com
www.the-eic.com Follow @TheEICEnergy Join the EIC LinkedIn Group ‘Energy Industries Council’
energizing your business