Inside Monthly news for EIC members October 2018
Survive and Thrive Volume II
EIC Connect Oil & Gas 2018
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03 Sh toc
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With Fulkrum Technical Resources Commercial Manager Maria Lazar
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One-to-one
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En EIC e Ku rg I C al y ONN a Lu BO mpu Ma EC O r• 31 la T NO KI O y c W NG tobe sia r
Meet some of the 40-plus exhibitors who will be at Manchester next month
Learn how to beat the downturn with proven growth strategies
www.the-eic.com
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Sector analysis India’s energy transformation
The Republic of India has achieved significant economic growth since liberalisation of its markets in 1991, establishing itself as the world’s seventh largest economy in 2017. The country is continuing its upward trend with a projected growth of 7.4% for 2018, representing an immense opportunity for business in an energy sector that serves a population of 1.3 billion people. Oil and gas is a priority sector for the Indian government given the country’s increasing demand for energy resources. India is the third largest oil consumer globally and the country’s consumption has outgrown domestic production capacities. Two key domestic developments are the Krishna-Godavari (KG) Basin Block 5 and Block 6, under development by India’s Oil and Natural Gas Corporation (ONGC), and a Reliance Industries and BP partnership, respectively. A consortium of Baker Hughes, McDermott and Larsen & Toubro submitted the lowest bid for the subsea system package for Cluster II of ONGC’s Northern Development Area in the KG-D5 Block, due to be commissioned by 2021. The government’s decision to gradually move towards an economy based on natural gas has prompted the increased development of liquefied natural gas (LNG) import terminals and regasification infrastructure. Up to 11 LNG projects are currently in planning or under development. Despite the country’s status as an importer of oil and natural gas, India is one of the largest exporters of refined oil products globally. EICDataStream is currently tracking 53 projects that are under development with a combined CAPEX of US$63.8bn, with another 46 projects worth a CAPEX of US$164.4bn in planning. One of the largest project’s to be developed is the Ratnagiri or West Coast refinery and petrochemical complex with a capacity of 60m tonnes per annum. Saudi Aramco and ADNOC are both participating in the development.
Lara J
uergen
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India’s commitments to the Paris Climate Change Agreement as well as ongoing efforts to improve the country’s electrification rates have led to significant developments in the power and renewables sector. While thermal power plants such as the 1.6GW Ramagundam and 2.4GW Patratu stations are still under construction, existing and future assets are becoming increasingly unviable as clean generation from solar and wind energy reaches grid parity. The Indian government is targeting 60GW of utilityscale solar power capacity by 2022. A strong pipeline of projects is also expected in India’s wind energy sector, with the government intending to auction 10GW worth of capacity in both 2018 and 2019. In the long-term, export opportunities for UK and European contractors are anticipated in the offshore wind sector, with the Indian government recently announcing an ambitious 5GW target for 2022 and 30GW for 2030. A first 1GW tender is currently underway with the world’s leading developers submitting applications. The Indian government is keen to increase foreign investment, however, there is a clear emphasis on enhancing domestic manufacturing capacity under the Make In India campaign. While the process of doing business is gradually improving, administrative procedures continue to take time and patience. India has set itself ambitious targets across the energy sector in the face of immense demographic pressures, which will provide significant opportunities for both domestic and foreign companies in the future. Lara Juergens, Energy Analyst, Power, Nuclear & Renewables lara.juergens@the-eic.com
Interested in India?
If you’re thinking about making India the next stop for your business our India Country Report is a must read. Get the India Country Report EIC members can download the full report via EICDataStream free of charge. Not an EIC member? To buy a copy of the report, please contact Amisha Patel, Head of Power, Nuclear & Renewables and Public Affairs Email amisha.patel@the-eic.com Designed and published by the Energy Industries Council 89 Albert Embankment, London SE1 7TP Tel +44 (0)20 7091 8600 Fax +44 (0)20 7091 8601 Email info@the-eic.com Web www.the-eic.com @TheEICEnergy Energy Industries Council (EIC)
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Inside this issue... In September we launched the second edition of our EIC Survive and Thrive Insight Report. Volume II once again explores the strategies being put in place by 26 EIC member companies of all sizes and working across all energy sectors to deal with the downturn. The report charts the journeys these companies have made to emerge from the hard times, in many cases stronger than ever. The best practices we’ve identified across the case studies are proven, having generated over £357m of orders and new savings in one year alone. On page 6, you’ll find an overview of the participating organisations and their survive and thrive strategies. From November’s issue of Inside Energy onwards we’ll be publishing the individual case studies. For those of you who can’t wait until next month, the full report can be downloaded completely free of charge here: www.the-eic.com/portals/0/website/publications/insightreports/ SurviveandThrive2-fullPDF.pdf Next month the EIC National Awards Dinner returns to 8 Northumberland Avenue, one of London’s most elegant red-carpet venues. Entertainment at this EIC members only event (you can invite non-EIC members as your guests though) will be provided by Jon Culshaw of Dead Ringers and Spitting Image fame. To find out more and book your table please visit: www.the-eic.com/Events/EICNationalAwardsDinner
Contents Sector analysis
Inside this issue...
BO O NO KI W NG
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One-to-one 4 EICDataStream 5 EIC Survive & Thrive II New EIC members Member news
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Social media round up 15 Forthcoming events
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Meet the exhibitors
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Overseas events
Edward White, Editor and Communications Manager edward.white@the-eic.com
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Training 22 Spotlight on technology 23 UK & Europe news
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North America news
26
Middle East news
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South America news 27 Asia Pacific news Sign for the EICOnline newsletter Get inup touch Share your news and views...
Visit www.the-eic.com/Forms/NewsletterSignup Please contact edward.white@the-eic.com
Follow @TheEICEnergy
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Join the EIC LinkedIn Group
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One-to-one
with Maria Lazar Commercial Manager, Fulkrum Technical Resources With a global network of more than 1.6 million professionals, Fulkrum is able to serve its clients’ inspection and engineering personnel requirements across all divisions of the oil, gas and renewable sectors. With experience across a wide-ranging project portfolio, Fulkrum understands the dynamics and subtleties of major projects and extends its practical hands on experience to its clients. Fulkrum’s experienced personnel work in unison with your existing teams, ensuring efficiency levels are always optimised. Fulkrum’s philosophy is not simply defined as a service provider, but as a client partner giving them instant access to its project history and global experience.
Q
Can you tell us a little bit about Fulkrum?
A
Fulkrum Technical Resources (FTR) is a leading provider of inspection and expediting services and the supply of specialist quality assurance and quality control personnel to the international energy industry.
We partner with our clients throughout the project lifecycle, bringing together specialist experience and an industry understanding that spans the entire energy supply chain.
During the past decade we have provided services in support of numerous energy projects and our global presence continues to afford some of the industry’s major players and their flagship projects the most resourceful, reliable, cost-effective and proven solutions in the industry.
Q
Why should companies choose Fulkrum?
A
FTR is operational in more than 25 countries with staffed offices in the US, UK, UAE and Malaysia, covering all time-zones. All clients have dedicated account managers, who are at your service 24/7.
Our growing international reputation is built on a collaborative approach which anticipates and meets your
quality, safety, compliance and performance needs with consistency and reliability.
FTR’s network of professionals can be called upon at short notice enabling us to react to the dynamic changes projects often experience.
Fulkrum’s innovative approach enables us to offer considerable value without compromising on quality of service.
Q
What makes Fulkrum different from other technical resourcing companies?
Fulkrum takes the time to listen to our clients’ needs to ensure that we are fully briefed to fully understand the project needs and sensitivities. We perform comprehensive pre-screening of all resources and only propose relevant solutions to our clients.
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FTR personnel are fully vetted with the focus on career history and project experience, analysis of skill set and expertise, and the verification of all relevant qualifications with the awarding body. Fulkrum has also developed an in-house testing procedure which further ensures that our inspector knowledge base is current and valid. The O&G market is still very challenging. How do you add value to your clients?
Get in touch Share Do youyour wishnews to beand profiled views... in this section? Email Pleasenewsdesk@the-eic.com contact edward.white@the-eic.com • Phone +44 (0)20 7091 8600
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Fulkrum has an absolute commitment to contributing towards the success of our clients’ businesses. We aim to build lasting relationships with our partners, for us quality is a ‘given’. We realise that embracing quality in all aspects of the company is a key factor, after all quality is the pivotal point of lasting success.
FTR believes no two clients are the same which is why we adopt a partnership approach. The transparency of working is of vital importance to us and our loyal clients, and we will always be honest in our recommendations when approached for our advice.
Q
What do the next 12-18 months have in store for Fulkrum?
A
Fulkrum Technical Resources will soon open new branches in Saudi Arabia and India, with further branches planned in China, Indonesia and Brazil.
FTR has been awarded contracts for a number of high profile onshore and offshore projects where our company will play a significant role in adding value to our clients’ projects, with cost reductions realised through proactive planning and efficient deployment of resources coupled with clear and effective communication and reporting methodology.
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Global opportunities THE UK
Drax bioenergy CCS pilot project Operator: Drax Power Limited Value: US$1m The first phase of project will study the compatibility of a solvent and the biomass flue gas at the Drax power station. The second phase is a proposed demonstration project to isolate the CO2 produced from biomass combustion.
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GERMANY
Herne CCGT plant Operator: Steag Value: US$1.1bn Construction of a 650MW CCGT combined heat and power unit at the Herne power plant in North Rhine-Westphalia. Siemens has secured the EPC contract for unit 6 of the power plant, which will have a thermal capacity of 400MW.
INDIA
Gujarat offshore wind demonstration project Operator: Government of India Value: US$1.5bn A 1,000MW offshore wind demonstration project. It will be located 23-40km from the Port of Pipavav, Gujarat. Request for proposals launched in August 2018. So far 35 companies have issued expressions of interest for the project.
For more information on these and the 8,500 other current and future projects we are tracking please visit EICDataStream
THE UK
CANADA
Dunlin Cluster decommissioning
Kwispaa LNG liquefaction plant
Operator: Fairfield Energy Value: US$440m A consortium of Heerema Marine Contractors and AF Gruppen has announced that it has been awarded a contract for the decommissioning and disposal of the Dunlin Alpha topside. The platform will be removed and disposed of between 2021 and 2024.
Operator: Steelhead LNG Value: US$30bn Steelhead LNG has signed an agreement with Hyundai Heavy Industries to engineer and design two large t-shore hulls for the project. The first 12m tonnes-peryear phase is expected to be operational in 2024.
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HUNGARY
MOL Polyols project Operator: MOL Group Value: US$1.4bn Thyssenkrupp’s Industrial Solutions business area has received an EPC contract. MOL is investing a total of around ₏1.2bn in the new plant complex, scheduled to go into operation in 2021.
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EIC Survive & EIC Insight Report Volume II
The first-ever EIC Survive and Thrive Insight Report was released in 2017. It was received to great acclaim from an industry keen to learn about the proven business development strategies it contained, while the UK government used the recommendations from the participating companies to feed into its ongoing industrial strategy work. A year on and Survive and Thrive Volume II once again details the growth strategies being put in place by 26 companies of all sizes – from family run SMEs right through to Tier 1 contractors – and covering all energy sectors: oil and gas, power, nuclear and renewables. The report also includes 24 energy supply chain recommendations for the government covering the areas of: Brexit, financial support for the industry and nonfinancial support. Not only are the 26 EIC member companies’ case studies inspirational for an industry which really does need to hear more good news stories, more importantly they provide tangible advice and best practices which can be used by organisations of any size and working in any sector. These solutions are proven, having generated over £357m in savings and new orders for these companies. They could – and should – be working for your business too.
Key findings
Brexit is still not a priority In 2017, none of the participating companies mentioned Brexit as an issue or part of their future planning. In the second volume of Survive and Thrive only five companies reported having felt any impact from Brexit – negative or positive – and only one organisation is in the process of developing Brexit contingency plans.
Strategies at a glance Collaboration Working with partners to enable another survive and thrive strategy Digital The application of digital systems, analytics and technology to innovate Diversification of product, sector or market Export In this report we focus on investment in ‘new exports’ as a means of dealing with the current downturn Get in touch Share your news and views...
Email newsdesk@the-eic.com • Phone +44 (0)20 7091 8600
Export is the least used strategy to grow for a second year The findings of this year’s report regarding Export are a mixed bag. The good news is that the number of companies turning to export as a growth strategy during the industry downturn has grown from 8% to 19%. However, export, for a second-year running remains the least used Survive and Thrive strategy. Given the phenomenal results which an export strategy can achieve it’s surprising. With Brexit looming, it’s very troubling. Innovation remains the number one strategy While export remains bottom of the list, innovation is once again the favourite growth strategy. The figures across the two studies show a remarkably similar take up: innovation including the use of technology was used by 73% of the participants in 2017 compared to 69% this year. Government support on the up The level of government support has risen across the two studies with 65% of the 2018 participants receiving assistance from agencies such as the Department for International Trade, UK Export Finance, Scottish Development International and Scottish Enterprise, up from 27% in 2017. The type of support received in 2018 was split almost evenly between financial and nonfinancial support. Get the full report To download the full EIC Survive and Thrive Insight Report Volume II for free please visit: www.the-eic.com/ Publications/MarketIntelligenceReports We’ll also be including the participating companies’ case studies in each edition of Inside Energy from November onwards. Innovation Enhanced products, services and solutions with new or applied differentiation Optimisation Making physical and administrative processes more efficient and cost effective Service and solutions The focus on adding value to customers in their OPEX and O&M value chain, and the specific broadening of scope of work to provide a one-stop-shop approach Technology Refers to the specific use of technology to solve clients’ problems
EIC Survive & Thrive II
Participating Participating member companies companies member
MICROPACK
FIRE AND GAS
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EIC Survive & Thrive II
Overview of companies and strategies
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EIC Survive & Thrive II
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New EIC members NEW UK MEMBER
OVERSEAS GLOBAL MEMBER
OVERSEAS GLOBAL MEMBER
Bibby Offshore
Byrne Equipment Rental
Cashman Equipment Corp
Emaar Business Park, The Greens Building 4, Floor 6, Office 612 Dubai 50283
41 Brooks Drive, Ste 1005 Braintree, MA 02184 United States
The Nominated Representative is Ms Vikki Thom, Subsea Business Manager
The Nominated Representative is Ms Katy Grice, Group Marketing Manager
The Nominated Representative is Ms Samina Sadaf Mahmood, Director, Commercial Operations
Telephone +44 (0)1224 857 755
Telephone +9714 454 4800
Telephone +1 781 535 6222
Email vikki.thom@bibbyoffshore.com
Email katy@byrnerental.com
Email smahmood@4barges.com
Web www.bibbyoffshore.com
Web http://byrnerental.com
Web www.4barges.com
Bibby Offshore is a leading specialist provider of enhanced subsea solutions, offering integrated services to a varied client base throughout the offshore energy industry. Based in Aberdeen since 2003, with a further UK office in Newcastle, the company operates a global fleet of subsea support vessels and advanced remotely operated vehicles worldwide.
Byrne Equipment Rental is one of the largest equipment rental companies in the Middle East. The business focuses on the rental needs of a wide range of industries including oil and gas, construction and infrastructure, industrial and manufacturing, and marine and ports.
Cashman Equipment Corp is a marine vessel and equipment provider. Cashman owns one of the largest diverse fleet of ocean going barges, inland barges, accommodation barges, oceangoing tugs, anchor handling tugs, cranes, etc.
Atmosphere One Prospect Road Westhill Aberdeenshire AB32 6FJ
Bibby Offshore offers a diverse range of services including; full in house project management and engineering services to support EPIC project delivery, subsea construction, subsea inspection repair and maintenance, decommissioning services, flexible flowline and umbilical installation, survey and inspection, and saturation and air diving services.
Whether you need temporary power, portable accommodation, or to hire items of plant, Byrne Equipment Rental is a one stop shop for your equipment rental needs. Sister company Spacemaker (Byrne Technical Services) leads the market in the design, manufacture and installation of modular buildings with the strength to endure the most rigorous and remote conditions.
Building on Bibby Offshore’s traditional values and competencies, the focus is to deliver a safety conscious, highquality and cost-effective service to the global offshore energy industry.
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The fleet is positioned around the world including Africa, the far east, Mexico, the Middle East and all coasts of the United States. Cashman equipment is ideal for marine construction and transportation, project cargo services, marine accommodations, and support services for salvage and wreck removal.
New EIC members
NEW PRIMARY MEMBER
NEW UK MEMBER
NEW PRIMARY MEMBER
Expro
Powertherm Contract Services Ltd
Techfluid UK Ltd
Lion House Dyce Avenue Dyce Aberdeen AB21 0LQ
Francis House, Orgreave Drive Handsworth Sheffield S13 9NR
Unit 35, Moorland Way Nelson Park Cramlington Northumberland NE23 1WE
The Nominated Representative is Mr Neil Sims, Region VP – Europe CIS
The Nominated Representative is Mr Corey Mahoney, Business Development Manager
The Nominated Representative is Mr George Scott, Managing Director
Telephone +44 (0)1224 225 700
Telephone +44 (0)114 288 9119
Telephone +44 (0)1670 704 720
Email neil.sims@exprogroup.com
Email corey@powerthermcontracts.co.uk
Email george.scott@techfluid.co.uk
Web www.exprogroup.com
Web www.powerthermcontracts.co.uk
Web www.techfluid.co.uk
Expro’s mission is well flow management. The company provides services and products that measure, improve, control and process flow from highvalue oil and gas wells, from exploration and appraisal through to mature field production optimisation and enhancement.
Powertherm is an ISO 9001 certified service provider established in 1989. The company offers a range of industrial solutions including: thermal and acoustic insulation; flexible insulation covers; scaffold and rope access; specialist coatings; trace heating; refractory lining.
With a specific focus on offshore, deepwater and other technically challenging environments, Expro provides a range of mission critical services across three key areas: well test and appraisal services; subsea, completion and intervention services; production services.
Based in the UK, Powertherm believes its innovative approach to product development and service delivery is only possible by placing high-quality, safer working environments at the heart of everything it does.
Techfluid is a market leader in the manufacture and supply of flexible hose assemblies (FHAs) for the oil and gas, exploration and production industries. The range includes: API 7K hydraulic tensioner, API 17K production and MPD hoses; API 7K rotary, vibrator, jetting and hydraulic hoses; API 16C choke and kill hoses; EN1765 low-pressure bunkering hoses; API 16D hydraulic BOP control hoses.
Expro’s vision is to be the market leader in well flow management, using the industry’s best people, to deliver the highest standards of safety, quality and personalised customer service.
Powertherm is also a member of the Thermal Insulation Contractors Association.
Expro’s 40+ years of experience and innovation empowers the company to offer tailor-made solutions for customers across the energy sector. With over 4,100 employees in over 50 countries, Expro offers a truly global service solution.
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Techfluid also provides a comprehensive inspection service including internal and external inspection, refurbishment, repair, hydrostatic testing, re-certification and report. This service can be performed offshore or onshore, with hoses in-situ or decommissioned, or at Techfluid’s UK facility. In addition, Techfluid’s competent technical staff can provide training courses in basic FHA construction, inspection and repair. The courses range from short ‘tool-box’ style talks to more formal detailed presentations. Techfluid has a reputation as a global leader in design, manufacture and distribution combining extensive knowledge and experience to deliver services across all elements of a hose lifecycle.
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Member news Ducab wins UAE Superbrands Award
Ducab, one of the Middle East’s leading manufacturers of high quality cables and cabling products, has been named one of the top brands in the UAE for the seventh consecutive year by the Superbrands organisation, an independent authority of branding excellence. In an industry with rapidly evolving requirements, Ducab is diversifying its product range to meet energy needs of the future. With six manufacturing facilities across the four sites in UAE, the company is well-positioned as a global leader in the development, design, manufacture, marketing and distribution of copper and aluminium wire and cable products providing end to end solutions for the energy, general construction, oil and gas, industrial, defence, transport, marine, mining and other specialty industry verticals.
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For more information: www.ducab.com
James Fisher bolsters Middle East subsea capabilities James Fisher and Sons Plc (James Fisher) is bolstering its offering in the Middle East with the addition of further subsea-focused capabilities to strengthen its position and enable it to support the fast-growing oil and gas market. The deployment of a significant range of additional capabilities, including dedicated specialist equipment to support offshore construction, IRM and decommissioning services, will enable customers to benefit from a fast, local response. By extending its regional capabilities James Fisher will support major contractors by providing effective, responsive and efficient services, as an experienced integrator of complex offshore and subsea operations.
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For more information: www.fisheroffshore.com
JDR Cables wins multi-million pound contract for world’s biggest offshore wind farm UK-based JDR Cables has won a multi-million pound contract to supply inter-array cables and termination work for Ørsted’s record-breaking offshore wind farm, Hornsea Project Two. When operational in 2022, the wind farm will supply clean electricity to over 1.3 million homes, and surpass its sister project Hornsea One, as the world’s largest offshore wind farm. The contract includes 100km (around the same distance as Hartlepool to Leeds) of inter-array cables, all to be assembled in JDR’s Hartlepool facility. The project is Ørsted’s first in the UK to use 66kV for its array cables, having used 33kV for previous projects.
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For more information: www.jdrcables.com
JDR Cables has won a multi-million pound contract to supply inter-array cables and termination work for Ørsted’s offshore wind farm, Hornsea Project Two
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Member news
MTE receives prestigious award for 18th year
One of the UK’s leading product designer, manufacturer and global supplier of fire, blast and heat hazard protection, Mech-Tool Engineering Ltd (MTE), has been awarded the prestigious RoSPA award for the 18th consecutive year. The company – based in Darlington – provides a full in-house service for fire, blast and heat hazard protection and will receive the award for maintaining its outstanding health and safety measures. MTE has continued to win the RoSPA Gold accreditation since joining the scheme in 2000. The RoSPA order of distinction is an internationally recognised award that merits large and small companies across various industries for commitment to health and safety standards.
PJ Valves selected for North American LNG project
Specialist manufacturer and supplier of valves for the global energy industry PJ Valves (PJV) has been awarded a US$650k contract from a major EPC contractor following a competitive tender. The company will manufacture and supply over 500 valves to an LNG modernisation project located in New Jersey, US.
Our team thrives on delivering innovative solutions and this demanding project will allow us to do just that. We’ll be able to demonstrate both our manufacturing and distribution capabilities, giving our client access to the best of both worlds from one supplier.
Speaking about receiving the RoSPA order of distinction for the 18th year, Anthony Jones, MD of MTE said, ‘We are thrilled to be achieving the high standards of accident prevention and health and safety management required for the gold order of distinction year on year. Health and safety is at the forefront of what we do and to be recognised for our commitment to these practices is an honour. It is also a great credit to everyone in the organisation for maintaining high levels of protection and prevention across all departments.’
Spencer Linsell, Group Business Development Director, PJ Valves
The RoSPA awards scheme is the largest and longest-running programme of its kind in the UK with countries across the globe entering. The criteria monitors a company’s accident and ill health prevention as well as taking into account accident records, leadership and workforce involvement together with company health and safety management systems.
The company was awarded the tender for the standard of its design and manufacturing capabilities and its ability to deliver valves with the 20-week lead time. PJV’s flexibility will also benefit the client as it can provide comprehensive and quality solutions at any point in the project schedule. This will be instrumental in meeting the December 2018 deadline.
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For more information: www.mechtool.co.uk
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PJV will manufacture and deliver ball, butterfly, gate, globe and check valves all supplied in both cryogenic and non-cryogenic design. The cryogenic design ensures successful application in extremely low temperatures when natural gas is cooled and condensed into LNG. The carbon and stainlesssteel valves will be manufactured in PJV’s factories in India and Italy and will range up to 12 inches in diameter and 2500lb in pressure class.
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For more information: www.pjvalves.co.uk
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Proserv appoints strategy specialist
Proserv has appointed Ewen MacLean to the position of Vice President Strategic Planning and Marketing. Recently refinanced and debtfree, Proserv is restructuring and developing a revised long-term strategy. As part of this process, Ewen joins Proserv’s leadership team and will work with Chief Strategy Officer Davis Larssen to develop and implement the company’s long-term business strategy, clarifying Proserv’s market and commercial propositions. Ewen previously spent nine years as a Director at Calash where he advised global energy investors, debt providers and oilfield service management teams on strategy, market analytics, change management and commercial positioning, often as part of due diligence exercises. Prior to his time at Calash, Ewen spent a number of years running Heathrow’s Terminal Four before returning to Aberdeen to manage operations at Peterson Offshore Group. Davis Larssen said, ‘I am very much looking forward to working closely with Ewen as we enter the next chapter of Proserv’s story and focus on how we can best support our clients in as sustainable a way as possible. ‘Ewen brings a wealth of industry knowledge and his background of driving lasting change stands us in great stead for the future. Proserv will continue to complement its exceptional team with targeted key people as it develops its strategy and market propositions.’ Proserv is a technology-driven controls and asset integrity company, delivering product, services and bespoke solutions to clients across the energy sector.
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For more information: www.proserv.com
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Member news
Trelleborg’s Vikodeck™ fireproofing tiles
Restrata shows support for ISOA Middle East and Africa Chapter
Restrata, a global leader in safety, security and emergency response consultancy and training services, has joined the International Stability Operations Association (ISOA) as an approved member. The International Stability Operations Association (ISOA) is a global partnership of private sector and nongovernmental organisations providing critical services in fragile environments worldwide. ISOA works to build, serve and represent a network of organisations by providing diverse member services, publications and events. Through communication and engagement, ISOA also builds partnerships across sectors to enhance the effectiveness of stability, peace and development efforts across the globe. Botan Osman, managing director of Restrata, said, ‘We are excited to join ISOA and believe strongly in the need for co-operation and collaboration between all members and stakeholders involved. This joint effort will be beneficial for not only our organisation, but also for the countries who need support to improve stability through proactive development.’
Restrata was established in 2006 and has grown to become a principal provider of innovative security consulting, training, tracking and emergency response solutions underpinned by technology, to the world’s leading organisations, associations and governments. Headquartered in the UAE, with offices in Aberdeen, London, Dubai and Iraq, Restrata provides a range of safety and security services to establish the necessary security and crisis management arrangements to build resilience within organisations, including consultancy, technology solutions, training and workforce development, as well as a track, monitor and respond capability.
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For more information: www.restrata.com
Trelleborg receives DNV-GL certification for fireproofing tiles
Trelleborg’s offshore operation has recently been awarded DNVGL certification for its Vikodeck™ fireproofing tiles. Manufactured using Trelleborg’s next-generation Firestop™ material, the newly certified Vikodeck™
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tiles are lighter and thinner than any current passive fire protection materials available to the market and can be tailored to withstand various chemical and mechanical conditions. Vikodeck™ is designed to offer surface protection against blast, jet and pool fire in harsh demanding environments, while also providing corrosion protection and antifatigue dampening support for the comfort and safety of employees. The flexibility of Vikodeck™ allows the tiles to withstand movement as well as impacts that could possibly damage or crack a rigid system. Christian Kolderup, Project Engineer for Trelleborg’s offshore operation based in Norway, said, ‘Trelleborg is committed to supplying high performance, robust and dependable solutions that significantly improve safety to protect personnel, equipment, critical components and structures in demanding environments both onshore and offshore. ‘By obtaining DNV-GL certification for the thin and light Vikodeck™ tiles, we intend to identify new applications for the material in markets other than in oil and gas.’ wi
For more information: www.trelleborg.com/offshore
New EIC members Member news Social media round up
Wood continues to support Fosen Vind project
Wood is continuing to support Statkraft on Fosen Vind, the largest onshore wind power project in Europe. The 1GW project, which is located in central Norway on the peninsula of Fosen, comprises six onshore wind farms with the combined capacity to power up to 170,000 Norwegian households when complete. The clean energy team is currently installing 29 guyed lattice meteorological masts and performing data monitoring and analysis for the site calibration phase as part of a power performance testing contract. This will be followed by the installation of power monitoring equipment fitted to a number of the wind turbine generators for the power curve test phase. Steve Noble, VP of Wood’s clean energy business, said, ‘We are pleased to be supporting Statkraft on this milestone project. ‘As the largest onshore wind power project in Europe, Fosen Vind will provide thousands of homes with clean energy while reducing greenhouse gas emissions. Being awarded a contract of this size and scale is testament to the technical expertise we hold in power performance testing.’
Social media round up We want to use every opportunity to connect with our members, so please follow us on Twitter (@TheEICEnergy) and connect with us on LinkedIn – Energy Industries Council (EIC) Below you’ll find a selection of some of the exciting EIC activities and useful industry information we’ve shared through our social media channels.
The EIC @TheEICEnergy
Volume II of the #EICSurviveandThrive Insight Report is out now, looking at successful business development strategies, free for EIC members: http://bit.ly/2Mobaut
The EIC @TheEICEnergy
At the EIC we like to reward the exceptional work done by our staff with the EIC Worthy Award. The latest award went to @fabrice_abalain for going #AboveandBeyond
Wood.
Energy Industries Council (EIC) EICAssetMap now covers energy assets in Norway, across the O&G, power, nuclear and renewables sectors. Find out more: https://www.the-eic.com/EICAssetMap
It is expected that the wind farms, which will generate 3.4TWh power annually, will be completed and commissioned by 2020.
i
For more information: www.woodplc.com
Sign up for the EICOnline newsletter
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16
October 2018
Forthcoming events 3 October Business Presentation
Breakfast Briefing: Survive & Thrive II EIC London
4 October Business Presentation
Breakfast Briefing: Survive & Thrive II EIC Teesside
5 October Business Presentation
Breakfast Briefing: Survive & Thrive II Stork, Aberdeen
9 October Export Showcase
Opportunities in Sub-Saharan Africa
Aker Solutions, Chiswick, London
9 October Management Course
EICDataStream training Online
11 October Technical Workshop
Introduction to Pump Design SPP Pumps, Coleford
11 October Management Course
EICDataStream Overview EIC Houston
11 October Corporate Entertainment
EIC National Awards Dinner 8 Northumberland Avenue, London
16 October Business Presentation
Opportunities with Sinopec EIC London
16 October Management Course
Effective Local Agents
Minster International, EIC London Get in touch Share your news and views...
Email newsdesk@the-eic.com • Phone +44 (0)20 7091 8600
16 October Management Course
EICDataStream Overview EIC Kuala Lumpur
17 October Technical Workshop
Introduction to Steam Turbines Peter Brotherhood, Peterborough
17 October Business Presentation
Opportunities with Sinopec Ardoe House Hotel, Aberdeen
23 October Overseas Exhibition
WETEX
Dubai International Convention & Exhibition Centre
23 October Management Course
EICDataStream Overview EIC Houston
24 October Industry Overview
Fundamentals of LNG EIC London
24 October Management Course
EICDataStream training Online
29 October Overseas Delegation
Uganda and Kenya Kampala and Nairobi
30 October Technical Workshop
Introduction to Vacuum Pumps Busch Ltd, Crewe
31 October EIC Connect
EIC Connect Energy Malaysia Pullman Kuala Lumpur City Centre Hotel
For more information and to book visit www.the-eic.com
Forthcoming events
November 2018
BO O NO KI W NG
1 November Sector Showcase
Opportunities in Energy from Waste EIC Teesside
7 November Business Presentation
Costain and the Hydrogen Economy Costain House, Aviator Way, Manchester
7 November Industry Overview
Fundamentals of FPSOs EIC Rio de Janeiro
7 November Management Course
EICDataStream training Online
8 November Management Course
Understanding Contract Terms EIC London
8 November Management Course
EICDataStream Overview EIC Houston
12 November Overseas Exhibition
ADIPEC
Abu Dhabi National Exhibition Centre
13 November Management Course
EICDataStream Overview EIC Kuala Lumpur
14 November Management Course
Bidding to Win EIC London
15 November Management Course
Technical Report Writing EIC London
BO O NO KI W NG
Sign up for the EICOnline newsletter
Visit www.the-eic.com/Forms/NewsletterSignup
Follow @TheEICEnergy
Join the EIC LinkedIn Group
17
BO O N O KI W NG
EIC
NATIONAL DINNER 2018
11 OCTOBER
Your venue 8 Northumberland Avenue is one of central London’s hidden gems. It was originally the residence for the Percy family in the 1600s and has been immaculately restored, boasting high ceilings, impressive chandeliers, and ornate detailing. Accommodation for guests is also available at the Grand Hotel at 8 Northumberland Avenue.
THE MOST EXCLUSIVE EVENT IN THE UK ENERGY I N D U S T R Y ’S S U P P LY C H A I N CALENDAR Join us at the most prestigious event in the UK energy industry’s supply chain calendar as we celebrate the achievements and successes achieved by YOU, our members.
Your guest speaker With an unmatched versatility, Jon Culshaw is seen by many as being Britain’s best impressionist with a repertoire of over 350 voices covering politics, sport and celebrities. He is a regular guest on radio and TV comedy and chat shows and frequently appears on election coverage.
Take advantage of this exclusive platform to host and entertain your own VIP guests at an unforgettable evening. Cost Table of twelve: £4,200+VAT Individual place: £365+VAT
Awards ceremony
Most of the major Tier 1 and Tier 2 EPC contractors, OEMs, operators and developers are represented within the audience, making this a unique opportunity to promote your brand. Please contact:
The EIC Awards Ceremony recognise individuals and companies which offer a product or service with a positive and significant effect on the UK energy supply chain.
Clare Logan, Project Manager +44 (0)1642 379 972 clare.logan@the-eic.com
BOOK TODAY
T: +44 (0)1642 379 972 E: nationalevents@the-eic.com www.the-eic.com/nationaldinner
© EDF Energy 2017
Sponsorship opportunities
Submissions for the 2018 awards have now closed and judging is underway.
19
Overseas events New markets, new opportunities
Finding new market opportunities is the lifeblood of business worldwide. There is always the need to hunt for new turf – where will you go next? Join one of our upcoming overseas delegations to exploit new market opportunities in a supported environment. Attending a delegation ensures your company meets relevant buyers and advisors in the market. Each programme includes: Pre-arranged group meetings with 8-14 key EPC contractors and operators In-country briefings to understand the business environment, local content and key players
• Networking receptions at the British Embassy or Ambassador’s residence • Your company profile included in delegation brochure (circulated prior to mission) • Dedicated events manager and support from
Kuwait
Trinidad and Tobago, and Guyana
• •
3-6 December 2018 Kuwait City Kuwait is an extremely prosperous economy with the oil and gas sector contributing to 60% of the country’s GDP and about 95% of export revenues. Its strategic location and extensive oil reserves make it one of the world’s richest countries per capita. Kuwait holds the world’s sixth largest oil reserves with 101.5bn barrels of proven reserves and 63tn cubic feet of proven gas reserves. Large investments are centred on heavy oilfields such as the Kuwait Oil Company operated US$5.3bn Northern fields development (Ratqa and Abdali fields). With the company due to sign nine contracts with international and local contractors worth US$3.3bn for supplying 86 drilling rigs, there is plenty of opportunity for the UK supply chain. Deadline for booking – last spaces remaining, contact us for availability.
Nigeria
28-31 January 2019 Lagos With the sheer scale of investments and number of projects under development, Nigeria represents the most significant market of opportunity in Sub-Saharan Africa. Nigeria is a major player in the oil industry with total proved reserves of over 37bn barrels of oil, and production rates of over 2MMbbl/d. Add to this proven gas reserves of 186Tcf, significant LNG liquefaction capacity and a growing downstream sector, and Nigeria provides substantial opportunities for the UK oil and gas supply chain. Deadline for booking – Friday 30 November 2018
regional office and DIT
14-18 January 2019 Port of Spain and Georgetown This dual centred programme will offer delegates the chance to make connections in the established market of Trinidad and Tobago, alongside exploring fresh opportunities in Guyana. In a regional context, the Caribbean has now become the focus of oil and gas companies in their quest for new hydrocarbon resources. On 30th August, ExxonMobil announced the ninth discovery offshore Guyana at the Hammerhead-1 well. These discoveries open possibilities second only in its scale to Brazil’s pre-salt play. Guyana’s infrastructure is limited, providing a strong need for expertise and experience from UK companies. Deadline for booking – Friday 30 November 2018
Next stop?
Overseas delegation to India 25 February 2019
Overseas delegation to Oman 1 April 2019
Overseas delegation to Kazakhstan 15 April 2019
Overseas delegation to Canada 17 June 2019
Get in touch For more information and to register your interest in the listed delegations, contact the EIC Overseas Events team...
Email overseasevents@the-eic.com • Phone +44 (0)20 7091 8600
@TheEICEnergy
Energy Industries Council (EIC)
20
EICICONNECT
Oil & Gas 2018
meet the exhibitors
Our flagship EIC Connect event returns to Manchester on 27-28 November. Inside Energy met with four of the 40-plus exhibitors to find out what visitors to their stands can expect to find on offer Honeywell Process Solutions helps industrial customers around the world operate safe, reliable, efficient, sustainable and more profitable facilities. It Russe ll offers leading technologies from EPC A Baker, cc Honey ount Manag well Pr ocess er, Solutio the plant floor to the boardroom as ns well as comprehensive lifecycle services that help to ensure more productive and stable operations.
A
Petrel is a UK manufacturer of tions lighting and control equipment for use in hazardous areas and industrial applications. Based in Chaz M Sales cDonald, the Midlands, Petrel stands on the D Petrel irector, firm foundations of British design and supplies to mainland UK, Europe and further afield in the Middle East and far east.
A
We’ll be showcasing our range of high-performance LED products for use in Zone 1/21 and 2/22 alongside live demonstrations of our lighting design service.
Founded in 1946, SICK has more than 50 subsidiaries globally, over 9,000 employees worldwide and achieved group sales of €1.5bn Andre in 2017. SICK provides sensors w Produc Wrath, t SICK (U Manager – Flow, K) LTD and application solutions for controlling processes securely and efficiently, protecting individuals from accidents and preventing damage to the environment.
A
We’ll be exhibiting a complete gas measurement station including FLOWSIC600-XT ultrasonic gas meters,
TUV SUD NEL provides leading independent consultancy, calibration and testing, research and development, training and knowledge transfer services to industry. As the holder of the UK’s national standards for flow and density measurement, it is one of the foremost authorities on flow measurement issues in the world today. Thomas M Head of cCudden, Sales and M TUV SU arketin D NEL g,
A
Connectivity, analytics, Honeywell knowledge and expertise allow you to see, analyse and improve the competency and productivity of your people, the efficiency of your processes and the performance of your assets. Honeywell Connected Plant reflects how we are helping transform businesses through innovation, experience and technology. Learn more about our smart, connected assets and devices. Open up new possibilities for safety, productivity, organisational responsiveness and profitability.
These include an area light range which is suited to a wide variety of environments where traditionally a floodlight, high bay or low bay luminaire would have been used. Other products available include both LED and traditional linear luminaires in standard and emergency formats and a full range of portable lighting solutions for both ATEX and industrial applications, as well as a broader range of floodlights, wellglasses and bulkheads.
Visitors to our stand will find out how we can transform their entire enterprise with Honeywell Connected Plant.
Russe EPC A ll Baker, Honey ccount Man well Pr ag ocess er, Solu
Visitors can find out more about our new Advanced Multiphase Facility, a new high-pressure,
Get in touch Share your news and views...
Email newsdesk@the-eic.com • Phone +44 (0)20 7091 8600
Flow-X Flow computers, Flowgate condition-based maintenance diagnostic software and eXelerate supervisory software. At the heart of the station is the fiscally approved gas meter, used by major oil and gas companies worldwide working with natural gas, blended gas, process gas, CO2 and steam. The meter benefits from having a user-friendly product family, automatic correction of geometry and Reynolds number, PowerIn Technology™ for a safe backup operation, i-diagnostics™ and is easily extendable with flow computers – just connect-andgo with all major brands. multiphase flow test facility, which will have a test range beyond anything currently available in the world today. This new £16m development will provide cutting-edge facilities necessary to address the technical challenges of extreme subsea operating conditions. The facility is a pressurised, closed-loop flow circuit which offers a range of operating conditions for single-phase, multiphase and dry gas test applications. The range of flowrates it can generate give it unique capabilities not offered at any other facility anywhere in the world.
www.the-eic.com/eicconnect I +44 (0)1642 379972 I nationalevents@the-eic.com
www.the-eic.com/eicconnect I +44 (0)1642 379972 I nationalevents@the-eic.com
O NO KI W NG
www.the-eic.com/eicconnect I +44 (0)1642 379972
From £3,650 + VAT
BO
From £299 + VAT
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EIC training
Vacuum in oil, gas and power applications A wide range of processes require tailored, reliable vacuum technology. That is why vacuum technology is an important component in the production and processing of oil and gas.
Busch has specialised in the varied vacuum applications for the oil and gas industry for over 50 years and offers proven solutions which can be tailored to exact customer requirements, using a large product portfolio of various types of vacuum technology when designing vacuum systems. Sharing the knowledge gained from 50 years in the industry, Busch (UK) Ltd will be delivering a training course in the use of vacuum technology in oil, gas and power applications at its UK production facility in Crewe on Tuesday 30 October. The aim of the day is to provide attendees with a clear view of the key applications for vacuum and low overpressure pump technologies used in the oil and gas, and power sectors. This course offers a basic overview of vacuum principles from a theoretical view (what is vacuum); as well as clarifying the operating principles of various vacuum pump technologies with a strong focus on liquid ring technology. It will also look at trouble shooting of vacuum pumps, systematisation and ATEX regulations, using vacuum pumps in hazardous areas. In the afternoon a workshop tour will allow attendees to experience vacuum pumps up close, providing a greater understanding of their manufacture and testing.
In addition, there will be the chance to discuss any global support for colleagues who may benefit from localised technical support from the Busch global co-ordination team. Busch vacuum pumps and systems are installed across the globe in all areas of oil and gas exploration, extraction, refinement and distribution. In VOC vapour recovery, Busch’s custom-built vacuum pumps are installed in various OEM’s systems globally. These are designed to recover vapour as well as providing benefits such as the reduction of environmentally hazardous substance discharge, while also minimising significant loss of potentially valuable energy represented by the evaporation of oil. Busch liquid ring vacuum pumps in combination with air ejectors provide a highly effective solution when specified and installed in the seawater de-aeration application, achieving levels of less than 50ppb of oxygen present in seawater. Busch liquid ring compressors are frequently used to reduce emissions and generate cost savings as part of the flare gas and vent gas recovery process. Additionally, they are used in the gas boosting application to boost the gas pressure up to 2 bar above atmospheric, enabling the gas to be delivered to a highpressure pipeline. To ensure that using MEG is a cost-effective solution for hydrate inhibition, it is recovered, regenerated and re-used via vacuum technology from Busch. Busch can also provide vacuum and overpressure solutions for other associated applications such as mud transfer and drying, filtration, air scour, accommodation central vacuum systems and cargo oil pump priming.
To book your place, please visit: www.the-eic.com/TrainingDetail?eventId=1329&dateid=2196 Get in touch Share your news and views...
Email newsdesk@the-eic.com training@the-eic.com • Phone • Phone +44 +44 (0)20 (0)20 7091 7091 8600 8600
23
Spotlight on technology PROCENTEC
https://procentec.com
PROCENTEC MERCURY
PROCENTEC elevates your operation to the next level. Most processes gearing towards Industry 4.0 will operate in a mixed architecture, where older networks and Industrial Ethernet networks work side by side. With this situation in mind, the company has developed the next evolution in its diagnostic eco-system: PROCENTEC Mercury.
Mobile, multi-protocol diagnostics for all environments
PROCENTEC Mercury is a robust tablet which features the company’s cross-platform software package called Osiris. The PROCENTEC Mercury is perfect for troubleshooting, maintenance and monitoring Industrial Ethernet, PROFINET and PROFIBUS networks. This handheld device is fast, has an easy to use interface and is perfect for use in industrial environments.
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Visit Emailwww.the-eic.com/Forms/NewsletterSignup edward.white@the-eic.com • Phone +44 (0)20 7091 8600
Verifying networks to international standards
A unique, brand-new feature on PROCENTEC Mercury is the PROCENTEC Commissioning Wizard. It automatically walks you through the steps necessary to meet the PROFINET standards for network commissioning. Preparing PROFINET or Industrial Ethernet certification reports was never this easy, as each step is accompanied with the necessary information provided by PROCENTEC Delphi.
Meet PROCENTEC Delphi: your virtual network engineer
With PROCENTEC Delphi the company has succeeded in sharing the knowledge it has built up over the past 20 years of performing diagnostics on industrial networks. It is a unique software feature which offers guidance in plain everyday language. PROCENTEC Delphi is part of Osiris software and therefore available on the PROCENTEC Mercury and PROCENTEC Atlas. PROCENTEC Delphi is PROCENTEC’s knowledge and your virtual network engineer. As an integrated part of the company’s software PROCENTEC Delphi is always there to help. Follow @TheEICEnergy
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24
UK and Europe news Regional update
September was a busy month with regional Members’ Updates running in London and Teesside covering the oil and gas, power, nuclear and renewables industries. Sector Terri S ylveste r showcases in September introduced delegates to key players in the growing floating offshore wind sector, while Wood’s recently won contract to provide design and engineering services to the Dounreay nuclear site in Scotland was highlighted at our Nuclear Decommissioning showcase. In the London office we welcomed Cairn and ONGC who spoke about the opportunities with them in India. October looks set to be equally busy, featuring a new technical workshop in the EIC training programme: an Introduction to Vacuum Pumps (see article on page 22). Survive and Thrive Volume II breakfast briefings will run on the 3rd, 4th and 5th October in London, Teesside and Aberdeen, respectively. EIC CEO Stuart Broadley will present the key findings of the report, discuss best industry practices that have been put into action by the participating companies and the huge savings that could be made if these are adopted across the UK, as well as recommendations that will be made to the government to support supply chain companies and revitalise the UK energy industry. Sub-Saharan Africa offers significant opportunities for the British oil and gas supply chain. Our event in London on 9 October will focus on three key markets: Uganda, Kenya and Senegal, and is followed by an exclusive opportunity for a limited number of delegates to attend an afternoon networking reception hosted by Lord Popat, the UK’s Trade Envoy to Uganda at the Houses of Parliament on the same afternoon. I recommend booking now to avoid disappointment. Judging of the EIC National Awards finalists is now complete and we look forward to announcing this year’s winners at the EIC National Awards Dinner on 11 October. This promises to be an entertaining evening with guest speaker impressionist John Culshaw. Please hurry if you’ve not yet booked your tickets. With significant CAPEX plans and major EPC contracts awarded, Sinopec is a company the supply chain should be looking to engage with and we therefore anticipate great interest in the events we are running with them in London and Aberdeen on 16 and 17 October, respectively. Get in touch Share your news and views...
Email newsdesk@the-eic.com • Phone +44 (0)20 7091 8600
The event will highlight projects being worked on and opportunities for the supply chain as well as how to do business with the company through its international online marketplace platform and the benefits of registering on this platform. I should also mention that on 7 November, as part of the EIC’s 75th anniversary year, long-standing member Costain is hosting a Costain and the Hydrogen Economy event. Delegates will learn how hydrogen can transform the UK’s energy market, understand the innovation required to make the vision a reality and meet key players within the industry. As you can see there are a number of events going on, covering a variety of themes – we look forward to seeing you at some of these later this month. Terri Sylvester, Head of UK & Europe terri.sylvester@the-eic.com
Regional news
Oil and gas discoveries made in North Sea
Equinor has announced a new oil and gas discovery at well 15/3-11, located 10km south-east of the Gudrun field in the Norwegian North Sea. Preliminary estimates for the discovery indicate between 6.9MMbbl and 12.58MMbbl of recoverable oil equivalent. Meanwhile, Siccar Point has finalised well testing operations at the 204/10a-5 appraisal well, part of the Cambo field north-west of Shetland. Results confirmed an oil column of over 100ft and net pay of 58ft.
BEIS considers renewables in capacity market
The UK’s Department for Business, Energy and Industrial Strategy has published a review into the capacity market including a call for evidence. BEIS is looking to establish how a capacity market inclusive of renewables can be implemented in practice. The call for evidence will close on 1 October 2018.
EIC Newsbriefs membership@the-eic.com Keeping you up to date with energy news from around the world
25 25
Middle East news Regional update October is possibly one of the busiest months of the year for the EIC Dubai office with two main events that we will need to focus on.
Regional news
Majnoon welcomes Chevron Terry
Willis From the 23rd to the 25th we have the Water, Energy, Technology, and Environment Exhibition (WETEX) taking place here in Dubai. This event has grown in stature over the years and with the Dubai Electricity & Water Authority (DEWA) being the main organiser, it has an increasing focus on renewables and their place in the energy mix. WETEX is a key part of Dubai’s objective of being the leading exponent of renewable energy by the end of the next decade.
During the following week, we shall be taking a delegation of companies to Uganda and Kenya with the Uganda leg once more being led by the Prime Minister’s Trade Envoy, Lord Popat of Harrow who has a passion for ensuring that UK companies positively engage with the rapidly growing Ugandan economy, especially within the energy sector where there are substantial opportunities emerging from the multi-billion dollar investments currently underway. Looking ahead to next month, the world’s leading oil and gas event ADIPEC will be taking place in Abu Dhabi. The EIC will once again be managing the UK pavilion, which in terms of area, is now the largest event that we have on our packed programme. We look forward to catching up with friends and colleagues who will be part of the 100,000 plus attendees visiting the show. In addition, this year will see the EIC lounge being used for presentations and one-to-one meetings involving all the major players at the event. With the above activities in mind, there has never been a better time to take up EIC membership. Besides the global overseas offering, we are now able to offer a primary membership that provides access to our services both in the UK as well as across the region. Please do not hesitate to contact the office for more details.
Iraq’s state-owned Basra Oil Company (BOC) has announced it has started development work on the country’s Majnoon oil field with US energy company Chevron, which has completed the initial studies for the Majnoon field. The BOC-Chevron joint venture will be responsible for executing three key work stages on the Majnoon project: field development, preparation of reservoir studies and starting production operations. In addition to undertaking oil production and treating associated gas at Majnoon, it will also set up an oil refinery at the development.
Foreign O&G investment in Egypt reaches US$10bn
Foreign investment in Egypt’s oil and gas sector increased to US$10bn in the 2017-18 financial year, according to Petroleum Minister Tarek El Molla. In the 2016-17 period foreign investment was US$8.1bn. The value of foreign investment in Egypt has risen after a series of major gas discoveries in the country which has experienced a boom in project activity, mainly on the back of the enormous Zohr gas discovery by Italy’s Eni in 2015.
Forthcoming events
Please go to page 16 to see upcoming events in your region
On another note, our MENA Analyst Fabrice Abalain, pictured second from left, won the latest EIC Above and Beyond Award (presented by EIC CEO Stuart Broadley) for running the UK pavilion at this year’s Iran Oil Show so successfully – congratulations Fabrice! Terry Willis, Director, Middle East, Africa & CIS terry.willis@the-eic.com Sign up for the EICOnline newsletter
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26
North and Central America news Regional update Activity offshore the Gulf of Mexico is increasing, with new investments from key players such as Total E&P, Repsol, Premier, and Capricorn and even major independents are entering Mexican waters.
Regional news
Amand
a Duho
n
Mexico’s recent election of President Andrés Manuel López Obrador is good news for the country’s O&G industry with his administration indicating that it plans to increase oil and gas production from 1.9MMbbl/d to 2.5MMbbl/d in two years and advance onshore and offshore bidding rounds. Following very successful regional showcase events focusing on Mexico over the last four years, the EIC Houston office established a Mexico-focused regional advisory committee to further its reach across the region and identify even more specific opportunities for UK companies to do business in Mexico. The committee consists of representatives from the British Embassy Mexico City, International Society for Mexico Energy (ISME), IPS Powerful People, McDermott, Pemex Procurement International, RPS Energy, Scottish Development International, TechnipFMC, Whittaker Mexico, William Hare and Wood.
CNH approves Eni’s US$7.49bn offshore development
Italian major Eni has received approval from Mexico’s National Hydrocarbons Commission (CNH) for its US$7.49bn development plan at the Amoca, Mizton and Tecoalli fields offshore Mexico. The early phase will target a modest production rate of 8,000bbl/d by Q1 2019, as well as an additional 90,000bbl/d by Q4 2020. Phase 2 will include an FPSO unit, four wellhead platforms and a total of 36 wells. The projected recovery is 345.8MMbbl of oil and 221.6tn cubic feet of gas by 2038.
Diamondback Energy acquires Energen in US$9.2bn deal
Following its US$1.2bn acquisition of Ajax Resources in early August 2018, Diamondback Energy has agreed to acquire shale rival Energen Corporation for US$9.2bn. The deal is set to close in Q4 2018 and will further expand Diamondback Energy’s presence in the Permian Basin.
Mexico sees influx of new solar PV projects Following very positive committee meetings, we are delighted to announce that we are taking the EIC Connect model to Mexico City in February 2019. Watch your inbox for further details to follow this month. The EIC is working with the British Embassy Mexico City and the Department for International Trade to take forward EIC Connect Mexico within the margins of a trade mission. Build your business in the North and Central American region with our EICLaunchPad service. The Houston office currently has three two-person offices available. Global members can also reserve hot desk and/or conference facilities. Amanda Duhon, Regional Director, North & Central America amanda.duhon@the-eic.com Get in touch Share your news and views...
Email newsdesk@the-eic.com • Phone +44 (0)20 7091 8600
Mexico has recently seen a big increase in new solar photovoltaic (PV) projects. Recently announced projects include: Ak Kin Power’s US$200m 138MW park in Coahuila; Alten Energías Renovables’ US$350m 250MW park in Puebla; Solar Brazo Fuerte’s US$350m 250MW park in Chihuahua; and Planta Solar Villa de Reyes’ US$288m 280MW park in Veracruz.
EIC Newsbriefs membership@the-eic.com Keeping you up to date with energy news from around the world
27 27
South America news Regional update
September was a very busy, and I’m also pleased to say a very successful month for the EIC Rio office. The Brazil Future Energy Summit received great feedback Clariss e Roch from all who attended – a big a thank you to the whole Rio team for all their hard work on this new event for us – while Rio Oil & Gas – where we hosted the UK pavilion – proved that it’s without doubt second only to OTC as far as O&G events in the Americas go. Looking ahead to next month, we’ll be holding a Fundamentals of FPSOs workshop on 7 November. Those attending will benefit from one of the country’s most knowledgeable people in the sector. Decio Rocha has over 20 years’ experience in the shipbuilding industry, plus another 20 years in the offshore market, participating in the design of the first FPSO converted in Brazil, construction of FPU units, FSOs, jack-up drilling rigs, shipyards, offshore terminals and more.
Regional news
Pre-salt ‘transfer of rights’ surplus to require 17 production units
Brazil’s National Petroleum Agency (ANP) estimates that 17 production units will be needed to develop surplus volumes of six fields in Brazil’s pre-salt province known as the ‘transfer of rights’ area. In 2010, the government ceded to Petrobras the rights to produce 5bn barrels of oil from six fields in the Santos Basin, but additional appraisal work identified a reserve surplus of at least 6bn barrels. These reserves are expected to be offered to the market in a bidding round which, pending government approval, is expected to take place in 2019.
The EIC team at Rio Oil & Gas
Book your place by visiting: www.the-eic.com/ TrainingDetail?eventId=1193&dateid=1951 Finally, at the time of writing I am just about to go on maternity leave. For the next six months the Rio office will report to Amanda Duhon, Regional Director, North and Central America. Clarisse Rocha, Head of Americas clarisse.rocha@the-eic.com
RenovAr 3 to be postponed
Argentine authorities are expected to postpone the third round of the RenovAr power auction to the second half of 2019. It is understood that the government has concerns over the country’s transmission capacity and will postpone RenovAr until a tender for 2,000km of new lines is concluded. A programme set up to boost the development of wind and solar power projects, RenovAr has awarded power purchase agreements to 75 developments with a combined capacity of 4.1GW (2.4GW from wind and 1.7GW from solar). RenovAr auctions are instrumental in Argentina’s goal to increase the share of renewable generation from the current 2% to 20% by 2025.
Forthcoming events
Please go to page 16 to see upcoming events in your region
Sign up for the EICOnline newsletter
Visit www.the-eic.com/Forms/NewsletterSignup
Follow @TheEICEnergy
Join the EIC LinkedIn Group
28
Asia Pacific news Regional update The consensus in the Asia Pacific region is that the oil and gas industry is on the up after several difficult years following the oil price crash.
Regional news
Azman
Nasir
This is borne out by the fact that its oil and gas producers are starting to revive projects. Fifty oil and gas fields in South East Asia, with a collective 4bn barrels of oil equivalent in resources, will likely be approved for development between 2018 and 2020, requiring some US$28bn of capital expenditure from final investment decision to first production. With the local industry recovering, we are seeing a significant increase in the number of UK companies visiting the region, indicating that the renewed confidence has spread among the supply chain. At the EIC’s Kuala Lumpur office we’re doing everything we can to help members make the most of the opportunities in the region. A prime example is the upcoming EIC Connect Energy Malaysia event this month. There will be about 20 speakers from key industry players with confirmed companies including PETRONAS, Malaysian Marine & Heavy Engineering, Petrofac, Shell, TechnipFMC, TNB and Wood. We urge EIC members in the region who want to increase their visibility in Malaysia’s energy sector to take up one of the various sponsorship packages available for the event. For full details and to book your place please visit www.the-eic.com/EICConnect/EnergyMalaysia Azman Nasir, Head of Asia Pacific azman.nasir@the-eic.com
Indonesia to inaugurate six new mini LNG terminals Indonesia’s Ministry of Energy and Mineral Resources is pushing for the development of small-scale LNG terminals in the country to help facilitate the distribution of LNG to gas-fired power plants located in remote areas. These include mini LNG terminals being developed by PT Pertamina in Jayapura, Kendari, Ternate, Nabire and Flores.
Pertamina to develop 29 infrastructure projects
State-owned oil and gas firm PT Pertamina is developing 29 strategic infrastructure projects worth more than US$1bn in Indonesia. The projects include fuel terminals and pipelines, LPG terminals, and an aircraft fuel refill depot and supporting facilities.
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