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DNV SERVING THE MARITIME AND OIL & GAS INDUSTRIES Proposal for joint industry project (JIP)

Recommended Practice (RP) for Subsea Forgings PROPOSAL FOR JOINT INDUSTRY PROJECT (JIP)

02 I RECOMMENDED PRACTICE (RP) FOR SUBSEA FORGINGS I Proposal for joint industry project (JIP) I

PROPOSAL FOR JIP Det Norske Veritas (DNV), as part of its portfolio, is known for taking an active part in developing industry reference codes, ranging from Rules, Standards, Approval Programs, Classification Notes to Recommended Practices and Guidelines. This is derived from a long track record of serving the industry with activities which include R&D, qualification services for innovative solutions, relevant assessments with associated dedicated testing, and facilitating Joint Industry Projects (JIPs). As a technically strong and independent entity, DNV is in a unique position to help create reference documents that are well recognized in the industry, and capable of doing so in a ‘fast track manner’ through close cooperation with the industry through JIPs. For the Recommended Practice (RP) proposal addressed in the following, DNV is confident that it can effectively contribute in a JIP setting through in-depth knowledge of the key features of the challenges at hand – which range from metallurgy, inspection and testing to obtaining buy in from key stakeholders (end user, system suppliers manufacturers and sub-suppliers), where a common understanding among these becomes a main pre-requisite for a successful outcome.

BACKGROUND / CHALLENGE The motivation for the JIP is to improve quality, cost and delivery times of forgings for the subsea industry. Quality concerns relate to some significant failures with origin in material properties of forgings. Currently, end users of subsea systems typically have company-specific requirements for forgings intended to reduce the risk of such incidents, which makes stocking of prefabricated forgings and thereby shorter lead times difficult. A pre-requisite to shorten lead times and effective project execution, is timely availability of forgings that meet all likely end user quality requirements.

Material quality is strongly influenced by knowledge of the forging shops and company inspectors. New forging shops may have limited or no experience with the oil & gas industry and requirements for subsea equipment One way to ensure consistently high and repeatable quality and to build confidence into the final product is to have a material standard with a unified approach to manage material quality in the supply chain. A unified approach will help limit the risk of failure during fabrication, subsea installation and operation by giving a best practice approach not only to the manufacturers and sub-suppliers, but also to the end customers’ way of specifying properties they require with regard to mechanical loads, interfaces with other material, environmental issues, cathodic protection, cyclic loading etc.

OBJECTIVES Develop a Recommended Practice (RP) containing subsea forging specifications which will be based on several “quality grades” with corresponding material composition, manufacturing, QA/QC , and documentation requirements. This, as a measure to improve industry practices, should allow bulk manufacture and common stocking, thereby reducing QA/ QC costs and delivery times.

I RECOMMENDED PRACTICE (RP) FOR SUBSEA FORGINGS I Proposal for joint industry project (JIP) I 03

BENEFITS AND EXPECTATION Participants will in the period May 2013 to October 2014 have: ■■




An opportunity to influence on the formulation of the RP. Access to up-to-date information based on the work on unifying approach to manage material quality. A possibility for evaluation of own approach. Fast track development of an industry recognized reference document, which is foreseen as a prerequisite for obtaining the objective.

A clear success criterion will be participation and buy in from the key stakeholders (end user, system suppliers manufacturers and sub-suppliers), and that relevant forgings specifications are shared to the greatest extent possible. This requires that relevant aggregated experience is brought forward; intrinsic challenges assessed by the Steering Committee, and proposed solutions for a robust and best practice incorporated in the RP.

SCOPE OF WORK AND EXECUTION PLAN The initial focus of this JIP will be on carbon steel and low alloy steel forgings. The scope will thus cover a significant portion of subsea forgings, and address known design and manufacturing quality issues based on experience and known failure modes. The execution is rooted in the framework of the JIP agreement (attached for info), and will typically comprise ■■ review activities, ■■ conducting workshops ■■ provision of draft releases of RP proposal for SC review and comments This JIP will benefit from and have a head start based on the efforts made during an initial screening process that has been initiated by the Norwegian Oil and Gas Association. Subsea forging specifications from several major operators were reviewed and compared in terms of requirements for material, QA/QC, and documentation. The comparison showed that while there were a number of different or unique requirements within operators’ specifications, there were no apparent contradictions or irreconcilable differences. This exercise has thus demonstrated potential for a unified specification that features several material grades.

An outline execution plan and JIP agreement will be communicated prior to the 'kick-off' meeting. Main stages in such a plan are briefly depicted in the following; ■■ kick off meeting (early May 2013) ■■ review of company specifications; relevant existing standards; available manufacturing procedure specifications ■■ addressing quality issues; ensuring seamless transfer of design issues into manufacturing specifications; manufacturing inspection an test plan; documentation requirements.

TIMELINE Start-up:……………………May 2013. Draft RP:…………………...April 2014 (issued to JIP participants only). ■■ External hearing:………….August 2014. ■■ ■■

all with the aim to generate an approach that is transparent and found to be sufficient to instill necessary confidence in the final product among stakeholders (participants in the JIP).The aim is to conduct and complete the JIP within a 14 month period.

FEE Operators:………….............. 250 000 NOK Contractors:………............... 150 000 NOK Manufacturers:……….......... 100 000 NOK

ACKNOWLEDGEMENTS This JIP has been facilitated by and jointly promoted with the Subsea Standards Workgroup, which is sponsored by the Norwegian Oil and Gas Association – a professional body and employers’ organization for oil companies and suppliers on the Norwegian shelf.

DET NORSKE VERITAS AS NO-1322 Høvik, Norway I Tel: +47 67 57 99 00

THIS IS DNV DNV is a global provider of services for managing risk, helping customers to safely and responsibly improve their business performance. Our core competence is to identify, assess and advise on risk management. DNV is an independent foundation with presence in more than 100 countries.

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CONTACTS: Bjørn Søgård Business Development Leader Well, Subsea and Risers, resources (TNTNO721)

Ole Rengård Vice President Subsea & Well Technology (TNTNO717)

Ship classification Offshore classification

JIP proposal: Recommended Practice (RP) for subsea forgings