OGV Energy - Issue 40 - January 2021 - Lifting and Rigging by OGV Energy

JANAUGUST 2021 - ISSUE 2020 40

UKâ&#x20AC;&#x2122;s No. ENERGY SECTOR

PUBLICATION

THE RIGGING & LIFTING ISSUE FEATURING

Ampelmann - LEEA - Safelift MDL - 3t Transform - LMS Global Gravity

GLOBAL ENERGY NEWS

UK North Sea - MIddle East Europe - US - Australia

WORLD PROJECTS MAP RIGGING & LIFTING ZONE INNOVATION & TECH GREEN ENERGY CONTRACT AWARDS ON THE MOVE LEGAL & FINANCE EVENTS

www.ampelmann.nl

DEVELOPING THE MOTION COMPENSATED

LIFTING SOLUTIONS

THAT THE OFFSHORE INDUSTRY IS LOOKING FOR

Read on page 4

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CONTENTS

COVER PARTNER 4 Ampelmann - Developing the motion compensated lifting solutions that the offshore industry is looking for

PEOPLE IN ENERGY

6 - Brian Beattie - Marine & Lifting Technical Authority, CNOOC Limited

GLOBAL ENERGY NEWS

9 - UK North Sea 12 - Europe 14 - US 15 - Australia 16 - Middle East

RIGGING & LIFTING FOCUS

20 - Rigging & Lifting: Equipment and Service Providers Brace for Another Year of Uncertainty 23 - Safelift: Solutions for complex handling, lifting & rigging challenges! 24 - Survivex and AIS Training see uplift in demand for onboard rigging and lifting training

25 - LEEA: Monitoring wire ropes for safe lifting 26 - MDL: Asset Maintenance & Engineering: expert support to lifting equipment

INNOVATION ZONE

28 - Global Gravity: Making lifting operations safer!

GREEN ENERGY

30 - Port of Dundee: Construction crew hired for port upgrade

30 - Equinor joins Europeâ&#x20AC;&#x2122;s biggest green hydrogen project, the NortH2-project

31 - RWE chooses Van Oord for foundations and array cables at Sofia Offshore Wind Farm

EVERY MONTH 18 - World Project Maps 32 - Contract Awards 36 - On the Move 38 - Stats and Analytics 42 - Legal and Finance 45 - Events 46 - Community Partner: Aberdeen FC launch campaign to re-ignite pride in the Club and region

KENNY DOOLEY MAIN EDITOR Welcome to 2021 and we wish all of our clients the very best for what promises to be another challenging year, but with hope of much needed light at the end of the tunnel! We kick off the year in lockdown and with an oil price around the $50 mark. I expect it to be a difficult first few months - at least for many in the energy sector, both locally and internationally with travel and logistics severely impacted. This year we hope to host and participate in a number of key global industry events including OTC, Offshore Europe , Subsea UK, ADIPEC and COP 26 - all being well ! Our main focus this year will be to continue to grow our online traffic and readership along with the opening of the OGV Taproom in Aberdeen and the launch of our brand new radio station - OGV Live!

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To kick us off in 2021, we are delighted to welcome Ampelmann as our first cover star of the year and they can be found on pages 4-5 sharing insights into their motion compensation technology which safely transfers personnel to an offshore structure. Our theme this month is Rigging and Lifting and we also hear from Safelift Offshore, Survivex and AIS Training, Marine Developments Ltd and LEEA, as well as a great piece from Global Gravity and Verton on their new "Tubelock" solution. The rest of this monthâ&#x20AC;&#x2122;s magazine features our regular reviews of the Energy sector in the North Sea, Europe, the Middle East, the US and Australasia along with industry analysis and project updates from Rystad Energy and the EIC.

Thanks again to our readers for all their support last year, it has not been forgotten and we wish everyone all the very best in 2021. OGV-ENERGY

OGVENERGY

@OGVENERGY

VIEW THE OGV MAGAZINE ONLINE AT www.ogv.energy/magazine

COVER PARTNER

DEVELOPING THE MOTION COMPENSATED LIFTING SOLUTIONS

that the offshore industry is looking for

When the company was founded in 2007, Ampelmann was one of the pioneers in the industry that was later coined Walk to Work or in short W2W. Fundamental to the entry to this market was motion compensation technology. A structure on six cylinders (comparable to an inverted flight simulator) is used to compensate the motions of a vessel in all degrees of freedom, resulting in a motionless platform on a moving vessel. This platform was utilised to support a gangway to safely transfer people from a vessel to a fixed offshore structure.

rom the first commercial project in 2008, the size of Ampelmannâ&#x20AC;&#x2122;s fleet of systems has grown to 60 today. Initially envisaged to support the growing renewables market, operators working in offshore Oil & Gas started embracing this new method of enhancing productivity, increasing safety and reducing operational cost simultaneously. The early adopters of this new way of working already saw a potential to go beyond personnel transfer. Usually, the personnel being transferred required some additional tools and equipment to execute their work, or at least bring a decent lunch to an abandoned platform. In consultation with these clients, Ampelmann developed a small modification to the tip of the gangway, enabling the transfer of small cargo loads (up to 100 kg) from the vessel to the platform and back. This add-on has proven its use and was rolled out to the rest of the operational fleet. Combining people and cargo transfers proved successful and added value to the W2W scope of the client. With this success, there was an appetite for more, particularly when it came to size of the loads that could be transferred. Several prototypes were developed and tested to further explore the possibilities of motion compensated lifting. A variety of innovative gangway configurations using cargo trolleys, a telescopic crane boom and even a bespoke 8-tonne lifting gangway were put to test over the years, providing invaluable lessons learned. It was in 2015 that all these learnings came together and were incorporated into the design of a new system, the E1000.

www.ogv.energy I January 2021

Gangway to crane mode with a push of a button The E1000 system combined a smooth flow of people over the gangway with a 1-tonne lifting functionality. In the past, switching between people and cargo mode was manual. Pins were manually deployed to change from people to cargo transfer mode and the entire conversion process took at least ten minutes to complete. As the E1000 gained traction in the market and efficiency became increasingly sought-after, there was the need to reduce operational time and improve flexibility. Ampelmann responded to this trend by developing a mechanism that not only made the switch from people to cargo transfer mode easier, but much faster, too. The E1000 now uses remote-controlled hydraulic pin pushers to fixate the gangway booms in less than one minute with the push of a single button. With this plug-and-play system, any standard PSV becomes a very useful tool in supporting offshore construction and maintenance projects.

COVER PARTNER

The E1000 makes first moves in Oil & Gas A few years back, it was its clients that prompted the Dutch company to look into motion compensated lifting solutions and more recently, the Oil & Gas sector also adopted this innovation. The E1000 recently supported cargo lifts for an IRM project in the Oil & Gas sector for a North Sea operator and provided not only the W2W solution, but also the capacity to lift necessary tools and equipment. As a result, it supported critical maintenance work on a Single Point Mooring (SPM) platform, as well as the refurbishment of a helideck. The system was installed on a 12.1m pedestal and operated at a height of nearly 40m above sea level. Over the course of the 30day campaign, it helped transfer close to 120 tonnes of cargo.

Up next: Diversifying Ampelmann’s cargo solutions With the E1000s having now successfully operated in a number of offshore wind projects and having transferred close to 16 million kilogrammes of cargo worldwide, there is an increased interest from clients to see what else the Ampelmann cargo lifting fleet can do. On the one hand, not every project has a heavy lifting requirement, which is why a 250kg lifting add-on is currently being rolled out over the company’s fleet of A-type systems. The A-type is Ampelmann’s signature solution, which enables W2W operation in sea states up to 3m Hs. Incorporating this add-on feature allows for small cargo transfers to be made on a project, relieving the personnel from using drag bags and other inconvenient working methods.

The E1000 now uses remote-controlled hydraulic pin pushers to fixate the gangway booms in less than one minute with the push of a single button.

On the other end of the spectrum, a number of customers have seen the potential of the E1000 but with an increased lifting capacity. For offshore wind, the general trend is an increase of turbine sizes and with that, the size and weight of tools, equipment and other parts that need to be transferred to the turbines.

To meet the increasing requirements for lifting capacity, Ampelmann’s engineering team was given the challenge to develop a new system using the existing E1000 platform. By doing so, all the operational experience and system improvements of the E1000 could be conserved. The engineering team stretched the capacity of the system and their effort has resulted in an impressive 5-tonne fully motion compensated lifting capability. This system is assembled and going through final certification on the quayside in Rotterdam, ready for operations in the beginning of 2021. This increase of motion compensated lifting capacity opens up potential new applications in Oil & Gas projects as well. Supporting milk runs to normally unmanned installations (NUIs), to name one, where the cranes on the NUIs are becoming redundant with large OPEX savings on maintenance and inspection. The 5-tonne lifting capacity is verified with operators to be enough to transfer lifting containers with their liquids, chemicals, lubricants and spare parts.

Over the years, it has predominantly been offshore wind installation projects that have made use of the E1000. To execute their work, offshore technicians require a lot of equipment that is not at hand on the turbines. This includes their tools, generator sets, winches and spare parts. All these items could now be easily transferred together with the technicians, from the same vessel, using the same system in an operation that is hardly impacted by the wave conditions. The 1-tonne lifting requirement is now more or less the standard in offshore wind projects, where the equipment is designed to match this requirement. Ampelmann has a fleet of eight E1000s systems operating.

Ampelmann’s continuous development of cargo lifting solutions confirms its client-centric approach and ability to tailor its solutions quickly and to the right purpose. The company’s systems add value to offshore operations by improving efficiency and providing the highest standard of safety on the open sea.

Ampelmann is an offshore access provider delivering innovative, safe and reliable Walk to Work systems and services to the offshore energy industries globally. Learn more at: www.ampelmann.nl

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PEOPLE IN ENERGY

months this has tempered somewhat. It took a while to set up an effective workstation, but since doing this and with access to remote team meetings working from home has not been difficult. I imagine that for those who work at the coal face of operations working from home may have been more impactful.

MARINE & LIFTING TECHNICAL AUTHORITY: CNOOC LIMITED

Despite living and working in a busy household I have been fortunate not to suffer mental health anguishes, but it has been far too easy to have boredom drive a visit to the kitchen.

BRIAN BEATTIE

How did you get into the Energy sector and how long have you been working in the industry?

What has been the highlight of your career so far?

I started as a Marine Engineer Officer on deepsea tankers. If I am honest, I had little appetite for career progression. This changed following an explosion on a vessel which led to multiple loss of life and several hours firefighting. Recovering from this trauma changed me personally. I became unaccepting of risk and more focused as an individual. Getting married and having children drove a need for shorter tour lengths, this led me to move into the offshore industry. Unfortunately, a slipped disc put paid to my seagoing career. I moved to an onshore role before moving to Aberdeen where I joined a Well Intervention Ship Operator. After progressing my career to Marine Manager, I joined CNOOC in 2013 where I hold the position as a Technical Authority for Marine and Lifting.

As a Technical Authority within the Process Safety Management Department, I support safe operations through effective risk management. As owner and subject matter expert for the marine operations safe system of work, and developer of the mechanical handling safe system of work, I am called upon for clarifications or assessment of deviations.

What ambitions have you still got to fulfil professionally in your career?

How have you coped personally and as a company with the pandemic? CNOOC reacted early to COVID-19, bringing in segregation and various additional hygiene measures across the business. Since then, there has been continued assessments of risk by the company including the return to our offices which is unlikely to happen until next year. In terms of impact to business I am not aware of any countermeasure not being effective.

www.ogv.energy I January 2021

How has your job changed in the last 5 years, what do you do more of and what do you do less of? Despite a relentless downward spiral in the oil and gas industry the fact remains that the risks are still there. As such my role today and the activities I perform are similar to those 5 years ago. Any variation has come from the improvements in mechanical handling and marine risk management.

What does your job involve on an average day?

Personally, working from home I found initially that I was more productive due to the absence of distraction, however after several

Technically the most impactful has been the writing and roll out of a computer-based maintenance program on a Diving Support Vessel. When I was a Chief Engineer, I received an endorsement from a Diving Superintendent “the guys in the bin [in saturation] will be happy’. Asking what he meant he replied, ‘because the guys feel safer when you are on board’. There is nothing in my career I remember with more pride. The oddest highlight must be appearing on BBC TV News as an ‘expert’ to comment on the risks from the planned recovery of the Costa Concordia.

I have been fortunate to have had an interesting career. My ambition now lies with limiting risk of harm to persons and the environment, through continuous improvement in the governing processes. CNOOC have made many positive improvements, however like many areas within Oil & Gas there are still more to identify and resolve. At CNOOC we have introduced a new marine operations risk management process and with it the necessary training for persons who apply it. It takes up to 2 years before the effect of such a change can be evaluated; I would very much like to see positive outcomes from this.

If you were inviting guests to a dinner party, which 4 people would you invite and why? Some of my work colleagues would laugh at this question as I am not the most sociable of people.

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Steve Brusatte- A palaeontologist who wrote a fantastic book called ‘The Rise and Fall of the Dinosaurs’. I would have to include Eric Brown, the test pilot… I could listen to his stories all day. It would be a difficult choice between Lewis Hamilton and Mo Farrah; I think it would have to be Lewis only because I could interrogate him on the technical aspects of a formula one car. Richard Osmond: because he is able to find humour in the most eclectic conversation, if he could not make it then Romesh Ranganathan. If I am to enjoy a dinner party as well as great food, it must be interesting and be full of levity.

Who has been the most influential person in your life professionally? One of my favourite saying is that an individual is never more competent than a group. When developing standards or safe systems of work it is essential that adequate conduits exists to allow the contribution and feedback of the workforce. Because of this I would not tie this down to one individual.

Over the next 10 years what do you see will be the key challenges in the energy sector in the UK? Energy transition. Both as a reduction in production demand but also the reduction in environmental impact. Looking at my areas of expertise, in marine for me it is not reasonable to expect ship operators alone to carry the business risk of replacing or modifying existing tonnage with green power plants. Partnerships are going to have to be built between oil and gas and the ship operators likely through long term contracts incentivised by the government.

Given the experience you have now, what advice would you have given yourself when you were just starting out in the Energy sector? Buy amazon stock, lots of it. My career has been driven by external factors some of which not reasonably foreseeable; if I hadn’t been on the ship that blew up the probability is I would never have taken the higher certificates of competency; If I had not done that one trip on a dynamically positioned tanker I would never have been given the opportunity to move to diving support; If I had not slipped my disc I would never have moved onshore; If I had not been placed by accident on a LOLER appointed persons course rather than a LOLER lifting accessories inspection course I would never have built up the LOLER knowledge that was so attractive to CNOOC. So, my advice would be is never stop learning, see change as a challenge not as a threat and live by the rule that on many occasions the worst decision is to not make one.

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ENERGY NEWS

JANUARY 2021

UK NORTH SEA

Energy Review By Tsvetana Paraskova

The timeline for the longawaited North Sea Transition Deal, the UK’s Ten Point Plan for a Green Industrial Revolution, annual reports and surveys from industry, new field start-ups, and corporate contracts marked the past month in the UK North Sea oil and gas.

The UK’s Prime Minister Boris Johnson unveiled in November the government’s Ten Point Plan for a Green Industrial Revolution, expected to mobilise £12 billion of government investment to create and support up to 250,000 highly-skilled green jobs in the UK, and spur over three times as much private sector investment by 2030. Commenting on the plan, OGUK’s chief executive, Deirdre Michie said: “Our industry is already in action, evolving and contributing. We were one of the first major sectors in the UK to embrace the Government’s target to achieve net zero emissions by 2050.” “The good news for jobs and the economy is that with the right support, companies based here in the UK have the expertise to make us world leaders in tackling emissions, including through carbon capture and hydrogen production, both of which are key to the clean energy system of the future,” Michie added.

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In December, the UK government published the Energy White Paper for the road to net zero, committing to agreeing a Sector Deal with the offshore oil and gas industry to secure the sector’s long-term future consistent with net zero.

“This year, we have seen the decommissioning sector demonstrate resilience, determination and innovation in its response to considerable challenges. We will need all these qualities to ensure we can play our role in the energy transition, enabling us to seize the opportunities presented by energy integration, carbon capture and storage and innovation in lowemission decommissioning,” Katy Heidenreich, Supply Chain & Operations Director, OGUK, said in the foreword to the report.

“We will agree a transformational North Sea Transition Deal with the industry during the first half of 2021, focused on the economic opportunities of net zero and providing support for the people and communities most affected by the move away from oil and gas production,” the government said. In making its energy policies for the future, the government should seek more evidence from academic experts, governments abroad, social scientists, consumer groups, independent government agencies, and civil society at large, the Institute for Government said in a report in early December. The UK government should also seek a diversity of perspectives and open up its energy models to peer scrutiny, the report recommends. The leading offshore oil and gas industry body, OGUK, published its Economic Report 2020, which showed that oil and gas produced in the UK would continue to support energy security in the decades to come, but as part of a changing and cleaner energy mix. Despite the many challenges brought on by the pandemic, oil and gas production in the UKCS is expected to remain in 2020 at around 2019 levels of almost 1.7 million boepd. However, just six exploration wells were spudded in 2020, the lowest on record, OGUK’s report showed. UK emissions dropped by an estimated 10.2% in 2020, mainly due to the effects of lockdowns. Achieving the carbon capture utilisation and storage (CCUS) goals could require around £2–2.5 billion by 2030 to develop transport and storage infrastructure, the industry body said. Securing a North Sea Transition Deal will help unlock these opportunities and advance net zero targets, OGUK said. “Utilising the expert technical knowledge that exists within the substantial UK oil and gas supply chain is fundamental if we are to evolve toward a lower-carbon future,” OGUK’s Michie commented on the report. OGUK also published its Decommissioning Insight 2020 report, which found that as company expenditure is under increased scrutiny, around £500 million of expenditure has been removed from operator budgets for 2020-2022. The expected spending for 2020 is £1.08 billion, down by 30% from plans for £1.47 billion in early 2020. Reductions in expenditure have affected the supply chain, and reduced activity is now expected across almost all areas of decommissioning work during the next three years. For the fourth year in a row, well decommissioning activity with 116 wells outweighs exploration (4), appraisal (3), and development (60) activity in the UK North Sea combined, OGUK’s report said. Well decommissioning is expected to continue to account for the vast majority of decommissioning costs over the next decade, at 49% of total decommissioning expenditure, the report found.

www.ogv.energy I January 2021

IPPR, the Institute for Public Policy Research, the UK’s leading progressive think tank, said in a report in early December that the UK and Scottish governments should work together to set clear five-yearly targets to reduce oil and gas production, consumption and exports over time, in line with the net-zero targets and the Paris Agreement.

OGUK, published its Economic Report 2020, which showed that oil and gas produced in the UK would continue to support energy security in the decades to come but as part of a changing and cleaner energy mix.

A managed transition toward a Net-Zero North Sea “will also require the building of bridges out of the sector for the workers and businesses who will be affected and the right investment and support for the wider communities who will also be affected,” IPPR said. Commenting on the report, OGUK’s Michie said: “The UK’s changing offshore oil and gas industry has the essential expertise to develop critical net zero solutions, including CCUS and hydrogen. At the same time, our ambitious emissions reduction targets mean we can meet the existing but declining need for oil and gas with resources produced in the UK and with fewer emissions.” The Oil and Gas Authority (OGA) said on 2 December it had launched a study to identify the value of an energy hub on the Norfolk coast. OGA has already carried out a preliminary assessment of Bacton as the site. The study is intended to deepen understanding of whether it is a suitable location for using existing gas reserves as a transition fuel to produce blue hydrogen as an initiator for progression to green hydrogen generation. Business confidence among the North Sea oil and gas industry dropped in 2020 to the lows last seen in the 2015 downturn, according to the 32nd Oil and Gas survey, conducted by Aberdeen & Grampian Chamber of Commerce in partnership with the Fraser of Allander Institute and KPMG UK. The findings, which cover the six months to October 2020, highlight the industry turmoil during the year. More than three quarters of businesses, or 78%, are less confident about activities going forward, while only 1% are more confident. A total of 58% of contractors expect the outlook to worsen in 2021, with licensees and operators reporting similarly low confidence levels both now and in the year ahead, the survey showed. As much as 82% of contractors expect a decline in revenues in 2020, while 83% of contractors furloughed employees in 2020. While the extent of the 2020 reductions to workforce was not as severe as in 2016, around a fifth of surveyed firms expect to make further reductions in 2021, according to the survey. But 69% of contractors expect to be involved in renewables in the next three to five years, the survey also showed. “COVID-19, global uncertainty and a renewed push for climate action is impacting us all, but I believe the oil and gas industry has done as much as it can to mitigate any short-term damage and focus on long-term survival and sustainable growth as its diversification into green energy activities continues,” said Martin Findlay, senior partner with KPMG Aberdeen.

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UK North Sea

BRENT OIL PRICES OVER THE YEARS January review

Company news bp and partner Ithaca Energy started up at the end of November the Vorlich project, a Central North Sea subsea tieback, and the third major upstream project to come online for bp in 2020. The field has been developed through two wells with peak production expected to reach 20,000 barrels oil equivalent gross per day. “This is bp’s new strategy at play and the latest chapter in our resilient hydrocarbons story ̶ a great example of the fast-payback, high-return projects the company is focused on,” said Emeka Emembolu, bp senior vice president, North Sea. Deltic Energy Plc said at end-November that it was starting to engage with a number of its peers and operators with interest in the Southern North Sea licence P2428, which contains the Cupertino Prospect, with the aim of attracting partners to assist in opportunities towards drilling. Apollo has been awarded a contract to provide engineering services on Total’s UK assets over the next three years. Work packages include safety engineering, environmental engineering, development engineering, process and flow assurance, facilities engineering, subsea and pipelines engineering, and decommissioning. Jersey Oil and Gas plc said at the end of November it had entered into a conditional agreement to buy CIECO V&C (UK) Limited from ITOCHU Corporation and Japan Oil, Gas and Metals National Corporation (JOGMEC). The acquisition gives Jersey Oil and Gas 100% ownership and full control of Licence P2170, located within JOG’s Greater Buchan Area development project.

exploration and licensing activity. Four of the prospects have been matured to drill-ready status: Verbier Deep, Cortina NE (J64), Wengen (P2170), and Zermatt (P2497). Subject to funding, a drilling campaign is planned from 2022. In the success case, development would be made via short distance, subsea tiebacks to the planned GBA facility, Jersey Oil and Gas said. “We look forward to progressing a drilling campaign post a successful conclusion to our upcoming GBA sales process,” said CEO Andrew Benitz. CGG and Magseis Fairfield announced their completion of the 2020 acquisition of the largest OBN survey ever acquired in the North Sea. The OBN Cornerstone 2020 multi-client survey in the UK Central North Sea began in March 2020 and has already received significant industry interest and prefunding, CGG said on 26 November. Solids control, hazardous waste stream and wastewater expert Separo announced on 1 December a three-year contract for the provision of produced water treatment services from Neptune Energy. Petrofac has signed a three-year partnership with Intoware, a provider of workflow automation software for mobile applications, to develop and deploy workflow automation software specifically tailored to the requirements of the oil and gas industry. Hibiscus Petroleum provided an update on the Marigold Field Development Plan pertaining to the Crown Discovery. The project’s final investment decision (FID) has been delayed and is now expected around the end of March 2021, instead of by the end of December 2020, the company said.

In mid-December, Jersey Oil and Gas updated the market on its Greater Buchan Area

YEAR AGO

- BRENT OIL PRICE 2020 - $63.65 Brent crude closed at $60.56 on Friday, its biggest weekly decline in more than a year as concerns that the coronavirus will spread farther in China, curbing oil demand. The disease spread rapidly, with more than 2,800 people infected across the world and 81 in China killed by the disease in January 2020. West Texas futures fell from $59 a barrel on Monday to close Friday at $54.20. The Saudi energy minister hinted at further OPEC+ production cuts to head off another market meltdown. The EIA’s latest Drilling Productivity Report estimates oil production growth of just 22,000 b/d in February, a much slower pace than usual in recent years.

YEARS AGO

- BRENT OIL PRICE 2016 - $30.70 Share markets slide as oil price falls below $30 Global share markets tumbled as the prospect of an end to the Iranian oil export ban sent oil below $30 a barrel for the second time this week. London shares fell 2.2% to 5788.2, while France's Cac 40 fell 2.4% and Germany's Dax was 2.5% lower. Wall Street opened down sharply, with the Dow Jones index sinking 2.33% to 15,997.94 points. It came as concern grew that Iran could restart oil exports, flooding an already over-supplied market.

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YEARS AGO

- BRENT OIL PRICE 2011 - $96.52 The crude oil markets sustained high price levels in 2011, as the spot price of Brent averaged $111.26 per barrel, marking the first time the global benchmark averaged more than $100 per barrel for a year (see chart above). The West Texas Intermediate (WTI) crude oil price averaged $94.87 per barrel, up $15 per barrel from 2010, reflecting a discount to the Brent crude oil price due to transportation bottlenecks near Cushing, Oklahoma, the physical delivery hub for NYMEX light sweet crude oil futures contracts.

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Decommissioning in the North Sea

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ENERGY NEWS

By Tsvetana Paraskova

Europe

Energy Review

Oil & Gas In oil and gas, Norwegian major Equinor said it was increasing the production capacity of the giant Johan Sverdrup oil field in the North Sea, which started operations in 2019. The Johan Sverdrup field is increasing its daily production capacity, expecting to reach around 500,000 barrels of oil per day (bpd) by the end of 2020, around 60,000 bpd more than the original basis when the field came on stream. “For the second time since the start-up the plant is able to increase its daily capacity. As Johan Sverdrup is a field with high profitability and low CO2 emissions, a production rise is great news. The field has low operating costs, providing revenue for the companies and Norwegian society, even in periods with low prices,” said Jez Averty, senior vice president for operations south in Development and Production Norway. Equinor also started production from the Snorre Expansion Project in the North Sea. The Increased Oil Recovery project is expected to add nearly 200 million barrels of recoverable oil reserves and help extend the productive life of the Snorre field through 2040. Johan Sverdrup field

The UK’s ten-point plan for a green industrial revolution, increased emission reduction targets from the UK and the European Union, green energy opportunities, and more pledges for net-zero emissions from companies and organisations were the highlights of Europe’s energy landscape at the end of 2020. Some oil and gas companies operating in Europe continued to develop resources and award contracts and others struck agreements to explore decarbonisation of operations and to enter new clean-energy markets.

Archer has been awarded a five-year contract from Aker BP, with an additional three-year extension option, to perform platform drilling operations and maintenance services on the Ula and Valhall installations in the Norwegian sector of the North Sea. The contract commences on 1 January 2021 in direct continuation of the current contract. Spanish oil and gas firm Repsol announced its new strategic plan to accelerate the energy transition. Around 30% of Repsol’s investments through 2025 will go to low-carbon businesses, while the company will reduce its global presence in oil and gas to 14 countries, with a more efficient and focused exploration activity. The plan is aligned with the firm’s ambition to reach net-zero emissions by 2050. Wintershall Dea became the latest company to set climate targets, aiming to reach net-zero upstream activities by 2030 and reduce the methane intensity of its total gas production by 0.1% by 2025. As one of Europe’s leading independent gas and oil producers, company supports the EU’s goal of achieving carbon neutrality by 2050. “For E&P companies it can’t just be business as usual,” Wintershall Dea’s chief executive Mario Mehren said in a statement, noting that “The future of energy is low-carbon.”

Green Policies & Renewables The UK government unveiled a Ten Point Plan for a Green Industrial Revolution, which is expected to create and support up to 250,000 jobs in the country. Offshore wind, hydrogen, electric vehicles, carbon capture, and energyefficient buildings will be given priority and government support. As part of the plan, the sale of new petrol and diesel cars and vans will end from 2030, 10 years earlier than planned. But the sale of hybrid cars and vans that can drive a significant distance with no carbon coming out of the tailpipe until 2035. “The plan – which is part of the PM’s mission to level up across the country - will mobilise £12 billion of government investment to create and support up to 250,000 highly-skilled green jobs in the UK, and spur over three times as much private sector investment by 2030,” the government said. A few weeks later, the UK government announced ambitious new emissions target setting the UK on the path to net zero by 2050. The new plan aims for at least 68% reduction in greenhouse gas emissions by the end of this decade, compared to 1990 levels. Raising the UK’s climate ambitions for 2035 will put Net Zero within reach and change the UK for the better, the Climate Change Committee (CCC) said in December. The CCC shows that polluting emissions should decline by nearly 80% by 2035, compared to 1990 levels – a big step-up in ambition. Just 18 months ago this was the UK’s 2050 goal. “The Sixth Carbon Budget is a clear message to the world that the UK is open for lowcarbon business. It’s ambitious, realistic and affordable. This is the right carbon budget for the UK at the right time. We deliver our recommendations to Government with genuine enthusiasm, knowing that Britain’s decisive zero-carbon transition brings real benefits to our people and our businesses while making the fundamental changes necessary to protect our planet,” Climate Change Committee Chairman, Lord Deben, said.

www.ogv.energy I January 2021

Europe

“Early investment is crucial to sustain and create jobs, secure technology leadership, drive down emissions and capitalise on export opportunities,” the report notes. Up to £416 billion in investment would be required over the next 30 years, but this creates a fantastic business opportunity that by 2050 could potentially contribute £125 billion per year to the UK economy, while supporting more than 230,000 jobs. “The skills, expertise and infrastructure of the oil and gas sector and its supply chain will be vital in unlocking these opportunities and contributing to development of the great potential for offshore wind, floating wind and marine energy deployment in Scotland’s waters,” said Scotland Energy Minister Paul Wheelhouse. Dogger Bank wind farm owners, Equinor and SSE, announced financial close on the first two phases of the project, representing in aggregate the largest offshore wind project financing to date globally. A week later, Italy’s Eni entered the world’s largest offshore wind project with the acquisition of a 20% stake in the Dogger Bank 2.4 GW project from Equinor and SSE.

The EU marked one year from the EU Green Deal with the European Commission endorsing the ambitious proposal for a new EU climate target for 55% emissions reduction by 2030. “It puts us on a clear path towards climate neutrality in 2050,” European Commission President Ursula von der Leyen said. In a major policy shift, the UK said it would commit to ending taxpayer support for fossil fuel projects overseas as soon as possible, as the government works to support the sector’s transition to low-carbon energy. The Crown Estate outlined in early December its commitment to address the environmental emergency by aligning to the 1.5°C goal of the Paris Agreement, with a target to become a net zero carbon business by 2030 and climate positive thereafter.

The Crown Estate outlined in early December its commitment to become a net zero carbon business by 2030 and climate positive thereafter.

The Crown Estate and the UK Government launched on 7 December a new partnership to protect and restore the UK’s marine environment, as the nation seeks to chart a course towards net zero emissions by unlocking the green energy potential of the UK seabed. The partnership, ‘Offshore Wind Evidence and Change Programme’, will gather and harness data and evidence, to support the growth of UK offshore wind, crucial for the sector as it gears up to meet the Government’s 2030 ambitions for 40 GW of offshore wind. “Minimising any impact of the infrastructure needed to connect our projects to the electricity network is as important to us as it is to local communities which are being regenerated by offshore wind,” the Co-Chair of the Offshore Wind Industry Council, Danielle Lane, Vattenfall’s UK Country Manager, said, commenting on the partnership. In order to be a global leader in clean energy, the UK must start investing now, a report from OGTC and Offshore Renewable Energy (ORE) Catapult said.

Tees Valley Mayor Ben Houchen said on 7 December that planning permission had been granted for the 4.5 million sq ft manufacturing site at Teesworks for offshore wind. The project, which will be built at the former SSI steelworks in Redcar, will create 9,000 jobs, as well as 1,000 construction jobs during the eight-year build programme. The UK approved a large battery storage project in Essex, granting consent to Edinburgh-headquartered energy company InterGen to build the UK’s largest battery storage project at DP World London Gateway on the Thames Estuary, which will also be one of the world’s largest battery projects. Norway’s Equinor joined Europe’s biggest green hydrogen project, the NortH2-project, which will use renewable electricity from offshore wind off the coast of Netherlands.

The UK approved a large battery storage project in Essex, granting consent to Edinburgh-headquartered energy company InterGen to build the UK’s largest battery storage project

Equinor also announced that it would explore possibilities, together with Panasonic and Hydro, for establishing a sustainable and cost-competitive European battery business. The companies will work together towards summer 2021 to assess the market for lithium-ion batteries in Europe and mature the business case for a green battery business located in Norway. The Basque Country and Scotland announced in early December ‘EuropeWave’ – a new five-year collaborative programme that will channel €20 million to the most promising wave energy concepts. Italian oil and gas major Eni and the country’s top utility Enel started working together to develop green hydrogen projects via electrolysers that will be located near two of the Eni refineries where green hydrogen appears to be the best decarbonisation option.

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ENERGY NEWS

By Tsvetana Paraskova

ENERGY OVERVIEW

What’s Next After the 2020 Crisis?

The US oil and gas industry welcomed 2020 with crude oil production soaring to record highs and oil prices at $60 per barrel, allowing most shale producers to turn in profits from drilling new wells.

hen came the COVID-19 pandemic, with oil demand and prices plunging, and upended all forecasts and plans of every oil company in the world.

The U.S. industry reacted quickly to preserve much-needed cash in the downturn—it slashed capital budgets, reduced drilling activity, and curtailed production in response to unsustainably low oil prices in the spring of 2020. The price of the US benchmark, West Texas Intermediate (WTI), plunged for the first time into negative territory and closed on 20 April at minus $37.63 a barrel.

2019 to 11.3 million bpd in 2020 and to 11.1 million bpd in 2021. EIA expects US oil production will decline to below 11.0 million bpd in March 2021, as declining production rates at existing shale wells will outpace production from newly drilled wells in the coming months. Oil production could then rise to 11.4 million bpd in December 2021 as drilling is set to increase in response to higher oil prices in 2021. However, as Chapter 11 filings by US E&Ps continue to pile up, onshore oil production from companies that filed for bankruptcy in the last two years is set to decrease by about 25% by the end of 2021, or by about 200,000 bpd compared to current output levels, Rystad Energy said in an analysis in mid-December. “Most of the growth in US tight oil which was expected towards the end of 2021 is at risk to be offset by the decline in output from companies that have filed for restructuring in the last two years, as most of them are currently in their base decline phase with limited new well activity,” said Artem Abramov, Head of Shale Research at Rystad Energy.

Bankruptcies Pile Up North American oil producers and oilfield services companies continue to file for protection from creditors. According to the latest tally of law firm Haynes and Boone as of November 30, 2020, as many as 45 E&P companies filed for Chapter 11 in 2020 through end-November, with the number of filings the highest in the second and third quarter, at 18 and 17 filings, respectively. Haynes and Boone’s oilfield services bankruptcy monitor paints an even grimmer picture—as many as 57 firms filed for bankruptcy in 2020 through the end of November, with the number of third-quarter filings at a record high for a quarter, 27.

The fallout from the price and demand collapse was felt in every corner of the US industry. Annual crude oil production in the US is expected to have declined by around 1 million barrels per day (bpd) in 2020 compared to 2019. All E&P and oilfield services companies moved to cut costs, including by slashing capex and laying off In the oilfield services personnel, with layoffs numbering in the sector, estimated thousands. Many weakly positioned E&P and oilfield services companies in North America filed for bankruptcy protection, unable to meet debt maturities as they were saddled with unsustainable amounts of liabilities.

job losses due to pandemic-related demand destruction totaled 91,680.

Other companies across the US shale patch, those with healthier balance sheets, moved to merge to save additional costs and create synergies, launching the longawaited consolidation in the US oil and gas industry.

US Oil Production Set To Decline from 2019 Highs US producers have restored a large part of the production they had curtailed in the spring of 2020 in response to the low prices, but total output is set to trend lower in 2020 and 2021 compared to 2019 as drillers are not investing enough in new drilling to replace the decline in production from existing shale wells. Most executives—66%—polled in the Dallas Fed Energy Survey in September said they believed US oil production had peaked. According to the latest estimates from the US Energy Information Administration (EIA) in the Short-Term Energy Outlook for December 2020, US crude oil production on an annual average basis is set to drop from 12.2 million bpd in

www.ogv.energy I January 2021

“While the pace of producer bankruptcy filings has slowed since last summer, OFS filings remain active. On average, around ten OFS bankruptcies per month have been filed since July with another nine filings added in October and three in November,” Haynes and Boone said.

Job Losses Mount

The downturn also led to thousands of US oil and gas industry job losses, as companies, including the largest corporations such as ExxonMobil and Chevron, reduced staffing to cut costs. In the oilfield services sector, estimated job losses due to pandemic-related demand destruction totalled 91,680 as of November 2020, according to preliminary data from the Bureau of Labor Statistics (BLS) and analysis by the Petroleum Equipment & Services Association (PESA). OFS employment is down 81,610 jobs since November 2019, PESA’s November report showed. Oilfield services and equipment sector employment rose slightly for a third month, adding an estimated 2,665 jobs in November, PESA’s analysis showed, yet the OFS employment fell by 10.9% from 747,446 jobs in November 2019 to 665,836 jobs in November 2020. In Texas, the largest oil-producing state, oil and gas industry job losses are worse than previously reported, based on updated employment estimates from the Federal Reserve Bank of Dallas and the Texas Alliance of Energy Producers. The headline industry employment data, updated and revised once a year, points to the loss of almost 70,000 jobs from December 2018 through August 2020. However, new data from the Dallas Fed and the Alliance suggests the employment loss is much deeper, with more than 80,000 jobs lost during the same period, the Texas Alliance of Energy Producers said.

U.S.

Australia

“More than 35% of all upstream jobs were lost in a 20-month period from December 2018 to August 2020. Most of that occurred in 2020, with the industry shedding nearly 30% of upstream oil and gas jobs just between February and August of this year,” said Karr Ingham, Petroleum Economist for the Texas Alliance of Energy Producers and the creator of the Alliance Texas Petro Index (TPI).

Consolidation Picks Up Pace After recovering from the initial blow of the low demand and prices, US exploration and production companies began to announce mergers and acquisitions (M&As), looking to emerge stronger and better positioned from the 2020 crisis. Firms with quality assets and healthy balance sheets have sought natural fits to complement their operations and strategies. Chevron acquired Noble Energy in the first major deal announced after the pandemic hit the industry. Devon Energy and WPX Energy announced their merger in September, while ConocoPhillips is buying Permian-focused Concho Resources, and Pioneer Natural Resources is acquiring Parsley Energy. Analysts at Wood Mackenzie see those deals as natural fits, expecting the resulting larger companies to fill the gaps in the portfolios of the stand-alone firms.

Cautious Optimism for 2021 Looking forward, the oil and gas industry in Texas is cautiously optimistic for 2021 with a new US administration in the White House, according to a survey of the Texas Alliance of Energy Producers of more than 160 oil and gas professionals carried out in November. The biggest macro-level concerns for the industry in Texas are: 1) the price of oil (59%), 2) demand for oil and gas (47%), and 3) federal overregulation (43%), the survey showed. Despite the issues confronting the industry, 75% of respondents believe the industry will be better (44%) or about the same (31%) one year from now. Regarding their own business outlook for 2021, about 70% are neutral or positive, while nearly onethird are negative. “As the Biden administration prepares to take office, Texas energy professionals are concerned about federal overreach and other issues but are generally positive about the industry’s future,” the Texas Alliance of Energy Producers said. “Our industry is resilient, and the optimism reflected here shows that,” Jason Modglin, President of the Texas Alliance of Energy Producers, said, commenting on the survey. Modglin added:

“Concerns about economic conditions and burdensome federal overreach are very real, but these results and comments demonstrate a determination to fight and persevere.”

“The View from Down Under” By Andy Hogan

he Australian Government announced early in December that after consideration they will decommission the Northern Endeavour floating production storage in the Timor Sea and offtake facility and carry out remediation of the associated oil fields. In reaching this decision, the Government examined various options, and found decommissioning to be the most cost-effective and safest option for the facility and fields. Government consideration included review of expert advice on the prospects of restarting the facility, and the scope of works involved in decommissioning. To achieve the best result at a reasonable price, a lead contractor will be selected through a global open tender process. It is reported that Woodside have issued a tender for a semi sub for the P&A of Greater Enfield as part of the decommissioning of the field starting early in 2022. This will be the third P&A of an Australian offshore field in recent times after BHP P&A’d the wells on the Griffin Field in 2017 and Chevron abandoned the shallow water Thevenard Island field in two separate campaigns over 2017/18 and 2019/20. At the other end of the cycle, it is anticipated that some $11bn of LNG related spend in Australia will reach the FID stage over 2021, this includes Mitsui’s Waitsia onshore development, Santos’ Barossa and Woodside’s Scarborough projects, as well as the Port Kembla LNG import terminal which will supply the east coast market.

in the Timor Sea in 25m of water, it is expected to take place around the turn of 2021/22. Carnarvon also announced this month that they have an agreement in place with Advance Resources, an AIM listed company, who will provide up to US$20m of the costs to drill the well in return for up to 50% equity in the field. Carnarvon will remain the Operator. Still in Timor-Leste, news is awaited of the award of the rig contract by Santos for the 3 well infill campaign on Bayu Undan. The Noble Tom Prosser jackup is the favourite, it was recently moved from Gippsland in SE Australia to Darwin where it is now warm stacked, in ‘pole position’ for the Bayu Undan work. This will extend the life of the field and push decommissioning out to 2024. The previous Operator of the field, ConocoPhillips had tendered for a jackup in mid-2019 for P&A of all 32 wells in the field starting over a window between 2021 and 2022. IPB Petroleum announced they have secured funding for the Idris well in 80m of water off the NW coast after farming down 50% of their interest to Quay Resources International, the initial tranche to drill the well and cover interest and costs is US$31m with option for an additional US$200m to develop the field. The well is expected to be drilled over the first half of 2022. Wishing all the readers of this column a Happy and Safe Christmas and New Year. Best Regards, Andy

Santos announced that the FID for the development of the Dorado field off the NW coast of Australia will slide by 12 months to mid-2022, with drilling of the 10 development wells pushed to 2024+. This is believed to be due to a desire to conserve capital after announcing full year results impacted by the low price of oil. Carnarvon Petroleum, though their TimorLeste subsidiary, issued an EOI for Drilling Management Services for the Buffalo well

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ENERGY NEWS By Tsvetana Paraskova

MIDDLE EAST Energy Review

December was a busy month for oil and gas producers in the Middle East. The major oil-producing nations in the region, which are also the most influential members of OPEC, had to decide how to proceed with their oil supply policy in 2021, in light of the still weak global demand. At the same time, large state oil companies in the Middle East awarded major contracts and signed strategic agreements.

OPEC+ Reaches compromise agreement on oil supply policy

The group gave the laggards in compliance, such as Iraq and Nigeria for example, time until March 2021 to ensure they have compensated fully for the lack of compliance at the beginning of the pact in the spring and summer of 2020.

The OPEC+ alliance, led by OPEC’s top producer Saudi Arabia and by Russia, agreed – after days of intense negotiations – to slightly raise its collective oil supply to the market in January 2021. Prior to the meeting, the oil market and analysts had expected that the group would roll over the existing cuts of 7.7 million barrels per day (bpd) for three months until the end of March 2021, instead of easing those cuts by 1.9 million bpd, as OPEC+ had originally planned in the deal signed in April 2020. OPEC met on November 30 to try to reach a unanimous decision about the path forward. It soon became clear, however, that divisions are deeper than initially expected, after OPEC said at the end of the day the meeting was adjourned and would resume on the following day. Talks within OPEC and between OPEC and the non-OPEC group of producers led by Russia continued until December 3, instead of until December 1, as it was initially planned. As usual with OPEC and OPEC+ meetings, various rumours were circulating all week regarding who was willing to keep the cuts as-is and who was pushing for an increase in production. It looked like Saudi Arabia was pushing for a rollover of the existing cuts, but other members of the alliance wanted to be able to start boosting their production. Since all decisions need to be taken unanimously, the deadlock continued for days. In the end, a compromise decision was made, which gave the market some clarity about the production it should expect from OPEC+ at least in January. OPEC+ decided to ease the current 7.7-million-bpd cuts by 500,000 bpd in January 2021, meaning that the total cuts would be 7.2 million bpd as of the start of the New Year.

www.ogv.energy I January 2021

Saudi Arabia and Russia agreed a compromise decision which gave the market some clarity about the production it should expect from OPEC+ at least in January 2021.

The OPEC+ producers also agreed to hold monthly OPEC and non-OPEC ministerial meetings starting January 2021 to assess market conditions and decide on further production adjustments for the following month, with further monthly adjustments of no more than 500,000 bpd. “Looking ahead, the Meeting emphasised that it was vital that DoC participants, and all major producers, remain fully committed to efforts aimed at balancing and stabilising the market. It noted that renewed lockdowns, due to more stringent COVID-19 containment measures, continue to impact the global economy and oil demand recovery, with prevailing uncertainties over the winter months,” OPEC said. Although a 500,000-bpd increase in collective OPEC+ supply for one month, for now, was below the widely expected rollover of the current cuts for three months, analysts largely welcomed the news, most of all because the OPEC+ group somehow managed to reach a unanimous decision on production policy and show unity to the market amid rumours that major producers are frustrated with the hefty cuts. The OPEC+ alliance had to take into account various factors, including resurging COVID-19 cases in major developed economies, on the one hand, and the promise of vaccines boosting economies and oil demand later next year, on the other hand. Rising oil supply out of Libya, which is exempted from the cuts, has also been of concern to the market and OPEC+ of late. As of early December, Libya’s crude oil production had already returned to the levels last seen in January 2020, just before an eight-monthlong blockade essentially stopped Libyan oil exports until September.

Middle East Major Middle East oil firms enter new agreements While OPEC+ was busy deciding the nearest-term production policy in the Middle East, the biggest state oil companies in the region signed several contracts, strategic agreements, and deals. Saudi Arabia’s oil giant Aramco awarded LongTerm Agreements (LTAs) to eight companies for oil and gas brownfield projects, as part of its new contracting strategy for the oil and gas brownfield and plant upgrade projects. The agreements are for a six-year base period and extendable for another six years. The scope of the LTAs includes engineering, procurement, construction, start-up and pre-commissioning of each project, as well as the installation of the upgraded facilities in the designated operating areas. “These LTAs which are associated with huge business which allow us to boost the performance of our brownfield and upgrade projects through new technologies and pioneering environmental sustainability fundamentals, while improving contract procurement and construction phases,” said Ahmad A. Al Sa'adi, Aramco’s Technical Services Senior Vice President. Aramco also announced in early December an agreement with oilfield services provider Baker Hughes to form Novel, a 50/50 joint venture to develop and commercialise a broad range of non-metallic products for multiple applications in the energy sector. Non-metallic products are used in a variety of industries, including the oil and gas sector, the automotive, building and construction, packaging, and renewables industries. The United Arab Emirates (UAE) announced at the end of November the discovery of substantial recoverable unconventional oil resources located onshore, estimated at 22 billion stock tank barrels (STB), and an increase in conventional oil reserves of 2 billion STB in the Emirate of Abu Dhabi. The UAE’s Supreme Petroleum Council (SPC) also approved ADNOC’s capital expenditure (CAPEX) plan of AED 448 billion (US$122 billion) for 20212025 to enable smart growth.

Saudi Arabia’s oil giant Aramco awarded Long-Term Agreements (LTAs) to eight companies for oil and gas brownfield projects, as part of its new contracting strategy for the oil and gas brownfield and plant upgrade projects.

The Abu Dhabi National Oil Company (ADNOC) awarded a contract worth up to US$519 million to BGP Inc., a subsidiary of China National Petroleum Company (CNPC), to further expand the scope of the world’s largest combined threedimensional (3D) onshore and offshore seismic survey, which is currently taking place in the Emirate of Abu Dhabi. ADNOC has also officially launched its second trading arm, ADNOC Global Trading (AGT), which started trading of refined products globally. The trading unit is a joint venture of ADNOC (65%), Eni (20%), and OMV (15%). ADNOC awarded in early December an exploration concession agreement to U.S. oil and gas firm Occidental, awarding the exploration rights for Abu Dhabi Onshore Block 5. Occidental will hold a 100% stake in the exploration phase, investing up to US$140 million, including a participation fee, to explore for and appraise oil and gas opportunities in the block that covers an onshore area of 4,212 square kilometres southeast of Abu Dhabi city. “We see significant potential in Onshore Block 5 and, in partnership with ADNOC, will continue to work to help unlock the vast untapped resources in Abu Dhabi,” Occidental’s president and chief executive Vicki Hollub said in a statement. Oman created via a royal decree a new company, Energy Development Oman SAOC (EDO), which will buy a stake in state-held Petroleum Development Oman (PDO), the top producer of crude oil and natural gas in Oman. The newly-created company will hold an interest in the Block 6 licence, which pumps most of the oil and gas in the Sultanate. The new company has a mandate to invest in oil and gas as well as renewable energy in and outside Oman.

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WORLD PROJECTS

WORLD PROJECTS MAP

Output from the Kashagan field is planned to grow from a current 320,000 b/d to 450,000 b/d in the first phase of the project, out to 2030. A prolonged second development phase will increase production to 700,000 b/d by the end of 2036 and to 900,000 b/d by late 2042. The third and final development phase is set to see output peak at 1.1 million b/d in 2055, according to NCOC. The operator is now confident that it will be able to finish the first phase of the development by 2030 without any more major delays or setbacks, despite this phase calling for the construction of additional subsea and onshore pipelines and another onshore gas processing facility.

JANUARY 2021

The EIC delivers high-value market intelligence through its online energy project database, and via a global network of staff to provide qualified regional insight. Along with practical assistance and facilitation services, the EICâ&#x20AC;&#x2122;s access to information keeps members one step ahead of the competition in a demanding global marketplace. The EIC is the leading Trade Association providing dedicated services to help members understand, identify and pursue business opportunities globally. The EIC is renowned for excellence in the provision of services that unlock opportunities for its members, helping the supply chain to win business across the globe.

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KAZAKHSTAN NCOC US$55bn

SENEGAL Woodside US$4.2bn

QATAR North Oil Company US$2bn

MEXICO BHP US$11bn

USA ExxonMobil US$240mn

Modec has been given the Operations & Maintenance contract for the Sangomar FPSO by Woodside.

North Oil Company (NOC) is evaluating technical bids from contractors for four EPC packages comprising the third phase of its Gallaf project. The four packages comprise of: Construction of at least two WHPs plus some T&I of other facilities; a 33,300-tonne fixed steel CPP; multiple segments of subsea pipelines; and, modifications and other brownfield elements.

McDermott has been awarded an extension for Pre-FEED phase on the Trion project. The Pre-FEED extension is expected to create greater value for the project by concentrating on the optimisation of the design and execution strategy. Since the contractor is currently in a Pre-FEED design contest it is assumed that this will eventually apply to all participants.

The proposed project would improve processing capability, increase flexibility for meeting market demand, advance overall site competitiveness, and install technology to reduce volatile organic compound emissions by 10%. The project is pending final engineering, design and investment decisions. ExxonMobil expects to make a decision to proceed with the project in 2021.

Modec confirmed the contract will cover all in-country installation and commissioning activities followed by an initial 10-year operations and maintenance term, with up to 10 oneyear extension options.

www.ogv.energy I January 2021

WORLD PROJECTS

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INDONESIA Medco US$60mn

Medco has announced that the Hiu project will be fast-tracked in 2021 to 2022. According to the operator this will be a satellite project that will involve two oil pools at the main Hiu field developed as subsea completions tied back to an existing production facility. The project is currently in the front-end engineering and design phase. Medco is understood to have prepared EPCI tender documents for the project.

TAIWAN Foxwell US$2.1bn

NORWAY Equinor US$640mn

BRAZIL Petrobras US$3bn

Teras Offshore has been awarded a contract valued at US$83.4m for the transport and installation of 31 9.5MW turbines for the project. The tender was awarded by Foxwell (Shinfox Corp). It is understood that detailed design of the project is scheduled for 2021, with manufacturing of components to commence in 2022.

Aker Solutions has signed a letter of intent with Equinor for the delivery of a subsea production system to the Kristin SĂ¸r oil and gas satellite fields. The contract value is about NOK 1 billion ($114.2 million), with options for some additional work. The intention is to start work during 2021, and to complete the delivery in the first half of 2023.

Petrobras has confirmed plans to move ahead with the Mero-4 project which will featured a chartered FPSO. Start-up is expected in 2025, according to the company's 20212025 investment forecast.

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RIGGING & LIFTING

By Tsvetana Paraskova

Rigging & Lifting:: Equipment and Service Providers Brace for Another Year of Uncertainty

ver the past months, providers of equipment and services for the oil and gas industry, including lifting and rigging, have had to cope with the twin challenge of the Coronavirus pandemic and the crash in oil prices that plunged the oil and gas industry in the second downturn in less than five years. The pandemic-driven collapse in oil and gas demand and prices crushed profits and profit margins, and the exploration and production (E&P) companies immediately

www.ogv.energy I January 2021

started in March and April 2020 to cut capital expenditure (CapEx) budgets for the year. At the end of 2020, upstream firms were still cautious about their plans for 2021 as uncertainty continued to be prevalent on the oil markets. E&P also deferred some projects due to COVID-19 and the measures to contain the spreading of infections, especially to offshore rig personnel. The oilfield services industry globally has lost many jobs since March 2020. The UK supply chain found itself again under

increased pressure. Analysts say that the oilfield services industry will be the last to recover from the 2020 downturn as the supply chain typically feels the impact from the upstream with a lag of several months. As the industry braces for another year of uncertainty in 2021, the UK supply chain is increasingly thinking of diversifying into renewables, especially offshore wind, which is now a key pillar of the UKâ&#x20AC;&#x2122;s plan for a green industrial revolution.

RIGGING & LIFTING Slow Recovery In 2020, most upstream companies slashed capital budgets and are unlikely to raise them significantly in 2021, even if the market will recover from the 2020 lows, Fitch Ratings said in a report in December 2020. Improvements, however, are set to be moderate and will lack certainty as oil demand is unlikely to recover to pre-pandemic levels by the end of 2021 unless there is a quick progress with mass vaccinations against the Coronavirus, the rating agency said. “We expect most sub-sectors to show some improvements in 2021, but oilfield services (OFS) companies will continue to be under more pressure compared with companies in the upstream, midstream and downstream segments,” Fitch Ratings noted.

Oilfield Services Employment Declines The downturn in 2020 has claimed thousands of jobs in the oilfield services industry. In the United States alone, estimated job losses due to pandemic-related demand destruction totalled 91,680 as of early December 2020, with OFS employment down by 81,610 jobs since November 2019, the Petroleum Equipment & Services Association (PESA) said in a report about the job losses as of November 2020. U.S. services and equipment sector employment rose slightly for a third month, adding an estimated 2,665 jobs in November. But the losses since March have topped 91,000 jobs, with heaviest losses in April, at 58,738 jobs — the largest one-month total since at least 2013, PESA said. In the UK, the leading representative body for the UK’s offshore oil and gas industry, OGUK, warned after the price crash that up to 30,000 jobs could be lost in the oil and gas sector, and called for the transition to net zero to be put at the heart of recovery plans.

UK Supply Chain Under Pressure The sentiment among companies across the oil and gas industry declined significantly in 2020, OGUK said in November 2020 in the Autumn Snapshot of its Business Outlook 2020.

Many companies in the UK oil and gas supply chain have started looking to diversify in other sectors of the energy industry, OGUK said in its Economic Report 2020 in December. “Coming into 2020, OGUK members were expressing increased positivity in their outlook for the year ahead, in line with initial forecasts for stable investment and activity levels. However, the subsequent price collapse and necessary revisions to company business plans and strategies completely changed the industry landscape in a short period of time, as reflected in the sentiment levels seen throughout Q2 and Q3,” OGUK said. In a sign that uncertainties in the market are likely to persist, companies haven’t changed much their outlook for 2021, according to the report. “Companies across the supply chain continue to see revenue and margin reductions, and many are operating at unsustainably low levels. However, it will take time for the activities lost this year to be recovered and it is not simply a case of moving everything into 2021,” OGUK said. The industry association expects that it could take two to three years to re-phase and recover the activity lost from 2020.

representative energy supply chain businesses, 49% of those chose diversification as a strategy to grow their business during a market crisis. De-risking revenues to rely less on oil and gas was the most used growth strategy, the report found. Although 90% of companies surveyed were active in oil & gas, 26% of them had already diversified into renewables, and 72% of businesses diversified into non-energy sectors such as infrastructure, industrial, and pharmaceuticals, EIC’s report found. Many companies in the UK oil and gas supply chain have started looking to diversify in other sectors of the energy industry, OGUK said in its Economic Report 2020 in December.

Diversification Opportunities

More than 75% of OGUK supply chain members are already providing some services to industries other than oil and gas, an OGUK sentiment survey in the third quarter of 2020 showed. Moreover, 85% of OGUK supply chain members expect to boost their diversification efforts further over the next two years due to the current market conditions.

Due to oil and gas market uncertainties, the UK’s oil and gas supply chain has stepped up this year diversification into industries other than oil and gas, the Energy Industries Council (EIC) said in a report in July.

The UK offshore oil and gas and wind sectors, which have so far operated in relative isolation, now have the opportunity to create synergies by collaboration, Westwood Global Energy Group said in an analysis in November 2020.

According to EIC’s Survive and Thrive Insight report, which provided information from 40

The oil and gas sector’s experience in offshore infrastructure will be of most benefit in offshore wind, with foundations, structures, project management, vessel operations, working with moving cables, seabed surveys, and Operations and Maintenance (O&M), David Linden, Head of Energy Transition at Westwood, says. “The oilfield support and services sector also has transferable assets and skills, such as in the provision of tugs, mooring systems, heavy lifting vessels and cabling. It is likely the most synergies will be realised in floating wind, as this will require a set of capabilities that many offshore wind players do not have,” Linden wrote. EPC contractors and the supply chain could support offshore wind in the design, manufacturing, and installation, as well as in platform electrification and the repurposing of oil and gas infrastructure, primarily for green hydrogen, according to Linden.

Working at Heights Awarness

Forklift Operator

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NAMAKA

COMPLIANCE

Rigging & Lifting Banksman / Slinger

TRAINING MANAGEMENT SOLUTIONS Namaka Compliance are able to offer the market a Training Management Solutions (TMS) with a difference. Rather than provide regulatory training from one provider we can choose a more cost effective option for the client that doesn’t reduce the quality in terms of delivery. We have a working relationship with training providers who provide the regulatory training such as BOSIET,GWO etc We are able to offer a variety of Skills and Behavioural courses as an organisation, with skills such as Rigging and Lifting, Banksman Slinger etc and also to provide Leadership Progression and team engagement as part our behavioural based services. Many of our courses are offered onsite as well offshore and internationally. Namaka Compliance as part of the Namaka Group works with Namaka Subsea who are also capable of delivering a raft of training required in the subsea sector. Our TMS also enhances our partnership with Sonic as they are a recruitment company which specialises in retaining the best talent and knowledge within the industry, all this is on their digital platform that works in tandem with Namaka Compliance’s ‘Athena’ Competence Management System which ensures that as part of a TMS the necessary and relevant training is selected for each competence discipline award.

The benefits of our TMS: ● ● ● ● ● ● ●

Training Gap Analysis All Records Held online Bespoke Training Programmes Career Mapping One Source of Funding Provision of Trainers onsite Selection of trainig through Partners

For more information contact: support@namakacompliance.com +44 [0] 1224 289 766

RIGGING & LIFTING

Case Study 1 : Davit Crane : New-Build FPSO Challenge : The customer required a solution to enable Pigs to be handled & lifted within the mooring turret complex on a new-build FPSO project. The equipment design had to be explosion proof for use in an ATEX Zone 1 hazardous area and be in full compliance with NORSOK R-002 & their own strict project specification.

SOLUTIONS FOR complex handling, lifting & rigging challenges!

Despite the backdrop of a challenging business environment Safelift Offshore have continued to invest in the expansion of the company’s Design & Engineering resources, which complement & enhance their proven manufacturing expertise developed over 25 years in business. Perhaps, at this time more than ever due to reduced manning levels & diminished industry knowledge, Safelift Offshore are supporting their customers by delivering safe and effective engineered solutions through concept, design, build, test and supply. Every day Safelift Offshore find themselves in discussion with people working at the sharp end of handling & lifting operations, interacting with technical authorities and safety departments from one company to another, to specify and optimise a solution to overcome a specific handling problem. “Having a business partner with a collaborative, fresh & innovative approach to solving often very complex & specific handling, lifting or rigging equipment and challenges within multiple energy industries is of paramount importance” observes Hugh Ramsay, Group Sales Manager. “This is where Safelift Offshore excel because of constructive dialogue with the customer and a proven willingness to complement their own efforts to achieve the best outcome in terms of the performance, safety & versatility of the equipment they need to utilise for a particular application or work scope”, he adds.

“These examples highlight Safelift’s breadth of experience in providing our customers with an initial conceptual design, which can then be fully engineered, fabricated, load tested and factory or field tested to provide an advanced product that’s wholly suitable for any technically demanding usage and, moreover, we regularly turn-round such projects within a short space of time as the customer’s schedule demands” the company remarks. In addition, Safelift Offshore continue to facilitate international Greenfield and Brownfield technical procurement, providing full material handling equipment packages & working closely with EPC contractors worldwide. Through Safelift’s engagement at the FEED stage they are able to influence optimal product selection and promote industry best practice thus ensuring safe, practical and fit for purpose equipment is specified at the outset enabling effective utilisation of the company’s industry leading knowledge.

Two recent Case Studies are demonstrative of the company’s abilities to routinely deliver these sort of product solutions >>

Hugh Ramsay comments:

“The development of new products or the focus on project solutions utilising our in-house design and engineering specialism and long experience has meant we are consistently positioned at the forefront of the lifting and mechanical handling industry and engaged with multiple energy sectors. This approach helps differentiate Safelift in today’s business environment”.

Solution : Design and supply a pedestal mounted fixed Davit Crane incorporating a manually activated hydraulic hand pump enabling the jib to be extended or retracted and moved up or down; provision to swivel 360°; special user benefits included a steel overlapping weather cover protecting the bearings against water ingress, a Plaswood hook buffer preventing steel on steel contact when winching & removable handles to let the operator achieve sufficient torque to rotate the crane under load.

Case Study 2 : Special Open Top Container : Nuclear Power Plant Decommissioning Challenge : The customer required a safe method of handling, transporting and storing 3-off radioactive steel flasks as part of their work scope on a Nuclear decommissioning project. The flasks could only be loaded from above & then have to be kept securely inside the container for a number of years until such time as they can be safely disposed of.

Solution : Design and supply a 20ft x 8ft special build Open Top Container with a reinforced base structure, guide plates to help position the 3-off steel flasks & total payload not exceeding 28 tonne; to be lifted from the bottom ISO corner castings; special user benefits included 2-off personnel access doors for inspection requirements and a bespoke 4-part sliding roof system for loading and unloading the equipment & designed to be operated and locked in place from ground level and incorporating all relevant weather seals and rain reflectors to prevent water ingress; the unit was supplied complete with a proprietary 3-coat offshore paint system plus all necessary safety markings and stenciling.

Safelift Offshore – design engineers, manufacturers & suppliers of offshore mechanical handling equipment – Deck Baskets, Drum Handling, Pallet Trucks, Offshore Containers and more! Learn more at: www.safelift.co.uk

RIGGING & LIFTING

SURVIVEX AND AIS TRAINING see uplift in demand for onboard rigging and lifting training

Rigging and Lifting training has always been a core part of Survivex and AIS Training’s centre portfolios but during COVID-19 there has also been a surge in demand for onboard training in these skills. With two state-of-the art rigging and lifting training facilities, a comprehensive offering of accredited and bespoke rigging and lifting courses and more than 75,000 delegates training annually, Survivex and AIS Training offer unrivalled expertise in worldclass, industry-approved training. This experience carries through to an extensive onboard training portfolio and means both companies also have an outstanding reputation for delivering high quality safety training at the worksite. OPITO stage 3&4 Rigger Competence Assessments and stage 3&4 Banksman Slinger Competence Assessments can all be undertaken onsite rather than in a training centre and these courses are delivered frequently by Survivex and AIS Training. As well as accredited training delivered onboard, Survivex and AIS Training’s in-house certificates are a popular option for companies looking for bespoke courses.

www.ogv.energy I January 2021

From beginner level to advanced assessments, Survivex and AIS Training’s in-house onboard training courses cover the full skills’ range for banksman slingers and riggers and can be tailored to the client’s exact requirements. Both companies have seen an increase in enquiries for these particular courses over the past three months and have recently completed several onboard training projects across the Middle East, Africa and Asia.

environment you use every day. People tend to be very engaged with the training and assessment process and extremely focussed. Being comfortable in their surroundings and knowing the systems and procedures inside out means they are able to concentrate much more closely on the instruction. Onboard you are learning alongside colleagues which can also help with communication and the building of really strong teams.

“All of our onboard instructors have worked Craig Wilson, Head of Operations for in the field themselves so are Onboard Training at Survivex, highly skilled. This provides an said: “OPITO originally added bonus as observing extended certificate operations in action allows Survivex and AIS renewal dates when a our instructors to act Training’s in-house UK-wide lockdown was as objective advisors – first announced and as helping to embed safe onboard training a result many of our working practices and a courses cover the clients are experiencing strong safety culture. full skills’ range for a training backlog. banksman slingers In addition, global “Despite the pandemic, travel restrictions have it is still critical to ensure and riggers. hampered the training energy workers are process and prevented competent. Onboard training some people from travelling to is a very flexible and costphysical training centres to renew effective way of providing training their skills tickets. for personnel without the need to organise multiple travel itineraries to training centres. “In these particular circumstances, training Essentially you are only paying for the travel people in their own workplace is perfect of one person – the instructor – who can so it’s no surprise we’ve seen a rise in deliver multiple courses when onboard. enquiries around our extensive onboard Clients who have used our onboard training training offer in the last few months. solution tend to come back again and again. With the current level of interest, it “For rigging and lifting, onboard training looks like the popularity of onboard training can be particularly effective as you are is set to continue long after the pandemic working with the actual equipment and is over.”

To find out more about onboard training with Survivex and AIS Training visit: http://www.survivex.com/services/onboard-training Or email: joannaschmitz@survivex.com

RIGGING & LIFTING

a vital tool for safety and maintenance systems and has become crucial for routine monitoring of ropes in offshore applications, where minimising costly downtime is particularly critical. A rope that outwardly looks perfectly OK can drop a load because its core is completely and utterly degraded through fatigue failure. This failure would be detected quickly through MRT, preventing the risk of accident. The technology is discussed within a guide on the condition monitoring of wire ropes in offshore installations published by the International Marine Contractors Association (IMCA), which itself is starting to drive greater awareness for using the technology in other sectors.

MONITORING WIRE ROPES for safe lifting

Magnetic Rope Testing (MRT) plays a vital role in improving rigging and lifting safety in the offshore energy sector, says Ben Dobbs, Head of Technical Services at LEEA (Lifting Equipment Engineers Association).

Wherever you look, the Covid-19 pandemic has given rise to new ways of doing things. While restrictions imposed to counter the virus caused massive disruption, in most instances lifting has continued throughout the Coronavirus outbreak and carries on as we await a post vaccination return to normal life. Maintenance and thorough examination of equipment therefore also continues. LEEA (Lifting Equipment Engineers Association) has been working with other stakeholders and the Health & Safety Executive (HSE) on the revision of the HSE’s guidance document to thorough examinations during the Covid-19 outbreak. It can be found at https://www.hse.gov.uk/news/work-equipmentcoronavirus.htm, where other related content that will be helpful for operational continuity can also be found. If you have any further questions or require additional support then please do not hesitate to contact us at technicaladvice@leeaint.com Regular inspection on the structure of a crane, its sheaves, the jib and the slew mechanism are just some of the areas of focus for maintenance programmes carried out in by offshore energy operators. Wire ropes should also be a key part of the programme, yet too often this element is overlooked. Without proper maintenance and inspection of the crane rope, there is a risk of internal degradation that can lead to the wire rope giving way completely with catastrophic results. Many operations still rely only on visual inspection of wire ropes. However, plant engineers need to be made aware of the existence of Magnetic Rope Testing (MRT) and the crucial role it can play in maintenance – particularly on high integrity cranes that are being used intensively throughout their working life. MRT gives a view into the heart of a wire rope used on cranes in order to detect any deterioration that might have occurred in service. It gives plant engineers the ability to predict the life expectancy of the rope, allowing them to plan replacement in a just-in-time manner, without the need for bulky wire rope to be hogging storeroom space. This technology for the non-destructive examination of wire rope has been around since the mid-1950s.

For high integrity cranes, particularly those used offshore, wire rope MRT gives a view manufactures will use MRT Ben Dobbs to produce a ‘baseline’ as Head of Technical Services into the heart of a wire a ‘birth certificate’ for a rope used on cranes length of wire rope. So in order to detect any when it enters service, The method involves deterioration that might the engineer knows passing the rope precisely what that rope through a permanent have occurred is like at the outset and magnet. This sets up an in service. can then accurately monitor electromotive force, which any deterioration throughout is picked up with electronic its service life. When the rope sensors that can detect any gets to the point of rejection criteria, breaks in the rope or any corrosion managers can plan in the change without that occurs throughout the section of fear of rope failure, maximising uptime in the rope, which is known as Loss of busy operations. Metallic Area (LMA). There are different MRT equipment manufacturers but the When it comes to the provision of lifting method is the same with each one, giving equipment maintenance and repair services clear visibility of any broken wires, voids it is always prudent to seek out the ‘gold and corrosion. standard’. In addition to offering expertise on MRT and condition monitoring of wire Examining the core of a rope without MRT ropes, LEEA members are structured to requires a special tool to open the rope’s provide specialised repair and maintenance strands. But this still only gives visibility of as well as the inspection function, as a small percentage of the rope’s length. On separate parts of a one stop shop, in multi-strand crane ropes, the core is never compliance with HSE guidelines. revealed because the multiple layers can’t be opened up due to the underlying layers For further information, please contact LEEA: being laid in the opposite direction to the mail@leeaint.com or visit www.leeaint.com outer strands. The first MRT machines comprised components of a considerable size – the recorder and oscilloscope almost filled an entire room. So in the past MRT was not always possible for maintenance of wire ropes installed on cranes. However, advances in technology have made MRT eminently portable – it can even become a fixture of the crane itself in some cases, allowing the rope to be constantly monitored as it is used. An MRT unit today can send a signal directly to a manager’s computer screen to give a visual representation of how the wire rope is deteriorating over time. The technology has been incorporated into ISO 4309 Cranes – Wire ropes – Care and maintenance, inspection and discard as a method of examination of in-service cranes ropes, but only as a supplement to visual examination. MRT is, however,

LEEA is established as a recognised and credible global trade association with company membership representing all those involved in all aspects of lifting operations and equipment in the lifting industry worldwide. Find out more at: www.leeaint.com

RIGGING & LIFTING

Combining Maritime Development’s innovative approach to tackling offshore challenges with technical expertise and a transparent approach, MDL Asset Maintenance & Engineering (AME) is the new alternative for cost-conscious maintenance of cranes and other lifting equipment.

Asset Maintenance & Engineering: expert support to lifting equipment

n the lifting world, MDL is best known for marketleading technology for flexible and rigid pipe handling. The company’s origins, however – dating back to 1999 - are in the fishing industry: repairing and maintaining mechanical equipment and mobilising personnel to ports around the UK or further afield; all to ensure vessel’s idle time was down to a minimum – because idle time meant lost revenue.

From there, the company transferred this mindset into the energy sector, where it engineered and delivered innovative cable and pipelay equipment – first made to order, then to grow its own rental range. MDL operates a modern fleet of equipment and the forward-thinking approach incorporated in the design creates a technical advantage, optimising the uptime and efficiencies on projects. To ensure these benefits are safely replicated on every project, the equipment undergoes a rigorous maintenance programme, keeping everything ready for the next challenge. To deliver such performance takes ownership of the product at all stages. MDL has honed a wide skillset who can design, manufacture, assemble and commission bespoke mechanical systems, hydraulic or electrically driven, and project manage the complete delivery to suit a specific brief. These skills and experience that made MDL a highly competent and respected equipment manufacturer are directly transferable, and come together to form a truly value-added service, under the name of Asset Maintenance & Engineering (AME).

Complete solution The AME division is focussed on the various challenges associated with the day-to-day operations, keeping equipment safe to operate and at the same time minimise any downtime. MDL has been making positive traction with a number of Operators by offering a viable and costeffective service to supporting mechanical lifting or pulling equipment. Services provided under AME include: Project Management & Engineering Crane / Winch Integrity & Maintenance Mechanical Handling – Lift plans, Storyboards, Design of Handling Aids Hydraulic Systems Design / Assessment Electric & Instrumentation Systems Design / Assessment MDL AME’s focus is on performing as much of the front-end Project Management & Engineering work as possible from the “desktop”, minimising unnecessary trips to an Asset - demonstrating a cost aware approach, which also introduces efficiencies in the overall execution of work scopes. MDL’s multi-skilled technicians can perform the maintenance and overhaul works on location, minimising impact to POB and off critical path.

www.ogv.energy I January 2021

MDL AME’s focus is on performing as much of the front-end Project Management & Engineering work as possible from the “desktop”, minimising unnecessary trips to an Asset

This approach is best demonstrated by a recent challenge to reinstate a riser pull-in winch on North Sea FPSO that had not been used in over 10 years.

A single-source approach

MDL offshore expertise also came into play for the winch wire respooling, carried out in-situ under tension by experienced MDL technicians, followed by operation of winch to carry out riser pull-in under the direction of the installation contractor. Thanks to its complete in-house capabilities, MDL was able to deliver a complete solution that was fit for purpose and added value by extending the equipment’s service life without costly and lengthy repair works onshore. Since then, MDL has executed numerous scopes across the client’s North Sea assets, including feasibility studies, safety assessments, delivery of bespoke handling aid solutions and crane control system upgrades, amongst others. “The two-decade experience of working with a variety of clients on and offshore - including Operators and Pipelay Contractors - is reflected in MDL AME’s safety culture, work processes and procedures, and – importantly - through consistently delivering on targets of optimising schedules and meeting budget,” says Marvin Morrison, MDL Commercial Developments Manager.

On this project, the initial scope of work carried out by MDL’s engineers was to survey and inspect the lifting equipment on board the facility, to assess condition and plan a 5-year maintenance and testing programme. Following the survey, the MDL team prepared a detailed schedule and work pack to execute the refurbishment on board the FPSO during the summer shutdown without taking the equipment ashore, which was not feasible as the winch could not be removed from the turret. The work pack covered method statements, lift plans, storyboards, structural design and detailed drawings. The on-board equipment overhaul included complete winch strip down, service, re-certification of ATEX-rated HPU to DNVGL code, reassembly and overall system load testing.

MDL has been working on winches since 1999.

“At the same time, MDL retains all the benefits of being an independent business: agility, impartiality, responsiveness and flexibility to adapt to our clients in terms of work scopes, schedules, deliverables and system processes; providing truly tailored solutions, with complete transparency from the onset - meaning no surprises at any stage of the project."

Maritime Developments provides tailored consultancy, equipment and personnel packages for the global energy sectors. Learn more about MDL at: www.maritimedevelopments.com

Get a free quote Call us today +44 (0)1224 446100

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TO LEARN MORE ABOUT HOW GLOBAL GRAVITY SUPPORT YOUR OPERATION CONTACT TO LEARN MORE ABOUT HOW CAN GLOBAL GRAVITY CAN SUPPORT YOUR OPERATION CONTACT www.ogv.energy I January 2021

Dave Craig Email xdc@globalgravity.dk Tel +44 7789 434023 Dave Craig Email xdc@globalgravity.dk Tel +44 7789 434023