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Incorporating news from Projects Oil, Gas and Petrochemical database and Your Industry News - AOG Edition 2014

PAGE 6

COAL SEAM GAS IN AUSTRALIA PAGE 8

FLNG TRENDS & OUTLOOK PAGE 10

RISKS & CHALLENGES OF LNG MARKET

PLUS:

Ferguson Group, INTERKAB, Fugro Subsea Services, Seatronics, Forum Subsea Technologies, Nautronix, Nylacast, Valeport, CMP Products, Smith Flow Control, Cummins Power Generation, NOF Energy


PROJECTSOGP

CONTENTS CLIENT FEATURE Ferguson Group

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NEWS IN DEPTH Coal Seam Gas

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FLNG Trends & Outlook

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Australian LNG

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REGIONAL NEWS: OCEANIA Gorgon Project

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Wheatstone Project

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Ichthys Project

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QCLNG Project

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Oceania News

CLIENT FEATURE INTERKAB

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SUBSEA FOCUS Fugro Subsea Services

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Seatronics

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Forum Subsea Technologies

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Nautronix

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Nylacast Valeport

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TECHNOLOGY CMP Products

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Smith Flow Control Ltd

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Cummins Power Generation

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REGIONAL NEWS: ASIA

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GLOBAL PROJECTS

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CLIENT FEATURE NOF

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ON THE MOVE

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Welcome

ProjectsOGP magazine is proud to be a media partner at the Australian Oil and Gas Exhibition and for the first time have our publication available at the event. We have produced an exclusive edition for the show, focusing on the Coal Seam Gas, LNG and FLNG markets, which combined has become the fastest growing industry in the region, in little more than a decade. In this edition, we have launched our new Subsea Focus section, which showcases our new, and existing subsea clients’ technologies and capabilities. We also have technology showcase features and we are once again proud to have Ferguson Group and INTERKAB as our main Client Features. As part of the ProjectOGP’s new look, we have started - On the Move, a new section, which has some interesting industry personnel developments and new appointments.

Editor: John Morrison Editorial team: Neda Djahansouzi & Jillian Moore Design and production: Jillian Moore & Neil Watson Advertise:

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With our range of services and products including online marketing, advertising, brand awareness, industry news and business intelligence. to find out more: www.redmistmedia.com +44 (0) 1224 582902 info@redmistmedia.com

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CLIENT FEATURE

FERGUSON GROUP

Ferguson Group innovates to meet market demands

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eadquartered in Aberdeen, privately owned group of companies Ferguson Group was established in 1976 to service the container and accommodation demands of companies in the oil and gas industry. Today the Group employs over 230 people at its offices and facilities around the world. Its main bases are located in the UK, Norway, Singapore, Australia and the Middle East and supported by a network of partners in key oil & gas centres around the world including West and East Africa, Trinidad, UK, The Netherlands, Indonesia, Malaysia, Thailand, East Timor and New Zealand. As demand has increased for its high quality, innovative and versatile products, the Group has invested in new yards, offices and facilities across the globe, with new purpose built facilities in Kintore, Aberdeenshire, Tananger, Norway and Perth WA over the past few years along with new offices in Dubai and Abu Dhabi moving to a larger yard in Singapore. Dedicated to offering a flexible and personal service, Ferguson Group’s success has been achieved by listening to the market and also the unique demands of its customers, which has resulted in high quality, innovative products that improve the safety, comfort and efficiency of those working in the oil and gas sector. Recent new products have included a 6m accommodation module for APAC and Middle East region, specifically designed for high temperature conditions experienced in the southern hemisphere. The Ferguson Group accommodation and workspace modules

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are certified to DNV 2.7-1 / EN 12079, designed and manufactured in-house to IS0 9001, ISO 14001 and OHSAS 18001 standards, so the Ferguson Group has tight control on the design and quality of the modules themselves. The Group is very flexible and listens to its customers, working alongside them and taking onboard their comments to meet their requirements. The new six-metre accommodation module offers a safe and comfortable living space for two to four personnel through the development of a new internal fit out, an attractive and relaxing interior and dual or individual air-conditioning systems with individual thermostatic control. The company offers a wide range of accommodation and workspace modules to form accommodation and living complexes. With an increase in upgrade and maintenance work being carried out in the North Sea and on an international scale, Ferguson Group has been offering its services to major oil and gas companies around the world. One particular accommodation project included a 48-person accommodation complex complete with an office and medic module, as well as a galley and food store module for a platform in the North West shelf of Australia. All modules were fitted with en-suite facilities, including under floor heating in wet units, desk and seating areas, two sets of bunks, high quality fittings and fixtures and contemporary colour schemes. Cabins were fitted with advanced integrated split HVAC systems and a PLC (Programme Logic Control) fire and gas detection system.

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CLIENT FEATURE

the Group has invested in new yards, offices and facilities across the globe

looked at issues in the oil and gas industry and found solutions, such as a lid sealing system that seals the unit and prevents water entering the mud skip during transportation, as well as a drainage plug to remove any excess fluid, thus preventing the mud skip going over its payload weight.

Focused on the continued innovation and evolution of its product range, a recent product to be launched is the group’s new six-metre dual zone refrigerated/ chiller container from IceBlue Refrigeration Offshore, a specialist in providing refrigeration and freezer solutions and a member of Ferguson Group. Following extensive market research, the new product was developed to offer a flexible solution for transporting a range of perishable foodstuff with specific storage condition requirements in one container. The dual zone container has a moveable bulkhead so that it can be either be used as one compartment or separated into two compartments operating at different temperatures for example one compartment as a refrigerated area and another operating as a freezer/chiller. The container operates this from memory, with temperatures ranging from minus 30 to plus 20 degrees.

Ferguson Norge, a member of the Ferguson Group, has also recently expanded its fleet with the addition of several new DNV 2.7-3 certified lifting frames, capable of lifting over 25 tonnes. These units, which can transport one 6m ISO or two 3m ISO containers are the best method for transporting special cargo to and from offshore locations. The Ferguson Group continues its international expansion with new partners in key oil & gas areas and a range of new products to meet region specific demands.

www.ferguson-group.com

A major product for the Group, which boasts a wide range of innovative features, is its offshore container division’s sealed waste containers / mud skips. Designed to improve health and safety standards and the efficient containment of drilling waste for its transportation to treatment or disposal sites, the DNV 2.7-1/EN 12079 fully certified 3.6 cubic metre closed mud skips are also designed to meet NORSOK S-002N requirements to improve health and safety. The product has been designed to reduce the risk of injury to personnel using this product; it has a lightweight aluminium lid to prevent injuries when it is opened and has been developed to ensure there is no need for personnel to climb on it, which eliminates the risk of falls, and is designed so that its forklift pockets to prevent any foreign bodies from the ground falling on personnel when being transported. On top of the health and safety benefits, the Group has

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NEWS IN DEPTH

COAL SEAM GAS

Image supplied courtesy of Origin

Coal Seam Gas in Australia and the Queensland region By: John Morrison

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nce seen as a danger to the mining industry in Australia, the exploration and production of Coal Seam Gas (CSG) has emerged as the fastest growing industry in the country during the last 15 years, making up to 10% of the country’s gas production. There are numerous CSG resources spread across Australia and in particular the Queensland region, all of which supply fuel used to meet the needs of roughly 17% of Queensland’s demand for electricity. CSG also provides more than 90% of Queensland’s gas needs and one third of Eastern Australia’s gas supply. The absolute size of the industry and its rate of growth have seen billions of dollars of investment, which has in turn created jobs, sealed export contracts and started construction projects on the massive Liquefied Natural Gas (LNG) storage and downstream facilities required to process the gas. According to reports, CSG well drilling has increased from just ten, during the nineties, to over several hundred during 2011-12. In turn, this massive industry growth has also provided numerous opportunities in the Queensland region in Australia, through both contracts and job creation. In Australia alone, there are gas reserves estimated to be over 819 trillion cubic feet. This provides energy security – a huge benefit of CSG for the area, helping to stabilise abundance and flexibility.

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Another benefit of CSG is that it produces relatively low emissions in comparison to its counterparts, and can provide a cleaner solution to energy needs. It produces generally about 50-70% lower emissions than coal (Natural Coal Seam Gas 2014). With many power plants now switching to natural gas from coal - emissions are declining in tow. Additionally, CSG can be used as a continuing source of power generation, aiding in renewable energy sources to reach their peak power. Australia and specifically the Queensland region have benefited substantially economically since CSG – through new business and exploration, job security, as well as an influx of activity in the area. According to Natural Coal Seam Gas (www.naturalcsg.com.au), more than 27,000 people including contractors are now working in Queensland’s natural gas industry. More than 300 people work in the NSW’s gas industry with potential for 20,000 jobs over the next two decades. In times of industrial growth, an area can see increased business in all sectors, including service companies, accommodations, recreation and so on. However, in saying this, there are most certainly always issues to consider. In fact, local farmers, miners and political figures have said that the gas can be used more environmentally, and various risks have been put forward. Some of these include the amount of

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NEWS IN DEPTH greenhouse gas which will be emitted, the amount of groundwater required, and the huge amount of waste salt which will be produced. Even if the environmental impacts may be less than that of coal, they are still significant. The fiercest debate over the industry is the ground water required to be extracted, and how the make-good arrangements that the government proposes will be enforced and enacted. There is no doubt however, of the commercial benefits of Coal Seam Gas - mainly economically. It is fundamentally how the resources and projects are assessed and managed that will spur debate.

One concern being the extraction methods for CSG; specifically fracturing, which is often times used, along with vertical, horizontal and directional drilling. This method of extraction has raised many concerns, and most notably the additives used in this process (sodium hypochlorite and hydrochloric acid, cellulose, acetic acid and small amounts of disinfectants). Even though the industry has seen strict water management regulations, there are still concerns and objections.

Coal Seam Gas is now becoming fundamental to the commercial prosperity of NSW and in turn is playing a part on a low carbon future. The gas will aid the region in meeting economic targets, lowering greenhouse gas emissions and building a future gas supply that is sustainable. The creation of regional community funds will help growth and strengthen the communities as well as diversifying them, which are positive outcomes for the regions involved. Australia is and will continue to be an industry leader in the gas market. The global energy demand for gas has seen the increase in LNG projects, since 2008, so that Australia can become the leading, international LNG exporter, overtaking countries such as Qatar.

Once seen as a danger to the mining industry in Australia, the exploration and production of Coal Seam Gas (CSG) has emerged as the fastest growing industry in the country during the last 15 years, making up to 10% of the country’s gas production

In light of these concerns, the industry is making strides, and according to Natural Coal Seam Gas (www. naturalcsg.com.au) the industry is heavily investing in water studies; at the end of 2011 it had 626 water monitoring bores in place in Queensland alone. Not to mention the numerous independent studies concerning water. Companies are also moving towards horizontal drilling to enhance methane production, eliminating the need for hydraulic fracturing in many cases.

The two main basins being used are the Bowen and Surat basins, which are supplying the large LNG infrastructure. Additional pipelines are being planned for construction for supply to the Gladstone LNG plants. This adds to the current petroleum pipeline infrastructure of 4,000 kilometres.

In conclusion, over the past 15 years, CSG has provided copious amounts of economic advantages to Australia and the Queensland region. These advantages are balanced out by the many environmental and community related issues that arise with any exploration and production activity. Companies exploiting the resources in Queensland face strict legal requirements – however if they adhere and continue to improve their extracting techniques and develop new and more environmentally friendly approaches, the area will continue to hold strong economically.

The exploration and production activities have undergone some of the toughest regulations in the world. This is to ensure the protection of the environment and local communities. The regulations have seen bans on these harmful chemicals used during the hydraulic fracturing process, evaporation ponds and stringent well integrity standards being implemented. When concerning the underground water for example, in Queensland, every CSG company must produce an Underground Water Impact Report, and is legally required to take action in the event of an issue arising. With standards in place, the Natural Gas from the

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NEWS IN DEPTH

FLNG TRENDS & OUTLOOK

Photographic Services, Shell International Limited

The trend towards developing floating LNG to fuel the future of the oil and gas industry By: Neda Djahansouzi

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ccording to the Energy Information Administration (EIA), global energy consumption is expected to increase by 44% between now and 2030. With energy consumption increasing rapidly worldwide, the oil and gas industry is turning its attention to Liquefied Natural Gas (LNG) as a means of fuelling the future. In recent years the number of offshore gas discoveries has increased with LNG and Floating LNG (FLNG) becoming of even greater importance in terms of meeting the world’s future energy requirements, in particular energy-hungry Asia. Nonetheless, with land-based LNG extraction terminals becoming more costly, FLNG is poised to offer an alternative means by which to extract isolated gas reserves as the demand for fuel grows. An FLNG facility allows gas to be pumped from a field located offshore to a floating vessel where the gas is liquefied and stored; as opposed to a process that involves piping the gas to a land-based LNG plant. FLNG facilities are advantageous for so-called stranded gas fields that are too remote or not economical

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enough to justify building a vast pipeline network to an onshore facility. In addition, FLNG solutions provide an economically attractive means to monetise smaller natural gas reservoirs with the flexibility to relocate the floating facility to another production site upon depletion of reserves. It is ideal for sites like Australia that have a lot of environmentally sensitive areas along its coasts. While the FLNG industry is still in its infancy, many companies including Shell, ExxonMobil, BHP Billiton, GDF Suez and Woodside are choosing to use FLNG technology to develop their remotely operated fields. Currently, the primary regions of interest include Southeast Asia, northwest Australia, offshore Brazil and the African continent. This is driven by the remoteness of the sites and the lack of viable alternatives to monetize the gas reserves.

Shell FLNG Prelude Project

Shell is a step ahead in the FLNG industry. In May 2011, Shell took the decision to commission the world’s first FLNG platform in order to harvest the natural gas from its Prelude field.

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NEWS IN DEPTH The Prelude FLNG vessel, being built at Samsung Heavy Industries’ shipyards in South Korea, will be the largest floating offshore facility in the world at 488 metres long and weighing 600,000 tonnes. The facility’s storage tanks will have a capacity equivalent to 175 Olympic sized swimming pools or four football pitches, yet the vessel is only one quarter of the size of an onshore liquefaction facility. The plant is expected to have an annual production capacity of 3.6 million metric tons per annum (mtpa) of LNG as well as process 0.4 mtpa of LPG and 1.3 mtpa of condensate. At the end of November 2013, Shell floated the FLNG facility out of the dry docks at Samsung Heavy Industries yard in Geoje, South Korea, given that first steel was only cut a year ago, displaying great workmanship and expertise. Nonetheless, analysts believe the Prelude FLNG project is to begin production in 2017. It is envisaged that the Prelude FLNG facility will be placed to help meet the growing demand for natural gas in Asia, especially India, Japan and China, where gas usage has increased by 20%.

Furthermore, Woodside’s executive director Rob Cole aforementioned that “FLNG doesn’t require the capital costs of dredging civil works, port infrastructure or pipelines” and also reassured that the project itself would create hundreds of local engineering jobs and more than a thousand positions on the platforms.

global energy consumption is expected to increase by 44% between now and 2030...the oil and gas industry is turning its attention to LNG

Scarborough Gas Field

ExxonMobil and partners BHP Billiton are looking to surpass Shell by building an even larger FLNG for drilling the remote Scarborough gas field off the western coast of Australia. The floating platform will be as long as five football fields in length, approximately half a kilometre long and will become operational in 20202021. The plant would increase Australia’s current LNG production by about 30%, producing 6-7 million mtpa, almost double the 3.6 million mtpa of Shell’s Prelude FLNG and enough to fuel the LNG needs of Japan, who is the world’s largest importer of LNG gas, for about a month. In November 2013, the Australian Federal Government granted ExxonMobil and BHP Billiton environmental approval to develop the Scarborough gas field using the FLNG facility. While FLNG is considered the best option for developing the Scarborough field, further engineering and design work must be undertaken before a final design concept is determined.

Browse FLNG Development

The development of the Browse field has caused some controversy with the West Australian premier, Colin Barnett, strongly opposing the idea due to concerns that offshore processing would provide less economic benefit to the state. However, Woodside has stated that “operating in a globally competitive environment demanded the need for companies to be innovators of new technology, rather than just users of convention methods and FLNG is now an important part of the suite of development options available to the industry.”

Woodside Petroleum and its partners have chosen FLNG for the potential development of the Browse Basin, off the northwest coast of Western Australia, as opposed to the more costly option of building a gas processing hub at James Price Point, north of Broome.

Woodside could potentially build three FLNG plants for its Browse project. However, it plans to make a final investment decision on Browse in 2015.

Bonaparte LNG

GDF Suez and Santos are working on their own FLNG technology to develop the Bonaparte LNG project, 250 kilometres west of Darwin in the Timor Sea. The proposed steel double-hull floating facility will measure 400 metres in length and 70 metres in width, having a capacity of 2.4 mtpa and with a design life of 25 years. The project will focus on developing the Petrel, Tern and Frigate offshore gas fields in the Bonaparte basin and will host a total of 22 production wells hooked into the proposed FLNG vessel. Nonetheless, GDF Suez has delayed the final investment decision for the Bonaparte FLNG project until 2015 and first gas from the FLNG facility is expected in 2019. As the FLNG industry is still in its infancy, it is difficult to accurately forecast trends. However, as this report shows, FLNG is becoming a more popular choice amongst large oil companies with plentiful resources and especially in remote fields offshore Australia. This is demonstrated by the likes of Shell, ExxonMobil, BHP Billiton, Woodside, GDF Suez and Santos, who all face the potential commercial risks but have extensive financial and technical resources to lead projects of this nature. Investment into FLNG production will eventually occur, but it must prove its economic viability on a stand-alone basis before this is to happen. It is more likely that FLNG will not replace onshore base facilities but rather it will expand LNG production into areas where it has not previously been viable.

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NEWS IN DEPTH

AUSTRALIAN LNG

Risks and challenges of the Australian LNG market By: Ioannis Tzelepis

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iquefied Natural Gas (LNG) has started to dominate the global energy industry dictating the changes in every branch of the gas market from exploration and processing to technology novelties and maritime logistics. As LNG establishes itself as a primary source of energy, a huge wave of Australian LNG projects have been slated for the second half of this decade.

LNG projects under construction, while at the same time facing high competition from emerging LNG markets such as The USA and East Africa, with lower cost per capacity. This phenomenon has started to worry investors, as the high cost refers to the whole life cycle of the project from the capital to the operating expenditure.

However, as IEA noted “amongst the 13 LNG projects currently under construction globally with 2017 start dates, there is much uncertainty on the impact of delays, notably in Australia.” Australian operators have sanctioned more than 60 million tons per annum of projects, which is equivalent to 25% of the global LNG demand.

According to Deutsche Bank, it has been estimated that the LNG projects currently in operation were developed at an average cost of approximately US$1,200 million/mtpa, whereas the average cost of the recently sanctioned and proposed projects in Australia has risen to more than double the historic average, to around US$2,600 million/mtpa. As Santo’s CEO and Managing director David Knox pointed out, “the Australian LNG projects currently under construction are now 80% more capital intensive than those already in operation”.

Nevertheless, there are significant concerns that the plethora of projects will face many challenges leading up to their start-up, without secure off-take commitments from the investors and support from the local and federal governments. Gorgon, Prelude, Wheatstone and Ichthys in Western Australia, and Queensland Curtis LNG (QCLNG), Gladstone LNG (GLNG) and Australia Pacific LNG (APLNG) in Queensland are all experiencing delays and cost escalation, influenced by high labour, capital costs, tax regulation, inflation, currency shifts, as well as environmental opposition and technological challenges. The main challenge for the Australian LNG market is the constant cost blowouts observed in all the proposed

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A report published by the Australia’s Bureau of Resources and Energy Economics in June 2013 analysed the reasons for the constant cost escalation, shedding light on the burgeoning costs. More specifically, the report revealed that the Gorgon and Wheatstone projects are estimated to cost around US$3 billion per million tonne of annual capacity (capital cost), while the Ichthys project will cost US$4 billion per million tonne of annual capacity. If we compare these numbers to the Angola LNG project which has a capital cost of below US$1.7 billion per million tonne of annual capacity, it is easy to understand the challenge that Australian

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NEWS IN DEPTH projects currently face. In November 2013, Shell admitted that its cost estimates for the Gorgon project have been revised upwards from its FID assumptions, with the operator of the project Chevron stating that they still remain conservative regarding the start-up date. Furthermore, Santos declared a 16% increase in the cost of the GLNG project raising its estimation to US$18.5 billion, while BG Group disclosed to have spent US$5.4 billion more for the US$20.4 billion QCG project. According to the figures presented by Australian Workforce and Productivity Agency’s (AWPA) board member Keith Spence, “Australia faces a critical lack of LNG and coal seam gas (CSG) operators, with the country having to beef up the number of its 180 to 200 process operators to 1,500 by 2017/18”. Additionally, the situation is becoming more complicated as the country’s wealthy mining sector, also seeking experienced workers from the same talent pool, has a competitive advantage over the LNG industry with the high salary packages it promises. Likewise, David Knox pointed out “the cost of Australian labour is already double that of many of our competitors’ projects, and productivity in most cases lower”.

import contracts as well. For example, GAIL is asking for cheaper prices on gas it has consented to purchase from Gorgon through Petronet. Thus, the long term contracts seem to cloud over, as a result of the proposal to renegotiate a current contract from India, questioning all the pricing formats set in 15-20 year LNG contracts. It is becoming essential for the investors in Australian projects to find customers for the ‘unwanted‘, LNG volumes, while avoiding, at the same time, the opening of the already signed contracts, otherwise they will see a significant decrease in their estimated revenues. These severe changes are occurring under the pressure of a strengthening Australian dollar, constant rising inflation and controversial local tax regulations. For example since construction started in 2009, the Australian dollar has seen a 20% appreciation, a quite alarming indication for the investors as approximately half of Gorgon’s project’s costs are in local currency. In addition, according to the IMF, Australia’s inflation is at average more than 1% higher than the collective average of all advanced or developed countries. Under these conditions, the operators of the projects are striving to negotiate a cut in tax revenue heading to the Petroleum Resource Rent Tax.

The high competition from emerging LNG exporters has become a major threat for the LNG industry of Australia, as the cost comparison among the global LNG projects is discouraging for investing in the country

In whole, the high competition from emerging LNG exporters has become a major threat for the LNG industry of Australia, as the cost comparison among the global LNG projects is discouraging for investing in the country. In World Energy Outlook 2013, the IEA warns that concern has risen regarding the new wave of major Australian LNG projects, clarifying that competition from other regions has put at stake any future plans. Notably, the shale gas revolution in North America, the huge offshore gas reserves discovered off East Africa and Russia’s LNG export capacity expansion plan to reach Asian markets have established a new geopolitical framework under which the Australian projects need to adjust, if they want to be economically viable and profitable. Moreover, uncontracted Australian LNG volumes are an additional formidable hurdle for the investors and will have a significant impact on Australia’s LNG export returns and tax take. On the other hand, as Asian customers noticed the price difference in gas, with East Africa and the US offering lower prices due to oversupply of shale gas, they are now demanding a renegotiation of the already signed

The same confusion expands to environmental regulation, which has been an impediment in many cases for the onshore development plans. For instance, Woodside’s plan to develop a supply base at James Price Point for the Browse project has encounter an obstacle, after the state chief justice revealed environmental approval for the site was unlawful. This public opposition prompted the Queensland and New South Wales governments to recently introduce new policy law in order to ensure the protection of prime agricultural land. According to these amendments, every CSG project proposal that lies within 1.2 miles (2 kilometres) of strategic agricultural land is required to be assessed by an independent expert panel prior to proceeding with development applications. In a nutshell, the Australian LNG market will be at risk if no commitments are being made, from both sides, as the investors and the local authorities need to reconcile any contradictive interests, in favour of the huge financial and political commitment that has been based on the LNG projects.

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REGIONAL NEWS: OCEANIA

AUSTRALIAN PROJECTS highlighing major projects

C A B D

A. GORGON PAGE 14

C. ICHTHYS PAGE 18

B. WHEATSTONE PAGE 16

D. QCLNG PAGE 20

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REGIONAL NEWS: OCEANIA

GORGON PROJECT Sub title section area text in this place Gorgon images courtesy of: Chevron Australia

PROJECT PROFILE DETAILS Gorgon LNG project is one of the world’s largest liquefied natural gas projects and the largest single resource development discovered to date, in Australia’s history. The Gorgon Project is located within the Greater Gorgon area, between 130 and 220 kilometres off the northwest coast of Western Australia. The reservoirs of untapped natural gas contain in excess of 40 trillion cubic feet of gas which represents about 25% of Australia’s known gas resources. The development consists of the construction of a 15.6 million tonne per annum liquefied natural gas (LNG) plant on Barrow Island and a domestic gas plant with the capacity to supply 300 terajoules of gas per day to Western Australia. A 2.1 kilometre long loading jetty will transport Gorgon’s LNG to international markets. The domestic gas will be piped to the Western Australian mainland.

OPERATORS The Gorgon Project is operated by Chevron. It is a joint venture which includes Chevron with approximately 47.3% interest, ExxonMobil with 25% interest, Shell holding 25% stake, Osaka Gas with 1.25% interest, Tokyo Gas holding 1% stake and Chubu Electric Power with 0.417% interest.

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REGIONAL NEWS: OCEANIA

PROJECT UPDATES Monadelphous secures US$150 million Gorgon LNG contract extension

Monadelphous has landed a one year extension for the facilities management services contract associated with the Chevron-operated Gorgon Project. The contract extension, valued at approximately US$150 million, is to continue the operation and maintenance of construction facilities and utilities on Barrow Island, WA. The contract will be delivered by Monadelphous KT Pty Ltd, with work commencing immediately and expected to be completed in the fourth quarter of 2014.

NEWS IN BRIEF Waterplex water bladder tanks supplied to Gorgon project

Waterplex developed, supplied and installed three mega-litre water bladder tanks for water storage for the Chevron-operated Gorgon LNG project on Barrow Island. Each mega bladder tank measures 1,024 metre² when deployed and fills to 1.1 metres in height. The water from the bladder tanks is used for dust suppression and construction of the facilities required for the Gorgon Project. The three mega-litre water storage project was delivered and deployed in full and on time by Waterplex.

Fugro secures Gorgon contract

AusGroup secures Gorgon LNG contract extension in Australia

AusGroup Limited subsidiary AGC Industries Pty Ltd has been awarded further fabrication work with CB&I and Kentz Joint Venture on the Chevron-operated Gorgon Project. The contract extension for the manufacture and supply of Shear Keys to the Gorgon Project brings the total amount to more than 3,000. Shear keys are important components for modular construction and are being used to secure the liquefied natural gas plant modules on Barrow Island. The manufacture of the Shear Keys will be undertaken at AGC’s fabrication facility in Kwinana, before being transported to the Australian Marine Complex for shipment to Barrow Island. This contract extension takes AGC’s total contracts value on the Gorgon Project to more than US$100 million. Overall, the contracts have created more than 280 local jobs.

Fugro has been awarded a contract by Subsea 7 to provide survey services to support its Heavy Lift and Tie-Ins contract on the Chevron-operated Gorgon Project. The contract involves the provision of a DP2 survey vessel, complete with deepwater work class ROVs.

Five year multi-million dollar Gorgon contract goes to UGL in Australia UGL Limited has been awarded a new five year contract by Chevron Australia for the provision of maintenance services for the operational phase of Chevron’s Western Australian assets. The multi-million dollar contract also includes extension options beyond the initial five-year term. Under the scope of the contract, UGL may perform mechanical, electrical and instrumentation base maintenance, plant turnaround and brownfield execution services for Chevron’s Western Australia assets. UGL expects to commence the mobilisation of its workforce early in the first half of 2014.

Subsea 7 awards Mermaid US$90 million contract at Gorgon

Mermaid Marine Australia Limited has been a US$90 million awarded a vessel contract with Subsea 7 to provide tug and barge support for the Heavy Lift & Tie-in Scope on the Chevron-operated Gorgon Project.

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REGIONAL NEWS: OCEANIA

WHEATSTONE PROJECT Sub title section area text in this place Wheatstone images courtesy of: Chevron Australia

PROJECT PROFILE DETAILS Wheatstone is one of Australia’s largest resource projects and provides greater security of supply and significant economic benefits such as employment, government revenue and local business opportunities. The Wheatstone Project will include an onshore facility located at Ashburton North Strategic Industrial Area, 12 kilometres west of Onslow in Western Australia’s Pilbara region. The foundation project includes two liquefied natural gas (LNG) trains with a combined capacity of 8.9 million tonnes per annum and a domestic gas plant. First LNG shipments are planned for 2016.

OPERATORS The Wheatstone Project is a joint venture between Australian subsidiaries of Chevron who is the operator with 64.14% interest, Apache holding a 13% stake, Kuwait Foreign Petroleum Exploration Company (KUFPEC) with 7% interest, Shell with 6.4% interest, and Kyushu Electric Power Company holding a 1.46% stake, together with PE Wheatstone Pty Ltd (part owned by TEPCO) with 8% interest.

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REGIONAL NEWS: OCEANIA

PROJECT UPDATES

Svitzer secures US$650 million Tugboats contract for Wheatstone

Svitzer Australia will provide tugboats and a pilot boat to assist export shipments from the Wheatstone LNG Terminal under a marine services contract valued at approximately US$650 million. Under the agreement, Svitzer expects to create more than 30 new Australian jobs, including a number of Aboriginal trainees. Svitzer, part of the A.P. Moller – Maersk Group, will supply four 33 metre long, 80 tonne bollard-pull tugs to assist export vessels during the operational phase of the project at Ashburton North, 12 kilometres west of Onslow in Western Australia. Crewed by Australian mariners, the Azimuth Stern Drive vessels will use diesel electric engines to provide efficient, safe and environmentally friendly towage and escort capabilities for a period of at least 20 years from 2016.

Royal Boskalis Westminster wins US$275 million contract with Chevron

Royal Boskalis Westminster has won a contract worth US$275 million for work on the Wheatstone project in Western Australia. The company’s subsidiary Dockwise will provide module transport services for Bechtel, the contractor building the Wheatstone project for the joint venture parnters. This is the largest ever contract win for Dockwise. Work will start in early 2014 and includes logistical management and transportation of more than 100 modules from the Wheatstone project in China and Malaysia to the project site in WA. The company will use the full scope of its heavy marine transport including six Dockwise heavy marine transport vessels.

NEWS IN BRIEF Giovenco joint venture wins Wheatstone LNG contract

Giovenco and Insulations International joint venture has signed a US$93.7 million contract with Bechtel to perform painting, insulation and fireproofing services on the Wheatstone Project. The contract is expected to create over 200 jobs located onsite at Ashburton North.

Giovenco Wins US$77 million contract on Wheatstone Project

Giovenco Industries (Aust) Pty Ltd has signed a contract with Bechtel to perform scaffolding erection services on the Wheatstone Project in Western Australia. The contract value is estimated at over US$77 million and is expected to create over 150 jobs located onsite at Ashburton North. The contract has been awarded to provide scaffold erection services to support the mechanical installation, painting, insulation and other works throughout the construction of the project. The scope of work includes planning, design, engineering and erection of scaffolding.

Cape awarded second major Wheatstone project contract

Cape Australia Onshore has entered into an agreement with Bechtel for the provision of Painting, Insulation and Fireproofing Services on the Wheatstone Project. The contract, valued at over US$250.6 million, is expected to create an additional 490 new Australian jobs. Initially, Cape Australia Onshore had entered into an agreement with Bechtel Corporation, for the supply of Scaffold Erection and Dismantling Services on the Wheatstone Project. This contract was valued at over US$75 million and is expected to create 135 new Australian jobs.

AT-Pac wins US$60 million contract

AT-Pac has been awarded a contract on Chevron’s Wheatstone liquefied natural gas project in Western Australia. The US$59.9 million contract for the supply and management of scaffolding was awarded by the projects LNG contractor Bechtel. The contract is expected to create up to 40 jobs, including over 30 in scaffolding supply and management and seven positions in administration, procurement, warehousing and logistics.

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REGIONAL NEWS: OCEANIA

ICHTHYS PROJECT Sub title section area text in this place Ichthys images courtesy of: INPEX Corporation

PROJECT PROFILE

DETAILS

The Ichthys field in the Browse Basin offshore Western Australia first demonstrated its potential to be a world class gas project in 2000. Since then, most likely resource estimates have grown and the Ichthys LNG Project is expected to produce 8.4 million tonnes of LNG and 1.6 million tonnes of LPG per annum, along with approximately 100,000 barrels of condensate per day at peak. Gas will undergo preliminary processing offshore to remove water and raw liquids including condensate. The gas will then be exported to the onshore processing and liquefaction facilities in Darwin via an 889km pipeline. Detailed Engineering, Procurement and Construction (EPC) of the Project is now ongoing and the production will start by the end of 2016.

OPERATORS Ichthys is operated by INPEX with approximately 63.445%, along with TOTAL with 30%, CPC at 2.625%, Tokyo gas at 1.575%, Osaka Gas 1.2%, Chubu Electric 735% and Toho Gas with 0.420%.

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REGIONAL NEWS: OCEANIA

PROJECT UPDATES

Light Structures awarded Ichthys LNG contract

Light Structures has won the contract to provide the Load & Fatigue Monitoring Solution for the US$2.7 billion Ichthys LNG Central Processing Facility (CPF), currently under construction by Samsung Heavy Industries. Light Structures’ Load & Fatigue Monitoring system will utilise an array of sensors, connected by zero-power fiber optic cables, to continually harvest data relating to the loads working on the structure of the CPF which, at 110 metres by 110 metres, is the largest semisubmersible platform ever built. Based on this data, analyses and calculations will be undertaken to monitor fatigue development across crucial structural areas.

NEWS IN BRIEF McDermott orders DGI Subsea actuators for Ichthys Project in Australia

DGI has been awarded a contract from McDermott for delivery of a large number of shallow water subsea actuators for flooding systems with ROV override access for the Ichthys Gas Project. The actuators are required for temporary use during structure flooding or ballasting operation at water depths of 250 metres. One of the reasons DGI is awarded is the very short delivery time that was requested by the client.

Programmed lands Ichthys contract

US$93

million

Light Structures’ system, which is an evolution of traditional hull stress monitoring technology, will monitor fatigue build-up to provide a valuable overview of structural integrity and allow the project’s operators to take decisive repair and maintenance action before cracks appear.

Programmed has won a contract worth US$93.4 million for work associated with the Inpex-operated Ichthys liquefied natural gas project. Programmed will provide support services to Heerema Marine Contractors for the Inpex-operated LNG project.

Floatel secures US$280 million newbuild contract for Ichthys

Inpex awards software contract to Asset Guardian Solutions

Floatel International has secured a contract to deploy its latest newbuild accommodation and construction support vessel at the Ichthys LNG project in Australia. The contractor intends to deploy the Floatel Triumph harsh-environment semi-submersible unit, at Singapore yard Keppel Fels for US$280 million, for work at the Inpex-operated scheme. The Floatel Triumph, due for delivery in December 2015, is a DP3 vessel with accommodation capacity for 500 people.

Asset Guardian Solutions has been awarded a contract by Inpex to provide a software protection system for the Ichthys liquefied natural gas project in Australia. Asset Guardian will provide a customised system to enhance management and security of the critical software for Ichthys, including the LNG plant, the central processing facility and the floating production, storage and offloading vessel.

Atkins lands US$17 million assurance contract from Inpex

flow

Atkins has secured a US$17.18 million flow assurance contract on a major liquefied natural gas (LNG) project in Australia. The company has landed the contract for the Ichthys project, which is located offshore of Western Australia and operated by Inpex. As part of the contract, Atkins will provide services including flow assurance, systems engineering and ad-hoc process engineering support starting from execute stage till initial start-up for Inpex.

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REGIONAL NEWS: OCEANIA

QCLNG PROJECT Sub title section area text in this place QCLNG images courtesy of: BG Group

PROJECT PROFILE DETAILS Queensland Curtis LNG (QCLNG) will be the world’s first project to turn gas from coal seams into liquefied natural gas (LNG). QCLNG involves expanding exploration and development in southern and central Queensland and transporting gas via a 540 kilometre buried pipeline to Curtis Island near Gladstone, where it will be liquefied. The project, which has been under construction since 2010, will provide cleaner hydrocarbon energy for export markets from 2014. The Queensland Curtis LNG project is located on Curtis Island, Gladstone, in Queensland, Australia. The first LNG production is expected to come on stream in 2014. The new facility will create thousands of jobs with a peak on site construction workforce of over 5,000 and over 700 during operational phase.

OPERATORS Chevron Australia Pty. Ltd.: 47.333% interest Shell Perth: 25% interest ExxonMobil: 25% interest Osaka Gas: 1.25% interest Tokyo Gas Company: 1% interest Chubu Electric Power Company: 0.417% interest

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REGIONAL NEWS: OCEANIA

PROJECT UPDATES

ABB signs US$33 million service contract with QGC

ABB has signed a long-term service agreement with QGC, a wholly owned subsidiary of BG Group, to provide planned and unplanned maintenance for the up-and mid-stream facilities at QCLNG. The project is the world’s first to convert gas from coal-seam into liquefied natural gas. Coal-seam gas provides the same amount of energy as coal, but carbon dioxide emissions are 40% lower. QCLNG is a priority project for QGC because it involves expanding exploration and development in southern and central Queensland. The upstream facilities stretch across the Surat Basin, where the coal-seam gas is gathered and transported along a 540 kilometre underground pipeline, to the LNG plant on Curtis Island near Gladstone. The contract value is US$33 million over four years, booked in the third and fourth quarter, with potential for extending the service term up to a period of 10 years. ABB is to provide comprehensive services including an on-site team to maintain ABB’s Extended Automation System 800xA Integrated Control and Safety Systems. The contract also covers spare parts management for QCLNG’s upstream collection and transportation facility as well as for the midstream liquefaction and export facility.

QCLNG US$1.65 billion contract goes to Thiess

Thiess has been awarded a US$1.65 billion contract by coal seam gas producer QGC for construction of gas compression facilities and associated works for the QCLNG project in the Surat Basin. The new contract replaces and expands the US$325 million agreement signed in February 2012 for construction of six FCSs and one CPP.

NEWS IN BRIEF Jacobs bags contract for concept study, Pre-FEED work for QCLNG project

Jacobs Engineering Group Inc. has been awarded a contract from QGC. Under the terms of the contract, Jacobs is performing concept study and pre-FEED (front-end engineering and design) activities to support further development of the upstream portion of the project. Jacobs’ scope of work includes the production well pads that produce and separate gas and water; the gathering systems that transport the produced fluids; and the field compressor stations that form part of the transport system carrying the produced gas to the LNG production facilities.

Innovative Rotork valve actuation selected for Australia’s giant clean LNG projects Rotork flow control products have been selected to supply valve actuation products to all three Coal-Seam-Gas (CSG) to liquefied natural gas (LNG) projects on Curtis Island including, Queensland Curtis LNG, Santos GLNG and Australia Pacific LNG.

Decmil wins QCLNG contract

BG Group’s Australian subsidiary Queensland Gas Company (QGC) has awarded Decmil Group a wellhead services contract related to the Queensland Curtis liquefied natural gas (QCLNG) project in Queensland.

QGC awards US$23 million earthworks contract to T&W Earthworks QGC Pty Limited has awarded a US$22.7 million earthmoving contract to T&W Earthworks that is expected to double the firm’s workforce. T&W Earthworks will clear, grade and build natural gas well sites and roads for up to three years in the Surat Basin and is expected to employ up to 50 people to do the work.

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Sub title section area text in this place


REGIONAL NEWS: OCEANIA

OCEANIA NEWS PROJECT UPDATES Parker breaks records with mooring lines for Shell’s Prelude FLNG

Parker Hannifin Corporation has been awarded a contract by SBM Monaco for the supply of the wire rope sections within the mooring system for the Prelude floating liquefied natural gas (FLNG) unit to be operated in Northwest Australia. Parker’s Energy Products Division has been selected to supply the wire rope sections within the mooring system for this revolutionary facility which will have the highest Minimum Breaking Load of any steel wire mooring system component ever supplied.

AusGroup wins Woodside contract

AusGroup Limited subsidiary AGC Industries, has signed a Multi-Discipline Services Agreement (MDSA) with Woodside Energy as operator of the North West Shelf Project for maintenance work at the Domestic Gas Plant. The scope of work will focus on AGC’s capability including mechanical works, structural steel, site installation and welding, inspection, cladding and insulation, blasting and painting, scaffolding supply and installation across all areas of the Domestic Gas Plant. The MDSA will provide AGC with the opportunity to participate in a rolling program of general and campaign maintenance activity potentially over the next five years.

WDS wins Gladstone LNG contract with Santos

WDS has won a contact with Santos for the Gladstone liquefied natural gas (GLNG) project. WDS’ Energy Division will be a Principal Contractor to the GLNG project and will carry out field installation of appraisal gathering systems for the connection of Coal Seam Gas (CSG) wells in GLNG’s Surat Basin gas fields. WDS’ work scope is multi-disciplined and will include civil, mechanical, electrical and instrumentation aspects of the management and construction of field and trunk pipelines and CSG wellhead connections.

NEWS IN BRIEF WHL Energy signs La Bella 3D seismic contract

WHL Energy Limited has signed a contract with CGG Services SA for the acquisition of the La Bella 3D seismic survey off Victoria, Australia. The survey will utilise CGGs’ Viking II vessel to acquire data with stateof-the-art Broadseis broad band seismic acquisition technology.

DOF Subsea secures US$25 million contract for Maari Field subsea installation services in New Zealand

DOF Subsea has been awarded a contract by OMV New Zealand, for subsea installation services to the Maari Field, Raroa FPSO offshore Taranaki, New Zealand. The project, worth approximately US$24.5 million, will be executed from DOF Subsea’s Perth office. DOF Subsea will be responsible for the Project Management and Engineering including detailed design and offshore services.

FES International begins supply of subsea components for Balnaves development

FES International has begun delivery of a contract to provide subsea components to recover oil reserves from a frontier development off the northwest Australian coast. FES International will supply diverless bend stiffener connectors to Technip for the Balnaves field development in the Northern Carnarvon Basin.

Wood Group PSN awarded Papua New Guinea contract Wood Group PSN (WGPSN) has been awarded a contract by Esso Highlands Limited, to provide engineering, procurement, construction and maintenance services to support its Papua New Guinea (PNG) liquefied natural gas (LNG) operations. Under the contract, WGPSN will provide brownfield engineering and procurement support to ExxonMobil’s operations in PNG, including construction and maintenance services to both the Hides gas conditioning plant in the highlands, and the LNG plant northwest of Port Moresby.

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CLIENT FEATURE

INTERKAB SEES GROWTH INTERKAB expands into Australia

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NTERKAB, the global leading specialists in cable management, has established a presence in Australia. Operating from Perth, the company will focus on the OGP sector, maintaining and developing its business with its current and potential clients in Australasia, including New Zealand and Papua New Guinea. INTERKAB, which has its headquarters based in Aberdeen, specialises in the management and supply of the full range of electrical, instrument, data, fibre optic and underwater cables. Together with its cable management service solutions, INTERKAB also supplies a full range of electrical and associated products providing a one stop solution to its clients. The company has previously supplied products and services to the Australasian market from both its European and Middle East operations and has successfully completed several contracts within the region.

INTERKAB has plans for future growth, to meet the demand it has experienced in the oil and gas, renewable and wider energy industries. With the rapid growth of industry comes the requirement for increased flexibility in the supply chain, a concept that INTERKAB has driven for many years. Being able to deliver fast, flexible and cost efficient solutions that its clients require is key to supporting the fast-paced, schedule-driven projects INTERKAB works on every day. INTERKAB is a leading service company specialising in the management and supply of electrical cables and associated electrical equipment. Headquartered in Aberdeen, UK, INTERKAB operates globally and has offices in Europe, the Middle East, Kazakhstan and Australia. INTERKAB stocks and supplies cables for offshore, onshore, underground and subsea applications. In addition INTERKAB manufactures bespoke cables, often within a 4-6 week lead time.

Mark Stenzler, Australasia Manager for INTERKAB said: “The expansion into Australia strengthens our regional presence and enables us to maintain the high levels of quality and service that our current customers enjoy worldwide. The expansion also demonstrates our commitment to our ultimate aim – to be a truly local and global company.” The move follows INTERKAB’s successful expansion into Dubai, where it opened an office in 2012 to better service its clientele in the Middle East and Africa. Since then the business has rapidly developed, seeing a high level of demand from new clients around the world. In 2013, INTERKAB established a Dubai FZE standalone company with a focus on the UAE business and OGP sector.

www.interkab.com

Your Local and Interna

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COUNT ON FUGRO TO DELIVER YOUR SUBSEA SUCCESS STORY

Fugro Subsea Services provides unrivalled Inspection, Repair and Maintenance (IRM) services, committed to safeguarding your subsea assets. With one of the world’s largest fleets of inspection and workclass ROVs, together with dedicated vessels and highly-trained personnel, we are equipped to carry out detailed subsea investigations, offer a wide range of specialist interventions and deliver long-term, reliable protection for seabed infrastructure. For further information contact: info@fugrosubsea.co.uk

www.fugrosubsea.co.uk


SUBSEA FOCUS

FUGRO SUBSEA SERVICES

Fugro’s innovative ROV technologies provide assured Deepwater operations sensors. The data highway of the FCV 3000 can handle up to 24GB, which is sufficient to run the ROV, the TMS, 3 HD cameras (optional), a full survey data suite including multi-beam sonars, and still have sufficient capacity to allow a range of other specialist sensors to be operated simultaneously. Piloting such an ROV in close proximity to subsea structures requires considerable experience and training. Fugro’s DeepWorks ROV simulators are used worldwide with their own in-house created scenarios and lesson plans for skills training and for rehearsal of specific field operations.

W

ith production going deeper more is expected of remotely operated vehicles (ROVs) to support site surveys, installation operations and to inspect and maintain subsea equipment. The latest addition to Fugro’s FCV series is the FCV 3000 200HP Work Class ROV. This has been designed to target the extreme demands of deepwater drilling and completions; however, given its modular design it can equally be used for subsea oilfield and construction support as well as inspection, repair and maintenance of installations. This is accomplished by fitting a variety of tooling packages that can be rapidly installed onto the vehicle by means of standard interfaces – both mechanical and control – which map any new sensors to the surface without the need to open pods and rewire. These interfaces ensure that operational changes can be implemented safely and efficiently and with the minimum of fuss. At the heart of every FCV ROV is Fugro’s proven control and communications system based on single-mode, fibre-optic technology, including Fugro’s own designed and built SMFO multiplexer. This high-end multiplexer can manage up to 12 conventional cameras (8 simultaneously) and provides a wide range of data communication protocols, facilitating the efficient integration of add-on tools and

Offshore, DeepWorks can be driven from real-time telemetry to provide live visualisation of the actual positions and orientations of surface and subsea assets with personalised views for vessel, crane and ROV support teams. This not only increases efficiency and situational awareness but also provides a permanent record to show that the mission was carried out in accordance with agreed procedures. DeepWorks also supports design and deployment validation of ROV tooling. Instead of building costly physical prototypes, engineers can build and test virtual prototypes in DeepWorks before manufacture which helps to eliminate poor designs earlier and reduces the amount of offshore testing required. Fugro is one of the few manufacturers that operates its own ROVs, ensuring that its products remain at the leading edge of the industry, bringing an unrivalled combination of ROV design, construction and simulation expertise to the challenges of deepwater oilfield support.

www.fugrosubsea.co.uk

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SUBSEA FOCUS

SEATRONICS

reaches century of sales with Gen 5 multiplexer (MUX) These systems, which are designed and manufactured by RTS and sold through Seatronics’ global network, are recognised as best-in-class by the ROV and subsea survey communities. The immediate benefits in using the Gen 5 MUX lie in the time saved in mobilising and interfacing various survey sensors. Additionally, the Gen 5 MUX eliminates much of the troubleshooting and trial-and-error testing that used to be required while setting up subsea communications, providing significant cost savings. The Gen 5 MUX has standardised cabling and sensor compatibility that offers plug-and-play operation. It employs C-WDM techniques to offer the highest capacity system available on the market, and has 3000 m rated titanium housing. The system benefits from multiple power sources for a number of survey sensors including for up to four HDSDI video channels.

S

eatronics, an Acteon company, has secured its sale of the 100th industry-leading Gen 5 MUX: a milestone it has reached in just two years.

“The Gen 5 MUX is the most versatile, high-specification fibre multiplexer solution currently available,” explains Adil Ali, international product sales manager, Seatronics. “Reaching this 100 unit sales milestone is of course significant in terms of commercial success, but also helps bring Seatronics and RTS closer to the client base with this superbly engineered piece of kit. In the shortto-medium term, we are offering the industry a bestin-class solution. Ultimately, we believe that this will be the industry-standard multiplexer that is specified in build programmes by offshore construction companies and remotely operated vehicle manufacturers.”

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Several leading companies have used the system, which is generally selected for its reliability and ease of use. Mathias Sevestre, survey and positioning equipment engineer, Saipem, says, “Saipem has used the Gen 5 MUX on a variety of offshore construction projects. We chose this system after assessing its simplicity of use and ultimate reliability against other standard offerings. When testing, the Gen 5 did not drop any bytes of data, which is critically important for postprocessing efficiency. We also made substantial time savings by avoiding the need to interface and cable-in each separate survey sensor directly to the remotely operated vehicle.” It is available in a subsea housing or an OEM card package.

For more information please contact Seatronics, UK or visit our website:

aberdeen@seatronics-group.com

www.seatronics-group.com

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SUBSEA FOCUS

FORUM SUBSEA TECHNOLOGIES Forum Subsea Technologies develop 3G torque tool

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he first generation of torque tools used by ROV operators were simple hydraulically operated tools. The second generation added sensors that provided detailed operating information back to the operator on the surface. Forum Subsea Technologies have pushed the technology forward and have developed a third generation (3G) torque tool. This tool not only has the ability to feedback information to the operator on the surface, but it can also reconfigure subsea to cover a range of operations that would previously require a number of tools to be deployed with the ROV, or costly trips to the surface to reconfigure the tool. To enable the tool to operate from 25-2,700Nm continuously Forum developed a new hydraulic motor. This motor is two hydraulic motors combined, one motor is operated for low torque, a second for medium, and both can be combined for high torque.

To cover a range of operations sockets need to be changed, current solutions utilise spring loaded nested sockets, these are a reasonable solution, but when docking onto a tree it is not clear which socket is being used this could result in a high torque being applied to a value only intended for low torques. To address this Forum Engineers developed an innovative mechanism that changes socket by simply rotating the nose of the tool. There are clear markings on the outside of the tool that can be seen by the operator to identify the selected socket. To change the range subsea, the torque tool is returned to its deployment storage housing and a function is activated from the topside control software. Improvements to the software include the simplification of the user’s interaction with the software, and closed loop feedback of the tool to improve control and accuracy. Forum is currently putting the prototype tool through a gruelling qualification programme and is aiming to have units for sale Q2 2014.

www.f-e-t.com/subsea

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SUBSEA FOCUS

NAUTRONIX Accoustic subsea positioning system to provide DGPS quality positioning NASNet® is the ultimate deep water subsea acoustic positioning system, it is based upon a combination of GPS and Long Baseline (LBL) concepts. Like both of these systems it relies upon multiple range measurements from known locations (NASNet® Stations) to mobile units. By overcoming the challenges of timing synchronisation NASNet® differs fundamentally from conventional LBL systems and provides continuous positioning availability for unlimited users, with consistent and predictable battery life making the infrequent maintenance (4 year battery life) easy to schedule to suit the wider project. NASNet® is the only acoustic subsea positioning system to provide DGPS quality positioning throughout the water column, also allowing its use as a vessel positioning reference for DP operations. This is invaluable in providing a robust positioning system in times of DGNSS degradation, such as during periodic episodes of high solar activity.

constraints, NASNet® allowed both the schedule and installation operations to be optimised, providing significant time and cost savings while increasing the quality of field as-built information. Since then the system has demonstrated the advantages it brings on a number of projects, notably including Brazil’s Frade project and the ultra deep water Cascade and Chinook project in the Gulf of Mexico. Constant developments to the system have enhanced its capabilities as it transitions from its positioning roots into a Life of Field (LOF) control, monitoring and data sharing system. The positioning qualities and integrity of signalling provide the foundations for risk-free positioning in support of ongoing Inspection, Maintenance and Repair (IMR).

The first major NASNet® project took place in 2007 on Chevron’s Agbami field, offshore Nigeria, when Subsea 7 selected the system for their high accuracy field-wide positioning needs during the course of the field installation work. Removing the usual positioning

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Delivering Subsea

Solutions

The right people, assets and technology to bring project concepts to reality

We are executing some of the most complex Subsea projects in the world. We are growing our business and developing our assets to meet current and future challenges of the Subsea industry.

Find out more at

www.mcdermott.com

Careers

Tel: +44 (0) 1372 846431 Email: subsea@mcdermott.com

Subsea Š 2014 McDermott International, Inc. All rights reserved


SUBSEA FOCUS

NYLACAST

Examples of this technology can be seen when looking at Nylacast PIPS and ATEX approved materials. Hundreds of thousands of Nylacast PIPS or Pipe in Pipe Spacers have been deployed worldwide actively adding value to thousands of kilometers of pipelines across the globe.

Engineering Polymers more than just plastic

N

ylacast is renowned worldwide for providing leading engineering plastic solutions. The word “Plastic” can sometimes be a vague term, with many perceiving it as an inferior, low grade material generally used for large volume production of simple everyday items from toys to carrier bags. However, when taking into consideration the extreme and arduous environments which make up the nature of the Oil & Gas industry, it is clear to see how Nylacast’s engineering plastic or polymer solutions are widely used across the industry worldwide, from the subsea sector through to pipeline technologies, offshore and onshore exploration.

Nylacast PIPS are created from a unique grade of polymer, which provides high strength, but more importantly it is self lubricating with a very low co-efficient of friction. This allows the outer pipe to easily slide over whilst eliminating any damage to the pipelines, PIPS or Centralizers themselves. The underside of Nylacast PIPS are coated with a unique patented technology material, which provides the same component with a very high coefficient of friction on the underside. This allows the component to tightly grip the inner pipe with high strength, ensuring it will not slide or move during transport and installation, ultimately keeping the pipeline centralized and protected for the duration of its service life. Nylacast Polymers allow for a number of significant advantages in sheaves. These include increased wire rope life, reduced component weight, protection against corrosion and reduced maintenance costs whilst offering improved lifting. Safety in the industry is highly critical, the light weight of sheaves coupled with their eliminated need for maintenance results in a much safer component to install and operate. Furthermore, the introduction of Nylacast Atex approved materials, converts itself into Anti conductive or Anti Static sheaves as an application.

Nylacast polymers and custom components have exceptional resistance to wear and abrasion, a high impact strength, corrosion and chemical resistance and are lightweight - typically 1/7t the weight of steel. Furthermore, Nylacast polymers are also self lubricating, which eliminates the need for routine and costly maintenance and machine downtime. This technology, is further supported by the vast experience of Nylacasts industry engineers and chemists in its unique in-house R&D and testing facility, allowing Nylacast to custom formulate materials for more demanding applications. Through working closely with clients across all tiers of the Oil & Gas industry, Nylacast specialise in custom components created as solutions utilised and deployed across many areas and regions of the world.

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www.nylacast.com

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SUBSEA FOCUS

VALEPORT

Underwater measuring equipment

SVX2

Sound Velocity data from an SVP, but still needing the Salinity and Density data from a CTD, the MIDAS SVX2 combines both technologies to give the best of both worlds.

Radar Sensor Rapid SV

A Sound Velocity sensor with data acquisition rates of up to 32Hz housed in a low drag housing result in the highest quality profiles at drop rates over 5 m/s

Remote sensing of water level or tide is fast becoming a preferred method of measurement.

Altimeter

Valeport are the only manufacturer offering a combined altimeter with pressure sensor in such a small package.

Bathypack

A great combination of high accuracy measurement to give you precise depth in water.

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NEW!

EXTENSIVE RANGE OF CABLE CLEATS

* CYCLONE II PATENT PENDING

PROTECTION WHATEVER THE ENVIRONMENT The market leaders in cable glands, CMP Products, are proud to announce the launch of their new range of cable cleats

Multiple designs for every situation and environment.

• •

Third party certification to IEC 61914.

Superior short circuit ratings & cable acceptance ranges.

UK design and manufacture.

Stainless Steel, Aluminium, LSF V-0 Nylon and LUL approved polymers available.

www.cmp-products.com

CMP PRODUCTS


TECHNOLOGY

CMP PRODUCTS

proudly presents its extensive new line of cable cleats

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s part of its continual research and development and innovative design, CMP Products, the global market leader and specialists in cable glands and cable accessories across the globe, is proud to present its new, extensive range of cable cleats.

Third party certification to IEC 61914:2009 Stainless steel, aluminium, LSF V-0 Nylon and LUL approved polymers available Superior short circuit ratings to withstand any environment

Already specialists in cable glands and cable accessories, CMP Products has harnessed its extensive knowledge and experience in industrial and hazardous environments, to design and manufacture this wide range of cleats. CMP’s cable cleats have been designed to withstand all the industrial and hazardous environments CMP’s products specialise in.

CMP Products, providing exceptional customer service, whatever your needs

CMP Products, providing protection, whatever the environment

All cable installations vary in design from one installation to the next, which is why CMP Products design and manufacture cable cleats for all applications, including single, trefoil, quad and matrix applications. They offer a range that is both comprehensive and diverse, designed for use within industrial areas and hazardous locations, as well as specialist applications such as railway and underground, oil and gas, and petrochemical.

CMP Products also has the capabilities within its technical department, to not only assist with technical queries, but also design bespoke applications to suit the needs of its clients. Exceptional customer service and constant research and development are at the heart of what they do and CMP Products is relentlessly working to retain its number one supplier status by continually improving its processes and functions to maintain the standard that its clients around the globe expect.

The CMP cleat range is available to suit a variety of support structures, including cable ladder, cable tray, basket, channel, masonry or concrete. They are also tested in accordance with IEC 61914:2009 to ensure that, regardless of the cable formation used on the installation, there is a suitable cleat.

CMP Products, providing high quality, whatever the material

CMP Products’ cable cleats are manufactured from various high quality materials, with excellent flame retardant properties, to suit the environmental conditions they may be subjected to. Many of its cleats have been approved to London Underground (LUL) standard 1-085. CMP Products’ cable cleats are designed, constructed and third party certified in accordance with IEC 61914:2009, to ensure both the safety of personnel and the protection of the cable management system. At CMP Products, safety is our priority.

Designs to fit every situation and environment Parallel, trefoil and multicore formations available to suit any installation

www.cmp-products.com

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TECHNOLOGY

SMITH FLOW CONTROL LTD

Smith Flow Control introduces TorkDrive to prevent plant shut-down and protect plant assets

S

mith Flow Control launches TorkDrive, a device that can be mounted to either the valve input handwheel or directly to the valve input shaft to safeguard the valve from excessive torque. TorkDrive has two distinct benefits. It prevents valve damage, thus reducing the need for expensive plant shutdown and valve replacement (through overtorque) and provides vital information regarding site maintenance requirements. TorkDrive can increase valve life as it prevents the operator from applying excessive force when closing the valve, protecting the valve seat. TorkDrive controls the torque applied when operating a valve, ensuring that the same force is used regardless of the strength of the operator. TorkDrive can be incorporated seamlessly into plant maintenance systems and schedules. TorkDrive is set to a predetermined maximum torque and, if during the operation cycle of the valve, the operating torque increases above the maximum limit, the TorkDrive will slip, indicating an irregular valve condition. This will alert the operator to report the valve status to Site Maintenance, rather than continue to apply force to the valve.

TorkDrive boasts a compact design, weighing less than 4kg, despite an all-mechanical construction. It is a completely maintenance free device, made from 316 Stainless Steel and is suitable for oil refineries, power plants, paper mills, water plants and chemical processing facilities. TorkDrive withstands temperatures from -56°C to +100°C, with a torque setting range from 80Nm – 500Nm. TorkDrive can be installed directly to manually operated valves, requiring torque monitoring over 80Nm (Ball, Gear, Gate & Globe etc). TorkDrive also benefits from IP65 protection, safeguarding the device in the most aggressive of environments. TorkDrive features unique clutch plates that are controlled by a series of calibrated compression springs. Two spring set configurations are available, a low range TorkDrive unit offering a maximum torque output range between 80Nm – 280Nm and a high range unit offering 250Nm-500Nm. Each unit is factory set before installation and the unit can be adjusted to suit the host equipment’s torque requirements using a calibrated setting scale within the body of the device. Each spring set has a unique colour code, thus ensuring that the correct torque range is always used. TorkDrive comes complete with a tool for making fine adjustments. The TorkDrive is supplied with bespoke adaptation to the host valve and its own operating handwheel/lever.

www.smithflowcontrol.com +44 (0)1376 517901 sales@smithflowcontrol.com

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TECHNOLOGY

CUMMINS POWER GENERATION

launches new lean-burn gas generator set product line Second-phase development of Cummins Power Generation QSV91 series targets remote locations by delivering robust performance with optimal load acceptance capability in island mode. Nm3 are available where required. The range retains its proven ability to run on biogases from landfill, digester and sewage sites.

Enhancements in Performance

In another step-up in performance, the new product line is designed to meet the ISO 8528 G1 standard. The compliance means that the new models deliver improved transient performance with quicker recovery to rated voltage and frequency during start-up and as loads fluctuate. The advance is facilitated by a complete redesign of the generator sets’ turbo layout utilising technology only available from Cummins Turbo Technologies.

G

lobal power leader Cummins Power Generation has launched a new lean-burn gas generator set product line.

The new 50 Hz products, which extend the capabilities of the existing QSV91G generator range, offer exceptional transient performance and improved fuel capability, allowing them to run on low methane number fuels and produce lower emissions. The new line marks the debut of a 2 MWe variant, alongside the improved 1,540 kWe and 1,750 kWe models.

Ideal for challenging applications

Primary applications for the new models include prime, peaking and combined heat and power (CHP), as well as continuous operation in island mode and standby power. Their robust load handling attributes and capability of running on pipeline and low methane number fuels down to 43MN make them ideal for remote locations where grid power is unavailable, such as mining, oil or gas fields, or in regions of the world where grid power is either unreliable or inaccessible. In keeping with Cummins’ commitment to a reduced carbon footprint to help meet worldwide emissions standards, NOx emissions ratings as low as 250 mg/

An additional major feature of the new line-up is black start capability – the ability to bring the generator set quickly into operation without relying on an external electricity source such as the grid. Black start capability frees the generator set from grid dependency and allows its deployment anywhere there is a need. The new product line is also capable of running in high altitude and high ambient temperature environments with minimal derate. Full details of the Cummins Power Generation range of lean-burn gas generator sets are available in the latest brochure available for download in PDF format at power. cummins.com

About Cummins Power Generation

Cummins Power Generation, a subsidiary of Cummins Inc. is a global leader dedicated to increasing the availability and reliability of electric power around the world. With more than 90 years of experience, its global network of distributors in more than 190 countries delivers innovative solutions for any power need – commercial, industrial, recreational, emergency and residential. Products include alternators, generator-drive engines and pre-integrated power systems, combining generator sets with power control and transfer technologies. Services range from system design, project management, operations and maintenance contracts to development of turnkey power plants.

www.power.cummins.com

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REGIONAL NEWS: ASIA

ASIA NEWS PROJECT UPDATES

Petronas awards 3 local players offshore Installation contract worth US$3 billion

Petroliam Nasional Berhad (Petronas) has awarded the Pan Malaysia Integrated Offshore Installation Contract covering domestic upstream oil & gas offshore Transportation and Installation (T&I) activities for a period of three years commencing 2014. The contract, involves the transportation and installation for offshore facilities and includes all the necessary services required for the execution of the scopes such as marine spread services, required tools, specialised equipment and manpower services. The total work value under this contract is estimated to be almost US$3 billion, spread over four packages, and was awarded to three capable local offshore installation contractors (OICs) namely TL Offshore Sdn Bhd, PBJV Sdn Bhd and GOM Resources Sdn Bhd. The contract is part of continuing efforts by Petronas to further optimise its project deliveries and offshore activities in terms of safety, costs and schedule while ensuring security and availability of the necessary offshore transportation and installation barges to execute work planned by production sharing contractors (PSCs) collectively. These OICs will be providing T&I services to 11 PSCs namely Petronas Carigali Sdn Bhd, Sarawak Shell Berhad & Sabah Shell Petroleum Co. Ltd., ExxonMobil Exploration and Production Malaysia Inc., Murphy Sarawak Oil Co. Ltd., Hess Oil and Gas Sdn Bhd, Talisman (Malaysia) Ltd., PCPP Operating Company Sdn. Bhd., Kebabangan Petroleum Operating Company Sdn. Bhd., Lundin Malaysia B.V, Petrofac Limited Malaysia and JX Nippon Oil & Gas Exploration (Malaysia) Ltd.

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NEWS IN BRIEF PTSC M&C clinches EPCIC contract for Su Tu Nau Project

PetroVietnam Technical Services Corporation’s unit Petroleum Mechanical & Construction Services (PTSC M&C) clinched an engineering, procurement, construction, installation and commissioning (EPCIC) contract from the Cuu Long Joint Operating Company for the Su Tu Nau field development to the north of Block 15-1 off Vietnam.

Rolls-Royce wins US$28 contract from PetroChina

million

Rolls-Royce has been awarded a US$28 million contract to supply PetroChina with equipment and services to expand the flow of natural gas through the Lunnan - Tulufan branch of the second West to East Pipeline Project (WEPP II). Rolls-Royce will supply PetroChina with an additional two RB211 gas turbine driven pipeline compressor units, bringing the total number of RB211 units sold for installation on China and Central Asia’s vast natural gas pipeline network to 70.

Barakah wins US$7.7 million subsea contract off Sabah

Barakah Offshore Petroleum has been awarded a contract worth up to US$7.7 million for subsea services related to the Kebabangan deepwater gas project off Sabah. Barakah subsidiary company PBJV Group would provide the dewatering, drying and dry preservation of 14 inch and 24 inch linepipes for the Kebabangan Nothern Hub development. The work is expected to be completed by the end of March 2014.

Boustead’s Unit lands US$33.5 million EPCC deal for SK309/311 project

Boustead Penang Shipyard (BPS) received a letter from Murphy Sarawak Oil Co. Ltd. regarding the award of a contract for the SK309/311 Phase 2 Sarawak Gas Development Project. Under the contract, BPS will provide engineering, procurement, construction and commissioning (EPCC) of Belum topsides for Murphy’s SK309/311 Phase 2 Sarawak Gas Development Project at a contract value of US$33.52 million.

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REGIONAL NEWS: ASIA

PROJECT UPDATES

Greka signs US$65 million drilling deal with Essar Oil Greka Drilling Limited has signed a US$65 million contract to provide turnkey and allied services to Essar Oil. Greka will drill 100 wells, with work due to be completed by the end of 2014.

GOL Offshore wins US$115 million ONGC platform reconstruction contract

GOL Offshore has won a contract worth US$114.8 million to reconstruct a pair of gas processing platforms for state-owned Oil & Natural Gas Corporation (ONGC) off the west coast of India. The work involves the reconstruction of the BPA and BPB platforms, located in the Bassein and Satellite gas fields. Under the agreement, GOL will carry out engineering survey work, detailed design and engineering, procurement, fabrication, the onshore-to-offshore transportation of materials, installation and hookup, as well as commissioning.

NEWS IN BRIEF Bharat lets contract for FCC units

Bharat Petroleum Corp. Ltd., Mumbai, has let a contract to Shriram EPC Ltd., Chennai, for services related to an integrated refinery expansion project at its Kochi refinery at Ambalmugal in the Indian state of Kerala. Shriram will undertake civil, structural, and underground piping work for fluid catalytic cracking units.

Leighton Engineering contracts in Malaysia

Technip wins FEED contract on Yadana Expansion

Total and its partners selected Technip to perform the front-end engineering and design (FEED) work for the Yadana expansion project. Technip is due to complete its FEED work in the first quarter of 2014.

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GLOBAL PROJECTS

GLOBAL PROJECTS

Updates from around the world SNORRE A & B FIELDS FMC Technologies has scooped a US$114 million contract from Statoil to provide a workover system.

WHITE ROSE OIL AND GAS FIELD EXPANSION Wood Group Mustang has been awarded a detailed engineering contract on Husky Energy’s White Rose extension project off Newfoundland, Canada.

BLOCK BM-S-9 SUB-SALT SAPINHOÁ FIELD Petrobras has awarded two ultradeepwater contracts to supply two fields located in the Santos Basin pre-salt area, offshore Brazil. Technip will supply the Sapinhoá Norte field and Lula field (former Tupi field), both located at a water depths of up to 8,200 feet, with some 62 miles of flexible pipes for oil production, gas lift and gas injection, as well as related equipment for the pre-salt area that is to be installed on floating production, storage and offloading units.

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MOHO MARINE NORTH Total has awarded the CameronSchlumberger joint venture; OneSubsea, a contract for a booster pump system for the deepwater Moho-Bilondo field off Congo


GLOBAL PROJECTS YAMAL LNG INTEGRATED PROJECT Air Products has signed an agreement with a consortium including Technip and JGC Corporation to implement the Yamal LNG Project. The LNG plant under construction on the Yamal Peninsula will mark the first time Air Products deploys its proprietary LNG technology and equipment in Russia.

SHAH DENIZ GAS FIELD (PHASE II) KBR has been awarded a contract by BP Exploration to carry out engineering and procurement services for the Shah Deniz stage two project in the Caspian Sea worth US$365 million.

NASR & UMM LULU FIELD DEVELOPMENTS AMEC has been awarded a Project Management Consultancy services contract by Abu Dhabi Marine Operating Company (ADMA OPCO) for their Umm Lulu Phase-2 full field development projects offshore United Arab Emirates (UAE). The contract is worth US$124 million.

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GLOBAL PROJECTS

GLOBAL NEWS EUROPE

Bilfinger Industrier Norge awarded North Sea contract worth US$339 million

provide services including delivery of cargo and personnel, salvage, search and rescue functions, firefighting operations, towing and tanker mooring operations.

Fabricom lands Sleipner award

US$115

million

GDF Suez offshoot Fabricom has won a US$115 million contract for maintenance and modifications work on Statoil’s Sleipner field in the North Sea off Norway. The deal is for a two year period starting in August 2014 and is part of an original 2010 framework agreement for an initial four years with extension options for a further four years. The contractor will carry out engineering, procurement, construction and installation modification work and studies on the field’s two platforms, Sleipner A and Sleipner B.

MIDDLE EAST Technip wins a new contract in the Middle-East Photo credit: Øyvind Hagen - Statoil ASA Statoil has renewed the framework agreement with Bilfinger Industrier Norge for a number of North Sea production facilities and onshore plants on the Norwegian coast by a further two years under an option provided for in the contract signed in 2010. The renewal covers the period from August 2014 to July 2016 and is worth around US$338.75 million for both years. The contract covers platforms in the Snorre, Oseberg, Heimdal, Huldra and Veslefrikk oil and gas fields off the coast of Norway as well as onshore facilities north of Bergen near Sture and Kollsnes.

Bumi Armada nets significant Caspian Sea deals

Bumi Armada has landed three contracts to supply ice-class vessels to service offshore platforms at the Lukoil-operated Filanovsky field in Russia’s Caspian Sea. The contracts will run simultaneously for an initial period of 10 years and have an estimated total value of US$262 million. Each contract also has the possibility of extensions of up to a further 20 years. The extensions are estimated to be worth a total of US$483 million, if all options are fully exercised. The three vessels which include two newbuild ice-class support vessels and one newbuild ice-class multipurpose duty rescue vessel, will begin operations at the Filanovsky field in November 2015. The boats will

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Technip was awarded a substantial contract by Dubai Petroleum Establishment (DPE). This covers the engineering, procurement, construction and installation of the Jalilah B field development project, located nearly 90 kilometers offshore Dubai (United Arab Emirates, UAE), at water depth reaching 60 meters. Technip’s scope of work consists of the construction and installation of the Jalilah B platform, a 900-ton deck, a 500-ton jacket, as well as 13 new risers on existing platforms. It also includes the installation of 110 kilometers of pipelines ranging from 6 to 24 inches in diameter. This contract will use three of Technip’s specialized vessels, including the G1201, one of the Group’s flagship S-Lay installation vessel designed for work in both deep and shallow water. Technip’s operating center in Abu Dhabi will execute this fast-track project, scheduled for completion in the second half of 2014.

Kentz awarded US$190 million contract with Qatar Petroleum Qatar Petroleum (QP) has awarded Kentz Corporation for the engineering, procurement, installation and commissioning for wellhead industrial control systems, alongside corrosion protection, for approximately 775 wells across the Dukhan Oilfield, Qatar.

The contract, valued at US$190 million, builds on Kentz’s previous working relationship with QP and

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GLOBAL PROJECTS will be executed by the Engineering, Procurement and Construction (EPC) Business Unit, running for the duration of three years through to 2016. The peak workforce will consist of 800 staff and field personnel.

one additional tank and completion of the second berth. The trains are expected to begin operations on a staggered basis. A final investment decision on the project is expected in 2014.

Kentz will provide a dedicated Supervisory Control and Data Acquisition (SCADA) network infrastructure to monitor wellheads from designated stations; providing centralised real time and historical wellhead data directly into QP’s IT network. Kentz’s scope of work also includes the prevention of external corrosion damage to the well casings in the Dukhan field by installing an impressed current cathodic protection system.

CB&I joint venture lands US$5 billion contract with Freeport LNG

Petrofac and Daelim awarded US$2.1 billion refinery improvement project in Oman

Petrofac in a 50/50 joint venture with Daelim Industrial Co Ltd has been awarded a 36 month Engineering, Procurement and Construction contract by Oman Oil Refineries and Petroleum Industries Company (ORPIC). The contract value is US$2.1 billion. Located in the Sohar Industrial Area, 230 kilometres northwest of Muscat, the scope of work encompasses engineering, procurement, construction, start-up and commissioning services at the refinery. The contract includes improvements at the existing facility as well as the addition of new refining units.

NORTH AMERICA Bechtel bags US$9.5 billion EPC contract from Cheniere

Cheniere Energy has signed up Bechtel to carry out engineering, procurement and construction (EPC) work at the proposed gas-liquefaction project in Corpus Christ, Texas, in deals worth a combined US$9.5 billion. Under the two lump sum turnkey deals, Bechtel will begin work in 2014 on the three-train facility that is expected to begin operations in 2018. The Corpus Christi plant includes up to three liquefied natural gas (LNG) trains, each with a design production capacity of around 4.5 million tonnes per annum of LNG. The work scope under the contracts also includes three LNG storage tanks with capacity of about 10.1 billion cubic feet equivalent and two berths that can accommodate vessels with capacity of up to 267,000 cubic metres. The Stage 1 EPC contract, worth US$7.1 billion, includes two LNG trains, two tanks, one complete berth and a second partial berth. The Stage 2 EPC contract, worth around US$2.4 billion, includes one LNG train,

CB&I and its joint venture with Zachry Industrial, Inc. has been awarded two contracts, each valued at approximately US$2.5 billion for a two-train liquefaction project in Freeport, Texas. The project scope includes engineering, procurement and construction for the conversion of an existing liquefied natural gas (LNG) regasification terminal to an LNG liquefaction terminal. The two train LNG liquefaction facility will have a total capacity in excess of 8.8 million tonnes per year of LNG. The dramatic increase in US natural gas resources mainly from shale have brought forth the need for LNG export and import facilities such as the Freeport Liquefaction Project along the US Gulf coast. The facility is part of Freeport LNG’s terminal expansion to enable liquefaction and export of approximately 1.9 billion cubic feet per day of gas from the US as LNG.

SOUTH AMERICA

Technip wins two contracts for ultradeep water fields and helps Petrobras push back subsea frontiers

Technip has been awarded by Petrobras two ultradeep water contracts for the supply of flexible pipes for the Sapinhoá Norte field and at Lula field (former Tupi field), located in the Santos Basin pre-salt area (Brazil), at a water depth of up to 2,500 metres. The combination of both contracts covers the supply of approximately 100 kilometres of flexible pipes for oil production, gas lift, and gas injection. It also includes related equipment for the pre-salt area, to be installed on the floating production storage and offloading (FPSO) units, Cidade de Angra dos Reis and Cidade de Ilhabela. The gas injection top riser, together with the majority of the scope above, will be manufactured in Flexibras Açu, starting production in the first quarter of 2014 in line with previous plans. The remaining scope will be manufactured in Flexibras Vitória. Technip’s operating centre in Rio de Janeiro will perform the engineering and project management.

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CLIENT FEATURE

NOF ENERGY

NOF Energy turns the spotlight on Australian business opportunities

their supply chains as well as allowing its members to make use of its extensive knowledge base. In today’s fast moving commercial world it is vital that companies are able to capitalise on emerging business opportunities as fast and efficiently as possible so they can maximise their commercial potential. Working in isolation, companies operating in the oil and gas sectors run the risk of wasting time, effort and money as they strive tap into new markets. However, working with NOF Energy can make a real difference because of its wide local, national and international experience and its extensive contacts network. NOF Energy has the knowledge and ability to point companies in the right direction whether helping arrange meetings with key decision-makers at potential clients, providing intelligence on the opportunities and business etiquette in particular geographical locations and holding networking events. Today its membership totals more than 450, comprising companies across the UK with clusters of members in the North East England and North East Scotland. NOF Energy aids business development by alerting its members to emerging opportunities, new industry innovations and providing insightful business intelligence on how the oil, gas, nuclear and offshore renewable sectors will evolve and change in the future. Another key feature of its business support is arranging trade delegations to countries which have the potential for its members to secure contracts and orders. In addition to pinpointing new opportunities and enabling collaboration between businesses, NOF Energy also acts as a gateway to the UK supply chain for international companies, which can benefit from the high quality products and services available from the UK.

Joanne Leng MBE, Deputy Chief Executive

N

OF Energy, the business development organisation for oil, gas, nuclear and offshore renewables sectors, has forged a solid track record of opening doors for companies working in these markets.

NOF Energy has helped its members secure millions of pounds worth of new business during the last few years alone.

NOF Energy’s focus is promoting UK suppliers to global energy markets through its range of comprehensive business support services.

This has been achieved by arranging member-to-member and member-to-client introductions and making sure business opportunities are fed through to the supply chain on a daily basis.

Since NOF Energy, which is based in the North East of England, was established 25 years ago it has helped companies share best practice to win work and improve

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It keeps its members up to date with the latest information about new innovations and developments that are materialising.

It also organised more than 50 networking events for members in 2013 introduced some 50 member companies to overseas markets.

www.projectsogp.com - AOG Edition 2014


CLIENT FEATURE A large part of its success is down to having Strategic Partners made up of Tier 1 and Tier 2 operators and contractors and Global Partners. By keeping a close watching brief on the national and worldwide energy market, NOF Energy is perfectly positioned to spot potential commercial openings both in established and emerging markets and countries. NOF Energy already has spearheaded a successful overseas trade visit, involving 11 companies, to Australia in 2012 which had the aim of introducing companies, which were undertaking research for the first time, to the market, and assisting those already established in Perth with international business development.

measurement solutions. It has had an operation in Perth for five years and during that time has secured work on Gorgon and the Wheatstone and Pluto LNG Projects. Joanne added: “NOF Energy has forged a reputation on its ability to open doors and alert our members to opportunities appropriate to their businesses. “By facilitating a supportive and collaborative environment we are able to help companies in oil, gas, nuclear and offshore renewables sectors, secure work abroad as well as closer to home.”

We help create face-to-face business relationships and are committed to spearheading networking opportunities

NOF Energy Deputy Chief Executive Joanne Leng MBE said: “Western Australia is an important location for oil and gas companies as it has the potential to be a strategic location for companies wanting to access some of the largest markets in the world. “In particular Perth is a hub for the sector as it is home to 30 oil and gas companies and 40 service companies including industrial powerhouses such as Chevron, Shell, GDF Suez, ConocoPhillips, and BP.” Following on from 2012, NOF Energy is currently organising a market visit to Australia in early 2015. Several of NOF Energy’s members have already set up bases in Australia to capitalise on business prospects in that part of the world. These include: Global Energy, a leading energy industry service company, working worldwide, specialising in construction and maintenance of assets in a broad range of sectors. Its Perth office offers inspection and expediting support to clients in the Australia and Asia Pacific regions.

“Our proactive and robust approach to business generation includes keeping our members informed about what is going on in the sector with regular industry opportunity alerts.”

“We also highlight the work of individual member companies and signpost specialists so they can be most easily accessed.” “We help create face-to-face business relationships and are committed to spearheading networking opportunities, such as our latest trade delegation to Australia, on an on-going basis.” “We have an unrivalled resource of professional expertise at our fingertips. This focuses on world class talent and innovation which during the last quarter century has been developed and extended.” “Our business support will continue to evolve to meet the changing needs and challenges being experienced by our members and to keep abreast of the advancement and progression of the industry.” To talk to NOF Energy about the support available and the benefits of being part of such a powerful network, contact + 44 (0) 191 3846464.

Phusion is a fast-growing provider of engineering information management services and solutions. Specialising in global projects its innovative solutions are used by blue chip companies from Chevron to BP. The company, which boasts expert teams of engineering and IT professionals, set up an office in Perth in 2010 following a breakthrough contract on the Gorgon Project, one of the world’s largest natural gas projects and the largest single resource development in Australia’s history. Tracerco is an industrial technology company focusing on specialised, diagnostic and

www.nofenergy.co.uk

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ON THE MOVE

ON THE MOVE

highlighting new hires, appointments and movement in the industry Pulse opens new Bergen office and appoints Eivind Vethe as business development manager Pulse Structural Monitoring, an Acteon company, has appointed Eivind Vethe as business development manager in Norway. His appointment coincides with the opening of a new Bergen office to extend Pulse’s presence in the Norwegian market and enable the company to offer enhanced local support. Based in Bergen, Vethe will be responsible for building new business and managing existing sales accounts for Pulse’s products and services in Norway, with a particular focus on the drilling, completions and workover market. He will also work Eivind Vethe with the marketing and technical teams to develop a new product strategy and align product development with market and customer requirements. Vethe has a BSc in automation from Bergen University College and has more than 12 years of experience in the subsea arena at Framo Engineering in various positions and projects. He joins Pulse from One Subsea, where he was area sales manager with responsibility for sales and marketing of multiphase measurement systems in Norway and Denmark. He also has experience in the Brazilian market. Vethe will be able to call on support from the Acteon group companies based in Stavanger.

Mott MacDonald appoints Albert Allan as managing director of its OGP business Mott MacDonald has appointed Albert Allan as managing director of its oil, gas and petrochemicals

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(OGP) business. He will oversee the global teams, which are currently engaged in developing, designing and providing project management services for onshore and offshore exploration, production, storage, processing and transmission facilities. A l b e r t brings with him 25 years’ experience in Albert Allan project, operations and construction management roles. He joins Mott MacDonald from Global Energy Group (GEG) where he was chief operating officer responsible for the restructure and rebrand of the company which comprised nearly 30 separate businesses. He introduced a new corporate organisation by creating five business units with new policies and procedures, business development and project oversight systems. Prior to GEG, Albert held various roles at KBR where he worked for over 24 years on a wide range of oil and gas projects in the UK, Europe, Africa, the Middle East and the former Soviet Union. As vice president of operations Albert had responsibility for KBR Operations in Baku, Moscow, Lagos, Cairo, Leatherhead, Greenford, Johannesburg, and established operations in Luanda, Atyrau, El Khober and Basra. Previous to this Albert held positions as regional director of project controls, construction and project management.

MAERSK Training beefs up senior management team Maersk Training has appointed David Bowyer as new Head of Training and Education. David joins the senior management team to oversee all aspects of training, following recent growth in the number of delegates attending their courses. David has a wealth of experience in the education industry and was previously the Assistant Director of Curriculum at Derwentside College. M a e r s k Training, which offers state-of-theart training facilities specialises in training for the Oil & Gas, Maritime and Offshore David Bowyer Wind Sectors. An

www.projectsogp.com - AOG Edition 2014


ON THE MOVE independent A. P. Moller–Maersk company, Maersk Training has UK training centres in Aberdeen and Newcastle, alongside global training centres in Denmark, Norway, India, Dubai, Singapore and Brazil. Originally established to train people within the A.P.Moller Maersk Group, Maersk Training is an independent training business now open to all companies and individuals.

Two new appointments for Completion Technology specialists

We are anticipating that 2014 is going to be an extremely busy year for the company as we look to strengthen our team of engineers, designers and support staff.

Managing Director Omega Completion Technology, John Donachie

Aker Solutions Names David Currie as UK Regional President

Callum Morrison & John McCoubrey Callum Morrison has joined Omega Completion Technology as a senior project engineer and will be responsible for the development and design of new completion concepts. Callum has more than 20 years experience, having previously worked with Weatherford as a designer and has spent more than three years working offshore. John McCoubrey has taken up the post of business development manager, joining from Varel International, where he was the sales manager in Luanda, Angola. John’s new role will be helping to drive further growth in the Middle East and Europe and strengthening product lines with a particular focus on the High Deviation Tool String. He has worked across a number of onshore and offshore rig site operations and has been involved in performance optimisation, developing engineering solutions, and geological analysis. He is a graduate in Industrial Geology from Camborne School of Mines. Launched in 1998, Omega is an independent well completion and intervention equipment developer and manufacturer. The firm currently employs 60 people at its 21,000 sq ft office and workshop in Kirkhill Industrial Estate and plans to recruit a further 20 people in 2014 to support its growth. The company is experiencing a surge in demand from major operators in the Middle East where it has secured more than £1 million of new business in the last six months.

Aker Solutions hires David Currie as head of its UK business to help lead the company’s expansion in a key market. His experience in the subsea and energy sectors will be a huge asset in developing Aker Solutions in the UK and beyond. Currie comes from FMC Technologies, where he has since 1985 held various positions, most recently as director of global subsea operations. A native of Scotland, he will be based in Aberdeen, where Aker Solutions has 2,600 employees working in the maintenance, modifications and operations, drilling technologies and subsea business areas. He will also oversee operations in Stockton-on-Tees and the recently opened office in London, which over time will become a hub for global engineering and subsea services. Currie studied law in Aberdeen and also has a post-graduate Human Resources’ education. He will report to Eriksen as one of four regional presidents, early 2014. Aker Solutions has since 2011 established regional structures in Brazil, North America, Norway and now the UK to bolster its presence and build stronger relations with key customers. The company provides products and services for the offshore oilservices industry. It has about 28,000 employees in more than 30 countries. The deepwater and subsea segments are its main David Currie market segments.

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