Energy, Oil & Gas Issue 135 August 2016 by Finelight Media Group

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issue 135 AUGUST

rules New

As stated by the EC, 2016 is set to be a year of delivery â&#x20AC;&#x201C; with the arrival of the Energy Security Package

Safe and sound Oil and gas workers are exposed to countless hazards on a daily basis, with noise being a major issue

Here comes the sun New technologies are lowering the cost of solar energy, and the innovations continue to evolve

Also in this issue - Brexit, ONS exhibition preview, utilities technology

Editor Editors Chairman Andrew Schofield Editor Libbie Hammond libbie@schofieldpublishing.co.uk Staff Writers Jo Cooper Joshua Younespour Andrew Dann Editorial Administrator Emma Crane

There is more coverage of Brexit – but it’s still early days in that process and with opinions changing daily, the topic will surely be appearing regularly for the foreseeable future

Art Editor Gérard Roadley-Battin Production Manager Fleur Daniels Sales Director Joe Woolsgrove Operations Director Philip Monument Business Development Manager Mark Cawston Sales Tim Eakins Andy Ellis Darren Jolliffe Jonas Junca Dave King Theresa McDonald Research Managers Ben Richell Natalie Griffiths Kieran Shukri Editorial Researchers Jeff Johnson Wendy Russell Office Manager/Advertisement Administrator Tracy Chynoweth Digital Subscriptions Iain Kidd digital @schofieldpublishing.co.uk

So while we

were all looking at Brexit and getting ready for the repercussions, the Hinkley Point decision almost went under the radar. EDF decided to go ahead but the Government then announced it wanted until early autumn to review the scheme. This could not only damage Britain’s relationship with China but also do we need more uncertainty at this time? While nuclear is an emotive subject, delaying the decision doesn’t do much to alleviate the public’s concerns. Discussing the decision, Good Energy chief executive Juliet Davenport noted that the British public had a lot of support for renewables, which brings me nicely to the Solar feature on page 12. The technology is advancing rapidly but could it ever meet the energy targets of Hinkley? Finally there is more coverage of Brexit – but it’s still early days in that process and with opinions changing daily, the topic will surely be appearing regularly for the foreseeable future.

editor LIBBIE HAMMOND

@EOG_magazine please note: The opinions expressed by contributors and advertisers within this publication do not necessarily coincide with those of the editor and publisher. Every reasonable effort is made to ensure that the information published is accurate, and correct at time of writing, but no legal responsibility for loss occasioned by the use of such information can be accepted by the publisher. All rights reserved. The contents of the magazine are strictly copyright, the property of Schofield Publishing, and may not be copied, stored in a retrieval system, or reproduced without the prior written permission of the publisher.

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Regulars

Profiles

Safe and sound

Excessive noise is a major hazard for workers in the oil and gas sector

Get ready for change

Itâ&#x20AC;&#x2122;s too early to foresee the outcome of Brexit negotiations but UK businesses need to be prepared for a new outlook

Interesting times

Some more thoughts on Brexit â&#x20AC;&#x201C; one of the biggest questions facing negotiators is whether the UK will remain in the internal energy market

Here comes the sun

New frontiers are being explored in the solar sector, including technology such as drones and the Internet of Things

News

Some of the recent developments within the oil and gas industrys

Sophisticated solutions

Utility companies need to invest in technology to mitigate the risks they face

New rules

22 Apache North Sea

Massimo Merola reports on the European Commissionâ&#x20AC;&#x2122;s proposed Energy Security Package

26 VTT Vasiliko

Discover. Deliver. Develop

28 IOS InterMoor

ONS takes place from 29th August to 1st September and promises to be even bigger and better than ever

32 Marine Assets Corporation

32 2

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Contents

34 Booth Welsh

52 Large Diameter Drilling Ltd

36 Hiap Seng Engineering

55 Endress+Hauser

38 Global Marine Systems 41 PCK Raffinerie 44 euskalforging

58 SALP 61 Chart Ferox

46 IHC FHP 49 First Marine Solutions

49 ENERGY,oil&gas

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3 HEMPEL HEMPEL ENSURES PROTECTION AND AESTHETICS IN THE NORTH ADRIATIC SEA Hempel is a global supplier of protective coatings, and in the offshore sector Hempel is a recognised world leader. A magnificent example of how Hempel can comply with all protection and decorative coating requirements for all underwater structures is that Hempel has been selected among other competitors to supply approximately 40,000 litres of coatings for Oil & Gas giant ENIâ&#x20AC;&#x2122;s new Bonaccia NW and Clara NW offshore gas platforms. At present, the final touches are currently being made to the two platforms, which are due to be loaded for transport and installation in the Adriatic Sea, 45 kilometres off the Italian coast, in late summer 2015. Built in Italy by the Navalmare yard in Lerici, each rig has a gross weight of around 900 tonnes, and stands on four legs measuring up to 90 metres. ENI requested tenders for a paint system of its own specification (System N.004), which Hempel successfully fulfilled with a 3-layer scheme based on a primer of HEMPADUR PRO ZINC 17380, an intermediate layer of HEMPADUR MASTIC 45880, and a topcoat of HEMPATHANE HS 55610, applied by local firms Andaloro Srl and Nuova Oma Spa. HEMPADUR PRO ZINC 17380 is a grey, two-component epoxy zinc rich primer that is especially versatile as a high-solids, long-term primer on steel structures exposed to medium and severely corrosive environments, and conforms to NORSOK M-501, SSPC-Paint 20, type 2 and ISO 12944-5 standards. HEMPADUR MASTIC 45880 is also high-solids epoxy, although it is cured with polyamide adduct to form an extremely tough and resilient coating, which can thus be used in heavy-duty paint systems and immersed structures. Two-component HEMPATHANE HS 55610 polyurethane topcoat contains a high volume of solids and zinc phosphate, making it an ideal choice for structures in highly corrosive environments. Delivered white as standard, this paint can be perfectly tinted to any shade to provide a long-lasting colourful and glossy finish on all outdoor steel structures.

4 20

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H&S

sound Safe and

Workers within the oil and gas industry are exposed to countless hazards on a daily basis, none more so than excessive noise, as Lee Nicholson explains

he risks associated with working in the oil and gas industry are extensive; every day offshore workers are exposed to loud turbines, pumps, pipes, valves, helicopters and mechanical noise for prolonged periods of time. Strict rules governing the use of hearing protection are in place, however, noise induced hearing loss remains a significant problem for the industry, leading to a call for the continued development of effective noise control measures. Noise remains a prevalent issue in the offshore industry. In fact, research from the Health and Safety Executive (HSE) estimates that over 30 per cent of workers in the offshore sector are exposed to noise levels in excess of the upper action limit of 85 dB (A). While it is predicted that 120 million people worldwide have disabling hearing difficulties. At a time when the offshore oil and gas industry is seeking to access newer, complex fields, often in deeper waters this necessity for noise control solutions is becoming even more essential. Such explorations often require equipment operating at higher pressures and temperatures, thereby creating even more difficult and noisy conditions in which to operate. Add to this a projected growth in Floating, Production, Storage and Offloading (FPSO) facilities, and the challenges remain significant, while the opportunities for

improved occupational health of staff and overall business productivity become greater. The main challenges with such noise levels, which often exceed the exposure limit of 87dB (A) as outlined in The Control of Noise at Work Regulations 2015, is the negative health impacts it can have on the personnel working at oil and gas facilities. Prolonged exposure to excessive noise can often lead to irreversible hearing damage and tinnitus, as well as more serious conditions such as permanent hearing loss (NIHL), cardiovascular diseases, sleep disturbance, stress, brain impairment and mental issues. Faced with such challenges, an increased emphasis has been placed on addressing noise at source in the offshore sector, with innovative solutions coming to the fore to both reduce noise exposure levels and in turn the number of noise-related injuries throughout the oil and gas industry.

Silencing noise in the offshore sector The advantages of reducing excessive noise within the oil and gas industry are extensive, not only to safeguard the health and safety of employees, but also to increase productivity and comply with increasingly rigorous regulations in order to avoid financial penalties and reputational damage. Given the increasing demand for higher performance,

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and the fact that increased power output from offshore machinery leads to higher noise emissions, machinery manufacturers are looking at packaged acoustic enclosure options to mitigate the noise risk and save space. A number of solutions, ranging from on-skid mounted localised acoustics enclosures, on-skid localised acoustic screening, and both skid mounted and deck mounted fully encompassing acoustic enclosures, designed to be accessible by personnel for equipment maintenance purposes, are often installed to combat the detrimental affects of noise. The requirement for skid mounted acoustic enclosures is becoming more widespread, and as such operators require these enclosures to be designed with the highest level of safety in mind. Working within the space constraints, which are common to these types of installation, can be particularly challenging. Whilst not losing sight of stringent working environment specifications in relation to personnel, all the ancillary safety equipment and features must be tightly packaged within each enclosure. In certain applications it is necessary to consider accidental loads in conjunction with environmental loads. In relation to the design of acoustic enclosures, the most critical accidental loads to be considered in most offshore applications are blast loads. Through the process of design and utilisation of Finite Element Analysis (FEA) methods for both static and transient structural analysis, manufactured enclosures are designed to meet the specification requirements for the most onerous of blast load incidents. These designs must not only consider the inherent noise of the equipment and the desired maximum noise levels required in different areas of the structure, but also the logistical and spatial limitations in terms of access to, from and around the rig. Therefore, the correct design and selection of acoustic products in particular housings for plant items is essential. This must be achieved first time to avoid the serious implications of non-compliance of specifications and the excessively costly nature of retro fitting. There is no margin for error and with this in mind products performance must be tested to BS EN ISO 115461:2009, as required by BS EN ISO 15667 ‘Acoustics – guidelines for noise control by enclosures and cabins’.

Johan Sverdrup oil field A prime example of such noise control solutions in action is one of Wakefield Acoustics recent projects for the Johan Sverdrup oil field. The Johan Sverdrup oil field, located on the Norwegian continental shelf, is one of the largest oil discoveries ever made in the region and is expected to generate between 550-650 barrels per day at its peak over the course of the next 50 years. To significantly reduce noise levels on the offshore platform, and in turn protect the welfare of their workforce,

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the operator for the Johan Sverdrup development required 17 high specification acoustic enclosures for the high pressure pumping applications The challenges inherent with the supply of noise control solutions to such a highly productive offshore application are vast. Due to extensive health and safety demands, Wakefield Acoustics designed the enclosures to withstand the client specified blast loads in the event of an explosion. Operating in a challenging climatic North Sea environment, with extensive noisy equipment in a space-constrained environment, the acoustic enclosures on the project were designed in accordance with stringent NORSOK standards. The packaged enclosure options – fabricated from corrosion resistant materials – also incorporated safety features, which are typical for such hazardous area applications, with hazardous area compliant ventilation systems and filtration, internal lighting and emergency

H&S

Operating in a challenging climatic North Sea environment, with extensive noisy equipment in a space-constrained environment, the acoustic enclosures on the project were designed in accordance with stringent NORSOK standards back-up lighting, removable sections for regular and major maintenance requirements, as well as fire and gas detection and suppression systems. A number of leading companies in the oil and gas sector have opted to use Wakefield Acoustics due to their vast experience and knowledge in the industry. Based on their expertise and considerable application experience, the company has supplied a large number of noise control solutions including enclosures, inlet silencers, inlet filter silencers and blow off silencers for a wide range of offshore applications around the world. The offshore oil and gas sector will unquestionably see dramatic changes in the coming years, as companies hunt oil and gas that is harder to extract from hidden away and more challenging formations. Such shifts mean that working conditions will noticeably evolve, as higher performance equipment and machinery requiring increased power input

is needed, greatly increasing the noise generated on offshore applications. Noise therefore will become a critical factor for oil and gas companies to address increasingly through the design and development of offshore facilities.

wakefield acoustics Lee Nicholson is managing director of Wakefield Acoustics, a leader in noise control solutions for the offshore oil and gas industry. The company has extensive experience in providing innovative noise control engineering solutions spanning a wide variety of sectors including oil and gas, petro-chemical, power generation, water and waste, recycling, general industry and infrastructure. For further information please visit: wakefieldacoustics.co.uk

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change Get ready for

Implications of Brexit on the energy sector. By Massimo Merola

U and the UK energy markets will need a new legal framework to interact with each other following Brexit. EU law will remain Below Massimo Merola enforceable until then, undoubtedly, but is a partner in energy will be a complex chapter in the UK the BonelliErede negotiations to obtain access to the EU internal market, and Energy & Infrastructure Focus the outcome is highly uncertain. Team The challenges of Brexit facing the energy sector are not limited to the re-enactment under national law of EU regulations that have applied in the UK without the need of implementing measures under national law. Due to the interconnection of energy markets, it will be essential for the UK to reach an agreement with the EU and neighbouring member states. However, the impact will go

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beyond the cross-border physical trading of energy given that, post Brexit, there will not be any regulatory framework for: (i) the cross-border financial trading of energy products, (ii) REMIT and other market integrity mechanisms, (iii) EU funding for strategic infrastructure, (iv) emission trading mechanisms, (v) security of supply solidarity, etc. An additional issue of great complexity is the absence of a regulatory framework for state aid. Interestingly for future UK negotiations in the energy sector, the EU and the Swiss Confederation are currently negotiating an agreement concerning the energy sector. Investment will be the first to be affected by Brexit. The energy sector is highly regulated and uncertainty will have an impact on investment until the post-Brexit UK-EU

Brexit

relationship is defined. However, not all energy projects will be affected in the same manner: some might be put on hold (e.g., the EDF's wind energy project in Scotland) whereas others might gain momentum (e.g., the French-Irish interconnector). The possibility of obtaining incentives without any state aid control may be seen as a positive development for investments. Indeed, the current state aid rules will not apply in a post-Brexit UK. However, investors should be aware that access to the EU market is implausible without commitments from the UK to avoid distortions of competition. As existing WTO provisions are insufficient, the UK might be required to introduce some form of state aid control. This can be achieved by entering into either a multilateral agreement

- such as the one for the EEA that includes Iceland, Liechtenstein and Norway or a bilateral agreement. State aid control under the EEA model is substantially similar to the one under EU law and implies entrusting enforcement to an independent supranational authority. Conversely, the model under a bilateral agreement offers more flexibility in the design of a state aid control mechanism. For example, EU candidate countries implement state aid rules into national law, based on EU standards, and the national authority is responsible for their enforcement. Another example of state aid control under a bilateral model is the one implemented by Switzerland, in which state aid rules are limited to specific commitments in treaties with the EU. The air transport sector, for instance, is subject to state aid control, although its application to other sectors is controversial in Switzerland. Back in 2007, the European Commission unilaterally declared some special company tax regimes in Switzerland incompatible with the EU-Swiss Confederation agreement of 1972. A much awaited joint statement on business taxation in 2014 solved this controversy. This all shows that, even though is too early to foresee the outcome of the Brexit negotiations, UK businesses planning investments should not expect a relaxation of state aid control for the foreseeable future. As regards internal market rules, both EU-based energy businesses and UK businesses should anticipate changes in energy policies and instruments after Brexit (to give just one example, changes to national emissions targets that were set on the basis of the relative wealth of the member states - which have taken the UKâ&#x20AC;&#x2122;s wealth into account until now). These changes are expected to have a wide and deep impact on EU energy policies and, although environmental policies are the most obvious example due to the effort-sharing principle, Brexit will trigger a redefinition of EU policies on security of supply, strategic infrastructures, financial trading of energy products, to name just a few.

bonellierede Massimo Merola is a partner in the BonelliErede Energy & Infrastructure Focus Team. BonelliErede is the market leader for legal services in Italy, with a team of over 300 professionals based in Milan, Rome, Genoa, Brussels and London. The firm has a variety of sectors offering services in all areas of business and criminal law. For further information please visit: belex.com/en/

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Brexit

times Interesting

Love Energy Savings sums up some thoughts on Brexit and the energy sector

efore the votes were cast, many in the energy sector raised concerns that a Brexit would have a negative effect on the industry. Now we have chosen to leave, uncertainty about the long-term implications is understandably rife. The UK had previously been a rather loud voice in Brussels when it came to both the liberalisation of the energy market and climate change. Both of these need to be looked at separately. Firstly, the energy market. In the immediate aftermath of the Brexit, a decline in exchange rates caused gas prices to rise, causing many to immediately jump to the conclusion that leaving the EU was a ‘bad move’. However, as the dust settles, things have started to calm down. One of the biggest questions that will face Brexit negotiators is whether the UK will remain in the internal energy market and what an energy trading relationship will look like. If the UK wants to continue to have full access to the European single energy market, we will also have to comply with the rules and regulations other members adhere to as part of the access agreement, similar to Norway, however we will lack negotiating powers. If we chose to work outside this market, it would begin a hugely complex process and result in uncertainty harming investment in the long-term. Having said that, in terms of prices, ‘energy’ is not currently subject to a tariff and the World Trade Organisation (WTO) have a zero-cap on energy trade tariffs, suggesting that the EU would not be able to impose an explicit tax on energy exports - which would be good news. However, that is not to say that the EU would not impose ‘transmission’ charges, for example. Moving onto the effect a Brexit will have on our climate change commitments. The fact that we have a UK Climate Change Act and have just recently passed the fifth carbon

budget demonstrates that our motivation to de-carbonise is not one imposed by the EU, but one which the UK seeks to pursue regardless of whether we are an EU member or not. In the EU, we were a louder voice than many for pushing climate change policy. Without us, support for green legislation may suffer. A potential problem for the EU is that the UK currently contributes more than the member state average when it comes to the EU’s collective target. This means that when the UK leaves, other members will have to make more of an effort to reduce their emissions. One the other hand, the main issue the UK could potentially experience is a reduction in investment. Uncertainty always hinders confidence but, by leaving the EU, we will also have reduced access to the European Investment Bank. A lack of funding may delay, or even put an end to, any potential renewable energy plant plans or fracking opportunities which would then reduce our ability to generate green power domestically. Therefore, it seems that our best bet is to remain part of the single market, negotiating favourable supply terms while continuing to lobby for progressive climate change policies. However, with known climate-change sceptic, David Davis, leading UK Brexit negotiations, it will be interesting to see how the next five, ten and 20 years pan out.

Below Phil Foster, MD of Love Energy Savings

LOVE ENERGY SAVINGS Love Energy Savings is one of the UK’s leading home and business energy comparison websites, specialising in helping people find cheaper energy tariffs. It is their mission to help businesses cut back on their spending and save the environment at the same time. For further information please visit: loveenergysavings.com

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sun Here comes the

IoT, Data, Drones and Blockchain: the new Solar Energy frontiers. By Florent Andrillon and Sidney Delourme

olar energy has become an essential source of energy in the global utility landscape. With unlimited resource, the potential of solar is huge, however the competitive and decentralised nature of the sector means there remains a number of challenges companies face. But technological innovations are changing the entire industry. Here, we will look at how these innovations are impacting the way consumers buy and use energy, and what utilities Below need to do to stay ahead of the trend. Florent Andrillon The solar industry has gone through a number of changes is Director at in recent years as the energy source becomes more popular. Capgemini The prices of solar panels have dropped by 70 per cent Consulting due to the introduction of mass production, especially from China-based companies, to cope with the increasing demand from utilities, consumers and investors. This has been coupled with huge investment, where over $380 billion was invested into solar technology from a broad range of financial institutions, including World Bank, commercial banks, insurers, pension funds, many of whom were making their first investments in solar energy in 2015 alone. This has resulted in an explosion of installed capacities from 4GW in Below 2004 to 227 GW in 2015 (IRENA). Sidney Delourme is The combined impact of these factors demonstrates the a Senior Consultant potential growth that the solar industry has to offer, with at Capgemini Consulting some estimating an average annual growth of ten per cent to 2020 (Greentech Media), with installed capacity forecasts between 1500 to 3000 GW by 2030 (IEA). This development is likely to be accelerated further considering post-COP21 government commitments as well as the growing energy needs of emerging economies around the globe. At the intersection of various sectors (technology, energy,

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construction and financial engineering), the solar sector embodies the upheaval of the traditional business models more broadly. Indeed, nearly 40 per cent of investments are decentralised in nature, and are no longer carried by conventional utilities but by individuals and companies eager to reduce their bills and carbon footprint. This shift away from the traditional model is highlighted by the growth of the prosumer: the customer who not only consumes energy but also produces it too. This shift has started to gain momentum, particularly in Germany where nearly six million German consumers had become their own supplier of photovoltaic electricity (PV) in 2014. These changes are symptomatic of the huge shifts taking place, and will likely dictate changes in the business models of the major utility companies in the short term. In contrast with many other sectors within the energy industry, one of the distinctive characteristics of solar energy is the ever closer integration with consumers: residential and commercial rooftops, industrial sites, parking shade structures, isolated villages and remote islands have all seen the growth of solar power in recent years.

Renewables

For industry players, this proliferation of sites raises important issues throughout the value chain, which can leverage a new ecosystem of digital technologies. These innovations offer several benefits for utilities and customers alike: streamline the customer experience, optimise production operations and reduce maintenance costs, opening new opportunities for financing, payment and energy exchanges. Let’s take a look at some of these innovations.

Sensors, algorithms and drones to optimise the operation and maintenance costs. To optimise operations and reduce costs, some start-ups have developed solar-specific solutions. French company, SUNiBrain, offers an intelligent cooling and cleaning system harnessing the power of rainwater. Sensors measuring temperature, water levels, evaporation, micro-weather and electrical data are coupled with calculation algorithms, including wind, thermal inertia, water quality and panel models are providing a more accurate picture of the activity taking place. With this plethora of data, SUNiBrain was able to see performance gains of six to ten per cent. For large solar power plants, which can cover several dozen hectares and count millions of panels, inspection and maintenance costs significantly weigh on overall operating costs. To optimise maintenance, drones are a fast, effective and inexpensive option, allowing inspection and detection of anomalies five to ten times faster than a human can. Equipped with embedded thermal cameras, drones can ‘scan’ dozens of hectares of solar fields within hours and identify ‘cold’ zones, indicating a malfunction completely independently. The dedicated software platforms, then allows the user to collate, analyse and enhance images collected by a fleet of drones further enabling greater efficiency.

Digital platforms, Virtual Net Metering and Solar Communities put consumers at the heart of the new energy equation. To drive customer adoption of solar energy, a number of organisations including Google (with Sunroof) and French company InSunWeTrust, offer individuals a flash assessment of their eligibility to install solar panels. They also help calculate the cost of installation and the return on investment at hands. For those without land or rooftop available (typically urban apartment owners) many US States have established ‘Virtual Net Metering’ programs, allowing residents to co-invest in community solar power, co-own a remote solar powerplant and remotely use the energy it produces. This business model offers consumers ‘credits’ that are virtually allocated by the energy company and therefore lowering their bills. This ‘Sharing Economy’ approach, made popular by services such as Airbnb and Uber, have become more popular in recent years as consumers become more cost-conscious and look for new ways to reduce their energy expenditures, while

contributing to making a better, carbon-free future. This technological revolution could allow the creation of decentralised and independent energy marketplaces. So far, these ‘Peer-to-Peer’ models remain difficult to implement due of the absence of secured transactional management platforms. However, there are a number of companies facing the challenge of this collaborative model worldwide: OpenUtility (UK), Buzzn (Germany), Vandebron (Netherlands) or, LO3 Energy (USA). Currently, there are two different software technologies used to secure and encrypt transactions and the exchange of energy between individuals: centralised on traditional billing platform, the other decentralised - based on Blockchain, the iconic technology which enabled the creation of the iconic Bitcoin virtual currency. By promoting these innovations, the US startup Transactive Grid, has recently built an electrical micronetwork community in Brooklyn, where the roof electrons produced on one side of the street are sold to residents of the other. These electrons instantly enrolled in Blockchain through Ethereum software, are accounted for and billed according to preset preferences by the seller and included in contracts: setting the balance between self-consumption and resale of solar electrons and setting prices. For the solar industry more broadly, these technological innovations are helping to lower the cost of energy as well as helping to supply energy to regions that were previously grossly underserviced. However, they are just the tip of the iceberg. The industry will continue to evolve in response to new technological innovation. The rise of the prosumer and the subsequent introduction of new business and consumption models has already seen industry upheaval. Nimble start-ups are offering new services that cater to the evolving needs of the modern customer while global utility giants have had to reassess their business models as well as their offering. The question for established players now is how to best adapt to roll out these new technologies and models, in order to stay in touch with fast evolving consumer needs and wants, and remain ahead of ever-increasing competition from aggressive market conquerors like Google, Tesla or SolarCity.

capgemini consulting Florent Andrillon is Director and Sidney Delourme is a Senior Consultant at Capgemini Consulting. With more than 180,000 people in over 40 countries, Capgemini is a global leader in consulting, technology and outsourcing services. The Group reported 2015 global revenues of EUR 11.9 billion. Together with its clients, Capgemini creates and delivers business, technology and digital solutions that fit their needs, enabling them to achieve innovation and competitiveness. For further information please visit: capgemini.com

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In Brief BP contract Aberdeen Drilling Consultants (ADC) has been awarded a contract by BP to provide engineering services globally. ADC will provide support in more than 14 countries worldwide, delivering rig site assessments at all stages of operations, technical and marine assurance audits, dropped object/incident investigations, oversight of brownfield upgrades to drilling facilities and oversight of repairs and upgrades to rigs during Special Periodic Surveys.

Cable protection Trelleborg’s offshore operation recently launched its innovative protection system, NjordGuard, for the renewables market. The system is designed to protect offshore windfarm power cables in both monopile and J-tube applications. The innovative protection system can be installed, removed and reused without the use of remotely operated vehicles or diver intervention, improving safety and reducing installation complexity. The cutting edge solution also permits both a monopile and J-tube installation for wind turbine generators and offshore substation platforms without procedural variation.

Innovation network The Industry Technology Facilitator (ITF) has launched a new global online Innovation Network to raise the profile of oil and gas SMEs direct to its membership of operator and service companies. Available at https://network.itfenergy.com/, the Innovation Network is an active online community enabling oil and gas SMEs to promote their technologies and services direct to end users and also keep up to date with the latest technology needs of the industry.

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Moor success Strainstall, part of James Fisher and Sons plc, has been awarded a major contract with the Japanese Penta Ocean-Toa joint venture, for its advanced mooring solution to be installed at the Pengerang Independent Deepwater Petroleum Terminal (PIDPT) in Malaysia. The phase two development of the terminal, comprising 11 new jetties, will see 74 mooring systems - along with Strainstall’s innovative DockAlert berthing system - installed to provide safe and secure mooring and berthing operations. Strainstall’s quick release mooring hooks feature an innovative remote control system, utilitising its load monitoring expertise, that provides safe mooring line release under unsafe mooring loads, significantly increasing the safety of personnel, vessels and infrastructure. The company has already provided detailed consultation on the mooring arrangement of the jetties, providing advice on the optimum location and orientation of the hooks for mooring operations, to ensure successful delivery and implementation. Simon Everett, managing director at Strainstall explained: “We’re extremely proud to be involved in such a high profile project, delivering an advanced mooring solution that will ensure the safety and security of the terminal’s operations. Our experienced team has worked very closely with the joint venture, providing guidance and consultation to ensure seamless installation and commission, which will take place over the course of the next year.”

Unearthing the true cost Two new studies published by Carol Olson and Frank Lenzmann in MRS Energy and Sustainability - A Review Journal (MRS E&S) shed light on the true economic, social and environmental impacts of photovoltaics as compared to those of the fossil fuel supply chain. Olson and Lenzmann, who work at the Energy Research Centre of the Netherlands, compared the economics associated with all the major fuel supply chains, including oil and gas, coal and nuclear. They conclude that the current system is weighted heavily in favour of fossil and nuclear fuels at the expense of more sustainable energy sources - revealing that support for renewable energy sources is dwarfed in magnitude as well as in duration in comparison to the subsidies shoring up fossil and nuclear fuels. The authors’ timely analysis of the historical and current fossil fuel supply chain provides a useful perspective that challenges what they refer to as ‘limited frames of reference when addressing the consequences of business-as-usual operation of fossil fuel supply chains.’ Their extensive commentary looks at the complete subsidy chain both for production and consumption of fossil and nuclear fuels so that it is now possible, for the first time, to compare all the energy options fairly, revealing costs that have historically been hidden along the supply chain. To read the full articles visit http://journals.cambridge.org/action/login and search by author name.

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News Safe solution

Solar road solution Colas is set to start trialling its innovative solar road solution, Wattway, and is in the process of identifying potential sites with clients interested in the world’s first ever photovoltaic road surfacing. The innovative technology provides clean, renewable energy in the form of electricity, while allowing for all types of road traffic. Installed on top of an existing road surface, the solar panels are extremely lightweight and strong. Carl Fergusson, Colas Executive Director Strategy & Development, said: “Without doubt this is an extremely exciting time for the industry and we are looking for a number of forward-thinking clients who are interested in running Wattway trials with us. The UK trials will form part of about 100 trials taking place world-wide.” Designed and tested to endure vehicles continuously passing over the surface, the panels are only 7mm thick and are applied on the surface by using a high performance resin. A glass bead resin coating is also applied to allow the surface to provide acceptable frictional performance without significantly affecting the solar panels efficiency. The power generated by Wattway has the potential to be used for highways and transportation infrastructure, such as Variable Message Signs and streetlights, but also could be returned to the grid or used to supply energy to nearby homes and businesses. Anyone interested in taking part in the trials or to find out more information, please email: project.engineering@colas.co.uk.

Friendlier fuel In the European Union alone, more than 25 million tonnes of post-consumer waste plastic is produced each year. Of this huge quantity of material, only 26 per cent is recycled, with 36 per cent going for incineration, while the remaining 38 per cent contributes to the ever-expanding problem of landfill. To help address this global issue, Recycling Technologies has developed a machine (RT7000) and is industrialising a process to convert residual plastic waste into a low sulphur hydrocarbon compound known as Plaxx. This can be used as a petrochemical feedstock, a manufacturing commodity such as paraffin wax, or as a clean and more sustainable fuel substitute for fossil-based HFO, which also displaces imported oil. In a new project, Ricardo will work with Recycling Technologies to assess the relative performance of Plaxx, HFO and diesel when used in an engine of the type and scale typical of power generation or marine propulsion applications. The Ricardo Atlas II research engine will be used for this work: this advanced test engine is capable of efficiently evaluating the performance of fuels in large, multicylinder engine designs ranging from 150-200 mm bore and representing engines in the class 0.5 to 5 MW, in a single power cylinder. This can result in a reduction exceeding 90 per cent of the test fuel consumed in a typical research or development project. “Finding solutions to landfill diversion is a critical challenge facing modern society,” commented Dr Adam Read, Ricardo Energy & Environment practice director for resource efficiency & waste management. “The ability to generate fuels and recover plastics is key to the sustainable management of the world’s resources. As such, assessing the viability of the process during the pilot phase is an exciting and potentially ground-breaking step for Ricardo and the team from Recycling Technologies.”

Frames, supplier of oil & gas solutions and certified HIPPS integrator, together with its partner Mokveld, has completed two High Integrity Pressure Protection Systems (HIPPS) for the Pemex Lakach field Gas Collection Station. It concerns one of the first ever certified HIPPS in Mexico. The contract for the HIPPS was assigned to Frames by the Mexican construction company Arendal, which is going to construct the gas collection plant for the Lakach field. To minimise on-site installation activities and to prevent installation errors on a system as critical as HIPPS, Frames designed a completely integrated skid mounted solution. This modular design reduces the number of interfaces and simplifies the certification of the HIPPS. Each SIL3 certified HIPPS package consists of two Mokveld pneumatically actuated axial valves, pressure transmitters with interlocking manifold and a programmable logic solver (PLC). Since the skids are located in a hazardous area, the logic solver is installed in an explosion proof cabinet complete with HMI. All the other equipment is also rated for use in a potentially explosive atmosphere. To make sure that the HIPPS has high availability, a pneumatic buffer vessel is installed on each skid and the actuators are provided with passive fire protection. The HIPPS protects the Gas Collection Station against high pressure in case of a pressure control valve failure. A HIPPS plays a crucial role in site safety. By automatically bringing dangerous processes to a predictable safe state within a defined safety time, the HIPPS protects the site personnel, general public, and environment as well as valuable production assets.

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solutions Sophisticated

With so many factors disrupting their business models, utility companies need to invest in technology that can mitigate the risks they face says Ken Vormwald

Above Ken Vormwald, product manager for Allegro

he future of utilities is here but it’s not evenly distributed yet. The challenge is how to make it spread. Many factors are currently affecting the industry, from the cost of solar drop and rising consumer demand for renewables to the increasing adoption of highly responsive urban microgrids that optimise usage. Additionally, Tesla’s PowerWall product promises to make in-home energy storage a reality within this decade. All these changes are forcing utilities towards a more distributed model of generation that all but warrants even more disruption – along with reduced income from electricity sales as more and more people generate their own. With all the embedded systems being installed in homes and businesses you’d think that technology would also make predicting and pricing consumption in this new environment easier. The truth is that all that data being sent back to the IT mothership is too much for many legacy IT systems to analyse quickly. The business insights and improved visibility of risks that big data promises are needed now more than ever, particularly to inform the trading decisions utility companies make about their supply chains.

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Because if changing market dynamics weren’t enough risk to manage, you now have to add the constant worry of extreme weather. The last few years have shown it to be a near constant that lands without precedent or warning, crashing generation capacity when a polar vortex or heatwave descends, or dampening demand during an extended El Nino Winter. How can utilities better understand the future impact of weather on both power demand and supply, manage a multiplicity of distributed generation sources, take the steps toward a distributed generation model with minimum pain and disruption, plan the availability of fuel, and deal with associated price swings? It’s a big ask, but the answer may well lie in – yes – more technology. But this time in systems that can deal with torrents of data to manage unpredictability and risk.

Regulation Risks Regulatory changes are an area of extreme risk for utilities. The complexity of reporting, markets, transactions, contracts and accounting rules generate special challenges in complying with the ambiguities of regimes such as DoddFrank, REMIT, EMIR, MiFID II and others.

Utilities

Without accurate internal audits and proper governance, utility companies involved in energy trading can be exposed to significant risk. Forward-looking traders, meanwhile, are seeing that better visibility into the non-standard, structured deals in their portfolios could create new opportunities. Further complicating matters for utilities are the everincreasing pressures from global environmental agencies to curb and manage their carbon emissions. Proposals, such as the US Environmental Protection Agency’s comprehensive Clean Power Plan, are expected to affect carbon-fuelled generating plants around the world. Likewise, in Europe, the 7th Environment Action Programme outlines sustainability and biodiversity objectives based on low-carbon growth. Not only will utility companies need to manage the physical aspects of these new regulations, they will need to facilitate the complex process of dealing with emissions credits and potential new cap-and-trade markets.

Demand goes up - consumption goes down Another area of risk is that global demand for power is set to grow by about 85 per cent between now and 2040 as living standards rise, economies grow and the electrification of society continues (see mobile devices, the internet of things and the rise of wearables). And yet - demand for fuel to produce that power is only projected to rise by 50 per cent. For that blame more and more customer-owned generation and improved energy efficiency in generation and transmission. Flat or negative growth to utility revenues has been the result. If utility companies are going to wring profits from a fast-evolving and shape-shifting marketplace, they have to find new ways to optimise their resources and reduce costs. One way to do that is to invest more in systems that provide intelligence for short-term planning issues like unit commitment and bidding. It’s easy to say but harder to do. As an asset-intensive industry with major capital commitments, utility companies have always emphasised long-term planning - often conducted separately from short-term planning, and where both tend to be done in isolation from the trading desk. It’s a siloed approach that blurs awareness of the market risks that arise when planning for future portfolio enhancements or resource needs. Significant cultural change may be needed alongside technological changes.

Technology to the rescue With so many factors disrupting their business models, utility companies need to invest in technology that can mitigate the risks they face. Management needs better access to information and tools for decision making, not only for executives, but also for personnel engaged in planning and trading. Without a commodity management

platform, they may not be able to accurately dispatch generation, manage contract terms or pass regulatory scrutiny over feedstock purchases. The assumption has always been that IT will provide access to the right insight. However, the industry has grown up with a dog’s breakfast of homegrown and off-the-shelf energy trading and risk management (ETRM) applications that may not be ready to meet the needs of today’s power and utility markets. Spreadsheet-based applications, in particular, typically need a high level of expensive customisation each time a new type of generation or fuel is added.

At minimum, a utility commodity management system should offer the following: S Robust analytics, such as forecasting, simulation and optimisation. S Standardised models and forecasts to ensure consistency in analysis, with the ability to trace back model results and assess risk across power and gas portfolios. S Forecasting, simulation and optimisation analytics integrated with energy trading and risk management applications. S Simulation of market, outage and weather scenarios fast enough to handle trading requirements. Before you begin evaluating solution providers, understand your company's strategy for hedging risk and complying with regulations in detail. Take an inventory of your most used resource analytics, but also consult traders, risk managers and planners to understand what they need to be successful. Investing in a suite of applications that integrate energy trading and risk management with analytics is the best approach to reduce the total cost of supporting legacy systems or spreadsheets. Additionally, it will provide the added bonus of consistency of information across the organisation, which is crucial if utilities are going to return to growth and profitability.

allegro Ken Vormwald is an electric utility industry specialist with extensive experience in software product development and system implementation. As Product Manager for Allegro, he oversees the company's product offering in Power, Generation, Emissions and Renewable Energy. He serves as the internal and external evangelist for the Allegro electric power-related trading and risk management offerings globally. For further information please visit: allegrodev.com

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rules New

As stated by the European Commission, 2016 is set to be a ‘year of delivery’ in light of the proposal to re-write most of the EU energy legislation by adopting the Energy Security Package. Massimo Merola explains the significance

Below Massimo Merola is a partner in the BonelliErede Energy & Infrastructure Focus Team

his Package aims to update legislation on the security of gas supply, enhance transparency and the Commission’s role within intergovernmental energy agreements, and outline new strategies for LNG and gas storage, and for heating and cooling. The Package is composed of two legislative proposals (the Security of Gas Supply Regulation and Intergovernmental Agreements) and two non-legislative documents (the LNG and Storage Strategy, and the Heating and Cooling Strategy). The Package includes two key instruments for assessing investments in European gas infrastructures: the Security of Gas Supply Regulation and the LNG and Storage Strategy. The first mainly addresses the external challenges of European energy security, whereas the second focuses mostly on the internal ones. Natural gas is ‘the bridge between coal and renewables’ and plays a central role in this recent proposal by the Commission, as gas will remain a key element of the energy mix for at least the next 20 years, despite the ongoing decarbonisation strategy. The first key instrument, the proposed Regulation, therefore specifically addresses the security of gas supply throughout the EU and is essentially based on gas stress tests carried out after the European Energy Security Strategy was adopted in May 2014. These tests analysed the potential consequences of a disruption in Russian gas supplies. The Commission’s main aim with the Security of Gas Supply Regulation

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is therefore to introduce: (a) a solidarity principle that prioritises households and essential social services during an emergency situation, (b) a mandatory regional preventive action, (c) emergency plans rather than national plans, and (d) changes in terms of reverse gas flows. The proposed Regulation also envisages enhanced reporting requirements concerning contractual terms between market operators. These reporting requirements will apply to long-term supply contracts (i.e., over 12 months), which account for more than 40 per cent of natural gas consumption in each member state. In terms of the LNG and Storage Strategy, which is the second key instrument for investors, the Commission understands that the EU does not need significant additional LNG import capacity but better interconnections between neighbouring member states, particularly with those that already have direct or indirect access to LNG import terminals or trading hubs. Figures show that LNG terminals are used at an average rate of 22 per cent and additional LNG terminals are now under construction. The focus will therefore be on prioritising infrastructure projects to reinforce interconnections. The main projects that will receive support from the EU are those in the Baltics, South Eastern Europe and the Iberian Peninsula. In light of these objectives, the Commission is expected to prioritise projects involving investments to remove bottlenecks, enable reverse flows for the bi-directional use of pipelines, diversify supply sources and connect already

Pipelines

existing networks. The Commission will also prioritise investments to reduce energy waste, given the objectives of the Heating and Cooling Strategy. At the same time as the Energy Security Package, another security of supply initiative that investors need to continue monitoring concerns Projects of Common Interests (PCIs), which still require an adequate regulatory framework at national level. As to the regulatory risks to be managed by investors, it should be kept in mind that public support for energy infrastructures is, in principle, classified as State aid under the Commission Communication on the Notion of State aid. Under the modernisation package on State aid control, projects receiving limited public support can now be immediately implemented without any notification obligation if the amount granted does not exceed EUR 50 million and certain regulatory conditions are satisfied (to be checked on a case-by-case basis). However, for large projects that require a notification, investors can take comfort in the fact that the Commission included more favourable rules for PCIs in the Commissionâ&#x20AC;&#x2122;s Communication on the new 2014 Guidelines on State aid for environmental protection and energy. These Guidelines also introduced clear criteria to assess the compatibility of other infrastructure projects with State aid rules. These two communications from the Commission have resulted in greater legal certainty and have cut red tape for public authorities and companies, thus encouraging the

development of energy projects. It is now up to the investors to: (a) ensure that their projects comply with the new set of rules; and (b) obtain confirmation of this compliance in the form of a comprehensive self-assessment. Moreover, as regards the commercial operation of energy infrastructures, investors should be aware of the need to implement an effective competition compliance programme. The Commission has enforced EU competition rules in this sector in the past, as seen a few years ago with the case involving GDF Suez, in which commitments were imposed regarding French entry points for natural gas. In conclusion, the European Commission has clearly stated the main priorities of the European energy market. Now it is investorsâ&#x20AC;&#x2122; turn, and their real challenge is to devise ambitious projects capable of translating the Commissionâ&#x20AC;&#x2122;s view into reality, whilst complying with EU competition law rules.

BonelliErede Massimo Merola is a partner in the BonelliErede Energy & Infrastructure Focus Team. BonelliErede is a top Italian law firm, formed in 1999 when the Genoa-based Bonelli e Associati merged with the Milan-based Erede e Associati and the Brussels-based Pappalardo e Associati. For further information please visit: belex.com/en/

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ONS 2016, taking place in Stavanger from 29th August to 1st September, promises to be an exhibition, a conference and a festival – all in one!

lready bigger than ONS 2014 in terms of exhibition space, this year’s event focuses on the theme of Transition. Following on from the 2014 theme of Changes, the theme of Transition takes the debate further and addresses a number of topics relevant to the energy world - “the purpose of the theme of Transition is to bring about a useful debate on the transition to a new normal situation in the industry,” explains Leif Johan Sevland, CEO of ONS. According to Jon Are Rørtveit, VP Commercial Director at ONS, the plan for ONS 2016 is to enhance all the positive things ONS is known for, and continue to develop the event: “One example is the new feature, Technical Sessions, which means we can offer even more conference content to ONS’ visitors. It also provides an arena where the industry can present new solutions, discuss technological challenges and learn about contract opportunities,” he said. At ONS 2016, Technical Sessions will for the first time be an integrated part of the programme, underpinning ONS’ role as the leading technology marketplace for the world’s energy industry. The Conference that Jon mentioned is always a big part of ONS and in 2016 two top leaders in the industry Ben van Beurden, CEO of Royal Dutch Shell and Ryan Lance, CEO of ConocoPhillips, have been announced as speakers. It’s clear that the ONS Conference presents the biggest names in the business – designed to give visitors global perspectives

Discover. Develop.

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from the people with the best insight and the power to influence the future. Again building on the main theme for ONS, Transition, the conference aims to focus on the actions needed to steer from the current situation to a more stable and desirable one. John Knight, EVP at Statoil, is the Chair of the ONS Conference Committee and has been instrumental in creating the programme. “With the conference, I look forward to combining the traditional technology focus with a greater understanding of the geopolitical, macro-economic and social-political challenges the industry is currently facing,” he says. Transition will be addressed based on three main pillars: transition to a new market reality, transition to a more sustainable world and leadership in periods of transformation. “In the development of the conference programme we have focused on finding excellent speakers to address the most pressing issues,” says Knight. “In total, we will present more than 60 high level keynote speakers,” he adds. Visit: http://www.ons.no/2016/programme/#conference for the full line-up. Of course, ONS isn’t just a Conference – it is also a hugely significant exhibition, attracting over 90,000 visitors and over 1300 exhibitors from 39 countries. The event attracts high-level executives and politicians as well as specialists and young professionals from all over the world – the ONS exhibition gives visitors direct access to the most interesting

ONS preview

companies in the offshore and overall energy industry. Visit: http://www.ons.no/2016/exhibition/visitor-and-exhibitorprofile for more information on the exhibition. In addition, anyone with a ticket for the ONS Exhibition is able to visit the ONS Centre Court, an intimate conference arena in the middle of the exhibition venue. This stage offers short, interesting talks with a high emphasis on clean energy issues. At ONS, Clean Energy is regarded as a megatrend in the society; from renewable energy and energy efficiency to CO2 cleaning technology and similar topics. “We think it is important to gradually increase the focus on alternative energy sources and energy efficiency in order to secure our role as ‘the world’s leading energy meeting place’ in the future. Our aim is to be a venue known to promote the importance of a greener energy development both within and outside the petroleum industry,” says Leif Johan Sevland. Bjørn Kj. Haugland, EVP and Chief Sustainability Officer of the DNV GL Group is chair of the ONS Clean Energy Committee developing the Centre Court programme. He sees great potential for clean energy to build on the huge expertise in the oil and gas sector. “I would like us to promote the opportunities that lie in the green shift. ONS is a fantastic global meeting place for the oil and gas sector, and I aim to make efforts for ONS to be increasingly associated with a holistic view of energy where oil and gas and renewable energy can go hand in hand,” he says. The third part of ONS is the Festival, and this makes ONS

an event unlike any other in this industry. The aim is to take good care of guests who come to ONS and offer them an arena for social networking in the evenings. The festival is also open to anyone in Stavanger who wants to come, whether they’ve been to the exhibition or not. The festival area is right in the heart of Stavanger, in the city’s intimate harbour. This has proven to be the perfect meeting place for mixing business with pleasure. It features pavilions filled with entertainment, food and drink and includes a concert, and a resident artist, as well as the legendary ONS fireworks, which are well known and loved by ONS attendants – as well as the citizens of Stavanger. It is clear that 2016’s ONS event is going to be both educational and entertaining. Combining access to the latest news, trends, innovations and technical solutions in the industry with networking opportunities, the event is a one-stop-shop for access to investors, contractors, suppliers, decision makers, politicians, government leaders and key players in the industry. It offers the opportunity to nurture existing customer relationships, as well as get in touch with and acquire new customers, and visitors will find themselves as part of an event determined to find new solutions that will shape the energy industry in years to come.

ONS 2016

For further information please visit: ons.no/2016/

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way Leading the

Apache

entered the North Sea market in 2003 after acquiring approximately a 97 per cent working interest in the Forties field. Since the acquisition, Apache has actively invested in the field and has established a steady production plateau through a highly successful and continuous development drilling program. The program utilises 4-D (time-lapse)

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seismic data, and demonstrates best-in-class project performance and operational excellence. Building upon its success in Forties, in 2011, Apache acquired Mobil North Sea Limited, which has provided significant additional exploration and development opportunities across numerous fields, including operated interests in the Beryl, Nevis, Nevis South, Skene,

PROFILE

Apache North Sea

remains one of the largest oil and gas producers in the basin. Commenting on the company’s recent drilling success, Apache’s Region Exploitation Manager Jeff Towart noted, “Last year we had an active exploration, appraisal and development program across our assets that added significant reserves. In Forties, which achieved 40 years of production in 2015, we reached a milestone of having produced

and Buckland fields and non-operated interests in the Maclure field. In total, Apache now has interests in approximately one million gross acres in the UK North Sea. Apache is continuing with this impressive trajectory by maintaining a relentless focus and utilising its proven ability to find and produce significant resources in the North Sea. Apache

Apache’s operations teams achieved approximately 90 per cent production efficiency in 2015, which helped to drive down field costs. The trend continues in 2016 with first-quarter lifting costs under $11 a barrel

250 million barrels since acquisition and still have multiple remaining targets. This year, Apache is investing in the acquisition of a new Forties 3D seismic monitor survey that will identify new drilling targets to replenish the prospect portfolio. In 2016, the Beryl field also hit 40 years of production and continues to offer excellent new opportunities for development.” Ken Neupert, Apache’s Operations Director points out that, “our success with the drill bit is complemented by our industry-leading production efficiency. Apache’s operations teams achieved approximately 90 per cent production efficiency in 2015, which helped to drive down field costs. The trend continues in 2016 with first-quarter lifting costs under $11 a barrel.” Despite the downturn, Apache continues to explore, drill, sanction new projects and bring on new production. “We continue to aim higher. In addition to being one of the most efficient, large oil and gas operators, we have top-quartile safety performance, some of the lowest drilling costs and excellent project delivery,” says Brian Tadeo, Apache’s HSSE Manager. Given the broad focus on all aspects of the process involved, it is no wonder that Apache has been able to grow, and build on the achievements it has already made. Such success doesn’t come ENERGY,oil&gas

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PD&MS PD&MS consistently deliver safe, practical and cost effective Engineering, Procurement, Construction and Commissioning (EPCC) solutions to our international client base. Our service capability covers concept, option approval, front end engineering design (FEED), detailed design, construction and commissioning for onshore and offshore facilities. PD&MS have a 14-year track record of delivering value for our clients through our unique approach to project delivery; in capitalising on our highly skilled multi-discipline workforce and the dynamic and flexible nature of our business to provide right-sized solutions, by the right people, right first time.

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from a closely guarded secret. Instead, it comes from a company ethos that runs through the heart of Apache and relies on workers who are highly skilled, responsible and trusted. The employees are proud of the way the company is run. Mark Richardson, Apache’s Projects Group Manager, observed, “Apache have the same tools, technology and techniques as any other operator in the North Sea. We have the same constraints such as aging assets and a workforce heritage from BP and ExxonMobil. The differentiator with Apache is its leadership, culture and behaviors. We have lean teams who are adaptable, flexible and fast moving. Most importantly, we empower our people to make decisions.” Even though there is a clear focus on hitting targets, Apache is just as determined to not do so at the expense of safety. Brian Tadeo made this clear, “Safety is our top priority. Safety, compliance, production - in that order. That is our key message. Because if you don’t get safety right, nothing else matters.” Apache has demonstrated that when placing safety at the forefront of its priorities, the

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business success is even greater. “There is no room for taking risks with safety, but there are rewards in correctly managed commercial, contractual and project risks. When combined with maximising the competence of the supply chain and operating with a sense of urgency, we are able to deliver our results. Because we are able to make solid risk-based decisions, our benchmarked projects are significantly cheaper than the average for the North Sea and are delivered at twice the pace,” says Richardson. Two recent examples of successfully delivered projects are the Beryl field’s Far North Terrace (FNT) subsea oil tie-back and the Forties Aviat subsea gas tie-back. FNT, a single well subsea tie-back, is located approximately four kilometers (km) southwest of the Beryl Bravo platform. The newly installed facilities include an eight inch production and four inch flexible gas-lift flowline, control umbilical, standalone subsea control system and topside modifications on the host Beryl Bravo platform. The project team worked to safely deliver the facilities for production in an accelerated timeframe against a

PROFILE

tight budget. The final result was first oil in April 2016, just 12 months after drilling the well. This excellent result was achieved with an exemplary safety record, well ahead of schedule and over 30 per cent under budget. The Aviat development, which came on stream in June 2016, is forecast to provide a life-time supply of fuel gas to the Forties field and includes a 23 km eight inch gas production pipeline, a four slot production manifold, a subsea isolation valve, a control umbilical, a new subsea control system, a six inch flexible riser and major topside modifications on the host Forties Alpha platform. This project was safely delivered under budget and ahead of the scheduled first gas date. There are many promising future opportunities in the Apache North Sea portfolio. â&#x20AC;&#x153;We are presently delivering Callater, a major oil tie-back to Beryl Alpha. It was discovered in October 2015 with first oil expected mid2017. We are also preparing Corona, a heavy oil development, for sanction this year. Corona

Apache North Sea

is a major project development in the Tertiary injectites, which surround the Beryl field. This exciting activity is prolonging the life of these existing fields and highlighting the future potential of the area Apache is very optimistic about its North Sea opportunities,â&#x20AC;? noted Richardson.

Apache North Sea Ltd apachecorp.com

Services Oil & gas exploration and production company

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Location of

distinction The result of four years

of development, VTT Vasiliko Ltd. (VTTV) opened in November 2014 and represents a new energy hub in the Eastern Mediterranean. Located on the south coast of Cyprus between Larnaca and Limasol, the terminal’s strategic location makes it the first of its kind in the Eastern Mediterranean region, connecting Europe and the Black Sea with markets in the Middle East and Asia. As General Manager of VTTV, George Papanastasiou explained when he was last interviewed for EOG, the location offers a range of benefits: “We are excellently located for the East-West trade routes that use the Suez Canal. Our jetty can accommodate Suezmax vessels as large as 160,000 tonnes, as well as small ships of just 5000 tonnes, meaning that we are very versatile. Additionally we also have the unusual luxury of owning a deep-sea marine jetty. Then add in the fact that we control our own towage and pilotage service and we are ‘the masters of our own destiny.’ Flexibility is a hallmark of our terminal, with VTTV being highly creative about how it markets its storage and services.” Its advantageous location allows VTTV to act as a vital link to customers transporting a number of products and cargoes. The terminal ‘sits’ in the middle of product flows between three continents and can accommodate the transition of fuel oil from the Black Sea to the east, the transport of distillates from the Middle East to the West and of gasoline from the West to the Middle East. As this market continues to develop VTTV will continue to expand to meet the changing needs of its clients. “With large

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refineries being built in the Middle East, the market expects more vessel traffic moving oil products through the Suez Canal bound for the Mediterranean and European markets. With the expansion of the Canal, such cargoes will need to be re-sized at a convenient oil terminal to meet regional requirements,” George elaborated. The terminal itself represents an investment of €300m, and phase one of the VTTV terminal included 28 tanks, totalling 544,000m³ capacity for gasoline, diesel, gas oil, jet fuel, kerosene, naphtha, MTBE and FAME. Its capacity to handle and store a broad base of products is comprehensive but phase two of the terminal is already in the planning stages, with the vision to add another 305,000m³ with an additional 13 tanks, as well as a Floating Supply Regasification Unit (FSRU) at the jetty that will regasify LNG for the needs of the local market. VTTV benefits from access to a vastly experienced holding company, VTTI BV, one of the fastest growing oil terminal companies in the world. The Vitol Group founded VTTI in 2006, and today it offers 8.7 million cubic metres of combined storage capacity across five continents. This will rise to over ten million in the near future as new projects come on line. As well as providing VTTI with strong foundations on which to build, The Vitol Group gives it direct access to unique market intelligence from trading and shipping perspectives. With Vitol and VTTI at the helm, VTTV inherits a culture of continuous improvement, as well as a well-established culture of safety, reliability and environmental conscience. VTTV

PROFILE

is totally committed to running a terminal that is safe on a day-to-day basis, but also ready and prepared should the worst happen. As history demonstrates, effective fire prevention, detection and fighting is fundamental to the safety of any energy terminal. To illustrate its readiness for emergencies, VTTV has run a large-scale firefighting exercise at area 40, which comprises three tanks for gasoil and jet fuel. The objective of this was to demonstrate to the Cyprus Fire Service that it has adequate systems to address a full bund fire. The exercise centred on VTTV’s mobile extinguishing system, and the successful outcome demonstrated the terminal’s capability to extinguish large-scale tank and surface fires. The Fire Service was also able to certify that there were sufficient quantities of water and specialist foam available to support a major incident, meeting the fire extinguishing standards laid down by the United States body, NFPA. The mobile system complements a stateof-the-art, fully automated fire extinguishing

system permanently installed at the terminal. This valuable exercise also served to give the Fire Service and local communities full confidence that fire safety at VTTV receives full commitment and significant investment. It is clear that VTTV offers a wide range of benefits for clients, as well as bringing a boost to the economy of Cyprus itself. Going forward, with the further developments planned and the guidance and example set by VTTI and Vitol Group, the future looks bright for the terminal. Significant levels of investment and development have already been made at the site, and it has made tremendous achievements in operational safety and corporate responsibility. “I believe that the need for storage is still strong and it will continue to be for the years to come, as most industries are still very closely linked with oil,” George commented. “There are always challenges and opportunities and we are confident that we have the right means and resources to acknowledge, grab them and turn them into our favour.”

VTT Vasiliko

There are always challenges and opportunities and we are confident that we have the right means and resources to acknowledge, grab them and turn them into our favour

VTT Vasiliko vtti.com/terminals/ vttv-cyprus

Services Oil storage terminal in Cyprus

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PROFILE

IOS InterMoor

Sustainable

success Established in 1986

Miles AS Miles is an IT consultancy with offices in Stavanger, Bergen, Oslo (Norway) and Mumbai, India. Its staff comprises approximately 130 highly skilled IT consultants within development, user experience and design, project management and business advisory. Through a consistent focus on employment of the very best in the industry, valuing personal as much as technical skills, Miles has, despite plummeting oil prices and a tough market in Stavanger, managed to grow its business in all locations. The company continues to employ leading IT experts in order to keep delivering business value by optimising and automating its clients’ business processes.

Ramnäs Stud Chain Ramnäs has developed an asymmetric stud that is carefully installed and expanded to exact tolerance, established through years of research and development. The asymmetrical design of the stud gives equal stud footprints and contributes to a symmetric stress-distribution in the link. The built-in ‘spring’ effect makes a tremendous difference in eliminating loose studs. In fact, mooring systems with Ramnäs stud chains installed over 20 years ago are still intact with no loose studs. Ramnäs stud chain increase the fatigue life by more than three times and significantly reduce the life cycle cost of the mooring system.

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, IOS InterMoor, an Acteon company, is the leading mooring, foundations and subsea services provider delivering innovative solutions for rig moves, mooring services and offshore installation projects. InterMoor supports operators and contractors worldwide with its engineering, fabrication, shore base and survey and positioning services to truly provide customised solutions. In 2016, IOS Intermoor will celebrate the milestone of its 30 year anniversary. This is a proud achievement and will be used as an opportunity to look back at past successes and how it will achieve more in the future. Managing Director David Smith at InterMoor elaborated on the plans for the 30 years celebrations: “First of all we will do something for our own staff and personnel, as they are the backbone of the business. Some of them have been with us for very long periods, and having that level of staff retention is really rewarding.” With such a strong sense of unity within the company, it is no surprise that it has enjoyed three decades of increasing success, and there is every reason to expect this to continue. Another part of the celebrations will focus more externally, which David elaborated on: “We have also planned some special events throughout the week at the end of August, which traditionally draws a large contingent of local and international businesses. Marking this anniversary is an opportunity to connect with clients and celebrate our hard work so far.” The situation the oil market was in when InterMoor was founded compared with contemporary times carry parallels, as it began through a period of instability in the sector, which is similar to the situation that was faced by the industry in recent times. This strength of

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the company is something David highlights as significant: “When we began it was one of those periods in the history of the oil sector, where there is a dramatic drop in oil price. I think the company over the past 30 years has experienced the ups and downs of the industry. Due to this origin we know not to overstretch ourselves, but to instead realise that these periods of fluctuations are not new and actually to be expected, and therefore we can prepare for them.” The approach by InterMoor of steady, sustainable, growth makes it reliable, without becoming stagnant. David presented how it is able to do this and why it is so crucial to do so: “You need to find a balance, a way to navigate the upturns and downturns, so you are in a comfortable position for either outcome. We had our most economically successful periods in 2013 to 2015, with very high levels of activity, and we were conscious of this, so we managed it. We even said no to some business, because we were concerned about overextending ourselves and committing to something we couldn’t 100 per cent deliver. This is an area where companies get caught out, they think they can do it all, but it catches up with them. In this business you are only as good as your last job, you let someone down and they will remember that, forgetting the successes. Our focus is responding to customer needs, not getting ahead of ourselves, and ensuring we only commit to what we know we can fulfill.” Having already touched on InterMoor’s pride in its staff quality and retention, as well as its equipment, and ability to always complete a project, what resonates across all aspects of its work is that of high standards. As well as these, David wished to emphasise another key characteristic of the company: “One of

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PROFILE

our specialties is problem solving, many times customers come into situations where they are stuck and cannot see any way out, which is where we can come in. We have talented personnel in engineering that are out in the field, because sometimes you need to be able to solve a problem that happens during an operation. You can put together the plan, the equipment, but then you come offshore and something unexpected can come up. That is why we place such importance on the ability of our people, who are able to think on their feet and resolve such issues, and on numerous occasions this has been indispensable.” InterMoor has also benefitted from the partnerships that have been developed as a part of the Acteon Group. David spoke highly of how this has added to its success and sustainability: “We have a very good global position, we have developed our regional markets, but also integrate globally, and communicate regularly. For example we share best practice experience from our operations. It has helped develop the presence of our products, equipment, and the quality we offer, in these region’s markets, and as a result has contributed to our global footprint. The other side of this, is that we have also been able to do the same in regards to our sister companies, taking the opportunity to implement technology, products, and methods from them.” Despite InterMoor finding a proven method of success, it is not resting on its laurels, and is continually finding new avenues for the business to go down. Diversification is something that it is keen to expand, as it ensures that the company is more adept to confront the challenges of the changing oil industry. For example, InterMoor performed a service for a cruise ship calling in at a Bergen port, which is not a regular project it does, and yet took advantage of an opportunity when it appeared. The willingness to look beyond just working on mooring offshore rigs is a promising skill of the business. David went into further detail about some of the other sectors the company is considering: “There will be other markets in the future which give us other opportunities, offshore wind farms are one example, offshore fish farms are another. They are looking at building larger complexes, and then moving them offshore, this will require additional types of mooring requirements.” One of the resounding points from David was that: “We are not sitting still, we are looking at other opportunities, both in Norway and internationally.” Another aspect of InterMoor’s diversification

IOS InterMoor

is that it focuses on cost effective solutions, to a wide mix of problems facing the offshore industry. That is one way it is building for the future, by continually improving the service it provides. It has achieved this by providing a product range that aims to remove longstanding problems, such as improvements in anchor technology to counter the mooring problems that can still occur despite the weight. David expanded on InterMoor’s broad product selection: “If you already have the equipment that the client needs then you are going to be the chosen supplier. One of the areas we looked at was in regards to environmental concerns, such as hurricanes in the Gulf of Mexico, or the threat of ice bergs that can cause problems for rigs off the coast of Canada. To deal with the latter, we recently introduced rapid release components that mean a rig has the ability to move away from the danger without having to wait for an anchor handling vessel to retrieve the mooring lines. It all comes down to effectiveness, having this option means that the anchor handling vessels can be used for ice defence and allow the rig to continue to drill.” These innovative products help protect people, and finances, from such environmental threats. With the recent move of premises by InterMoor, as part of a cost reduction plan, it has been able to more efficiently provide its services. This involved an expense to achieve, but the outcome is a more effective base of operations that now better suit the needs of the business. The positive nature of this move was something David shed light on: “We saw an opportunity to make a change in our most active facility, an investment to prepare us for the future, and put us in a better place to be more cost efficient than we have been. It is the right type of facility moving forward, a lot of capacity for the right vessels, storage capacity, the right equipment for handling moorings, everything is coming into place there.” With the oil industry in a difficult period there are few other companies that can boast such success during the harder times for the industry. InterMoor has repeatedly come out more versatile, more effective, and more successful. It is a steady ship in what can be rough waters, and it never appears to be complacent, always with one eye to the past to learn from, and one eye to the future to prepare for. With a tradition of steady and sustainable success of now 30 years, it is likely to reach many more milestones in the years to come.

We saw an opportunity to make a change in our most active facility, an investment to prepare us for the future, and put us in a better place to be more cost efficient than we have been. It is the right type of facility moving forward, a lot of capacity for the right vessels, storage capacity, the right equipment for handling moorings, everything is coming into place there

IOS InterMoor intermoor.com

Services Mooring services, subsea foundations, rig moves, subsea engineering service, offshore engineering services, fabrication & procurement, shore base services, offshore survey & positioning

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Designed to

innovate Operating since its foundation

in 2009, Marine Assets Corporation (MAC Offshore) represents a pioneering supplier of modern and sophisticated vessels for clients within the offshore oil and gas industry. MAC Offshore is a founding developer of the compact semi-submersible concept and has since continued to develop, promote and deliver the technology to the oil and gas market from its base in the Jumeirah Lake Towers (JLT) free zone, Dubai. MAC Offshore was previously profiled by Energy, Oil & Gas magazine during August 2015, during which time CEO, Robin Reeves discussed the company’s contract to deliver the world’s first purpose built vessel for offshore mining for Nautilus Minerals Inc. “Since 2015 we have continued to focus on our business plan of building offshore support vessels for the offshore oil, gas and renewable sector, with a view to anticipate what the sector will require in 24-36 months time while addressing industry requirements as opposed to minimum standards,” Robin reveals. “We currently have several vessels in the pipeline and we have slowed down the construction of these to deliver the vessels 6-12 months later, taking into account the present depressed state of the market. We are also focusing on specifically diversifying into new areas, which leads on to the mining vessel for Nautilus Minerals. This is something that is outside of our conventional

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oil and gas market and really represents an exciting new market for the company.” The contract to deliver the unique mining vessel was signed during November 2014 and calls for the vessel to be constructed at the Fujian Mawei Shipbuilding – China’s oldest shipyard. Once completed the vessel will chartered to Nautilus Minerals over a fiveyear term period with a further five one-year options. The involvement of MAC Offshore in the development of the vessel commenced with the company completing the final design of the ship prior to the beginning of construction. “A broker initially introduced us to the client, Nautilus Minerals that wanted to build a specific vessel to operate their subsea mining operations. They had a requirement in mind for the desired dimensions and sizes for example and had started the preliminary design of the vessel with Seatech in Singapore, however the design wasn’t actually finished,” Robin says. “Our scope was to complete the design and gain class approval before finally building the ship and chartering it to the customer. Nautilus Minerals were focused on the mid-section of the vessel, which is where the company intended to store their mined ore as well as position their subsea mining equipment,” he adds. “They had started the development of that design and when we inherited the project we still had to finished the bow and the stern section, including the propulsion and engine room lay out.”

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Construction of the vessel began in September 2015, with the ship is set to initially launch during March 2017. Sea trials are set to being in September 2017 prior to final delivery at the end of December 2017. The vessel is 227 metres in length and has a beam of 40 metres, it will have 32 Mw of installed power to support the vessel’s power management for DP positioning and supply power to the deck mounted mining equipment. The vessel will also include 199 beds to accommodate marine crew, hotel staff and operators for the mining equipment. Further to the continued development of its mining vessel for Nautilus Minerals, MAC Offshore has also recently introduced a new Garbage Converter vessel, which provides a tangible solution to the problem of waste management in the offshore environment. “The recycling, removal and disposal of garbage is a significant issue within the offshore environment where there is limited space. Because it is waste, garbage tends to take last place in the queue in terms of deck space,” Robin explains. “We found a garbage converter machine that was designed by an Italian company and took that concept a stage further by working with them in collaboration to design a vessel on which to install the unit. This allows the vessel to proceed to offshore locations to collect and process garbage in a process that reduces the weight of the waste by 70 per cent and its volume by 30 per cent. The garbage is converted into a substance called RDF (Refuse Derived Fuel) which is essentially a sterile fluff.” The garbage processing machine can handle waste ranging from tin cans, glass bottles and cardboard to food and plastics, while depending on the materials processed, the resulting RDF has a calorific value and can therefore be formed into logs and burned as fuel, or simply stored in landfill as sterile waste. “We have also produced a containerised unit that is basically an offshore container, meaning that it is certified

Marine Assets Corporation

for offshore use and can be positioned on an offshore platform or rig if the client does not want the expense of having a vessel operating in the field. We have similar units on trial with international oil companies in the UAE at present and the results there are looking very positive,” Robin adds. “We also continue to develop our range of semi-submersible accommodation units and currently have two of these in operation, with one in Brazil and the other in Brunei. There are a further three units that are nearing completion, that have been destined for repeat orders for existing customers and we are also targeting a smaller version of this design for the wind farm market,” he concludes. “It is our forward vision that really differentiates us within the market and this has been our business plan since day one. This will continue to be the case through the delivery unique designs that can compete in terms of cost-effectiveness and out perform existing vessels.”

It is our forward vision that really differentiates us within the market and this has been our business plan since day one

Marine Assets Corporation macoffshore.net youtube.com/ watch?v=me4iJEw8mF8.

Services Offshore support vessels

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Decades of

Employing over 200

Anixter Anixter and Booth Welsh Automation have worked in partnership to provide technical excellence in process sectors such as pharmaceutical, nuclear and petrochemical for over 25 years. Anixter's broad range of network and security process sector solutions are combined with efficient, global supply chain services that can help to save time, mitigate risk and reduce nonproductive labour. Anixter and BWA are advancing the adoption of new industrial solution technologies with Anixter’s Industrial Communication and Control programme.The programme provides expert solutions, support and training from sensor to server, to help manufacturers combine networking, power and security to leverage and protect their automation infrastructure.

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personnel and with a proud track record in providing tailor-made, cost effective and flexible solutions, Booth Welsh is an engineering services company founded in 1989 with headquarters in Ayrshire, Scotland. Working with blue-chip clients in the whisky, oil & gas, pharmaceutical, nuclear, petrochemical, chemical, utilities and food & beverage industries, the company operates globally providing services including process consultancy, engineering and design, project management, implementation and commissioning. What sets Booth Welsh apart from the competition is its unparalleled experience in providing tailored solutions to clients, safely, on time and within budget. The business prides itself on its commitment to technical excellence through the recruitment and development of the right staff, and this approach means that it is proficient in handling all aspects of engineering and project management from definition and design through to implementation, testing and decommissioning. Of course, working with any of its clients requires a professional approach, but the nuclear sector has extra demands for highly experienced, security cleared specialists, and thanks to Booth Welsh’s dedication to creating a workforce of impressive pedigree, it can provide a wide range of services to the Nuclear Power sector, including: S Work management solutions S Data management S Process and procedure management

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S Project management S Maintenance reviews S Electrical, control & instrumentation upgrades S High integrity communication systems Nuclear power clearly requires a specialist skill set and an extreme priority placed on safety, but in fact each and every Booth Welsh project is undertaken based on accredited health and safety management systems and programmes such as Target Zero and Behavioural Based Safety. In October 2015 this strategy was proven to be successful after the company achieved the milestone of ten years Zero Harm without a lost time accident to staff and contractors. This momentous achievement has been reached across all of Booth Welsh’s sites in the UK and internationally. During this ten year period Booth Welsh’s 250 employees clocked up an impressive total of four million hours of safe working, thus proving the value of its robust integrated environmental, health and safety management system and accredited programmes. At the time of the announcement, Jim Conway, QEHS Manager, commented: “All our employees have environmental, health and safety training appropriate to their role, from Toolbox Talks to offshore survival training. Our staff participate in ‘time out for safety’ forums which focus on our continual improvement and Zero Harm strategy throughout the organisation. Working closely with our major clients and embracing their safety cultures has also contributed to our success.” Gary Mutter, Health & Safety Sponsoring Director, added: “Over the years Booth Welsh has gone through many operational evolutions but a strong safety culture has always been at the forefront of our business strategy. The recent integration of our parent company Clough’s Target Zero programme has helped further raise our standard for health & safety throughout the company.” Martin Welsh, Managing Director, noted the importance of staff buy-in to these sorts of initiatives and was delighted to be able to include the younger generation in the campaign, by inviting young relatives of employees to design a picture that celebrates the company’s ‘Decade of Dedication’. “This fantastic attainment is truly down to the dedication, teamwork and collaboration of everyone at Booth Welsh. Our employees fully embrace our safety culture and we are very proud of their accomplishment to achieve our vision of Zero Harm to our people,

PROFILE

the environment and the communities in which we work,” he said. It is often the case that a company which cares for its employees and places their safety at the heart of its operations also extends this philosophy to the wider community and the environment. This holds true for Booth Welsh, and demonstrating this, in December 2015 the business achieved the environmental accreditation, ISO14001. Jim Conway explained the benefits: “ISO 14001 enables companies of our size to benefit from new business opportunities and demonstrate their environmental credentials. It is recognised internationally and the standard provides a straight-forward approach to using less energy resource and reducing waste. By becoming more resource efficient, we save money from reducing waste and usage. “Since our move to our new office space, we have been implementing various measures which promote our Zero Harm target to the environment including installing electric car

chargers, an ongoing programme of LED and P.I.R. lighting roll out internally and externally, recycling all waste, specific environmental training for authorised personnel and implementing an environmental monitoring management dashboard system allowing us to keep an eye on our carbon footprint and compare to previous years. Despite doubling our office size, if comparing like for like in 2014 to 2015, we have achieved a 60 per cent reduction in our carbon footprint.” Gary Mutter added: “In a world where sustainability and corporate responsibility is ever more prevalent, ISO 14001 is a tried and tested approach to demonstrate our commitment to reduce our environmental impact. In the competitive landscape we operate in, ISO 14001 can also help us retain existing clients by showcasing our high standards of practice and give them yet another reason to choose our organisation. I am delighted we have achieved this accreditation and look forward to building on our success in the future.”

Booth Welsh

What sets Booth Welsh apart from the competition is its unparalleled experience in providing tailored solutions to clients, safely, on time and within budget

Booth Welsh boothwelsh.co.uk

Services Full range of engineering services to clients across a range of sectors

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A proven

service With engineering

expertise reaching back to when the company was founded during the early 1950s, Hiap Seng Engineering Ltd. has established itself as a leading provider of engineering, procurement and construction (EPC) services across the oil and gas industry and beyond. Mr. Tan Kuay Hoe incorporated the company under the name Hiap Seng Engineering Works to provide services covering steelwork fabrication, with its first milestone project relating to the construction of storage tanks and related pipe work for BP Singapore in 1960. As the company continued to grow through expansions in operations and a series of strategic acquisitions and alliances, the business was rebranded as Hiap Seng Engineering & Construction PTE LTD in 1971. The company continued to grow in strength during the 1990s, winning the Business Times and Accenture ‘Enterprise 50’ award during 1995, 1996 and 1998. In 1999 the business was listed on the Singapore Stock Exchange and finally renamed as Hiap Seng Engineering Ltd. (Hiap Seng). Today, Hiap Seng operates as a fully ISO 9001 accredited company that employs more than 1000 people and maintains six manufacturing facilities that cover a combined total of more than two million sq ft. These facilities were certified for American Society of Mechanical Engineers (ASME) ‘S’ and ‘U’ stamps in 2003 and have since allowed Hiap Seng to establish an impressive track record with both local and

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internationally based multinational corporations (MNC). In 2010, Hiap Seng was recognised by Forbes Asia Magazine as one of the 200 best public-listed corporations under $1billion in revenue in the Asia Pacific. Hiap Seng is well positioned to undertake EPC projects for the oil and gas; petrochemical and chemical; power and utilities; and pharmaceutical industries in both Singapore and the surrounding region. The company’s core competencies lie in the fields of tanks and terminals, process piping, pressure vessels, process equipment installation and modular compression. Within the field of tanks and terminals, Hiap Seng takes pride in the building of a one million barrel capacity double deck floating roof type crude oil storage tank during 1981, which continues to represent the largest of its kind in South East Asia. Hiap Seng was also responsible for the erection of the biggest furnace in the world in 2007 on Jurong Island, the petrochemical hub of Singapore. Further to its EPC operations, Hiap Seng also manages comprehensive plant maintenance capabilities for refineries; petrochemical and chemical complexes; power and utilities; and pharmaceutical plants. Its core competencies in plant maintenance cover mechanical engineering; electrical and instrumentation (E&I) works; civil construction; refractory, insulation, blasting and painting works; and scaffolding services coupled with an in-house engineering capabilities. This

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allows Hiap Seng to complete maintenance solutions ranging from routine daily maintenance operations to total integrated plant maintenance (TPM) and planned turnaround maintenance. The routine daily maintenance provided by the company is an essential requirement to keep a plant in good running condition on a routine basis without affecting its day-to-day operation. Hiap Seng operations in this area entail the repair and replacement of components including gaskets, valves, piping, tanks and vessels, as well as heat exchanger re-tubing and tube bundle works in furnaces. In terms of TMP solutions, the company offers plant owners and operators complete maintenance coverage, where Hiap Seng undertakes the planning and management of the maintenance programs for the plant. This includes engineering; procurement of needed supplies and equipment; cost budgeting; and project management of all maintenance activities. The advantage of this for operators

Hiap Seng Engineering

maintenance and associated services has allowed Hiap Seng to continue to win new contracts despite the challenges brought about by the low cost of oil. During March 2016 for example, the company announced the award of contracts worth S$18.3 million for the provision of mechanical works. These are comprised of plant construction works valued at S$13.7 million due for completion by February 2017 and plant maintenance of S$4.6 million, which was completed during July 2016. Furthermore, during April 2016 Hiap Seng also announced the award of a refinery maintenance contract for the Singapore Refining Company (SRC), this is a three-year term contract for SRC that runs from 1st April 2016 to 31st March 2019 to provide plant maintenance services for the company’s refinery located on Jurong Island. With these proven contracts adding to the company’s already impressive track record, Hiap Seng Engineering Ltd. is set to remain a key player in Singapore’s oil and gas market for years to come.

Hiap Seng Engineering Ltd hiapseng.com

Services Engineering, procurement and construction

is that maintenance functions are totally outsourced by the plant owners allowing them to focus on the other higher value added aspect of the plant operations, thus ensuring efficient use of resources. Finally, the turnaround maintenance solutions provided by Hiap Seng requires the temporary shutdown of the plant and is usually undertaken on a planned basis. This involves the cleaning and upkeep of the plant and maintaining equipment that cannot be serviced during normal operation, as well as debottlenecking projects. The company’s comprehensive base of EPC, ENERGY,oil&gas

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Expanding the offering in offshore

renewables Global Marine

Above Cable Innovator performing platform-to-platform installations Below Providing technicians and vessel support to wind farm owners

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today is considered by many as a leading operator in subsea engineering. This enviable position is partly driven from a 165 year legacy that combines a passion for customer service, precise project execution and delivering complex installations in all corners of the globe. The company has successfully diversified into multiple industry sectors and currently operates in offshore renewables, power, oil & gas and deep sea research, alongside its more traditional telecommunications background.

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Its presence in the offshore renewables market dates back to the year 2000, when Global Marine installed inter array cables at the UK’s first offshore wind farm Blyth, and was subsequently involved in Horns Rev in 2002, Europe’s first commercial wind farm. In the intervening period, Global Marine’s vessel, the C.S. Sovereign, has continued to work extensively in the sector, installing 17 per cent of inter array cables globally. The company’s commitment to the industry has been further boosted by the acquisition of offshore wind specialist CWind, a company which in a short time has grown substantially, establishing itself as the go-to provider for operations and maintenance services for wind farm owners. The pioneering spirit that stems from the company’s involvement at the embryonic phases of both telecommunications and offshore renewables is entrenched into the business ethos and the values by which the company operates itself today. The company also has a strong foothold in the oil & gas sector, most recently completing two installation projects for Tampnet in the North Sea one a platform-to-platform project and the other installing a Cable End Module on to the seabed with precision. Speaking with Mikkel Gleerup, the

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Global Marine Systems

are making investments in, and I would say we have a very strong position to make a big impact. The UK government, like many others globally, has been really ambitious on UK renewable energy targets, and that for us is something we can support, both our customers locally and on a worldwide platform.” Another way in which Global Marine has reinforced its commitment to the renewable sector is with the purchase of a major stake in CWind. This is a clear message that the role it

Director of Sales & Commercial, he expanded on why diversification has worked for the business: “Obviously there are challenges in the market, oil & gas has been in a difficult situation, and as a result projects have been cancelled. But we are still seeing opportunities there, and for Global Marine we are focused on several segments: we are in telecommunication, we are in renewables, we are in oil & gas, which I think all adds up to a really strong portfolio. We see a lot of opportunities out there and we are in a position to partner up with companies that need someone with our kind of experience, and without question we can make a real difference to a project’s success.” No doubt, by being in so many markets it provides a level of insulation from the instability of any one or two of the sectors in which Global Marine is involved. Equally, it means that if one market suffers, another may be doing better, which would help offset the underperforming segment. The renewable energy industry is certainly a tempting one, as Mikkel highlighted: “If you look at the renewables market, it is still a growing market, there are a mix of numbers people predict for it, but we believe they are all promising. That is why it’s one of the areas we

will play in the renewable market is one that will grow in the future, and that Global Marine is here to stay. Mikkel explained why it went down this avenue: “The investment clearly reiterates our commitment to the renewable sector, and shows that we want to be present in it, and that we want to invest together and be a partner with our potential customers there. We are in this market to stay. Our customers will now benefit from a wider range of services from project concept right through installation and to the on-going operations and maintenance provision. This, we hope, will remove some of the challenges that wind farms owners experience liaising with multiple suppliers. We strongly believe that our combined offering is right and will meet the pace of change that the industry is experiencing.” While there is a focus to increase the presence of Global Marine in the renewable sector, there is a clear reiteration that this in no way lessens the commitment or service it extends to its other markets. This was a sentiment that Mikkel was crystal clear about: “As a company we remain a key player and want to continue to manifest ourselves in the renewable energy sector and expand our presence there, but not at the cost of any of the other sectors we are in. We are

Below Sovereign installing a Cable End Module for Tampnet

Above Mikkel Gleerup, Director Sales & Commercial

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Global Marine Systems

Left Sovereign performing wind farm operations

completely committed to these sectors, and future projects will be treated on a first come first serve basis rather than any sector getting preferential treatment. We have and will go on serving all our customers.” Mikkel was also keen to stress that maintenance has always been and will always remain fundamental to the business: “Telecommunications and maintenance are the backbone of the traditional business done by the company, and is also something we are looking to expand on across all sectors we are involved in.” With one industry stuttering, while another blooms, Global Marine is placing itself in

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a strong position, building a presence in a growing market, while maintaining importance in another sector, which will likely bounce back with new found strength. It is a reliable partner everywhere it places its expertise, with a reputation not to be sniffed at. Mikkel said the company has decisive ambitions for where it should get to: “We want to be the first choice provider of marine engineering.” Whichever sector its customers come from, they are sure to find the same level of quality and reliability, which really only points in one direction for Global Marine, and that is up.

Global Marine Systems Limited globalmarinesystems.com

Services Engineering and underwater services, desk top studies, route engineering, subsea cable installation and maintenance solutions

PROFILE

PCK Raffinerie

Fuel for

thought

The origin of the company goes back to December 1958 – when it added its name to the commercial register – since then Germany-based PCK Raffinerie GmbH has been a major part of the European refineries sector, and provided fuel to many across the continent. The company’s history is full of milestones, but here are just a small selection of highlights: In December 1988 it commissioned the world’s first and only high conversion soaker cracking unit. Several years after this in 1991-95 reconstruction and upgrade projects were undertaken that would make PCK one of Europe’s most advanced and efficient refineries. This has meant that since 1996 the company has been the refinery with the lowest processing costs in Western Europe. These accomplishments continued in the 21st century, as PCK went on to implement the auto-oil programme for the production of sulphur-free fuels. It also created a new unit in 2006 for the light gasoline etherification to chemically binding bioethanol in petrol. Then by 2010 for the first time it used natural gas. Later that same year it received the certification Energy Management System ISO 50001. PCK is among the largest companies in the state of Brandenburg and the most important in

the Uckermark region. Here, 12 million metric tons of crude oil is turned into mineral oil and petrochemical products each year. The primary products are diesel fuel, petrol (gasoline), kerosene, liquefied petroleum gas, heating oils and bitumen. Every year, PCK processes 12 million metric tons of it. The PCK site is one of the largest crude oil processing locations in Germany, and crude oil will likely remain a key source of energy in Germany for many decades. PCK profits from the strategic location of the Druzhba (Friendship) pipeline, which brings 25 per cent of the crude oil used in Germany into the country. Russian crude travels for three weeks through 5,000 km of pipeline before reaching Schwedt. Additional crude oil can be supplied to PCK through the pipeline from the port at Rostock. Berlin is supplied via the Seefeld product pipeline. Kerosene (jet fuel) is carried to Berlin’s Tegel airport by tank truck and to Schönefeld airport southeast of the city by rail in tank cars. Its entire logistics concept is therefore very environmentally friendly. Product distribution methods break down as follows: 60 per cent by rail, 27 per cent by pipeline, and 13 per cent by road. The shareholders of PCK help to ensure delivery of crude oil to PCK and then market the products produced in the refinery. Over ENERGY,oil&gas

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PROFILE

the past 20 years, the shareholders have invested two billion euros in PCK, primarily for cutting-edge technologies and for environmental protection. PCK processes some 12 million metric tons of crude oil to create a range of products, which includes petrol (gasoline), diesel fuel, heating oil, liquefied petroleum gas, bitumen, kerosene, sulphur, aromatic hydrocarbons (benzene, toluene, xylenes) and energy (electricity, steam). To meet the wide range of market demands, PCK produces some 20 different grades of fuel. PCK was one of the first refineries in Germany to use biofuels and is itself one of the foremost producers of high-quality biofuel components. PCK was also one of the first refineries in Germany to use biofuels and is a leading producer of high-quality biofuel components. Demonstrating its quality PCK Raffinerie GmbH also has a long list of certifications, some of which are: DIN EN ISO 9001, DIN EN ISO 14001, OHSAS 18001 and DIN EN ISO 50001. PCK and elf Tanklagerbetrieb Seefeld GbR is certified to DIN EN ISO 9001, DIN EN ISO 14001 and OHSAS 18001. PCK is a no-residue refinery. The last remaining crude oil components that cannot be used are converted into electrical energy in its combined heat and power plant. Half the energy it generates is fed into the state’s power grid. This modern power plant also supplies district heating to the city of Schwedt. The power plant boasts high-energy efficiency and low CO2 emissions. A three-stage flue gas cleaning system eliminates more than 90 per cent of the sulphur dioxide, nitrogen oxides and dust. Over recent years, PCK has invested more than 400 million euros in environmental protection projects, for example in desulphurisation units and scrubbers, and new furnaces for optimised combustion and lower emissions. There has also been the use of low-sulphur gas to fuel the furnaces, and a new power station with a three-stage scrubber: DeNOxing, dedusting, desulphurisation. Furthermore, PCK has funded the refurbishment of the tank farm to reduce hydrocarbon emissions and protect the soil, as well as the installation of an emissions monitoring system. The company has also supported the cleanup of pollutants left behind by the East German operators, a major ecological project carried out in cooperation with the Brandenburg state government, the ministry for the environment, in addition to the health and consumer protection.

PCK implements the highest personal, environmental and technical safety standards, which include monthly training courses on safety, regular instruction for employees, high-tech plant and equipment safety technologies, as well as employees provided with state-of-the-art protective clothing, tools and equipment. In case of doubt, absolute priority is given to the safety of people and protection of the environment. No activity is of such great importance that it cannot be carried out safely. PCK is a leading refinery in Europe, since its inception in 1958 it has always adapted and evolved through a changing economic, political, and technological environment. It has diversified, it has modernised, and as a result has ensured a positive future. PCK will be a key producer over the next century – whether that be through oil, gas, biofuel, or any other fuel source – it will no doubt be central to what many countries will run on.

PCK Raffinerie

PCK is a no-residue refinery. The last remaining crude oil components that cannot be used are converted into electrical energy in its combined heat and power plant PCK Raffinerie GmbH pck.de

Products The primary products are diesel fuel, petrol (gasoline), kerosene, liquefied petroleum gas, heating oils and bitumen, and biofuels

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Super

forging

With manufacturing roots

dating back to the early 1970s, euskalforging first entered into the field of ring-rolling operations during the 1980s. The company originally operated with a single manufacturing plant capable of producing seamless rolled rings of up to 1.5 metres and 400 kilograms, before gradually increasing its range to as high as 10.2 metres and 80 tonnes by 2015. As of 2016 euskalforging operates from three different locations throughout Northern Spain, encompassing 47,000m2 of manufacturing space. The company maintains five efficient ring-rolling machines across its manufacturing sites that enable euskalforging to offer one of the broadest ranges of rolled rings in the world, extending from four hundred milimetres to ten metres in outer diameter and from 30 kilos to 80 tonnes. Since the company was previously profiled in Energy, Oil & Gas magazine during July 2015, euskalforging has fully completed the commission of its fifth rolling machine, which was ordered from SMS Meer in September 2013 to help the company to continue to meet the ever-increasing demands for larger rings across

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a range of industry applications. “During the past 12 months euskalforging has worked to consolidate its previous investments and all of them are now fully operational. The company has also installed two new additional lathes, one of which is capable of machining rings up to ten metres of outer diameter while the second has a capacity of up to 12 metres outer diameter. With these new lathes euskalforging has been able to increase its turning capability by 15 per cent and faces the future with great solvency,” reveals a representative from the company. “From a customer point of view the company has been approved by Sumitomo to supply large rings of up to ten metres for their coke drums and has won several offshore wind projects to supply the flanges for the foundations of sites such as Dudgeon, Wikinger, Hywind and Galloper among others.” Within the oil and gas industry, euskalforging supplies seamless rolled rings that can have multiple applications depending on the level of added value requested. In this area the company provides a one-stop-shop solution where added value is provided in the way of machining, gear cutting, induction hardening or welding.

PROFILE

Indeed, the company is focused on delivering anything that the customer may need to save time and money to avoid costly and difficult transportation from one subcontractor to another. Additionally, the company is heavily involved in the energy sectors, including the offshore and onshore wind, nuclear, oil and gas, hydropower and tidal industries. The company’s proven track record in the energy market has recently allowed euskalforging to earn Siemens’ approval for use in the firm’s steam turbines. The industrial turbines are typically employed in power generation plants, with outer ring dimensions varying from as little as four hundred milimetres and up to three metres. “This is an important milestone for euskalforging as it positions the company as a key supplier of seamless rolled rings in the energy sector, while strengthening its presence in the turbine market and further developing its business relationship with a leading OEM,” euskalforging comments. “The qualification from Siemens was the result of a one-and-half year collaboration between the two companies and focused on different types of medium alloy grades and stainless steels with the possibility to increase the grade portfolio with further qualifications for superalloys in the future.” Further to its activities within the energy market, euskalforging is also heavily involved in other markets such as defence, mining, cement, power transmission, marine, food processing and capital goods. Additionally the company has further developed its position as a supplier of seamless rolled rings in titanium and superalloys. This has been the result of a process beginning several years ago in which euskalforging began a programme to develop its capability in the delivery of rolled rings manufactured using superalloys. During this process the company’s engineering team grew accordingly to support the business, while euskalforging invested in tooling and stock for several grades including alloy 718 and 625. Several trial rings were also produced to fulfil some of the most demanding specifications in different sectors such as oil

Euskal Forging

and gas, while EN9100 certification was also achieved for the aerospace industry. By operating within a broad application base, euskalforging is able to remain strong while the manufacturing industry continues to face a global downturn. Its continued investment into the provision of value added services and new products using supperalloys has also enabled euskalforging to increase its market position, as a company spokesperson concludes: “Unfortunately 2016 has not represented the recovery year that was initially anticipated, as many of the challenges reported in 2015 remain and the low oil price is not making it any easier. However, euskalforging faces the future with firm investments that position the company at the forefront of the market and the company is developing constantly into new and growing markets, both geographically as well as into new applications. In the offshore wind sector for example, the company continues as an industry leader when it comes to flanges for the foundations with a big market share and we will continue to look into new areas.”

Within the oil and gas industry, euskalforging supplies seamless rolled rings that can have multiple applications depending on the level of added value requested

Euskal Forging euskalforging.com

Services Manufacturer of seamless rolled rings and free forged parts

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Strong

connections Fraser Hydraulic Power

(FHP) began in 1986 when brothers Ron and Peter funded the start-up of the company with the sale of their small yacht. Initially only carrying out repairs on hydraulic systems in factories and shipyards in the Tyneside area, the company had grown from a two-strong organisation into an international business. A supplier of electro-hydraulic systems to a global customer base, FHP exports approximately 60 per cent of its products and operates from a new custom-built 28,000 square foot unit on Neptune Energy Park in Walker, Newcastle. One of the most cuttingedge facilities on the river, the base includes 10 tonne and 20 tonne overhead cranes and direct access to a deepwater quay complete with a 500 tonne crane. The facility also holds an electrical workshop, painting booth and welding booth and has an extensive external storage area. Since its establishment, the facility has seen multiple

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large projects through from start to finish. Complementing this strong customer base and state-of-the-art facility is the company’s versatile nature to market developments; with the industrial hydraulics market diminished, the company expanded into the subsea and oil and gas markets by acquiring new skills, personnel and adapting new technologies to provide customers with innovative solutions that can be relied upon. “FHP has flourished over the last 30 years and now represents an international specialist in the provision of offshore and cable lay equipment,” begins Sales and Marketing Manager Will Stephenson. “Alongside this specialism, FHP has provided a range of one-off specialised equipment, including test rigs, hydraulic power units and flushing systems. FHP’s unique range of rental cable lay equipment means that its fleet and offshore personnel operate globally for companies, large or small.” Having grown through recommendations

PROFILE

River Tyne is perfect for rental operations and incorporates a large workshop, paint and welding booths and easy access to the road network and river. Additionally, FHP equipment complements the IHC product portfolio very well and expands IHC’s ability to provide full turnkey back deck and vessel solutions to the industry on both a sale and rental basis,” explains Will. He continues: “Meanwhile, as part of Royal IHC, FHP can expand on the current rental fleet with new equipment from both the existing FHP product lines as well as rental equipment from across the IHC portfolio. Additionally, the global network of facilities and service centres allows FHP to provide extended local support to our clients. When it comes to our customer

from existing clients and industry contacts, the well-reputed and trusted FHP caught the attention of Royal IHC, a one-stop-shop for vessels, equipment and services for specialist maritime service providers operating within the dredging, mining and offshore industries. The group boasts around 3000 employees across its 36 global locations and earned group equity of 305.4 million euros in 2015. Acquired by Royal IHC in November 2015 with the aim of becoming Royal IHC’s offshore rental hub and base for rental operation going forwards, FHP will also benefit from an expansion in its current rental fleet as well as further mission equipment for offshore installation activities. “Royal IHC acquired FHP in November as a strategic move to develop the rental side of the business. As a growth point, FHP offered an existing rental fleet with a strong team of offshore personnel to assist in the expansion of IHC rentals. The newly built FHP facility on the

IHC FHP

FHP has flourished over the last 30 years and now represents an international specialist in the provision of offshore and cable lay equipment

base, the Middle East and Asia represent large markets for FHP, both in terms of sale and rental services. The presence of IHC service centres in these locations will only help FHP in supporting our clients locally and, with further investment from IHC, we will be locating rental equipment in numerous facilities across the globe to better serve our international clients.” Since becoming a part of Royal IHC FHP has won a number of flagship contracts. IHC FHP is providing a fully re-engineered cable lay suite that includes a cable drum engine, DOHB and 20 wheel pair Linear Cable Engine (LCE). “This project was committed to on a very strict delivery

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PROFILE

IHC FHP

schedule to meet a project requirement for our client and we are on track to deliver in line with expectations,” says Will. “Meanwhile, IHC FHP are supporting installation operations on two major European windfarm construction projects by providing rental tracked engines and LCEs.” A key workhorse in the company’s product portfolio, the tracked tensioner has worked on multiple projects in 2016 and, as part of the company’s fleet development, IHC is intending on building several more units for the fleet. “The IHC rental fleet will expand over the coming years and the reach will extend to pipelay solutions, diving equipment, module handling systems and subsea vehicles,” says Will. This starts with the addition of the Hi-Traq to the rental fleet. The Hi-Traq is a four-track trencher specifically developed for offshore wind cable burial and will be available for rental operations in 2017. Although oil and gas prices have caused turbulence within the offshore market, IHC FHP has continued to enjoy steady growth thanks to an increase in offshore renewables projects

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as well as a resurgence in the telecom market. With a strong order book and plans to expand its rental fleet, Will sees a positive future ahead for the firm: “From having vertically integrated internal partners, we have the ability to provide clients with full back deck spread solutions to facilitate their offshore operations. There are opportunities out there and with IHC behind us, FHP has an opportunity to grow both in Europe and on a global basis.”

IHC FHP royalihc.com fhpltd.co.uk

Services Cable laying equipment and services for telecoms, oil and gas and offshore wind

PROFILE

First Marine Solutions

The first choice mooring

provider Why choose FMS? We believe we have the largest inventory of mooring equipment in the North Sea S We have one of the modern hire fleets S We have experienced and trusted personnel S We are in a strong financial position with growth aspirations despite the current environment S We offer industry leading competitive rates based on our equipment quality Since the company was first established during 2009, within the oil industry hub of Aberdeen, UK, First Marine Solutions (FMS) has grown into a trusted energy service and equipment organisation that has delivered mooring solutions to clients on a global basis. Operating as part of the Scottish First Tech group of companies, FMS is able to deliver a comprehensive package of services to the offshore energy market including: S Rig moving applications; S Mooring equipment rental and sale; S Marine and technical consultancy; S AHV vessel selection and audits; S Survey and positioning services; S Mooring line inspection. “As part of one of the largest privately owned groups of oil service companies in Scotland, we are a customer focused business. FMS is

a specialist in providing support to offshore drilling activities for the oil and gas industry globally and our fleet of mooring equipment encompasses the latest design and technology with the most competitive rates available in the industry, putting the most modern hire fleet at our clients’ disposal,” explains General Manager, Brian Reid. First Marine Solutions maintains an extensive portfolio of mooring equipment, which is available to clients through both rental agreements and direct sale. Its comprehensive package of mooring equipment includes associated components such as drag embedment tools, vertical lift anchors, and mooring chain in grades R4 and R5. These are designed to enable the deployment of systems such as conventional catenary systems, taut systems, inverted catenary systems, as well as composite mooring systems with polyester and wire inserts for MODUs and FSO/FPSOs. Furthermore, through the use of modern dynamic positioning (DP) units, the company can offer innovative thruster-assisted mooring solutions. When it comes to rig moving operations, FMS develops its safety critical procedures in conjunction with its clients. The company’s tow masters act as Offshore Installation Managers (OIM), while a marine expert is stationed aboard ENERGY,oil&gas

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the rigs vessels to provide reliable advice and analysis to the OIM to ensure a smooth and safe rig moving operation. As the rig move service provider, FMS assists its clients and rig owners with a full planning and risk assessment of the operation according to industry legislation, design regulations, guidelines and industry best practice. Based on the findings of this risk evaluation, the company can advise its clients with regards to the actions to be taken in order to control and mitigate any risks that may be associated with the final rig move. Further to its rig moving and mooring operations, FMS also delivers a full spectrum of spooling and mooring line inspection services. Indeed, the company owns and operates one of the most modern fleet of spooling machines in the UK, comprising 75 tonne and 150 tonne machines that are capable of handling 150 tonnes of wire or fibre rope on a single reel. In addition we have umbilical spoolers and carousels with up to 400t capacity. The spooling machines have been developed in association with leading manufacturers to ensure that the

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equipment is safe to operate and able to provide the necessary back tension and speed control. All of the companyâ&#x20AC;&#x2122;s equipment is extensively tested for offshore use and is operated by fully trained and experienced personnel. In terms of its mooring line inspection services, FMS is able to provide a full package of service requirements relating to as-laid review of installed anchors and mooring lines. By utilising its expert in-house personnel along with trusted third party partners, it is able to offer services including: S ROV support vessels S ROV inspection procedures S Expert personnel S Review of as-laid mooring lines S Conditional analysis of components S As-laid anchor position S Analysis of findings The company is also able to offer services should intervention be required post review. â&#x20AC;&#x153;Through a series of long-standing partnerships with vendors, we can provide the best equipment at the most competitive

PROFILE

prices. Our highly skilled on-site teams have proven experience in the deployment and recovery of mooring systems in both simple and complicated operating conditions in shallow and deep water,” Brian says. “FMS has delivered these services worldwide for some of the industry’s largest drilling contractors including Transocean & Maersk, oil operators such as Cairn Energy, BP and Total. To support these operations our dedicated team is also on hand to deliver replacement components; specialist vessels; experienced on-site teams; and targeted recovery, change out and deployment procedures.” First Marine Solutions’ third party partners include the trusted survey and positioning company, Interocean Survey with which it is able to offer a vast range of positioning equipment. “Our equipment is fully owned by FMS and operated by Interocean giving our clients the security of knowing that our provision of survey and positioning equipment and technology is

First Marine Solutions

on leveraging its strengths and comprehensive suite of offshore services to further enhance its operations within the North Sea, Canada and Africa, while developing its presence in new markets such as Southeast Asia. “FMS differentiates itself from some of the competition in that we own all of our equipment outright. We have one of the most modern mooring fleets that is fully certified and operational and have invested in a dedicated quayside facility in Montrose Port that offers the rapid mobilisation of vessels, of up to two at a time, at a dedicated deep water quayside with a 8.5 metre draft. With the addition of vastly experienced personnel who know how to work under pressure and to tight deadlines, we offer an unrivalled service to the client,” Brian concludes. “Although conditions are very challenging due the current oil industry downturn, we see opportunities in the growth of floating offshore wind farms and in the maintenance and repair of moorings for FPSOs.”

The company owns and operates one of the most modern fleet of spooling machines in the UK, comprising 75 tonne and 150 tonne machines that are capable of handling 150 tonnes of wire or fibre rope on a single reel First Marine Solutions firstmarinesolutions.com

Services Energy service and equipment organisation

the best available,” Brian details. “We are able to provide in-field rig positioning services, remote anchor handling vessels (AHV) positioning services, the provision of highly skilled hydrographic offshore survey personnel and project management services on a global basis.” During the next 12 months FMS will focus ENERGY,oil&gas

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future A template for the

Large Diameter Drilling Ltd (LDD) is a global provider of marine foundation solutions. With expertise spanning across nearshore and offshore industries, its team is passionate about providing the best solutions for each project. Through the company’s engineering and contracting track record, it has reached an established position as a leader in the delivery of marine foundation solutions across the globe. The expertise and passion to solve problems drives it to design, build, manufacture and operate a range of equipment to meet project specific challenges. Its teams’ focus is getting it right first time, on time, every time. The core strength of LDD comes from the quality of its design and engineering team, something that has been an essential part of the business from the very beginning. This has manifested in recent developments, which senior contracts manager Mark Richards discussed: “To make construction of offshore wind turbine foundations more efficient and to lower the overall cost, an installation method

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was conceived where foundation piles were installed in the seabed in advance of the delivery of the jacket structure.” The previous method implemented among the subsea industry was by laying the jacket on the seabed and then pinning it with foundation piles. However, the accuracy required for three or four piles placement makes it a precarious challenge, and one that has to be achieved in deep water. LDD has managed to find a solution to this, and Mark shed some light on the advancement: “Working closely with our client Offshore Windforce, LDD developed a pre-piling template (PPT) that comprises a large steel space frame, with four pile guide towers. In each of the guide towers we use hydraulically controlled guide rollers to control pile position and verticality very accurately. The rollers are powered and controlled by subsea hydraulic power packs, which in turn are controlled via umbilical from a programmable logic controller (PLC) based interface in a control cabin on the deck of the vessel. The PPT is lowered towards the seabed,

PROFILE

Large Diameter Drilling

subsea environment over a large number of cycles.” There are promising results from the field so far, which Mark explained: “Operations are going well, more than 50 per cent of the jacket foundation piles have been installed and post installation survey shows them to be within tolerance. This has been confirmed recently by the installation of the first jacket into the piles we installed, without a hitch. Our crew offshore is supporting the operation and maintaining the system throughout the fieldworks.” The success of this will be further developed as the company works on the three-slot version of the PPT for triangular jacket structures. LDD collaborated with other Acteon companies in order to fully achieve this, which Mark was able to shed some light on: “Our sister company UTEC NCS Survey worked closely with us from the start to deliver an accurate, reliable and user friendly survey system which works with the hydraulics, control and instrumentation system on the PPT. MENCK GmbH provided two MHU1200 hydraulic impact hammers to drive the foundation piles and systems for noise mitigation.” The company has also benefited from a longstanding relationship with Armada Group. It is a key local supplier to LDD, and is on hand to provide mobilisation of hydraulic driven

To make construction of offshore wind turbine foundations more efficient and to lower the overall cost, an installation method was conceived where foundation piles were installed in the seabed in advance of the delivery of the jacket structure

placed in the correct orientation, and then set down. The system then levels the PPT using powerful hydraulic rams, controlled using input from sensitive inclinometers. Once the PPT is level, the four foundation piles are placed in the guide sleeves, using a range of survey and hydraulic ram sensors to control the accuracy of the driving. To mitigate noise each guide tower is fitted with pipework that distributes air into the water column, this generates a curtain of bubbles which helps dissipate the noise.” The next stage once all the piles have been driven in is to remove the frame and reuse it. The PPT was designed to help one specific client of LDD but it is hoped that the concept will be utilised for many others in the future. Mark presented some of the key strengths of using this method: “It has a proven track record in installing these multiple pile arrays within very tight tolerance, reliably and efficiently. The systems we designed have a high level of redundancy built in and this has meant that the PPT has operated reliably in the very harsh ENERGY,oil&gas

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PROFILE

Large Diameter Drilling

devices. Like LDD, Armada Group recognises the need for regular travel to Rotterdam in order to advertise technical capabilities to Dutch contractors, which are considered to be some of the best in the world for the sector. Mark praised the relationship between the two companies: “They support us in our job – designing and supplying the hydraulic mechanisms and fittings that we require for the complex frames we produce. The Armada group is very attentive to

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our needs, and quick to respond, which is very important to the finished result.” The future of LDD looks bright - it has clearly invested with a focus on research and development that has resulted in breakthroughs like PPT. Whatever a company’s needs LDD has the capability to ensure the delivery of pile installations, even in difficult seabed conditions. LDD will no doubt continue to find innovative ways for the industry to progress.

Large Diameter Drilling Ltd lddrill.com

Services Marine and sub-sea foundation installation

PROFILE

Endress+Hauser

A measured

partnership

Operating as a family-owned business founded in Lörrach, Germany, Endress+Hauser is a proven-market leader in the design and manufacture of instrumentation and measurement systems. Today, the instruments and measurement systems manufactured by Endress+Hauser are employed by clients across the industry segments including Oil & Gas, Petrochemical, Utilities, Primaries & Metal and Food & Beverage and are supported by a comprehensive package of consulting, training, and after sales services.

Sixty-three years after its foundation during February 1953, Endress+Hauser still continues to expand as a trusted measurement-engineering specialist. Its success is due to the continuity of a prudently run family-owned business that is fully committed to the critical principle of satisfying both the needs and requirements of its clients. ‘First serve, then earn’ was one

of the mottos of company founder Georg H Endress (1924- 2008) and it has lost none of its validity to this day! As of 2016, 47 sales centres and more than 80 representatives around the globe sell products, services and solutions delivered by Endress+Hauser, while production sites in 12 countries are engaged in continued manufacturing and development. Thanks to the established global roots of the business in various different regions and industries, the Endress+Hauser Group is well placed and able to cope with cyclical fluctuations within various industries. The lean and highly networked organisation of the company guarantees a high level of flexibility and a rapid response as required. The Group presently employs around 13,000 personnel across the globe and has crossed €2.1 billion in annual sales. Further to its growing manufacturing and sales capability, Endress+Hauser supports its customers in optimising their own processes in terms of reliability, safety, economic efficiency and environmental impact. Its products and solutions are well accepted by respected end-users across a broad base of industry applications and as a result, the installed base of Endress+Hauser products has constantly increased over the years to more than 40 million devices worldwide. To ensure that the company is able to provide excellent service to its growing customer base, Endress+Hauser manages a comprehensive support network of professionals ENERGY,oil&gas

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to aid customers at every stage of product implementation and usage. “Our dedicated service organisation supports the customer during the installation, commissioning and full life-cycle of Endress+Hauser devices. Service is an important and integral part of our offerings. Today’s challenges include heightened cost pressures, tightening of regulations, lack of skilled staff willing to work in a process plant and the complexity of a multi-vendor installed base with a mix of new and old technologies,” observes Prasanth Sreekumar, Head of Marketing at Endress+Hauser’s Middle East Support Centre. “Whatever the location or the industry, our service force of over 1000 experts is strategically located worldwide ensuring active local presence to help the customer to achieve their business goals. These are divided into three main aspects; support, service and optimisation and are taken care of by our experts and based on process knowledge and technical expertise obtained over more than six decades.” The full Endress+Hauser product portfolio comprises of a comprehensive selection of instruments designed to measure variables

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such as flow, level, pressure and temperature. In addition to its collection of measurement devices, the company is also able to deliver associated packages including analytical tools, software and system products. Strategic acquisitions of recent years reinforce Endress+Hauser’s position and expand the fields of activities. Subsidiaries such as Analytik Jena, SpectraSensors and Kaiser Optical Systems added know-how in the areas of laboratory analysis and advanced process analyser systems for liquids, solids and gases. This extensive portfolio allows Endress+Hauser to offer proven solutions that address several measurement tasks and is fully standardised and aligned for enhanced safety and efficiency. Setting up of Endress+Hauser sales centres around the world has paid off time and again as it helps in being closer to the customer and provides even better customer service. Endress+Hauser started operations in the Middle East region in 2006 as a branch of Endress+Hauser Instruments International focused on regional support and development. Over the past years, it has grown to more than

PROFILE

250 personnel and has dedicated resources for sales, service, marketing and project support for the region. Sales Centre Qatar in Doha has been operational since 2009; the Saudi Arabia subsidiary started operations in 2012 with head office in Al Khobar and branch offices in Riyadh and Jeddah. As a commitment to the Middle East region and to optimise customer support on the Arabian Peninsula, Endress+Hauser established another sales centre in 2014 in the UAE and now operates in the market with two offices at locations in Abu Dhabi and in Dubai. Endress+Hauser UAE LLC has a dedicated and strong team of 50 employees. The sales centre is equipped with resources for sales, services and project management. “We fulfilled our primary goal to ‘support the region from the region’,” says Prasanth Sreekumar. During March 2016, Endress+Hauser further enhanced its service offering with the introduction of the world’s first radar for measuring liquid levels using a transmitting frequency of 79 GHz. The new Micropilot NMR81 is specially designed for high accuracy custody transfer applications and is certified by independent test authorities to an accuracy of up to ±0.5mm. The device utilises a transmitting frequency of 79 GHz, which produces a sharply focused beam angle of 3°. In contrast, a 10 GHz radar instrument with an antenna of the same size has a beam angle of 21°. Measurement even in tall narrow tanks or near to the tank wall is highly reliable because the radar beam avoids objects such as pipes or baffles on tank walls. By making use of targeted focusing, Micropilot NMR81 makes it easier to measure down to the tank bottom, because by using 79 GHz technology the beam does not hit the converging interior walls. In general, longer measuring ranges than with other technologies are possible while the accuracy stays the same. Heartbeat Technology™ is another unique concept introduced by Endress+Hauser. This technology basically stands for reliable selfmonitoring of a measuring point without process interruption and diagnostic signal output according to NE107. Heartbeat Technology™ provides full flexibility for traceable proof testing, thanks to built-in diagnostics, verification and continuous monitoring functions. Heartbeat Technology™ has been designed to add value in critical dimensions, such as the safety of the processes, the quality of the products and the availability not only of the metering point itself, but of the entire plant.

Endress+Hauser

The continued introduction of new technologies and its dedicated focus on after sales and full service support has made Endress+Hauser a steady industry leader. This position will further allow the business to continue to expand its global presence throughout the rest of 2016 and beyond. “Endress+Hauser has been the technology leader with best-in-class products and solutions to cater to critical and challenging applications in the process industry. Its research and development programme in Europe has strived to keep up the market pace in terms of technology and innovation and more than 6500 active patents and patent applications explain the technology superiority attached to them,” Prasanth concludes. The Group has developed from a specialist in level measurement to a provider of complete solutions for industrial measuring technology and automation, with constant expansion into new territories and markets.

Endress+Hauser mesc.endress.com

Services Industrial measurement and automation equipment

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Plans in the

Founded in Bologna, Italy, by Ottavio Frata in 1959, SALP SpA began operating in land reclamation in the Po Valley before entering the oil and gas sector, which was being established in Italy by the ENI Group Oil & Gas at the time. Soon this business segment became the company’s main activity, with a key focus on construction and maintenance of natural gas networks; a field in which SALP SpA can today provide comprehensive turnkey solutions. In 1971 the company made the strategic decision to move to Friuli Venezia Giulia, where it continued to acquire experience in maintenance activities with regards to plants, refinery and pipelines for both oil and gas customers; it has also developed a proactive and effective approach regarding safety and quality over the years. “SALP SpA today is specialised in oil and gas pipeline constructions,

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oxygen pipelines and aqueducts as well as sewer systems, roads, riverbank protection, soil stabilisation and hydraulic protection, which is all thanks to our broad technical and professional knowledge, excellent equipment and technicians. We operate internationally as a contractor, with expertise in oil and gas stations and pipelines up to 60 inches, including ancillary activity; we are also able to propose a wide range of services to our clients,” begins Pier Luigi Catenazzi, Business Development Manager at SALP SpA. A leader in its field in Europe, SALP SpA’s technical expertise, combined with the high potential of its technicians and equipment, has enabled it to work with major Italian and foreign companies, with excellent results. “In the last three years alone SALP SpA has completed three big projects in Italy, between 48 inches and 56 inches for more than 100 km of pipeline and

PROFILE

SALP

or an emergency, the company performs with optimum versatility with the goal of delivering maximum plant efficiency and customer satisfaction. “Large diameter projects make up to 50 per cent of our contracts, while maintenance and plant projects take up the remaining 50 per cent of our turnover,” says Pier. “However, we do believe that large diameter, without all other activities we are involved in, is not enough for us to be competitive; each pipeline project is unique, our strength is that we focus on that.” Alongside pipelines projects, the company also provides plant engineering services for compressor stations, pumping stations, measuring stations and reduction stations. For these contracts, the company uses innovative technological resources, high quality equipment and qualified technical staff to ensure continued satisfaction for clients. “The biggest challenge in the market is achieving maximum customer satisfaction,” notes Pier. “Because of this, we tackle each challenge with safe, reliable and innovative solutions and keep training and

a scraper station, big compression station and all types of crossing through the utilisation of horizontal directional drilling, micro tunneling, raise boring, river crossing and auger boring services. We have also been involved in the delivery of 100 km of pipeline and an associate station in Bulgaria as well as several projects in Kurdistan, Iraq. The revamping of the oil centre of ENI in Viggiano, Potenza, and Mazara del Vallo Sicily was also a challenging project for us,” says Pier. Able to intervene on pipelines of large diameter and high pressure, SALP SpA uses its experience, technically advanced equipment and its highly qualified and competent workforce to undertake various morphological conditions; these include the plains, mountains or land with the presence of water or river crossings. To ensure a prompt solution to each customer’s challenge, whether it is planned

local context at the top of our priority so we are proactive, generous and respectful to the cultures we approach. Furthermore, we are committed to sharing our expertise with the local content by following specific guidelines that promote the development of local suppliers. We do this through initiatives such as the professional growth of managers with international qualifications in areas such as the environment, quality, health and safety, finance, project management and construction.” Due to the nature of the projects being undertaken, the company has developed a proactive and effective approach to safety over recent years, as Pier states: “Safety first is what our people believe and they have thus adopted a healthy lifestyle to guarantee a better future for themselves and the company. Furthermore, because of SALP SpA’s efforts in developing knowledge and competencies of our personnel ENERGY,oil&gas

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PROFILE

SALP

through our training centre, the sharing of experiences and the implementation of safe working practices, our safety performance data shows continuous improvement.” As the oil and gas industry remains, sluggish SALP SpA will ensure it remains in demand by focusing on customer satisfaction through ongoing improvements in all areas of its operations. Moreover, the company is strategically seeking out opportunities to expand into new target markets such as Africa, while also strengthening its presence in areas such as the Balkans and Iran. “We are looking into new markets while also developing new welding technology to meet the evolving needs of our customer base; we will also be entering the field of destructive testing, revamping, maintenance and telecommunications. Because the market is going to become increasingly competitive, we believe we must seek out our own opportunities, which, once founded, could result in proposals,” concludes Pier.

“Understanding and implementing the expectations of our customers by providing a high quality service, competitive and in line with health and safety regulation of workers and environment.” With this philosophy S.A.L.P S.p.A has been growing and developing its know-how in the Oil & Gas industry since 1971 covering the many aspects of this important part of the world’s economy. It provides turnkey projects related to the construction of both gas and oil pipelines and control stations by offering technical support and equipment related to the maintenance of gas networks and pipelines and by planning and building infrastructures. After having established itself as one of the most important Italian companies in its field, S.A.L.P S.p.A. expanded and has started working in Bulgaria, Germany, Switzerland, Iraq, France, Libya and Kazakhstan. Its internationalisation continues steadily and sustainably marked

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by a profound knowledge of its abilities and skills. It has offices in North Africa, the Balkan area and in the Middle East where it operates and successfully works together with local institutions. Its large fleet of vehicles and equipment, multicultural and ambitious staff and its financial capacity allows it to respond quickly and professionally to its customers’ requests whilst respecting local institutions, minimising risks at work, avoiding pollution and optimising consumption. The company believes in hiring highly qualified staff and offering them a work environment which encourages them to reach their full potential. With this background and its willingness to constantly improve, S.A.L.P aims to strengthen its presence in the European and International market more and more.

Frata Ugo

We are looking into new markets while also developing new welding technology to meet the evolving needs of our customer base

SALP SpA salpspa.eu

Services Contractor in the construction of oil and gas stations and pipelines

PROFILE

Chart Ferox

Delivering

excellence

Above The first Chart LNG vehicle fuelling station for Shell in Holland

A wholly owned

subsidiary of Chart Industries, Inc., Czech Republic based Chart Ferox supplies equipment for the cryogenic storage and distribution of liquefied gases, including air gases (nitrogen, oxygen, argon), carbon dioxide (CO2), liquefied natural gas (LNG) and other hydrocarbons. The range of equipment and systems available from Chart Ferox is very comprehensive, and thanks to its wealth of expertise and industry knowledge, the company is no stranger to working with blue chip clients on major contracts. For example, recently it has been involved with a groundbreaking project where 35 nations are collaborating to build the world’s largest ‘tokamak’,

a magnetic fusion device. Called ITER, (‘The Way’ in Latin) it is one of the most ambitious energy projects in the world today, with the aim to prove the feasibility of fusion as a large-scale and carbonfree source of energy. In May 2016, Chart Ferox manufactured two massive tanks each measuring 35 m x 4.5 m for ITER, which will form part of a cryoplant and will require special arrangements to be transported from the port of Marseille, Fos-surMer, to the ITER construction site at Cadarache. The tanks will be used as ‘quench tanks’ for helium storage when needed, and represent a fundamental part of a project that includes a number of world firsts.

Right Biggest cryogenic tank in the world delivered to Norway in 2012

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Above Alternative energy source for cruise ships in the Port of Hamburg

Below Chart helium tanks for ‘tokamak’ project

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While the Chart Ferox name is synonymous with standard and custom engineered cryogenic storage technology, in fact the organisation’s portfolio extends far beyond these products and the company is paving the way for the adoption of LNG as a safe, economic and green alternative to diesel in Europe. “The majority of our business is still focused on technical gases, however we are slowly moving towards a bigger portion of LNG, and we will be focusing on that area as that is where we see the most opportunity for growth,” commented Hans Lonsain, President of Chart D&S Europe. “Since we were last featured in Energy, Oil & Gas in 2013 the maritime LNG segment has seen expansion and we have been developing mobile bunkering solutions, including a project for a hybrid power ship in Hamburg, multiple LNG fuelling systems for maritime applications as well as nitrogen vaporisation and storage packages for floating LNG (FLNG). There are still big opportunities in

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the marine space, which is only just starting to develop and I think that sector will continue to mature and expand geographically.” He added: “In a joint venture with VTG, Chart Ferox has developed a rail car for the safe transportation of LNG on Europe’s rail network. The rail car has been fully approved and tested and made available to the market.” Hans also noted that Chart Ferox is seeing clear opportunities in LNG for vehicle fuelling, with LNG fuelling stations being constructed across Europe. “This used to be a one off event but there is now a developing infrastructure of stations and an ever increasing amount of vehicles equipped to run on LNG in this emerging segment,” he said. “Despite the recent fall in global oil prices, LNG continues to offer an attractive, cost competitive alternative to diesel, while proving to be a more environmentally friendly option as well.”

PROFILE

A perfect example of how Chart Ferox works in this area is Shell’s first European LNG Fuelling Station, which opened in Rotterdam in March 2015. Chart Ferox’s detailed scope of supply included engineering, fabrication, installation and commissioning of the LNG storage tank, off-loading, pump skids, control and safety system, interconnecting pipe work and the LNG dispensers. The station has the capacity to fuel around 170 heavy-duty vehicles every day and, with Chart’s technology, meets the industry’s highest technical and safety standards. All Chart Ferox LNG stations can be supplied with a CNG fuelling option making them suitable for fuelling all natural gas powered vehicles. From speaking to Hans about the variety of sophisticated projects Chart Ferox is undertaking, it is clear that the organisation’s commitment to continuous improvement is setting it apart from the competition. “I do believe our dedication to innovation, combined with our global supply capability and end-to-end product portfolio has put us where we are today,” Hans confirmed. “We have a global presence, which means we are one

of the only cryogenic suppliers who can really supply in every country in the world, and we have a manufacturing presence in all the major world economies, which is a huge asset. We supply throughout the complete LNG value chain, from liquefaction plants through to end use equipment, so I would say we are the most complete and innovative supplier in the market today.” Maintaining this position is where the company’s focus remains and Hans believes the key to continued future success lies in a flexible approach: “We see demand for products is changing quickly, so what we need to do is create an adaptable, flexible and responsive organisation able to satisfy a range of different requirements with short lead times and without sacrificing quality. “This will bring challenges such as retraining staff, changing the layouts of factories and finding the balance between just in time manufacturing while maintaining the level of expertise and excellence synonymous with Chart. But, the market is asking for flexibility and that is what we will be striving to deliver.”

Chart Ferox

I do believe our dedication to innovation, combined with our global supply capability and end-to-end product portfolio has put us where we are today

Chart Ferox chartindustries.com

Services Supplies equipment and systems for storage and distribution of liquefied air gases and hydrocarbons

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Schofield Publishing Ltd 10 Cringleford Business Centre Intwood Road Cringleford Norwich NR4 6AU T: +44 (0) 1603 274130 F: +44 (0) 1603 274131 Editor Libbie Hammond libbie@schofieldpublishing.co.uk Sales Director Joe Woolsgrove jwoolsgrove@schofieldpublishing.co.uk

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