Page 1

margins Healthy workforce, healthy Mentally and physically fit staff can benefit morale as well as deliver tangible results on the bottom line

A modern oracle A technological solution designed to help innovators and investors in offshore and onshore wind and solar power Train to gain A capable workforce will not only support economic growth and future jobs but will also help to secure an internationally competitive skills base for the UK

Also in this issue - SPE Offshore Europe review

issue 125 OCTOBER

Editor Editors Chairman Andrew Schofield Editor Libbie Hammond Profiles Editor Andrew Dann Staff Writers Jo Cooper Ben Clark Art Editor Gérard Roadley-Battin Production Manager Fleur Daniels Business Development Director David Garner Corporate Advertising Sales David King Sales Director Joe Woolsgrove Operations Director Philip Monument Business Development Manager Mark Cawston Research Managers Ben Richell Natalie Griffiths Editorial Researchers Jeff Johnson Wendy Russell ­Office Manager/Advertisement Administrator Tracy Chynoweth Digital Subscriptions Iain Kidd digital

Industry commentators are concerned with the UK Government’s lack of clarity regarding renewables what are your opinions?

Positives and negatives

Were you

at SPE Offshore Europe? The figures are in and the feedback I’ve seen has been incredibly positive - attendance figures remained very strong at 55,947 with delegates drawn from 104 countries. In fact, attendance was the second highest in the long history of the show. To see our full report, go to page 32. Moving on from the event to the wider industry and the past month has seen a lot of activity in the UK – some positive and some negative. The UK Government’s decision to guarantee the Hinkley Point C nuclear power plant indicates nuclear’s central and vital role in the UK’s energy future, but its policies regarding renewables were less promising, with cuts to subsidies for onshore wind and solar energy. Industry commentators are concerned with the UK Government’s lack of clarity regarding renewables what are your opinions?


© 2015 Schofield Publishing Limited all rights reserved 10 Cringleford Business Centre Intwood Road Cringleford Norwich NR4 6AU T: +44 (0) 1603 274130 F: +44 (0) 1603 274131

@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, 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.






Those innovating in on and offshore wind, as well as solar power, can now access a new online tool that allows a ‘glimpse into the future’



Some of the recent developments within the oil and gas industry



The application benefits and possibilities of selective plating for the oil and gas industry


Market Report

The current North Sea oil and gas market and how to navigate the current conditions



The benefits of keeping your employees healthy – both mentally and physically


Lead two

When it comes to the current skills shortage, the industry must first understand the reasons behind it and then take proactive action



Businesses in oil and gas need to embrace Big Data and harness the benefits


Special Feature

Naomi Anderson discusses ‘Project Nexus’ and highlights what actions need to be taken to prepare your business for this change



Different personalities regard health and safety in different ways – understanding overall team risk highlights strengths and gaps


Exhibition - SPE Offshore Europe 2015

The future of the offshore oil and gas industry was under the spotlight at the biennial SPE Offshore Europe 2015 conference and exhibition



Danish Marine and Offshore Group (DMOG) DMOG is on hand to collaborate with its members to provide invaluable support in adapting to the present needs of the market

4 2


Profiles SPE Offshore Europe focus

36 Subsea Innovation 38 Atlas Copco Rental 40 EPSCO 42 Evoqua 44 Houlder 46 Hubtex 46 49 Pittsburgh Corning Europe 52 BST Supplies 56 Viewsafe 61Pipetawse 64 Ipark AS/The Accelerator 66 Dril-Quip 70 VENKO Offshore 73 OGN Group 75 ATI Tank Hire 79 Hydroscand 79 83 Kuantan Port Consortium 85 Pentair

Industrial Heat Tracing Solutions

88 OceanMaster Engineering 91 Ansaldo NES 95 Marine Assets Corporation 98 Apache Egypt 101 ASCO 105 Dammam Shipyard


108 Hydra Arc Group 110 ACWA Power 115 Clarke Energy 117 Vattenfall 120 Punj Lloyd 120 122 Gabon Oil Company 125 Statoil Refining Denmark 128 Reach Subsea 130 Apache North Sea 132 MCPS 135 Tube-Mac Piping Technologies 137 Greenray 140 Skagen Sandblæseri 142 Avalon Sciences 145 Global Marine Systems 147 McPEC Marine


171 NETZSCH 174 Smit Lamnalco 178 176 SAMCO 178 Aveng Grinaker-LTA 185 Kongsberg Maritime 190 Fugro Geos 192 Crummock Oil and Gas 194 Poole Process Equipment

& Offshore Engineering Pte Ltd

150 Roxar 152 Balltec Engineered Solutions 154 Menck 156 Petromarker 158 CAPE Holland 168 160 Norvento Enerxía 163 Valmet 165 Paenal Shipyard 168 Cyrus-RW ENERGY,oil&gas


oracle A modern

Antoni Martínez explains why now more than ever, we need the best and brightest minds to create technology that transforms power generation

Below Antoni Martínez, Chief Technology Officer Renewable Energy, KIC InnoEnergy



or 1200 years, the great and the good of Ancient Greece visited the oracle at Delphi for advice on everything from their personal lives to affairs of the state. In a trance, the Sybil would speak on behalf of the sun god Apollo, answering questions, giving orders, and making prophecies. According to legend, and more recently confirmed by Hellenic scholars, the source of the oracle’s power was not a direct hotline to Mt Olympus, but a so-called vapour – probably ethylene – that escaped from fissures in the rocks and, in the words of Plutarch ‘polluted the earth’. Today, predicting the future is a little more prosaic: sacrificial goats and prayers to the gods have been replaced

European oil & gas

by data analytics and sophisticated modelling. But conversely the impact of harmful gases has now become a global issue, with countries all around the world suffering from the impact of global warming. The path to securing a sustainable future is not always a straightforward one. We are not blessed with the assistance of an oracle, so how can the energy ecosystem – encompassing start-ups, industry, researches, and venture capitalists – best understand where to focus their efforts, and harness the ideas that stand the best chance of success?

Global energy context The importance of a stable and secure energy supply to continued international economic development cannot be


understated. As the world nears a population of eight billion, at a rate previously unthinkable, the pressure is starting to show. What few natural resources are left will soon run out, once abundant energy supplies in many parts of the world are depleting and the environmental impact is being felt by us all. But at the same time, the world is in flux. There are many factors at play when it comes to investing in ideas that will shape the sustainable future of tomorrow. The tumultuous international political scene, financial instability, and budget constraints; as well as grid availability and the nuances of country-specific regulation all help to muddy the waters. With global energy demand projected to increase over the coming decades, particularly from emerging economies

such as India and China, there is a need to lift our sights and take a longer-term view, creating a reliable, affordable, and clean energy supply that is largely resilient to these unpredictable variations. Crucially, not one technology provides the overall answer, especially as each has its own energy-generating characteristics; instead, a diverse energy mix is the best approach.

The cost of innovation Sustainable technologies are gaining ground with an energy transition that is widely supported, and indeed incentivised, albeit in smaller and smaller sums, by governments worldwide. However, despite the clear demand for and benefit of

European oil & gas


Against the backdrop of a volatile geopolitical and financial scene, an international desire to mitigate the effects of climate change and increasingly complex hydrocarbon extraction, we are becoming less reliant on fossil fuels. Yet, we need to generate more energy to meet predicted future demand. The solution rests on the shoulders of the innovators

innovation, the cost of is high, it is hard to predict, and the route to market is often laborious with funding hard to access. But innovation is critical to achieving the sustainable energy future that global society demands. This dynamic must change to ensure that the benefits of innovation in sustainable technologies are realised quicker, and with fewer bumps in the road. Now, it is imperative that innovation happens to transcend the challenges faced by the renewables sector, such as high development and deployment costs; infrastructural availability; and the length of planning and approval processes. Government incentivisation and favourable policy, coupled with cross-industry and border collaboration, is crucial; yet long-term success depends on the ability of these innovations to attract investment from both equity and debt sources. Doing that will make it easier to bring viable, efficient and powerful innovations to market quickly; and it is achieved through an improved prediction of the cost of


European oil & gas

innovation to prioritise development efforts, and drive down the cost of energy. The lower the levelised cost of energy (LCOE), the lifetime cost of a technology per unit of energy generated, the better the potential of a project, and the more likely a product is to attract funding for development, build and deployment.

Enabling Innovation Innovation does not discriminate. Inspirational ideas for technology that truly make a difference are just as likely to come from individual entrepreneurs, SMEs an component manufacturers as they are from governments, major utility companies and multi-nationals. For years, these established, large organisations have been using their own in-house predictive models to provide greater visibility of the impact their technology has on the LCOE, thereby clearly demonstrating the return on investment to attract funding, prioritise research and


and innovators to see into the future. Simply put, it makes it easier for those innovating in on and offshore wind, as well as solar power, to better demonstrate a product’s impact on the cost of energy. By having sight of what the future may look like, we can help them to secure funding and investment, and in turn, speed up the development process and market availability. By providing a series of cost models and datasets to analyse the impact of technologies on the future cost of energy, Delphos can enable the research community, industry, policymakers, investors and students to make informed financial or comparative decisions on specific technologies and the role of innovation in the sector. Users can input their own data to run specific scenarios. Delphos, currently being used by the UK’s Carbon Trust, also takes into account the product’s marketability and considers real-world effects to ensure a realistic LCOE prediction.


development efforts and, for policymakers, understand the required role and reach of future incentives. However, these tools are simply out of reach for individuals, start-ups or smaller businesses. If we allow this to continue, who knows what great ideas and inspirational approaches, to our detriment, will remain untapped. We need an accessible, collaborative approach to channel that expertise; one that makes it easier to identify which technologies we should prioritise for development and one that consistently demonstrates the impact of the innovation on the LCOE, helping to attract investment and shape policy.

Delphos – predicting the future for renewable energy Our focus is on enabling innovators to do what they do best – creating new and exciting models that could potentially revolutionise the future of sustainable energy. And to help that happen, we’ve launched Delphos – an online tool inspired by the Oracle at Delphi – which allows inventors

Against the backdrop of a volatile geopolitical and financial scene, an international desire to mitigate the effects of climate change and increasingly complex hydrocarbon extraction, we are becoming less reliant on fossil fuels. Yet, we need to generate more energy to meet predicted future demand. The solution rests on the shoulders of the innovators. More innovation can reduce the overall cost of energy, yet the means to easily predict specific technology’s impact on the cost of energy, to attract investment and bring powerful technologies to market quickly, has until now been out of reach for many of these entrepreneurs. The predictive powers of the Oracle at Delphi have never been more in demand. So those that didn’t previously have access to the ability to predict their LCOE, now have free online access to the powers of Delphos. This goes someway to giving SMEs, government, component manufacturers and research organisations the tools they need to bring innovations to market – by enabling and inspiring the relentless pursuit of innovation.

KIC InnoEnergy Antoni Martínez is Chief Technology Officer Renewable Energy, KIC InnoEnergy. KIC InnoEnergy, founded in 2010, is the European company promoting innovation, entrepreneurship and education in sustainable energy. Supported by the European Institute of Innovation and Technology (EIT), and top players in the European energy industry sector, KIC InnoEnergy’s aim is to make a positive impact on the sustainable energy field. To achieve this goal, the company develops Master’s and PhD programmes, supports innovation by bringing innovative products and services to the market, and helps create successful start-ups. For further information please visit:

European oil & gas


Decommissioning duo Bibby Offshore has delivered two multimillion-pound decommissioning contracts to the UK Continental Shelf in 2015. As Barry Macleod, Managing Director of Bibby Offshore UKCS explained: “Decommissioning work has been a key area of focus for Bibby Offshore for many years and as a result, we have built up a strong track record. "UKCS decommissioning costs are forecast to reach in excess of £50 billion over the next 35 years. Decommissioning operations in particular are specialist by nature in order to ensure that all materials and often complex infrastructure are removed and disposed of safely and responsibly, with minimal environmental impact.” Endeavour Energy appointed Bibby Offshore to perform operations in the Renee and Rubie fields located in blocks 15/27 and 15/28 of the Central North Sea, approximately 115km east of Aberdeen. The 60 day agreement, which was completed in Q3 of this year, involved Bibby Offshore’s dive support vessel (DSV) Bibby Sapphire and construction support vessel Olympic Ares, completing the recovery of subsea equipment including cross-over structures, umbilicals and protection mattresses. Bibby Offshore also successfully completed work for Tullow Oil SK (TOSK) throughout April and May 2015, utilising DSV Bibby Topaz to perform decommissioning operations at the Orwell and Wissey subsea installations, including the tie-ins at the Thames and Horne and Wren platforms, in block 49/28 of the Southern North Sea.



Get into position French oil major Total, operator for the Egina oil field offshore Nigeria, together with its construction and survey partners, has successfully installed a Fusion 6G subsea positioning network to support its development of the $15 billion project. Supplied by Sonardyne International Ltd, UK, the acoustic technology specified for Egina, which is still ongoing, included a field-wide array of Compatt 6 seabed transponders that were deployed and made ready for work eight days ahead of schedule. Located 150 kilometres off the coast of Nigeria, in water depths of up to 1750 metres, the Egina field covers an area of around 500 square miles. Infrastructure will include an FPSO, an oil offloading terminal and subsea production systems that will included 52 kilometres of oil and water injection flowlines, 12 flexible jumpers, 20 kilometres of gas export pipelines, 80 kilometres of umbilicals, and subsea manifolds. Production at the field is expected to reach 200,000 barrels per day at its peak. Fusion 6G is Sonardyne’s sixth generation of Long BaseLine (LBL) acoustic positioning system, and is widely considered the industry standard tool for subsea construction and survey thanks to its performance and time saving features. Using Fusion 6G, major tasks such as structure installation, spoolpiece metrology, ROV tracking and route surveys can be completed quickly, reliably and accurately in any water depth.

Forecasts for China Platts has launched a new analysis platform that forecasts the key supply and demand dynamics of domestic oil and petroleum markets in China. Platts China Oil Analytics is a web-based platform that allows energy producers, traders and analysts to access detailed supply/demand analysis, volume forecasts and news together with refining margins and trade flows spanning the Chinese oil market. This includes fundamentals for crude oil, refined petroleum products and the refining industry in China. “China is driving demand across global oil markets, and increasingly impacting oil product supply. There remains strong interest amongst investors and producers in developing a deeper understanding of China’s oil consumption patterns and refinery capabilities,” said Karen Chan, director of Product Management for crude and refined oil products, Asia-Pacific. “Our forecasts integrated in Platts China Oil Analytics show that despite the slowdown in China’s economic growth, the near-term outlook for crude imports is surprisingly, more optimistic.” Platts forecasts the country will remain heavily reliant on imported crude to feed its burgeoning coastal refining hubs as the development of domestic shale and other unconventional energy sources is expected to remain muted. Platts also expects the proportion of Middle Eastern crudes in China’s overall imports will decline from 52 per cent today to under 50 per cent in the next five years as other region’s suppliers gain market share.


Emulsion technology SulNOx Fuel Fusions Plc and the University of Cambridge’s Department for Chemical Engineering and Biotechnology (CEB) have signed a two-year research project to determine detailed scientific knowledge of SulNOxEco Fuels - the fuel emulsion that significantly reduces harmful emissions and fuel consumption. The two-year partnership represents the next exciting landmark for SulNOx. Utilising unique fuel emulsification technologies, the company supports all users of hydrocarbon fuels (fossil and synthetic) in reducing pollution from exhaust emissions, with the company’s immediate focus on the international shipping, mining, rail and power generation sectors. When combined with standard fuels and water, SulNOxEco Fuels technology works by lowering flame temperatures in combustion engines to significantly aid the fuel to burn more efficiently, thereby drastically cutting particulate matter by over 90 per cent and nitrogen oxides (NOx) by over 60 per cent, while achieving up to an eight per cent improvement in energy efficiency. Professor Nigel Slater, Head of the Department of Chemical Engineering and Biotechnology, from CEB, added: “While the practical results of SulNOxEco Fuels technologies are readily provable and well documented, there is a lack of fundamental scientific data to explain how the technology works to support results in the field. CEB aims to provide that detailed and fundamental scientific knowledge.”

Wave power Bosch Rexroth and wave energy machine developers, Aquamarine Power and Carnegie Wave Energy, have taken a significant step towards the creation of a standardised, self-contained offshore electricity generator, with the announcement of new funding to support the project. A Scottish Government grant of £2 million has been awarded by Wave Energy Scotland to the consortium to fund the development of full scale WavePOD (Wave Power Offtake Device) designs. The industry wide collaboration tackles one of the biggest challenges in the emerging wave energy industry – the generation of reliable and cost effective electricity at sea. WavePOD will provide a commercial solution to the problem most wave energy developers face in transforming reciprocating linear motion into electrical energy. It comprises an offshore hydraulic generator housed in a sealed nacelle that converts wave energy into electrical energy, which is then cabled back to shore. Louis Verdegem, ocean technology specialist at Bosch Rexroth, said: “The WavePOD project has the potential to transform how we harness the power of waves, and provide large quantities of indigenous, renewable energy whilst reducing our dependence on imported fossil fuels. “We are beginning to see extremely positive results from our tenth scale prototype and, with the backing of the world’s leading wave energy developers and Wave Energy Scotland, we are very excited at what the future holds for WavePOD.”



solutions Surface

Derek Vanek discusses the application benefits and possibilities of selective plating for the oil and gas industry


hy take the surface to the tank when you can take the tank to the surface?’ is the idea on which the portable, selective brush plating process is based. Applying engineered surface coatings can provide a wealth of benefits including protection against corrosion and wear. However, with many surface finishing options available, including thermal spray processes, IVD, PVD, tank



plating and selective brush plating, choosing the right one for a particular application can be a complex task. So when should you choose selective plating? There are many benefits to choosing selective plating, including the ability to accurately focus the plating onto specific areas of a component, enabling parts to be plated in-situ, helping to minimise downtime and production delays. This is particularly beneficial in an industry which has very large components that can be difficult to transport and where every hour of downtime can cost the platform operator thousands of dollars in lost production. Selective plating is best suited for localised areas on simple shapes such as inside and outside diameters or flat surfaces. In contrast to tank plating, the SIFCO Process does not require extensive masking or special fixtures to plate the component. The length of time a plating operation will take is primarially determined by the amount of material that needs to be


applied. SIFCO Process deposits can be plated at rates that are 30 to 60 times faster than conventional tank plating. The performance and cost differences that these factors can make to maintaining, enhancing or repairing critical components can be significant, hence why it is important to consider all of the variables involved before deciding which surface finishing process to specify. Whilst damage from wear, corrosion or mis-machining can be repaired using selective, brush plating, the SIFCO Process should not just be considered for repair or salvage. The full range of pure metal and alloy deposits available with the SIFCO Process offer enhanced wear resistance, increased surface hardness, low electrical contact resistance or corrosion protection for OEM component applications.

and to compensate for any rig movement. The significant gouge on the cylinder caused by the lightning strike would cause severe leakage at the cylinder seals, threatening production and the loss of thousands of dollars for each hour of downtime. Using SIFCO ASC’s AeroNikl 7280 for corrosion protection and Cobalt 2043 to cap the repair for hardness and to protect against surface wear, the CMC was back in full operation within 24 hours – saving potentially three months downtime to replace the shaft.

A typical operation using the SIFCO Process The SIFCO Process was developed more than 50 years ago, and was initially used for industrial repair applications, with early acceptance by the US Navy.

Oil and gas is an industry that is highly demanding when it comes to surface finishing performance requirements. So how is the process used here? The oil & gas industry is highly demanding of material performance, often operating in hostile, challenging environments, where the cost of downtime resulting from component failure can be extremely high. The SIFCO Process is well proven, and extensively utilised, within the oil & gas industry in a wide range of applications from OEM component manufacture, to provide enhanced wear or corrosion resistance, to repair, where the process portability is important in reducing expensive downtime. Let’s look at some specific application examples. One common application is silver plating onto dynamic sealing and bearing surfaces in drill bit components for lubricity. Another common application is the use of selectively plated copper onto premium threaded connections, for drill pipes, risers, tubulars, and couplings in order to prevent galling during make-and-break operations. SIFCO ASC is approved by industry leadering licensors for oil thread design to apply these critical deposits as well as to train operators from approved companies, worldwide, to apply copper onto premium threaded connections because SIFCO’s Copper Select Technology and Training Program meet the highest standards in the industry. For oil & gas producing operations, there is no escaping the challenge of corrosion due to the harsh marine and subsea environment. The properties of AeroNikl make it an extremely popular material to be selectively plated in highly corrosive applications such as high-chloride down-hole applications. Additionally surfaces that are mechanically damaged are often plated with a combination of copper and AeroNikl. An example of such a repair carried out in-situ with the SIFCO Process was the repair of critical damage – caused by a lightning strike – to a crown-mounted compensator (CMC) on an oilrig in the Gulf of Mexico. The CMC is responsible for applying constant tension to the drill string



'& GUIDANCE MARINE BEST PRACTICE – OFFSHORE OIL PLATFORM TARGETS Local reference sensors have undoubtedly played a key role in improving the safety and uptime of Dynamic Positioning (DP) operations. The CyScan (laser) and RadaScan (microwave) reference sensors are two examples commonly found on offshore supply vessels. Like all reference sensors these rely on targets being deployed on the platform to enable station keeping and initiate lift operations which often last many hours. Regardless of the sensor technology being used, the performance of the local reference is dependent on the number of targets deployed, their position on the platform and their condition. A poorly positioned target is one that doesn’t offer continuity of DP operation from the moment the vessel enters the platform 500m safety zone to the moment where supplies are being transferred. Similarly a target that can easily be obstructed by a container being lifted onto the platform is not in an optimum position. Where the crane configuration on the platform is such that no single position offers all the necessary coverage or a relative vessel heading must be maintained (e.g. FPSO), it may be necessary to deploy multiple targets and provide clear instruction to the vessel as to which target will best suit the circumstances. The position and number of targets are the main preconditions but poorly maintained laser tube targets (most commonly installed on platforms due to their low cost) covered with dirt are of little use when they can’t be easily acquired and tracked by a sensor at the necessary range. It should come as no surprise that the best performance and coverage is achieved when the platform takes responsibility for the deployment of targets. Only through careful planning during target installation and by putting in place regular maintenance work (where required) can we ensure that Platform Supply Vessels (PSV) operations benefit from a good local reference. It is the recommendation of Guidance Marine that each platform undergoes installation and regular maintenance inspections on all their platform instrumentation (targets) to ensure maximum efficiency of the reference sensor. Unfortunately our operational experience shows that it is often the responsibility of the vessel to deploy targets on the platform as the first step in the supply operation and then to recover them at the end. This is not ideal as the targets are not always handled with care (at best damaged, at worse lost) and the target location may not be optimum or may differ between vessels, which would require repositioning during the supply operation (or lift). For instance, it is not unusual for platform personal to hang targets off the railing with ropes, leaving them moving in the wind and potentially causing loss of signal or poor performance on the DP system, which could compromise the PSV station keeping position. At Guidance Marine we’re in the business of safety and it is our objective to work with oil majors and IMCA to implement best practice guidelines for target installation.




Over the years, the SIFCO Process was developed to service a wide range of industrial repair and manufacturing applications. The range of metals used in selective plating is extensive. The SIFCO Process is used to apply any metals that are traditionally carried out by tank electroplating, the most common being; nickel, copper, cobalt, nickel-tungsten, cobalt chromium carbide, silver, gold and platinum. There are several preparatory steps in which a work area is prepared to receive an adherant deposit. The appropriate preparatory procedure is determined by both the substrate of the component and the plating solution to be applied. The process can be carried out manually, it can be mechanised, or it can be automated for high volume applications. The thickness of the plating is accurately controlled through use of an ampere-hour meter and once the required ampere hours are reached, plating is stopped and finished with a final water rinse and dry.

Automating the process for high volume Selective plating is a precise and effective method for the enhancement of localised surfaces on OEM components and can be mechanised or fully automated to meet the demands of high volume plating applications. We recently developed a semi-automated workstation for Powell Electrical Systems Inc., a division of Delta/ Unibus, which reduced the processing time to selectively plate non-cyanide silver onto each side of its copper bus bars by 90 per cent. Its portability and versatility has allowed the SIFCO Process to be employed in some of most challenging

locations and applications around the world including submarines, space stations, hydro-electric power stations, nuclear power plants, oil rigs in remote locations and on critical aircraft components. Selective brush plating has dramatically evolved from its origins of repairing existing plating jobs, and is now considered an overarching term describing a highly technical process used for repairing or improving the surface properties in an array of circumstances. It is specified at initial engineering design stage as well as being called out for component repair. The various advantages provided by the SIFCO Process, combined with the wide range of engineered deposits, make it an attractive choice for OEM and repair applications. Whatever the requirements or size of a job, selective plating should always be considered a viable alternative to other methods of metal deposition.

SIFCO APPLIED SURFACE CONCEPTS Derek Vanek works at SIFCO Applied Surface Concepts (ASC), part of Norman Hay plc. SIFCO Applied Surface Concepts provide practical, cost-effective selective brush plating solutions to improve part performance and reduce manufacturing costs through corrosion protection, increased wear resistance, increased hardness, improved conductivity, anti-galling or slip. For further information please visit:




opportunities James Cook and Paul Teuten take a look at the North Sea oil and gas market

Below James Cook, Managing Director at Duff & Phelps

Below Paul Teuten, Managing Director at Duff & Phelps


ven for an industry known for its volatility and cyclicality, the speed of developments over the last six months has taken many people in the oil and gas sector by surprise. Energy companies across the whole sector are facing substantial challenges caused by the current oil price environment. What is already becoming clear is that there will be ‘winners’ and ‘losers’ as a result of the current turmoil. The question many companies, investors and other stakeholders are asking is ‘how can you limit the damage in the short term and go on to create value from the unique opportunities caused by the down cycle?’


European oil & gas

Current market conditions It is well understood that the cause of the rapid oil price decline was the imbalance in supply and demand caused principally by production growth from Russia, Iraq and the US, where shale production has created an opportunity for US energy independence; and Saudi Arabia’s unwillingness to be the swing producer in response to this production growth. There are ongoing questions over the stability of the Middle East producers in the mid-term, with ongoing unrest between Saudi Arabia and Iran, together with the social upheaval in Libya, Syria, Yemen, Egypt, Tunisia, Nigeria and Somalia. This all points to significant risk to future supply. Closer to home, companies operating in the UK

Market report

continental shelf are some of the most vulnerable to lower oil prices. Whilst there are still 23 billion barrels of oil available to extract from the North Sea, the average costs of production have increased by 400 per cent in the last ten years. The cashflow cost to producers in 2014 was an aggregate cash loss of £5 billion, the biggest shortfall since the 1970s and an unsustainable trend. In addition, North Sea capex increased from £6 billion in 2009 to £16 billion in 2014, yet production continued to fall at ten per cent per annum over the period, highlighting the rising cost of bringing new production on-stream. Capex and operating costs needed to reduce significantly in the North Sea and this would have been the case without

the fall in oil prices. The expectation now is for capex to halve by the end of next year and we are already seeing production costs coming down. Producers are targeting a 40 per cent improvement in operating costs and the service companies we’ve been speaking to have all experienced rate reductions of between ten per cent and 40 per cent since the start of the year. With its high costs and deep-water exploration, the North Sea was amongst the first to feel pricing pressure as producers started early to cancel or delay projects. This has continued in the new year with significant pressure being applied to the supply chain to reduce costs through contract negotiations. As these negotiations continue, there will inevitably be winners and losers. But this shake out was needed to bring

European oil & gas


the costs of operating in the region back to reality. After the shock at the precipitous fall in oil prices and disbelief that they could remain so low, there is now an acceptance within the industry that oil prices, despite the recent uptick, will remain in the $60 to $70 per barrel range for the foreseeable future. This is the new normal by which all industry participants should be planning their future operations.

M&A There is an expectation that these challenging market conditions will provoke substantial M&A activity in the sector. But with the exception of the Shell/BG deal, few large deals have been announced. There are several reasons for this: firstly the impact of reduced spend in the industry is only now hitting companies; actually 2014 was a pretty good year for many and it is only in these next quarters that the pain will really be felt. Secondly, there are few sellers - there are lots of buyers in the market but they are expecting to pay lower values; owners may need to get used to no longer being able to achieve double digit multiples for their assets but this reconciliation to the new normal is going to take time; and there is little panic amongst owners to have to sell now. But the expectation is that this will change over the course of this year and next and we expect to be busy after the summer.


European oil & gas

The other influence on deal activity is the banks’ reaction; in the UK the lending banks are perceived by the industry to have had a knee jerk reaction to the uncertainty, with many having stepped away from committing to any more lending and being much more selective in regard to their interactions with clients. The feeling in Aberdeen is that there is a lack of understanding amongst the banks, not helped by the physical distance between them. Banks are feeling the pressure however, as alternative sources of funding start to take interest in North Sea assets. The competition amongst buyers is anticipated to increase as long-term strategic players and PE houses with new dedicated energy funds compete for deals. We’ve also seen a continuing strong focus on technology in recent M&A transactions, as investors see this as a catalyst for improvements in efficiency, which will be the key to viability of certain fields. Corporates looking to make strategic acquisitions will be in direct competition. Whilst there is huge investor interest and vast sums of money ready to be put to work in the sector, buyers are having trouble pulling the trigger on opportunities due to the risk of the unknown. In short, it’s going to take a while for everyone to adjust to the new environment before normal M&A activity resumes.

Market report However, once a clear path to financial stability has been established, the market offers opportunity for those that are ready to go on the offensive. For those seeking to make smaller steps, there are a large number of very talented people that have been let go as a result of headcount reductions: this represents a huge opportunity to selectively make high quality additions. For the more ambitious, acquisitions across new geographies and service diversification to spread risk and increase opportunities will be attractive. Whilst large-scale consolidation in the market is definitely still on the cards as companies seek to take advantage of weakness in the sector, the race for assets is more likely to resemble a marathon than a sprint.

DUFF & PHELPS James Cook and Paul Teuten are Managing Directors at Duff & Phelps. Duff & Phelps is the premier global valuation and corporate finance advisor with expertise in complex valuation, dispute and legal management consulting, M&A, restructuring, and compliance and regulatory consulting. The firm’s more than 2000 employees serve a diverse range of clients from offices around the world.

With its high costs and deep-water exploration, the North Sea was amongst the first to feel pricing pressure as producers started early to cancel or delay projects. This has continued in the new year with significant pressure being applied to the supply chain to reduce costs through contract negotiations

For further information please visit:

Going forward Coming back to the question of how to navigate through the storm and create value in this market, we consider that companies and investors need to be play a long term game – initially being defensive in the early stages of this cycle.

Key areas of focus should be: 66 Liquidity issues and cost reduction to match demand. Companies should right size their business based on the current oil price environment, rather than the hope of price increases in 2015, and assume that revenue and margin pressure will persist. 66 Treat customers as partners. Companies will be in a better position if they build stronger relationships with their best customers. We see service providers entering in to longer-term contracts and offering bundled services/ offerings to increase customer retention. 66 Lender management. Leveraged businesses need to talk to lenders early and be realistic about how the business is likely to perform for the balance of the year. Don’t pretend that sales will increase when there is no chance of this happening. Banks should respect realism. 66 Financial flexibility. Companies should look at alternative sources of capital rather than rely on existing lenders.

European oil & gas


margins Healthy workforce, healthy Lynne Reid explains the benefits of keeping your employees healthy


eart attacks and strokes are the main causes of medical emergencies offshore, according the recently released Oil and Gas UK Health and Safety Report 2015. It cited the top three causes for failing medical Below assessment by offshore oil and gas employees globally in Lynne Reid, 2014 as cardiac disorders, hypertension and weight. HR Director at The oil and gas industry is calling for global change. Maritime Assurance and Consulting Changes to shift patterns, changes to governance and changes to safety measures have all been top of the agenda. But, basic health and wellbeing of individuals is increasingly part of the equation for business success. Overarching goals of the modern industry are to maintain



and improve safety, drive collaboration and future proof technologies. These are pressing issues but take groups of people to solve. Committing to healthy practices can be achieved by every individual. However, with support from an employer and peer involvement willpower can be enhanced and results improved.

A healthy mind The Department for Business Innovation and Skills conducted a study and released a 2014 report entitled ‘Does Worker Wellbeing Affect Workplace Performance?’ Its focus was to take the subjective topic of wellbeing of employees, evaluate how it is defined and measure its potential impacts


on workplace performance. It also sought to plug a gap in the UK workforce picture that previously had little data linking wellbeing with staff performance. The study worked under the understanding that subjective wellbeing at work is influenced by a person’s own characteristics and personal circumstances combined with the workplace itself, including people, conditions and compensation. It notes that from a policy perspective the features of the job and the workplace are of most interest, but that individual characteristics are also important as they shape each employee’s experience of work. It was found that subjective wellbeing is affected by the requirements of a job but also depends on the task being

clear and predictable. This was termed as ‘environmental clarity.’ Environmental clarity also comes from feedback, which allows employees to be more effective, and also serves as a form of recognition, alongside the likes of promotion and pay increases. Control and variety is also desirable in the workplace, with low control associated with greater depression and greater control allowing employees to manage the demands placed on them by their job. Repetitive tasks are known to be of low satisfaction and jobs with high satisfaction were favoured over the likes of promotion opportunities. Another key differentiator in the study was the opportunity for skill use. A match in a person’s skill set with a role in employment



We’ve found that the programme helps businesses to look after their staff health and wellbeing in practical ways, raises morale and helps with staff retention. It includes little things like having fruit available in the office to teambuilding exercises. The health checks can also give early indications of potentially serious conditions

had a positive impact on job satisfaction, while training and development enhanced this further.

A healthy body With aspects of wellbeing in mind it is worth looking at the impacts of and the impact on the body in the workplace. There is a spectrum of conditions that afflict workers within the oil and gas industry, from the sedentary lifestyles of office workers to the hard graft of a North Sea roustabout. These physical tolls are compounded by the mental challenges, but with careful management a healthy workplace can be achieved. Health and Safety Executive (HSE) reports that sick days,



as a result of current working conditions, cost upwards of ÂŁ14 billion per year, based on factors including the financial impacts on individuals, their employer and the NHS. This was echoed by the Chartered Institute of Personnel and Development (CIPD) which calculated sick days at 6.6 per person up to 2014. Under HSE regulations, workplaces must provide certain facilities, including toilets and hand basins, drinking water and storage for belongings as part of welfare. Good ventilation, ambient temperature, suitable lighting and enough space are also stipulated in health rules. Some business owners and management go further with additional seating, quiet zones, cafeterias and even gym facilities.


and also our talented people onshore. Healthy Working Lives has greatly helped with our aims, and we were pleased to achieve gold in the NHS Healthy Working Lives Awards, a scheme to help employers create a safer, healthier, and more motivated workforce. This is not a one off award, it is a scheme that requires ongoing activities in order to retain the level attained. Activities ranged from ‘lunch and learns’ educating on serious health issues which are increasingly impacting our lives, such as obesity and stress, to making healthy smoothies together in the staff kitchen. Everyone benefitted from this programme. People lost weight, blood pressure was lowered and as a team we felt better about ourselves. The team has also been hiking in the beautiful mountains of Scotland. The investment of time towards this programme was substantial for a company of our size. But renewed commitment to looking after our health has benefitted every aspect of our business and lives. There is a lot to be said for working and achieving healthy goals together and I’d encourage more businesses to think about what they can do. We definitely feel better about ourselves and the business. There is a new, tangible energy in our office and it is delivering benefits to our bottom line.

Julie Phillips, Healthy Working Lives advisor for NHS Grampian said: “We have been working with MAC for more than two years. The company first went through the bronze programme with us, then completed silver and gold within a year. This proves their commitment and proactive approach, they really embraced the scheme. Staff were motivated and MAC’s contractors were involved too. “We’ve found that the programme helps businesses to look after their staff health and wellbeing in practical ways, raises morale and helps with staff retention. It includes little things like having fruit available in the office to teambuilding exercises. The health checks can also give early indications of potentially serious conditions.”

A healthy direction At MAC we worked closely with employees to implement the NHS Healthy Working Lives initiative. Experts have told us that people work better when they are fit and healthy. This felt like common sense to us and keeping our people safe, healthy and happy has always been a priority. The offshore industry is classed as a major hazard industry where health and safety procedures and incidents are under the microscope. Rough conditions at sea combined with long hours and physical labour can have adverse effects on the body and mind. MAC is committed to healthy working practices amongst our multidisciplinary team, which routinely travels offshore,

maritime assurance and consulting Lynne Reid is HR Director at Maritime Assurance and Consulting (MAC). MAC offers a comprehensive range of support services to the marine, construction, drilling and floating production industries around the world. The company has an experienced team of master mariners, marine, electrical and structural engineers and naval architects to service the entire lifecycle of a marine asset. For further information please visit:



gain Train to

John Kerr explains that in order to address current concerns surrounding the UK’s skills shortage, we need to first understand the reasons behind it, and then willingly take action to do something about it 22



report released by the London Chamber of Commerce and Industry (LCCI) and KPMG, confirms that the UK is experiencing a significant deficit in competently skilled workers in the construction and utilities industries. Indeed, if current trends continue, it is estimated that up to half of the existing employees in these sectors will leave by 2023. The report concludes that this situation can only be rectified if such skills gaps are filled quickly and effectively. Similar concerns exist in the oil and gas sector and will be brought to the fore if the UK Government’s proposals for widespread shale gas drilling are enacted. Suddenly, the true extent of the skills gap will be laid bare. It shouldn’t take such extreme threats to understand that a

Lead two

well-trained workforce, can bring huge benefits to employers and the wider economy alike. Such a capable workforce will not only support economic growth and future jobs but will also help to secure a high level of internationally competitive skills base that will strengthen UK industry as a whole. Awareness of the problem is clear, but why has it occurred in the first place? I believe there are a number of reasons to explain why the skills shortage has become so severe. The impact of the recession, and its associated economic uncertainty, is naturally assumed to be the main cause of any skills crisis, but there are consequential issues at play that better explain the exact reasons behind the current situation. Take, for example, the findings published by UKCES, which suggest that the issues are rooted in recently diminished ‘off the job’ training, together with a reduction in training

intensity. These factors have consequentially led to the creation of a stagnant workforce and one that lacks the skillsets to perform to required standards. Put simply, insufficient investment has been made for too long. The only way now to begin filling the growing skills gaps is to do more, and quickly, or else the disparity between abilities and needs will only increase further. The solution, from Develop Training’s point of view, is to get workers trained, or re-trained, and that these needs have never been more pressing. Apprenticeships are one solution for employers to address short- and long-term skills shortages, through the implementation of bespoke, managed, programmes or similar packages of individually tailored Non-Vocational Qualifications (NVQs). Apprenticeships form a key part of the Government’s economic strategy but recent statistics suggest that there has actually been a year-on-year fall in apprenticeship programmes. One of the leading reasons as to why the adoption of apprenticeship schemes has fallen by the way side in recent years is funding. The complexity of finding means of financial support, in addition to appropriate frameworks to meet companies’ specific needs can be a hindrance. I believe that this trend can be curbed if specialist thirdparty training providers are brought on-board. The right training partner can offer a versatile, cost-effective, and highly successful means of recruiting new operatives into the industry through either an Apprenticeship route or, more importantly, by retraining experienced practitioners who are seeking, or needing, a career change. Such partners can also serve as valuable guides within what is often seen as a training minefield with its complexities of funding, accreditations, nationally recognised frameworks and teaching methods. Take an emerging concept, such as the Government’s commitment to Trailblazer Apprenticeships, which provides a robust and practical means of boosting skills in the workforce. This scheme will give employers greater control over the planning and implementation of their apprenticeship schemes, and heighten the need for appropriate training providers. For this particular route to be effective, however, companies need to have the right guidance and introduce schemes that are tailored to address companies’ specific skills gaps. I feel that this is where Develop Training excels. Using its extensive experience in the facilitation and delivery of apprenticeships Develop Training has delivered more than 1000 apprenticeships for its key clients, such as Scotia Gas Networks and McNicholas, and boasts a retention and success rate of over 95 per cent. We take what companies need most into account and develop high quality on-site and off-site training designed to



There needs to be more awareness and ‘take-up’ of the modern, practical and affordable solutions offered by training providers such as Develop Training, as a route to not only alter the success figures, but create opportunities for the skills gap to close

meet new requirements for Government funding and backed by rigorous independent assessment. The result: the creation of a capable and highly skilled workforce. In discussing the apprentice market, I am not only referring to typical apprenticeship schemes for 16-24 year olds, where much of the Government’s current focus, and available funding, lies. Far from it, there are also opportunities for employees to take advance of 24+ learning loans and employers to re-skill their existing workforce. The cross training or up-skilling of employees can also be achieved through NVQ routes or similar individually tailored learning programmes. Balfour Beatty is one utility organisation, and a client of Develop Training that is putting this approach into practice. Balfour Beatty understands that training isn’t solely for school leavers and career starters, but a can provide long-term solutions to help keep develop and retain an existing workforce. Earlier this year, Develop Training embarked on a pilot



programme with Balfour Beatty to help retrain operatives working within its reduced water business in order to give them skills which could be applied to its growing gas operations. As is often the case with big businesses, there are imbalances of work, which mean that one division may need operatives more than another. At Balfour Beatty, a down turn in the water industry is leading to operatives of that sector being cross-trained, so they can readily turn their hands to work in the sister gas division, which is experiencing a labour shortage. As such, redundancies and the associated costs of severance packages can be avoided, as can the expense of recruitment drives once work within the water sector returns. Utilising the services of specialist training providers can pay off in terms of outsourcing the management of programmes by giving a greater focus to the essentials of training apprentices. These can also be combined with cost saving measures,

Lead two

such as the integration with electronic portfolio (e-portfolio) systems. E-portfolio offers the collection of evidence for vocational qualifications in a digital format, giving assessors real time access to evidence uploaded to the interface. It is a more interactive and more efficient format allowing assessors a greater ability to track progress, provide feedback, and cross reference evidence of training. I believe that with solutions such as these within Develop’s training remit, we can help any employer to improve the quality and achievement rate of their apprenticeship scheme by removing administrative burdens, recommending optimum course components and delivering high-quality training and assessment. Combined, this expertise will deliver an outcome whereby employers can concentrate on developing their apprentices into skilled and valuable workforce members. While I see a solution in sight, I do still feel concerned that apprentices in the wider sense are still to achieve their full potential within the UK economy. This is supported by

findings, such as those reported Eurotrade Magazine, which notes that, for apprenticeship training to deliver tangible impact, industries must raise their intake figures significantly. It just goes to show that equipping individuals with the skills to work competently, legally and safely cannot be acquired overnight. Time, training and financial investments all need to be sought and are equally critical. I believe the scope that successful apprenticeship schemes possess is tremendous – and the reason why historically, the apprentice concept has been so popular and subscribed. In years past, entire company divisions would have been dedicated to the recruitment, training and qualification process of the apprentice scheme, with sizeable numbers of applicants filling and succeeding within the roles, benefiting the economy and keeping the skillset both relevant and buoyant. However, as businesses diversify or scale back expenditure, and as SMEs attempt to manage on reduced workforces, it has become increasingly difficult to successfully implement well-structured apprenticeship schemes from within the host organisation. There needs to be more awareness and ‘take-up’ of the modern, practical and affordable solutions offered by training providers such as Develop Training, as a route to not only alter the success figures, but create opportunities for the skills gap to close. With it, employers can boost the image of their industry as an attractive career path for the next generation in schools and colleges. So what is the advice for employers when choosing the best route or provider? In essence, employers should look for a company that understands the current regulatory landscape in which apprenticeship programmes and similar schemes are evolving. They need to understand trailblazer apprenticeships, funding, and the need to receive a return on investment. This is exactly what Develop Training offers. Develop Training has the insight to help companies identify their particular skills shortages, and can then offer specific development and training programmes to address them. In doing so, courses not only develop a person’s use and essential knowledge, but serve to benefit the economic progression currently within reach for our country.

DEVELOP TRAINING John Kerr is Operations Director at Develop Training, the UK's leading accredited provider of compliance, technical and safety training. It supports over 7000 firms with their training needs and its clients include some of the UK's largest and best-known organisations from the utilities and construction, defence, healthcare, facilities management and telecommunication sectors. For further information please visit:



power Feel the

Big data, big opportunity - is your commodity value chain smart? By Michael Schwartz and Shobhit Mathur


veryone is talking about Big Data these days: how to capture it; how to manage it; how to store it; and how to use it. Businesses that deal in physical commodities, such as oil and gas, are no exception. But what is interesting about managing commodities is that it has always been a big data business – long before the term became fashionable. By its very nature, commodity trading creates thousands of individual data points. Physical trades that are hedged with financial derivatives, international supply chains with touch points in every continent, pan-global networks for storage and transport, overlapping layers of national and supranational legislation, and a crowd of creditors, customers, counterparties and contractors circling at every stage. Behind all these data points are decisions to be made that affect short-term profitability and long-term stability. If we look at the oil and gas supply chain, simply moving oil from point A to point B involves selecting the right storage, the right transport solution and the right route. That’s after deciding on the right quantity to move, the right market to send it to – and of course the right source to acquire it from in the first place. In rapidly moving energy markets, any of those decisions may need to be reconsidered before the commodity arrives at its final destination. Then there’s the processing and refining to consider. Is it better to move goods to a refinery or factory, or is it preferable to sell and move the unrefined commodity? How much needs to be made, and of what quality? Are there more buyers for light crude versus heavy crude oil? What grade


European oil & gas

would drive the greatest profit margin? Are there storage, pipeline and transport facilities that can ensure the optimum quality and integrity? How can asset-intensive stockyards with multi-million dollar machinery be optimised to get the most throughput and the most effective use of equipment? The risk management aspect of the business adds a whole new layer of data points too. Prices move, markets change, regulations get updated. Oil and gas companies with exposure to commodities need to stay abreast of these developments and react accordingly. They also have to decide on risk policies that take into account the counterparties, geographies and commodities they wish to be exposed to, and the limits they wish to put in place on those exposures. Again, the ability to react as these limits are approached or breached – deliberately or otherwise – is essential. Taken together these individual dimensions create a significant amount of complexity – and produce huge volumes of data. But if the oil and gas industry has always been a big data business, it hasn’t always been the best at using that data. Most commodity exposed firms have reasonably strong transactions systems along the supply chain to capture the data that surrounds each transaction or engagement. But as margins tighten, and conditions get tougher, it is becoming increasingly clear that systems need to do more: they need to be able to correctly interpret the data so that it can support real-time decision-making. This is a big step on the evolution of commodity management systems: from data capture to data analytics. The ability to analyse information to create predictive models allows


firms to develop accurate, repeatable formulae that take into account market conditions to identify optimal scenarios. Going back to the beginning of the supply chain gives us an idea of what this might look like in practice. As we have established, matching both the quality and quantity of raw materials, with the right transport and logistics to meet the specific demand of an identified buyer reduces inefficiency in the supply chain. The problem here is that the initial production of the commodity is based on the assumption that the right amount and the right quality will be available. Planning the entire supply chain depends on the coal mine producing the right amount of coal at the right quality. If the mined coal contains insufficient iron, then the carefully calibrated supply chain starts to crumble. Hope rather than fact has been the foundation of all subsequent transactions. A system designed for the Big Data era can remove much of that uncertainty. By incorporating and analysing historic yield information or geological information for example, the system can create a far more accurate picture of the likely outcome of any given well or mine. And with the ability to predict both quality and quantity of output, the commodities business is in a better position to decide which producers to deal with, find an appropriate buyer, enter into advanced agreements and negotiate better pricing, as well as optimised logistics planning. In this way, commodities businesses can make better use of the information they produce themselves as well as externally available data sets. Using advanced visualisation techniques coupled with user-controlled, predictive analytics, oil and gas

companies can optimise trading and supply chain operations. The right system will be able to integrate all of these internal and external data sets, extracted from multiple sources, and bring them together in a central repository. It will then visualise that data to enable firms to pinpoint where they and their resources need to be at any time. By using powerful analytical capabilities, the new generation of commodity management systems, such as Eka’s Smart Commodity Management solution, enables commodity exposed businesses to develop predictive capabilities that facilitate actual decision-making, rather than just monitoring activity. In other words, it’s about looking forward, rather than back: making accurate forecasts about the future, rather than just monitoring what’s happened in past. The world has changed. KPIs and static graphs are great – but they are not enough. The better solution allows businesses that deal in oil and gas to embrace both Big Data and the future without being overwhelmed by either.

Eka Michael Schwartz is Executive Vice President & Chief Marketing Officer, and Shobhit Mathur is Vice President, Product Management and Pre Sales at Eka. Eka is the global leader in providing Smart Commodity Management software solutions. Eka’s analytics-driven, end-to-end Commodity Management platform enables companies to efficiently and profitably meet the challenges of complex and volatile markets. For further information please visit:

European oil & gas


Getting ready to go Naomi Anderson discusses a step change in the UK gas market and asks ‘is your business prepared for Project Nexus?’


Below Naomi Anderson, Senior Consultant at Engage Consulting

he UK Link systems, operated by Xoserve, facilitate gas settlements, supply point administration and other critical functions for the UK’s gas market. These systems will be replaced through Project Nexus following successful market trials. Additional requirements will be implemented within the UK Link replacement system, which have been identified through the project. Heralded as a ‘step change’ for the UK gas market, Project Nexus will implement process improvements and facilitate the use of additional data available from smart and advanced metering within settlements. As Project Nexus is delayed until 2016, gas shippers, transporters and suppliers now have additional time to implement the required changes to their business processes to ensure readiness for phases two to four of market testing and subsequent ‘go live’.

Why is Project Nexus needed? Current gas settlement process limitations, created by the Reconciliation by Difference regime mean billing and settled volume never match for domestic properties. The amount of unidentified gas is approximated by an industry expert on a


European oil & gas

yearly basis, which creates accounting challenges. Project Nexus will change this by introducing individual meter point reconciliation across all meter points, in conjunction with a monthly AQ process. A new process will be implemented to adjust for unidentified gas on a daily basis. This change will allow gas shippers to more accurately pin point where costs are incurred and for the first time, be able to reconcile settled volume and billed volume. This will lead to fairer, predictable and more equitable invoicing and settlement.

What changes will Project Nexus bring? To ensure readiness for the ‘go live’ date, gas shippers will need to update their IT systems to communicate effectively with Xoserve’s central systems. The changes will involve shippers updating meter read validation rules and meter read submission frequency which will ensure that more frequent meter reads are used within settlement. Xoserve will be taking on the role of central service provider for independent gas transporters (IGTs) so disparate IGT processes will be brought together and aligned to Gas Transporter processes. This will provide one single detailed register of Meter Point Reference Numbers irrespective of

Special feature

- Project Nexus

What is the importance of industry testing? The first phase of testing started in May 2015. Dates for phases two to four are yet to be confirmed and maybe effected by technical difficulties at the beginning of the gas year. These phases will involve shippers, independent gas transporters, gas transporters, daily meter service providers, traders, the Data Communications Company (DCC), major energy users and meter asset managers. Level two testing will ensure that file formats and data sets are correct within each of the files. Level three testing will allow end users to run end-to-end scenarios. Level four testing will ensure that the change of shipper process is fit for purpose. It is important that participants are involved in testing to ensure that they will be able to access all the benefits of Project Nexus from the ‘go-live’.

Complexity of implementing Nexus alongside other industry change programmes

transporter. This move will simplify the processes for the shippers and transporters, deliver significant cost savings and improve standards of service for switching and other functions. However, to ensure a successful transition, shippers will need to move from manual, often ring fenced processes, to automated processes requiring designing and testing.

Why data cleansing is key to success Ensuring industry readiness will also require extensive multi stakeholder engagement. Consistent data held by Xoserve, transporters and shippers is paramount to ensure that the processes are fully automated from the outset. This will mean future settlements are reflective of actual consumption and improve the accuracy of meter reads held centrally and used for downstream processes. Data cleansing is an important part of the wider change programme and it will take time to check all the data is accurate before it is transitioned into Xoserve’s central system. A separate programme of data cleansing is being completed for IGTs with extracts from IGTs being loaded into an interim database. Shippers are working with IGTs and Xoserve to ensure a consistent data set.

Xoserve’s switch over plan will also involve around 80 process changes which will be implemented alongside other industry change programmes including Gemini consequential change, the DCC implementation and faster switching, thus adding complexity to the programme for all stakeholders. So there are many considerations for the industry in ensuring readiness for the go live date and companies will be at different stages of the project cycle. All will need a detailed project plan in place, as well as resources allocated to analyse the project requirements and implement the required business change processes. We’re currently working with companies at different stages to prepare them for delivery. Our consultants have a detailed understanding of the transition phase and enduring solution. The delay provides times for shippers and suppliers to ensure that the business solutions reflect and optimise business design. Our work ranges from providing strategic advice on the changes ahead, to helping with business processes and system change requirements, as well as operational support to analyse and help to embed new processes or even advise on optimising data flows or developing meter reading strategies. For suppliers in the gas markets, there are clearly many business benefits that will come from Project Nexus and the next few months of preparation will surely underpin project success.

ENGAGE CONSULTING Naomi Anderson is Senior Consultant at Engage Consulting, a specialist energy and utilities consultancy that delivers demanding and complex projects for government, trade organisations and operators. Engage consultants have worked on smart projects encompassing policy and strategy for government, regulatory bodies, utility companies and industry bodies. For further information please visit:

European oil & gas


How blind are we to our Gabrielle Ramsay Smith assesses personnel risk across the oil and gas industry


ho are most valued and rewarded in the energy industry: the ‘safe pair of hands’ compliant, vigilant and cautious, diligently going about their work within the corporate framework; or the ‘mover and shaker’challenging, confident and sometimes reckless, reaching new heights, challenging the norm and bending the rules? Isn’t it the ‘movers and shakers’ who get noticed and elevate, seemingly effortlessly, through the hierarchy and pay scales, travelling the globe in business or first class, winning accolades to acknowledge their contribution to the industry? And perhaps that’s right, after all don’t movers and shakers take greater risks with their career, exposing themselves to criticism and a harder downfall? As Richard Branson once said: ‘You don't learn to walk by following rules. You learn by doing and by falling over’. But surely, in the oil and gas industry we also need to notice the people who follow the rules diligently and get upset with others when they don’t. We need to reward people who are vigilant and cautious and take their time to solve problems and make decisions. We need to encourage and support people to be able to stand their ground when normally they wouldn’t and provide them with a framework where they are comfortable to challenge authority because lives depend on their ‘safe pair of hands’. The problem is, we don’t know for sure who is a ‘mover and shaker’ and who is a ‘safe pair of hands’, or to what extent and in what circumstances they will take risks. What we do know, through 40 years of research, is that we are all somewhere on the spectrum between the two. Everyone adds their own unique value, but also poses their unique risk to the business when they use their discretion. People throughout the oil and gas industry are encouraged and influenced to use their initiative, make judgements and take a certain amount of risks as this is the way people ‘get on’ in business. We set a framework within which they can exercise their discretion by having policies, processes and procedures.



Through the myriad of rules, regulations and processes that exist within the oil and gas industry, we aim to achieve competitive advantage whilst ensuring our business is not exposed to financial, safety and reputational damage. But humans are creative, competitive and unpredictable with different approaches to solving problems, making decisions and following rules, and they take risks daily that they don’t even know they’re taking which are exacerbated when they are under stress and can cause them to do things that seem completely out of character. Use of discretion depends on: individual risk tolerance; risk appetite; characteristics; the business climate; and, on the situation they are in. Each decision that a person makes has an impact on the business, either positively or negatively. In risk terms we need to start thinking of people risks as ‘speculative risks’ – a bit like putting a bet on a horse to win. We are all too familiar with the high profile headlines of the Deepwater Horizon accident, which highlight that the decisions people make at work can cause a significant problem to business. But there are many stories that don't hit the headlines that cost the industry dearly somewhere in the world everyday impacting on their productivity and profitability, which could easily be avoided. So how do businesses go about ensuring that the risks their people take daily lead to success and not failure? How do we ensure that we don’t get a phone call in the middle of the night, the one that makes our heart thump, our hands shake and fills us with dread? Due to the many complex circumstances we face at work each day, we cannot completely programme people or push them down a scripted pipeline, or have a process and procedure for every eventuality. What we can do, however, is create freedom with responsibility and ensure that discretion is exercised intelligently. Incremental gains can easily be achieved by understanding the exercise of discretion together with the predispositions of individuals and teams, in order to plan and manage the genius and chaos that comes from opportunities and crisis.


The first step is to identify what type of risk takers exist in your organisation, where they are in your business and understand the potential impact they have, both positively and negatively. Without this detail of information, you cannot manage people risks or put measures in place, therefore, you cannot accurately plan. Due to the sometimes perilous nature of the business, the oil and gas industry lives with the unpredictable, dealing with the unexpected which doesn’t make sense and is fraught with risk. For example, on a personal level, most people have a ‘gut feel’ for the amount of money in their bank account, but they wouldn’t commit to a large monthly payment that stretches them, without first understanding their financial position in detail. And so if decisions are made on ‘gut feel’ alone, they becomes an unforeseen risk. The FORTUNE Knowledge Group, in collaboration with gyro, carried out a survey on emotion in business decision-making in June 2014. The sample included 720 senior executives of which 62 per cent believe that it’s often necessary or even preferable to rely on ‘gut feelings’. By understanding the basis of ones ‘gut feel’ a choice can be made as to whether it is necessary to gather more data to reach the right decision. The second step is to understand the effects of the various different risk profiles, identify the potential risks that they create and deal with them. We all have risks we’ll tolerate and risks we just won’t. For example, workaholics wouldn’t risk their career, but they’ll certainly risk their leisure time. You might risk your health, but never your finances. And our risk profiles interact with each other and have a knock-on effect with others, like a kaleidoscope. For example, if your risk profile is different from mine, I might not listen to you at all. If it’s the same we might accelerate each other’s riskiness, or ignore the things we don’t think are important. If you’re my boss, I might think that your priorities are more important than my oil and gas safety training. Things that others might think of as risky, others will take in their stride, because they’ve been trained, or have

experienced it before or have systems in place to reduce risk. Risky behaviour is based on how much danger an individual can tolerate and what they see is the prize of taking that risk. Pre-empting potential problems caused by our tangle of risk profiles, allows us to put systems in place to prevent them from happening. The third step is to look at team risk profiles to see where the strongest influence is and address the impact with regards to the company goals and team objectives. Companies across the industry will have different risk attitudes. But what about the board of directors or the senior management team, what type of risk takers are they and what messages do they give collectively? We need a healthy tension of risky behaviour and an environment where constructive dialogue can take place to make the correct decisions for the business otherwise the company will tip one way or the other, with risky businesses spiralling out of control and risk-averse businesses standing still. Understanding team risk taking highlights the strengths and gaps so that you can decide if you need to obtain an alternative view before reaching a decision. Once these three steps have been achieved, businesses will be able decide what type of risk takers they will hire in the future and how teams will be formed to best meet the objectives. They will be able to put a framework in place to empower individuals and teams to intelligently exercise discretion that is no longer fraught with danger, providing a language and methodology for reducing conflict and tension whilst increasing interaction. People will develop their own internal coach using internal dialogue to self-organise and self-manage, interacting with others for incremental change. Authority is not challenged, but a collaborative mind-set is created giving permission through understanding and awareness of working together in a recognised and rewarded way. Rules and training can be designed taking into account the risk psychology of the person it’s imposed on and how they’ll respond to it. And not least, space and acceptance is created for the ‘safe pair of hands’, not so they compete with the ‘movers and shakers’ but so that they too can feel equally valued for contributing to business success, enhancing our industry and protecting our lives!

RAMSAY SMITH Gabrielle Ramsay-Smith is a partner at Ramsay Smith Consulting. Ramsay Smith has worked internationally in the oil and gas industry for over 40 years. Ramsay Smith creates sustainable solutions for the challenges of risky businesses. ‘Our D-risk approach provides answers to the problems that people blindly cause and corrects the performance shortcomings that unwittingly put businesses and employees at risk’. For further information please visit:



messages Positive

This year’s SPE Offshore Europe exhibition and conference confirmed a positive outlook for the industry and the next generation SPE Offshore Europe 2015

, held in Aberdeen, Scotland from September 8-11, sent out a very clear message that the oil and gas industry has a future for many years to come. The theme of the 2015 event, inspiring the next generation, allowed the industry to address the technical, business and people challenges it faces now and into the future. At the heart of this is the need to attract and encourage the next generation of talent into the industry. “One of the challenges facing the industry is inspiring the next generation,” said Charles Woodburn, CEO of Expro and Technical Chairman of SPE Offshore Europe 2015. “I hope that the honest and open conversation we have had over the last few days will lead to real progress in this area. While we don’t have all the answers yet, it’s important we take this dialogue and turn it into a clear framework that can be delivered by the industry as a whole.” Attendance figures remained very strong at 55,947 with delegates drawn from 104 countries. Attendance was the second highest in the long history of the show. A record 1535 global organisations from 44 countries exhibited this year, showcasing their products, services and expertise. This included 336 companies exhibiting at the event for the first



time. The sold-out space covered 27,228 square metres, with more inside space than ever before. Re-bookings for 2017 are looking strong already. Over the four days of the world’s largest upstream oil and gas conference and exhibition outside North America, around 5000 visitors attended the conference plenary session, 11 keynote sessions, 80 SPE technical paper presentations, and daily topical lunches and breakfast briefings. Stephen Graham, Chief Operations Officer for the SPE, added: “The conference programme successfully addressed a number of relevant industry priorities, incorporating the theme of inspiring the next generation. Combined with a busy show floor where exhibitors met with existing and potential customers, I believe SPE Offshore Europe 2015 has been a great success.” With its emphasis on recognising the longterm need for a secure talent pipeline, the event ran ‘Inspire’, its largest ever programme of activities for a younger audience. More than 400 school pupils from Aberdeen, Aberdeenshire, Highland and Angus took part in three half-day workshops and site visits, which gave them an insight into the industry and the opportunity to meet young engineering professionals who shared their work experiences. Other Inspire


events included a Career Pathways Fair, a Student Development Summit, and Energy4me aimed at school science teachers. Michael Engell-Jensen, Executive Director, International Association of Oil & Gas Producers (IOGP) and Keynote Chairman, said: “This week's keynote speakers, as well as the Inspire Programme, provided the next generation with plenty of inspiring reasons to join this industry. But, as Professor Brian Cox mentioned, we also need to provide students with pathways to a career in oil and gas. “I would like to see industry develop multiyear programmes to encourage schoolchildren to consider a career in this sector. And, for our newly qualified graduates, who have been caught out by the current economic difficulties, I am supportive of industry exploring ways to allow them to get work experience, something many graduates say would help them get their first job in the industry.” Other new features of the event included an Investment Workshop, which gave entrepreneurial delegates the opportunity to meet potential investors. The positive sentiment was echoed by exhibitors, many of whom said that not only had the 2015 show been a good one for business, it had been one of the best they’d experienced. “It has been a very successful show for us with one of the benefits being that it has given people the time to talk,” said Ian Crossland, UK Director for RESMAN. “Very senior management from the operators have been taking time to meet their vendors and contractors to talk business, and there have been indications that things are moving in the right direction. We’ve also had lots of overseas interest, including a visit from the Norwegian ambassador.” Kris Frampton, CETCO Energy Services, also said 2015 had been a good show for them: “There were more business opportunities for us than there were two years ago. I think the reason for that is that there is a lot more focus on production. Because we have strong environmental credentials and we can optimise operator production capabilities, we have had a lot of people coming to talk to us.” FMC Technologies, one of the larger stands at the show, also reported they’d had a good show. Tina Kruse, Global Exhibition & Events Manager, said: “We’ve definitely seen steady traffic since Day One, with everyone from customers to university students visiting. Our theatre has been extremely


busy which has given us the opportunity to get our message across about cost reduction. It has been a good show for us.” Visitors to the show also used twitter to give their views. Aberdeenshire Councillor Jill Webster tweeted: At Offshore Europe, quite a buzz about the place & still business to be done.” Other comments included: “Great day at Offshore Europe today catching up with clients and meeting new folk. Lots of exciting innovation going on!”; “Great day networking at Offshore Europe. Many positive interactions established and huge support received”; “Heading from ABZ to Heathrow after a very successful OE15. There’s some positive vibes in the industry despite the oil price.” Maria Harper, Marketing Manager for show organisers Reed Exhibitions, said: “The week of the show generated in excess of 6000 interactions by 4500 unique users on twitter alone, and included conference highlights, exhibitors’ news, product launches and invitations to events, all in real-time. “The website and app were also widely used throughout the event, with 122,000 visits to the website during the week, and more than 13,000 individuals downloading the app to use the exhibitor directory, conference guide, interactive floor plans and visitor information.” Organisationally, Reed Exhibitions thinks the show was the smoothest running ever. Vasyl Zhygalo, Senior Exhibition Director for Reed Exhibitions, commented: “We learn lessons from every edition of the event and this year we think the logistics flowed very well. The increased number of shuttle buses running to and from the city centre, offices and hotels proved to be very popular as did the park and ride. The weather was also on our side.”

The conference programme successfully addressed a number of relevant industry priorities, incorporating the theme of inspiring the next generation. Combined with a busy show floor where exhibitors met with existing and potential customers

SPE Offshore Europe 2017 The next SPE Offshore Europe will be held in Aberdeen from 5-8 September 2017. One of the new features announced for the next event will be the Decommissioning Zone 2017.



together Stronger

Andrew Dann talks to Mogens Tofte Koch about the formation of DMOG and how the organisation has championed the cause of Danish oil and gas service providers for close to 15 years

‘Together we are strong!’

Below Mogens Tofte Koch, Managing Director of DMOG and Offshore Denmark



was the guiding principle behind the foundation of the Danish Marine & Offshore Group (DMOG), when the association was established during 2001. The association was founded by Offshore Denmark; an organisation that plans and executes joint Danish export drives with national pavilions at important international offshore exhibitions. To establish DMOG Managing Director of Offshore Denmark, Mogens Tofte Koch, worked in conjunction with key Danish companies supplying into the offshore and marine sectors of the oil and gas industry. The fundamental idea behind the establishment of DMOG was the development of industry networks and to raise the profile of its member companies both within Denmark, as well as the wider European and international markets. Mogens has significant experience in understanding the importance of international exhibitions like Offshore Europe and others, as well as the challenges, concerns and opportunities facing the companies that attend the shows. “DMOG started when some of the exhibitors present at some of the big shows in the offshore industry thought that it might be a good idea to meet in between events to share information regarding the market, begin collaborations or simply to share knowledge and gain advantages through the synergies between them,” he explains. “Today

the association is actually made of a mix of different companies such as service companies; producers of single products; and components and producers of systems – meaning complete turnkey units. We also have consultancy companies involved, but all of them together are suppliers to the offshore industry.” Acting as Managing Director of both Offshore Denmark and DMOG, Mogens has headed the association since its inception. In the years since it was first incorporated DMOG membership has swelled from 17 founding members to 120 active members, which taking into account the association’s broad base of industry applications gives the organisation an impressive knowledge base within the offshore market. Commenting on the growth of DMOG Mogens explains: “At the time of the formation of DMOG there were no associations of this type in Denmark where companies could share views. One of the most important factors in forming the association was that during conversations at exhibitions companies who had previously thought of each other as competitors, quickly found that they had more to offer each other by way of complementary services. The association has grown naturally little by little, because we are basically a low cost association and it is largely through word of mouth that we grow. For example, when a member meets a client or company that they think may benefit


Danish Marine and Offshore Group

from membership of the association, they will contact our secretary and we will then contact the potential member and tell them about the association and its values. Within Demark there could presently be as many as 500 potential members of the association, so there is plenty of potential for DMOG to grow.” While DMOG is an internationally recognised association that promotes and supports Danish offshore operators, the association is proud of its position as an independent organisation despite working in collaboration with the Danish government. This means that while DMOG works with the Danish government to share information and highlight the needs of its members, it does not receive funding or grants from governing bodies, which enables DMOG to serve its members without hindrance. “We work with the Danish government because it is interested in having pavilions around the world and will actually give a grant to individual companies participating in some exhibitions – especially in areas where there is potential growth for example,” Mogens observes. “The association itself however decided from the very beginning that it would not take government grants, so that it is not in anybody’s pocket. We want to remain as an independent association with our own board of directors. We are a non-profit association and we keep the cost of membership as low as possible so that even a very small company can participate. Our members are presently made up of small, medium and very large companies and we presently offer two membership fees, which are basic and extended and these are not priced according to number of employees, they are priced at a fixed price for all.” As an informative body operating within the oil and gas industry, DMOG is acutely aware of the issues caused throughout the market by the present low oil price. However while the depressed price of oil has undoubtedly seen a slowdown of operations in some regions, DMOG is on hand to collaborate with its members to provide invaluable support in adapting to the present needs of the market and in preparing for an increase of activity in the future. “We encourage our members to be proactive in developing ways to cope in the present market. Naturally this can involve cutting prices and of course companies should try to be more efficient in their production, however with competitive pricing and efficient technology it is still possible to make a profit in the current market and to prepare for an increase in activity,” Mogens says. “We have also changed our focus

from newbuilds to maintenance and service operations to help members meet the current need within the market.” Looking to the future of the oil and gas market and the way DMOG will continue to support its members, Mogens concludes: “In the short term our focus is really to help our members to find new customers. In the past clients and contractors were so busy that they did not have the time to find new suppliers, but while the market is slow they have the time to evaluate new suppliers ready for the time that the market picks up again. In the longer term our focus will also be to help develop our members and enhance their knowledge through new networks. We promote co-operation in that if a member is in talks with a customer and observes a need for a product or service that another member is able to supply, we encourage them to share information. This is based on building trust, so that our members give something and offer help and in return they too will be helped by other members. It is a network association and we want to make the network stronger.”

Danish Marine and Offshore Group



innovation Subsea solutions and

Following the establishment of the company during 1985, Subsea Innovation has provided state-of-the-art engineering products to clients within the offshore oil, gas and energy industries throughout the world. Over the past three decades Subsea Innovation has continued to grow in strength and has gradually relocated and developed its facilities as the business has expanded. During September 2014 Subsea Innovation moved into a new purpose built manufacturing facility on Faverdale Industrial Estate in Darlington. Encompassing 40,000ft2 the facility has increased the company’s operating space covered by 50 tonne cranes and also features a 4.5m3 test pit that can be flooded for test procedures. Furthermore the site also has the facility to cater for pull tests of up to 100 tonnes. “The decision to invest in a new facility was based upon the requirements of our customers – we had secured long term contracts with major oil and gas contractors from the UK, Australia and the Middle East and in order to be able to deliver on these projects more space was necessary,” explains Finance Director, Phil Heathcock. “We are lucky to have such an attractive working environment to operate from and feedback from our clients so far has been very positive.” Today Subsea Innovation continues to build on its proven track record in the provision of a range of products for the offshore oil and gas market. Its range of offshore equipment handling systems portfolio includes launch and recovery systems, tether management systems and moon pool systems that are operational throughout



the world. The company also supplies a range of subsea sealing systems for J and I Tube’s that include passive, diver and ROV installed seals as well as environmental plugs. It has also delivered suction pile plugs that have assisted with monopile installation in Australia. Furthermore pipeline repair is another business stream in which Subsea Innovation is active, with permanent and temporary solutions available to clamp and connect pipelines of up to 40” in diameter. Despite the challenges created within the global market that have been caused by the present low oil price, Subsea Innovation has remained active and during April 2015 successfully refurbished launch and recovery systems (LARS) for a major offshore oil and gas contractor. “The oil and gas market is going through a period of readjustment as an impact of the current oil price, which is forecast to remain at the $65-$70 per barrel price for a prolonged period. We are focusing efforts on ensuring that we can support our clients in providing quality solutions to their requirements at sustainable prices for all concerned,” Phil elaborates. “The refurbishment of the LARS that Subsea Innovation recently completed is a line of business that we would like to do more of. At present the capital investment on projects is being deferred, meaning that customers are looking for extended life from their current assets. With over 120 operational LARS all over the world we are ideally placed to be able to repair and service this equipment as well as that of others.” Further to its competencies relating to LARS


and other subsea equipment, Subsea Innovation also has a strong history for the provision of bespoke engineering services that allow it to solve the problems of its clients in the offshore sector. Here too the company has enjoyed great success as well as exciting developments during 2015. “Previously we have designed and manufactured a grouting tool that is used to repair damaged subsea structures. More recently we have designed and manufactured a mattress deployment system for the laying of concrete mattresses around offshore wind farms. This was designed for Offshore Marine Management (OMM) and went into active service for the first time in July 2015,” Phil reveals. Key to meeting the demanding requirements of its clients is the employment and further development of highly skilled designers, engineers and technicians. As such Subsea Innovation maintains a staff training programme that enables employees to study towards NVQ, HNC, HND, CIPD and degrees at the Open University. “We are dedicated to attracting

Subsea Innovation

and retaining the highest quality of staff to our company and offer a fantastic working environment, so we see ourselves as an employer of choice in the North East engineering sector,” Phil says. Commenting on the strengths of the company that have enabled it to consistently grow and weather the challenges of a volatile marketplace he concludes: “The main strength of Subsea Innovation is its the ability to design and manufacture a wide range of equipment for a variety of applications in the offshore energy sector. Additionally the 30 years of experience that has been built up by the company is demonstrated by its products that are still operational in the field, as well as the volume of repeat work that clients can put our way – safe in the knowledge that they will get a professional service and a high quality product. Having fully offshore trained personnel ready to assist clients wherever they are in the world is another major asset that should be mentioned, as it means that Subsea Innovation is always on hand when its expertise is required.”

Subsea Innovation

Services Supplier of subsea equipment



Faster transit times during catalytic

During June 2015, Atlas Copco Rental revealed the method that we employed with our client, Mourik in the removal of catalyst material from the reactor of a large refinery in Antwerp, Belgium with a production capacity of around 360,000 barrels per day. Mourik is an international specialist in the field of cleaning technologies for petrochemical sites and is regularly tasked with clearing catalyst material from such sites. The technically challenging operation calls for the cool down of the reactor itself, for which Mourik counts on Atlas Copco Rental. The majority of catalyst material can be removed from the reactor through the use of a high-pressure drill, however the remaining coked catalyst requires workmen to enter the reactor and remove it manually with a pneumatic hammer. Temperatures of around 45˚C inside the reactor make it impossible for the workmen to enter and carry out their work, which necessitates a way of cooling the reactor to a safe temperature. To solve this problem we proposed to inject cool, dry and 100% oil-free air into the reactor. To carry out the cooling, the air was generated on-site by our equipment and operated by operators 24 hours a day. Our engineers designed a setup comprised of Atlas Copco Rental equipment including a PTS 1600 oil-free air compressor, CDE 47 dryer, HD 95 after cooler, chiller and generator. The PTS 1600



is a Class Zero certified oil-free air, diesel driven, screw compressor that operates in pressure ranges between 0.5 to 10.3 bar. The compressor is iT4 and IIIB compliant and offers high reliability, maximum fuel efficiency and low fuel emissions that ensure environmental protection. The chiller we provided allowed us to cool the dry air to 3˚C and even negative temperatures are possible when using glycol as a coolant. Using this equipment the cold, dry compressed air of 3˚C was blown into the reactor to create a suitable working environment for the workmen. The ambient temperature was cooled to 30˚C, which allowed cleaning of the reactor to go ahead. Commenting on the operation, Project Manager at Mourik Tom Verheyen says: “Atlas Copco Rental have lived up to their name of being a reliable, innovative company that always puts safety first. They came up with a completely new solution: using compressed air instead of nitrogen to cool down a reactor. By injecting cool, dry, 100% oil-free compressed air we are able to create improved working conditions for our workmen. This new method allows us to respect health and safety regulations while entering a reactor. In addition, the allowed working times inside the reactor are significantly longer, resulting in faster transit times.”

Bespoke equipment & services globally The solutions we provide are bespoke units


that meet the individual requirements of our clients. As a member of the wider Atlas Copco group, we have access to all of the engineering capabilities of our parent company within our portfolio. This has resulted in a number of innovative rental products, including the TwinAir screw compressor, which is effectively two individual diesel driven compressors in one container. This is unique in the market as it generates a market leading high volume of air for the site with the smallest footprint, saving customers valuable on-site space. Our company was founded during 2007 as the Speciality Rental Division of the Atlas Copco Group (°1873). Presently we have approximately 700 employees operating in over 130 locations around the world, 44 of which are situated within Europe. That allows us to meet any planned or emergency rental demand rapidly and effectively. Our engineers design the most suitable temporary installation (air, power, steam or nitrogen), at highest cost- and energy-


effectiveness possible. We will also take care of all logistic services, installation, maintenance, (de)commissioning if desired by our clients.

Quality, environment, health & safety: triple certification With the support of the wider Atlas Copco Group and a strong global presence, Atlas Copco aims to be ‘First in Mind, First in Choice’ with all stakeholders. Core to our strategic vision is our commitment to providing the highest levels of quality and operating in an environmentally friendly manner. As an industry first, Lloyd’s Register Quality Assurance has awarded Atlas Copco with triple certification: ISO9001, ISO14001 and OHSAS18001. Furthermore we ensure that the equipment we provide is both safe and reliable, which has allowed us to become the strongest provider of downstream equipment throughout Europe relating to the refinery business. As we continue to grow we will look to further establish our presence in midstream and upstream markets as well.

Atlas Copco Rental has lived up to their name of being a reliable, innovative company that always puts safety first

Atlas Copco Rental

Services New method to cool down refinery reactor



Potable water Founded in 1992, EPSCO began as a business focused on bringing advanced European technologies in remedial water treatment to the mains water industry in Scotland. EPSCO then further developed its presence throughout the UK and diversified its service offerings to deliver water management solutions to clients within the oil & gas and marine industries. Today the organisation maintains offices near Aberdeen, Scotland as well as Stavanger, Norway and continues to provide specialist chemical cleaning and services to clients within the marine and offshore, industrial and water utilities sectors as well a host of support services that allow EPSCO to meet all of its clients’ needs. The strategic location of the company’s bases within the UK and Norway, coupled with its high levels of knowledge and experience, has allowed EPSCO to become a premier provider of water solutions to clients operating within the North Sea. “EPSCO is able to draw on a multidisciplinary technical knowledge of water along with extensive practical experience onboard offshore installations,” explains Operations and Compliance Manager, Fraser Inglis. “This includes microbiological, chemical, engineering and logistical factors, which enables us to provide a more holistic understanding of why clients’ may have particular issues with their water quality. Also, we do not use sub-contracted operatives and provide all services in-house enabling a tighter control of quality and the most efficient delivery of projects. We assign projects cradle to grave - the same staff will be involved in planning the scope of work and delivery offshore.”



EPSCO’s in-depth understanding of water hygiene, safety and treatment allows it to reach a broad base of clients, including any duty holder that is responsible for an installation providing water. The company also works extensively with project teams and EPC contractors to provide water system design improvements through commissioning services and best practice advice. Within the offshore industry its clients are primarily global oil and gas operators, drilling contractors and owners of various support vessels. Elsewhere its client base is also comprised of onshore facilities and infrastructure companies, including downstream refining and petrochemical clients seeking increased efficiency and compliance in process water systems. As well as overseeing the design and application of water treatment systems, EPSCO is also heavily involved in providing consultancy and educational services. In response to demand across its client base, and particularly within

the oil and gas sector, EPSCO has recently introduced a market-leading suite of potable water and legionella awareness training modules. “Having worked with our oil and gas industry clients for many years, we have regularly encountered a demand for more accessible and offshore applicable training in this area,” Fraser says. “As an organisation we wanted to respond to this demand and provide something that sets a new standard, and leads the market by teaching people using visual aids and removing unnecessarily complex material. In order to do this, we have chosen to develop an e-learning course with computer based training (CBT) specialist provider Oilennium, due to their industry knowledge, bespoke approach and ability to deliver the required level of animated technical detail. Module One provides Legionella Awareness & Introduction to Potable Water Offshore and is applicable for personnel at all levels. This module also acts as a lead-in for several more specific and detailed modules, which are following very soon and are aimed at


responsible persons and key personnel.” These training courses will be deliverable either online or offline as required by clients. Indeed technology is at the forefront of the service offered by EPSCO, which is further demonstrated through the implementation of online resources in support of in-field monitoring operations, as Fraser reveals: “To complement our water sampling and monitoring support services, we have invested in the development of an online portal tailored exactly to meet the need of our clients with multiple offshore installations. It is called EPSCO

‘WATERSafe’™ and allows an improved way to gather, share and view essential water quality data by all persons across various installations and onshore support staff.” While EPSCO has established a long history and proven track record as a full service water management company within the North Sea and in onshore applications, it is keen to further expand its presence globally and further engage new and existing clients, as Fraser concludes: “With the maturity of our core market in the UK North Sea we are starting to explore growth in other areas, with our sister company in Norway still able to gain opportunities from a larger amount of new activities. As water becomes more of a focus globally, we are starting to see growth opportunities in regions more challenging for water management such as West Africa and South East Asia, which will require development of further operational bases. In summary, EPSCO is now well positioned and setup to deliver full service potable water support for clients across the globe.”



Services Potable water, treatment systems, cleaning and disinfection, sampling, consulting, monitoring and advice



concepts Refreshing

January 2014

The systems are preferred by ship owners because they reduce fuel cost and work by supplying a controlled amount of DC current to submerged surfaces, using durable long life platinum anodes with a 25 year life


European oil & gas

saw the birth of Evoqua Water Technologies following the sale of Siemens Water Technologies to the investment organisation AEA. “We are a global organisation with 170 locations across the world, employing more than 4000 people,” says Darren Dale, Sales and Marketing Director. The company actually has a very long history in the water treatment market, with the Wallace & Tiernan systems brand name being synonymous with disinfection for over 100 years, whilst its Electrocatalytic brand has been accepted in the power and marine markets for over 50 years. “Through the Electrocatalytic brand Evoqua supplies the oil and gas industry with our industry standard Chloropac® system, providing the most effective, environmentally safe method of preventing biological marine fouling, using technically superior equipment for energy efficient and reliable long-term plant operation,” highlights Darren, continuing: “The perpetual growth of sea life (marine fouling) within a platform’s or floating vessel’s cooling systems can have a high cost, which is often overlooked, not to mention the shortened life of equipment affected by corrosion caused by marine fouling. Marine fouling can restrict cooling flow in pipe runs and certainly reduces heat transfer rates across the heat exchangers and condensers

thereby reducing the efficiency of the system and potentially even increasing fuel consumption.” The Chloropac® system treats the water system by producing and injecting a sodium hypochlorite seawater solution in to the main water cooling flow to provide a hostile habitat in which organic life cannot thrive. “The Chloropac® system assures that marine growth is not only prevented, but can clean previously fouled equipment due to fitting ineffective alternative treatments and thereby restoring the efficiency of heat transfer,” explains Darren. The Chloropac® system has for over 40 years been of great interest to the marine market, with over 3000 installations globally. “Currently there is a pressing interest from the Shipping industry in reliable Ballast Water treatment solutions that will met the stringent requirements of the US Coast Guard. We have submitted our SeaCURE™ ballast water treatment system for US Coast Guard testing, which will commence shortly and this is expected to be concluded in the summer of 2015. These tests will take place at US Coast Guard approved laboratories, located within the United States for all three required salinities, including fresh water. The SeaCURE™ utilizes some patented features to enhance reliable operation and has the Chloropac® technology at it’s core. First the ballast seawater is filtered before injecting generated hypochlorite (from seawater) back into the ballast line at a consistent and repeatable level, which can be monitored and recorded. The SeaCURE™ design allows the system to be used in a dual purpose mode for marine growth prevention to provide some return on investment on equipment that is otherwise fitted for regulatory compliance.” explains Darren. The SeaCURE™ system is available as a compact skid or as modular components depending on customer requirements for installation in new builds and existing ships. “We are also seeing our clients request a standardised container approach,” he says, adding: “The system is particularly well-suited for retrofit installations because hypochlorite generation takes place in a small side seawater stream from the ballast water main to minimise footprint. The side stream generation method offers advantages for installation on tankers because the modules can be placed in a way that only the filter and analysers are installed in the hazardous area of the pump room, while the main parts of the system remain in a safe area.”


To complete the company’s portfolio for the Shipping industry the CAPAC® System (impressed current cathodic protection) for cathodic protection of ship hulls from biological growth and corrosion from attacking the submerged surfaces of a broad range of seagoing vessels and fixed or mobile offshore structures. “Our CAPAC® systems are the ultimate long-term solution to corrosion problems, and are recognised as a superior alternative to sacrificial anode systems, which require frequent replacement. The systems are preferred by ship owners because they reduce fuel cost and work by supplying a controlled amount of DC current to submerged surfaces, using durable long life platinum anodes with a 25 year life.” explains Darren.

Evoqua Water Technologies

Understanding the many challenges that owners can face to meet legislation in an uncertain market, Evoqua has optimised its solutions to customer requirements. Current market conditions pose great opportunities, as well as challenges that need smarter solutions, as Darren highlights: “Notably, the recent dramatic drop in oil prices can increase the pressure on our customers to demonstrate best value. Our flexibility as a business to offer a range of upgrade services and certified engineers to go on to the offshore installations, we are able to help owners continue their operations without the immediate requirement for capital investment and demonstrates a willingness to work in partnership.” As a global organisation, Evoqua relies on its vast network to support the product lines, and its experience within the oil & gas and marine markets to deliver the right solution its customers. “Through our engineered solutions that provide technologically sound products to the market, we aim to continue to meet the requirements of our customers, increasing the speed and precision of our service,” concludes Darren.

European oil & gas

Evoqua Water Technologies Ltd

Services Water treatment


expertise Award-winning

With a history

Apex Hydraulics Apex Hydraulics offers a comprehensive service for the design, manufacture, supply and repair of a wide range of hydraulic equipment for the oil and gas industry. It prides itself in understanding its customers’ needs and respects the absolute need to deliver quality products and services on time. With the launch of Corex it leads the market in innovative solutions to prolong equipment service intervals making it a natural choice for quality driven customers like Houlder.

Independence and employeeownership mean we are nimble enough to respond to new opportunities



dating back to the 1840s, Houlder boasts more than 150 years of experience within the marine and ship building industry. Today, Houlder Limited delivers design, analysis, engineering, innovation and project management to customers across the maritime sector, with a particular focus on oil and gas, renewable energy, marine and gas vessels. Core clients for the company include oil and gas majors, offshore vessel owners and operators, drilling contractors, pipe and cable layers, subsea inspectors, maintainers and repairers; an impressive range that includes blue chip organisations such as BP Exploration, Shell Trading and Technip over recent years. Working across the UK, the USA and further afield, Houlder supports its clients through each stage of a project’s lifecycle, from initial concept through to commissioning and operation. Key to the company’s success in serving customers is its ability to fully understand requirements through developing trusted partnerships and delivering reliable technical support as well as innovative solutions. By combining forces and working together with clients, Houlder’s engineers, naval architects, designers and project managers can bring clarity to challenges within the industry and offer solutions. Due to this co-operative way of working, Houlder is committed to recruiting only the brightest and best in the industry. Since previously featuring in Energy, Oil & Gas magazine in April 2014, Houlder has witnessed strong growth despite the low oil price and enjoyed recognition for its business development

strategy, as Rupert Hare, CEO of Houlder Ltd discusses: “Houlder now has a headcount of approximately 200 including engineers, designers, draughtspeople, construction supervisors, site QHSE teams and project managers. All are experienced in managing the build, upgrade, conversion and repair of floating assets including offshore support vessels, pipe and cable layers, semisubmersibles, jack-ups, FSOs and FPSOs. “Since last featuring, Houlder’s business development strategy has been rewarded with a top five place in the Sunday Times International Fast Track 200 list. The Track 200 list, published July 12 2015, ranks Britain’s mid-market private companies with the fastest-growing international sales. This national media coverage recognises a two-year average 187 per cent increase in overseas sales.” An integral part of the company’s growth is the establishment of its subsidiary Houlder Americas Inc. in Houston, Texas in 2013. Launched to support clients headquartered in the US, this expansion also signifies the company’s position as a global operator and reliable provider of services to the world’s leading offshore operators. “Houlder Americas has the task of building on a very positive award winning start,” says Rupert. “Although a lot of Houlder’s Oil & Gas work still centres on supporting floating assets for North Sea drilling contractors, our recent experience is a broader range of clients that value this hard-won expertise. We have had enquiries from the Middle East, the Baltic, Asia and


the Americas lately. We are now in a stronger position to respond due to our increased capacity and capabilities, including a growing team in Houston.” One recent project for Houlder was delivered in 2015, when Saipem’s field development, 100 kilometres off the coast of Azerbaijan, required equipment to support the installation of eight steel jacket foundations for two new platforms, as Rupert notes: “The Saipem project is a great example of our turnkey approach at work. The project involved innovative designs for a challenging set of operational constraints, fabrication within a tight window and installation at the quayside, in this case, a long way from home. Saipem deployed Houlder’s innovative pile installation equipment on the deck of the heavy lift ship Derrick Barge Azerbaijan (DBA) tasked with the jacket installation. It horizontally restrained and adjusted the inclination of 140 metres, 525 tonne steel foundation monopiles – keeping them vertical as they were driven in 95 metres of water. This requires the frame to deliver operational horizontal force resistance of 75 tonnes in any direction within a four metre diameter operating envelope. Houlder delivered the contract under a typical turnkey arrangement – being accountable for the design from initial concept through to fabrication. The 80 tonne frame was supplied ex-works and packed ready for transport. Houlder then sent a team of engineers to manage the installation in Baku.” In addition to growth in the US, Houlder has also increased its UK headcount (in London, Tyneside, Aberdeen and Portsmouth offices) significantly. The Tyneside office, in particular, is becoming an increasingly vital part of the North East marine supply chain due to key equipment and offshore engineering projects. One reason for this increase in demand is the company winning the 2014 Innovation and Technology award at the South Tyneside Business awards. The black tie event celebrated the ingenious approach of Houlder’s engineering and design team in Boldon and their ability to deliver enhancements to maritime assets and offshore operations through innovative thinking. “Houlder is very conscious that innovation begins at home so we were delighted to win the award,” says Rupert. The company will be showcasing its handling equipment expertise in particular at this years’ Offshore Europe exhibition, 8-11 September, Aberdeen. Houlder is delighted to be teaming up with National Instruments and ISC Ltd at the event to share its track record of utilising advanced control systems in marine applications.

The joint stand (3E180) presents the perfect opportunity for operators and developers to understand how large, complex hydraulic pieces of deck equipment can be operated with pinpoint control. As Houlder continues to make innovations in pile handling and other areas such as deep water jacking, launch and recovery and subsea deployment, the future is looking positive thanks to the company’s diversified services, independence and flexibility, as Rupert concludes: “Independence and employeeownership mean we are nimble enough to respond to new opportunities – be they new markets, products or geographical regions. Over the coming years we will continue working towards doubling our capacity and capability. We are hitting commercial, financial and business milestones, which is gratifying. Houlder Americas has the task of building on a great start. Elsewhere, we have the task of converting a higher profile and greater interest into more business. It’s a challenge we’re thoroughly enjoying.”


Houlder Limited

Services Engineering, design, analysis and marine equipment




expectations HUBTEX

has historically supplied its innovative materials handling solutions to oil & gas organisations worldwide. However, to support a focus to further develop its presence in the sector HUBTEX will be showcasing its products and expertise on Stand 4D151 at the SPE Offshore Europe Conference & Exhibition in Aberdeen come September. Based on previous successes in the sector, HUBTEX believes that its diverse product portfolio of electric multidirectional sideloaders, 4-way sideloaders, heavy duty transport systems, platform trucks, heavy duty reach trucks and specialist vehicles can add real value to the specific challenges found in and around these industries. Since it was founded in 1981, HUBTEX has grown into a leading supplier in the field of specialist handling equipment. The business was incorporated in Germany primarily to serve clients within the textiles industry and has since evolved to supply a broad base of applications including clients within the automotive, avionics, foundry, float glass, metals, timber, manufacturing and oil and gas sectors. Today HUBTEX is headquartered in Fulda, Germany from where it supports its 13 subsidiaries



and dealer networks worldwide. In Fulda the company currently employs approximately 300 members of staff, of which 30 are qualified engineers while a further 20 are employed as apprentices, projecting the company’s future. “HUBTEX was established effectively to build highly sophisticated electric multidirectional sideloaders and the business has grown from there to utilise experience and technology to branch out and build a wide range of machinery that help in the transit of long, difficult and heavy loads specifically in confined spaces,” elaborates Business Development Manager, Steven Murby. Indeed the ISO 9001:2008 certified company is committed to the construction of vehicles and machines to a high engineering level, with a comprehensive portfolio of products encompassing some 60 series types and specialist vehicles. Core to the success of HUBTEX is its ability to provide innovative bespoke designed solutions. A large percentage of its products are tailor-made to exactly match the end user’s specific needs and are characterised by their longevity and functionality. “We design and build extremely robust and durable machines,” Steven adds. “If you consider the life of a standard


forklift truck for example, it would be something like five years in a full application and a further one to three years in a second life span. When correctly maintained we are quite happily seeing our products last between 15 to 20 years with one customer.” Commenting on the unique requirements of supplying to customers in oil and gas markets Steven says: “The challenge in these markets primarily comes from the diversity of requirements and from physical scale. Within the oil and gas sector equipment is generally bigger and heavier, which is something that is shared with the utilities supply chain within the electrical market. Additionally production pressures dictate that all equipment used is highly reliable as any form of down time can be very expensive. HUBTEX has the necessary experience of producing missioncritical equipment for the most demanding of applications where operational durability is paramount. The challenges are therefore multiplied by the fact that the equipment provided has to get larger, which has an impact on manoeuvrability especially in confined spaces. However addressing these challenges is

part of the HUBTEX DNA and we have a highly talented group of experienced engineers that are able to provide cost effective solutions to a host of handling problems.” By proving niche solutions to clients that need to handle materials and components that are difficult to transition, often in confined spaces, HUBTEX has established a strong and growing market presence. Its solutions and handling systems are manufactured in Germany and delivered to valued customers around the world. As the market continues to recover from the global economic crisis, many sectors are enjoying a resurgence in activity resulting in an increased demand for material handling solutions. “There is certainly increased activity within the metals industry, particularly with raw stock holders and manufacturers,” Steven observes. “We see growing opportunity in the oil & gas, automotive and avionics sectors and the timber and plastics industries are also beginning to recover. The present situation is most encouraging from our position, as most of the industry members we speak to are increasing their capabilities or are partnering companies that are investing into the UK for the first time.” The ability and willingness of HUBTEX engineers to develop bespoke solutions to the unique requirements of its clients is a key strength of the company that differentiates it as a market leader. Its long-serving engineers are able to call on over 30 years of industry experience and work closely with clients to offer a fresh perspective on how technically challenging applications might be addressed. Furthermore HUBTEX is committed to providing lifetime support for its products, allowing its clients to invest in equipment in the knowledge that assistance is on hand where and when it is required. “We know that we build extremely good equipment proven to stand the test of time, however pragmatically these are effectively workhorses and at the end of the day sooner or later they will be worked hard and need attention.


HUBTEX is committed to providing lifetime support for its products, allowing its clients to invest in equipment in the knowledge that assistance is on hand where and when it is required





“HUBTEX fully recognise this and focus on providing high level aftermarket support. We have our own team of factory trained service technicians and hold a comprehensive spare parts stock centrally located in our Milton Keynes HQ. This stock is further supported by a much larger spare parts inventory in Germany. Furthermore, where possible our designs are modular, we have many components that fit across our entire product portfolio. This further facilitates HUBTEX to respond to clients’ needs efficiently and quickly.” As it continues to support increasing activity



throughout several targeted market sectors, HUBTEX will maintain its focus on the delivery of leading bespoke handling equipment while further expanding its global presence. Commenting on company’s strategy now and over the coming years, Steven concludes: “Within the next couple of years we will have more of a focus on our special products offerings, including larger projects where we can add tangible advantages to operations, through increased efficiency, increased storage density and enhanced safety. HUBTEX is committed to provide innovative technical and commercial solutions for the most demanding of material handling applications. “We aim to support our valued partners in a way that others are not able to and look forward to discussing challenging projects with prospective future clients during the SPE Offshore Europe Conference & Exhibition in Aberdeen 2015 in early September. You will find us on Stand 4D151 where HUBTEX extend a warm welcome to all interested parties.”

You will find us on Stand 4D151 where HUBTEX extend a warm welcome to all interested parties


Services Specialist Handling Equipment


Pittsburgh Corning Europe

protection Asset

With roots dating back as far as 1937, Pittsburgh Corning has a 78-year history as a leading supplier of high-performance glass insulating products for clients operating within the building, energy and industrial markets. The company was formed from Pittsburgh Plate Glass Company and Corning Glass Works and over the past seven decades it has supplied its innovative glass block technology to clients within a spectrum of industry sectors. Today Pittsburgh Corning is active in every corner of the world through the delivery of its technically advanced FOAMGLAS® insulation and glass block products, and continues to grow while further investing to allow the company to better reach its clients. Pittsburgh Corning was previously featured in Energy, Oil and Gas magazine during January 2015, during which time Director of Sales EMEA, Frank Ergeerts elaborated on the company’s on-going investment in its manufacturing capabilities. Indeed since first introducing FOAMGLAS® to the US market during the mid-1940s, Pittsburgh Corning expanded its presence into Europe with a large manufacturing facility located in Belgium, which opened for production in 1965. Throughout the decades that followed, the company established additional factories within Europe, the US and most recently Asia. Today the company boasts the largest fabricating workshop in the world where FOAMGLAS® insulated blocks are transformed into elements designed to fit on piping and equipment.

The latest investments by Pittsburgh Corning within Europe and China incorporate its unique continuous product manufacturing process, which enables it to maintain an extended global reach underpinned by expert technical support. The company’s most recent expansion in China has been driven by the strong and growing demand within the Asia Pacific region and is supported by a newly implemented global focus. “Since May 2015 our China Plant has been fully completed and is now up and running producing FOAMGLAS® insulation blocks. All of the company’s plant production meets global material standards and its strong capacity and network of locations allows for prompt and economic supply to all projects worldwide,” explains Frank. “Our new global organisation structure will reinforce Pittsburgh Corning’s core values and help us improve our customer focus, deepen our understanding of our various customers’ needs and provide responsive products and services that profitably grow the business,” he adds. “Standardised key business processes improve efficiency and strengthen our competitive position. Therefore we continue to deliver projects worldwide in applications such as tank base insulation for piping and equipment. For example, deliveries to yards catering for Gazprom’s Yamal LNG project in Russia have started and will run over the coming years. Because the LNG plant is situated in an area with a harsh climate, FOAMGLAS® insulation ENERGY,oil&gas


FOAMGLAS® Insulation’s New TEROSTAT system


The only cellular glass - coating system that is truly firesafe







The new FOAMGLAS® - TEROSTAT insulation system ticks all the right boxes Uniquely fire safe BS476 Class O insulation system Continuous temperature up to 130 °C Excellent UV and weather resistance

Pittsburgh Corning

Completely impermeable to moisture Quick and easy installation Complete anti-CUI system Pittsburgh Corning UK | Phone: 07789 507 094 |

Protecting Companies and Their People Worldwide™


was specified for all of the insulation work.” FOAMGLAS® is a unique product with a manufacturing process comprised of four stages; glass production, grinding of the glass to glass powder and mixing it with carbon, foaming and annealing of glass and finishing of the product. The result is an extensive range of different grades of FOAMGLAS® insulation, which have varying degrees of compressive strength and thermal conductivity. “All FOAMGLAS® insulation materials are inorganic, incombustible, closed cell and impervious to liquids and vapour,” Frank explains. “Our main product is FOAMGLAS® ONE™ cellular glass insulation that is available in block format as well as in numerous prefabricated formats such as pipe shells, fittings, cones and tank and vessel heads. We also offer a specific high load bearing range called FOAMGLAS® HLB insulation, this has a unique combination of high compressive strength and low thermal conductivity, which makes it ideal for a wide range of tank base construction and other industrial load bearing applications.” As an expert in the field, in addition to the provision of its range of FOAMGLAS® installation materials, Pittsburgh Corning puts an emphasis on the delivery of full installation solutions. As such it has developed its range of PC® Accessory Products, which comprises adhesives, coatings, sealants, fabrics and jacketing options. “We recommend this ‘total system’ approach when specifying insulation and accessory products as a total solution package,” Frank says. “This is why Pittsburgh Corning recommended accessories are formulated, designed and tested to ensure proven performance of the client’s insulation system.” A key application in the use of Pittsburgh Corning products is the prevention of corrosion under insulation (CUI). In the simplest terms, the prevention of CUI requires that water be kept out of insulation systems. One of most effective ways of keeping water out of insulation systems is through the use of a closed cell insulation material, together with an applied flexible coating that provides a seamless weatherproof membrane that can prevent water ingress and retention. To address the problem of CUI, Pittsburgh Corning has developed its Terostat anti-CUI system, which is a combined system of FOAMGLAS® closed cell insulation with Terostat PC® FRi. Terostat PC® FRi is a single component silicone-based sealant, coating and adhesive which cures by reaction with moisture to a soft elastic monolithic product. The product

Pittsburgh Corning Europe

is free of solvents, isocyanates, and PVC. This combined with its excellent flame retardant properties (Class O as per BS476) makes it the preeminent anti-CUI insulation system. “Many offshore and onshore installations have switched to working with closed cell insulation like FOAMGLAS® insulation and have started to see the benefits in CUI prevention and increased long-term thermal efficiency,” Frank reveals. “Pre-coating cellular glass in flexible coatings like in the FOAMGLAS® - Terostat system has simplified this process by giving quick installation with easier and more effective sealing

to maximise CUI protection. One hundred per cent closed-cell FOAMGLAS® insulation plus a pre-applied flexible Terostat PC® FRi coating with fully sealed joints will provide an exceptional insulation system for CUI prevention and longevity.” Pittsburgh Corning will be present at Offshore Europe 2015, where it will take the opportunity to meet with some of its clients and potential future clients as part of its strategy of continued product innovation and market growth, as Frank concludes: “Events such as Offshore Europe are of big importance for us as they create the chance to meet with all your clients from a specific market over the course of just a few days. We are constantly working on improving our products so an exhibition like this provides a great opportunity to communicate to our clients when a product’s properties have been improved or to launch a new product. During the coming months the main focus will remain on keep further penetrating the market with a main focus on the voice of the customer. Main market segments we will keep targeting will be the CUI and fireproofing markets, which still have some developing potential and we will also keep working towards globalising our fabricating facilities to even further develop our global reach.”

Our new global organisation structure will reinforce Pittsburgh Corning’s core values and help us improve our customer focus, deepen our understanding of our various customers’ needs and provide responsive products and services that profitably grow the business

Pittsburgh Corning Europe

Services Insulation systems for industry



together High Integrity -

BST Supplies Co. Ltd. is a worldleading manufacturer of bespoke, high-integrity, fully traceable fasteners. Proudly independent, the core business for BST is manufacturing for safety critical / ‘must not fail’ applications for the harshest environments. Whether the client requires dimensionally standard components made from specialist materials, or ‘unique design’ components manufactured from standard materials, BST has the flexibility to produce all types of fasteners. As Sales Manager Raphael Smets explained: “Every single component BST manufacture conforms to international standards or is specifically produced in line with the customer specifications, drawings or samples.” He gave Energy, Oil and Gas further details on how the company operates: “We don’t design the product, we are given the exact specifications and requirements by the client and we manufacture precisely to those.” He continued: “However, we do work very closely with many OEM’s, and feel privileged that they will come to us for advice if they need to adhere to particular regulations or a new demand from their



Holding it all

customers. Changes in specification happen fairly regularly within the oil and gas sector and every time a new spec or a new requirement comes out, BST is one of the first to know and stock material accordingly.” He added: “Our real strength is the peace of mind that customers get from our expertise in manufacturing bespoke products – they trust us to deliver fasteners exactly as ordered, that are of the highest integrity, offer true and fully comprehensive traceability and are made from only the best quality western European raw materials. This is especially important when you consider the applications that we manufacture for. Our customers demand the very best quality products that 'will not fail' during their lifecycle as they are often incorporated into equipment in inaccessible places and the costs of accessing them is very high. They look to invest in our fasteners, in order to get the quality and reliability they need and demand.” Supporting this excellence in manufacture is a company structure that has always placed the highest quality at its heart. The creators and owners, Tony Lawless and Stuart Mee


established the company in 1987, and over the subsequent 28 years it has grown to employ 110 staff and turn over circa £10 million a year. “The focus of the business has never wavered from always being the most reliable supplier of bespoke threaded products and to position BST as the number one supplier of quality fasteners,” Raphael confirmed. “Once the business was up and running, profits were meticulously re-invested into the company, in order to purchase the right machinery and set up an in-house manufacturing plant. That philosophy has remained since those early days, meaning that profit is still largely invested into new machines and creating new infrastructure. For example, the last major investments were in a PTFE plant, a new computer system and, lately, a new on-site UKAS ISO17025 approved laboratory. “So from very humble beginnings when the owners started the business with a telephone, we have grown to become a fully internationally recognised manufacturing facility, where we are able to control the whole production process from sourcing raw materials to finished product. However, the quality philosophy of the company remains and that transfers to our customers viewing BST as the most reliable supplier in terms of delivery and quality.” Being independently owned also allows for flexibility and quick reactions and Raphael noted the significance of this: “We are very customer focused and if we need a fast decision to answer a customer’s challenge, we meet with our managing director, James Mee, and if needed get an investment approved the very same day.” This degree of reaction time is invaluable to BST’s clients in the world’s most demanding sectors of subsea oil and gas, nuclear, power generation, defence and marine. “If you look at the history of BST, previously the company’s business was split at approximately 50 per cent nuclear and defence and 50 per cent oil and gas. But around ten years ago there was a change of attitude within the oil and gas industry towards high quality fasteners with full traceability and our growth has been pushed by that increase in demand. Subsea equipment fabricators were historically buying threaded components that were simply poor quality, with no traceability or reliability of raw materials origin. They were spending significant amounts on weld procedures, forging and so on, and holding the equipment together with low cost sub-standard fasteners. As a result the risk of failure was high,

and eventually it became clear that there was a need to change the requirements for fasteners,” explained Raphael. “Since 2008, in the North Sea for example, there has been a real improvement in the required subsea specifications and the need for increased traceability, and as a result companies came to us because they needed the very highest quality fasteners of the type we manufacture. I would say that this growth in demand changed the distribution of our business from 50-50 to closer to 75 per cent oil and gas and 25 per cent in other sectors,” noted Raphael, before adding: “But we are keen to also increase our business activities in other sectors, especially energy and nuclear. The nuclear power station industry in the UK is something that we are also manufacturing for and we would very much like to develop further into it. We are already registered with NAMRC, in a program called ‘Fit for Nuclear’. At the moment our business with defence remains more in volume than energy and civil nuclear, but it is something we are looking to expand over the coming months and years. “Furthermore, there are always other industries to consider, so for example we are also keen to get involved with wind turbines, tidal technology and other renewable sources of energy. Most of them are fairly easily accessible so the question is whether they need fasteners with such a high level of testing and quality as our products.” So BST is viewed as an expert when it comes to underwater applications, which alongside wellheads and subsea equipment for oil and gas, also includes submarines and ship’s defence with the Navy and MoD. “When it comes to subsea and marine applications we are very well known worldwide,” stated Raphael. What unites all of these markets is their need for a no-compromise approach to quality and reliability, not just from products but also from people. Because BST manufactures to exact customer specifications, it’s essential that its products are right first time, every time. This makes knowledgeable and dependable staff a vital necessity. Their expertise and commitment, from initial order through to production, testing and quality assurance, ensures that integrity is prevalent throughout the business. Thanks to its culture of excellence that extends companywide from the shop floor to the board room, BST Supplies is still welcoming new clients to its order books, despite the downturn in the oil and gas market at the moment due to oil prices. As an established business with nearly

BST Supplies

Changes in specification happen fairly regularly within the oil and gas sector and every time a new spec or a new requirement comes out, BST is one of the first to know and stock material accordingly




BST Supplies

Our real strength is the peace of mind that customers get from our expertise in manufacturing bespoke products

three decades of experience, BST has seen dips in the oil industry before, and is confident that its dedication to quality will always remain a firm foundation for success. “The companies that aren’t robust will struggle and some may even close, but we are still seeing some positive signs and have opened accounts with major subsea manufacturers. So we are confident that the drop in the market will be countered by new accounts within Oil and Gas and new clients from other sectors,” said Raphael.



He concluded: “We have come a long way in the manufacturing process of subsea components, over the last two decades we have had the privilege of working with FMC Technologies. In the last 12 month we have also been approved by Onesubsea, Aker solutions and GE. It has taken us long time to be awarded these approvals by these leading companies. To become a trusted supplier to them is another indication of the high quality services we provide to our customers.”

BST Supplies Ltd

Services High-quality, fully traceable fasteners and components



The creation of

Lewis Rowland, Viewsafe is the safety assured maintenance aperture for the condition monitoring of live electrical switchgear and assets that has taken the shipping and oil and gas industries by storm. “Viewsafe was developed whilst I completed my Msc in Business Management at Lancaster University. The product design work was completed at this stage, and the past five years have seen the design develop into the product it is today,” says Lewis Rowland, owner of Viewsafe. “The initial designs and concepts of Viewsafe were created with the basis of creating a product that was safer, more flexible and offered better performance than what was out there in the market. We were well aware of the practices of Thermal Imaging and Partial Discharge, but



there was nothing in the market that could combine the two techniques. Customers had to make a choice of one or the other, but if there were a single system to complete both inspections, that choice would not have to be made. Off the back of the initial designs, Viewsafe developed further as we introduced the capability of visual inspection and emergency CO2 access to equipment. The early investment in items such as global patents, trademarks and internal arc testing meant it was always going to take a period of time to get to full implementation in the market. With safety being paramount to the product, it was imperative that we covered all aspects of safety before introducing the product to potential customers,” he continues. Today used by the likes of Norwegian Cruise


Line, Disney Cruise Line, P&O Cruise Lines, Cunard and Teekay Gas Shipping, the product offers the unique ability of enabling operators to complete condition monitoring of their live electrical switchgear through both thermal imaging and partial discharge in a safe manner. “With many of the clients, we are moving towards complete fleet or asset coverage with the Viewsafe system. For example, when the three Cunard vessels, Queen Mary 2, Queen Victoria and Queen Elizabeth were all in Liverpool to mark the 175th anniversary of the company it was a proud moment for us as Viewsafe is installed on all three of these vessels. “We are also working very closely with switchgear manufacturers such as Powell Industries, ABB and GE Energy Management for Viewsafe’s inclusion in new-build

switchgear projects, which brings an entirely new dimension to the product and business,” highlights Lewis. Discussing some major contracts for the company, Lewis continues: “Whilst we are extremely proud of all our projects and installations that we have worked on, there are a few which require a special mention. Norwegian Cruise Line and Disney Cruise Line took Viewsafe on when the company was very much in its infancy. With very few installations completed, both companies were pioneers of installing Viewsafe based on the merits of its performance and ability.” Viewsafe also met with BP Shipping in late 2011, and the introduction of Viewsafe happened to fall in line with the introduction of condition monitoring to the BP Shipping Gem class vessels. “One key item for the installation with BP Shipping was that Viewsafe was required to be fully Type Approved by Classification Societies, and accepted for installation on-board marine vessels. This meant that Viewsafe had to apply to Lloyd’s Register for installation verification, where systematic inspection of Internal Arc Classification, Ingress Protection testing and finally Manufacturing processes was completed. In September 2012, Viewsafe was accepted as a fully Type Approved system for installation and shortly after, Viewsafe began installing on the first of the 4 Gem Class BP vessels.” In addition to providing optimum safety, Viewsafe boosts performance efficiency of the electrical switchgear and minimises the risk of unplanned equipment downtime and the costs that come with this. The product also has security access locks on its base unit, which restricts unauthorised access and allows Viewsafe to be integrated easily into a permit to work system. Furthermore, from a performance perspective, Viewsafe gives customers a high level of accuracy of asset performance data thanks to the combination of thermal imaging and partial discharge inspection. “With the ability to complete thermal imaging, the prevention of failure and unplanned downtime can be achieved with the identification of ‘hotspots’ caused by high resistance and loose connections. On the partial discharge side, ultrasonic acoustic emission measurements completed through Viewsafe are up to ten times more accurate than current measurement techniques allow. By using these techniques in tandem with one another, personnel have the complete set of


The initial designs and concepts of Viewsafe were created with the basis of creating a product that was safer, more flexible and offered better performance than what was out there in the market




tools available to complete holistic condition monitoring of assets to extend and protect asset life spans,” explains Lewis. The innovative product has generated demand on a global scale, with many blue chip clients keen to have Viewsafe installed on their entire fleet. Discussing opportunities for further growth, Lewis notes: “Geographically I would have to say that the Far East has probably the biggest potential at present, purely due to the vast numbers of marine vessels, which are being built and manufactured there. The likes of DSME are currently involved in many projects that we are working on, and I think a closer working relationship with the shipyards in the Far East, as well as on a global level, holds a huge opportunity for Viewsafe.”

In addition to the Far East, Lewis sees opportunities for rapid growth in areas such as the Middle East and South America once these conservative markets realise the benefits of Viewsafe: “The task faced in these markets is altering the current position of reactive maintenance, to proactive by introducing not only Viewsafe, but the entire notion of condition monitoring electrical equipment to extend its lifespan and its performance levels. This takes not only the introduction of a new product, but also the introduction of new ideas and new practice. This implementation isn’t overnight, but a gradual learning curve for companies in these regions.” With ten full time employees in the business, as well as a number of highly skilled sub contractors and distributors and agents placed across the globe, those behind the innovative product are prepared for upcoming demand as they develop Viewsafe into the first choice for customers seeking condition monitoring tools for electrical switchgears, as Lewis concludes: “We want the clients to be requesting Viewsafe, the switchgear manufacturers to be promoting Viewsafe, and the service engineers to be using Viewsafe. The next three to five years will no doubt see a further increase in condition monitoring practices globally and Viewsafe intends to be at the forefront of this push, especially in the marine and oil and gas markets.”


In addition to providing optimum safety, Viewsafe boosts performance efficiency of the electrical switchgear and minimises the risk of unplanned equipment downtime and the costs that come with this


Services Safety assured maintenance aperture for electrical switchgear




Plans in the MRC Flangefitt We have worked successfully with Pipetawse for many years on major projects including most recently: Conoco Phillips ‘Britannia’, Shell ‘Bonga FPSO’, OGN ‘Enquest Producer’, GDF Suez ‘Cygnus’ project and EOG (BHP Petroleum) ‘Douglas’ Platform. Pipetawse have a wealth of highly skilled and qualified personnel who can deliver a specialist fabrication service for major projects.

Established in 1981, Pipetawse Limited has developed its services and expertise to become a high quality pipework specialist in activities such as shop fabrication, project management, pipework fabrication, erection and testing; skid mounted units, pipework, steelwork, skid and vessel design, vessel manufacture, testing and installation and pipework inspection. This diverse range of services stems from the 30 years of experience the company has gained in supplying pipework and steelwork across a wide range of industries; these include offshore oil and gas, energy, petro-chemical, pharmaceutical, food processing, shipbuilding, breweries and the environment. “We have worked since 1981, not only in the oil and gas sectors, but also the petro-chem, pharmaceutical, food processing, brewing and industrial sectors. We provide not only off-site fabrication and welding, but also provide the ability to fabricate, install & test on a client’s site and / or using our off-site facility to support an on-site project,” explains Bill Armstrong, Managing Director at Pipetawse Limited.


Pipetawse consists of a 24,000 square feet production area, which is divided into three modern and well-equipped workshops for carbon steel, stainless steel and exotic materials. Because these workshops are each dedicated to specific materials, Pipetawse has eliminated the risk of cross-contamination through complete material segregation. This is available to various material types, including stainless steel and hastelloy, carbon steel, six per cent moly, duplex/super duplex and cupro-nickel alloys. In addition to this large fabrication area, the company also has a covered storage area of 3300 square feet, three acres of fenced lay down area, and 1300 square feet of reinforced concrete slab for the trial-erection of steelwork; the latter of which can take loads of up to 600 tonnes. Furthermore, to ensure optimum security, all areas within the facilities are secured by both CCTV and alarms. “We are established to meet the needs of each individual company and are able to carry out work as a principal contractor or sub-contractor that works directly to the client’s instruction. Our policy is that no job is too small and we are comfortable working on large or small projects, as well as maintenance and repair type works. We are also able to work closely with design and management companies and work in accordance with client specifications,” says Bill. Having worked on a wide range of projects over the years, the ISO 9001 company has proven itself a reliable and quality focused option for blue chip organisations in need of mechanical, pipework and steelwork fabrication & installation solutions. Discussing the reasons behind Pipetawse’s notable success, Bill says: “Over the years we have worked on a variety of projects with companies such as AMEC, Heerema, Fabricom, ENI and Haskell Energy, to name a few. The reason behind our competitiveness in the market is our workforce, which we view as our main strength. Some of our employees having been with ourselves over ten years. This means that our employees know our clients, and our clients’ expectations, having worked in the industry for many years. Not only that, but our healthy apprenticeship programme ensures that young trades are also coming through, with six of our current workforce being retained apprentices.” He continues: “Welding is another one of our strengths, with over 275 qualified WPQR’s, and we ensure that all of our welders are multicoded, and qualified by third party inspection (such as Lloyds & DNV). Our goal is to achieve ENERGY,oil&gas


MACAW Engineering is a leading independent consultancy providing technical support in areas such as welding and materials. With over 100 years combined experience, our materials and welding experts have provided technical support to benefit market leaders in the Oil and Gas, Onshore and Offshore Pipeline, Subsea, and Defence Industry sectors.

MRC Flangefitt are one of Europeʼs leading stockists of Stainless Steel, Duplex, Super Duplex, 6 Moly and Nickel Alloys. We stock ½” 150lb to 24” 2500lb finished, part machined and solid forgings and can be machined in house to clients Specific drawings, we also stock the pipe and fittings to complement our flange stock. We have in house metallurgists, and NDT operators who are qualified for PMI, UST, XRF,Ferritescope, Deltascope And Microhardness. We source all materials from Western European mills ( All NORSOK M650 approved).

Industries we supply: To find out how our welding & materials experts can support your business: Email: Tel: +44 (0)191 215 4010



◆ Onshore ◆ Offshore ◆ Subsea ◆ Petrochemical ◆ Nuclear ◆ Mining

MRC Flangefitt We have worked successfully with Pipetawse for many years on major projects including most recently: Conoco Phillips ʻBritanniaʼ, Shell ʻBonga FPSOʼ, OGN ʻEnquest Producerʼ, GDF Suez ʻCygnusʼ project and EOG (BHP Petroleum) ʻDouglasʼ Platform. Pipetawse have a wealth of highly skilled and qualified personnel who can deliver a specialist fabrication service for major projects.


BSEN 3834 by the second quarter 2016.” Indeed, with welding such an integral part of the company’s service, Pipetawse is constantly searching for ways to improve the quality and productivity within this business area. “Due to the need to weld some heavy bodied valves (up to 12”NB), we recently invested in new pipe welding manipulators to enable to not only handle this material more safely, but to also improve the production turn-around of the fabrication,” says Bill. Firm in the belief that quality is key, Pipetawse employees are highly skilled craftsmen that are able to provide a broad range of welding procedures that cover all materials, thicknesses and diameters, thus ensuring Pipetawse always has the correct procedure in place for any project. With a ‘zero defects’ mentality, the company uses its extensive experience in fabricating pipework and steelwork to ensure customers receive exactly what they requested. Further proving its commitment to quality, Pipetawse has all of its fabrication and welding backed up by extensive nondestructive examinations from its approved NDE sub-contractors. For example, hydrostatic pressure testing of pipework will take place to the client’s specific test pressures, or x-ray radiography of the company’s welds will take place to check for weld integrity. Other nondestructive tests include gamma-ray radiography, magnetic particle inspection (MPI), dyepenetrant inspection (DPI), and positive material identification (PMI). Furthermore, all jobs include a full documentation package to ensure full traceability of materials, consumables, weld histories, and non-destructive examinations as well as optimum quality over the years. With 100 per cent provided on every project, Pipetawse guarantees a quality end product. Aware that working in hazardous or challenging industries requires a stringent view of health and safety, Pipetawse and all of its workforce are involved in an ongoing training programme with the goal of achieving the minimum level of accidents. “I became qualified to NEBOSH Certificate & DipSim level whilst working at Pipetawse at manager level, and now that I am Managing Director it means that health and safety can be driven from the top down, however I also have a safety assistant qualified to NVQ3 in Health & Safety who helps with the day to day safety within the company,” explains Bill. “We also have an open door policy that encourages a pro-active approach to health, safety & environment by

all our employees; so far we have achieved over 1,564,224 man-hours without an LTA.” Relied upon by blue chip organisations to deliver optimum quality solutions in a safe and efficient manner and benefiting from a diverse customer base, Pipetawse is certain to continue growing over the coming years, despite the current challenges within the oil and gas market. “The Offshore oil & gas market is going through a challenging period at the moment, which is why it is important to look at ways of improving production, turn-around time, and the service that we provide to our clients,” says Bill. “We are always looking for new business and new challenges, but we are also conscious not to over diversify, thus diluting our core focus and services. Our aim is to continue to develop and improve the service we provide to our existing clients, and to also expand our welding and fabrication services to new clients. We are also aiming to hopefully expand our services to the renewable energy sector,” he concludes.


Pipetawse Limited

Services Providers of mechanical, pipework and steelwork fabrication & installation solutions



Innovation Since its foundation as an Bringing together good ideas with an active commercial and R&D milieu, Ipark advisors strive to refine new and innovative business ideas and turn them into profitable enterprises Below Martin Sigmundstad, Senior Advisor and Project Manager



incubator approximately 20 years ago, the Norwegian investment and consultancy firm Ipark – Innovation Park Stavanger – has successfully established more than 120 companies together with talented entrepreneurs. Wholly focused on contributing to increasing innovation and value within the region, Ipark is dedicated to creating active participation in the development of new, promising companies that have innovative ideas with strong growth potential. “Ipark is owned by Statoil Technology Invest, SIVA, Rogaland County Council and the foundation Rogaland Kunnskapspark and today has more than 150 companies and around 600 employees,” begins Martin Sigmundstad, Senior Advisor and Project Manager. “We are situated close to the University of Stavanger and also the International Research Institute of Stavanger (IRIS) and also the Norwegian Petroleum Directorate. The governmental body for safety offshore, Petroleum Safety Authority Norway is also our neighbor, so it’s a very good and compact area to be in. “We were originally set up to stimulate innovation and to help small companies get established, particularly in the first two years.

This includes office space and different start-up activities to take part in. We also invest in them, so that we all can work from an ownership point of view. We have recently split this incubator activity up; today I head the energy area, which is the biggest part of the business; however, we also have within Ipark IKT, health, agriculture, art and culture. We are currently a team of approximately ten people, but we are about to merge with a sister company that spun-off some years back; with this development we will have around 20 employees.” Bringing together good ideas with an active commercial and R&D milieu, Ipark advisors strive to refine new and innovative business ideas and turn them into profitable enterprises. Assistance is provided from the initial phase through to the start-up and development stages and right through to the follow-up phase. In addition, Ipark offers companies an arena for their concept where R&D experts, entrepreneurs, investors, advisers and those within the industry meet and collaborate. “We have a programme and some services in place to get the company started, this includes getting all the formalities in place, establishing a board and being a member of the board; looking for financing, developing a strategy and starting establishing the way forward for the company,” explains Martin. He adds: “Normally we start early, the technology then is not verified, so the main topics in the first few years is to find financial and practical help to get the technology evaluated and verified. We have established a good relationship with Statoil and Shell, and we will normally discuss new ideas with them and see if they have any experts that can help us to set a good direction on the development. In a number of cases, these blue chip companies will also invest a small part into the smaller company.” In addition to these services, Ipark is also managing The Accelerator. This activity aids approximately 20 start-up companies each year and currently has around 70 firms under its umbrella. Organised as an association where members support The Accelerator process with their expertise, the main aim of this network is to increase value creation through the accelerated implementation of innovative solutions within the upstream segments. Moreover, it is to lower the estimated time from idea to commercialisation, which is currently at an average of 15 years.


Established to shorten the process of qualifying and implementing new technology, The Accelerator’s ethos is to recognise that there is no limit to new ideas and innovations should resources, particularly financial, be available. As such, The Accelerator provides financial aid for every new start-up to help remove these potential hurdles. In addition, the network has access to some of the key experts in the industry for subsea and drilling equipment who are available to review a technology developer’s innovation before giving a conclusion via an assessment of the equipment’s industrial potential. From this moment, the expert team will recommend potential partners and customers before offering assistance and follow-ups through the remaining qualification process. “This is part of our service, to offer smaller companies a meeting place with bigger companies to help develop a new technology. The importance of new technology has never been bigger; when the oil price dropped by half, companies have had to find ways to reduce costs

Ipark AS / The Accelerator

and deliver more effective solutions, By helping start-ups and small companies within a conservative market, The Accelerator has so far played an integral part in the development of new and innovative technologies. These include Scopos AS’s camera, which is designed for non-contact measuring of objects geometry in subsea operations, and Zaptec’s unique high-voltage transformer technology that can be used in the energy, automotive, space and mineral industries. Moving forward, Martin believes The Accelerator project will help overcome the negativity in the sluggish oil and gas sectors through the delivery of new innovative technologies that will help kick start market recovery. “I think a good bridge between bigger companies and smaller firms is something that has previously been overlooked, however, it can drastically lower the time it takes to bring a product to the market, while also ensuring smaller companies can survive,” concludes Martin.

Ipark AS / The Accelerator

Services Investment and consultancy



Setting a global

standard Dril-Quip, Inc., founded in 1981,

has established itself as one of the world’s leading manufacturers of offshore drilling and production equipment that is well suited for use in deep-water applications. The company designs and manufactures subsea, surface and offshore rig equipment for use by oil and gas companies and drilling contractors in offshore areas throughout the world. Dril-Quip also provides technical advisory services, reconditioning services and running tools for use in connection with the installation and retrieval of its products. Headquartered in Houston, Texas, Dril-Quip has major manufacturing facilities in the United States, Brazil, Scotland and Singapore, and has sales and service offices in numerous locations throughout the world. Dril-Quip’s global operations are divided into three geographic regions – the Western Hemisphere region serving the offshore markets of North and South America; the



Eastern Hemisphere region serving the offshore markets in the North Sea, Iceland, Greenland, Africa and the Mediterranean; and the AsiaPacific region serving the offshore markets in the Asia-Pacific Rim, India, China, Australia and the Middle East. The company’s product lines are generally categorised into subsea well systems, dry tree systems, subsea completion systems and offshore rig equipment. 66 Subsea Well Systems - The company supplies equipment for offshore exploration applications, which include specialty casing connectors, subsea wellhead equipment, mudline suspension equipment and liner hangers. 66 Dry Tree Systems - The company supplies dry tree completion systems for fixed platform and floating production platform applications which include specialty casing connectors, subsea and surface wellhead systems, templates, liner hangers, tie-back connectors, production risers, production riser tensioners and surface production trees. 66 Subsea Completion Systems - The company supplies subsea completion systems for subsea field developments which include specialty casing connectors, subsea wellhead systems, liner hangers, templates, subsea completion


trees, subsea controls, flowline connection systems, pipeline-end manifolds, pipeline-end terminations and flow-control manifolds. 66 Offshore Rig Equipment - The company supplies a line of rig equipment to offshore drilling vessels that include diverter systems, marine drilling riser systems and wellhead/ BOP connectors. Dril-Quip is somewhat unique in its industry segment because its manufacturing operations are vertically integrated, with the company performing essentially all of its forging, heat treating, machining, fabrication, inspection, assembly and testing at its own facilities. The company develops its broad line of subsea, surface and offshore rig equipment primarily through internal product development efforts. Dril-Quip is also one of the first in its industry segment to operate under a quality management system following the APQP (Advanced Product Quality Planning) process that incorporates a structured method of assessing design and manufacturing characteristics that govern the fit, function and service life of the product. This assessment is the foundation of design and manufacturing process controls used to ensure safe and reliable products that meet or exceed performance requirements and customer expectations. The company’s product design philosophy

demands detailed engineering design evaluation followed by prototype testing prior to putting the product in-service. All of its critical products undergo rigorous 2D and 3D Finite Element Analysis (FEA), failure mode and effects analysis (FMEA), and fatigue analysis, where appropriate, during the design verification process. But the company doesn’t stop there. “FEA is a great tool during the design process but it requires a lot of assumptions and inputs about loads, materials, component interactions, etc. during modeling. The accuracy of these inputs and assumptions can only be verified and adjusted as needed by performing validation testing. Therefore, we believe it is very important to validate the design and analysis with physical testing,” says Jim Kaculi, Vice President of Engineering at Dril-Quip. “Data obtained from our validation tests allowed us to calibrate our models and validate the analysis methodologies, and provides confirmation of the safety design margins and the limits of our equipment.” In 2013, the company completed a dedicated Connector Test Facility to accomplish validation testing, which it also believes is unique in the industry. This state-of-the-art facility includes a Vertical Test Machine, a Fatigue Test Machine, and a Horizontal Test Machine capable of testing a complete subsea wellhead system. “Dril-Quip believes that validation testing is critical to meeting the customers’ expectations for safety and field performance requirements. It ensures that our products perform as predicted by design analysis,” says Marcus Smedley, Vice President of Sales and Marketing. The company is currently using the Horizontal Test Machine to perform validation testing on its specialty connectors and subsea wellhead systems. The Horizontal


The company designs and manufactures subsea, surface and offshore rig equipment for use by oil and gas companies and drilling contractors in offshore areas throughout the world

Above Jim Kaculi, Vice President of Engineering, Dril-Quip Below Marcus Smedley, Vice President of Sales and Marketing, Dril-Quip



Test Machine is equipped with hydraulic cylinders and a control system that applies prescribed loads to a test specimen. This highly engineered machine, built in-house, is able to perform component and system level tests of large equipment to their limits at very high load magnitudes: 20 million ft-lbf bending,



13 million lbf tension/compression, six million lbf casing weight, and 20,000 psi pressure. What makes this machine unique in the industry is that it can generate high loads and apply various load combinations simultaneously, including bending, tension, compression, internal pressure and associated pressure end-loads, external pressure, and casing weight for normal, extreme, and survival conditions. In 2010, the company was asked for a proposal of a specialty subsea wellhead with high fatigue specifications for a Tension Leg Platform (TLP) development in the Gulf of Mexico. The company looked at several locking profiles on 30" OD mandrels and optimised its own locking profile to provide a design geometry that was capable of 460 years of un-factored fatigue life based on the specific project’s loading conditions. Following the recommendations of API PER15K for a system level approach to both verification and validation, system validation testing was performed on the wellhead and its locking profile to confirm the analysis results. Going through this extensive and internally funded effort gave Dril-Quip a better


understanding of wellhead system behavior, and the knowledge obtained from this test program was used to design the next generation wellhead system. The company won an award for the best technical paper presented at the 2015 Offshore Technology Conference, addressing the structural integrity of a new and enhanced subsea wellhead system with a 35" mandrel suitable for 20,000 psi HPHT applications and capable of supporting up to 20 million ft-lbf of survival bending moments. “Because we have already qualified our 20,000 psi subsea wellhead component technology to API 17D 2nd edition, and API 6A Appendix F Group 4 dynamic test requirements for 15,000 psi equipment, we have all but completed development efforts for the next generation 20,000 psi subsea wellhead systems,� says Smedley. Dril-Quip designed, built and delivered its first fixed platform unitised wellhead system and production trees in the late 1990s. Since then, the company has continued its development of critical service platform wellheads and production trees for single-well vertical, multislot vertical and horizontal tree applications in key field developments in the North Sea and Asia Pacific. The company has been supplying dry tree components to TLP and Spar field developments since the early 1990s. In early 2000, the company adapted its fixed platform unitised wellhead and production tree technology for service on a floating production platform in the Gulf of Mexico. The company recently added riser tensioners to its product line, enabling it to provide entire dry tree completion systems to its clients. Its first dry tree system was supplied to a Spar application in the South China Sea in 2012. The company is currently supporting installation of its dry tree systems for multiple TLP projects in the Gulf of Mexico and offshore Brazil, as well as manufacturing dry tree systems for a TLP project offshore Malaysia. Dril-Quip has provided and successfully installed over 300 subsea trees in various locations around the world. The company has shipped subsea trees for installation in the Gulf of Mexico and the North Sea, and off the coast of Australia, Brazil, and the Philippines and most recently off the coast of Trinidad. In 2006, the company supplied its first control system to a field development in the North Sea and since then has supplied controls for

subsea trees, production manifolds and High Integrity Pipeline Protection Systems (HIPPS) for numerous developments. Dril-Quip is currently designing and manufacturing 18 subsea trees and associated subsea controls under a frame agreement for a North Sea field development. The company has developed a horizontal tree, which is in the final design stages and will be entering prototype testing this year. Dril-Quip is dedicated to serving the oil and gas industry with fully qualified offshore and subsea drilling and completion equipment that meets industry requirements. Since its inception, the company has sought to provide innovative and reliable products to its customers. DrilQuip has accomplished this through its efforts to raise the standards of verification analysis and validation testing of offshore drilling and production technology. This, in combination with a vertical integration structure, has given the company its competitive edge in the market.



Services Subsea, surface and offshore rig equipment



challenges Overcoming

Energy, Oil and Gas

last featured VENKO Offshore in November 2014 when Business Unit Manager, Tom Herok, noted that the company had continued a successful run of delivering contracts to a number of offshore clients. Today, despite growing pressures in the industry amid falling oil prices, VENKO is still positive in its ongoing success as more and more companies see the quiet period as an opportunity to focus on maintenance issues. “We have experienced a small set back,” Tom points out. “However, we are glad to see that clients realise that if they don’t maintain their platforms now, they will have bigger problems in the future. With this in mind we have managed to carry on supporting our clients in increasing their offshore efficiency and delivering reduced square metre pricing for coating services.” With its UK office based in Great Yarmouth, Norfolk, a local newspaper recently reported that the company was looking to double its employee levels to nearly 100 due to the awarding of major contracts in the North Sea. With this level of positive growth present in the UK then, it is no surprise that VENKO has set its sights on expansion with a new office in Aberdeen with its strategic partner Brand Energy and Infrastructures for scaffolding and insulation. Commenting on what it is that makes VENKO so strong in such a challenging market, Tom explains: “We seem to be able to make a difference to our clients as we have a very



customer focused way of operating. We provide them with a service that works for them in the long-term, instead of just chasing the current maintenance contract. We really focus on delivering high quality, advanced competencies and efficiency to take the concern of their hands and we seem to be doing a good job of this. We focus not on short-term projects, but on longterm relationships.” As it looks to expand its growth in the UK with a new office in Aberdeen, VENKO Offshore and Brand approach Offshore Europe to showcase the services it can deliver to its clients. With specialism in services from industrial coating and surface preparation to fireproofing, scaffolding and rope access the company has a lot to offer and is currently in the process of developing a new fabric maintenance jack-up barge to enhance it. Speaking in the last feature, Tom highlights: “This will be a real game changer in the future of VENKO operations.” The innovative, cost-effective and purpose built installation looks to solve issues to do with a lack of suitable equipment for high intensity offshore work, therefore reducing delay times and operational costs, which VENKO can then pass onto its clients. “With the oil price issues, the market has changed in recent months and although we still believe in the product and are active in showing clients what we have to offer, it is more difficult to get a long-term commitment to enable an official launch at


the moment,” expresses Tom, who despite this challenge remains confident. “We are eager to start and our clients are eager to start because they see how much of a difference it will make. However, it’s a bit of a catch-22 situation as the barge is not ready yet because the client can’t commit, and the client can’t commit because the barge isn’t ready yet. As soon as there is a change in the market and we get a commitment, then we can bring the concept to market. In the meantime we continue to bring it to the attention of existing and new clients, particularly in Aberdeen, because we know how significant it is.” Elsewhere, VENKO Offshore’s success continues with existing clients on a number of fabric maintenance contracts in the North Sea. “We have now moved onto our third platform for a maintenance campaign with a major North Sea operator who have been a really solid client for us. This is important to us as it proves our difference and they are very pleased with the work we are doing, particularly with safety, client

VENKO Offshore

interface and quality,” says Tom. “We have also been awarded the clipper project for One Gas for a maintenance campaign on the clipper complex over the next five years, which shows that Shell are also pleased with us. In the Netherlands, we also seem to be picking up again with some interesting projects coming up.” The attitude at VENKO Offshore is positive. Whilst Tom remains keenly aware of the challenges that currently face the industry as a whole, he is confident that opportunities exist for the company in the UK and is focused on chasing them. “Over the next 12 months we will very much be focusing on expanding the business in Great Yarmouth, where we have increased our offshore support organisation, and exploring the Aberdeen market,” he says. “We are looking forward to exhibiting at Offshore Europe as it is important for us to let people know that we are there now to deliver our services in Aberdeen, and we want to establish some strong working relationships for the future.”

VENKO Offshore

Services Provide fabric maintenance services to outdoor applications in a range of industries



BARRIER Gritblasting and Painting Factory and Site Applied Coatings Specialist Coatings:

Passive Fire Protection Intumescent Epoxies Cementatious Systems Boarding Systems Sprayed Thermal Insulation Crygenic Pipework PFP Jet-Fire Resistant Systems

Thermal Sprayed Aluminium • Hot Applied Epoxies • Polyurethanes • Powder Coatings •

Deck Screeds and Non-Slip Coatings Syntactic Subsea Insulation

Access and Containment Specialist Scaffolding Containment Rope Access “Shrink-Wrap” Containment Load-Bearing Platform

Removable Jet-Fire Resistant Valve Enclosures & Bulkheads Jet-Fire Resistant Valve Enclosures Jet-Fire Resistant Bulkheads Removable PFP for Structural Steel Removable PFP for Vessels

Proud to Work with OGN

Barrier Group

Outfitting Services Insulation to Modular Units Insulation to Pipework HVAC Fit-Out Architectural Fit-Out

Engineering Design Modular Cabins Accommodation Units LER Rooms

Tees Valley Enterprise Park, Glenarm Road Wynyard TS22 5FB (T) +44 (0)1740 665770 |

Pearl Buildings, Stephenson Street, Willington Quay, Wallsend, Tyne & Wear, NE28 6UE TEL: 0191 262 0510 | FAX: 0191 262 8810

Hoses, Extrusions & Gaskets Specialist Made-Up Hoses Moulded Components Pressed Rubber Seals Vibration Mountings Moulded Rubber Bellows Rubber Fenders & Extrusions

Clamps, Guides, and Pipe Coating Guides for Jackets and Wind Towers Clamps for Subsea Pipework Neoprene to Pipework Subsea In-Situ Field Jointing of Neoprene

Aquaseal Rubber Ltd, Unit 6, Benton Business Park, Bellway Industrial Park, Longbenton, Tyne & Wear NE12 9SW (T) +44 (0) 191 2660934 |


OGN Group

Best of

Despite being a

Barrier Group Quality services maintain Barrier Group’s position in OGN supply chain. Barrier Group has been a core member of OGN Group’s supply chain for several years providing a range of specialist services. Among its recent projects awarded by OGN was the delivery of specialist coating works, access scaffolding, including the erection of some 1500 tonnes of scaffolding and also specialist insulation and architectural services for the EnQuest Producer FPSO contract. Robert Bowles, chairman of Barrier Group, said: “We have a long and successful relationship with OGN Group, which has been maintained by delivering a flexible and agile service that benefits both parties. “We place a strong emphasis on constantly improving our service provision and evolving our offering to ensure we can deliver the most efficient and innovative solutions possible.”

relatively young company, with just five years in operation, Offshore Group Newcastle (OGN) has already developed a strong reputation within the offshore oil and gas industry, having worked on a number of major contracts with blue chip organisations. “OGN was set up for two reasons, the first was to use our experience in offshore oil and gas to target contracts for the design and construction of offshore platforms on the UK and Norwegian Continental Shelf. The second reason was to also incorporate offshore wind projects, most notably the deepwater offshore windfarms that are approximately 40 kilometres off the coast. For the last five years 99 per cent of our focus has been on the oil and gas markets in the UK and Norway; during this time we have completed £550 million worth of work, so we have been busy for a company of our size,” begins Dennis Clark, Chairman of OGN Group. OGN brings together a team of experts within the offshore industry who are all committed to delivering engineering, procurement and construction services to the offshore oil and gas and renewable energy markets from a UK facility. So far this vision has proven highly fruitful for the firm, with a number of major projects undertaken and completed successfully. “Our first major project was a £175 million job for Apache Energy on the Forties field, which was really exciting from our point of view because we did the concept design for the platform, the front engineering, the detailed design, the procurement and then built it. The platform is now operating in the North Sea and has been for about a year,” explains Dennis. “Our most recent project, which is still ongoing is for the Shell operated Nyhamna

Expansion project, which is an onshore gas terminal in the North West coast of Norway. Our role is to fabricate a series of 18 PreAssembled Units (PAUs), which weigh in total approximately 4300Te. The project will help to increase the facilities capacity in order to allow gas from other fields to be processed,” he adds. Based principally in Tyneside, Newcastle, the OHSAS 18001, ISO 9001 and ISO 14001 certified OGN Group is committed to operating in a safe and efficient manner at its wellequipped facility. Moreover, as part of OGN Group’s proactive approach to quality, safety and the environment, these three management systems have been integrated under the term ‘Compliance’, to ensure optimum commitment

to product integrity, protection of individuals and the environment and continuous performance improvement; Lloyd’s Register Quality Assurance (LQRA) regularly audits these systems. Discussing the advantages of operating at its strategically located, dedicated offshore site, Dennis states: “I would say one of our unique selling points is our yard. When we bought the yard, which cost us £15 million in 2009, it was being used to store cars; now it is one of the best offshore platform building facilities in Europe. ENERGY,oil&gas



OGN Group

The facility is 300,000 square metres in size and we have over one kilometre of quayside to allow for the handling of large-volume offshore fabrication and load out operations; we’ve also got three reinforced load out quays, with a maximum load-out capability of 13,000Te in one move. In addition, we have an onsite engineering office with capacity for 300 people and have installed SAP right across our disciplines so we’re on the edge of current technology. Moreover, we’ve bought in automatic profiling equipment and brand new equipment in the last couple of years, so we can handle massive tubulars efficiently and cut with optimum precision; ultimately, these investments mean our welders have a better product to work with.” Features of the site include a 104,000 square metre assembly and erection area, two fabrication halls measuring a total of 16,500 square metres, each of which have overhead craneage of up to 50 tonnes capacity. The site also boasts 7300 square metres of warehousing and storage, a fully equipped medical centre and a reinforced concrete assembly pad. To further enhance its service offering, OGN Group launched a new pipework division at its facility in Newcastle in July 2015, which will enable the firm to provide all levels of industry with their pipework requirements, as Dennis highlights: “Over the last three or four years we have tried to mechanise and automate a lot of the processes and we decided that as things were getting quite quiet with new platform developments, we put the equipment to good use by setting up this division.” With this new division in place, OGN Group is even more prepared to deliver a complete solution to its customers within the North Sea at a cost-effective price, as Dennis concludes: “We will be attending Offshore Europe in 2015, where we will show that there is still a



future in the North Sea, as well as for our skills and capabilities. By showcasing what we can do, we aim to encourage operators to look at alternative ways of conducting projects, which are currently more aligned to a $50 to $60 dollar oil price. Meanwhile, our future business plans are to continue embracing the North Sea, while also becoming the company of choice for offshore windfarms.”

OGN Group

Services Engineering, procurement and construction


ATI Tank Hire


The right Rema Tip Top Industry UK Limited Rema Tip Top Industry UK Limited provides specialist expertise and the highest quality products for corrosion protection, controlled by a dedicated team of industry professionals. As a total solution provider the company actively develops engineered solutions for surface protection, supplying the offshore oil & gas industry and wider process industries. The Surface Protection Division of Rema Tip Top Industry UK Limited is proud to be ATI Tank Hire’s preferred solution provider for corrosion protective barriers. Widely recognised as one of the UK’s leading applicators of both rubber linings and Coroflake coatings, Rema Tip Top works alongside ATI to offer a comprehensive range of corrosion resistant surface protection solutions that not only meet but exceed the demanding applications seen within the offshore oil & gas industry. These include its self manufactured Chemoline Bromobutyl rubbers and Coroflake Vinyl Ester coating systems, all applied within the UK’s premier lining facility in Standish, Lancashire.

Since the company

was founded in Great Yarmouth during 1983, ATI Tank Hire has developed a market leading and trusted reputation in the supply of storage tanks across the UK and beyond. Today the business is owned and guided by its Director, Charles Lumsden, who first became involved in the company during 1992, before taking a controlling interest in ATI Tank Hire in 2006. Since that time Charles has helped to galvanise the business and under his stewardship it has continued to grow from strength to strength. “I took over ATI more by accident than by design,” Charles reveals. “During that time there were just eight members of staff and 154 tanks. However, almost half the tanks were in such a degraded state they were no longer capable of being deployed. My first impression was of everything having been run down – the yard was unswept and the tanks unpainted. For example, the yard was not concreted, just gravel, and

therefore muddy in winter and dusty in summer. So a priority was to move to a concreted yard – one capable of storing heavy equipment.” As the business continued to develop, it quickly began to revitalise its service offering to match the investment that had been made into the company’s premises. The result was a storage tank portfolio and service offering that is designed to meet the demanding requirements of a vast spectrum of clients. “Initially funds were very tight – that was the reason I had become involved in the first place. So we started small by focusing on what have become my mantras over the years – ‘get the culture right’ and ‘put the client first’,” Charles explains. “At a basic level, this meant understanding our clients’ requirements and getting clean and usable tanks to them on time. Today a core feature of our business is that we service multiple sectors, both onshore and offshore. We therefore need to maintain a wide range of tanks so ATI Tank Hire has expanded its range to be able to service specific needs and sectors, for example the construction and environmental sectors. In 1995, we started customising tanks for our clients and this is now key to our operations.” In line with its strategy to provide tanks to a broad base of industry sectors, ATI is able to deliver a host of products with an equally diverse range of specifications to meet the specific requirements of each client. As such, its tanks are frequently employed by clients based within the UK as well as Europe and deployed to regions as far afield as Africa, Canada, Trinidad and South America. “We supply a range of tanks across a spectrum of industries and many tank designs that straddle several applications including oil and gas. In fact there is no tank that ENERGY,oil&gas


IN ASSOCIATION WITH: ATI TANK HIRE Rubber and Corroflake tank lining for use in the Offshore Oil & Gas Industry


SURFACE PROTECTION •R  ubber lining systems - Long term experience in rubber technology provides long lasting corrosion protection


•C  oating systems - A wide variety of in house manufactured products facilitates tailormade surface protection


•H  eavy duty linings - Acid proof claddings for heavy duty corrosion protection applications and improved wear



Advert_ATI HIRE.indd 2

17/08/2015 12:03


is specifically for a single industry as they can all cross over as required. These include standard horizontal tanks, which can be as small as 2m3 and as large as a 100m3,” elaborates Operations Manager, Justin Faraday-Drake. “We also have vertical tanks, which are good for storing products on site as they have a low footprint and these can range from 8m3 to 60m3. ATI also provides open topped tanks, which are used for applications like the separation of sand and silt and these range from 3m3 to 38m3. The tanks used in the offshore sector tend to be DNV certified chemical tanks, ranging from 1m3 to 19m3. A lot of our horizontal tanks are used in offshore environments as they can be skid mounted and lift tested for offshore application.” Throughout all of its operations ATI Tank Hire is committed to achieving excellent health and safety as well as adherence to both national and international levels of certification. “Health and safety has always been a priority and, by aiming for the higher certification, we ensure that health and safety matters are fully addressed. For example, no individual ever works alone on a tank,” Charles says. “In order to comply with international standards it was decided to adopt Norwegian certification for our tanks, and continue to do so to this day. Norway has more severe weather conditions than the UK so, by certifying our tanks to the Norwegian standard DNV, we ensure they are more than equipped to cope with offshore UK conditions. In all, this certification process took some eight years in total.” Despite enjoying strong positive momentum in the growth and development of the business in recent years, ATI Tank Hire shows no signs of slowing down. For example, the company has recently expanded its products range through the delivery of two 19,000-litre storage tanks, which incorporate ‘Liftfull’ capabilities, meaning that they can be lifted when full without having to be emptied. The introduction of these unequally sized tanks further strengthens the ATI Tank Hire product portfolio and embodies the company’s dedication to meeting the needs of its customers. “Prior to the acquisition of these tanks there was a gap in what we had in our portfolio,” Justin says. “Increasingly clients require DNV certified tanks, which was something that we only had in our smaller tanks, so it was important to have larger tanks available with DNV certification.” Further to an increased strength of its product portfolio, ATI Tank Hire has recently also taken the decision to expand its presence by opening a storage depot close to Aberdeen, which is set

to go into service in the near future. “The new storage facility will be situated in Laurencekirk, close to Aberdeen,” Justin reveals. “We realised that it was costing our customers a lot of money to transport tanks from here to Aberdeen, so we decided to open a storage facility to lower the cost of transport to clients.” ATI Tank Hire has enjoyed a significant development and investment in the nearly two decades since Charles became involved with the company. An energetic and professional team that benefits from an in-house training programme and ensures that ATI is on hand to deliver the right solution as and when it is needed, means that the future of the business remains potentially very exciting. “When I started my career in merchant banking I did not expect to end up owning several thousand tons of metal. However, being in a ‘real’ business and seeing at first-hand how the different sectors adapt to economic conditions keeps me on my toes,” Charles concludes. “As for the tanks – well, sometimes it feels as if they’re part of the team as well.”

ATI Tank Hire

ATI Tank Hire Limited

Services Storage tank hire and fabrication







connections Industry

“Machinery is fantastic

PH Industrie-Hydraulik PH Industrie-Hydraulik is a leading European manufacturer of hydraulic hose couplings and compression fittings made from Stainless Steel AISI 316 and 316ti. It produces an extensive range of articles that complies with most international standards including: DIN, SAE, BSP and JIS specifications. The company’s product range is utilised in many varied industrial fields, e.g. in offshore, foundry and rolling mill technology, chemical plants, paper machines, hydraulic engineering, fluid and aggressive media, shipbuilding and others. Connections which keep what they promise.

, however without the right hoses to connect them, machines are just lumps of metal. It’s really the veins that matter,” observes Managing Director for Hydroscand in the UK, Suzanne Day while commenting on the vital nature of hoses across a host of industries. As such with its extensive product portfolio and a proven track record of industry experience, Hydroscand is on hand to assemble and provide a comprehensive range of solutions that help drive the heart of industry. Since Hydroscand Group was founded by Björn Holmström in Stockholm, Sweden during 1969, Hydroscand has grown to become a market leader in the provision of hose and fluid components. From the opening of its first branch in Linköping, the business has grown to achieve a turnover of €185 during 2014 and is presently represented in 18 countries globally. Hydrocscand currently employs 1000 members of staff across 180 branches and works in association with more than 400 resellers to serve over 21,000 clients through Europe, Asia and Africa. Today after four decades in operation, Hydroscand remains in family ownership and continues to pursue its mission to become the market leader and its customers’ first choice in the provision of hoses, fluid components and services that can meet the increasing demands relating to environment, efficiency and profitability. Core to the company’s mission is its strategy of forging long-term relationships with its clients and observing best practice in management, knowledge and process. Furthermore

Hydroscand is committed to employing its core competence to strengthen its know-how, marketing position and customer relations. To fully realise this strategy, Hydroscand maintains a strong global presence in close proximity to its clients to ensure it is able to offer a rapid response. Within the UK and Ireland, this network includes its UK head office in Sandiacre, Nottingham, with a further location in the city suburbs of Colwick, with further branches in Gloucester; Southampton; Plymouth; Bodmin; Redruth, Gaerwen, Bangor, Widnes, Deeside, Wrexham and Llandudno as well as Dundalk, Ireland. Furthermore in addition to its extensive UK network, the company has access to the extensive Hydroscand store located at the group’s base in Sweden, so that clients can always rest assured that they will receive the best solution on time, every time. Hydroscand offers a catalogue of over 20,000 items in stock that range from hydraulic hoses through to fittings, adapters, cutting rings, clamps, valves and other components. Prominently these are applied with the oil and gas offshore, marine and mining sectors, however the presence of Hydroscand products continues to grow in a varied base of other industry areas, as Suzanne elaborates: “The markets that we operate also include logistics and agriculture. Furthermore, our products are found in a lot of production facilities. One area in which we have been very active overseas is aquaculture - fish farming in the sea, which is something that is carried out in Scotland, off the ENERGY,oil&gas






Faster SpA Hydroscand Group and Faster go back many years. Initially marketing and selling Faster products only in Northern Europe, very quickly the Hydroscand Group expanded its activities in Europe, Asia and Africa. Headquartered in Stockholm, the Hydroscand Group has been a respected and reliable customer contributing to the strengthening of Faster’s presence in many countries as well as a variety of market sectors. High quality products, commitment to technical innovation and customer satisfaction, are the common denominator between Hydroscand and Faster.

Shetland Isles. There is a need in this application to keep the nets clean, which makes this an interesting use of our products.” Indeed through its comprehensive product portfolio and extensive knowledge base, Hydroscand is able to meet the requirements of clients ranging from self-employed business owners to multi-million turnover OEMs with the same high-level of commitment and service. With such an eclectic base of clients, it is rare that a simple ‘off the shelf’ solution will suffice and as such, Hydroscand works to guarantee that it provides the broadest and most complete product portfolio as well as the right industry know-how to deliver, assemble and install components as required. “Very often our products are bespoke in that the client will approach us looking for replacement parts or an OEM will require a solution to a specific problem, so what we provide is rarely simply off the shelf. Essentially the company’s customer base falls into two categories, comprised of OEMs and aftermarket service. Within the aftermarket service, clients tend to make what is called a distress purchase. Often with a distress purchase a hose has failed and a machine is down, so in this market having the stock is key,” Suzanne details. “So too is having the experience to fix the solution on site and as such we have our own vans within the UK that can actually go to site,” she adds. “This is an important strength for Hydroscand in addition to the longevity of the company and the fact that it is extremely cash rich, which enables the business to invest in new products when they become available.” As the company continues to grow and

further develop its presence it will seek to strengthen its position in existing markets as well as explore the potential for new applications and regions over the coming years, as Suzanne reveals while discussing her relatively recent posting as Managing Director for Hydroscand in the UK: “I joined Hydroscand during March 2015 and my background is in the energy market. The energy market is not one that the company has fully explored, so I am keen to explore this area and use contacts from my previous role. One interesting application could be that wind turbines actually need to be flushed out, as part of their maintenance. This is certainly a role that we are interested pursuing in and are ready to scale up for as required.” Taking full advantage of her position within the Hydroscand Group, Suzanne is keen to deliver the company’s message within the UK and beyond and will be focused on building lasting relationships between clients old and new. “We are keen to innovate and there are plenty of new markets out there. When you look at something like fracking and consider the amount of hoses and tubing that will be required there it is a huge potential market,” she concludes. “Hydroscand is a fantastic business with a strong brand recognition, however it has not reached it potential in the UK. Within Sweden and Norway we are the market leaders by a long, long way and it is my focus to make the company the market leader in the UK by expanding our branches to make sure that we are in the right location to reach our clients and to double the business – which I think we can do without breaking a sweat.”

Burnett & Hillman Leading supplier worldwide Celebrating our 50th Anniversary 1965-2015 Burnett & Hillman is dedicated to achieving success in every aspect, with 50 years of experience as a global, trusted supplier. Being one of the industry’s leading manufacturers of hydraulic adaptors, we would like to celebrate our success and continued commitment to provide quality, customer support and unbeatable first class service to an ever growing industry with a wide global customer base. Our growth and expansion is a result of our dedication to the industry. We pride ourselves in what we do and our values are ingrained throughout our company.

Hydroscand Ltd

Services Hose and fluid connectors




Kuantan Port Consortium

future Port for the

From its strategic location on the eastern seaboard of Malaysia, Kuantan Port is quickly developing into a hub port for the region’s East-Coast Industrial Corridor. Operating as a subsidiary of Malaysia’s IJM Corporation, Kuantan Port Consortium (KPC) manages the port and is able to respond to the rapid changes in the demand for its facilities. From its headquarters in Selangor, Malaysia IJM has expanded its operations into ten countries with a primary focus in Malaysia, India, China and Indonesia. As such KPC is able to draw on the significant expertise in construction, property development, manufacturing and quarrying, infrastructure concessions and plantations of its parent company in the running of Kuantan Port and shares the commitment of IJM to ethical business conduct. This includes the principles of good corporate citizenship, allowing sustainable growth and development. “KPC operates Kuantan Port as a multipurpose port that is strategically located in the fastest growing region of Indo-china and China,” elaborates Chief Operating Officer, Dato’ Ir. Haji Khasbullah Bin A. Kadir. He added: “Its proximity with the numerous industrial areas, which are yet to be fully developed on the east

coast of the Malaysian Peninsular also make it a suitable port of import and export within the region. Kuantan Port is able to offer suitable berths for petroleum and chemical products and even dedicated berths to major petrochemical players. The liquid bulk operations at Kuantan Port are certified with ISO 9001. KPC is committed to providing the right infrastructure and the highest level of customer experience for its customers.” Presently the port’s main activity is export of minerals such as iron ore and bauxite to China, which accounts for around 52 per cent of Kuantan Port’s total cargo throughput. Next to the exports in minerals the port is heavily involved in the petrochemical industry through the import and export of both liquid and containerised cargos as well as the transit of palm oil, mineral oil, bare and coated pipes and other commodities. As the demand for these products continues to increase KPC has worked to increase the capability of the port through an ongoing expansion plan. “There has been a lot-of progress at Kuantan Port in terms of cargo throughput and the port expansion plan. Construction of a 4.63 kilometres breakwater is on going and is ENERGY,oil&gas



Kuantan Port Consortium

expected to be completed by the end of 2015,” said Dato' Ir. Haji Khasbullah. He further revealed: “The main feature of the expansion of Kuantan Port is the development of a new deep water terminal (NDWT) to cater for large ships up to 150,000 DWT from the current capacity. By providing a deeper port and an additional two kilometres of berth, our clients will no longer be restricted by the size of ships and the limitation of shipment volume, facilitating existing and new clients to expand their operations in Kuantan.” Malaysia has recently unveiled several major upstream and downstream oil and natural gas projects, as part of the country’s strategy to enhance its output from existing oil and natural gas fields and to further its exploration in deep water areas. Malaysia’s ambitious energy strategy represents a significant opportunity for Kuantan Port and on 1st June 2015 a privatisation agreement including both the current port and the new deep-water port terminal providing a concession period of 30 years plus an additional 30 years was signed with the Malaysian Government. “KPC believes that there are immense opportunities to reap from the oil and gas sector by providing facilities to conduct ancillary services to the oil and gas players including vessel lay-ups, ship repairs and supply of stores,” Dato' Ir. Haji Khasbullah says. “KPC is 40 per cent owned by the Guangxi Beibu Gulf Group and will leverage on the partnership to establish new shipping lines with major ports in China. The establishment of the MalaysiaChina-Kuantan Industrial Park (MCKIP) and its sister park in Qinzhou will also enhance bilateral trade between the two countries. From its strategically beneficial location facing China, Kuantan Port will be able to take full advantage of this opportunity and coupled with the port expansion, will definitely serve as an attraction to value adding activities and container lines.” Indeed the strength of Kuantan Port as an integrated industrial and logistics hub is further



highlighted by its identification as of significant importance by the East Coast Economic Region Development Council (ECERDC). “ECERDC is spearheading the industrialisation of the East Coast Region and Kuantan Port has been earmarked as the logistic centre for the East Coast region. The development of the NDWT and both MCKIP and MCKIP II would further enhance the capability of ECERDC’s Special Economic Zone to develop Pahang to be at par with the West Coast states of Malaysia,” said Dato' Ir. Haji Khasbullah and he further related: “The strategic location of Kuantan Port in the Peninsular of Malaysia would further develop trade links with China taking into consideration the location of Kuantan Port, which is the closest port to China and having the capability to provide modern port facilities with additional industrial landbank.” Amid a flurry of activity and development, the future of Kuantan Port Consortium is certainly an exciting one. Commenting on the focus of the port over the coming years, Dato' Ir. Haji Khasbullah concludes: “KPC will continue its focus on fast tracking the port expansion project. At the same time, we will also continue with our efforts to promote Kuantan Port to new and potential clients both internally within Malaysia and overseas. Over the next three to five years, our strategic vision is to place Kuantan Port on the maritime map as the preferred port not only on the East Coast but in Malaysia as a whole. IJM’s partnership with Guangxi Beibu will spur more traffic and cargo throughput for Kuantan Port as well as bringing with them best practice of port management and a wide network of clientele from China. Most importantly, Guangxi Beibu will play a pivotal role in linking the shipping network and cargo movements between China and South East Asia which forms part of the Maritime Silk Route. This will set the stage for Kuantan Port to be a vibrant port city in the future.”

The main feature of the expansion of Kuantan Port is the development of a new deep water terminal (NDWT) to cater for large ships up to 150,000 DWT from the current capacity

Kuantan Port Consortium Sdn Bhd

Services Petrochemical and cargo hub


Pentair Industrial Heat Tracing Solutions


innovation Operating as part of

the wider Pentair corporation, Pentair Industrial Heat Tracing Solutions is an industry leader in the provision of heat management systems. These systems are mainly applied throughout the; oil and gas, (petro-) chemical , mining; and power generation; industries. Pentair encompasses some 30,000 employees, across four global business units that collectively generate yearly revenue of $7 billion. Pentair Industrial Heat Tracing Solutions is one of the 20+ global platforms of Pentair. “We are a global company with local presence,” explains Marketing Manager for Europe, Koen Verleyen. “Our platform has over 2000 employees in 55 locations globally and we are focused on increasing our presence in fast growth regions such as India, Russia, China, Africa and the Middle East. As such we have recently opened new offices in Saint Petersburg, Kazakhstan, Spain, Turkey, and Kenya. We are also increasingly active in sub-arctic regions, and in offshore applications. These include projects with Canadian oil sands, Russian ice-infested regions, the Norwegian continental shelf and West Africa.” Pentair Industrial Heat Tracing Solutions offers a wide range of innovative electric heat tracing products under the trusted brand RAYCHEM, and is recognised as market leader in the field of heat management systems. The Raychem brand is synonymous with self-regulating electric heat trace cables that are used in industrial, commercial as well as residential applications.

Raychem introduced the first self-regulating electric heat trace cable to the heat tracing industry during 1974. The technology was revolutionary at the time and remains unique today due to the ability to adjust power output to compensate for pipe and ambient temperature changes. Of additional benefit is the fact that Raychem self-regulating heating cables are cut to length and can be field terminated, which makes them simple to design, install and maintain. The brand remains the industry standard and since inventing the technology, Pentair has sold over 1.6 billion feet (500,000 km) of Raychem brand self-regulating cable. Today Pentair is a global solutions expert in the provision of electric heat tracing systems, with the ability to provide engineering design services, procurement, fabrication and site services to clients anywhere in the world. Pentair is committed to offering safe, reliable and cost-effective heat tracing installations and is capable of handling heat-tracing projects of any size and scope. “With every sale of Pentair products the application is not just about making the product available; it’s about integrating it with the infrastructure that is already in place. It is not just a product sale, it is an overall solution and services sale,” elaborates Growth Applications Manager, Rick Newell. “It is great having a heater to heat a pipe, oil well or the surface of a helideck, but it is important that the product is designed correctly to do what it is supposed to, that the infrastructure has been designed ENERGY,oil&gas


POLE TO POLE, ONE RELIABLE PARTNER IN HEAT TRACING SOLUTIONS Heat tracing is critical to keeping key processes at the right temperature and preventing plant or system shut down due to frozen pipes, instruments and other equipment. From standard heat tracing products to engineered heating solutions in the harshest environmental conditions, WE MANAGE THE HEAT YOU NEED.




Heating technologies to raise the oil temperature and reduce its viscosity for Enhanced Oil Recovery (EOR), and to mitigate the risk of wax or hydrate formation in the production tube for Flow Assurance.

The Raychem STS system is a versatile Heat Management System designed to deliver heat for pipelines that can be hundreds of kilometres long.

Heat tracing technologies for anti and de-icing of handrails, emergency routes and heli-decks and freeze protection of pipes, instruments and other equipment on offshore platforms and marine vessels.


H81854 | © 2015 Pentair.


Pentair Industrial Heat Tracing Solutions

appropriately and that the system has been installed correctly. It’s about making sure the clients get the true value out of the product over what can be a 20 year lifespan.” Despite challenging market conditions, Pentair has remained strong and continued to grow as the market leader in heat management systems. From a European standpoint in particular, the combination of the crisis within the Ukraine and the present low oil price has resulted in a slowdown of speculative projects and a requirement for increased efficiency and cost-saving in sound oil and gas extraction operations that promise a greater certainty of return. However while the oil and gas industry has been less active than in previous years, Pentair has successfully navigated a volatile market through innovative design solutions and the broad application of its products. “The challenges in the market have resulted in a major slowdown within the oil and gas industry and there are obviously some knock-on effects that come from that. For example the low oil price means that the petrochemical industry – which is another area that we are very active in – has had a chance to expand, because the broad product for the petrochemical industry has come down in price. Overall while the current oil price has had an impact on the business, it has not been highly dramatic,” Rick reveals. In response to the present and future needs of its clients, Pentair stands ready to deliver tailored heat management solutions that are designed to meet the requirements of several growth areas. “The Ukraine crisis, the low oil price and significant uncertainty are definitely present within the market, but Pentair has a growth strategy and there are definitely new opportunities,” Koen says. “We identify our growth opportunities as applications in oil field services (OFS), where we also provide heating technologies to raise the oil temperature and reduce its viscosity for Enhanced Oil Recovery (EOR), and to mitigate the risk of wax or hydrate formation in the production tube for Flow Assurance; pipeline services including versatile heating technologies for flow assurance in pipelines up to hundreds of kilometres long to transport oil from these remote and hostile areas; and winterisation solutions using heat-tracing for anti-icing and de-icing of handrails, emergency routes and heli-decks and freeze protection of pipes, instruments and other equipment of offshore platforms and marine vessels.”

With every sale of Pentair products the application is not just about making the product available; it’s about integrating it with the infrastructure that is already in place. It is not just a product sale, it is an overall solution and services sale

As the oil and gas market continues to evolve, Pentair will continue to develop its products and services to meet the unique requirements of its clients as they continue to operate in increasingly demanding environments. “No matter what anybody says about dwindling reserves, more and more reserves are being found. These reserves may be harder to extract, but they are being found therefore demand will not decline in this area over the next ten to 20 years,” Rick concludes. “Definitely there are all sorts of issues around extracting oil from the Arctic region, but it will happen. Likewise other areas that have traditionally not been big oil producers will also become important, such as Africa and India, which still produces very little oil compared to what they have. For Pentair the strategy is to be ready for those developments and to support these areas because anything that is peripheral at the moment will eventually become mainstream.”

Pentair Industrial Heat Tracing Solutions

Services Heat management systems



globally Maintenance, Repair and Overhauling (MRO) services

Incorporated during 1989 OceanMaster Engineering Pte Ltd is a Singapore based ship repair and general engineering company, certified in compliance to ISO 9001 and OHSAS 18001. The business incorporates full office, workshop, storage and warehousing facilities comprising more than 70,000 square feet, from which it currently employs over 150 employees, including well trained and experienced service teams capable of carrying out operations on various types of marine vessel, offshore rig and platform, FPSO and offshore supply vessel. “The business was founded by its current Chairman, Mr. David Lee Fook Choy,” explains OceanMaster Engineering Managing Director, Lee Ee Win. “OceanMaster Engineering started as a general engineering company servicing the marine shipping industry and over the years it evolved to also service the offshore industry, including offshore platform and drilling rig, FPSO and offshore supply vessel applications.” Further to its ship repair and general engineering capability, OceanMaster Engineering also specialises in the field of marine refrigeration and air conditioning and carries a large stock of new and reconditioned refrigeration compressors and spare parts. As the company has continued to grow it has developed a service package that incorporates its general engineering roots and a



specialised niche in marine air conditioning and refrigeration, while establishing a proven track record of maintenance and repair. “OceanMaster Engineering has always offered a specialised service,” Lee says. “Historically this specialisation has been in refrigeration, heating, ventilation and air conditioning services. However we have also developed strong capabilities in terms of our steel, electrical, carpentry and machine works.” OceanMaster Engineering is able to provide workshop facilities equipped with all of the necessary machines to cater to various vessel repair requirements from its base in Singapore. Furthermore through a fleet of workboats and sea launches for work at sea it is able to provide emergency and routine maintenance across the globe. “We are strong in Singapore because a lot of our customers, especially rig owners, will bring their assets here when they are due for maintenance so that we can do the repairs on rigs in the shipyard,” Lee says. “However OceanMaster Engineering is also specialised to deliver services offshore, we have a team of highly trained people who have approved offshore medical, BOSIET certification as well as helicopter underwater escape training. This allows teams to go by helicopter out to the rigs to carry out works on an ad-hoc basis to answer emergency calls. As such we are active throughout Southeast Asia and we also serve rig


owners in Australia, Russia, India, the Middle East and Africa. We have also recently carried out major upgrade work in a shipyard in Holland.” As the company has grown to include a strong base of competencies, OceanMaster Engineering has perceived and adapted to the needs of the offshore market and its clients. “Previously 80 per cent of our business was in marine repairs with the remaining 20 per cent in offshore work,” Lee elaborates. “Today as much as 90 per cent of our work is in the offshore sector while the remaining ten per cent is in marine. This change has happened gradually over the past ten years.” Although the market within the offshore sector has slowed due to the low oil price with less vessels arriving for maintenance work and a surplus of rigs on the market, causing a decrease in newbuilds, OceanMaster Engineering has maintained a consistent level of business through its maintenance work on existing rigs. The strength of the business that differentiates it from possible competitors when the market is strong and that identifies it as a proven solution when the market is challenging, is OceanMaster Engineering’s total commitment to customer satisfaction. This is built on its focus on four key factors, comprised of understanding its customers’ needs; the right team; the right process; and the correct control. “We focus on these key areas treating safety as a priority as well as quality and accident prevention,” Lee observes. “We also supply quick service reliably, so while we may not be the cheapest air conditioning or vessel maintenance service on the market, we are certainly not the most expensive and we provide what we say we will deliver every time. Furthermore all of our engineers are equipped with Environment Protection Agency (EPA) certification as well as Australia Refrigeration Council (ARC) certification. As such we are able to carry out air conditioning services all over the world and I believe that we are currently the only company in Singapore to hold this level of certification. Our electricians are all also COMPEX certified, which means that they can

OceanMaster Engineering

deal with explosion proof equipment onboard any offshore rigs and platforms.” With a high level of expertise and a proven track record of service, OceanMaster Engineering has a proven reputation, which will aid it as it navigates the turbulent offshore market and continues to deal with clients old and new. In the short term this will involve further increasing in service level, while preparing for new ventures in the future, as Lee concludes: “Moving ahead over the next few months we will be taking time to strengthen ourselves internally in order for us to be stronger and faster to provide our customers with more competitive prices and improved service. In the long term we want to increase our services to include our own products that we will sell into the market, so it is possible that we will develop a manufacturing arm. We are currently also work with the Institute of Technical Education (ITE) here in Singapore, to provide more on the job training to our workforce, customers and clients so they can be better educated on the maintenance of air conditioning systems onboard vessels and rigs.”

OceanMaster Engineering

Services Marine and offshore repair, air conditioning and general engineering






complexity Overcoming

Below Paul Brown, Divisional MD, Ansaldo NES

NES’ history

spans back to as early as 1810 when John Thompson started manufacturing boilers for the booming industrial revolution occurring across the UK and Europe. Over a century later in 1955, after extensive development in the industry, the company secured its first nuclear contract to supply the reactor housing to the UK’s Dounreay site. What followed was a strong establishment in the nuclear secor, specialising in the design and manufacture of bespoke engineering solutions for the nuclear energy decommissioning, new build and defence sectors. It has supplied equipment and solutions, such as fuel routes, remote handling, inspection, encapsulation, waste handling, glove boxes, shielded

Ansaldo NES

containment and reprocessing to most of the UK’s nuclear power stations. Since 2014, Ansaldo NES has been wholly owned by Ansaldo Nucleare, part of Italian Group Ansaldo Energia. The financial strength and backing provided by Ansaldo Energia supports the group. Headquartered in Genoa, Italy with offices located worldwide, Ansaldo Energia employs more than 3500 employees and is a worldwide recognised brand in Power Generation with an installed capacity of more than 176 GW over 1800 projects completed in over 90 countries. Together the companies offer over 60 years’ of UK and international experience in design and manufacture of safety critical engineered products and specialist support services for the nuclear and related industries. With extensive experience in the international nuclear market, the Ansaldo Group brings a wealth of knowledge, capability and skills to support UK programmes in nuclear decommissioning, service to operating plants and new build in particular. The company’s vision is to establish itself as the supplier of choice for the provision of unique engineering designs, manufacturing products and services, and to be recognised for consistently adding value, delivering excellence and delighting clients in the nuclear and defence markets. To achieve this Ansaldo NES places emphasis on committing to its core values of safety, integrity, people, service and continuous improvement. With six decades of proven experience and success in the nuclear industry, it is consistently called upon to tackle some of the most complex technical and manufacturing challenges within the decommissioning programme. Ansaldo NES applies its knowledge to offer a full range of services from concept design to onsite installation and operator training, and with everything retained in-house it can ensure to offer the best value solution to its clients. One of Ansaldo NES’ major clients is Sellafield Limited, to which it has been a long-standing tier two supplier. As Paul Brown, Divisional MD explained, Sellafield is an important customer to Ansaldo. “We have a long valued supplier relationship with Sellafield and the success of the MSSS project has been based around finding collaborative solutions to the most challenging technical issues of any project in the world,” he said. “The technologies required to achieve a successful project outcome are complex and painstaking - this requires a very patient and collaborative customer/supplier ENERGY,oil&gas


which is testament to the laser focus our people have towards safety every day. World class safety performance is an aspiration shared by all Ansaldo NES employees and our commitment to that standard will help us continue to be a supplier of choice to our key customers.” With regards to new build, NES is a tier one board member of the Nuclear Advanced Manufacturing Research Centre (Nuclear AMRC), which gives the company access to world-class nuclear research and development facilities and programmes, as well as involvement in determining strategy and research directions. Coupling this to the experience and knowledge already inherent in Ansaldo NES makes the company ideally positioned to meet the challenges and assist in the timely and safe delivery of the UK’s nuclear new build programme. It can support the new Multi-Contact Multi-Contact, a world leading interconnect solutions provider, engineers high integrity connection systems based on its proven MULTILAM technology. With a broad range of standard products and years of experience, it has the capability to offer flexible solutions across many market sectors. In addition, it works closely with clients on projects, from concept to commissioning, developing bespoke connection systems. Within the nuclear industry it has developed multi-coupling systems to reduce human intervention time, based on its most versatile connectors, the CombiTacline. Multi-Contact looks forward to further close collaboration with Ansaldo NES and other Tier 1 suppliers to the nuclear industry.



relationship. Ansaldo believe the experiences of the last decade positions us very well to deliver projects, which exceed Sellafield’s needs and expectations.” In 2015, Ansaldo NES completed a significant milestone for Sellafield Limited, entering the dismantling and transportation of the first of three silo emptying plant (SEP) mobile caves, which will be used to retrieve intermediate level waste from 22 vertical silos containing Magnox swarf and miscellaneous beta gamma wastes. Each machine weighs 400 tonnes each, and is assembled from over 13,500 parts. The contract represented significant challenges for purchasing and supply chain management, document control, quality assurance and health and safety, which were all overcome using the extensive expertise supplied by Ansaldo NES. Mike Hawe, Managing Director at NES commented on the completion of the contract saying: “We are delighted to announce completion of this significant milestone for what is undoubtedly one of the most complex decommissioning programmes in the world. Ansaldo NES has consistently demonstrated the skills and capability to deliver to unique and complex requirements.” In 2015, Ansaldo NES received the RoSPA Gold Award roll of honour for the third consecutive year. Paul noted that safety is at the forefront of all activities at Ansaldo NES. “So whilst we are very proud to achieve awards such as this, our values standards and expectations dictate that we should,” he said. “We are very proud to have achieved the same award in 2015

build sector through the supply of services and equipment for a wide range of complex applications from mechanical fuel handling and waste management equipment, to specialist mechanical devices, steel structures and generic machining and fabrication. “There is great expectation in the nuclear market and this has been the case for many years,” added Paul. “The future looks very promising with multi billion pound projects on the horizon across all sectors. The challenge for all suppliers in the industry is to develop and retain SQEP people and world-class technologies in what is at the moment a crowded market. At Ansaldo NES, we believe our key strategies will allow us to win our desired share of the current market opportunities whilst positioning ourselves to significantly grow our business when opportunities such as Nuclear New Build come to fruition.” In order to meet the demands for high quality and service present in such a critical industry, Ansaldo NES places a significant emphasis on its people providing them with a wealth of training


and development opportunities. As such, the company is a recognised investor in people and highlights its workforce as a part of its overall continues improvement strategy. Through a range of development schemes, managed through a personal development review for each employee, the company focuses on spotting and enhancing talent and has supported both on and off the job training opportunities such as undergraduate and postgraduate university degrees, NVQs, City and Guilds and BTEC qualifications. Supporting this is a concerted effort to attract the highest quality graduates and apprentices, through a number of ever-growing and specialised programmes. “Our strategy is based on delivering long term sustainable growth with the right people on board to deliver,” Paul explained. “We are focused on the continued development of the skills and capabilities that we need to operate successfully and realising the additional opportunities now available as part of the Ansaldo group. Our specific focus over the next 12 months is to further develop the combined capabilities of Ansaldo in the UK and Italy to provide a distinct set of services and products aligned to the current and future needs of our customers.” Ansaldo NES very much sees its continued success in the hands of its people and therefore pays close attention to attracting and developing the best talent in the industry. It attracts its people into a thriving environment founded on a highly regarded heritage and reputation for delivering complex solutions to the nuclear industry. Committing to this strategy and continuing to adhere to its core values will provide the company with the best possible chance to achieving future success, and realising its vision to become the supplier of choice in the UK nuclear industry.

Ansaldo NES

Services Designs and manufactures bespoke engineering solutions for the nuclear energy, new build, defence and decommissioning markets ENERGY,oil&gas


Ansaldo NES






E20001-F470-T197-X-7600 Offshore.indd 1

10.07.15 09:40


Marine Assets Corporation

A growing

reputation From its headquarters in the Jumeirah Lake Towers (JLT) free zone, Dubai, Marine Assets Corporation strives to operate as the leading provider of marine vessels and specialised equipment. The roots of the company date back to 2006, when it was founded as Minnow Marine Projects Ltd (MMPL). Marine Assets Corporation (MAC) was formed during 2009 when MMPL was

sold to the Stanford Marine Group (SMG) in Dubai. During the sale SMG did not acquire the rights to the MAC niche compact semi sub design (CSS), which formed part of the initial MAC service offering and remains as part of its portfolio. Today MAC provides a comprehensive

range of design and build, agency and offshore support services to clients throughout the marine industry, with an annual turnover of $100 million per annum. “MAC’s core business is the design and construction of both standard and specialist vessels for the oil and gas, offshore and renewable industry,” explains CEO, Robin Reeves. “MAC seeks to acquire the latest technology and incorporate it into modern sophisticated designs, with a view to what the market will require in 24-36 month time with a focus on industry requirements as opposed to minimum standards.” Incorporating close to a decade of industry experience and a tradition of providing innovative design options, MAC has a growing reputation for delivering market-leading and highly specialised vessels to the offshore industry. During November 2014 for example, it was announced that MAC had signed a contract with Nautilus Minerals Inc. for the build and delivery of a large offshore and construction vessel, which will be built at Fujian Mawei Shipbuilding – China’s oldest shipyard, with a 150-year heritage. Commenting on the award of the contract Robin elaborates: “MAC was successful in securing a contract with Nautilus Minerals for the world’s first vessel to be purpose built for subsea mining activities. 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 ENERGY,oil&gas





mounted mining equipment. The vessel will also include 199 beds to accommodate marine crew, hotel staff and operators for the mining equipment.” With its unique features and bespoke design to meet the requirements of subsea mining, the new vessel is anticipated to remain active for several years. Once completed the vessel will commence a five-year charter on delivery operating initially as part of the Solwara 1 Project in the waters off Papua New Guinea, with options to extend operations by a further five years. During the course of the project remotely operated seabed mining equipment will be launched from the vessel’s deck and used to cut ore from the seabed and pump it in the form of slurry, some 1700 metres back to the surface. Once the ore is retrieved residual water will be removed and the ore stored for offloading to shuttled bulk carriers, which will tranship the cargo to consumers in China. The diversification of the company into new sectors remains an important focus for MAC and one that it will continue to pursue in the future, as Robin reveals: “With the slump in the global oil price, this new contract for MAC within the sector of deep sea mining represents a balanced diversification. Activity in deep sea mining is on the increase and I think the market will see much more interest in this area in the coming years. Further to deep sea mining, we have also been in discussions within the renewable energy sector and have some designs of suitable vessels for deployment during various stages, including the long term maintenance and as a wind farm ‘mother ship.’ We have also opened a new division, which is focusing on waste management for both on and offshore environments. This division is currently developing the garbage converter vessel (GCV) a new concept to facilitate the handling of offshore waste disposal for common garbage.” While MAC continues to develop innovative,

Marine Assets Corporation

new vessel designs, its core business is still in the niche design of its CSS accommodation and maintenance vessels. These are also built at the Fujian Mawei shipyard, with seven units currently contracted – three of which have been delivered, while the remaining four are still under construction. The CSS design was developed to respond to the need for greater flexibility, coupled with the capacity to provide cost-effective solutions in the provision of accommodation and offshore support services. The CSS design allows for the provision of multiple services desired by oil and gas operators to improve production and reduce costs, with weather working capabilities which significantly exceed that of units of similar dimensions. Furthermore precise and fuel-efficient manoeuvring capabilities are achieved through the highest class of dynamic positioning system (DP3) and a diesel electric propulsion system. As the company continues to adapt to the changing needs of the marine market, it will rely on its strong ties to its partner shipyard and its pioneering approach to vessel design. With the growing opportunities within the deep sea mining and offshore sectors, MAC is set to remain an important market player well into the future, as Robin concludes: “Our strength lies with our close relationship with our partner shipyard, whereby we enjoy costeffective building contracts with favourable payment terms. Most of our clients have returned for further vessels, and continue to utilise MAC as their provider going forward, which demonstrates our commitment to our clients throughout the vessel’s life, not just the warranty period. MAC will continue with new building activity, having 26 vessels still under construction for delivery throughout 2015, 2016 and 2017. We will also seek to place new orders for targeted sectors where we can identify needs will be in the coming years.”

The CSS design allows for the provision of multiple services desired by oil and gas operators to improve production and reduce costs, with weather working capabilities which significantly exceed that of units of similar dimensions

Sperre Coolers AS Both Sperre Rack coolers and Sperre Pleat coolers from Sperre Coolers are developed from scratch with focus on easy maintenance and low life cycle cost to give predictable cooling for all seas. This fits perfectly with the philosophy of MAC, and we feel that we together have managed to shape the vessel of the future by combining the robust ship design from MAC with the next generation of cooling products from Sperre Coolers. The co-operation with MAC works very well.

Marine Assets Corporation

Services Marine vessels and specialised equipment



Desert discoveries

Operating as part of the wider Apache Corporation, the activities of Apache Egypt began in 1994 with the company’s first Qarun discovery well. Today, Apache Egypt represents one of the largest acreage holders in Egypt’s western desert, and – at the end of 2014 – Apache Egypt held 6.8 million gross acres, of which 71 per cent is undeveloped. As such, the company benefits from access to considerable exploration and development opportunities for the future. “We are the leading oil producer in Egypt with gross production of more than 210,000 barrels of oil and condensate per day, which represents roughly 30 percent of Egypt’s total oil and condensate production,” elaborates Apache Corporation Region Vice President - Egypt Region and General Manager of Apache Egypt Tom Maher. “We are currently the third-leading producer of natural gas at 900 million cubic feet per day, which represents approximately 20 per cent of Egypt’s total gas production.” Presently, the company holds some 6.8 million acres in Egypt leasehold, almost all



of which – apart from the NW Abu ZenimaGulf of Suez exploration concession – is located in Egypt’s western desert. Of its total acreage, almost two million acres is comprised of 127 development leases, leaving 4.8 million acres in exploration concessions. “In the last five years, we have added 57 development leases, an average of 11 development leases per year,” Tom expands. “In 2015, we already have four new development leases approved. We expect to make additional new field discoveries with our 2015 exploration drilling program that will add more going forward.” During Q4 2014, Apache Egypt made discoveries in its Berenice and Ptah fields, each of which are located in close proximity along the same fault in the Faghur Basin. Following the announcement of the discoveries, development leases were approved in record time in November 2014, during which time the company also achieved its first production from the fields and development started. “Since November 2014, we have drilled a total of ten wells, five in each field. Nine of the ten wells are producing more than 23,000 barrels of oil per day. That is an average of more than 2,500 barrels per day per well, which gives you an indication of how good these two fields are. We have produced more than three million barrels of oil to date, and the wells are exhibiting shallow declines. We expect ultimate recovery from both fields to be around 50 million barrels,” Tom says. “There is still more development drilling to do, particularly in Ptah Field, which is the larger of the two fields and has two major producing formations (AEB-3D, E and Shiffah). We are currently adding additional production facilities, particularly pipelines, in


order to increase production from these two fields when we resume development drilling late in the third quarter.” Throughout the rest of its holdings in the western desert, Apache Egypt is keen to continue development and has recently enjoyed further success, as Tom reveals: “As far as our outlook for the western desert, we are very bullish. We have made four additional new field discoveries thus far in 2015 in four different basins; two of these are oil, while the other two are gas-condensate. In addition, we have made great strides in understanding the geological complexity of the Paleozoic strata traps, such as in our Ptah Field. We are working hard to improve the quality of our deep-seismic imaging to enable more reliable mapping of these strata traps, which tend to be larger than conventional structural traps.” Further to its current operations, Apache Egypt is also implementing projects to deliver Egypt’s first unconventional stranded-gas

uneconomic amounts of gas. It is our belief that employing the latest in horizontal drilling and multi-stage fracture technology, as used in North America, will result in much higher producing rates and ultimate reserve recoveries that will make this gas resource economic to develop. If we are correct, we will move into a full-field development,” Tom says. “Our Khalda Petroleum joint-venture company will be operating this project through a service agreement with Shell’s joint-venture company Badr El Din Petroleum (Bapetco). In our pilot project, we have committed to the government to drill three horizontal wells which will undergo multi-stage fracture stimulation. We are currently drilling the first of two vertical data wells, which will be cored to provide some additional data we need to better plan the horizontal drilling and completion operations. We expect to drill the first of the three horizontal wells in the fourth quarter this year and see first gas production in the first quarter of 2016,” he concludes.

Apache Egypt

We are currently the third-leading producer of natural gas at 900 million cubic feet per day, which represents approximately 20 percent of Egypt’s total gas production

Apache Egypt

Services Oil and natural gas production

development in conjunction with Shell, as well as further works that are due to offer returns early in 2016. “Apache and Shell are moving forward together on Egypt’s first unconventional stranded-gas project on the JD Development Lease within the Northeast Abu Gharadig Concession (NEAG). The project is often referred to as the Apollonia Project. There is a misconception in the media that this project targets shale gas, but the Apollonia is actually a shallow porous chalk (limestone) that is gascharged in many parts of the Abu Gharadig Basin. Three old vertical wells produce small, ENERGY,oil&gas



Operating from depots in Aberdeen, Invergordon and Nigg, Global Port Services are emerging as the leader in mobile heavy crane hire with a rapidly growing fleet of the most technologically advanced heavy cranes in the industry. With lifting capacity ranging from 50t to 1,000t, we are ideally placed to provide or clients with an unparalleled solution in heavy crane provision, supporting the oil and gas, industrial, construction and renewable sectors. Global Port Services, Aberdeen Energy Park, Unit H1, Claymore Avenue, Bridge of Don, Aberdeen AB23 8GD Tel: +44 (0)1224 821321



…working together for success




control Today, 48 years

after it was founded, ASCO has grown to serve a majority of leading clients in the global energy sector with world leading specialist logistics services. Starting off from humble beginnings as Aberdeen Service Company, the business has spread across the globe as a result of a robust and well-established reputation. “A lot of our expansion came from customers demanding new geographical coverage from us,” explains CEO Europe, Craig Lennox. “Then, once we had gained a foothold in these new locations we were able to sell to the local market, so it has been very much customerled internationalisation. In recent times, under the current ownership of Doughty Hanson, we have made some acquisitions in places like Australia to accelerate this growth.” With an unrivalled service portfolio that encompasses everything from supply base

management, offshore oilfield support and materials handling to fuel, environmental, personnel and technical services, ASCO currently delivers a vast offering. “In terms of scale, in a normal year we handle more than two million tonnes of oil and gas related materials, everything from deck terminals to bulk and fuel,” outlines Craig. “Beyond that we handle about half a million warehouse movements per year, which means that we are looking after in excess of a billion dollars worth of client inventory.” Craig highlights that it is the company’s reputation that really gives it a competitive edge in the market: “It’s our dedication to making sure that our customer’s needs are met.” Yet, it is the vast range of services on offer, and its ability to deliver them that has earned ASCO this position. “There aren’t many companies that have got a transport arm of their business which

Below Craig Lennox, CEO Europe, Asco

ENERGY,oil&gas 101

Leading providers of transport & logistics services to the Oil & Gas Industry since 1983 UK Road Transport & Distribution Local & Radial Transport ● National & International Pallet Deliveries ● Freight Forwarding ● Warehousing & Storage ● Transport Management & Consultancy ● ●

102 ENERGY,oil&gas

Head Office: Howe Moss Drive Kirkhill Industrial Estate, Dyce Aberdeen AB21 0GL T: +44 (0)1224 771122



Global Port Services

involves logistics, vessel and marine planning, certification and assurance experience,” he continues. “So our market differentiation is pulling all these disparate bits together in a quick and effective manner to respond to last minute requests.” Only joining ASCO relatively recently after over 20 years in the offshore construction industry, Craig himself was impressed with the company’s ability to get over the challenges that normally severely impede rapid mobilisation in the industry. “We carry it all off without fuss,” he says. “It is testimony to the people and the processes in place, and to some degree the level of understanding of the challenges that are inherent in the supply chain. That knowledge is embodied in how our people work and this is why our customers have faith in us.” Demonstrating this reputation, in 2015 alone ASCO has won a number of significant contracts from existing clients such as BP, Shell, OMV and Statoil. “It was very heartening to be brought in on Statoil’s development of the Mariner field,” notes Craig. “This was won off the back of being awarded another contract with them in Norway, which has always traditionally been handled by a

competitor who have huge market dominance in that location, so this is a really positive feather in our cap over there.” However, despite a high level of positivity currently pumping through ASCO’s veins, it is by no means ignorant of the challenges currently facing the UK offshore industry in both a long and short-term capacity. “There is no debate that the volumes of activity are forecast to be 20 per cent less in the second half of this year than in the first,” explains Craig. “A lot of this is coming from the exploration activities, which some of our services closely track, so we have had a drop in numbers in divisions that are associated with these operations and we don’t envisage these picking back up until Brent recovers to $70+ for a sustained period of time. Despite this we are relatively confident with volumes holding up in other areas with regards to supporting production services due to the demands of dayto-day activities in conjunction with essential maintenance and overhaul programmes.” Perhaps more serious for the longer-term future of the UK’s offshore industry is the vast amount of cost and production inefficiencies

Global Port Services has established itself as a key member of the supply chain and is fast becoming the crane hire company of choice, with a growing fleet of the most technologically advanced mobile heavy cranes in the industry, operated by experienced personnel with a vast knowledge in the industry. With crane capacity ranging from 50t up to 1000t, it offers both CPA hire and CPA contract lift basis, and its experienced team of professionals can advise on the ideal crane size and boom configuration to suit its customers’ requirements, specialising in heavy or complex lifting operations within the oil, gas, renewables, industrial and construction sectors throughout the UK. The company also provides a comprehensive range of port agency and marine logistics services, with depots in Aberdeen, Invergordon and Nigg and is ideally placed to provide clients with an unparalleled solution.

ARR Craib Transport ARR Craib Transport is a leading provider of transport and distribution services throughout the UK and is proud to have served the oil & gas industry since its inception in 1983. The company enjoys a close working relationship with ASCO, supporting ASCO’s logistics operations for the major operators in the North Sea from its bases in Aberdeen and Great Yarmouth. ARR Craib’s operations are underpinned by its OHSAS 18001 certified HSE Management System and ISO9001 certified QA System.

ENERGY,oil&gas 103



inherent in the industry’s operations. “ASCO’s group CEO joined the company last year from outside the oil and gas industry and was surprised by some of the acceptable working practices and inherent inefficiencies that sit out there,” expresses Craig. “Between us we have been working very closely with a number of customers to look at what can be done to enable collaboration and bring about sustainable cost savings to the industry. Internally we are now running a programme called Project STRIDE and from this we are confident in seeing in excess of £100 million in annual savings in the North Sea alone by bringing in some changes in approach to how we deliver some of the materials to offshore facilities. With the timing of this amidst the state of lifting costs at the moment, there is recognition that it is important that the sector changes its cost bases.” One particular example Craig outlines is the use of supply vessel utilisation, which currently tends to run at a level that would cause a road haulage firm to go out of business. Service vessels only operate 60 per cent of the potential and time and even then tend to be half empty, thus rendering them only 30 per cent operationally effective. “We’re trying to develop a practical approach that is more akin to taking routine, routed voyages as opposed to the more bespoke ‘taxi’ service that currently exists,” adds Craig. This dedicated focus on working more as a partner to its customers, than simply a services provider, is all part of ASCO’s current efficiency awareness initiative. Accompanying it is a two million pound investment into developing robust solutions for markets all over the world. Part of this is in developing a bespoke integrated Logistic Management System (iLMS) to bring together vessel tracking communication systems, upgraded financial systems, and other information to give the customer improved visibility of their materials right the way through their supply chains. “This will also allow us to look at how best to conjoin these load lists and optimise delivery mechanisms,” adds Craig. “From a strategic point of view, over the next three to five years we want to become the essential partner for oil and gas materials and equipment management,” he concludes. “There is a fundamental requirement in the industry for improved planning in order to create a far more efficient and sustainable economy in the industry. To overcome these challenges we have to work very closely with our customers who also have to be prepared to accept compromise

104 ENERGY,oil&gas

in order to drive collaborative value through the market. The balance of risk and reward is only ever going to extend the economic life of the industries’ assets if mentality changes behind it. I have been in the industry for more than 20 years and it is quite clear that we really have to change if we’re going to make this a lasting solution, but I am confident that the economics can be successful if we work together.”


Services World leading oilfield support service provider


Dammam Shipyard

haul In for the long


, on the coveted Eastern Province of the Kingdom of Saudi Arabia, has witnessed incredible growth over the last 30 years due to its close proximity to major global oil companies such as Saudi Aramco. To match this growth, the King Abdul-Aziz Port of Dammam (KAPP) has drastically increased in size over the last decade and thus established itself as a key maritime hub in the Arabian Gulf, as well as the main gateway to the Eastern Province and the Capital Riyadh. In fact, since 1998 KAPP has developed

two international container and RO/RO terminals, general cargo, bonded zone and an oil production platform fabrication area. With this area of the port boasting exceptional facilities, attentions have since been turned to the development of the King Fahad Ship Repair Facility; first established in 1984, the shipyard is currently under a long-term lease concession to the Al Blagha Group, which will use its expertise and experience to support the marine, oil and gas industry in the Arabian Gulf. “The Al Blagha Group, founded in 1991, is one of the leading Port and Shipyard operators in the Middle East,” explans Jason French, CEO of Dammam Shipyard and Jeddah Ship Repair, Al Blagha Group. “Dammam Shipyard- Al Blagha is a lease operate transfer issued by the Saudi Arabian Sea Ports Authority/ Ministry of Transport in May 2012; the shipyard is situated at the King Abdul-Aziz Port of Dammam, Kingdom of Saudi Arabia, which is where we focus on repairing all vessels up to 215 metres and jack-up rigs that are operating in the Arabian Gulf.” As part of Al Blagha Group, one of the largest marine infrastructure organisations in the ENERGY,oil&gas 105


Kingdom of Saudi Arabia, Dammam Shipyard is fully equipped to support customers within the marine, oil and gas industry. Facilities include two IACS (International Association of Classification Societies) classed floating docks, with dock one boasting an overall length of 215 metres and a 22,000 tonne lifting capacity, while dock two boasts an overall length of 165 metres and a 10,000 tonne lifting capacity; a 600 metre linear quay berth with two 90 metre jetties, fully equipped hull, steel, mechanical and electrical shops, and bollard pull testing. The hull and steel shop are fully ISO 9001, 14001, 18001, and ABS/BV certified and have certified welding procedures, while classification societies are also located in close proximity to the Port of Dammam. “With these facilities located at the King Abdul-Aziz Port of Dammam, Dammam Shipyard focuses on delivering the following core services: hull, steel and aluminium welding repairs and piping installation, and blasting and painting, which includes corrosion protection and passive fire protection application for all sectors. We also provide mechanical and electrical services, which includes HVAC, hydraulic repairs, propeller servicing and main and auxiliary diesel engine repairs as well as work shop services such as mechanical, electrical, machining and carpentry. In addition, we provide general services such as tank cleaning to our customers,” highlights Jason. “Moreover, Dammam Shipyard has also established relationships with major industry service suppliers for blasting and painting, inspection services, scaffolding and specialised accommodation services to provide a one stop shop for rigs and vessels,” he adds. Established partners include INW Diving Services, Megarme (Palfinger), National Oilfied Narco (NOV), OES, Cape RB Hilton, Seven Seas & Reel and Muehlhan, the latter of which is the result of an on-site joint venture that was signed in November 2013. Despite all companies within the marine, oil and gas industry being affected by lower oil prices, Dammam Shipyard has remained in demand thanks to its competitive edge as the closest shipyard to Saudi Aramco’s oilfields. Such close proximity means vessels and rig owners can remain in Saudi waters, thus saving time and money as there is no requirement to cancel work permits or for vessels to go through custom clearance. Furthermore, the company’s fully certified personnel and its ongoing implementation of a quality management system

Dammam Shipyard

ensures continuous improvement and safe working practices. “Dammam Shipyard has completed its 450th vessel repair since inception in May 2012 servicing the oil and gas industry in the Eastern Province. Focusing on AHTS, and platform Supply vessels (PSV) and dredgers. Meanwhile, in the first half of 2015, Dammam Shipyard completed three jack up rig repair projects: Rowan Scooter Yeargain Rig. No. 55, Rowan Hank Boswell Rig No. 57, and the Ensco 84. Dammam Shipyard also serviced dredging companies and fleet providers operating in Saudi waters; these included Huta Marine, VM Marine, Tidewater, AGMS, China Harbour, Great Lakes, and Al Saad,” highlights Jason. As cost-conscious companies within the marine, oil and gas industry look for a good service at an increasingly competitive price, Dammam Shipyard is confident of its abilities to continue meeting the needs of those operating within the Eastern Province of Saudi Arabia. “For Dammam Shipyard we are looking to provide an excellent service, ensuring quick turnaround in a safe and cost competitive manner. We are also taking a long-term approach and developing the facility, equipment and personnel to support the oil & gas and marine sectors; this includes investing in new equipment and systems, in-house personnel development and building key industry supplier relationships. By steadily building our operational capability, we will reach our goal of being the leading shipyard in the Arabian Gulf,” concludes Jason.

Dammam Shipyard has remained in demand thanks to its competitive edge as the closest shipyard to Saudi Aramco’s oilfields. Such close proximity means vessels and rig owners can remain in Saudi waters, thus saving time and money as there is no requirement to cancel work permits or for vessels to go through custom clearance

Dammam Shipyard

Services Ship, jack-up and drilling platform repair

ENERGY,oil&gas 107

global Going

Operating in line

with its vision to become a global leader in the steel construction and fabrication industries, the Hydra Arc Group consists of associated companies that operate primarily within the petro-chemical, construction, mining and power generation industries. Hydra Arc (Pty) Ltd was founded by José Maciel during 1988 as a response to an industry need for specialist welders from which the business quickly grew into a fullyfledged maintenance, mechanical and piping construction contractor. As the business continued to grow it eventually became necessary to separate its different divisions into separate companies, to allow each to focus and grow within the group. As such, today the Hydra Arc Group consists of a number of separate companies, each specialising in specific areas of expertise. Throughout all of its associated companies the Hydra Arc Group provides a comprehensive package of project management, procurement, construction, fabrication, maintenance and related services to its clients within the petrochemical industry. Furthermore companies within the group are also able to fabricate vessels, supply specialised construction and welding consumables as well as to supply skilled construction and maintenance labour. Across all of its competences and disciplines, welding remains a core component in the company’s service offering. As such Hydra Arc combines the latest technology with the best welding skills in the use of carbon steel, stainless steel, aluminium, chrome and nickel, using processes such as gas tungsten arc welding (GTAW); shielded metal arc welding (SMAW); flux core arc welding (FCAW); and oxy-fuel welding (OFW).

108 ENERGY,oil&gas

Development on the Sky Hill workshop complex commenced in October 2009. By March 2010 Sky Hill had secured its first order, the fabrication of a major portion of the steam ducting for the Medupi power station. This demonstrated the need for this type of workshop capacity, not only in South Africa, but globally. The Sky Hill fabrication facility is a ‘World Class’ pressure vessel, piping, heat exchanger and structural steel fabrication facility. The primary fabrication facility consists of four workshops representing 75,000m² under roof and outdoor fabrication platforms of approximately 50,000m². The primary fabrication facilities are supported by a 10,000m² pipe shop, a 5000m² laser and plasma cutting shop, a 10,000m² primary store for equipment, tools and consumables, approximately eight hectares of lay-down area and materials stores, an electrical shop, diesel and petrol mechanical shops, a fully equipped machine shop, a carpentry shop, a management and support staff complex and canteen and ablution facilities. The equipment utilised in the workshops represent the very latest in technological advancement and includes a PWHT oven (possibly the largest in the world) of 70m long by 10m wide with a temperature range from 0°C to 900°C, a second PWHT oven, 15m long by 6m wide, temperature range from 0°C to 400°C, overhead crane with lifting capacity of 1500 tonnes and 19m under hook, a backup generator ‘power station’ capable of indefinitely powering the entire site in the event of power failure, five rollers with varying rolling capacities from 6mm to 150mm, a 1250 ton press with a bending capacity of up to 7.5m, specialised welding booms and rollers, designed and manufactured by Sky Hill, for the fabrication of large pressure vessels and a fully equipped plasma and laser cutting shop. “Our focus on training has enabled us to attract and retain the essential skills required to maintain and develop our various businesses.


Hydra Arc Group

and profile bending machine with the ability to bend different types of profile including I beam up to 660mm ‘on edge’ and pipes up to 20 inches diameter. With its investment in new equipment Hydra Arc will strengthen its position of market leader in the structural steel business, while Faccin confirms always to be the preferred choice when extreme bending needs are required. In a little over two and a half decades, the Hydra Arc Group has grown into a market leader in the provision of construction and maintenance services in pressure vessels, as referenced its recent receipt of the Quality Achievement Award and the ISLQ Diamond Award in London and Paris respectively during 2015. In the wake of this acclaim, the company will seek to strengthen its global position and continue its mission to be the best within its industry, through adding value to its clients by delivering quality services, safely and on time through committed people.

In a little over two and a half decades, the Hydra Arc Group has grown into a market leader in the provision of construction and maintenance services in pressure vessels Hydra Arc Group

Services Associated companies that operate primarily within the petro-chemical, construction, mining and power generation industries

This is as true today as it was when we were founded in 1987. Our skilled people are, and will remain, the cornerstone of our success,” explains CEO of the Group’s Sky Hill Engineering Division, Sheldon Nel. “Welding is a major component of the Hydra Arc Group’s core business, and as part of its Human Resources Development strategy, its focus is to up skill welders to combat the serious lack of these skills in the industry and country. In line with this human resource development strategy, the Hydra Arc Group recently recruited 30 previously disadvantaged learners in a group consisting of 15 males and 15 females.” In addition to the development of in-house training programmes for its current and future staff, as part of its commitment to growing its global presence as a leading force in pressure vessel maintenance and construction, Hydra Arc is equally as keen invest in its plant and machinery. As such the company has recently purchased an RCMI 400 bending machine from the Italian firm Faccin – specialists in the design and construction of plate bending roll, profile bending machines and dished head forming lines. The RCMI 400 series represents the latest evolution of profile rolling machines, designed and built for bending high resistance structural profiles with section modulus up to 4.500 cm3. Hydra Arc decided at the beginning of 2015 to invest in a large Faccin section bending ENERGY,oil&gas 109



Based in Riyadh

, Saudi Arabia’s capital and main financial hub, ACWA Power International has grown exponentially since 2004. Today the company is a well-reputed developer, investor, co-owner and operator of a portfolio of power generation and desalinated water production plants and currently has assets in 13 countries within the Middle East and North Africa, as well as the South African and East Asian regions. With an investment value in excess of $26 billion, ACWA Power International’s portfolio can generate 16.9 gigawatt of power and produce 2.5 million cubic

110 ENERGY,oil&gas

metres a day of desalinated water; this is then delivered on a bulk basis to state utilities and industrial majors on long-term off take contracts under public-private partnerships, concessions and utility services outsourcing models. “ACWA Power is a leading developer and investor in power generation and desalinated water production; our business plan is to be an operator of power generation and desalinated water production plants in which we have a meaningful ownership. While we have developed and maintained a balanced portfolio and are located in several geographies, the plan


ACWA Power

Playing an integral role in the company’s success is ACWA Power’s business model, which is grounded in the creation of sustainable shareholder value through active contribution in the socio-economic development of local economies via projects

from the outset was that we should grow in a controlled manner. ACWA Power has made excellent progress in only a decade since its inception and we have successfully fulfilled our sustainable growth objectives,” says Paddy Padmanathan, CEO & President ACWA Power. “We deliver 14 per cent of power and 40 per cent of desalinated water consumed in Saudi Arabia, 12 per cent of power and 17 per cent of water consumed in Oman and 59 per cent of the power consumed in Jordan. With our rapid expansion plans, we continue to be a sustainability driving force to be reckoned with. We truly

believe we owe our success to our commitment in delivering the most competitive tariff for each kilowatt hour of electricity we generate and for each cubic metre of water we desalinate.” Playing an integral role in the company’s success is ACWA Power’s business model, which is grounded in the creation of sustainable shareholder value through active contribution in the socio-economic development of local economies via projects. “ACWA Power’s business focuses on three main activities: business development, investment management and operation and maintenance; these complement ENERGY,oil&gas 111

each other over the life cycle of each of its projects,” explains Padmanathan. “The success of this business model is largely driven by our human capital, since the company’s presence in such specialised sectors means only the very best professionals are capable of delivering our products. ACWA Power embraces an unwavering commitment to sustainable business strategy that is focused on creating long-term value, which thus makes our business model attractive to potential investors,” Padmanathan adds. One of the company’s most recent contract wins was signed in May 2015 for the development of the Salalah 2 power project as part of a consortium with Mitsui & Co

112 ENERGY,oil&gas

and Dhofar International Development and Investment Holding Co. Under the deal, Mitsui will build a 400 megawatt natural gas-fired combined cycle power plant in Southern Oman at a cost of $630 million; both companies will hold a 45 per cent stake in the project, with DIDHC holding the remaining ten per cent. “This agreement also includes ACWA Power’s acquisition of the existing Dhofar Power Plant, which has an output of 273 megawatts. The new plant will have an installed capacity of 445 megawatts and will be connected to the existing Salalah grid. According to the agreement, OPWP will have the right to buy the generated electricity over a period of 15 years, with the plant planned to be commercially operated by the beginning of 2018,” explains Padmanathan. ACWA Power is also working on the groundbreaking $1.2 billion Redstone Thermal Power Project, a 100 megawatt concentrated solar power (CSP), which was developed in response to the South African Department of Energy’s Round 3 (CSP) Renewable Energy Independent Power Producer Procurement Programme (REIPPPP) in South Africa. “The Redstone Project will utilise solar power to generate and deliver reliable electricity on demand day and night to power more than 200,000 homes with stable and predictable supply,” highlights Padmanathan. “It does


this by capturing the heat of the sun, which is reflected by a field of mirrors that are pointing to a boiler mounted on a central tower; this is then stored in the form of molten salt before being used as required to operate a steam turbine and generator.” The first of its kind in Africa, this project will require no back-up fuel and featured dry cooling of the power generation cycle as an important element of minimising water use. Another notable project that AWCA Power is involved in is the Moatize IPP Project, a 300 megawatt coal fired power project located at Tete Province in Mozambique. The Greenfield project is being developed on a BOOT (build, own, operate and transfer) basis, with the mine mouth coal fired power station, which will use the low grade over burden coal while the higher grade coal is exported. The power generated by the station will be used by the coal mining concession area of VALE for mining operations; it will also be used by the Mozambique Electricity Authority via the national grid.

As the ACWA Power continues to work on a wide range of projects, its focus will be on maintaining optimum delivery of services in these specialised sectors by using only the very best professionals. “Our people remain the key pillar of our success, and we today boast a team of experts that total more than 2850 professionals across all departments and offices,” says Padmanathan. Moreover, the company will be looking for opportunities to participate in other select merchant and market transactions in Turkey, as well as the Philippines and Oman.

ACWA Power

ACWA Power

Services Developers, investors and, co-owners and operators of power generation and desalinated water production plants

ENERGY,oil&gas 113

Lock Ad A4 UK_Layout 1 28/08/2015 10:27 Page 1

Protect your energy supply and your business

Reliable power supplies are essential for profitable business. Cogeneration technology can help to reduce fuel consumption and increase fuel efficiency resulting in operational cost savings. GE’s gas engines are renowned for their robust performance and efficiency. This performance is supported by Clarke Energy’s network of local service engineers and in-country parts stockholding. For more information on the benefits of gas-fuelled combined heat and power plants go to or contact our relevant sales department below. + 9 –18 months repayment of capital switching from diesel to natural gas + For electricity, heating and cooling loads + Engineer, procure and construct services available + Supported by a local network of service engineers + Local product support and parts stockholding + Award Winners: African Order of Merit for Gas Power Generation Technology

Clarke Energy, Power House, Senator Point, South Boundary Road, Knowsley Industrial Park, Liverpool, L33 7RR. Tel: 0151546 4446.


Clarke Energy


growth Founded in 1989 as a provider of spare parts to worldwide users of marine, industrial and locomotive diesel engines, Clarke Energy has grown from strength to strength to be a world leader in engineering, installation and maintenance of gas and diesel power plants. A major milestone in the company’s history came in 1995 when Clarke Energy started a relationship with Austrian firm Jenbacher, one of the world’s leading producers of gas-powered reciprocating engines and co-generation units. With the ability to install individual gas engines from 249kW to 9400kW output, and multiengine plants up to 100MW, Clarke Energy has cemented its position in the global market as a supplier of gas powered generation units, and has recently moved into diesel fuelled generation. Today, with Jenbacher now owned by GE, Clarke Energy is its largest distributor and

service provider for their reciprocating engines products. The headline figures for Clarke Energy indicate the high level of success currently being experienced at the company. Now operating in 17 countries and employing over 1000 people, last year it turned over £243 million. “The segments and countries in which we operate are all very different,” begins Group Marketing and Compliance Manager, Alex Marshall. “The core business is in the gasto-power sector and these units can be used for a range of different applications. On the simplest level, with a good supply of natural gas in the UK, France and Australia, we supply combined heat and power (CHP) units, also called co-generation units, which give highly efficient power generation close to the site of use. This can also be expanded to tri-generation (electricity, heat and cooling; CCHP). Within this segment we have worked on a number of high profile installations including the Shard, which uses one of our power plants at its core, Great Ormond Street Hospital and a whole range of others. In the UK we currently have about 60 MW in the NHS, helping them reduce energy costs and spend more on treatments.” In France the company maintains CHP units to fill extra power and heat demands that cannot be filled by the country’s heavy reliance on nuclear power. A significant part of Clarke Energy’s business is in biogas and the company has built up an ENERGY,oil&gas 115


Clarke Energy

extensive portfolio of applications around these systems. “In the renewable side of the business we have a range of applications including agricultural waste, sewage and landfill gas,” explains Alex. “Biogas is a renewable source of power that is often underplayed but it is one of the few types of energy that generates stable base-load power – it generates consistently.” So far the company has installed around one gigawatt of biogas-fuelled power generator units throughout the world, and it has proven particularly useful in developing countries. Having securely established itself in developed markets like the UK, France, Australia and New Zealand, one particular area of recent focus for Clarke Energy has been in applying its services to the developing world. “In the developing world, natural gas is used a lot for industrial facilities mainly to ensure stability of supply from unreliable power generation grids, so in Nigeria and India for example where there is a high risk of grid instability, gas power generation can be invaluable,” says Alex. “In August 2015, we installed the first large-scale biogas plants to be used in sub-Saharan Africa near Lake Naivasha, Kenya. The customer operates a greenhouse farm to grow flowers for export to Europe and elsewhere and they have a problem with the stability of the power grid. However, they can use waste taken from a local source, supplement it with farm materials and they are now generating 2.6MW of power, even at altitude.” Examples of recent installations across the African continent are in a positive growth period at Clarke Energy. “Africa is quite an exciting place in lots of different ways with lots of applications going on,” notes Alex. In the Nigerian delta, for instance, the company is supplying units on remote oil field terminals to convert waste flare gas from drilling operations into power, rather than venting it. “In South Africa, we are also in the Tronox furnace gas facility, this is the largest full integrated producer

116 ENERGY,oil&gas

of titanium ore and titanium dioxide, which produces off-gases of hydrogen and carbon monoxide. We have eight units generating over 13.6MW of power from their two furnaces, which significantly helps the facility generate its own power, lower carbon emissions and reduce the reliance on the grid,” highlights Alex. Elsewhere, the company has installed three of GE’s new 616 diesel units into Four Mills of Nigeria plc. “These provide very low fuel consumption and can save significant operational costs where a process relies on diesel for power generation,” he adds. Market conditions for Clarke Energy across the world are generally positive, although Alex does comment on a number of potential markets

that could open up over the coming years as natural gas becomes more readily available, such as India, South Africa and Tanzania. “The UK market has continued to grow steadily and over our history we have moved from landfill gas, into natural CHP units for hospitals, and more recently a climb in demand for biogas. The latter could level out, however, now that the government has reduced its subsidies for this type of renewable energy,” he says. In terms of the future, Clarke Energy is very much focused on its continued growth, as Alex concludes: “We will continue to look at growing both organically and through acquisition as and when we see the appropriate markets and opportunities open up, and we look to continue to develop in the countries in which we already operate.” As a key distribution partner for GE, the company not only has the robust reputation for quality parts and products from a world renowned industry leader, but also the assurance of being a quality and trustworthy company itself. By remaining committed to offering a complete service from install to maintenance, delivered by team of highly trained engineers with knowledge and experience in a range of sectors and applications, Clarke Energy is well placed in a demanding market to achieve future success.

Having securely established itself in developed markets like the UK, France, Australia and New Zealand, one particular area of recent focus for Clarke Energy has been in applying its services to the developing world

Clarke Energy Ltd

Services Global specialists in engineering, installation and maintenance of engine-based power plants, both gas and diesel fuelled




transformation Operating as one of Europe’s largest generators of electricity, as well as one of the continent’s largest producers of heat, the history of Vattenfall reaches back over 100 years to when the company was founded in Sweden during 1909. The name Vattenfall is taken from the term ‘waterfall’ in the English language and refers to the firm’s original core business, when it was involved in the restructuring of the Trollhättan canal and hydro power plant on behalf of the Swedish State Power Board. Vattenfall AB is a 100 per cent Swedish stateowned entity. Vattenfall electricity generation today stems from six different sources and includes coal, hydro, natural gas and nuclear as well as wind power and biomass. Presently Vattenfall has a workforce of some 30,200 employees and, since April this year, divides its business into six ‘Business Areas’ and operating segments: Customers & Solutions, Generation, Markets, Wind, Heat and Distribution. During the year 2014 Vattenfall

electricity generation and sales of heat across both regions amounted to 172.9 TWh and 24.1 TWh respectively. Across all of the countries in which is active, the Vattenfall Group has approximately 6.2 million electricity customers, 4.3 million electricity network customers and 1.9 million gas customers. Of all of the electricity generated by the company during 2014 by the Group, 48 per cent was produced through fossilbased power; while 29 per cent was nuclear; 20 per cent hydro; two per cent wind and one per cent biomass waste generated. Throughout its long history Vattenfall has played a decisive role in Sweden’s raw materialrefining and export-intensive economy and beyond, however the company is aware that the energy market is an industry that is experiencing a period of dramatic change. For example demand for electricity within Europe has fallen in the wake of the global financial crisis and the supply of generation capacity has risen sharply. Furthermore while the price of coal has fallen, ENERGY,oil&gas 117

118 ENERGY,oil&gas


in part largely in response to the rise of shale gas production in North America, energy clients in both retail and other capacities increasingly desire to reduce their environmental footprint. In response to the changing market, Vattenfall is committed to becoming a leader in the present ‘energy transformation’ through increasing investment into renewable energy and by offering its clients the opportunity to participate in this transformation themselves. Renewable and sustainable energy types can be produced from a variety of sources including wind power, biomass, hydropower, solar energy and ocean energy. Presently Vattenfall maintains a strong and growing presence within the wind, biomass and hydro markets, where it is committed to delivering new technologies and increased power generation. As part of its strategy of restructuring its energy production portfolio towards more renewable forms of energy while increasing its focus along the company’s entire value chain, Vattenfall is committed to enabling new investment in renewable energy. This is particularly true within the field of wind power, which presently represents the fastest growing energy source within the EU. As such the company’s growth investments are largely targeted towards the wind generation market with a variety of major investment projects, including the development of the Kentish Flats wind farm in the UK and the Sandbank wind farm in Germany. The UK has taken a leading role in the development of wind energy and through its ongoing development in this area, Vattenfall has developed a reputation as a significant player in the field. The company has recently completed the installation of the 15th and last turbine in an extension to the Kentish Flats offshore wind farm, while commissioning works continue with the scheme expected to be operational by the end of 2015. Commenting on Vattenfall’s continued investment and ongoing development strategy within the UK, Communications Manager and Head of Media Relations (UK), Jason Ormiston reveals: “Vattenfall has invested close to £3 billion in the UK since late 2008 and this investment has established Vattenfall as a leading player in on and offshore wind development, construction and operation. The company currently operates four onshore wind farms totalling 111MW and three offshore wind farms with a total capacity of 540MW. As well as the construction of the 49.5MW Kentish Flats Extension, off Whitstable and Herne Bay,

Vattenfall is also building the 228MW Pen y Cymoedd (PyC) onshore scheme in south Wales. When finished in late 2016 it will be England and Wales’ largest onshore wind farm. By the time PyC is being completed it will be joined by the 54MW Ray Wind farm, which has just started construction in northeast England. In 2017, Vattenfall will be operating close to 1GW of wind capacity in the UK.” Vattenfall has also taken a leading role in the development of wind farms on the European continent with the development of projects in both German and Danish waters in recent years. During August 2014 for example, Vattenfall announced that it had decided to proceed with the construction of the Sandbank offshore wind farm just west of the existing DanTysk wind farm, which was officially inaugurated on the 30th April 2015. “Just a few weeks after the inauguration of DanTysk we have started construction works for Sandbank, namely the piling of the 72 foundations,” elaborates Head of Business Area – Wind, Gunnar Groebler. “Sandbank can be considered as the ‘sister project’ of DanTysk. Together with other offshore wind farms in the Danish waters Sandbank and DanTysk will form what we call the ‘Sylt-Esbjergcluster’. The thought behind this cluster strategy is to significantly reduce costs for operation and maintenance. Construction work for Sandbank is well on track and we expect commissioning of Sandbank by the end of 2016.” Throughout 2015 the energy industry has been characterised by tough market conditions, however through the introduction of a new organisational structure that targets the company’s respective business areas rather than regional organisation, Vattenfall is committed to growing its presence in renewable energy types. As a key partner in the ongoing transformation of the energy sector, Vattenfall will rely on its core competences and strong value chain to enable it to navigate the markets of 2015 and beyond, as Gunnar concludes: “One of Vattenfall’s strengths is that the company acts along the full value chain which means that we have all disciplines necessary to run an energy business under one roof. From project development, production of electricity, trading of electricity and other commodities up to the sales business with more than eight million customers, which we provide with electricity and gas in our markets. Regarding the new energy landscape, we see benefits from our in-house know-how process management.”


The company currently operates four onshore wind farms totalling 111MW and three offshore wind farms with a total capacity of 540MW. As well as the construction of the 49.5MW Kentish Flats Extension, off Whitstable and Herne Bay, Vattenfall is also building the 228MW Pen y Cymoedd (PyC) onshore scheme in south Wales. When finished in late 2016 it will be England and Wales’ largest onshore wind farm Vattenfall

Services Power generation

ENERGY,oil&gas 119



Punj Lloyd operates as a significant global player with a trusted reputation in the provision of integrated design, engineering, procurement, construction and project management services to clients operating within the energy, infrastructure and defence industry sectors. Presently Punj Lloyd has operations spread across 23 countries and generates a turnover of around $1.12 billion. Despite its position as a diversified international conglomerate that offers specialist EPC services within some of the market’s most challenging industry sectors, the company’s history can be traced back to relatively modest beginnings. The business started as the pipeline division of Punj Sons Private Limited in 1982, which was later incorporated as Punj Lloyd Engineering Private Limited in 1988. The company was rechristened as Punj Lloyd Private Limited in the following year and subsequently became Public Limited in 1992. As the company continued to grow, Punj Lloyd was quick to spot opportunities in overseas markets and secured projects, thereby it widened its international operations to

120 ENERGY,oil&gas

Abu Dhabi, Kuwait, Qatar, Malaysia, Kazakhstan and Bangladesh. This formed the basis for the establishment of the Group’s regional offices in the Caspian, Middle East and Africa (MEA), South East Asia and South Asia. Today the group employs a workforce encompassing some 15,000 skilled professionals across a range of disciplines throughout several geographies that empower the group to aggressively pursue new developments throughout the world. The service package offered by Punj Lloyd Limited is comprised of a complete EPC project solution beginning with planning, design and detailed engineering and continuing through to procurement, construction and commissioning. These are applied within the fields of construction for pipelines and tankages, process plants, offshore platforms and pipelines, buildings, infrastructure, highways and power projects. Punj Lloyd manages each of these segments as vertical markets that each represent a business segment in itself, with projects spread across various geographies supported by central functions. “With our vertical process structure we provide EPC services for refinery units, refinery up-gradation such as crude distillation unit (CDU), vacuum distillation unit (VDU), sulphur recovery unit (SRU), amine recovery unit (ARU), hydrocracker, coker and delayed coker units, Sour Water Stripper units (SWS) and other major units,” explains Punj Lloyd CEO and President for Process vertical Amit Gupta. “Furthermore as specialists in polymers we offer complete EPC services within the petrochemical and polymer industries in all categories ranging from LDPE, linear low density polyethylene (LLDPE) and high density polyethylene (HDPE), polypropylene (PP), polyvinyl chloride (PVC), acrylics and all major units including chemical industry and gas processing/field development projects.” To accommodate its broad base of operations Punj Lloyd maintains a comprehensive fleet of equipment as well as several workshops and maintenance yards. Punj Lloyd Group maintains a diversified equipment portfolio that has earned the company a reputation as ‘all terrain specialists’. “This is further highlighted by the successful execution of projects in challenging terrain ranging from the dry deserts of Oman to the swamps of Indonesia and mountains of Turkey to the rainforests of Indonesia,” Amit elaborates. “We posses 132 years of polymer and petrochemical experience by virtue of our acquisitions providing end-to-end solutions


from concept to commissioning. We have a large and young fleet of equipment with minimum downtime and equipment assets valued at $0.4 billion. This fleet includes amphibian equipment including swamp excavators, dredgers, marsh buggies, flexiyoke work barges, swamp cranes, push pull pipelay barges.” Through its global presence and extensive equipment portfolio, Punj Lloyd has amassed a client base that includes major market players within India as well as international blue-chip companies. Examples include recently won contracts concerning the development of a major tank farm project on behalf of PETRONAS Malaysia and the provision of tankerage solutions as part of the expansion and revamping project of the Ahmadi Depot in Kuwait. The PETRONAS Malaysia tank farm development project is part of the company’s refinery and petrochemical integrated development (RAPID) programme, with the involvement of Punj Lloyd valued at $581 million. “Punj Lloyd’s scope of work in the RAPID Tank Farm project includes project management; design; engineering; interface with other contractors and third parties; procurement; construction; inspection and testing; pre-commissioning and commissioning. The RAPID tank farm will be a critical project requiring expertise in the construction of different types of tanks including storage tanks, LPG tanks, mounded bullets, Light Cracked Naphtha storage, transfer pumps and additive packages,” Amit elaborates. “The project in Kuwait is for expansion and revamping of Ahmadi Depot from Kuwait National Petroleum Company (KNPC),” he adds. “This project is valued at around

$236 million and is scheduled for completion in 35 months from the time of writing. The scope of work includes the design, detailed engineering, procurement, construction and commissioning of 11 new floating roof product tanks with a capacity of around 228,000 cubic metres.” With continued success in the award of several large-scale and highly publicised projects, Punj Lloyd is well placed to remain strong in the face of challenging market conditions, as Amit concludes: “Punj Lloyd Limited has with it more than two decades of experience in the EPC Industry and its competitive edge comes from our dedicated manpower, which is our biggest strength. There have been some tough challenges over the past two years however, we have overcome that hurdle and stood strong as a team. Today our order backlog is close to $3.6 billion, in the next 12 months we are going to concentrate on our existing customers and have targeted to reach an order backlog of approximately $7 billion and attain revenue of close to $1.5 billion.”

Punj Lloyd

Punj Lloyd Limited has with it more than two decades of experience in the EPC Industry and its competitive edge comes from our dedicated manpower, which is our biggest strength

Punj Lloyd

Services Integrated design, engineering, procurement, construction and project management

ENERGY,oil&gas 121


opportunities Since its inception

on August 24th 2011, Gabon Oil Company (GOC) has grown into a 130-plus employee company and formed several partnerships with oil and gas multi-nationals such as Perenco and PETRONAS. Created by the Presidential Decree No. 1017/PR/MMPH, GOC is whollyowned by the government of the Republic of Gabon. Its creation signaled the ambition of the government to become a more active player in the domestic oil and gas sector. The company’s growth strategy is based upon the following four pillars: acquiring producing assets, reviving marginal fields, taking over operatorships of license-expiring oil fields and participate in new exploration ventures. GOC has laid out a vision to become Gabon’s most admired company. Although GOC today is primarily an upstream-focused company, it made its first mark in downstream, as Serge Toulekima, CEO of GOC begins: “In August 2012 GOC formed a partnership with Vitol SA to market the State’s crude oil.” By the end of 2013 GOC had lifted a total of ten cargoes corresponding to 6,727,321 barrels of crude oil; this was followed by a further eight cargoes being lifted in 2014 for a total volume of 5,113,062 barrels. “The sale proceeds that we obtained from international market were paid to the Public Treasury typically

122 ENERGY,oil&gas

30 days after the loading dates, as per standard industry practice,” explains Serge. “We have also demonstrated that we can be competitive against the big trading houses like Shell and TOTAL.” In December 2012, GOC signed a Production Sharing Contract to develop Remboue oil field, which was previously operated by ADDAX Petroleum but was abandoned in 2009 due to falling oil price. “This is no mean feat, but we have managed to rejuvenate the old site and has successfully installed an Early Production Facility. We have completed a workover campaign which re-activated five wells and are currently making preparation to test these wells. “Hopefully this Remboue project will cement our reputation as a full-fledged E&P company, a low-cost pioneer, and a credible technical partner for any company who wants to invest


in Gabon. It is critical for Gabon to continue to invest in these marginal oil fields. Doing so would help to address the country’s production decline and allow more time to find discovery in deep offshore, which is something everyone is hoping for.” Meanwhile, GOC is also partnering with Samsung C&T to construct a brand new refinery with a capacity to process 60,000 bbl/day of crude oil. This $2.3 billion project is expected to turn Gabon into a net exporter of petroleum products in the region. It is designed to maximise production of high value products such as gasoline and diesel while reducing the production of fuel oil to less than three per cent; 35 per cent of the refined products will be consumed domestically, while the rest will be exported. In addition to these developments, GOC made history in January 2013 when it took over the operatorship of Obangue field and became the first Gabonese company that produced hydrocarbon. “Between 2013 and 2014, we produced 2.1 million barrels of crude oil, reducing the field operating costs to 15.7$/bbl when the country’s average was 25$/bbl. Although Obangue was returned to ADDAX Petroleum in early 2014, GOC had demonstrated that we could operate a difficult oil field without major HSSE incidents. We had grown our in-house technical capability and successfully preserved the interests of the State,” said Serge. With most of Gabon’s existing and producing fields on the continental basin, the country is now urged to go further and explore new frontiers – the deep offshore zones – to gain a new era of oil growth. This is one of the objective of the New Hydrocarbons Code introduced by the government during the final quarter of 2014. Subsequently, nine new PSCs were signed for exploring the deep offshore domain and GOC is granted the option to acquire up to 15 per

Gabon Oil Company

cent equity in all new exploration PSCs. Although Gabon is currently the fifth largest oil producer in sub-Saharan Africa, GOC is not resting on its laurels, and instead continues with its goal of becoming one of the leading energy company in Africa. To do this, the company will not only produce oil, but will contribute positively to provide an improved future for today’s generation as well as the next. A feat it will achieve through the development of a more competitive national oil and gas industry and by supporting major social and infrastructure projects; the company will also be a trustworthy business partner, a responsible corporate citizen and the employer of choice for major talents in the industry. “Our ambition is to become the engine that propels Gabon into an emerging economy by 2025. We aim to do this by improving the competitiveness of the oil and gas industry and ensuring GOC is your best partner for growing your business in Gabon,” concludes Serge.

Our ambition is to become the engine that propels Gabon into an emerging economy by 2025

Gabon Oil Company

Services Oil and gas exploration and production

ENERGY,oil&gas 123



Using BMS as your transportation, installation, and lifting specialist gives your company access to highly skilled and experienced personnel, form specialized riggers, operators, supervisors and engineers. Furthermore it will give you access to cranes 50 to 1350 tonne capacity, heavy transport modules, hydraulic lift systems, skidding equipment and a huge range of industrial machinery. BMS group are performing all kind of services for statoil refinery Denmark A/S, transportation, installation and lifting assignments on sea and land. All fieldwork personnel are supported by our office staff, with research and development of job specific equipment, 2d & 3d planning, job analyze and risk assessment according to national rules and regulations.

124 ENERGY,oil&gas


Statoil Refining Denmark A/S

approach A refined

Since its purchase

from Dansk Esso in 1986, Statoil Refining Denmark A/S has operated the Kalundborg refinery on behalf of the Statoil Group, along with a product terminal in the centre of Zealand. The oldest parts of the refinery date back to 1961, but it has gradually been developed and modernised over the years including an expansion in 1995, which brought in the facility’s condensate distillation plant; this in turn enabled it to produce petrol with a lower content of the carcinogen benzene. “Statoil Refining Denmark A/S is 100 per cent owned by Norwegian firm Statoil ASA and is located on the west-coast of Zealand, Denmark. The refinery has a capacity of 5.5 million tonnes per year and has been expanded several times and also been upgraded to produce high quality diesel and petrol. Moreover, the energy efficiency was improved, making Statoil Refining Denmark among the most energy efficient refineries. The crude processed at the refinery is mainly from the North Sea, however the Kalundborg refinery also acquires crudes from the Atlantic basin to optimise the feedstock supply,” begins Jofrid Klokkehaug, CEO of Statoil Refining Denmark A/S. The

crude oils and condensates from the North Sea are delivered via ship, with more than 600 ships docking at the refinery’s pier every year. Connected via two pipelines, one gasoline and one gasoil, to its terminal at Hedehusene, near Copenhagen, the small yet flexible oil refinery’s products are also supplied to other markets in northwest Europe. As Denmark’s key refinery, Statoil Refining Denmark A/S is able to meet 80 per cent of the country’s gasoline and diesel refining requirements. “Statoil Refining Denmark is supplying the local market in Scandinavia, and mainly Denmark. “More than 80 per cent of the products produced at the refinery are transportation fuels such as diesel and petrol,” confirms Jofrid. One reason behind this capability is the refinery’s ongoing commitment to investment, which thus enables it to introduce new products to the market. For example, built at a cost of DKK 400 million, the refinery’s Synflex facility came on-stream in 2002 and produces one million tonnes of sulphur-free diesel oil annually; this is otherwise defined as ten parts per million of sulphur, or 0.001 per cent. Statoil Refining ENERGY,oil&gas 125

'( KEMP & LAURITZEN With over 100 years experience operating across the technical sectors in Denmark, Norway and Sweden, the 2000-employee strong Kemp & Lauritzen specialises in mechanical maintenance pipework and tank refurbishment for the petrochemical onshore and offshore industries. The company currently works closely with Statoil and Shell refineries in Denmark and Norway, working on both the Danish Kalundborg and Norwegian Mongstad refineries for Statoil. A long history of working with Statoil since the refineries were built in the sixties has lead to a solid long-term working relationship between the two companies. This relationship entered a new phase in 2014 when Kemp & Lauritzen won a four-year framework agreement with Statoil in Kalundborg to supply mechanical and electrical maintenance services; the first time that both mechanics and electricians from the company would both be present on site. The framework marked a departure from the supply of just manpower to Statoil that had defined the companies’ relationship before this point, as Kemp & Lauritzen is now tasked with both the planning and execution of maintenance work. The companies now operate as working partners allowing Kemp & Lauritzen to forward plan and optimise its working schedule to ensure it has the right team of workers on site at the right time. As a large company operating across a number of sectors it is also able to bring value to Statoil with the competence to bring other disciplines, such as scaffolding and insulation, into the planning stage. Major work is also being carried out on Statoil’s Norwegian Mongstad refinery further demonstrating the strong working relationship established between the two companies. With this in mind and as works continue across Denmark and Norway, Statoil and Kemp & Lauritzen look set to continue adding value to each other’s operations as they both move forward.

126 ENERGY,oil&gas


Denmark also delivers petrol and diesel oil with less than 50 ppm (0.05 per cent) of sulphur. Meanwhile, a more recent modification programme took place in 2008 in response to decreased throughput caused by the economic downturn. Because the refinery operates in an oversupplied market, the fuel reduction plant was put into operation in 2009 to ensure production remains maximised. Continuing this trend for facility enhancement, Statoil Refining Denmark is currently investing in optimising its capacity and efficiency through enhanced maintenance as well as making its operations more environmentally friendly in line with updated EU regulations. Part of this investment involves upgrading and expanding on the storage tanks as well as improving corrosion protection and improving detections of oil and gas defects. Discussing these investments, Jofrid notes: “Statoil Refining Denmark is continuously investing in upgrading and developing its facilities to ensure safe operation, to minimise emissions from the plant and to improve the quality of the products from the refinery. The focus for the near future is safe operations, increased efficiency and to optimise the utilisation of the plant by feedstock optimisation and production. Examples of investments are renovation and expansion of crude storage, more fire and gas detection in the process area and a new administration building.” Behind every investment there is an aim to improve the refinery and enhance its competitive edge on the market. However, as a refinery operating in an area with stringent environmental standards with regards to emission, noise and product quality, these investments will also ensure Statoil Refining Denmark not only meets EU regulations now, but is also well prepared for future demands. In addition to facility enhancements, as part

Statoil Refining Denmark A/S

of Statoil Group, the refinery naturally shares its parent company’s culture of safety and risk management and therefore strives to maintain these high standards throughout all operations. “The refinery aims at continuous improvement of its operations by cutting costs and increasing value creation,” states Jofrid. “We have three main goals: safe operations, efficient operations, and to be an attractive employer. Safe operations are our number one priority, and therefore we primarily invest in maintenance and reducing HSE risks. “Although the everlasting challenge at the refinery is the fierce competition in the market due to too much refining capacity in Europe, we know we cannot do anything actively about the refining capacity, but we can maintain focus on continuously improving our own business in order to be as competitive as possible. We will do this without ever losing focus on the safe operations,” she continues. During April and May 2016 with the refinery being shut down in order to conduct the largest shutdown for inspection and maintenance in the history of the refinery, it looks as though Statoil Refining Denmark’s trend for optimisation and improvements of operations is certain to continue. Moreover, these improvement projects have been expanded across all areas of the plant, with lean manufacturing and training being introduced to all employees, as Jofrid concludes: “The lean way of working is an ongoing process to improve efficiency in all work processes. The employees at Statoil Refining Denmark are eager to improve the way of working to increase the competiveness of the refinery.”

Voith Industrial Services Voith Industrial Services A/S in Denmark is a leading supplier to the petrochemical and chemical industries in Northern Europe. Its services to Statoil cover turnaround projects, large EPC storage tank projects and pipe installation work. With a high focus on award-winning safety, quality and timely delivery, the relationship is continuing to be stronger than ever.

Statoil Refining Denmark A/S

Services Crude oil refinery

ENERGY,oil&gas 127


expectations Since the company

was established in 2008, Reach Subsea ASA has established a proven track record in the provision of world-class engineering as well as inspection, maintenance and repair services (IMR); survey; construction support; decommissioning; and remotely-operated underwater vessel (ROV) services. Based in Haugesund, Norway the company is highly regarded as a knowledgeable offshore operator capable of providing engineering services to the oil industry in a flexible and competitive way. In all of its actions, it is the vision of Reach Subsea to be the preferred operator to clients that require the ‘best subsea partner that will always perform above expectations.’ Presently Reach Subsea maintains a fleet of five modern and highly specialised offshore support vessels, comprised of six WROVs and one high speed survey ROV. The combined competences of its fleet of vessels and ROVs allows the company to act as a complete subsea service provider, through the delivery of advanced solutions to technologically demanding customers that require in-depth engineering and equipment relating to subsea operations. The latest addition to the Reach Subsea fleet is the ROV Surveyor Interceptor, which successfully completed her first commercial job for Gassco inspecting the Knarr gas pipeline during March 2015. The client was highly appreciative in its praise of the vessel’s performance, describing it as a ‘completely new subsea technology.’ Surveyor Interceptor is a new and innovative survey ROV (SROV) owned and developed in a joint venture between Reach Subsea and the respected survey provider, MMT Sweden. The ROV was also developed in

128 ENERGY,oil&gas

conjunction with KYSTDESIGN – the supplier of turnkey deliveries of complex systems as work class ROV and remotely operated tool (ROT) units. The vessel formally completed successful sea trials during February 2014 while operating from the Reach Subsea vessel Edda Fonn and the final results of the test far exceeded expectations. Over the course of sea trials with the new SROV background data was collected relating to its specialised handling system to test speed, manoeuvrability, stability, cable drag as well as data quality and density. The results demonstrated that the SROV was able to reach the design speed of eight knots. The vehicle produces high-density data at six knots as well as at four knots when operating close to pipe and as a survey platform the vessel is extremely stable, delivering multibeam data with less than 0.4 per cent noise. Commenting on the success of the Surveyor Interceptor throughout the trials Reach Subsea CEO, Jostein Alendal says: “This is a break-through method when it comes to survey within oil and gas as well as the renewable market. It is cost-efficient compared to existing technology and opens new doors when it comes to other preventive surveys. The data quality and density exceeds anything I have seen before.” Further to the successful development and deployment of the Surveyor Interceptor, Reach Subsea has also enjoyed positive progress through the business in recent months. During October 2014 for example, the company announced that it had received a letter of award (LOA) for a NOK 60-70 million contract to be executed during 2015. Later in November 2014, it was revealed that the LOA related to the announcement that Eidesvik Offshore and Reach Subsea had in partnership entered into a firm contract with Technip in Norway. Reach Subsea will execute the contact using Eidesvik Offshore’s state-of-the-art newbuild TBN Viking Neptun offshore construction vessel. The ship will be equipped with Reach ROVs and manned by Eidesvik marine personnel and Reach ROV personnel and engineers. “We are pleased to see that the collaboration agreement with Eidesvik has already resulted in contract awards,” Jostein says. “This is a testament to our ambition of finding solutions for our clients combining the right assets, the right equipment, and all engineered together by our highly competent staff.” During March 2015 in the wake of the successful deployment of Surveyor Interceptor


from the Edda Fonn, Reach Subsea was also able to report that the vessel had again entered into a contract for an international client to undertake operations in the Mediterranean Sea. These began during April 2015 for a firm period of 120 days, with options for a further 60 days as required. Discussing the continued success

of the Edda Fonn and the contract’s significance for Reach Subsea in the Mediterranean, Jostein commented: “We are satisfied with the contract award, that will improve the utilisation of the vessel for 2015 and gives us further opportunities in the region.” With the execution of several highprofile and highly acclaimed projects and the implementation of leading-edge ROV technology, 2015 has proven to be an exciting period for Reach Subsea. As the company prepares to undertake future with clients old and new across the globe it will continue to move forward while implementing its strong belief in the systematic implementation of HSE measures evolving from early project risk assessment and continuous risk assessment processes. In conjunction with is full accordance with industry HSEQ Achilles and ISO-9001 standards, this process will enable Reach Subsea to continue to provide the highest levels of service wherever the most challenging and technically demanding subsea solutions are required.

Reach Subsea

Østensjø Rederi Østensjø Rederi, established in 1974, provide innovative, environmentally friendly and cost effective solutions to meet the requirements of their clients. Focusing greatly on HSE and quality, they take pride in providing this at the highest level within their segments; tug, offshore and accommodation. The company operates a fleet of 28 modern vessels in addition to seven newbuilds. Five hundred and fifty highly skilled employees work on their vessels or at their offices in Norway, Scotland, UK, Ireland and Malta. Their exciting collaboration with Reach Subsea started in December 2014 and involves ROV surveyor testing and deepwater cable laying.

Reach Subsea

Services Offshore support and ROV services

ENERGY,oil&gas 129

A culture of


Apache Corporation’s

Below Mark Richardson Projects Group Manager, Apache North Sea

operation in the North Sea is currently achieving unrivalled levels of performance across operational efficiency and cost effectiveness, while maintaining a singular focus on safety. Currently the third-largest oil producer in the North Sea producing around 70,000 barrels equivalent a day, Apache is achieving greater than 90 per cent production-efficiency levels compared to a 65 per cent basin average. On top of this, it has one of the best safety records and is achieving a lifting cost that is approximately 45 per cent more economical than the North Sea norm. So how is Apache able to achieve this? Energy, Oil and Gas spoke to Projects Group Manager, Mark Richardson to find out. “We have access to the same technology, tools and contractors that every operator in the North Sea has,” he begins. “The only differentiator is our leadership, our culture and our behaviours – basically, the way we do business.” The key to this culture is in the company’s people, and the way they approach opportunities. “Our adaptability and flexibility to understand the opportunities available is central to this culture,” Mark continues. “So, we encourage risk taking, not safety risk, but around commercial, contractual, technical, reservoir, subsurface and project opportunities, because where you take risk, there is often reward. We encourage personal initiative – we want people to use their competence and their capability to maximise what they can deliver, so we don’t constrain them with a system that doesn’t allow them to achieve excellence. “With this comes the ability to make fast

130 ENERGY,oil&gas

decisions and execute them and this is down to having people with the right attitude, aptitude and approach to doing business, plus the wish to take on accountability and responsibility. We then give them the authority and autonomy to make those decisions in the best interest of the company. You give someone a mission, a task, resources and boundaries and then they are allowed to go and deliver in the best way possible,” he continues. Additionally, with this autonomy in place, the company as a whole is able to flexibly respond to any new opportunities in the best way possible. Apache North Sea is proving with its unprecedented results that it can be both efficient and effective within the industry with the right culture in place. One place it is clear to see how this culture thrives is in the ten attributes it looks for in its employees. These include: fire in the belly – to exhibit real passion and drive for success in the business; working managers, to lead by example and to make decisions with sound judgement and emotional maturity in a quick and effective way. “This is about making good, timely decisions based on facts, and if you don’t have all the facts available then you still have to make a decision because it’s such a dynamic environment,” explains Mark. Next is the ability to see the bigger picture and translate this understanding into actions; to focus on team accomplishments over personal gain and then to be an effective communicator both internally and externally. Responsibility features heavily in the list, as it is key to being decisive, invested and committed and to have responsible irreverence. “You have to be able to make tough decisions, take ownership and act like it’s your own company. We’re all shareholders here,” points out Mark. “Everybody can challenge anybody as well, that includes beliefs and ideas – new technologies are


used, new areas are explored and conventional thinking is challenged.” This leads to the understanding that the best answers always win and the ability to listen to the company’s contractors who often know better at how to solve a problem. The final attribute is to be an ambassador for this culture and set of values for Apache – to be able to live by and demonstrate it on a day-to-day basis. Implemented by a flat management structure, this culture is embedded deep within the company. Apache North Sea is therefore able to operate an extremely efficient programme with the relatively small office team of slightly more than 400 employees. This is clearly demonstrated not only in the company’s performance figures, but also in its current activity to continue developing opportunities despite a downturn in the industry. As Mark highlights: “Presently we’ve got two platform drill strings running in the Beryls and one in the Forties. Plus a heavy-duty jack-up rig at the Forties Alpha Satellite Platform (FASP) and two semi-subs drilling in the Beryl fields. One is doing exploration and appraisal work, the other development drilling.” On top of this culture of performance is the company’s approach to safety. “We have a mantra: ‘safety, compliance, production’ – in that order; it is Apache’s primary responsibility to provide a safe working environment, but the vast majority of safety incidents are now down to human factors and we firmly believe safety to be a personal responsibility,” points our Mark. If someone has an issue, we don’t spend time overanalysing it; we solve it with a bias for action, rather than writing reports.” This attitude is made possible through continuous training and education within the company. “Even through the downturn, we’re not making anybody redundant; we’re still taking on apprentices, and we continue to focus on training and competence. We’re using this opportunity with additional workforce to enhance our maintenance and training, and to think long-term,” he adds. Jim House, the former region vice president and managing director of Apache’s UK operations, has been summoned back to the company’s Houston headquarters for a new assignment after more than nine years in charge of Apache North Sea. “A lot of the company’s success has been down to his leadership and his commitment to embedding the Apache culture into the organisation,” says Mark. “He’s

Apache North Sea

not only been great for the company, but also for the local industry working with Oil and Gas UK leading a group on production efficiency.” With changes at the very top as well, as the corporation has recently appointed a new CEO and CFO, the Apache North Sea region’s future is defined by the opportunities it can present and the operational performance it can deliver. “We are in a global competition for capital investment both internally and externally, so we need to highlight our growth opportunities in comparison to other opportunities around the globe,” Mark expresses. Not only will this be helped along by government tax incentives and improved investment opportunities in the North Sea, but will also be bolstered by the company’s exemplary culture. In a concluding point Mark ends optimistically: “There is a lot of doom and gloom in the industry at the moment, but there is a lot of value which can be unlocked given the right leadership, culture and behaviours and a bias for action.”

Everybody can challenge anybody as well, that includes beliefs and ideas – new technologies are used, new areas are explored and conventional thinking is challenged

Apache North Sea

Services US based oil and gas operator that owns Forties and Beryl fields

ENERGY,oil&gas 131

assets Protecting offshore

Founded in 1999 by its owner and

Managing Director Glenn English and based in South Shields, MCPS Ltd initially provided corrosion control systems to the local shipping industry when shipyards on the River Tyne were in abundance. Since that time MCPS has grown into one Europe’s major players in the supply of Galvanic Anode Catholic Protection systems for corrosion control. “MCPS now boasts over 15 years of manufacturing and design experience in providing comprehensive cathodic protection (CP) and marine growth prevention systems (MGPS) to the marine; offshore oil and gas; offshore wind farms; and marine civil industries,” elaborates MCPS Project Manager, Robert Forsyth. “MCPS’ core business is to produce CP systems for corrosion control of submerged steel structures which consist of aluminium anodes, zinc anodes and magnesium sacrificial anodes. The company’s anode manufacturing facilities consist of a foundry and head office located in the North of England. MCPS is ISO 9001:2008

132 ENERGY,oil&gas

and ISO 18001 accredited and manufactures in accordance with NACE SP0387-2006 and DNVRP-B401. Furthermore it also holds DNV type approval for its aluminium alloy ‘A Guard’.” Customers ranging from corrosion companies to major European energy operators use the products supplied by MCPS across a broad base of applications. These include corrosion control solutions for submerged assets such as jacket structures for production and accommodation modules; offshore wind turbine and substation foundations; offshore pipelines; offshore manifolds; subsea structures; flexibles and FPSOs. Recognising the need for the highest standards of quality within the offshore environment, MCPS ensures that the products it supplies are fully accredited and tested, as Robert explains: “Everything that we supply to the offshore industry is provided with full 3.1 certification including 100 per cent spectrometer analysis of all of the melts our products are produced from as well as electrochemical testing and destructive testing when required. Furthermore MCPS is presently the only European manufacturer with DNV type approval to the most recent DNV test utilising an actual anode. Previous type approval test requirements were of small samples proving MCPS as a market leader. “As well as being a manufacturer MCPS also offer a full technical support from NACE qualified cathodic protection technicians. Where some foundries outsource a lot of fabrication MCPS have a highly qualified experienced fabrication and production team, which makes us a ‘one-stop-shop’ for our clients. The MCPS inspection team has recently increased in numbers to ensure our product is of the highest quality for our clients.” Further to its growing inspection team, MCPS is in the process of increasing its machine capacity, staff level and facility square footage in response to increased activity within the offshore wind market, including export contracts valued at £2 million for two large European wind farms. “Due to current works awarded and with Round 3 offshore wind currently gathering pace it is our intention to invest in a new premises and new machinery to increase our capacity to service the market and our clients,” Robert says. “We have recently been awarded large contracts to supply the Galvanic Anodes for the Wikinger and Burbo Bank OWF’s. It is key to the business to secure such large contracts and it is also good


for the UK economy and North East England as a whole to see works placed within the UK for UK wind farms, such as Burbo Bank, producing new job opportunities for the North East of England. As well as offshore works we are currently supplying large harbour extensions - supplying over 100 tonnes of aluminium sacrificial anodes for corrosion control of the harbour steel foundations in the next six to eight weeks with other harbour supplies expected on the horizon.” While MCPS has profited from the application of its products within the renewable and harbour sectors, the drop in oil price has had an inevitable impact on the number of projects going into operation in the oil and gas sector, as Robert reveals: “Market conditions remain tough and we as a company have seen a decrease in supply to the oil and gas industry due to current low oil prices. Luckily the offshore renewable market has resulted in MCPS being awarded large projects however due to other works being cancelled/postponed the market has become

extremely competitive which we must adapt to by streamlining our production processes to ensure we remain competitive.” However despite the challenges of the present market, MCPS remains highly active and optimistic about the future. Indeed the company is in the midst of preparations for future expansion to new clients and new markets, as Robert concludes: “Over the next 12 months myself and our Managing Director Glenn English will be concentrating on setting up distribution in various countries throughout the world with the aim to expand the business globally securing the long term future of the company. As well as concentrating on distribution we have a keen eye for the offshore market. Corrosion costs the US economy $278 billon a year. Over one third of these costs could be prevented through existing technologies like sacrificial anodes. Prevention saves lives and valuable resources that could be better spent on other things and this can also be reflected into the oil and gas industry.”


MCPS’ core business is to produce CP systems for corrosion control of submerged steel structures which consist of aluminium anodes, zinc anodes and magnesium sacrificial anodes


Services Corrosion control systems

ENERGY,oil&gas 133

134 ENERGY,oil&gas


Tube-Mac Piping Technologies

market Joining a global

Since the company

TME Hydraulics TME was originally formed back in July 1995 and over the years has expanded into hydraulic installations and partnered with Tube-Mac. Jerome Dardillac, the Managing Director, central to TME Hydraulics activities has helped the progression of the Tube-Mac division. Like many TME has seen projects put on hold and cancelled recently but also has seen an influx of new business from customers looking to reduce costs and project times without compromising on quality. TME’s Sales Engineer Benjamin Chapman said: “We have the resources to assist customers make significant cost reductions, which project engineers and buyers currently welcome.” TME has developed an impressive portfolio executing complex engineering projects and will continue to grow its blue chip customer base.

was founded during 1977, Tube-Mac Industries (TMI) has grown to become a market leader in the provision of specialised ‘non-welded piping systems’ for lubrication and hydraulic lines. Early on in its history Tube-Mac supplied and installed hydraulic piping systems from two locations, comprised of its headquarters a 5500m2 manufacturing and fabrication facility located in Stoney Creek, Ontario, Canada and a 2500m2 fabrication facility in the USA. The corporate name was recently changed to TubeMac Piping Technologies Ltd., and employs over 250 members of staff in facilities within Canada, the USA, Spain, Brazil and Austria. Tube-Mac provides products and services to industries such as; oil and gas; marine and offshore; steel; mining and automotive to name a few. Within the oil and gas market, Tube-Mac clients include globally respected companies such as Shell, Esso, BP, Chevron, and SASOL of South Africa. Further to continuing to establish its clients within its established markets, TubeMac is committed to expanding its global reach and delivering solutions to existing and new clients globally, as Vice President for Business Development, Chris Peitchinis elaborates: “My view is that conducting business globally is the only way to survive in business. We are always looking for new business opportunities and last year we expanded our operations in both Pennsylvania and Houston and we have plans to open several new sales offices in strategic locations around Europe. The Brazilian market has taken longer than we anticipated and as such our expansion plans at the moment are being cautiously held back. Our distribution network

is also very important for our growth and expansion globally. We have a dedicated group of distributors located throughout the world, which we support on a daily basis.” With its strong global footprint of production and warehouse facilities and its network of suppliers and agents, Tube-Mac is able to deliver non-welded piping solutions to clients, in various market sectors all over the world. “Tube-Mac supplies complete non-welded piping solutions for various applications. The systems can be installed on many types of fluids and gases such as hydraulic oil, lube oil, gas distribution, CNG, fuel oil and fuel gases, steam and steam trace lines, air, water glycol, and many other fluids and gases,” Chris explains. “All that is required is to ensure the O-ring material is compatible to the fluid or gas and the fitting meets the working

ENERGY,oil&gas 135


Tube-Mac Piping Technologies

pressure. Furthermore Tube-Mac provides the necessary installation and pipe fabrication tools as well as training, supervision or labour to supply a complete turnkey solution. Tube-Mac can also supply more than just TMI flanges and PYPLOK fittings. We can supply pipe, hoses, clamps, ball valves and supports. Pressure testing and oil flushing services for hydraulic and lube oil systems can be provided as well.” Tube-Mac presently provides three nonwelded technologies that allow the joining of steel pipe or tube without any need of welding. These are comprised of its TMI 37° Flare Flange System; TMI Retain Ring Flange System and PYPLOK mechanically attached fittings. All of the solutions within the Tube-Mac range offer significant benefits in terms of reliability as well as ease of use and prefabrication. “Our specialised non-welded technology sets TubeMac apart from traditional methods of joining pipe or tube. TMI non-welded piping systems offer customers a cost-effective and easier-toinstall alternative to traditional systems, which is important because in today’s world, skilled highpressure certified pipe welders are becoming more difficult to find, especially in remote parts of the world,” Chris observes. “To maintain our competitive edge we continuously invest in the latest CNC technology and we are in the process of completing a state-of-art zinc nickel plating line at our manufacturing centre located in Stoney Creek, Canada.” With its broad base of clients operating within a spectrum of industries, Tube-Mac has provided solutions to several highly publicised projects. For example, Chris says: “Our Tube-Mac group in Austria recently completed an order from RENK Austria for the on-board and field installed hydraulic piping system for two wind turbine

136 ENERGY,oil&gas

drive train test equipment (7.5 MW and 15 MW) installed at Clemson University in South Carolina, US. RENK Labeco Test Systems built the world's largest wind turbine drivetrain test rig to test the next generation of wind turbines. This 15 MW test stand features a fully dynamic load application unit that uses hydraulic cylinders to impart forces and moments onto the rotating shaft of the test turbine. Such loads simulate wind gusts, wind shear, and other disturbances that the turbine blade assembly would experience in the natural environment. “Another high profile project is the expansion of the Panama Canal. Tube-Mac received the order from Bosch Rexroth to provide our TMI 37° flare flange and PYPLOK mechanically attached fittings for the hydraulic piping system to operate the new 16 rolling gate systems,” says Chris. The advantages provided by its portfolio of products have allowed Tube-Mac to establish itself as a trusted solution provider and a market leader of non-welded piping systems across the world. Commenting on the future of the business and the source of its success, Chris says: “I would have to say it is not only our technologies but our people, their knowledge and quality of service that really sets us apart. Most of the office staff and plant supervisors have been employed by Tube-Mac for over 20 years. The dedication of a key group of individuals in the office and manufacturing facility also rubs off on new employees. The focus of the business will be Brazil for the next 12 months. We need to get the operation up and running and establish our brand name in the region. We will continue to support our current customers and distributors but we are always seeking to find new customers, distributors and markets to explore.”

TMI non-welded piping systems offer customers a cost-effective and easier-to-install alternative to traditional systems, which is important because in today’s world, skilled highpressure certified pipe welders are becoming more difficult to find, especially in remote parts of the world

Tube-Mac Piping Technologies Ltd

Services Non-welded piping solutions



success Fast track to

Since it was founded in 1981,

Below Iain Lister, Greenray CEO

Greenray has developed a proven reputation in offering specialised engineering solutions for maintaining gas turbines and rotating equipment throughout the oil and gas and power generation industries. Over the course of more than three decades the company has grown to offer a complete range of OEM equivalent services and equipment to over 30 countries worldwide. Furthermore through its representative agreements, it maintains a presence in over ten countries globally and is able to deliver a wide range of service solutions with a flexible approach to meet its clients’ unique needs. During the early years of the company’s history, Greenray was active in North Africa in the supply of water well drilling equipment by providing drilling equipment and land based exploration rigs on behalf of a number of American companies. This gave Greenray valuable experience and commercial expertise in international trade and finance, which would prove to be an important asset when the company took the decision to transition into new areas of business. “Greenray was originally established by individuals who had previously worked for GEC Gas Turbines and having worked in the field before, it wasn’t a huge intellectual step for the business to move into gas turbines,” elaborates Greenray CEO, Iain Lister. “The then owners of the business decided to review the portfolio of services provided by the

company and soon after founded its relationship with what was European Gas Turbines. The concept of the business was to carry out service work primarily on gas turbines, this included niche services that OEMs found difficult to carry out themselves.” Today Greenray operates as an Advanced Partner to Siemens and in November 2006 the company entered into an exclusive agreement with Greenray to provide customers that own industrial gas turbines originally manufactured and supplied by GEC Gas Turbines Ltd, with spare parts, technical services, field service, workshop overhauls, control system retrofits and technical support directly and in the name of Greenray to all owners of these machines worldwide. Greenray currently supports over 375 active machines globally and many of Greenray’s key personnel are past employees of GEC Gas Turbines and were involved in the design and supply of the original GEC Gas Turbine equipment. Later during 2007 Greenray reached a further important milestone when Iain joined the company as Managing Director of the Energy Division, a position he held until 2012 when Iain acquired the business and became the Greenray Chief Executive. “Prior to joining the business, I had previously worked for Alstom as one of its company directors in the UK. When I joined Greenray it was a relatively small business with around 19 employees and a turnover of ENERGY,oil&gas 137

Sameday Freight & Courier Service Merlin Logistics, an independent family run business that provides same day Logistics, courier & freight services nationally with 20 years experience in the transport and warehousing industry. Services include: ● Same day Logistics ● Door to door courier service ● Groupage Services ● Multi-drop Deliveries ● Parcel Delivery/Collections ● Freight Delivery ● 24 Hour Service

Tel: 01777 22 88 88 Mob: 07717 308 040 Fax: 01777 22 88 22 E-mail: Web:


138 ENERGY,oil&gas


£7 million. It was always the premise that I would eventually buy the company and when I eventually did acquire Greenray through a management buyout, we identified a number of opportunities to move the business forward. One of these was in the provision of control systems and the other, which is rapidly becoming a very successful part of the business is in complete gas turbine package rehabilitations.” Today Greenray operates with a turnover fast approaching £32 million, with a network of facilities in Lincoln and Aberdeen within the UK, as well as Abu Dhabi, UAE. Furthermore the company maintains close links to representatives operating within Asia and the Middle East, proving support to its customers’ needs. Its portfolio includes a comprehensive suite of upgrade and retrofit; workshop overhaul; on site maintenance; spares, support and management; and component repair services. Within its projects division, Greenray provides revamp and overhaul services to gas turbine packages, this includes: control systems, filtration systems, ventilation, lubricating oil, and fuel systems as well as supporting the driven units and exhaust systems. “We have developed Greenray as a holistic one-stop-shop of gas turbine package solutions and the strategy has developed very well,” Iain says. “We have been highly successful and to date have won two major projects, one of which is currently being completed for Oil and Natural Gas Corporation Limited (ONGC) in

India, while the other was signed this year for Shell UK operating offshore North Sea.” The company’s operations for ONGC in India were comprised of refurbishment work of its three gas turbine packages on the Water Injection North (WIN) Platform at Mumbai High Field. The contract was valued at some $30 million and following its completion, guarantees a further 20 years of operation of turbine equipment. The contract was awarded during 2013, with site works commenced during 2015 and projected to continue through 2016. Greenray represents the project’s principle contractor revamping the complete gas turbine package including the power turbine, acoustic enclosures, ventilation systems, fuel systems and Lube oil cooling systems. The work is currently being carried out on the units whilst maintaining operation of at least one Gas Turbine Generator to facilitate continued platform operations. The recently signed contract between Greenray and its client, Shell UK further underscores the company’s ability to deliver niche and technically challenging services to some of the oil and gas industry’s most widely recognised blue chip organisations. The project itself will focus on works on a North Sea Platform. “The contract is first of all, a major milestone for us, we have done similar in India and to do it for another blue chip company is quite prestigious. We competed with a highly regarded OEM for the contract, and to win against this service provider was good for the business internally and we have demonstrated that we have the internal processes, capability and the engineering strengths to be able to deal with what is a very heavy engineering related project,” Iain says. With an increasing scope of services within its niche service offering and the award of several prestigious, high profile projects, Greenray represents a growing force within the international oil and gas market. This was further highlighted during 2015 when the company was listed at number 41 in the Sunday Times HSBC International Track 200. “This was a real achievement that really reflects how our international experience has given us an edge,” Iain concludes. “We also have very highly skilled people across the business and I am very proud to be part of the team. Greenray can provide engineered solutions and I think that is a key part of our business moving forward, not just in gas turbines but in steam turbines and rotating equipment.”


Greenray provides revamp and overhaul services to gas turbine packages, this includes: control systems, filtration systems, ventilation, lubricating oil, and fuel systems as well as supporting the driven units and exhaust systems”

Zafire Limited In 2010 Greenray Turbines partnered with Zafire Limited, global software provider to some of the world’s largest organisations, to develop a future-proof software solution designed to manage their complex business processes. Using their SmartService software platform and over 20 years’ experience Zafire delivered a robust solution removing the need for disparate systems whilst providing critical business intelligence around project cost profiles engineer planning and resource management. Following a two phase roll-out and an established partnership Greenray now have full visibility and total control of all projects from customer orders and product build through to installation on-going maintenance and accurate timely billing.


Services OEM services and equipment

ENERGY,oil&gas 139


generation Incorporating over

three decades of experience in the application of specialist surface treatments within the marine and industrial markets, Skagen Sandblæseri has established itself as a market leader that maintains long-term relationships with major industry players such as Siemens, Mitsubishi and Wastas. Ole Conradsen founded the company in Skagen, Denmark during 1984 to provide surface treatments for fishing vessels and since that time the business has continued to grow and expand into new market sectors and regions. By 1988 the business relocated its headquarters to Frederikshavn in order to begin a collaboration with Ørskov Steel Shipyard, consisting of the coating of newbuild vessels and the repartition of larger ships, while maintaining its existing activities in Skagen. During 1994 Skagen Sandblæseri further expanded its activities in Frederikshavn to include the surface treatment of wind farm towers for several major industry players. By 1999 the company had established a new mobile division, resulting in new projects in Norway, Sweden and the Faroe Islands. During the same year a new painting hall was also established in Nakskov Shipyard for the surface treatment of wind turbine towers. Between 2000 and 2002 the Skagen Sandblæseri division within Nakskov focused particularly on the market within eastern Denmark, resulting in greater mobile projects, including a five-year project with the National Railway Agency for renovation of Storstrømsbroen. At the same through co-operation with its customers, the company significantly expanded its service offering to include the handling, warehousing and classification of wind tower sections and foundations. Over the subsequent years the company maintained its momentum in the acquisition of

140 ENERGY,oil&gas

further projects and new facilities and in 2014 Skagen Sandblæseri embarked on a project on behalf of a major blade manufacturer to examine blades for damage and malfunctions. Today the company maintains three facilities, located within Nakskov, Sæby and Hedensted, giving the business a total production floor space of around 10,000m2 that is further bolstered by a joint-operation with Siemens in Aalborg. Although Skagen Sandblæseri is still active within the maritime and other sectors, currently its primary business is in the coating and treatment of wind turbines, which has enabled five years of considerable growth owing to the present boom in the wind farm market. As such the company broadly separates its operations into two areas, comprised of Skagen Sandblæseri and Ship Service and Skagen Surface Engineering. Skagen Surface Engineering undertakes operations relating to wind turbines from the company’s Hedensted and Sæby sites. Each of these locations are able to produce hubs for wind turbine towers, further components for the wind industry, as well as additional offshore and marine equipment. The Hedensted plant incorporates 4800m2 of manufacturing space as well as two overhead cranes, with capacities of 38 tonnes and 40 tonnes respectively. Furthermore the facility has its own dedicated hydraulic lift truck for heavy lifting tasks of up to 80 tonnes. The factory is divided into three separate temperature-controlled areas, comprising a sandblasting booth and two painting rooms. These are supported by metallization and washing areas, which are located centrally in the plant, with processing halls one side of these areas and a finishing section on the other.


Within the wind turbine sector, Skagen is able to deliver specialist aftermarket services from its newest department located at its Hedensted facility. Drawing on over 30 years of industry experience from Skagen Sandblæseri, which has so far coated and repaired in excess of 25,000 wind turbine blades and more than 1.5 million windmill towers, Skagen Blade Technology offers a mobile service operation all over the world. Skagen Sandblæseri’s facility embodies all of the necessary experience to provide its clients with the best possible service in areas including fibreglass repair; surface finishing, coating and painting; on-site wing optimization; Vortex Generator installation; leading edge protection (LEP); temperature controlled environments; rope access; and emergency ad hoc blade replacement in case of failure. To date Skagen Blade Technology has delivered solutions to clients globally, including Norway, the UK, Ireland, Italy, Wales, Scotland, Morocco, Esbjerg, Aalborg and Aarhus. Furthermore, Skagen has partnered with Braendler Engineering and ATSITE, a leader in the provision of data

Skagen Sandblæseri

handling and wind turbine inspection solutions. Collectively the strengths of these industry specialists are combined to offer turnkey solutions for wind turbine repair, optimisation and maintenance. The ATSITE system is able to capture images of wind tower wings on all sides and then process the images for display at a deep zoom to be analysed for defects. A complete wind turbine can be photographed within three to five hours, in almost any weather during the day and night. Through a combination of its several years of industry experience, strong manufacturing base and industry partnerships, Skagen Sandblæseri has established itself has an industry leader in the provision of specialist surface treatments. In the execution of its operations the company is dedicated to providing the highest levels of quality, while conforming to the most stringent requirements of health and safety. As the development and deployment of wind technology for power generation continues to grow, Skagen Sandblæseri is well placed to continue to support this emerging sector.

In the execution of its operations the company is dedicated to providing the highest levels of quality, while conforming to the most stringent requirements of health and safety

Skagen Sandblæseri

Services Specialist surface treatment

ENERGY,oil&gas 141


innovator A pioneer in delivering optimum quality, state-of-the-art borehole seismic technology and innovations for more than 20 years, designer and manufacturer Avalon Sciences Ltd (ASL) has become a household name in vertical seismic profiling (VSP) and downhole microseismic equipment. “ASL designs and manufactures highly sensitive borehole seismic (earthquake) receivers, ‘geophones’, which are deployed to extremely high temperatures and pressures deep within the earth’s crust for the purpose of sub-surface mapping, otherwise known as VSP, imaging and microseismic monitoring,” begins William Wills, Staff at Avalon Sciences Ltd. He continues: “We export over 90 per cent of our products outside of the UK, all manufactured at our Somerset factory. These receiver systems have proven so successful that they are now the standard technology for enhanced oil recovery monitoring, and for determining the viability of carbon storage underground. These microseismic and subsurface mapping technologies are markets in which ASL’s products and expertise have become world leading.” Rapidly becoming industry standard with over 1000 receiver tools deployed globally is ASL’s Geochain system brand, which has witnessed growing popularity thanks to its ease of use, low maintenance overhead and its ability to deliver high performance and optimum quality data while keeping deployment time to a minimum. Within the Geochain product range is the high pressure Geochain, which is the company’s most established configuration with the downhole ASR HP Advance Seismic Receiver satellite

142 ENERGY,oil&gas

offering 25,000 psi and 200c standard analogue operating temperature. The product’s modular design allows for a quick and simple change out of the electronic pack to convert it to a marketleading 180C multilevel digital system. Offering the same functionality of the standard Geochain, while also delivering the enhanced specification of 30,000 psi pressure rating is the Geochain EHP, one of the most robust seismic tools for operation in hostile wells. Meanwhile, the GeochainSlim packages all of the seismic recording features of the standard pressure Geochain into an ultra-slim 1-11/16 inch OD housing; this system is rated to 20,000 psi. Dedicated to delivering the best possible solution while also providing superior customer service and support, both remotely and onsite, the company has developed its facilities and expanded its operations team to ensure a global local service that promises the same quality wherever the customer is based. Most notably, ASL has invested heavily in a dedicated R&D facility, the Avalon Research Centre (ARC), to ensure continuous innovation for instrumentation within the harshest and most challenging of well conditions. Equipped with specialist staff and equipment such as new electronic/geophysical test labs, pressure and heat chambers, the ARC was completed in Spring 2012 at the company’s headquarter site in Somerset. In parallel to the ARC, the company has opened global support centres, staffed by local engineers, in Houston, Texas and Singapore in 2011 and Abu Dhabi in 2013; it also has agencies in China, India and Russia. To further enhance its R&D capabilities, ASL acquired the Camborne School of Mines Rosemanowes Geothermal Deep Well site in February 2014; boasting multiple deep wells, as well as winch and rig infrastructure, this site is the base for ASL’s deep well technical staff. “This facility boasts some of the deepest wells for helping to qualify and test our products as well as deliver excellent training to end users,” affirms William. “This development has also allowed us to begin marketing not only to the direct seismic engineer client, but also to raise awareness of our technology to the end user oil company geophysicist, through producing technical papers and giving presentations.” This commitment to investing in business operations, even during the challenging economic crisis, resulted in ASL winning the Best Engineering Company of the Year award at the Western Gazette’s annual Business Awards in


June 2015. Moreover, it has led to ASL enjoying increasing revenue over the last two to three years, with 2014/2015 its best year to date. “Like most UK exporters during the global financial crisis, ASL had to combat a significant drop in demand. We took the decision not to cut back on staff and resources but to take advantage of the quieter period to invest in R&D and build our stock. It was a risk that paid off, as we can now boast a two-week turnaround on most orders worth millions of pounds, something that is unheard of within the exploration technology industry. “We have also been rewarded with a significant increase in sales in 2014/15 as customers seek to renew and improve their seismic survey equipment. Further international demand is being driven by end user requirements for large scale multi-level surveys and new requirements for permanent monitoring equipment at fracturing sites,” highlights William. With 85 per cent of ASL’s revenue stream being driven by equipment sales, the company

Avalon Sciences

further boosted its financial performance over the last three years by developing a pool of rental equipment, which now contributes approximately ten per cent to its overall revenue. Coming into effect during 2014/15, the rental service has been well received by small or emerging exploration companies that don’t have the purchasing power of the larger service companies. This development has resulted in expansion into new global regions in the Middle East and South America. “Other income is derived from repairs and upgrades, customer training, on-site technical support and consulting and product design,” adds William. Although the global economy remains somewhat stagnant, ASL has developed a robust business model and generated an excellent reputation for its solutions, which will ensure demand for its products and services continues. However, to remain competitive, the company will continue to innovate to ensure its technology is market leading for both exploration and seismic monitoring.

Avalon Sciences Ltd

Services Specialist manufacturer of borehole seismic systems and downhole seismic instrumentation

ENERGY,oil&gas 143

144 ENERGY,oil&gas


Global Marine Systems



As a global leader

in subsea cable installation across a number of industry sectors, Global Marine Systems Limited boasts a pioneering history that dates back as far as the mid-1800s. Over the course of its 165-year history the company has been responsible for a number of industry firsts, including the installation of the world’s first international subsea cable. The cable stretched between England and France and was installed on 29th August 1850 by small paddle-driven stream tug

called the Goliath. Bringing this forward to the 21st century Global Marine still strives to deliver challenging projects, in 2014 achieving this by installing the world’s most northerly fibre optic cable system linking the island of Svalbard deep within the Arctic Circle. Today Global Marine continues to provide highly regarded and sought after engineering and underwater services that respond to the installation, maintenance and burial requirements of its clients. During the course of its impressive history the company has developed a comprehensive legacy in both deep and shallow water operations all over the world. The near future brings with it an exciting opportunity for Global Marine to develop both its existing services, as well as to take its specialist capabilities to new markets globally. The company is already widely considered to be a subsea cable expert offering extensive end-to-end solutions to multiple offshore industries including oil and gas, telecoms and deep sea research. “We consider Global Marine to be a diversified company, because even though at our core is an impressive track record in telecom marine installation and maintenance, the company has grown over the years to undertake increasingly more work within the oil and gas and offshore ENERGY,oil&gas 145


Global Marine Systems

power sectors,” explains Director – Sales and Commercial, Nicola Broom. “A great example of this is the recently signed contract with The Prysmian Group for the Wikinger offshore wind farm in the Baltic.” The contract between Global Marine and the Prysmian Group was announced during September 2015 and will see the companies working together as partners with a shared heritage and comprehensive experience in submarine cabling. The project will see the two companies collaborating to install inter array cables for the Wikinger Offshore Wind Farm, situated within the German Exclusive Economic Zone (EEZ) of the Baltic Sea, 35km from the Island of Rugen and near the maritime borders with Denmark, Sweden and Poland.

The site encompasses an area of approximately 35 km2, with an estimated generating capacity of 350 megawatts. “Global Marine is delighted to be working again with the Prysmian Group on this important project which further consolidates the good relationship we have with Prysmian in offshore wind,” Nicola says. “It is also a significant award as it recognises our competence in subsea cabling in the everexpanding renewables market.” The Global Marine vessel the C.S. Sovereign will be deployed during the project and represents the ideal vessel for the installation and burial of cables within the Baltic Sea. For example, it is equipped with two, powered 2300 tonne ‘basket’ turntables, designed to operate at a maximum linear speed of 900m/ hour, optimising the cost-efficiency of cablelaying. Additionally, her open deck allows the deployment of a variety of subsea vehicles to assist in the process. C.S. Sovereign has an impressive track record in offshore power and has installed in excess of 20 per cent of inter array cables in the European market. Earlier this year the C.S. Sovereign completed a platform-to-platform fibre optic system installation in the North Sea on behalf

146 ENERGY,oil&gas

of the oil and gas communications specialist Tampnet, including a full Cable End Module (CEM) deployment. Furthermore during September 2015 it was announced that the vessel had taken part in Global Marine’s first installation of a new repeater system following successful sea trials. The repeater was installed as part of a major fibre optic installation project in the Gulf of Guinea, for Huawei Marine Networks (HMN), a joint venture partner of Global Marine. It was the first installation of the R2 repeater following successful sea trials, which took place on Cable Innovator in November 2014 in a project that saw the installation of a 1011 km repeatered fibre optic subsea cable installed between Lagos in Nigeria and Kribi in Cameroon. It also encompassed a branching unit, for future connection, to Escravos and Qua Iboe in Nigeria’s southeast region. A highlight of the project was the first deployment of HMN’s second-generation RPT 1660 R2 repeater, which provides an optical loop back facility for performance monitoring and accurate fault location. Commenting on the project, Global Marine Director - Installation, Andy Lloyd says: “We are very proud to successfully deliver this system for HMN. By coupling our expertise and our long standing capability in subsea engineering with HMN’s advanced transmission technology, we are confident that this system will bring solid, high capacity data communications to Nigeria and Cameroon.” Indeed, the project heralds the latest in a series of milestones and industry firsts that differentiate Global Marine as a market leader in a broad and ever-growing portfolio of sectors.

Meachers Global Logistics Meachers Global Logistics is one of the largest independent logistics companies in the South of England. Based in Southampton it offers tailored solutions for customers’ logistical needs. For Global Marine Systems (GMS) this is a complete turnkey solution. With an in-house team and integrated IT system Meachers Global Logistics looks after everything from receipt and despatch of stores orders for the ships from the Portland Marine Base, right through to delivering complete ROV systems around the world. Meachers Global Logistics understands that businesses evolve and by working closely with Global Marine Systems for over 20 years, it has ensured that whatever challenges and changes GMS has faced over that time, Meachers was alongside it to ensure that it delivered satisfaction to its customers.

Global Marine Systems

Services Subsea cable installation


McPEC Marine & Offshore Engineering Pte ltd


With years of experience in delivering engineering, procurement and construction (EPC) projects and modern solutions to clients operating within the oil and gas, power and marine sectors, McPEC Marine & Offshore Engineering Pte. Ltd. (McPEC) has a proven track record in the delivery of EPC projects. These include: 66 Modular steel structures 66 Electrical power and control buildings/EHouse 66 Pre-fabricated sub-stations; power generation modules; emergency diesel generators 66 Water treatment plants 66 Utility modules 66 Heating and cooling medium modules 66 Pipe manifold modules 66 Water injection modules 66 Workshop buildings 66 A60/H60/H120 blast and fire proof buildings 66 Laboratory buildings 66 Helifuel packages 66 Special structure fabrications and living quarter modules The company was founded in response to an increase in activity within the oil and gas market and has grown to represent a leading supplier of EPC solutions. “Before the company was started, I worked for another oil and gas company for a number of years, doing work similar in nature to what McPEC is doing now but on a smaller

scale,” explains Managing Director Jonathan Lee. “Then in 2006 we founded McPEC when we saw an opportunity in the market where the oil price was beginning to pick up and there were a lot of jobs to tender.” Specialising in electrical power and control buildings/E-House, McPEC has the capacity, skilled manpower and facilities to design and fabricate large structures that include complete equipment packages including switchgear, motor control centres, power transformers, variable frequency drives, integrated control and safety systems (ICSS), uninterruptible power supplies (UPS), telecoms, distributed control systems (DCS), heating, ventilating, and air conditioning (HVAC) and fire and gas systems (F&G). The McPEC Singapore fabrication yard comprises 30,000m2 of open yard area; 210 metres of sea front access for load-out; and water depths of between three and five metres, that allow the yard to load-out modules up to 2000 tonnes; as well as berthing capacity for flat top barges, floating crane barges and tug boats. McPEC is able to provide a full suite of engineering services to design, construct and supply custom built modular buildings designed to customer’s specifications and requirements. During August 2015, McPEC announced the completion of a significant EPC contract to design and build the Kraken mega E-house for a floating, production, storage and offloading (FPSO) vessel destined for the Kraken oil field, one of the largest subsea oilfield project ENERGY,oil&gas 147

148 ENERGY,oil&gas


McPEC Marine & Offshore Engineering Pte ltd

The Kraken E-house is a heavy module weighing around 1560 tonnes. It is 27 metres tall and has a fairly large footprint of 23 metres by 18 metres. The unit will be deployed in the UK North Sea, which is a region that has very stringent operating condition requirements within the British North Sea, together with ABB Singapore. As the largest E-house to be constructed in Singapore weighing 1560 tonnes, the Kraken mega E-house itself will contain the Kraken FPSO’s electrification and automation systems, including medium and low voltage switchgears, transformers, variable frequency drives, UPS, ICCS, HVAC, F&G systems and electrical monitoring and control systems. The Kraken FPSO vessel is owned by Bumi Armada Berhad, a Malaysia-based international offshore oilfield services provider, representing one of the largest FPSO players in the world with assets in operation across Asia, Africa, and Latin America. Commenting on the main features of the project, Jonathan says: “The Kraken E-house is a heavy module weighing around 1560 tonnes. It is 27 metres tall and has a fairly large footprint of 23 metres by 18 metres. The unit will be deployed in the UK North Sea, which is a region that has very stringent operating condition requirements, so the module was produced to very high specifications, including the stringent UKCS regulatory standards. The construction went well and was completed on schedule. It was actually completed in record time and to a high standard. It was successfully delivered to the client on 3rd August. To give you an idea of the scale, there were approximately 90 km of cable laid within the unit as well as approximately 280 pieces of automation equipment.” Further to the completion of the Kraken mega E-house project, McPEC is currently working on a second mega E-house project with ABB, this time for Block 15/06 in Angola. “This module is of a larger size than the Kraken E-house, it

weighs around 1700 tonnes and has a foot print of 28 metres by 23 metres and is some 16.7 metres high. We are quite proud that by the end of 2015, we will have built the two largest E-houses in Singapore,” Jonathan says. Indeed over the course of almost a decade in operation, McPEC has established a trusted and leading reputation through the delivery of solutions and equipment for respected industry players, including ConocoPhilips, Bumi Armada, ABB, ExxonMobil, Saipem, ESSO, BP and Apache to name a few. “We enjoy a very good reputation among oil majors and our clients know that we deliver on time and at a high quality. The company’s biggest strength is its engineering capacity - McPEC is one of the few companies in Singapore that is capable of a full package of services, from engineering design to procurement to construction and fabrication. This gives the company a competitive edge because by having a design capacity in-house, we can optimise the fabrication process and ensure the control of overall quality,” Jonathan elaborates. “Presently the global problem of low oil prices has resulted in a more subdued market. We are maintaining our position in active markets such as Vietnam where there are still ongoing projects and we will try to be more diversified over the coming months to see what we can do for other business areas. We do not expect the market to pick up significantly over the next 18 months, but we also feel that companies with a strong background and reputation can still come through strongly,” he concludes.

McPEC Marine & Offshore Engineering Pte. Ltd

Services Engineering, procurement and construction contractor

ENERGY,oil&gas 149


reservoir performance ProLabNL ProlabNL is an independent test facility for oil & gas process equipment. ProlabNL offers state-of-the-art largescale test facilities operating with actual live hydrocarbons (natural gas and crude oil) at high pressures that simulate real oilfield conditions. Its multiphase flowloops have been used extensively for the subsea technology qualification programs of major oil & gas companies as well as for MPFM testing. All flowloops are operated by skilled operators and test engineers supported by process experts to ensure clients can perform their qualification programs at the most realistic oilfield conditions in the shortest possible time.

Below Patrick Babka, Vice President and General Manager of Roxar Flow Measurement at Emerson Process Management

With roots dating back

as far as 1984, Roxar is a technology brand within Emerson Process Management and a leading provider of advanced technologies to the oil & gas industry for production optimisation, production regularity and improved decision-making. Its technologies help operators maximise their reservoir’s performance and cover the entire reservoir lifecycle from seismic interpretation and reservoir modelling through to flow metering, flow assurance and downhole monitoring. These are of critical importance to operators requiring more information on well fluid composition, looking to create an intelligent network of downhole sensors, or wanting to reduce risk and the inherent uncertainty in developing their hydrocarbon reservoirs. For such operators, Roxar solutions provide the answers at every stage of the lifecycle. Today more than 930 members of staff specialise in Roxar solutions and the company sits predominantly within the reservoir and the upstream part of Emerson’s business. The result is a complete automated solutions provider that spans subsea oil and gas reservoirs through to platform and floating production, transmission and ultimately the refining and production of goods. Roxar flow monitoring systems, for example, include multiphase, wet gas, salinity and watercut meters that allow for the continuous monitoring of well performance and ensure such wells operate to the peak of their capabilities. Roxar Sand erosion & corrosion monitoring solutions - both upstream and downstream

150 ENERGY,oil&gas

– are also critical to maintaining the integrity of operator assets and optimising oil and gas production. Emerson Process Management recently worked with asset integrity services provider Stork to install the Roxar SandLog wireless sand erosion monitoring solutions on a major North Sea operator’s installation - the first installation of the Roxar SandLog wireless monitors in the UK Continental Shelf (UKCS). Additionally, the company’s production management software, such as Roxar Fieldwatch, provides state-of-the-art monitoring and analysis and gives the operator a complete picture of their reservoir. Core to the development of the Roxar service package is the company’s commitment to ongoing research and development operations, based on a philosophy of technology platform development, product development, and integration to ensure an ever-closer standardisation between solutions and the transferring of technology to different applications. “Research and development is central to everything we do and we can point to many Roxar ‘industry firsts’ over the years,” explains Patrick Babka, Vice President and General Manager of Roxar Flow Measurement at Emerson Process Management. “For example, we introduced the first commercial multiphase meter; our recently deployed downhole sensor system measures pressure and temperature behind the well casing for the first time; and as part of the new subsea wet gas meter we have introduced the industry’s first salinity


measurement system.” During June 2014 Emerson opened a new flow loop facility for Roxar technologies located within Stavanger, Norway. The purpose-built facility is designed to replicate three-phase flows in oil and gas production and will play a key role in ensuring that Roxar technologies continue to support clients by delivering reliable and accurate topside and subsea flow meters that operate across all reservoir conditions over the lifetime of a well. Through ongoing investment into research and development technologies, Roxar is able to continually bring new technologies to market. During May 2015 for example, it unveiled its new Roxar subsea Wetgas Meter. With more and more operators making wet gas metering an integral part of their flow assurance strategies and with hydrates, corrosion and scaling one of the biggest challenges offshore gas producers face today, the new Roxar subsea Wetgas Meter comes at an important time and directly addresses today’s wet gas challenges. “Through unparalleled water sensitivity, accuracy and rapid responses together with the industry’s first built-in salinity measurement system, the new meter provides the earliest possible detection of water from gas wells. In this way, operators can take remedial action early, protect subsea well and pipeline integrity and deliver higher recovery rates,” Patrick says. “One good means of illustrating the meter’s water sensitivity and accuracy is to imagine a volume of liquid equivalent to four large car fuel tanks. The new meter can detect a droplet of water finely distributed across all four tanks. That’s the kind of sensitivity that only the Roxar Wetgas Meter can provide!” Another new downstream solution that will be coming to market in the next few months is the wireless-based Roxar Corrosion Monitoring System. Combined with the non-intrusive Roxar Field Signature Method (FSM) technology, the system will enable refinery operators to access more comprehensive corrosion information and corrosion rates, leading to improved operator insight and control over assets, reduced downtime and optimal production processes. While the oil and gas market remains deflated due to the low oil price and the related slow down of projects, it is incumbent on organisations, such as Emerson to demonstrate their added values. “At whatever stage operators are in the reservoir lifecycle, Roxar solutions are all about

maximising performance, generating improved returns from assets, and supporting more effective decision-making. With the operator’s focus on the bottom line, this added value is more important to operators than ever and it’s up to us to put the case to them,” Patrick observes. “The fact that Roxar technologies are part of Emerson also provides enormous value to our customers as they look to a technology solutions provider that can address all of their production and automation challenges from the reservoir to the refinery and beyond. From Emerson’s smart wireless solutions through to the PlantWeb digital architecture and more, all Roxar measurement and instrumentation solutions form part of a complete and integrated solution.”



Services Reservoir management solutions

ENERGY,oil&gas 151

forward Launching

scaling back its operations and is instead pursuing new opportunities targeting regions such as Scandinavia, Brazil and Indonesia. Amongst the industry firsts delivered by Balltec is its recently announced design and deployment of a new and innovative subsea PIG launcher. The £450,000 project was awarded by Allseas and represents an additional asset that further compliments the existing services and equipment portfolio available within the Balltec pipeline solutions business. The new PIG launcher itself is a flangeless unit that facilitates the insertion of a PIG into a cut pipe during subsea operations and includes an ROV activated grip and sealing arrangement that negates the need for any additional fixings or flanges to be added to the pipe. The Subsea PIG Launcher can be used in conjunction with Balltech’s leading PipeLOK

With in excess of

1000 of products installed in more than 150 successful projects around the world, Balltec Engineered Solutions has established a proven track record in the provision of mechanical connectors and engineering solutions to the subsea industry. The business was incorporated in 2004 to capitalise on over 25 years of experience of pioneering and development ball and taper technology for the oil and gas industry. Since the company’s inception Balltec engineers have always placed a significant emphasis on research and development. Initially these developments focused on the deployment of the ball and taper mechanism, which has since been diversified to accommodate a range of applications, including mooring connectors, heavy lifting and pipeline and abandonment recovery tools. Today Balltec engineers continue to develop and implement innovative subsea products both with and without the ball and taper design. Furthermore the company also undertakes technically challenging and large conceptual projects that range from initial product development through to the manufacture and installation of products, many of which represent the first of their kind. Its ability to provide turnkey and innovative solutions have made Balltec Engineered Solutions the partner of choice for operators all over the world, working with leading subsea players including Subsea7 and Technip, as well as major oil and gas operators including Shell, BP and Total to name a few. Despite the present market conditions resulting from the diminished oil price, Balltec has refrained from

152 ENERGY,oil&gas

pipeline recovery tools that already incorporate gas and liquid injection functionality. When used in combination the launch and recovery system can recover isolated pipe sections that previously would have not have been recoverable. As a bespoke equipment provider, Balltec is able to deliver the Subsea PIG Launcher in a number of sizes and configurations that make it suitable for deployment across a host of subsea operations. Prior to the unveiling of the new Subsea PIG Launcher, during February 2014 Balltec announced the successful installation of the first buoy on the Guará-Lula project in Brazil. Guará-Lula represents the largest engineering, procurement, installation and commissioning (EPIC) and subsea, umbilical, riser and flowline (SURF) contract ever to be awarded in the region. In line with its continued focus in Brazil, Balltec was tasked with the development and commissioning of a pioneering subsea chain tensioning system and tether top connector for the first Buoy Supported Riser (BSR) System to be installed on the Guará-Lula Project. As such the company began its largest project to date to the design, manufacture, assembly and testing of 36 tether top connectors and six subsea chain tensioners for the BSR system.


The BSR system features four large subsea buoys that once moored and tensioned, will support 27 steel catenary risers. Each buoy weighs approximately 2000 tonnes and is installed some 250 metres below sea level. Balltec was invited by Subsea7 to participate in a design competition against more established oil and gas engineering companies and was able to utilise its mooring expertise and extensive engineering abilities to develop a workable conceptual design for the connectors and tensioning system to moor and tension the subsea buoys into their final position. Commenting on the award and execution of the contact, Managing Director Russell Benson remarks: “We secured the contract in the face of stiff competition and our proposal was chosen as the best way forward, but it was still a concept product at that stage and as we continued the project a lot of challenges

Balltec Engineered Solutions

came to light. We had to fabricate various test rigs to test the functionality of the equipment, we developed a prototype connector which was tested extensively and then from there, once the design was frozen, we had to push on and get the units manufactured.” As it continues to push forward in delivering innovative solutions in both emerging and established markets, Balltec Engineered Solutions will focus on the strengths of cost reduction and increased efficiency to demonstrate the great benefit of its technology to operators, EPCs and installation contractors. As such the company is keen to make its presence known through events such as SPE Offshore Europe, where it recently made a lasting impression, as Sales & Marketing Director, Martin Bell concludes: “OE 2015 has been a very successful show for Balltec. We have spoken and presented to senior management from both large operators, EPCs and subsea suppliers. There has been enormous overseas interest, with enquiries from companies in the Far East, Middle East, the US, Europe and beyond.”

As a bespoke equipment provider, Balltec is able to deliver the Subsea PIG Launcher in a number of sizes and configurations that make it suitable for deployment across a host of subsea operations

Balltec Engineered Solutions

Services Mechanical connectors and engineering solutions

ENERGY,oil&gas 153

The rise of the gentle giant

Beginning operations as a Known for product quality and reliability, the innovative firm offers a wide range of pile driving sets with hydraulic hammers from 100 to 3500 KJ

Hamburg based steam and diesel shovel builder in 1868, the Johannes MENCK and Dietrich Hambrock founded MENCK & Hamborck GmbH has since developed its services and honed its expertise in the production, rental and sale of pile driving hammers to become a major global player in the oil and gas industry operating as MENCK GmbH today. Discussing the game-changing milestones in the company’s history that were a catalyst for its success over the last 140 years, Fabian Hippe, MENCK’s Director of Sales, begins: “Our work began in a backyard and it was here that we developed the first steam-powered mobile vertically standing boiler unit, which was used for a piling rig in 1871. This was a key moment for us, as we introduced the first semi-automated piling rig to the market and it is still the same principle that we use for our customers today, albeit a more updated and modern version. “Following this development, excavating machines were our core business until the mid 1900s, when in 1937 we introduced a product portfolio to the market that consisted

154 ENERGY,oil&gas

of excavator machines, steam and electric driven piling rigs and steam and diesel hammer systems. Since then piling systems have become our main service offering, and it has helped that this business segment has been part of MENCK since day one as we have gained revenue and a strong reputation from this.” Acquired by UK based Acteon Group Limited in 2003 to compliment its focus on subsea engineering solutions in the oil and gas market, MENCK today prides itself as an expert in the specialist field of offshore pile driving thanks to its strong engineering knowledge and beyond 40 years of project experience in this sector. Known for product quality and reliability, the innovative firm offers a wide range of pile driving sets with hydraulic hammers from 100 to 3500 KJ. However, keen to use this long-term experience in a beneficial way for customers, the company has developed a more market facing approach to contracts and closer relationships with clients throughout projects. “Our customers are mainly within the oil and gas and renewable sectors, but we also provide services to civil works as well in terms of bridge and harbour developments,” notes Fabian. “Because we don’t have a manufacturing client all of our parts are procured from the market while all of the design, assembly and testing is done in German Headquaters near Hamburg. It is important to note, however, that in our core, we are a highlyspecialised engineering company; though, our primary interest is in supporting and sharing risk through contribution in all areas of a project rather than leaving a system with a client and letting them run with it.” A recent project for the company involved supplying the world’s largest hydraulic hammer to assist Bilfinger Marine & Offshore Systems with the installation of subsea foundations for Project Sandbank, a new 72 turbine strong windfarm located in the North Sea. Known as the ‘Gentle Giant’, the MENCK MHU 3500S hydraulic hammer exerts a massive 6.2 KJ per tonne of weight, with a pile sleeve that has a diameter of 6.5 m. It also has a proven higher maximum energy output than any other hammer in the world, but is also two to three db quieter than other hammers within MENCK’s portfolio, thus ensuring the MENCK MHU 3500S contributes to all environmental protection requirements. “This hammer is by far the largest in the market today. It stands up around 21 m above ground in the vertical position and


weighs approximately 580 tonnes in air; it is an incredibly heavy machinery which has been setup in a way that logistical as well as maintenance challenges contribute to the overall service solutions provided. Components for this hammer were procured as far away as Japan; these parts were delivered to the port of Hamburg where we pre-assembled and tested the system before delivering to the Sandbank project within its very tight timeline of less than 12 months. The kit has been delivered well in advance to the project startand pile driving began in early June 2015.” With this major project a huge success, the company is now focusing on building a second unit and has secured work for both hammers throughout 2016 and into 2017. “We are in a favourable situation as this hammer is a crucial component for the latest developments in the offshore wind segment and the installation of these monopile foundations,” confirms Fabian. To complement these positive developments, the company will continue to attend events such

as OSEA and the Offshore Technology Conference in Texas, which it attended in 2014 and 2015 so new and existing customers could find out valuable information on its innovative portfolio. “Although MENCK is a fairly small company, due to the technology we create and the exposure of our projects we are quite well-known within the industry. Nonetheless, the number of clients we interact with is not substantial so exhibiting is really about having an area that our customers can interact with us as well as providing a crucial networking opportunity for potential new clients,” says Fabian. In addition, the company will focus on growing its core business through the provision of mature services and mature consultancy to ensure the optimisation of overall processes when its systems are being used. “We will try to reduce our overhead costs that are directly associated with our undertakings by optimising the handling of our systems or supporting our clients in any way that delivers a direct cost reduction to our clients,” concludes Fabian.


Universal Transport Universal Transport and Menck – a co-operation based on mutual trust. For more than five years Menck GmbH has been in a good business relationship with Universal Transport. The forwarder, Universal Transport, is a specialist in the transportation of oversize and heavy lift cargos. In the past Universal Transport has transported hydraulic hammers up to 120 tons in carriage to European harbours and is doing the oversize supply chain logistics for Menck.


Services Hydraulic impact hammers

ENERGY,oil&gas 155

A clear With a portfolio of services comprised of data acquisition; feasibility studies and modelling; data processing; as well as interpretation and integration analysis, PetroMarker holds a proven track record in the delivery of marine controlled source electro magnetic (CSEM) survey services. Having quickly established a leading reputation based on its innovative survey technology, PetroMarker rapidly gained a global market presence and healthy returns. However in recent years the low cost of oil has slowed the development of new wells and reduced the market requirement for survey operation, and PetroMarker has taken this as an opportunity to further develop its technology to offer increased efficiency and cost-savings. “PetroMarker has its origin from research starting in 2002 and launched the first commercial generations of the technology in 2007 onwards. We reached a total accumulated turnover of $80 million with good results,” explains PetroMarker CEO, Helge Holen. “We realised however, that we needed to get our equipment technically upgraded to become more efficient and to get our operating cost down to deliver competitive services. We drastically reengineered the equipment and are now ready to re-enter the market. To give you a feel of the proportions of the reengineering the

156 ENERGY,oil&gas

receivers now weigh 270 kg and are about five metres tall, whereas they used to weigh eight tons and stretch more than 12 metres in the air!” Besides the value of enabling clients to ‘see’ the degree of gas saturation and the size of each hydrocarbon reservoir, the EM technology provided by PetroMarker offers several advantages. Firstly the use of vertical-vertical pulsing allows the company to produce images that reach between 4000 and 5000 metres down below the seabed, with superior resolution over competing technologies. Secondly the fact that units are stationary during pulsing, allows PetroMarker to return to the same location anywhere from 12 to 36 months as required, to continue to scan and create a 4D analysis of the reservoir. These repeated surveys are of great value to oil companies who are able to use the


changes in hydrocarbon position to monitor the development of the field and plan their production approach accordingly. This allows clients to extract increased product from each field, which results in greater economic returns and higher exploration yields – an important factor to countries in granting licences. As a result of its approach PetroMarker has worked with clients all over the world and works closely with operating companies to ensure that it is able to provide the most effective survey solution: “All we do is based

“We have to improve continuously in a range of dimensions. One important area of development is in electronics to create even better images, simplify equipment, cut investment cost and improve efficiency in operations. We will also enhance our ability to collaborate with seismic to derive even more insights and value out of the data,” Helge says. “Everything is easier in a bullish market, but we are confident that business will be good in hard times and even better when the tide turns. Our value proposition to the customers is to help them to limit the risk of exploration and cut cost by avoiding drilling dry wells and monitoring fields to increase exploitation. Both are very important for the customers when oil prices are low and you have to save both ‘dollars and dimes.’ This certainly helps us gain customer attention and there is no limit to our ambition, we will lead the CSEM development and continue to seek market leadership in the future,” he concludes.



Services Electromagnetic survey operations

on very close co-operation with the customers. Normally we will do a 1D and 2D analysis for free based on seismic and historical drilling data and thereby establish whether we believe an EM survey would merit its cost and plan the ideal survey layout,” Helge elaborates. “The new dimension for our technology is that our new receivers allow us to deploy receivers in a wide grid and thereby cover large areas and deliver 3D images of high resolution.” Indeed PetroMarker constantly strives to improve the scope and capability of its technology in response to an ever-increasingly competitive market place. This is something that is of growing importance while the cost of oil remains deflated resulting in many exploration projects and developments being put on hold. PetroMarker however, remains optimistic that through its market-leading technology and knowhow it is well placed to weather the trials of the current market and be on-hand with the best solutions once exploration operations resume. ENERGY,oil&gas 157

challenges Vibrating out

Operating as part of the FoundOcean Group and with over a decade of proven industry experience, CAPE Holland has established a trusted reputation as a leading supplier of construction and piling equipment to the offshore and subsea industries. The company was founded in 2002 by a father and son team set on extending family links within the piling sector, which began during the 19th century and although the company was established as an international piling equipment trading company it soon began to engineer and manufacture its own specialist equipment within the sector. “CAPE Holland offers piling equipment to the on- and offshore industry worldwide. We have our own fleet with hydraulic impact and vibro hammers and auxiliary equipment for sale and rent. We offer operational assistance for our own equipment, but also for 3rd party owned piling equipment,” elaborates CEO, Laurens de Neef. “CAPE Holland has its own in-house engineering department, experienced technicians with offshore experience, fully fitted workshops and even sandblasting plus coating facilities.” CAPE Holland was previously profiled in Energy, Oil and Gas magazine during November 2014, when the company discussed the introduction of its CAPE Vibro System™. The system contains all equipment required to

158 ENERGY,oil&gas

configure the right vibro hammer set for any project. The main components of the system are the vibro hammers, which CAPE Holland has developed in-house in response to the increasing demand for certified upending vibro equipment for handling and lifting within the offshore market. Commenting on the in-house design of the system, Laurens says: “We started from scratch which made it possible to end up with a fully Lloyd’s Register certified (CLAME)lifting appliance. The result is an unique tool which combines the vibro driver/extractor with a certified lifting and handling tool and therefore we have named it a Vibro Lifting Tool (VLT).” Furthermore the VLT can also be fitted with an upending fork, so it can even upend the pile which means it has the ability to pick up a stored pile, upend it to a vertical position, lift it to the correct position and drive it down, whilst correcting verticality during driving if necessary, in one single handling operation without the need of a pile gripper or seabed installation frame, saving valuable time. The tool can be used to handle and drive to final penetration if the project allows this or it can be used as an ideal stabbing tool in combination with an impact hammer saving significant time on a job. During June 2015 CAPE Holland unveiled the first Vibro Lifting Tools of the VLT system. A new recently produced Tandem CV-320 VLT consists of two CV-320 vibro hammers with a combined eccentric moment of 640kgm and provides 13,706kN of centrifugal force. The


appliance is capable of handling and installing piles with a pile diameter ranging from 2800mm up to 5100mm, weighing up to 850 tonnes. “This new Tandem CV-320 VLT is to replace the tandem vibro set which Seaway Heavy Lifting (SHL) purchased from CAPE Holland in 2012 after a successful deployment during the monopile installation project of Riffgat OWF. This new set is 40 per cent more powerful and fully certified for handling and lifting. Our clients have realised the potential of having one tool for the handling and installation for projects where the piles have to be driven to final penetration with an traditional impact hammer,” Laurens details. “SHL heavy lift vessels are ideal for the installation of the very large XXL monopiles of the future and the fact that the CAPE VLT's are modular means that they can hire additional vibros and combine them with their own tandem set to create the right configuration of installation tool, giving them a competitive edge by being able to fully utilise their own equipment.” The portfolio of fleet models available from CAPE Holland continues to grow and through further successful projects and deployments, the company is continuing to build on its leading reputation that will see it develop new systems that offer several operation benefits well into the future. During July for example CAPE Holland successfully deployed its new CV-320 VLT-U vibro lifting tool to install four piles in subsea water depths of up to 90m. “For this first project the VLT was used equipped with the Upending option (VLT-U). It was used as a stabbing tool to pick up a stored pile, upend and lower it to the installation position and drive it to stable depth

through a template. This way it was possible to install all four piles without any tool change. Negating the need for a tool change meant it was possible to install all four piles in just one 12-hour shift to the predicted penetration depths. After this, an impact hammer was brought down only once, to complete the installation process of all four piles, which resulted in a significant time saving,” Laurens concludes. “In the next 12 months we will focus on expanding our range of Vibro Lifting Tools and continue promoting the major benefits of Vibro drivers/extractors in the offshore industry and especially the added benefits of the certified handling, upending and lifting capabilities of VLT(-U)'s. In the next three to five years we will be expanding our rental fleet to be able to satisfy the expected increase in demand from both the renewables and the oil and gas industries. We also foresee that the Vibro technology will become a significant contributor to reducing cost of installation of OWF monopile foundations.”

CAPE Holland

The portfolio of fleet models available from CAPE Holland continues to grow and through further successful projects and deployments, the company is continuing to build on its leading reputation that will see it develop new systems that offer several operation benefits well into the future CAPE Holland

Services Construction and piling equipment

ENERGY,oil&gas 159

energy Independent

Established during 1981

, Norvento Enerxía is a group of companies devoted to the promotion, construction and operation of power plants that use renewable energy sources. Norvento is owned by the Fernández Castro family and has its roots in engineering and electrical services consultancy, specifically in the areas of renewable energy generation and distribution. Today the business represents a leading force in renewable energy with a long history of industry experience and proven track record of successful operation. “With over 160 employees and with assets worth circa €200 million, Norvento has been a pioneer in the renewable energy field in Spain, acquiring a proven track record during its over 30-years history,” explains Business Development Manager, Samuel Sanchez Mendez. Norvento’s team is made up of highly technical professionals allocated to the key areas of activity comprised of energy, engineering and technology. Currently Norvento owns and operates hydro, wind, biomass and solar energy installations. These projects have been designed and implemented to the highest technical standards and epitomise the leading-edge performance in their respective technologies. Throughout 2014 the company’s

160 ENERGY,oil&gas

generation capacity totalled 386,371 MWh and prevented the emission of 231,823 tons of CO2 into the atmosphere. “Recently the Group has embarked upon an ambitious strategic international expansion plan and is present in countries such as the US, Brazil, Chile, Poland, Italy and the UK. The Group’s main focus in these markets is the development and construction of renewable energy plants and, more recently, the marketing of medium-scale wind turbines. “In recent years, as a result of its broadening experience, Norvento became a technological innovator and began developing the nED100, a completely new medium-scale wind turbine, installing a first prototype in 2011. Nowadays, nED100 wind turbines are a reference throughout international markets, such as in the UK where several installations already benefit from our nED100,” Samuel reveals. Norvento’s nED100 represents a state-ofthe-art 100kW wind turbine, incorporating the huge technical advances that have occurred in wind power technology in recent years, which are not available in most products available in the market. Indeed, features such as direct drive, pitch control, IGBT full converter or oil-free concept assure maximum reliability and performance, with the lowest needs of maintenance. “Our best in class design is the result of five years of research and development undertaken by our highly skilled expert team of engineers with over 90 years of accumulated experience in the design and manufacturing of large-scale wind turbines. Additionally, Norvento Group’s 20 years’ experience in the development, construction and operation of renewable energy plants was constantly called upon throughout the design stages of nED100,” details Samuel. “On the other hand, we design and manufacture our own blades, a critical component on which both safety and performance relies. The highest standards and requirements of large wind industry are applied to every part our turbine, a fact that made nED100 the first and only wind turbine of its size to receive full IEC 61400-1 certification, granted by TÜV-SÜD.” Norvento is currently focused on supplying and installing its nED100 turbine, both for its own projects and for its customers. The UK is currently its main market, where medium wind turbines are usually connected to the distribution grid under the microgeneration feedin tariff. However, the future of this incentive has recently been questioned, producing a significant


blow to the market. As such Norvento expects a rush of activity before the changes come into effect during January 2016. After this, the group expects medium wind activity for on-grid applications in the UK to drop significantly, but Novento also sees an opportunity to demonstrate that its advanced turbine gives even more added value in new applications, such as behind-themeter, off-grid and smart grid applications. In line with this commitment to enable its customers generating their own sustainable energy with the very latest leading-edge technology, Norvento has taken a further step developing OG+, its solution for Off-Grid generation. “OG+ is a complex system, designed to remote emplacements, which can integrate several features and different technologies, reaching minimum fossil fuel consumption point, or even allowing autonomous operation just with renewable energy and storage, whatever the special characteristics of every project/client are,” Samuel elaborates. “OG+ is extremely flexible and can be applied

Norvento Enerxía

within new installations as well as in existing remote generation systems. Its total integrated operation allows clients to take advantage of every available energetic resource, fulfilling their needs with a safe, stable and reliable solution. On the other hand, nED wind turbines suit perfectly in off-grid sytems like OG+, thanks to their advanced regulation capabilities and their full power converter. Therefore, OG+ and nED turbines are a future solution already available for present needs.” Summarising Norvento’s vision Samuel concludes: “More than 30 years ago Norvento saw how renewable energy was going to be part of the future, and becoming a pioneer in this sector was the base of its successful story. Seven years ago, the nED project was born from Norvento’s conviction that distributed energy will be the next great evolution in the energy scenario, and since then we are totally committed in contributing with our solutions to a sustainable and reliable access to energy anywhere in the world.”

Today the business represents a leading force in renewable energy with a long history of industry experience and proven track record of successful operation

Norvento Enerxía

Services Production and operation of power plants and renewable energy sources

ENERGY,oil&gas 161

162 ENERGY,oil&gas



up Pulped

With a history dating

Below Esa Jokiniemi, Director of Automation Systems in Energy Business, Valmet

as far back as the 1750s, Valmet has grown over the centuries to become a leading global developer and supplier of technologies, automation and services for the pulp, paper and energy industries. This diversity stems from its ability to integrate a range of businesses under one umbrella through strategic acquisitions and mergers that have continued since its inception. During the 20th century, Valmet became a paper and board machine supplier; however, the company further diversified its service capabilities when it merged with Rauma Corporation to form Metso, an equipment supplier serving the global process industry, in August 1999. Throughout 2000 until 2009, this trend for important mergers and acquisitions in pulp, paper and power businesses continued in order for the company to become a full-scope supplier to the pulp and paper industry; it also enabled the company to respond to burgeoning business opportunities in biomass technology and the power industry. Reborn in 2013 following Metso’s Extraordinary General Meeting, in which Valmet and Metso became two companies, Valmet Corporation took on Metso’s paper, pulp and power business, while Metso retained the mining construction and automation business. This major milestone was followed by Valmet’s acquisition of Metso Process Automation Systems business in April 2015.

Alongside services, pulp and energy, and paper, automation is the fourth business line of Valmet Corporation. Esa Jokiniemi, Director of Automation Systems in Energy Business, Valmet, discusses the company’s services: “Valmet’s service and product offerings cover the entire life cycle of industrial processes, including new machines and plants, rebuilds, process control and services. Valmet has extensive technological know-how and a broad process understanding in solutions related to the pulp, paper and energy industries and other biomass conversion technologies. Valmet’s advanced automation solutions range from single measurements to plant wide turnkey automation projects. Valmet complements its core business by applying its services and technological know-how to other areas and industries, particularly within the energy sector.” Indeed, over recent years a key focus for the 12,000 strong organisation, which boasts a strong presence in 33 countries, has been the research and development of technologies using biomass for energy production as well as a raw material for end products. Committed to creating new revenue streams for its customers and to create environmentally sustainable solutions, Valmet’s pulp and energy experts help customers to convert renewable raw materials to recyclable products and renewable energy. Within this business segment the ENERGY,oil&gas 163



company has an extensive offering that includes pulp mills, heat and power generation systems for energy producers and new innovative biotechnology solutions. Meanwhile, the solutions of Valmet’s automation business segment are designed to maximise the profitability of its customers’ businesses through the improvement of process performance, cost, energy and material efficiency. “Our worldwide network of experts supports our extensive range of process automation solutions and services. We serve our customers in the pulp and paper and other process industries, power generation, marine, and oil & gas,” confirms Esa. “For the energy industry, our main products include the Valmet DNA plant automation system, Valmet DNA information management and plant reporting for KPI calculations, Valmet DNA turbine controller for steam and gas control and Valmet DNA combustion manager for combustion optimisation.” A global operator, Valmet has a diverse customer base with its energy automation business generating plenty of contracts from areas including Europe, North America and locations in the Far East such as Korea, India and Indonesia. Recent projects include the delivery of advanced automation technology to Ferrybridge Multifuels Energy Ltd’s wasteto-energy plant in Knottingley, West Yorkshire, as Esa notes: “Valmet was chosen as the DCS supplier for the project because of its good track record with six earlier projects for Hitachi Zosen Inova. These include waste-to-energy plants in Zisterdorf, Austria; Bergen, Norway; Riverside

164 ENERGY,oil&gas

and Newhaven, UK; Vaasa, Finland; and STV 4 & 5, UK. The delivery to Ferrybridge was the seventh in total and the fourth in the UK. All in all, Hitachi Zosen Inova has chosen Valmet’s Automation technology for nine waste-toenergy projects. “Valmet’s delivery scope to the plant will consist of a Valmet DNA distributed control system, an integrated safety system and an information management server. The control system includes four operator stations, six redundant process stations, about 6000 hardwired I/O and Profibus signals and 2300 datapoints via gateways. An engineering station and an information management station are also included. There is a Profibus DP connection to the black boxes and remote access for maintenance work.” The 68MW plant, which features the largest grate ever built by Hitachi Zosen Inova, will be able to reach high process availability thanks to Valmet’s innovative solutions. With a versatile customer base that includes EPCs, OEM vendors, power utility companies and industrial and municipal end users, the future looks positive for the globally operating Valmet as it continues to maintain close relationships with its clients and ensures fast and flexible solutions by evolving with market requirements. In addition, the company sees opportunities for growth in South Korea and South-East Asia and will focus on developing a stronger foothold in these strategic locations. “Over the next 12 months we continue implementing our already successful strategy: we’ll continue co-operation with both EPC


Services Leading developer and supplier of technologies, automation and services for the pulp, paper and energy industries


A collaborative

approach Playing an integral role in the offshore oil and gas development in Angola since 1968, SBM Offshore began operations in the southern African nation with the supply of a shallow water CALM buoy to Gulf Oil. Following two decades of increased activities within the Angolan oil and gas market, SBM Offshore founded SBM Offshore Contractors Sucursal de Angola to manage all SBM related activities in the area; today this includes the construction, installation and operation of FPSOs. Angola has been further transformed by its offshore energy resources and has become Africa’s top oil producer; for example, in 2010 the nation had a production capacity of two million bpd, which was up 400 per cent

PAENAL Shipyard

over the last 20 years. Aware of the incredible opportunities within Angola, SBM was keen to forge close working relationships with Angolan partners through joint ventures that enabled local companies to benefit from its global experience within the oil and gas industry. A key example of this took place in 1998, when Angola’s state oil company Sonasing was created through a joint venture between Sonangol, SBM Offshore and other local partners. Established to promote Angolan participation in oil and gas activities and to acquire FPSOs and FSOs for charter to the Angolan oil industry, Sonasing’s inception has led to SBM participating in the design, supply, installation and commissioning of five FPSOs so far: Kuito, Sanha LPG, Mondo, Sax-Batuque and Xikomba. The latter of which has since been significantly upgraded and renamed N’Goma FPSO, which was relocated in July 2014 to block 15/06. The group’s commitment to Angola was intensified with the joint venture between Sonangol and SBM, OPS Servicos de Producao de Petroleos Ltd, in 2003; the local company manages the Angolan fleet of five FPSOs that are owned by Sonasing and also employs and trains a 500 strong Angolan workforce. OPS benefits from the extensive experience of the SBM Offshore Group and boasts more than 40 years of cumulative experience in the delivery of operations and maintenance work in offshore Angola. In fact, the company has delivered excellent results since its establishment, with 735 million barrels having been produced by June 2014 and an impressive fleet uptime of 99 per cent. The company also provides the Angolan offshore sector with safe, reliable floating production and storage facilities. OPS also focuses on continuing to develop Angola’s own domestic offshore technical expertise through offering a comprehensive range of services, including design and construction, mobilisation, installation and operation. Noticing a significant lack of offshore construction capacity in Angola, SBM and Sonangol established PAENAL Yard (Porto Amboim Estaleiros Navais Lda); in 2010, Daewoo Shipbuilding & Marine Engineering (DSME) became the third business partner within the venture. Developed in Porto Amboim, in the Kwanza-Sul region, the yard has since become one of the most modern yards in Africa. Moreover, in 2012, it received the Fabricator of the Year award from the Angolan Minister of Petroleum for its work at the Porto Amboin yard; work includes its first contract in 2008, which involved supplying two shallow water CALM ENERGY,oil&gas 165

166 ENERGY,oil&gas


PAENAL Shipyard

Buoys, and its first FPSO topsides contract in 2010. This project involved the topside fabrication and integration of Total’s FPSO Clov, a 305 metre long, 61 metre wide vessel that today is able to reach a production level of 160,000 barrels of crude oil per day; it can also store up to 1.7 million barrels in volume. When the vessel pulled up quayside in PAENAL in November 2013, this arrival not only represented the successful completion of her voyage from DSME Shipyard in South Korea, but also set a record by being the first FPSO to berth at an African quayside. In the same month, the PAENAL fabricated 1836 tonne module M122 was lifted onboard the FPSO Clov by PAENAL’s heavy lift crane Jamba. As Africa’s largest crane, Jamba (which means elephant) was inaugurated in August

2013 after being built by PAENAL at a cost of $50 million. Designed by Ihi Unyo Kikai in Japan, the crane can lift cargo weighing up to 2500 tonnes. The successful operation also made the record books for PAENAL and Africa as it was the first topside module integration to be performed in Africa. On the 5th December 2013 PAENAL yard was used as the location for Total’s naming ceremony of FPSO Clov; the event was a double celebration as it coincided with the major oil company’s 60th anniversary of operating in Angola. With this game-changing project complete, the shipyard celebrated the arrival of N’Goma FPSO at its 490-metre quayside on 17th June 2014. The arrival of this second mega FPSO in a mere eight months helped cement the shipyard’s reputation key position in the oil industry and demonstrates PAENAL’s expertise in handling challenging projects. For the N’Goma, the shipyard fabricated two of the FPSO’s modules, the sulphate removal package and the hot oil pump, both of which were successfully lifted

and integrated onboard the vessel. The project also included upgrades to the hull, turret and the integration of new and refurbished topsides, which was completed at Keppel Shipyard in Singapore. Once work on the FPSO was completed, it began operations on the Eni operated block 15/06 west hub offshore as part of OPS’ fleet under a 12 year lease and operation contract with ENI Angola SpA. As one of the most significant investments ever made in Angola’s oil and gas industry, and with its 490 metres of purpose-built quayside and the HLC Jamba in place since the final quarter of 2013, PAENAL has been fully commissioned for the accommodation and installation of topsides into mega FPSOs for almost two years. This development represents an integral part of Angola’s history as it focuses on sustainable growth and strengthening the country’s ability to support the offshore oil and gas sector as well as deliver prosperity for its people. Indeed, not only have SBM, DSME and Sonangol been investing in facilities, the two firms have also spent the last eight years fully qualifying and training 420 local people into becoming skilled welders and fabricators. As the biggest employer in the region, with a workforce of more than 1200 employees, PAENAL represents a true success story for Angola, and today stands proud as a thriving hub of activity that will continue to attract growth over the many years to come.

With this gamechanging project complete, the shipyard celebrated the arrival of N’Goma FPSO at its 490-metre quayside on 17th June 2014. The arrival of this second mega FPSO in a mere eight months helped cement the shipyard’s reputation key position in the oil industry and demonstrates PAENAL’s expertise in handling challenging projects PAENAL Shipyard

Services Fabrication and integration yard

ENERGY,oil&gas 167

success A strong vision geared for

During the past 12 months

, Cyrus-RW has reinforced the ethos and vision that has underpinned it since its founding in 1994 as Cyrus Engineering. This ethos is driven by a passion for delivering the best products and outstanding service for its clients. The vision is centred on continual growth and development, both organically and via acquisition, in order to enhance its offering and expertise. It is this desire to grow and improve which has seen the company put in place a strong and ambitious growth strategy aimed at increasing its turnover from £10 million to £25 million over the course of the next three years. In line with this, last year the Cyrus-RW Group completed the acquisition of Wyke-based Bradford Cylinders, with the aid of Leeds-based accountancy firm Mazars. This acquisition added an additional 20 employees to the Cyrus-RW workforce as well as a large cylinder facility, and represented a key part of the company’s growth strategy. Furthermore, Bradford Cylinders offers

168 ENERGY,oil&gas

excellent synergy for the existing Cyrus-RW cylinder facility based in Briton Ferry. Key to the Bradford Cylinders acquisition was its name, the quality of its work and obvious skills of the workforce, as well as its long tradition of being one of the UK’s number one hydraulic engineering firms. Whilst market conditions have been hard on the company in recent years, Cyrus-RW’s aim with support from Bradford Council is to build up the company’s order book, recruit the right staff and invest in the business. Cyrus-RW Group has already spent in excess of £3 million in plant equipment in the last year so is well placed to strengthen Bradford Cylinders’ capability in this area. With over 50 years of engineering experience and innovation, the Cyrus-RW Group is equipped to deliver a one-stop solution to the demanding challenges faced by the modern engineering environment. From its headquarters in Cardiff, with further facilities within Briton Ferry, Bristol, Durham,


Glasgow, Aberdeen and the Middle East, the company is strategically placed to provide specialised electrical and mechanical engineering solutions across several critical applications. From its creation as Cyrus Engineering in 1994 with only 20 employees, to its amalgamation to the Cyrus-RW group in 2004, the predominant focus has been to serve the mechanical engineering and design markets. However, over the years, the company has expanded through a combination of organic growth and strategic acquisitions, which includes the purchase of transmission and gearbox specialist, Richardsons Westgarth (est.1830’s) during 2001 and Neath based, Taylor & Sons (est.1870’s) in 2009. Today the Cyrus-RW Group operates from five locations nationwide, employing some 120 dedicated members of staff. As the company has grown in size and expanded its market presence, it has delivered mechanical, polymeric and electrical engineering solutions to clients and applications within the offshore oil and gas; shipping; utilities, iron and steel; and aerospace industries. As a result of its many years of experience and extensive equipment portfolio, Cyrus-RW is able to serve a diverse spectrum of clients across several industry sectors. For example, it has supported a client within the currency printing industry by refurbishing a Lufkin Comolor Twin output gearbox which is used in the initial mixing of cotton fibre with a water solution in the first stages of paper production. By the end of the project

Cyrus-RW Group

the gearbox had been completely overhauled, re-set and tested at a Cyrus-RW facility prior to delivery back to site. Complementing its services to clients operating within unique applications such as currency printing, Cyrus-RW represents a leading solutions provider to customers within the energy, oil and gas sectors. For example, Cyrus has an extensive history supplying back deck pipe-lay components such as rubber & polyurethane tensioner track pads & coated rollers. Further, the company has worked with multiple blue chip clients to address gear units issues and has successfully completed multiple projects that include the inspection of gearbox units & associated transmissions items. Using strict procedures of failure analysis, inspection & reverse engineering, the company has been able to successfully overhaul and test the units whilst manufacturing and replacing the gearing and bearings where applicable. As an example, during one project, it was discovered that the main gear components were worn and damaged and would need to be replaced. OEM manufacturing drawings were not available and as such therefore, Cyrus-RW was required to reverse engineer and produce its own manufacturing drawings for approval, as all manufactured components relating to the project had to accurately interface with existing casing and equipment on site. The new parts were manufactured and assembled at Cyrus-RW workshops, while the final inspection of the gear unit on test was witnessed by the client’s engineers before the unit was signed off prior

Complementing its services to clients operating within unique applications such as currency printing, Cyrus-RW represents a leading solutions provider to customers within the energy, oil and gas sectors

ENERGY,oil&gas 169


Cyrus-RW Group

to shipment and installation at site. Since the successful installation of the package, the units have continued to accurately interface with the onsite equipment without the need for adjustment and remain fully operational. Consequently, downtime and ongoing maintenance costs have been substantially reduced. In addition, during 2015, Cyrus-RW again demonstrated itself to be a one-stop engineering solutions provider when it completed the final assembly and testing of a 23-tonne, standalone wind turbine. Following numerous design and proposal meetings over the course of the project,

170 ENERGY,oil&gas

an initial scope of work was established that included the assembly and testing of the main driveline assembly. Critical parameters required for the project were Cyrus-RW’s mechanical and electrical engineering expertise, lifting capability and lifting bay facilities encompassing sufficient height clearance. The project demanded significant multidiscipline expertise, while working to strict deadlines and adhering to the highest levels of quality and safety standards. Cyrus-RW worked alongside the client in establishing and completing a program of work, which included; machining, assembly, hydraulic fitting, routing pipe systems, extended design work and onsite rotational final testing. As the company continues to work towards its objective of doubling its turn over by 2017, it will seek to undertake further technically demanding projects that differentiate it as a leading provider of turnkey engineering services and through its passion and determination continue to deliver results for its clients.

Cyrus-RW again demonstrated itself to be a onestop engineering solutions provider when it completed the final assembly and testing of a 23-tonne, standalone wind turbine

Cyrus-RW Group

Services Mechanical, polymeric & electrical engineering solutions




Turnkey pump

Since beginning

operations as the Gebrüder NETZSCH Maschinenfabrik (NETZSCH Brothers Machine Works) in 1873, the NETZSCH Group today represents a family owned enterprise with some 3000 employees. The company was founded in Selb, Germany, where it is has remained headquartered until the present day. Over the subsequent 142 years, NETZSCH has grown to encompass 163 locations in approximately 28 countries on five continents. As the business has grown NETZSCH has divided its organisation into three distinct areas, comprised of Analyzing and Testing, Grinding and Dispersing and Pumps and Systems, which allow the company to provide highly targeted designs and solutions. “The three business units operate independently with the goal to offer the customer the best solution for his particular application,” explains Head of Business Field Oil & Gas Mid-/Downstream, Thomas Böhme. “NETZSCH pumps are made at our headquarters in Germany as well as at

our production sites in Brazil, China, India and the USA. Sales offices in many European countries, Africa and the United Arab Emirates, as well as in the Asian, Australian and the American markets allow us to sell pumps from locations that are close to our clients. Further to its strength within the oil and gas market, NETZSCH Pumps & Systems has established a global presence within the environmental and energy, chemical, pulp and paper, food and pharmaceutical industries.” For more than six decades, NETZSCH has manufactured positive displacement pumps worldwide, beginning in 1951 when the group acquired a Progressing Cavity Pump license to manufacture and distribute NEMO progressing cavity pumps (PCP) according to the Moineau pump system. The brand derives it identity from its inventor, Professor René Moineau, taking the first two letters of NETZSCH as well as the first two from the name Moineau to form NEMO®. Over the years, NETZSCH has continued to develop its product range and service offering in the field of pumps to address the needs of the oil and gas industry, starting to produce its own range of downhole PCP in 1975. Since 1979 for example, the company’s branch in Brazil ENERGY,oil&gas 171

produced multi-screw pumps exclusively for the Latin Market until 2015, when NETZSCH began to supply a complete family of two, three and four-screw pumps to clients on a global basis. “As many new oil and gas resources are being found in remote and extreme environments, the challenging pump applications within the oil and gas market require reliable solutions to secure our clients’ exploration and production processes,” Thomas explains. “The main advantages of the NETZSCH NEMO PCP encompass low shear pumping, solids handling, handling at low to high viscosity, low net positive suction head (NPSH) requirement, stable flow, capacity for frequent start/stop, application within a wide temperature range and zero gas lock.” As part of its on-going commitment to supplying the highest quality and most relevant pump solutions to clients within all industry sectors, NETZSCH conducts its own, in-house research and development operations. For example, in areas such as elastomer the company works from its in-house laboratory with selected material suppliers, with which it has developed relationships over many years. This allows NETZSCH to test and develop elastomer

172 ENERGY,oil&gas

blends that are optimised to meet the specific demands of its clients. “This applies in particular to the difficult operating conditions in oil production. For example, NETZSCH stators stand out for their long service life that results in a significant reduction in operating costs,” Thomas reveals. “Both for elastomer development as well as for optimal material selection the specific bore hole and fluid conditions have to be considered. NETZSCH pumps are always used as multiphase pumps, which means that gas-oil-water mixtures and various solids are conveyed simultaneously or alternately,” he adds. “Therefore we have developed special elastomer mixtures, for conveying these in changing and variable concentrations phases. Additional challenges to the material are the fluctuating and sometimes very high temperatures and the high differential pressure up to 300 bar between the suction and pressure side. Very aggressive gases (such as H2S and C02) or oils (with high aromatic content) can also be present.” With its dedicated efforts in the field of research and development, NETZSCH has introduced three new products at the time of writing over the course of 2015, comprised of a new NEMO PCP design, as well as a new TORNADO T2 pump variant and its range of NOTOS multi-screw pumps. “The new NEMO progressing cavity pump features the ‘FullService-in-Place’ concept (FSIP) which was


successfully introduced into the company during 2012 for the TORNADO rotary lobe pump and which stands for complete maintenance while the pump remains installed in the pipework. This means a noticeable reduction in service time and a shorter installation footprint for the comparably long progressing cavity pumps, which is especially relevant in wear-intensive applications in the environmental and process industries,” Thomas says. “The new smaller size of the full metal version of the TORNADO T2 pump is focusing on applications in the chemical and process industries in general. It has been requested by those customers who have been convinced by the larger models, which were developed mainly for applications in the environmental industries,” he continues. “And last but not least we have introduced the new family of NOTOS multi-screw pumps with two, three, and four screws, which offers the full range for various media in either lubricating or non-lubricating variations.” NETZSCH has provided positive displacement

pumps throughout a vast number of applications to clients across the globe for over six decades. Today it produces around 50,000 pumps a year that underline its technology and differentiates the business as a market-leader. A position that it has earned thanks to the quality of its pumps, spare parts and comprehensive services. “Our development and sales activities are focused along our core competences on trendsetting technologies and applications, to expand our market and technology leadership for the benefit of our customers. Hereby we don't see ourselves only as a developer and manufacturer, but more as your partner from project planning through case management to complete service concepts,” Thomas concludes. “At the moment we are focusing on market penetration with the newly launched products rather than introducing more new applications. Over the next three to five years we will subsequently also concentrate on enabling our new staff in recently set up new subsidiaries globally, employing a strategy focusing mainly on sustainability.”


As many new oil and gas resources are being found in remote and extreme environments, the challenging pump applications within the oil and gas market require reliable solutions to secure our clients’ exploration and production processes NETZSCH

Services Machinery and instrumentation manufacture

ENERGY,oil&gas 173



As a brand

Smit Lamnalco has been around since 2012 after the acquisition of Smit by Lamnalco a year earlier. With over 230 years combined experience in the provision of marine services, today’s company is a world leading supplier of towage and associated marine services to the offshore oil and gas industry. Employing over 3000 people across 30 countries, the company has a fleet of 225 vessels ranging from terminal and harbour tugs, offshore support vessels and AHTs, to utility craft and crew boats. As such, it has built up extensive experience in providing its services to oil and gas, LNG and SPM terminals, floating production vessels, harbour towage needs and mining logistics projects. Perhaps most key to Smit Lamnalco’s combined and long-established success is its committed set of values. Safety, reliability, integrity, teamwork and entrepreneurship are quoted as being the driving principles behind today’s organisation. Taking these values into account, the company’s vision is to become the leading provider of safe and cost effective, integrated midstream marine services. Demonstrating the company’s unprecedented capabilities, in July 2014 it successfully provided

174 ENERGY,oil&gas

towage support for the world’s largest HVDC (High Voltage Direct Current) platform transfer and float-over. Deploying five state-of-the-art escort tugs with a combined bollard pull power of 450 tonnes, Smit and Lamnalco supported the unberthing process, the 24 mile tow offshore from Drydocks World, Dubai, and the float-over on to Might Servant One, the heavy transport vessel. The 15,000 tonne HVDC, DolWin beta, stands 90 metres tall and possesses the processing power to deliver sufficient energy to light up a city the size of Frankfurt. Milestones continued to be reached in 2014 when in December, the company completed its acquisition of Pacific Basin Towage Australia (PBTA), part of the world leading dry bulk shipping company, Pacific Basin, to strengthen its footprint in the region. Building on the back of a strong locally focused business, Smit Lamnalco took over the entire harbour towage assets and activities and provided the extensive knowledge, capabilities and experience to allow the Australian business to compete on an international scale. Daan Koornneef, CEO of Smit Lamnalco, commented on the move saying: “We are excited by this acquisition of the second largest player in the country, which will enable


Smit Lamnalco

of construction and the tugs are performing well.” Significantly, the arrival of these vessels will enable the Smit Lamnalco and the port of Gladstone to eventually cope with an expected one LNG carrier every day for shipment. With operations in the Australian region ramping up successfully, the company is now looking ahead at deploying its robust service portfolio to other regions of the globe, with plans to expand its fleet further over the next two years. Of particular attention will be East Africa and Asia, and Smit Lamnalco will be looking into possible organic and acquisitonal opportunities to facilitate this. With the development of LNG terminals across the world, the oil and gas landscape is changing and with close awareness of these new demands, Smit Lamnalco has been able to grow and develop successfully. Combine this with its focused commitment to its core values and geographical expansion strategy, and the company’s future looks secure and fruitful.

With operations in the Australian region ramping up successfully, the company is now looking ahead at deploying its robust service portfolio to other regions of the globe Smit Lamnalco

Services Leading providers of safe and efficient towage and associated marine services to the oil and gas terminal industry

the expansion of our footprint into Australia. PBTA and Smit Lamnalco share the same safety, quality and customer-focused values that will ensure a good fit and smooth transition.” At the time, this acquisition brought the company’s total active ports up to eight with 29 vessels. Over the first half of 2015, Smit Lamnalco further extended its footprint in Australia by taking delivering of five Sanmar LNG proof tugs to serve three LNG export terminals in the port of Gladstone on Australia’s east coast. The five Bureau Veritas-classed tugs are 34 metres long, 14.5 metres wide, have a maximum draft of six metres and have FiFi 1 notation. Powered by a pair of Wärtsilä 8L26 diesel engines, each developing 2720kw at 1000rpm, the tugs are capable of 80-86 tonnes of bollard pull and are designed and built specially to assist the berthing and manoeuvring of LNG carriers. With this in mind, and adhering to the company’s core value of safety, the vessels are equipped with gas detectors and gas-tight dampers on all air inlets and outlets to ensure maximum crew safety. In addition, components such as winches, navigation lights, outside lights and emergency stop buttons are all explosion proof. This has been enhanced by extensive, all-weather, allscenario training programmes for all seafaring crew. Frederik Rutgers, General Manager for Smit Lamnalco at Gladstone commented: “We are delighted with these new terminal service vessels, are very impressed with the quality ENERGY,oil&gas 175

innovation Driving


was originally registered in Abu Dhabi back in 1993 but its oil and gas operations didn’t take off until 2012 when the company gained its commercial licence CN-1176631 to operate in the on and offshore industry. Around this time, CEO Rolv Flaaten was brought in to manage the company as it sought to represent proven high quality technology firms from across the globe in the rapidly developing Middle Eastern oil and gas market. With major names such as Saudi Aramco, Total, ADMA OPCO, Al Hosn Gas and Bunduq present on its client list, SAMCO targets the most innovative and proven technology companies from Northern Europe and Australia to represent. “It is very difficult for a small company like us to bring in commodities so we need to bring something that is much smarter,” says Rolv. “The companies we work with are brought into Abu Dhabi because they can benefit the operations going on here, not because they can make us a profit. It is because they are the best in their field and their technologies have been proven in the North Sea and other established sites.” Rolv himself is central to SAMCO’s success in the region because of his 16 years of residence in Abu Dhabi and long-standing relationships with

176 ENERGY,oil&gas

Norwegian companies. “At the time there were a number of Norwegian companies looking to come to the Middle East who said they would follow if I took over and opened up SAMCO. Today, our main strength is knowledge,” he comments. “I have the experience and understanding of what is needed in the industry and my partners that are supporting us also have their own expert knowledge. Therefore, we have a very good team.” Amongst its portfolio, one company that Rolv feels is doing particularly well in the Middle East is ScanWell, as it is picking up more and more work. Based in Norway, ScanWell provides equipment and services for reservoir, wellhead and process monitoring covering acoustic logging, wireless data acquisition and sampling. Experiencing similar success is HydraWell Intervention, which supplies innovative step change technologies focusing on P&A, cost optimisation and operational risk reduction, and Scottish company Rubberatkins, which supplies all SAMCO’s customers with bespoke rubber moulding applications. The most recent company to enter the SAMCO family is Coretrax, a specialist in wellbore clean up and abandonment services.


As part of the company’s $2 million investment to establish a fourth base in the Middle East, the company appointed SAMCO as its agent. Coretrax’s Global Business Development Director, John Fraser, commented on the partnership, saying: “Through our work in the Middle East we have experienced real growth internationally and we hope to maximise further opportunities by our appointment of SAMCO, who will act as a conduit for us in Abu Dhabi. We see SAMCO as a dynamic and forward thinking company, which aligns well with our team.” Innovative ideas and cutting-edge technology lay at the heart of SAMCO’s offering to the Middle Eastern market. The company TCO, for example, which is also based in Norway, designs, manufactures and installs unique glass barrier plugs and chemical systems, as well as specialising in the provision of tubing conveyed perforating equipment and services. Peak Well Systems Ltd is a globally successful company focusing on the design and manufacture of advanced downhole tools for well intervention. Another standout company is Sandaband Well Plugging AS, the globally exclusive suppliers of Sandaband, a unique non-consolidating, non-segregating, nonshrinking and non-fracturing well plugging material. Cutting edge materials are also key to Reactive Downhole Tools, which looks to utilise high performance swelling elastomers and self-energising high-pressure cup elements to create bespoke isolation solutions. SAMCO’s current representation is bolstered beyond these product and solution offerings by service providers TASK Geoscience & Fronterra, a geoscience consultancy, and Falcon Oilfield Services, which offers a broad range of services for all logging operations. With such companies behind it SAMCO is capable of offering solutions from packers, water waste treatment and downhole shut in tools to gauge hangers and well integrity equipment. “The future is here in the Middle East,” explains Rolv. “There are so many opportunities, and of course challenges, and everyday I am looking for new technologies and companies to implement into our portfolio so that we can provide the right and best solutions. The Middle East is currently full speed ahead but they do need better ways of doing things and this is why companies like SAMCO are challenged to find the best there is.” Considering this, the future for SAMCO looks

very positive. With its combination of pioneering offerings and unrivalled knowledge the company is well placed to make the most of an evergrowing market. “This region is very stable for the future of oil and gas and this is not going to stop,” highlights Rolv. With this in mind SAMCO offers a streamlined and well-integrated route to market for ambitious, innovative and well-proven companies looking to help develop the oil and gas industry in the Middle East. To facilitate this, and expand its own footprint further in the region, SAMCO is currently running a series of workshops to present its portfolio of companies to its clients.



Services Agency based in Abu Dhabi representing innovative European and Australian companies for the local oil and gas industry

ENERGY,oil&gas 177

quality Optimum

Although it was established a mere 15 years ago, Aveng Grinaker-LTA boasts a rich history that dates as far back as 1889, as Chris Botha, Operating Group Managing Director at Aveng Grinaker-LTA begins: “Aveng Grinaker’s legacy is built on more than just a proud project history. The company’s development since the days of founders James Thompson and Ole Grinaker has seen a maturation of values, a refinement of standards and the development of an integrated understanding of the many communities that have made our work possible.” Following a number of acquisitions, business

178 ENERGY,oil&gas

expansions and periods of significant success for both LTA and Grinaker over the years, the new millennium revealed the African continent as an emerging market that was attracting investment in infrastructure development. During this key point in both companies’ history, major conglomerate Aveng bought Grinaker’s major shareholders and went onto acquire Anglo American’s interest in LTA in 2000; an important step for Aveng’s goal of expanding its construction footprint in the developing world. With these acquisitions completed, Aveng Grinaker-LTA was established the same year. “Being part of Aveng boosts our competitive


Aveng Grinaker-LTA

In addition to infrastructure projects, the company also boasts long-term expertise in the commercial, retail and industrial sector, as well the power, mining and oil and gas industries

edge to work in synergy on various projects with our sister companies that specialise in steel, engineering, manufacturing, mining, concessions and public infrastructure,” says Chris. Today the multi-disciplinary construction and engineering organisation combines its African roots, and a proud South African heritage that dates back 126 years, to deliver landmark projects to its broad customer base. With an unwavering commitment to world-class safety and quality, the company’s 7000 employees maintain its long-term values of passion, commitment and a sense of responsibility to further exceed expectations in all projects

undertaken. “Our expertise in building, civil engineering, roads, earthworks, concrete, ground engineering, mechanical and electrical is delivered through focused business units acting in synergy,” confirms Chris. “Every aspect of Aveng Grinaker-LTA’s business is shaped by our core values of safety, accountability, integrity, client satisfaction and employee fulfillment.” This commitment to optimum quality in all areas of operations has served Aveng GrinakerLTA well, with the company’s joint venture with Keren Kula Construction being shortlisted for the British Construction Industry Awards (BCIA) 2015. Completed in 2014, the project involved ENERGY,oil&gas 179


building the Department of Environmental Affairs’ Headquarters; a notable project due to the fact it is only the third six star design rated green building in South Africa and also the first government-owned green building. Designed to allow for a significant amount of natural light, open space and external views, while also providing lower wastage and easier maintenance through repetitive forms, the building’s environmental efficiency is further enhanced due to it having the largest rooftop photovoltaic installation. Moreover, the building has solar thermal systems for hot water.

In addition to infrastructure projects, the company also boasts long-term expertise in the commercial, retail and industrial sector, as well

Aveng Grinaker-LTA

the power, mining and oil and gas industries. “Aveng Grinaker-LTA can provide a full range of services for the onshore oil and gas market, from construction services, to maintenance and shutdown services,” highlights Chris. “In construction, Aveng Grinaker-LTA has the full SCMEIP construction spectrum to provide to clients, which entails civil construction, structural fabrication and erection; mechanical installation, piping fabrication and installation and electrical and instrumentation installation. Our major clients in the oil and gas industry include SAPREF in Durban, Engen in Durban, Chevron in Cape Town, Natref in Vandebijlpark, Sasol in Secunda and Sasolburg, and PetroSA in Mossel Bay.” To meet the needs of its broad customer base, the company has a number of fabrication facilities throughout South Africa; for example, Aveng Steel Fabrication, which is situated in Vanderbijlpark, is one of the largest steel fabrication facilities in the country. Alongside this facility, the company has pipe fabrication facilities in Vanderbijlpark, Secunda, Durban and Cape Town, as well as an electrical and instrumentation panel facility in Vanderbijlpark. ENERGY,oil&gas 181

Head Office 17-19 Robin Street, Elspark, Germiston Tel: +27 (0) 11 916 1737 Fax: +27 (0) 11 916 2905 Toll Free: +27 (0) 800 745 745

Phakisa Technical Services (Pty) Ltd is the ďŹ rst and the only TES to receive the MEIBC CertiďŹ cate of Compliance. The Phakisa Group is a Level II Empowerdex Rated enterprise and a value adding supplier. The group stable of Phakisa Holdings is primarily comprised of the following trading entities: Phakisa Corporate Services (Pty) Ltd - As the all encompassing business solutions focused mainly with the JSE-listed user enterprises, medium enterprises and a fledgling SMME component in a variety of industries.

Phakisa Freight Management Services (Pty) Ltd - As the strategically focussed road freight, contract logistics, warehousing, sea and air-freight forwarding and clearance enabling entity.

Phakisa Technical Services (Pty) Ltd - As an entity dealing within the arena of Civil, Engineering, Mechanical and Construction industries, Contract Management, Metals & Engineering workshop services, as well as related functions in this regard.

182 ENERGY,oil&gas


“Aveng Grinaker-LTA also has specialised teams that can conduct the maintenance and shutdowns on these plants and refineries,” adds Chris. “At the moment Aveng GrinakerLTA executes maintenance and shutdowns on most of the coastal refineries and Sasol plants (Sasolburg and Secunda).” The company also has offices that serve the oil and gas market in Johannesburg, Secunda, Sasolburg, Vanderbijlpark, Durban, Cape Town and Maputo in Mozambique. Despite the oil and gas industry currently facing challenges due to the low oil price, there are still a number of projects on the horizon, such as the East Africa LNG projects and certain storage projects in South Africa to keep Aveng Grinaker-LTA’s highly competent employees busy. Alongside its involvement in major projects, the company also strives to ensure that its operations benefit as many people as possible, while also providing a sustainable legacy for future generations. To make this goal a

Aveng Grinaker-LTA

possibility, Aveng has committed to spend one per cent of its annual earnings on corporate social investment. So far significant funds have been committed to the National Business Initiative (NBI), an organisation that has been created to enhance a businesses’ contribution to South Africa’s success. “In the oil and gas industry, we have established a 55 bay welding school in Vanderbijlpark and are also currently in partnership with Sasol to train approximately 40 welders. These students also get placed on our construction projects where they can gain practical experience,” says Chris. Benefiting from a diverse customer base and a strong history of successful project outcomes, the future looks positive for Aveng Grinaker-LTA as it maintains its long-term values to deliver optimum quality. “Our key objective is to ultimately position the company for growth. On this journey we will continue to pursue opportunities in both South Africa as well as selected opportunities in Africa,” concludes Chris.

Aveng Grinaker-LTA can provide a full range of services for the onshore oil and gas market, from construction services, to maintenance and shutdown services

Aveng Grinaker-LTA

Services Multi-disciplinary construction and engineering group

ENERGY,oil&gas 183


Kongsberg Maritime

picture The full

Operating as the

The company delivers systems for positioning, navigation and automation to offshore installations and vessels, as well as products and systems for subsea survey and construction

UK division of Kongsberg Maritime, Kongsberg Maritime Ltd is responsible for sales, customer support, training and equipment rental within the UK and Ireland. It is a long respected partner in the UK offshore sector, having had a presence in Aberdeen since the mid 1970’s, and currently employs over 120 employees in the city. The company delivers systems for positioning, navigation and automation to offshore installations and vessels, as well as products and systems for subsea survey and construction. These systems are routinely deployed to support customers operating within the offshore, subsea, merchant marine, renewables and naval markets. A key focus for Kongsberg Maritime Ltd at present is the implementation of integrated control and safety systems (ICSS) for offshore oil and gas production facilities, as referenced by its success in securing several major projects in the UK sector with Statoil and BWO respectively. “Kongsberg Maritime aims to provide customers with ‘The Full Picture’ in order to maximise their operations. This means our products are designed for seamless

integration to best serve the whole offshore installation or vessel, including automation systems, dynamic positioning, and navigation,” explains Business Manager of Offshore Production, David Wilson. “In this respect, the ICSS is based on a flexible hardware and software design solution, such that individual parts can run as stand-alone systems or can be offered as part of an integrated system that communicates with other Kongsberg or third-party systems, ultimately ensuring stable and optimal operations/production of our clients assets.” The philosophy behind the development of Kongsberg’s ICSS solution is one of openness and standardisation, allowing information to be collected and displayed clearly to all users. A standardised network allows the free flow of information from sub-systems, with system-wide information available for monitoring, operating, alarming and trending on multi-functional operator workstations. This approach to control systems extends across a wide spectrum of standard, specific or bespoke functions and integrates: process and utility controls; ENERGY,oil&gas 185

The power of simplicity Compact, wall-mounted and powerful – the Flatpack S Wallbox DC power supply system is here The Flatpack S Wallbox makes it easy to feed a variety of applications on ships or other complex sites. Wherever power is in high demand, but space is limited, Flatpack S is the simple and powerful solution.

• AC or DC input 85-300 VAC/DC • DNV 2.4 / EMC cl. B • SIL 3 protection / high efficiency • Modular architecture • Comprehensive monitoring • Simple installation and servicing e-mail:


Kongsberg Maritime


mechanical and machinery packages; and power management, subsea, cargo and ballast control systems, into a single common HMI package. Additionally, Kongsberg’s integrated system utilises the same remote control unit (RCU) and remote I/O hardware to control the majority of applications, therefore minimising the quantity and type of modules required to automate any facility from fixed platforms to FPSOs. This approach extends throughout the life of the project and the new generation of Kongsberg control systems will enable ‘plug and play’ technology between legacy Kongsberg products. “The main advantage of this integrated system is simplified operations because the crew are all working with common HMI, data formats, applications and interfaces,” David says. “The spares requirement is also reduced as you will have common parts across the different types of systems. Likewise, training is more efficient as having a uniform HMI interface simplifies the process for crew.” The contract awarded to Kongsberg Maritime by Statoil relates to operations within the Mariner Field, located on the UK continental shelf (UKCS). The contract calls for the supply of integrated automation, safety, information and positioning systems for the Mariner field PDQ, FSU and Jack-Up Drilling Rig. The role of Kongsberg’s Aberdeen (Westhill) office will be to provide engineering services during the project delivery phase, as well as taking full responsibility for supporting the

installation when it goes into production. “This is a model we have successfully used in other offshore production installations such as the Bluewater Aoka Mizu FPSO. Involvement of UK based engineers through the whole project engineering, installation and commissioning phases are essential to give them deep knowledge and familiarisation not only with the ICSS, but also with the client procedures and key personnel, to facilitate smooth handover to MMO (Maintenance, Modifications and Operations) phase,” David explains. “Kongsberg

ISIC A/S is a leading manufacturer of ruggedised computer and monitor solutions designed for demanding environments. The main markets for ISIC A/S include marine, defense and industry. ISIC A/S is a significant supplier to Kongsberg Maritime, and through the years a strong business relationship has been built for mutual benefit. By sharing know-how and experiences, the two companies enjoy a trusting relationship with focus on developing innovative solutions and delivering beyond expectations on all parameters. ISIC A/S operates out of Denmark and is a part of Lagercrantz Group AB, registered at the Swedish stock exchange.

ENERGY,oil&gas 187

188 ENERGY,oil&gas


Maritime has built up a solid reputation as a leading supplier of integrated automation systems in the North Sea with installations such as the Statoil Kristin, BP Skarv and Marathon Alvheim operating in the Norwegian continental shelf and Bluewater Aoka Mizu, Bluewater Haewene Brim and BWO Athena operating in the UKCS.” Kongsberg Maritime was also recently commissioned to provide full ICSS, E-house and electrical systems for BW Offshore’s Catcher FPSO. The vessel, to be deployed to Premier Oil, Cairn Energy and MOL’s Catcher field in the North Sea, will produce 60,000 barrels per day, with the capacity to store up to 650,000 barrels. During the project Kongsberg Maritime will supply a K-Chief 700 automation system for utility and topsides process control, fire and gas detection, Process Shut Down (PSD) and Emergency Shut Down (ESD) all of which are seamlessly integrated on a common hardware platform. “This project demonstrates Kongsberg Maritime’s ability to act as a single source contractor inclusive of a complete EIT package either on an EPC or EPCI basis,” David says. During April 2015 it was announced that Kongsberg Maritime had signed a collaboration agreement with ABT Oil and Gas (ABTOG) that will see Kongsberg Maritime join The Marginal Field Delivery Consortium, a collaboration of oil and gas specialists dedicated to developing hydrocarbon resources around the world which cannot be economically recovered using conventional methods. Through its members, The Consortium offers the technology and services required to deliver marginal oil and gas projects from project identification and concept selection through to operation and decommissioning. “As part of a two-stage proof of concept, Kongsberg aims to prove that its existing ICSS solutions can be used to

Kongsberg Maritime

design and implement Normally Unattended Installations (NUIs) in future fields,” David comments. “The proof of concept will deliver considerable economic cost savings, making the development of marginal fields a significant and viable proposition. This project highlights the potential that Kongsberg’s technology offers.” Kongsberg Maritime is able to deliver innovative, reliable and holistic solutions for maximising performance in extreme conditions. The company benefits from the strength and support of the wider Kongsberg group to provide market-leading solutions to clients globally when and where they are required. “I believe that it is the strength of our global organisation, delivered locally, that provides the real added value for our customers,” David comments. “The key to our success is communicating with our clients and understanding their business, inspiring them with innovative products and solutions, and then providing them with quality support at a local level, wherever they may be operating.” Throughout the remainder of 2015 and beyond Kongsberg Maritime Ltd will focus on continuing the expansion and development of its Aberdeen based support capability for ICSS and other solutions for offshore production facilities. It will also pursue several exciting development opportunities within the subsea monitoring and subsea construction segments. Despite the current lull in activity within the oil and gas market resulting from the low price of oil, Kongsberg Maritime is well placed to weather the present market environment. “The offshore market in general is currently in a period with considerably reduced activity, however Kongsberg Maritime’s diverse product portfolio and record-high order reserve, provides a good foundation for managing the downturn and preparing for market recovery through the next three to five years,” David concludes.

Kongsberg Maritime has built up a solid reputation as a leading supplier of integrated automation systems in the North Sea with installations such as the Statoil Kristin, BP Skarv and Marathon Alvheim operating in the Norwegian continental shelf and Bluewater Aoka Mizu, Bluewater Haewene Brim and BWO Athena operating in the UKCS

Kongsberg Maritime Ltd

Services Integrated control and safety systems

ENERGY,oil&gas 189

anywhere Subsea data

With roots dating back

to the 1920s and the establishment of Wimpey Laboratories, Fugro Global Environmental and Ocean Sciences (GEOS) has evolved from a combined venture between Wimpey and the Fugro Group. Fugro GEOS was itself first established in 1994 and became a whollyowned subsidiary of the Fugro Group during 1996. Today Fugro GEOS represents a global leader in the provision of meteorological and oceanographic (metocean) services for offshore and coastal engineering applications. Its clients are able to benefit from the talents, expertise and consultancy skills of 200 dedicated members of staff comprising experienced oceanographers, meteorologists, engineers and marine environmental scientists. These are further supported by fully qualified engineering, workshop, administration, development and information technology staff, who are able to meet the needs of the company’s clients from its global network of offices within Australia, Brazil, Malaysia, Mexico, Norway Singapore, UAE, the UK and the US. Commenting on the focus and competencies of the business, Global R&D Manager Mark Calverley says: “Measurement services have always been at the core of our business offerings. We have invested in sensors and equipment to

190 ENERGY,oil&gas

create the largest commercial equipment pool in the industry, and this allows us to react to our clients’ needs in a timely fashion. Clients use the measurements of environmental conditions, such as waves, currents and tides, to feed into offshore design and operational planning. We undertake the quality control of the measured data in-house and provide reports that are accessible to nonspecialists, as well as more detailed analysis for metocean engineers. We also analyse data to support engineering design activities from a combination of measured and modelled data, including our own regional and local models.” The portfolio of services offered by Fugro GEOS includes the design, engineering, commissioning and maintenance of permanent, integrated offshore monitoring systems for major oil companies. This involves the integration of metocean sensors with other sensors and instrumentation in systems that provide realtime data display as well as data storage for additional analysis. The data can be used to improve the structural integrity of design particularly important in understanding the level of fatigue that infrastructure has actually experienced when compared against the design. These capabilities combined with its ability to measure structural responses through its online monitoring system allow Fugro GEOS to offer a holistic service, with which it is able to respond to its clients’ concerns regarding wellhead fatigue. This led to the development of its ‘DeepData’ solution, which has been successfully sold to several oil majors. DeepData is an extension to existing response measurements that allow engineers to understand the actual structural behaviour compared against the engineering models used to predict fatigue, allowing safer, more reliable engineering and operation. Indeed further improvement of engineering operations is vital within the offshore oil and gas industry and as such, Fugro GEOS established a dedicated R&D team during January 2015 that has already engaged with a number of on-going projects. The systems developed by Fugro GEOS have been proven in numerous projects around the world, including wellhead monitoring operations on behalf of BP in the Gulf of Mexico. Completion of the project was announced during June 2015 following a year-long project for BP Americas Inc, measuring BOP stack motions and calculating wellhead fatigue. The drilling campaign was conducted throughout 2014 at a water depth of 6000ft, utilising the


Fugro Wellhead and Riser Instrumentation Service (WARIS). The client was provided with access to real-time subsea data to aid the decision making process throughout the project by transmission of motion spectra from the BOP stack and riser using standard hydroacoustic modems and the automatic processing of this data with topside environmental data to show levels of motion and fatigue and their correlation with sea states and ocean currents. The main component within the system was the inclusion of DeepData subsea motion monitoring pods. These were deployed to positions on the BOP stack and riser via remotely operated vehicle (ROV) and were integrated with hydroacoustic modems with a battery capacity for at least one year of deployment. An additional topside system was supplied that included vessel motion monitoring systems and links to existing environmental monitoring systems. This was supported by the use of Fugro’s onshore data delivery system to plot and display all of the processed data from

the WARIS system. This allowed data to be accessed and utilised by BP engineers anywhere in the world. Commenting on the project, Stuart Killbourn, Principal Engineer at Fugro said: “This was a project with challenging timescales and some demanding engineering. By working closely with BP and with Fugro staff in our Houston office, we managed to create success for both companies.” Throughout all of its projects Fugro GEOS is committed to delivering the highest levels of quality, safety and service. It therefore ensures all of its services and systems comply with the requirements of its customers and relevant industry standards. Its quality management system is an integrated risk-based management system, which is accredited to OHSAS 18001 (safety); ISO 9001 (Quality) and ISO 14001 (Environment) standards. By delivering advanced and effective monitoring systems of the highest standards, Fugro GEOS is set to remain a vital force within the offshore oil and gas market and beyond for years to come.

Fugro GEOS

Today Fugro GEOS represents a global leader in the provision of meteorological and oceanographic (metocean) services for offshore and coastal engineering applications

Fugro GEOS

Services Meteorological and oceanographic services

ENERGY,oil&gas 191

A lasting


Operating as part of the Crummock group of companies, Crummock Oil and Gas was incorporated in 2001 and quickly established itself as a trusted partner in asset protection and life extension solutions. The company began working in West Africa, providing refurbishment services to offshore accommodation modules and public living areas on Floating Production Storage and Offloading (FPSO) vessels and platforms in Angola and Equatorial Guinea. More recently during 2014, following several years of successful operation, Crummock has established a new venture in Nigeria. “The business has steadily grown and in 2014 Crummock Oil and Gas Nigeria Limited was incorporated with Nigerian partners to address the need for our services in the Nigerian oil and gas market,” reveals Director, Alex Jeffrey. “While the Nigerian company is currently in its infancy, Crummock Oil and Gas employs 22 people, plus subcontractors, however this number will increase as the business in Nigeria takes off.” The services provided by Crummock help to ensure the health and safety of the crew as well as the assets themselves and maintain crew morale. Presently the company divides its operations into three main areas, comprised of potable water solutions, living quarter

192 ENERGY,oil&gas

refurbishments and security stations. For example, the portable water used in FPSO and offshore platforms is chlorinated to reduce bacterial growth. When used in traditional metal pipes, this can cause a side effect of severe corrosion leading to leaks, reduced flow and water discoloration. Crummock provides the solution to this problem by replacing pipes and upgrading water treatment facilities to ensure the flow of healthy drinking and bathing water. Furthermore the company is able to assist in a full spectrum of living quarter refurbishments through services including the design, manufacture and installation of galleys, the replacement of toilet and shower facilities, as well as the replacement and maintenance of flooring and wall panels. Thirdly Crummock is able to include security stations that include threat detection, access prevention and the design, building and installation of certified bulletproof doors, windows and safe areas/ citadels. With the increasing threat of pirate and terrorist activity, these total security solutions create a safe area for crew and visiting staff to escape to. Commenting on Crummock’s commitment to delivering turnkey reliable solutions, Alex says: “All works carried out by the company encompass elements of survey, design and fabrication and core to our services is


ensuring that our clients’ primary requirements are met to safety, quality, schedule and budget restraints as required. We also work with a team of structural engineers from Fairhurst and mechanical and electrical engineers from RSP Consulting Engineers.” Since the company was founded Crummock Oil and Gas has primarily worked in West Africa for ExxonMobil in Equatorial Guinea and Angola, however it has also completed works for Noble Energy, Hess, FTF, Cameron and WorleyParsons. During the course of its history, these projects have established Crummock as a business with a proven track record in extending the operational life of offshore oil and gas assets. Commenting on the company’s success in this area, Alex says: “The vessels that Crummock works on are normally stationed offshore for up to 15 years. Rarely do they leave their site during this time and with up to 150 crew, the accommodation ages, wears and things break. To avoid the vessel being taken into port for repairs, Crummock sends men and materials offshore to undertake our works. The challenges

Crummock Oil and Gas

Although the oil and gas sector presently faces the challenges of a low oil price and the resulting slowdown of new projects, Crummock remains confident for the years ahead. “The whole of the energy sector is facing challenging times due to the low price of oil and within the accommodation refurbishment field, we expect markets to be more competitive. However we are confident that we can maintain and increase our market share particularly in Equatorial Guinea and Nigeria. We can help operators to use their assets for longer without compromising health, safety and the wellbeing of their crews, so presently the outlook is tough but looking positive,” Alex says “Over the coming 12 months the team will be securing and preparing for a major project in Equatorial Guinea and securing business in Nigeria. We are also looking to extend our services to Angola. Longer term the vision is to deliver our first class services to the oil majors throughout West Africa and the Middle East with a marketing drive to win work on the numerous ageing vessels currently in service,” he concludes.

Presently the company divides its operations into three main areas, comprised of potable water solutions, living quarter refurbishments and security stations

Crummock Oil and Gas Ltd

Services Asset protection and life extension

that we have to overcome are getting men and materials offshore, refurbishing whilst the vessel is continuing its work and with minimal disruption to normal vessel operations and impact on the crew. The result of successfully meeting these challenges is that vessel operators can keep their asset on station for longer.” Throughout all of its operations Crummock provides services using its own multi-skilled staff and trades people that each undertake two to three different trades, which saves valuable offshore bed space. By using in-house staff and through the delivery of up-to-date and innovative solutions, the company can ensure the quality of its workmanship. Furthermore it uses leading-edge materials and partners to bring cost effective solutions and can boast a faultless safety record, without a single downtime incident since the commencement of trading. ENERGY,oil&gas 193

excellence Creating

With a history dating back

Below Paul Drennan-Durose, Managing Director, Poole Process Equipment

over more than four decades, Poole Process Equipment has a proven reputation as a leader in the design, manufacture and renovation of shell and tube heat exchangers, air-cooled heat exchangers and pressure vessels for oil and gas, energy and process industries globally. The company is based in the UK coastal town of Poole and with further administration, HR, IT and treasury functions based nearby in Southampton. However the company services clients all across the UK and Europe. Core to the company’s strategy is its dedication to remaining a market-leader and supplier of choice, through the delivery of the highest levels of quality and service. “Our strategy is called our 2020 vision. We promote and create continuous improvement, which generates real value and upper quartile service for our clients – safely

194 ENERGY,oil&gas

and exchanging and profitably,” explains Managing Director, Paul Drennan-Durose. “Our aim is to be leaders in our chosen sectors and be recognised as a supplier of choice. With over 40 per cent of the company’s current revenues stemming from new additional clients its clear that clients have an appetite for our service, our passion, the way we communicate and our delivery.” Poole Process Equipment’s expertise and competences cover a comprehensive range of applications relating to air-cooled heat exchangers, shell and tube heat exchangers and pressure vessels. Project Engineer Ivars Millars beams with pride when he says “that we are THE one stop shop for clients for repair, re-tube and renovation operations as well as new build & replacement. Our team really do excel.” Within the field or air-cooled heat exchangers for example, Poole Process Equipment is able


to design and manufacture air-cooled heat exchangers that range from the most complex complete package applications to a single replacement unit or bundles. The company offers complete solutions relating to air-cooled heat exchangers that are fully ISO 9001 approved and delivered on a one-stop-shop basis, which are subject to strict quality management systems including inspection, non-destructive testing (NDT) and test and control systems. Services in this area include thermal design using the latest software, mechanical design using the PV Elite design software, as well as producing technical drawing and modelling. The company’s design services are supported by strong manufacturing capabilities including in-house fabrication, machining, drilling and assembly capabilities that are further supported by dedicated pressure testing and installation services. Finally to assist clients, Poole Process Systems is able to provide leading edge contract and project management and communication solutions. These services are typically applied in sectors including refineries and petrochemical facilities, power generation and product and process manufacturing. For example within the field

Poole Process Equipment

of petrochemicals and refineries, Poole Process Equipment has previously been contracted to undertake the complete design, manufacture and supply of eight air-cooled exchangers simultaneously for critical and dangerous hydrofluoric services. The project was awarded by a major petrochemical organisation following a full tender and audit process. The reputation of Poole Process Equipment as a reliable and credible partner, coupled with a track record of build success for these kinds of units in aggressive services, generated confidence with the client in awarding this project. The units were completed in full, in close co-operation with the client and its inspection body. Furthermore the exchangers fully met the service demands that they were designed for, which ultimately led to further project awards from the client. The company’s products are similarly applied in a diverse spectrum of industries, such as power generation. For example, Poole Process Systems recently came to the assistance of a power sector client after it suffered from an unexpected equipment failure relating to two shell & tube heat exchangers. The units were 42,000 kilos each and were 15 metres long. In a project which was completed within

The company’s design services are supported by strong manufacturing capabilities including in-house fabrication, machining, drilling and assembly capabilities that are further supported by dedicated pressure testing and installation services

ENERGY,oil&gas 195


Poole Process Equipment

21 days Poole Process Equipment worked with the client’s engineering team and operated through the night to develop and implement an engineering plan that gave the plant a way to move forward. Managing Director Paul Drennan-Durose explained that “our solution of using specialised cutting equipment at our facility and de-tubing and re-tubing the unit before welding it back together and completing all tests, allowed the client to plan effectively, without causing major long term impact to their operation. Our strong supply chain relationships enabled the sourcing of materials outside of normal hours and the expedition of these to the company’s facility. The quick action of our whole team and the quality of its performance resulted in a reduced outage time and cost for the client as well as the removal of organisational anxiety for the plant and its end clients.” Throughout the remainder of 2015 and beyond, Poole Process Equipment will continue to evolve and expand intelligently, while further creating and exchanging excellence. By stabilising its strong position in existing marketplaces, while utilising its evolving portfolio of services, Poole Process Equipment is developing in new sectors and territories. Paul is proud to tell us that “our efforts and honest credibility have seen 40 per cent of revenues in the current year stem from new clients. It’s demonstrated that there is an appetite for our one stop shop capabilities and clients are genuinely delighted with the process and product we deliver.” Going forwards, the business and its executive team will promote and continually strive to meet the highest standards and expectations. As such the company cultivates and implements continuous improvement,

196 ENERGY,oil&gas

which generates real value and premier levels of quality, safety and profitability. Throughout the business, Poole Process Equipment shares an embodied state of mind and behaviour, which is focused on getting the detail right and raising standards and expectations. The company would welcome hearing from more clients and demonstrating its capability.

Poole Process Equipment Ltd

Services Shell and tube exchangers, air cooled heat exchangers and pressure vessels

Realize Peace Of Mind

When you choose a DRIL-QUIP Wellhead System Setting the standards for safe, reliable and fully validated subsea wellhead systems enables DRIL-QUIP to deliver peace of mind. We are committed to providing the most dependable subsea wellheads in the industry. The company utilizes technologically advanced design practices consistent with industry standards for design verification and system level analysis. We have taken the process one step further − our design integrity check includes physical system validation testing in accordance with API Technical Report 1PER15K-1 recommendations. Our subsea wellhead systems are compliant to the latest editions of API 17D and API 6A (PR2). DRIL-QUIP’S BigBore™ II-H subsea wellhead casing hanger and seal arrangement is now qualified to API 6A Appendix F Group 4 dynamic test requirements. The knowledge obtained through this process enabled us to develop the next generation 35-inch mandrel wellhead system, suitable for HPHT applications. This wellhead system, with a new and highly engineered wellhead profile, provides sufficient structural capacity and fatigue resistance to meet industry needs for future decades of drilling and production. Our Quality Management System utilizes Advanced Product Quality Planning (APQP) methodology to ensure design and process tasks produce reliable, quality wellhead components each and every time. Come see us at the SPE Offshore Europe Conference & Exhibition, booth 5C20 in Aberdeen, Scotland – September 8 - 11 setting industry standards


Validation testing of a subsea wellhead system in DRIL-QUIP’S horizontal test machine

The production of LSAW pipes for the offshore oil and gas industry is the traditional strength of EEW. With more than 75 years of experience in the steel branch, we are able to fulfill our customers’ highest requirements. Apart from standard steel grades used in conventional jacket constructions, the fabrication of high-strength steels for racks and chords for jack-up rigs or low-temperature steels for the use in arctic environments is our daily business. As a special service for our customers in the construction branch, we offer our Point-to-Point Construction Service. This service involves the prefabrication of ready to assemble piping components and saves both, time and money.

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 Sales Director Joe Woolsgrove

Energy, Oil & Gas issue 125 October 2015  

The latest edition of Energy, Oil & Gas

Energy, Oil & Gas issue 125 October 2015  

The latest edition of Energy, Oil & Gas