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SUBSEA UK NEWS THE MAGAZINE FROM SUBSEA UK WWW.SUBSEAUK.COM JUNE 2019

GRABBING THE OPPORTUNITY IN THIS ISSUE UK Expertise Heads to Brazil for Showcase Market Intelligence Report from Subsea Intel UK Export Finance Celebrates 100 Years Subsea News and Events from Around the World

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GROWTH FOREWORD / PROJECTS

Welcome to Subsea UK News

Subsea UK

Across the oil and gas supply chain, both in the UK and internationally, we are seeing a tangible increase in business with the UK slightly ahead of the curve in terms of investment and development. With this new-found optimism in our sector comes a welcome upturn in opportunities in new regions for companies to grow both at home and globally. It’s timely then that this edition of our newsletter centres around global opportunities. Visitors from the US, Brazil, Azerbaijan, Iran, Mexico, China, Japan and Africa were among the 6,500 people who attended this year’s Neil Gordon, Chief Subsea Expo. This underlines the interest which exists globally Executive, Subsea UK to access the UK’s subsea sector’s vast range of knowledge and expertise. In turn, the number of companies participating in the Department of International Trade’s (DIT) Trade Day at the show highlighted our sector’s appetite to respond to and capitalise on international opportunities. Fostering relationships with governments, industry bodies and relevant agencies in global markets remains a priority for Subsea UK. Through these high level relationships, MOUs and partnerships, we can, in turn, facilitate opportunities for our members. This month (June) we will run our UK and Brazil: Partners in Energy trade mission for the seventh year. Organised in partnership with DIT, the outward mission will again provide a platform to showcase UK capabilities relevant to the Brazilian market, both in the areas of new developments and in decommissioning. This growing oil and gas market presents a vast array of opportunities for companies who can help meet some of the key challenges such as the need for innovation in data acquisition, inspection of flexible pipelines and submarine intervention. Brazil is also a gateway for business to other Latin American countries and is therefore an attractive prospect for firms looking to expand their global reach. In the same month, a Subsea UK delegation will travel to Kuala Lumpur for Oil & Gas Asia exhibition, where member companies will have the opportunity to present on pressing industry topics to an international audience. With more than 400 active offshore fields in South-east Asia and further field development ongoing, this region’s potential is becoming an increasingly lucrative market for subsea firms. The aging infrastructure and associated challenges in the North Sea are mirrored in this region and, as a result, our skills, expertise and knowledge are in high demand. As things continue to pick up in the North Sea, following the painful and protracted downturn, there will be a temptation to focus attention on business closer to home. Ignoring the potential of the increase in activity internationally is a potential threat to your long-term sustainability. It does take time and effort but Subsea UK, along with partners such as SDI and DIT, are here to help pave the way and make your international journey more successful and profitable.

Neil Gordon Chief Executive, Subsea UK

Subscribe to the electronic version of the Subsea UK News magazine If you’d like to receive this magazine in its digital form, as well as keep up to date with the latest news, events and market intelligence from Subsea UK, subscribe for free at: www.subseauk.com/9418/general-consent-form or scan the QR code

Subsea UK News, produced by Subsea UK, reaches over 28,000 subsea-affiliated subscribers each issue. Subsea UK is the champion for the UK subsea industry. We act for the entire supply chain bringing together operators, contractors, suppliers and people in the industry. The UK subsea industry leads the world in experience, innovation and technology. The UK will maintain a leading technological edge by sustaining and expanding this important business sector. Whether you are a company looking to join and reap the benefits or an individual looking to develop your career in the subsea industry, explore our website or contact us to find out how Subsea UK can help you, your business and your industry. Find out more at www.subseauk.com

New Members Aleron Subsea Ltd

iOcean Solutions

AMSIS Ltd Kawasaki Subsea (UK) Ltd atg UV Technology

Malin Marine

Caley Ocean Systems

Montrose Port Authority

Chrysaor Ltd

Neptune Energy (Neptune E&P UK Ltd)

ClampOn AS Comex Innovation Flint Subsea Ltd Fort William UTC Ltd Frontier Technical Ltd IMES International

PanGeo Subsea Scotland Ltd ROVHUB Ltd Seabed Solutions Umbilicals International

To view the full Subsea UK members list, visit the Subsea UK Directory at www.subseauk.com

Forthcoming Events June 2019 Breakfast Briefing with Neptune Energy 14 June London, UK

August 2019 Subsea UK Golf Day – Challenge Cup 23 August Peterculter, UK

Oil & Gas Asia 18 – 20 June Kuala Lumpur, Malaysia

September 2019 Subsea UK Networking Dinner during Offshore Europe 4 September Aberdeen, UK

July 2019 Subsea Supply Chain Capability Showcase (South of England) 4 July Fareham, UK Law at Work: Equality and Diversity / Mental Health 10 July Aberdeen, UK

Underwater Robotics 18 September Aberdeen, UK February 2020 Subsea Expo 2020 11 – 13 February Aberdeen, UK

These are some of Subsea UK’s events but please visit our website for full details of all forthcoming events www.subseauk.com

Subsea UK News is a magazine which invites contributions from the subsea industry, and is published by Subsea UK. The views and opinions expressed herein are not those of Subsea UK News or its owner, Subsea UK. The opinions and views expressed herein are those solely of individual contributors, and do not reflect in any way those of Subsea UK News, Subsea UK or its staff. All materials published in this magazine are published with the consent and authority of the authors. Subsea UK News makes no representations about the suitability of any information and/or services published for any purpose. Subsea UK News is not responsible for, and expressly disclaims, all liability for, any indirect, special, incidental or consequential damages (including damages for loss of business, loss of profits, litigation, or the like) of any kind arising out of use, reference to, or reliance on any information published within this magazine. Although every effort is made to ensure the accuracy of information in Subsea UK News, no guarantee is given that the information published is correct, complete, reliable or current, and its publication in this magazine does not constitute an endorsement by Subsea UK News. To contact Subsea UK News, please email editor Dan Fearon at magazine@subseauk.com

Subsea UK News | June 2019

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BUSINESS

Well-Safe Solutions Acquire Semi-submersible Drilling Unit, Creating 90 Jobs for North Sea Well-Safe Solutions has acquired the Ocean Guardian semi-submersible drilling unit, sparking another jobs boost for the company. The asset, previously owned by Diamond Offshore, has been a stalwart in the North Sea, drilling hundreds of wells since entering service in 1985. Upon delivery, Well-Safe will start work immediately on an upgrade of the semi-submersible, which will be renamed the ‘Well-Safe Guardian’, converting the asset into a bespoke plug and abandonment (P&A) unit. Well-Safe will invest in the region of $100 million dollars on upgrades to deliver a truly bespoke P&A unit. This will include installing a dive system and the capability to deploy a SIL (subsea intervention lubricator) - which is nearing completion of the design and engineering phase, supported by the Oil and Gas Technology Centre (OGTC). Well-Safe confirmed that the acquisition would bring a further 90 jobs to the North Sea over the course of the next year, adding to the company’s current forty employees.

Mark Patterson, Executive Director, who heads up the asset purchase programme, said: “This is a major milestone in Well-Safe’s journey and one that is in-line with our strategy. It’s great to have The Ocean Guardian, which has a great reputation on which we will build, as our first asset.” Launched in August 2017 with the vision to become a ‘Tier One’ wells decommissioning company, the Aberdeen-based company is progressing swiftly to realising its ambition, boasting over 450 wells worth of experience amongst their team.

Andy Samuel, CEO of OGA, commented: “The

OGA very much welcomes new investments and innovative business models such as this, as a key part of achieving industry’s 35% decommissioning cost reduction target. Joint well plug and abandon campaigns, using the club approach should not only prove to be more cost efficient, but also help build UK supply chain expertise in decommissioning which is then globally exportable.” Phil Milton, Chief Executive Officer of Well-Safe Solutions said: “We have stayed totally focused and committed to our original strategy and are delighted to have reached this agreement with Diamond Offshore for the acquisition of our first asset, which will allow us to deliver the complete P&A solution.” Well-Safe continues to build a strong foundation for the future with a very strong and impressive management team. The addition of the “Well-Safe Guardian” as the first asset solidifies their commitment to providing the full P&A Club offering.

Ocean Guardian

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Subsea UK News | June 2019


BUSINESS

TechnipFMC Acquires Dive Support Vessel for North Sea Market TechnipFMC has added to its international fleet of subsea pipelay, diving and construction ships after purchasing a new-build diving support vessel - the Deep Discoverer. The company signed a deal with VARD shipyard in Norway to purchase the vessel in late 2018. The vessel is currently undergoing an operational readiness programme and will begin work in the first half of 2019. The high-quality, cost-effective vessel will primarily service the North Sea diving construction and Inspection, Repair and Maintenance (IRM) markets.

Deep Discoverer has DP3 capabilities, as well as an 18-person twin bell saturation diving system, in-built air diving spread and a 250 Te NOV Hydralift subsea crane. This acquisition reinforces TechnipFMC’s position in the IRM sector, whilst supporting sustainable project economics for clients.

Bill Morrice, Vice President of Commercial for UK and Mediterranean at TechnipFMC, said: “This

addition to our fleet not only demonstrates our steadfast commitment to diving construction operations in the North Sea, but also significantly improves our capabilities in the IRM market. Being able to deliver such a high standard of vessel at a competitive rate is further evidence of our company’s relentless drive to help our clients succeed.”

Montrose Port Authority Reports Record Breaking Year Record-breaking annual results have been announced by Montrose Port Authority (MPA). The Angus-based support and service hub for the energy, agricultural and general cargo industries, announced that it had handled a total of 3,169,158 gross tonnes of vessel during 2018 – a 37% increase on 2017’s total of 2,309,206 gross tonnes. The results reflect a seminal year for the Port, which saw it receive significant private and public investment of £7.7million, which fed into the Port’s quayside expansion project. Part of the Port’s wider infrastructure redevelopment Masterplan, the project will allow for larger cargo vessels to dock in Montrose, ensuring it remains competitive in the current marketplace, whilst delivering millions of pounds in transport savings and the associated environmental benefits. With phase one completed in March 2019, phase two is due to be ready for action in autumn this year. In addition, 2018 also saw MPA create an export facility expressly to service GE company Baker Hughes’ Montrose-based subsea centre of excellence, which represents a £31m investment in the town from the oil services giant. Diversification into new markets was also evident during the year, with the Port welcoming its first cruise liner in August of 2018. A growing sector in Scotland, the decision to diversify into this area of the tourism industry has paid dividends, with MPA hoping to welcome its second cruise liner in September this year. Commenting on the year just past, and the results it has yielded, MPA Chief Executive, Nik ScottGray said: “2018 was an extremely busy year for Montrose Port; these record-breaking figures are a true reflection of our strategic mindset, consistently flexible approach and willingness to diversify.

“Good growth within the oil and gas industry, as well as a steady performance from the general cargo market have consolidated our position as a key hub for both industries, and I am confident that our redevelopment plans can only strengthen that status.”

Nik Scott-Gray, chief executive at Montrose Port Authority

Subsea UK News | June 2019

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FEATURE ARTICLE

UK companies to showcase expertise in Brazil Since 2012, the UK and Brazil: Partners in Energy trade mission has allowed UK companies to showcase their technology and expertise and build relationships with the Brazilian energy industry. The mission, now in its seventh year, has been organised by the Department for International Trade (DIT) in partnership with Subsea UK, the Energy Industries Council and Scottish Development International. It has grown significantly with more than 250 guests in attendance last year. The purpose of the trade mission is to promote UK capabilities in the energy industry, enabling companies to share expertise and reinforce strategic partnerships with the Brazil energy sector.

Subsea UK will lead the subsea section of the event which will enable UK companies to meet with major organisations, including Petrobras, Subsea 7 and Equinor. During the three-day event, delegates will have the opportunity to present their products and capabilities on June 4 in Rio de Janeiro. In addition, networking sessions and various site visits with established Brazilian contractors will be arranged for delegates by the DIT team.

Flavia Silva, DIT Business Development Manager, Rio de Janerio, said:

DIT has a strong relationship with Subsea UK since their involvement with the first trade mission. The challenges facing the sector in Brazil are similar to those in the UK and therefore there is a wealth of knowledge and technology which can be shared between the two countries. This willingness to share expertise drives our relationship with the UK and Subsea UK.

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Subsea UK News | June 2019


UK IN BRAZIL ORGANISED BY

As part of the UK Government’s strategy to double British exports by 2020, Subsea UK is looking to strengthen global trade partnerships, export subsea expertise and increase the reputation of the sector. Subsea UK recently worked in collaboration with Petrobras to identify gaps in subsea knowledge in the region, including solutions for integrity management, decommissioning and pumping systems. Neil Gordon, chief executive of Subsea UK said: “Our recent work with Petrobras demonstrated an opportunity for UK companies to share their expertise and technologies in Brazil.

As a DIT Trade Challenge Partner, Subsea UK continues to build a strong relationship with Brazil, focusing on international business, exports and events. Previous missions have been very successful for the companies involved and has introduced promising opportunities available in Brazil.

“Freudenberg had a piece of technology that we thought would be well suited to operations down in Rio and therefore it gave us a great opportunity to show operators in the region Freudenberg’s capabilities as a service provider.

This trade mission is beneficial for small, independent service companies like Freudenberg. It provided a very costeffective way of looking at a country and to assess whether you should be doing business internationally.

Jim Hewson of Freudenberg Oil and Gas Technologies, attended last year’s trade mission. He explains that it proved to be invaluable for the company, he said: “The Brazil trade mission allowed us to gain a valuable insight into the workings of a complex country via a variety of mechanisms.

The UK and Brazil: Partners in Energy mission will take place from 3 - 5 June in Rio de Janeiro.

Subsea UK News | June 2019

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BUSINESS

2G Robotics and Seatronics Partner Launch New Dynamic Laser Scanning Skid Solution 2G Robotics, a global leader in underwater laser scanners and imaging solutions for the Offshore Energies, Geosciences and Defense industries launched their newest integrated dynamic laser scanning solution at Ocean Business 2019. The new Dynamic Laser Scanning Skid incorporates all sensors required for high precision data collection, reducing the complexity of equipment mobilizations for UAVs and ROVs. The system has already been successfully tested with clients in the gulf of mexico, in collaboration with Seatronics (an Acteon company), and will now be available for rent globally through Seatronics. The Dynamic Laser Scanning Skid includes a number of key features that save time and cost. Navigation and laser scanning come bundled together in a single integrated unit, eliminating complex piecemeal integrations; ROV survey skid payload can easily be

swapped in or out, enabling clients to quickly change missions; small footprint, enabling installation on a variety of vehicles, from mid-class to work-class inspection; and delivered fully integrated, with nothing to configure, patch test, assemble or calibrate. Scott Gray, UK General Manager for Seatronics Ltd said: “We continually strive to offer our clients innovative and efficient subsea technology solutions. The Dynamic Laser Scanning Skid is a key addition to our global rental fleet, providing our clients with high precision data capture and vast scan coverage in a single calibrated package that reduces complexity of equipment mobilisation.”

2G Robotics CEO Jason Gilham said: “Since our inception, 2G Robotics has strived to continuously improve the efficiency of underwater operations through laser and imaging. And this new deployment option, in partnership with Seatronics, allows us to deliver on this promise in ways that are faster and simpler than ever.”

Subsea Innovation Deliver Rapid Response Repair Clamps in Under 10 Weeks Subsea Innovation Ltd, part of Tekmar Group plc, have successfully designed, manufactured, tested and delivered two diver installed 10” pipeline repair clamps, delivered to a major international client in less than 10 weeks. The clamps were designed in accordance with Subsea Innovation’s recently acquired DNV GL Type Approval for temporary and permanent structural repair clamps. Subsea Innovation’s DNV GL Type Approval applies for carbon steel pipelines between 8” and 44” and temperature ranges from -4 to +80oC, providing new capability in the global pipeline market. The clamps were designed and constructed in under 10 weeks during the period of December 2018 to February 2019. At over 3m long and 15Te each, this project was a major undertaking for both Subsea Innovation and the supply chain. Dave Thompson, Managing Director at Subsea Innovation, said: “I am extremely happy with the result as it shows what the team here can do. We worked very closely with the client with who we have a longstanding relationship, to deliver a cost effective and trusted solution to the problem.”

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Subsea UK News | June 2019

Emergency Pipeline Repair Systems (EPRS) are designed for fast deployment should a subsea oil or gas pipeline become damaged or its integrity found to deficient due to corrosion or defect.

Mr Thompson continued: “Fast

turnarounds are often needed for these type of projects and we at Subsea Innovation are in a strong position to help our clients achieve this.” Subsea Innovation intend to invest further in this product to reduce lead times and increase our responsiveness, supporting their global client base.


BUSINESS

Flowline Specialists Secures ISO 45001:2018 Accreditation Scottish energy equipment manufacturer and service provider Flowline Specialists has been awarded ISO 45001:2018 certification following a recent audit. The Oldmeldrum-based firm has attained the new occupational health and safety certification following a successful audit by risk management and quality assurance company DNV GL. Gaining the new standard follows the reaccreditation of Flowline Specialists’ ISO 9001 and ISO 14001 standards last year. ISO 45001 accreditation aims to create better and safer working conditions globally. It supersedes the previous benchmark for occupational health and safety, OHSAS 18001 certification, which Flowline Specialists also held. Published in March 2018, the new standard follows the common structure of other international management systems, such as ISO 9001 and ISO 14001, allowing better integration between all such standards. Central to the new certification is continual improvement of occupational health and safety in the workplace. Led by management, key to achieving that is increased consultation with and participation of employees. The certification provides a framework to improve the safety of employees and contractors, reduce workplace risks and enhance health and well-being at work. As part of the process to achieve ISO 45001 certification, Flowline Specialists has implemented improved worker competence and training programmes, while increasing the level of workforce involvement in meetings and risk management processes.

Jim Smith, CEO, Flowline Specialists

The work to achieve ISO 45001 certification has been led by Donald Walker, Flowline Specialists’ QHSE manager.

Jim Smith, CEO of Flowline Specialists, said: “Gaining ISO 45001 certification is a great achievement for the company that reinforces our commitment to safe working practices and the health and well-being of our workforce. Continual improvement of our QHSE system is something we have always striven to do, in order to ensure our staff and contractors operate in the safest possible working environments.” “This new standard will support our continued growth around the world, providing increased confidence to the companies we work with in the oil and gas, subsea, decommissioning and renewable energy supply chains.”

Hiretech Limited Launches Transmissions Refurbishment Service Equipment rental specialist Hiretech Limited has launched a transmission and gearbox refurbishment service to augment its existing service lines. The division, located at the company’s base in Fintray by Dyce, will offer transmission repairs, refurbishments and replacements. Ron Finnie, who has over 35 years’ experience in the field, has joined Hiretech as Transmissions Manager and will focus on developing the Allison refurbishment business. One additional position has also been created to facilitate the new offering.

Hiretech Limited Managing Director, Andy Buchan, comments,

“We are delighted to add this service line to complement our existing business. Our own Well Service Pumping Units rely heavily on Allison transmissions. In addition to offering transmission refurbishment and testing, our technicians can also remove and replace faulty transmissions from client units onshore and offshore and we can offer temporary pumping solutions to minimise any downtime.” Hiretech has invested significantly in its product and service ranges over recent months, achieving continued growth success in the UK and overseas. Ron Finnie, Transmissions Manager

Subsea UK News | June 2019

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BUSINESS

IRS

Expro Expands Subsea Intervention Capabilities International oilfield services company, Expro, has expanded its subsea intervention capabilities, introducing two new well access solutions in addition to its established subsea landing string system technologies. The Intervention Riser System (IRS) will safely establish and maintain well access throughout riser to surface operations, replicating the functionality of the blow-out preventer and providing a safe and reliable means of well control, connected directly to the production tree. With increased coil tubing cutting and disconnect capability, the IRS system provides an alternative dual barrier, through-tubing system. The new Riserless Well Intervention (RWI) system provides a field proven, established and reliable wire through-water integrated solution for carrying out cost effective intervention and/or abandonment operations on all types of subsea wells. With a dedicated intervention vessel, all operating, deployment and retrieval efficiencies can be delivered safely and efficiently to clients. These solutions further bolster the company’s established subsea offering, which also includes Subsea Test Tree Assembly (SSTTA) solutions, which form an integral part of a subsea landing string.

Intervention Riser System

Expro’s latest development to the SSTTA is the Next Generation Landing String (NGLS), designed to fully comply with all aspects of the industry’s new API17G standard. It features a range of new functionality across its 7 3/8 valves, including high debris tolerant ball mechanism and hydraulic latch mechanism, and dual seal protection to both environment and control systems. Colin Mackenzie, Subsea Vice President at Expro said: “With an increased requirement for subsea intervention, operators are looking for solutions to ensure safe operations and optimised production. “This expanded product portfolio allows Expro to offer our clients any one of the three means of subsea well access, depending on the exact customer requirements.

“By offering a full service solution to subsea well intervention operations, we can bring multiple services under one contract to lower the cost, enabling operators to maximise their return on investment, whilst maintaining well integrity throughout.”

Riserless Well Intervention

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Subsea UK News | June 2019


BUSINESS

MDL Successfully Delivers West Africa SURF Installation with DeepOcean Maritime Developments has concluded a flexible installation project offshore West Africa. The work scope, commissioned by DeepOcean, saw the company’s third-generation Reel Drive System (RDS) used on board the Polar Onyx for installation of a 2.5km flowline in the EN-09 field. The flowline was installed in 1,750 meters water depth and marks the longest and deepest flowline installation performed in DeepOcean’s history. The MDL RDS was integrated complementing the vessel’s Vertical Lay System (VLS) and was operated by MDL’s expert Offshore Service team. In addition to supplying the equipment and offshore personnel, MDL’s in-house Engineering division provided the vessel integration works for the MDL equipment, supported the DNV-GL class approval process and provided remote mobilisation support, all prior to the project commencement.

“MDL were able to assist a fast track project delivery schedule, thanks to having the complete engineering capability in-house and the most innovative RDS available on the rental market. “We look forward to continuing our support to DeepOcean with our equipment and expert personnel, in West Africa and the rest of the world”. Andreas Veiset Bergum, DeepOcean Engineering Manager Africa, said: “MDL’s contribution to the project with their innovative RDS system, competent engineering support and ‘can do’ attitude played an important role in efficient planning and safe execution of the Project. “With DeepOcean’s targeted focus on the Africa Market we are looking forward to potential cooperation on future projects”.

MDL are uniquely placed by housing the draughting and engineering team that designed and built the RDS, complemented by the handson engineering experience of successfully integrating the system onto a range of vessels, thus offering a lean and comprehensive single-source seafastening solution. Dave Gardiner, MDL BD & Commercial Manager, said: “Project success is often derived from a variety of factors, including correct planning and experience. Both MDL and DeepOcean are celebrating 20-year anniversaries in 2019, which brings unrivaled track record when combined.

“In addition, continuity and familiarisation were key to EN-09 project success. In 2016, MDL supplied the same RDS on board the Polar Onyx for another West African project with a duration of 114 days. By choosing MDL, DeepOcean secured a leaner and operationally effective solution for their project.

Namaka Subsea Sign Service Agreement with Oil & Gas Operator Namaka Subsea have started the financial year with a new contract, the company having signed a service agreement with ENI UK Ltd to support UK operations of their Liverpool Bay Assets. The company will provide technical and operational support during subsea operations, ensuring compliance with current best industry practices as well as guidance and UKCS legislation. The service agreement includes the provision of Project Engineering, Diving Client Representatives, Diving Technical Authority, Diving Contractor Safety Management System Audits and Dive System Technical Audits.

Namaka Subsea’s Operations Manager, Alan Melia, will act as the focal point between the companies to ensure the projects are carried out safely and efficiently. Alan said: “The award of this contract, to provide operational support for ENI’s Liverpool Bay assets, is testament to our strong, collaborative working relationship with ENI and their confidence in our high standard of service and delivery. This new contract also supports our strategic focus on solidifying our position as a subject matter expert in the Oil and Gas Industry.” Namaka Subsea is an established global subject matter expert who specialise in subsea operations, offering innovative solutions to ensure Client requirements and expectations are met anywhere in the world.

Subsea UK News | June 2019

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BUSINESS

Boskalis Subsea Services Cements Position in North Sea Boskalis Subsea Services has cemented its position in the North Sea and affirmed its commitment to Aberdeen with new contracts, more people and bigger premises. Boskalis Subsea Services has been awarded a clutch of contracts, totalling in excess of £100million, in the North Sea over the last half year including the Total Tyra redevelopment project, an inspection, repair and maintenance (IRM) campaign for Repsol Sinopec, a decommissioning contract with Spirit Energy, a scale squeeze scope for Premier Oil’s Huntington field. Head-quartered in Aberdeen Boskalis Subsea Services, part of Boskalis’ offshore energy division, serves the UK, Norwegian and Canadian markets, with the rest of the world managed from Boskalis’ Papendrecht head office. As a result of these contract awards, Boskalis Subsea Services has already booked in excess of 750 vessel days with their bespoke dive support vessels, the BOKA Atlantis, BOKA DaVinci and BOKA Constructor for 2019. A further 1,000 days are booked for 2020 and beyond, with more than 600 coming from an IRM project in the Middle East. The company has also created around 30 new jobs since February, bringing the total workforce in Aberdeen up to more than 80. They have taken more space at their new purpose built offices in Westhill, Aberdeenshire. The 10 year lease is now for 8,565 square feet over two floors with capacity for 90 people to accommodate planned, future growth. Established in Aberdeen four years ago as a sales office and refocussed as an operation centre in quarter three 2018, Boskalis Subsea Services is aiming to fill a gap in the market for a smaller,

nimbler subsea construction company with a focus on construction work and inspection, repair and maintenance. Stuart Cameron, managing director of Boskalis Subsea Services, said: “As predicted in a recovering market, the major players are going after the larger contracts and there is a natural space for a more agile, responsive service that is committed to the highest standards in health, safety, quality and environmental performance along with first class project execution.”

“With our 30 year diving legacy, can-do culture and experienced personnel, we are able to work flexibly to provide solutions for our customers and challenge the norm for subsea EPIC and IRM delivery. We are continually developing fit-forpurpose, cost-effective and safe ways of tackling underwater construction, inspection and repair.” In addition to the recent contract awards, Boskalis has also secured Master Service Agreements with most of the operators in the North Sea and is well on its way to becoming an established and recognised subsea engineering and construction partner in the UK, Norway and Canada.


GROWTH

New GAC UK Offices Opened in Harwich & Ramsgate to Better Serve Oil, Gas & Renewables Customers GAC UK has opened two new branches, in Harwich and Ramsgate, to meet the increased demand in oil, gas and renewable work in the South of England. Both locations are actively servicing projects within their areas, and their addition to the GAC UK network of offices further strengthens its focus on providing its energy customers with round-the-clock local knowledge and expertise. The port of Harwich is fast becoming a hot spot for renewable projects with development underway on a state-of-the-art operations and maintenance base for Galloper Offshore Wind Farm. The GAC team already has many years’ experience working for offshore and renewable customers from of its Great Yarmouth and Felixstowe offices. Further South, in Ramsgate, the development of the offshore wind farm industry is clearly visible Left to right - Ben Timpson (Project Agency Team Co-Ordinator) and Steven McWilliam (Project Agency Team Manager) at the port of Ramsgate

from the Thanet Coastline. The port is home to the operation and maintenance of both the Thanet Offshore Windfarm and the London Array Offshore Windfarm. GAC has worked in the area remotely for many years, culminating in the establishment of its fully-fledged office here.

Both officers are overseen by GAC UK Project Agency Team Manager, Steven McWilliam. He said: “Ramsgate

and Harwich are key strategic locations for GAC UK. We are witnessing accelerating growth in projects at both locations, so the addition of these two new offices to our existing South of England operations enables us to respond faster to our customers’needs. It also puts us in the perfect position to further strengthen our ties with the ports and local suppliers to better serve our expanding customer base.”

Modus Continues to Expand its Fleet of Hybrid Autonomous Underwater Vehicles Modus has placed an order with Saab Seaeye for the next vehicle in its Hybrid Autonomous Underwater Vehicle (HAUV) fleet. The 3,000m rated Saab Sabertooth will be delivered in Q3 2019. Jake Tompkins, CEO Modus said: “We are delighted to announce the continuation of our drive to develop and bring to market highly differentiated capabilities. This latest order demonstrates our commitment to provide game changing performance, data quality and economic benefits to our customers. This is part of a significant programme to develop not only a fleet of autonomous vehicles, but also AI and machine learning methods for integrating data, data visualisation, remote vehicle control and mission planning. More announcements on this programme will follow.”

Anne-Marie Vösu, Head of Dynamics business unit Underwater Systems at Saab Dynamics said: “It’s

Modus Subsea H-AUV

This further order reinforces Modus’ position as a world leader in HAUV capability and continues to build upon the advanced technology development programme Modus initiated in 2012. Modus launched its first HAUV (also a Saab Sabertooth) in 2017 which has gone on to successfully complete major pipeline inspections and the trialling of subsea docking and residency, in a project backed by Innovate UK. The new system will be equipped with extended autonomous endurance and increased thrust for high speed survey and will be prepared for the integration of advanced and high-resolution sensors for different types of applications and operations.

great to receive further orders from Modus, it is a proof from the customer that they are satisfied with Saab’s unique AUV/ROV hybrid solution that we are continuing to develop for customers further needs.” The Modus vehicle has all the advanced features of the military hybrid AUV/ROVs, combined with the rugged and proven Saab Seaeye technology. The vehicle is also capable of providing light intervention support and with a depth rating of 3,000m it can be deployed on a wide range of subsea tasks across all sectors.

Subsea UK News | June 2019

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MARKET INTELLIGENCE

Market Activity Report Q2 2019

Using the market intelligence tool, SubseaIntel, we have compiled this report covering the latest oil & gas developments worldwide.

North America Wood Becomes Technical Advisor on Vineyard Wind Project

Gulf of Mexico Thunder Horse South Expansion Phase 2 Sanctioned by BP

2019 has seen the oil price gradually improve, with April seeing the price of a barrel reaching nearly $75. In May, the oil price continues to sit strong at $71 a barrel, but exploration activity is still needed to be increased by oil and gas companies in 2019 and the coming years. In the North Sea, discoveries are continually being made, and it also continues to see smaller private equity backed E&P companies commit to larger existing projects, helping to increase project life. More activity is expected to be seen in the regions of Brazil, Mexico and West Africa, still being driven by the majors. The global energy markets are constantly changing, driving towards a lower carbon future, with more companies working towards delivering profitable renewable energy.

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Subsea UK News | June 2019

UK North Sea Azinor Catalyst Commits to Drilling Two Wells in 2020 As part of a three well campaign in 2020, Azinor Catalyst has agreed with Seapulse Limited to drill two wells on the UKCS: Boaz and Hinson, and preparations to drill these have now begun, with negotiations for a third well, Goose, underway. Maersk Drilling is to deliver comprehensive drilling services for the three wells and an agreement is to be confirmed shortly, which comes as part of an alliance agreement between Seapulse and Maersk Drilling. Azinor Catalyst estimate that the Boaz, Hinson and Goose prospects hold total prospective resources of 495 million boe equivalent. West of Shetland on the Rise - UKCS Oil and Gas Activity In April, the Warwick Deep well was spudded, the first of three wells as part of Hurricane Energy’s focus on the West of Shetland basement play. It is estimated that the Warwick prospect contains gross pre-drill resources of 935 million boe. The licence operator Hurricane Energy holds a 50% interest in the Greater Warwick Area, following Spirit Energy’s farm-in to the area in 2018.


MARKET INTELLIGENCE

Norway North Sea Production Boost for Vigdis Field

UK North Sea Azinor Catalyst Commits to Drilling Two Wells in 2020 West of Shetland on the Rise - UKCS Oil and Gas Activity

Australia BHGE Awarded Contract to Supply Subsea Production Systems

West Africa ExxonMobil to Explore More Acreage Offshore Namibia

The West of Shetland is rapidly becoming an area of key interest for exploration and development activity on the UKCS. By 2025, the West of Shetland could contribute approximately 30% of production on the UKCS, according to management consultancy McKinsey & Company, which may further increase with the province’s unsanctioned reserves of 3 billion boe. The West of Shetland will play an important role in developing economic growth and maintaining energy needs for the UK, so it is vital that the sector increases its efforts in being able to deliver production from currently problematic reserves and capitalise on the economic value of the area.

Norway North Sea Production Boost for Vigdis Field The subsea field Vigdis has been producing oil through the Snorre field for over 20 years. In that time, it has produced over 400 million boe, twice as much as originally believed it would produce, and it is now estimated that Vigdis has 455 million boe of recoverable resources. To fully capitalise on the oil recovery from the field, a subsea boosting station will be provided by OneSubsea.

Powered by an advanced power umbilical by Nexans, the subsea boosting station will be connected to the pipeline between Vigdis and the Snorre field to maximise its capacity, assisting the well stream between the subsea field and the platform. The boosting station will also allow for wellhead pressure to be produced, which as a result the production will increase, adding approximately 11 million boe (a 54% recovery rate) at a very competitive price. The entire umbilical system is expected to be installed in 2020.

North America Wood Becomes Technical Advisor on Vineyard Wind Project Vineyard Wind is the United States’ first utility-scale offshore wind energy project located 23 km off the coast of Massachusetts. Once completed, the 800 MW wind farm will generate clean, renewable energy for over 400,000 homes and businesses, whilst also reducing carbon emissions by more than 1.6 million tonnes per year. The role of technical advisor has been awarded to Wood on a four-year contract, on behalf of Vineyard Wind LLC, where Wood’s

Subsea UK News | June 2019

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MARKET INTELLIGENCE clean energy team will provide technical advisory assistance, including assessing the design, construction and operation plans.

Gulf of Mexico Thunder Horse South Expansion Phase 2 Sanctioned by BP The Thunder Horse South Expansion Phase 2 development project has been given the go ahead by BP, enhancing production at one of the biggest oil fields in the Gulf of Mexico. With this significant upstream development project, BP will add two new subsea production units approximately 3km south of the present Thunder Horse platform, followed by two new production wells. A further eight wells are to be drilled as part of the expansion. First oil is expected in 2021 with the current Thunder Horse platform expected to reach up to an additional 50,000 boe/d of production. Earlier in the year, and as a result of recent innovative seismic imaging, BP were able to announce that the Thunder Horse field has an additional 1 billion barrels of oil in place, opening it up for further development opportunities down the line. Within the Gulf of Mexico, BP has seen its net production increase by over 60% in the last five years, currently with more than 300,000 boe/d. BP is hopeful that its production will grow to around 400,000 boe/d in the region over the next few years.

ExxonMobil will be operator of all four blocks. NAMCOR will hold a 10% interest in 1710 and 1810, ExxonMobil will hold the 90% interest but will deliver 5% of that to a local company in Namibia. With the farm-in agreements on blocks 1711 and 1811A, ExxonMobil will hold 85% interest, with NAMCOR holding the remaining 15%. The blocks are located approximately 215km off the coast of Namibia in water depths up to 4,000 metres. With this agreement, ExxonMobil can begin to explore for hydrocarbons this year, as well as procuring and collating seismic data and analysis of the frontier Namibe basin.

Australia BHGE Awarded Contract to Supply Subsea Production Systems Baker Hughes, a GE company, will utilise its Subsea Connect capabilities to supply subsea production systems for Beach Energy’s Victorian Otway Basin development project, offshore Australia. Beach Energy, one of the top suppliers of natural gas to the Australian east coast, awarded BHGE with the contract award in Q1 2019, which includes wellheads as well as medium water horizontal Xmas trees and associated subsea control Semstar5 systems. To help improve financial issues and confidence of projects, BHGE started Subsea Connect in 2018. It combines early engagement, advancements in technology, innovative commercial models and digital enablement for an ever-adapting industry.

West Africa ExxonMobil to Explore More Acreage Offshore Namibia With an additional 28,000 square kilometres, ExxonMobil is to increase its exploration acreage offshore Namibia. It comes after the operator signed an agreement with the Namibian government and the National Petroleum Corporation of Namibia (NAMCOR) for blocks 1710 and 1810, as well as farm-in agreements for blocks 1711 and 1811A.

Further Information This market intelligence tool is free to Subsea UK members The information contained in this report was gathered using SubseaIntel For more details visit www.subseaintel.com

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EMPOWERING

WORLD LEADER IN UNDERWATER e-ROBOTIC SYSTEMS

THE FUTURE IS ELECTRIC


TECHNOLOGY

RUD Unveils New ACP TURNADO Hoist Ring Today, with many conventional lifting points, the lifting ring can sometimes stay in an upright position throughout the lift, which leads to a dangerous transverse load and can result in two scenarios: Firstly, high sheer stresses and bending moments can affect the lifting point and bolt which can consequently result in mechanical damage or breakage. Secondly, high forces can occur when the lifting ring flips or jerks which would make the load drop suddenly and could damage the load and lifting components. The new RUD ACP TURNADO hoist ring turns the lifting ring into the direction of the best lifting angle, so the lifting ring will move freely into the direction of the pull, avoiding any tilting or unintentional reverting of the lifting ring. Developed by the RUD engineering team, the hoist’s shape has been enhanced and strengthened at its most stressed areas, and it offers an increased working load limit of up to 30% compared to hoist rings of the same size. The hoist ring also comes with RUD’s ICE-Bolt technology which offers steel with maximum strength and high ductility. A spring mechanism guides the lifting ring automatically into the direction of the best lifting angle and avoids worst case lifting scenarios. Wear indicators, positioned at the critical points of the lifting angle make it easy to identify the wear on the lifting point upon inspection.

RUD ACP-TURNADO

Hoist rings are well known for their tendency to kink. The new RUD ACP-TURNADO eliminates these dangers. The intelligent spring mechanism makes sure that the suspension ring turns into the load force direction. The lifting ring design guarantees a safe position of the hook without kinking. The result being the first hoist ring which ensures no kinking. The RUD ACP-TURNADO comes with a factory equipped RFID transponder which allows quick and easy management and inspections of your lifting equipment, helping to ensure that your equipment is inspected on time.

IMES Launches Subsea Optical Time Domain Reflectometer Subsea cables electrical fault finding is taken to the next level with the introduction of IMES International’s subsea Optical Time Domain Reflectometer (OTDR) now in the final stages of completion. Our most recent addition, the Subsea OTDR will share some of the basic deployment capabilities of IMES tried and tested SETS™ currently identifying IR and CR issues for a number of subsea operators. Like IMES International’s SETS™, the OTDR is capable of ROV deployment and providing a live feed to the surface support vessel allowing for real time diagnosis of cable faults. ODTR has a deployment depth of 3,000m. Current test are producing consistent and accurate results for optical cable distances up to 80km (clients requirement). Due to the micro diameter of the fibre optic cable, IMES Engineers have been able to carry out tests with actual cable length within IMES facility in Sheffield. Image of 73km test with large reflective issue at point 3

The degradation of electrical subsea cables and umbilicals is becoming more common as fields get older. In the mid 90’s IMES joined forces with two operators to find an alternative solution to raising cables from the seabed for testing, a year later IMES Subsea Electrical Testing System (SETS™) was in operation and continues to be developed to keep pace with technology.

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By conducting an initial fibre optic cable test at manufacture or prior to subsea connection, the data collected is used to create a picture called a “trace” or “signature” this contains valuable information for the company’s engineers and is stored for later reference to check against a blueprint should a network problem arise. IMES International’s OTDR can identify where cables are terminated and can confirm the quality of the fibres along with locations of connections and splices. OTDR traces are also used for troubleshooting, as they can show where deviations in the fibre optic cable are when compared to installation traces or manufacturers documentation.


TECHNOLOGY

Crondall Energy Benefits from Links to Academia As part of their technology strategy Crondall Energy is working closely with several universities. This approach has three main areas of focus; to engage with research teams in the development of new technology, to support engineering students in their studies and to bring students into the workplace. Participating universities include the University of Aberdeen, the University of Dundee, Herriot-Watt University, the University of Newcastle and the University of Oxford. Crondall Energy’s Flow Assurance Director Dr Murray Anderson, industry sponsor of a research study with Herriot-Watt University said: “Working closely with Universities helps us to stay at the forefront of technology developments and helps us to bring new solutions to our clients. This will remain a strategic objective within our business.” An example of technology development is working with Herriot-Watt University investigating how pipeline coatings can be used to provide flow assurance benefits. The study is in partnership with Heriot-Watt University, The Oil & Gas Innovation Centre (OGIC), The Oil & Gas Technology Centre (OGTC) and is being led by Crondall Energy’s inhouse Flow Assurance team in Aberdeen. New technology is also being considered as part of the Anchoring Pipeline Technology research project, with the University of Dundee evaluating the performance of novel pipeline anchoring methods that could be pre-installed or retrofitted to subsea pipelines by an ROV (Remotely Operated Vehicle) at much lower costs than traditional pipeline anchoring systems. Crondall Energy’s work with supporting students in their studies, includes sponsorship and supervision of a PhD student over a three year period at the University of Oxford, conducting research into “3D Computational Modelling of Subsea Pipeline-Soil Interaction”. Crondall Energy is also supporting the Pipelines and Subsea MSc programmes at the University of Newcastle as external lecturers, providing industry experience to the next generation.

Finally, Crondall Energy is bringing students into the work place through their graduate recruitment scheme and a student placement scheme. The graduate recruitment scheme runs each year and attracts students from several universities across the UK. Crondall Energy’s Aberdeen office is currently recruiting for a student placement in Digital Marketing. The recruitment for this position is exclusively with the University of Aberdeen and allows Crondall Energy the opportunity to bring in fresh thinking from students outside of the engineering disciplines.

Crondall Energy considers engagement with the next generation to be an important responsibility. Stephen Booth, Crondall Energy Subsea MD commented: “We

are committed to bringing through the next generation of engineers. My generation has worked hard to develop the industry and we need to support the next generation to develop the industry further as it moves towards greener energy, digitalisation and other technical innovations.” Students will be engaging with Crondall Energy’s loyal and experienced team of specialist independent consultants working across oil and gas, focusing on exciting and transformative new technologies to maximise economic recovery in UKCS and beyond.

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TECHNOLOGY

New Hydrate Skid Offers Innovative Deepwater Remediation Solution Developed by i-Tech 7, the next generation hydrate remediation skid (HRS) incorporates smart, real-time software to efficiently remediate and prevent the potentially harmful build-up of hydrate in subsea production facilities. Built and successfully trialled in the Gulf of Mexico during 2018, the HRS is suitable for deepwater operations up to 3,000m (10,000ft). Designed to interface with both work and heavy-duty work class ROVs, it can be integrated with any ROV on the market (see image).

can operate at 6,000 psi (415 bar) in atmospheres with more than 3,000m hydrostatic pressure. Its enhanced automated controls can depressurise small volume production piping infrastructure down to 15 to 30 psi Absolute (1 to 2 bar).

Unlike other conventional skids, the power supply is built into the unit which allows the distribution of power across to the skid to be completely isolated from the ROV power.

Electronically actuated valves with position feedback offer a significant advantage in reliability, automation and resolution control enabling greater system flexibility to accurately monitor the interaction and behaviour of the hydrocarbon contents of the operator’s pipeline. With comprehensive topside software control, the operator thereby has more precise capabilities to accurately monitor pressures and flows.

While the flow rate performance (configured with redundant pumps) is typical of conventional ROV-mounted pumps (2gpm/7.5 lpm), it

High accuracy instruments allow for high fidelity measurements of pressure versus volume recordings, which can aid in determining the approximate locations of blockages. While better diagnostics allow more efficient and accurate decision-making for well stimulation planning. Without the need for any further reconfiguration to the system, the HRS can be used to inject fluid, through a metering valve, of very precise amounts of dosing chemicals into the subsea asset. It can also be used for many applications such as ROV workover control, hydrotesting, back seal testing, and other various fluid injection activities.

Each skid is built with a set of interchangeable ROV interface adapters which allows for easy mounting to all ROV models commonly used offshore

As an integrated component of the company’s Life of Field service offering, the advanced instrumentation and controls minimises the impact of an unplanned shutdown and any risks associated with downtime.

Tritech Announce Two New Products at Ocean Business 2019 Tritech International Ltd announced the launch of two new products at this year’s Ocean Business in Southampton. The high-technology company with offices in Westhill, Ulverston, Edinburgh and Katy, Texas launched the much anticipated Super SeaKing Bathy as well as the Super SeaKing DST Sonar which now offers an Ethernet communications option. The Super SeaKing Bathy is a bathymetric sensor which offers highly accurate readings of temperature, pressure and conductivity and is available in both Survey and Scientific grades. The Bathy is easy to install on an ROV and is ideal for underwater inspections including pipeline surveys, site and route surveys. The Super SeaKing DST Sonar offers an update on the existing popular model of this high speed mechanical scanning sonar as it now offers an Ethernet communications option. This ensures easy installation on any large and Work-class ROVs making it the optimal sonar for ROV/AUV obstacle avoidance, target recognition, harbour surveillance and port security. Both products have been well received with orders for both coming in regularly. Tritech will have more new products to announce later in the year as they continue to develop innovative and market leading products. The Super SeaKing Bathy

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TECHNOLOGY

TenzorGEO: One Year On

From L-R, David Millar, TechX accelerator director. Paul Wheelhouse, SNP Minister for Energy. Ivan Starostin, TenzorGEO CEO and founder. Colette Cohen, OGTC CEO.

Just over a year ago the Oil and Gas Technology Centre announced the 10 Pioneers who had been selected as the first cohort in its exciting TechX accelerator programme. Each start-up had been selected after a rigorous evaluation process because they had demonstrated the potential to develop technology which could transform the oil and gas industry.

myriad of things I wanted to say but didn’t deliver very well. Over the four months, they equipped me with an arsenal of tools to refine my value proposition and perfect my delivery.

They included Ivan Starostin’s company, TenzorGEO, which uses unique interpretation software and autonomous ocean bottom seismometers that he believes can deliver unprecedented accuracy in pinpointing oil and gas deposits and truly effect a step-change in exploration.

“The success that TechX brought has been truly astonishing and I can’t thank my mentors enough, who have been available almost 24-7 throughout this whole process.”

To a point, his story is typical of many entrepreneurs in the North Sea who have an exceptional idea and unwavering belief. For most it would be a three to five-year journey, with no revenue and significant costs, to achieve what TenzorGEO has achieved in little more than a year.

David Millar, technology accelerator director at the Oil &

Statistics suggest that nine out of 10 start-ups which embark on such a journey fail to reach their destination, often because of a lack of revenue. However, TenzorGEO’s technology has just undergone a field trial in the North Sea for an energy supermajor, supported by a global service company, and Ivan Starostin attributes his remarkable success so far to the OGTC, its TechX programme and Scottish Edge, which has also supported him. Ivan said: “TechX helped us achieve, in 16-weeks, what otherwise might never have happened. We were given massive support and they did exactly what they promised – they accelerated us by perhaps three to five years.

Gas Technology Centre, said: “We

are delighted with the success we are seeing from Ivan and the TenzorGEO team. Technologies like these will address specific industry challenges and if we can accelerate their development, including access to field trials, this will demonstrate their effectiveness and advance commercialisation.”

Chris Pearson, marginal developments solution centre manager at the OGTC explained that by mitigating risks and cost for small pool developments, this improves the likelihood of securing the funding.

“The funding we received has been vital for a fledgling company with no revenue, but perhaps as important are all the other aspects TechX offered.

“TenzorGEO is using low-frequency background seismic, which is a very low-cost approach and should allow an operating company to narrow the uncertainty on developments - including larger developments with multiple wells. Overall this represents a great opportunity for the industry to access marginal developments.

“I was given immediate access to senior executives from the energy industry who I wouldn’t normally be able to reach, and who ultimately, made our first field trial possible.

“We are already lining up a second field trial with another operator in order to demonstrate proof of technology, which will achieve wider acceptance from the industry.

“It was an intensive 16-weeks during which I had to present time after time again. When I first started, I had plenty passion and a

“Achieving this milestone in just one year [from entry to the programme] is a good outcome and a great story for the OGTC.”

Walker Subsea Engineering to Develop High Speed Subsea Motor Walker Subsea Engineering are developing a class leading high speed motor for subsea applications. The project is supported by GX, and funded by the England European Regional Development Fund as part of the European Structural and Investment Funds Growth Programme 2014-2020. The aim of the project is to convert the class leading AVID Technology, EVO Axial Flux Electric Motor, for use in up to 500m submersion in seawater. Axial flux technology provides superior torque density compared to other motors, enabling lighter, smaller equipment. This in turn will help to drive down the overall cost of a subsea construction project. To complete the design works, Walker Subsea Engineering have enlisted the help of Senior Engineer, Simon Jarvis, who brings with him a wealth of experience in subsea design. The project is due for completion July 2019.

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FEATURE ARTICLE

UKEF

S E T T O C E L E B R AT E

YEARS Founded following the First World War in 1919, the UK’s export credit agency is this year celebrating 100 years of supporting UK businesses and global trade.

UK Export Finance (UKEF) is a UK Government department which works to ensure that no viable UK export fails due to lack of finance or insurance from the private sector. Since its creation 100 years ago UKEF has helped hundreds of UK businesses to achieve international success.

Attendees on the day will hear from the UK Government, representatives from international businesses and trade experts. This event will explore the latest developments in the field of international finance and export credit agencies and look to the future as UKEF enters its second century.

The organisation’s centenary year in business will be marked on Wednesday, 5 June 2019 at its annual UK Trade & Export Finance Forum. The event will give UK companies of any size the opportunity to explore the changing landscape of international trade and changes across the industry.

UKEF was established to kickstart British trade following the First World War, and was the world’s first export credit agency (ECA), originally known as the Exports Credit Department. In 1920 it had a maximum total exposure of £26m; now its maximum cover stands at £50bn.

The UK Trade and Export Finance Forum 2019 will take place on

Wednesday, 5 June at the Queen Elizabeth II Centre, London. The event is free of charge and companies can register to attend at www.events.great.gov.uk.

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UKEF CELEBRATES 100 YEARS

Richard Simon-Lewis, Head of Origination, Client Coverage,

Marketing and Communication at UKEF, said:

Reaching our 100-year anniversary is a significant milestone, providing an opportunity to reflect on our work and look to the future as we continue to support UK companies looking to make the most of export opportunities.

“We are looking forward to the event in June, which will give companies a unique opportunity to look at the trends in international trade and learn more about the UK Government’s Export Strategy and how UK government can support their overseas ambitions.” During its 100 years, UKEF has seen of big changes in how companies do business and has supported a number of landmark innovations. Richard added: “The way companies do business has changed drastically since the organisation was founded, and we have seen the way we support business change as well. In recent years we have started looking at how best to support smaller businesses, as they look to expand overseas. “In 2017 we made changes to our trade finance schemes, making it easier for SMEs to access finance from banks to increase global activity. Previously this process could take weeks, it now takes a matter of seconds where a transaction is eligible.

Throughout its history, the UKEF has been behind a number of firsts, including the first sukuk (sharia-compliant bond) backed by a western ECA, and the first non-Chinese ECA guarantee for a loan in Chinese Renminbi – now one of 65 international currencies in which UKEF can offer financing.

UKEF is at the heart of the Government’s Export Strategy, which seeks to increase UK exports to 35% of GDP. To support this strategy, from 2020-21 UKEF will increase its direct lending facility by £2 billion. UKEF can help companies offer attractive terms to their overseas customers, access finance to fulfil their overseas sales and reduce the risk of doing business internationally. It provides a range of services to UK companies including bond insurance policies, bond support schemes, credit financing facilities, direct lending, insurance and refinancing.

Companies looking to get advice and support from UKEF can get in touch via the Exporting is Great website.

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TECHNOLOGY

Successful Subsea Power Hub Trials for EC-OG Subsea energy storage and power generation specialists EC-OG have successfully completed a test programme with a North Sea Operator, demonstrating the Subsea Power Hub’s capabilities for powering subsea production equipment using battery power alone. During recent workshop trials, supported by the Oil & Gas Technology Centre (OGTC) and a North Sea Operator, the Subsea Power Hub (SPH) was used to power a commercial Subsea Control Module (SCM) and local power distribution system. By operating the SCM using lithium ion battery technology, located within EC-OG’s proprietary Energy Storage and Intelligent Energy Management System, the test successfully confirmed the Subsea Power Hub’s capabilities for operating North Sea wells without a power umbilical from a topside installation. The Subsea Power Hub combines EC-OG’s core technologies of subsea energy storage and power generation to solve the problem of energy delivery for remote subsea architecture, providing significant CAPEX savings and revenue benefits to the operator. The test was completed using a 3rd Generation Aker Solutions Subsea Control Module and power was delivered via a subsea distribution unit and inductive couplers, representative of a high percentage of the subsea infrastructure typically found in North Sea brownfield developments. The primary objective of the trial was to verify that the Subsea Power Hub could reliably supply the required power to the SCM and associated subsea infrastructure. Critical to operability, the trial successfully demonstrated the full operating range of SCM functions through both SPH operating modes; battery power and battery charging.

All testing was completed at Cohort company SEA’s facility in Aberdeen, where in April 2018 a previous integration trial was conducted with SEA’s pre-commercial SCM which they modified to work on DC power. The most recent test was conducted on the North Sea Operator’s SCM, using an AC power supply from the Subsea Power Hub. Paul Slorach, Business Development Manager at EC-OG said, “This is a big step forward for EC-OG, to be able to have our energy storage system successfully provide power to a commercial SCM. Demonstrating the capabilities of lithium-based batteries for powering subsea wells is a great achievement for us. It would have been very difficult to achieve this milestone without the continued support from the North Sea operator and the Oil & Gas Technology Centre.”

Christopher Pearson, Marginal Developments Solution Centre Manager at the Oil & Gas Technology Centre said: “EC-OG’s

Subsea Power Hub (SPH) contributes to industry’s transition to a lower carbon future through its tidal turbine system, which can be used to unlock the huge potential in marginal developments by providing a primary energy source. We are delighted to be supporting EC-OG with their trial.”

History Repeats at Flow Assurance Seminar by Steve Sasanow, former editor of Subsea Engineering News.

If the key question at Subsea UK’s recent Flow Assurance seminar in Aberdeen was “what has the industry learned over the last 30 years?”, the general consensus on the answer was: not much. Last autumn it was announced that a section of the Lomond-Erskine pipeline in the UK sector was to be replaced as the result of a wax blockage. The same event occurred 25 years ago at the Staffa field, not once, but twice, causing the field to be shut-in permanently and resulted in the demise of operator Lasmo. Making reference to Staffa, Murray Anderson of Crondall Engineering, said the UK was a mature sector with a good understanding of the range of geological structures from which oil and gas is produced. In addition, there is increasingly sophisticated software programs now being run on much more powerful computers. On the downside, he highlighted the loss of key personnel across the industry, through cutbacks and retirement, which has left an experience gap in the sector. As to why the industry continues to make the same or similar mistakes, Anderson queried whether the industry was adapting and understanding the changing of fluids being handled. He mentioned

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metamorphosis of fluid composition in each field; the mixing of fluids from different fields in the same pipelines; and the fact that the basis of design for a field development is a decision often taken from a small sample of fluid taken during drilling, but which might not accurately reflect fluid composition once production begins. Supporting a number of Anderson’s points, Conor Sherrard of Assured Flow Solutions suggested that fluid data is not always fully understood. He said a more comprehensive understanding should be based on production chemistry, plus laboratory data, plus flow analysis and support from operations personnel. Sherrard cited three case AFS has been involved in. The first revealed that incorrect fluid definition led to poor decision making on chemical additives which resulted in a waxed-up pipeline. The second showed that inexact predictions on emulsions could result in an over-sized pipeline – here additional analysis reduced the size of the pipeline and saved the project $10 million. Finally choosing the correct type of hydrate inhibitor can save a significant amount of opex. Another case study on chemical additives showed that while using conventional inhibitors would be uneconomic, shifting to low-dosage (LDHI) types could save more $11mn/annum. You can follow Steve Sasanow’s SubseaWatcher blog at keltd.co.uk


ACHIEVEMENT / PEOPLE

TechnipFMC Team Scoops Top Award in ACTIVE Cup Challenge A team from TechnipFMC has been presented with the top prize in the sixth annual oil and gas ACTIVE Cup Challenge. Steven Gillan (captain), Shaun Riddell, Katie Roberts, Zane Tan and Javad Heidari – otherwise known as MJH - beat stiff competition from 10 other teams from a range of Aberdeen-based energy companies, including Subsea 7, TechnipFMC, WorleyParsons, Wood, Oceaneering and Stork. Second place – the Gold Award – was taken by Wood, while Subsea 7’s “Solution7” team took the final rostrum place claiming the Silver Award. WorleyParsons was presented with the ‘most improved’ status during the competition. Organised by the Engineering Construction Industry Training Board (ECITB), the simulated construction project is run in collaboration with Cranfield School of Management as part of a wider project management training initiative within the engineering construction industry. The Active Cup is held each year in Carnoustie, near Arbroath. The teams of five must manage a project from inception to completion, with the winning team judged to be the one making the most profit against their initial bid price. Participants manage a fixed price construction project, financed by negotiated loan capital, on behalf of an external client. There are significant opportunities for teams to engage in the negotiations of claims for client driven scope changes, and in the resolution of disputes. The exercise is highly time-pressured.

Chris Claydon, Chief Executive of the ECITB, said: “Congratulations to TechnipFMC on their success in what was a very competitive field this year. The ACTIVE Cup programme shows how industry can come together to ensure best practice approaches in key areas like project management are widely understood and undertaken.

“In the face of the continued challenging climate for the oil and gas industry, it’s important that we work together to give ourselves the best chance of a sustained economic recovery. The ECITB is proud to support this competition and the many other project management development activities that promote knowledge sharing and collaborative working within the sector.” Bill Morrice, Managing Director of TechnipFMC’s UK Subsea Business, said: “Well done to all the teams who participated in the competition. We are proud to take the trophy again for the second time in 4 years. Our thanks to ECITB for organising the event.”

Infinity Recruits Richard Horne to Accelerate Subsea Operations Expansion

Richard Horne, Subsea Operations Team Lead

Independent engineering firm Infinity recently appointed Richard Horne in the newly created Subsea Operations Team Lead position. Infinity stated that Richard will be instrumental in the company’s plans to accelerate the expansion of their subsea operations division and estimate an additional five engineers will join the team in 2019. Richard brings more than 30 years of operations experience gained with Shell, Petrofac, Enquest and Fairfield Energy. In his role at Infinity, Richard is responsible for the management of a team of operations engineers delivering IRM, asset & integrity management and decommissioning scopes. Infinity also announced the award of a contract extension for subsea operations engineering from one of their key clients. Richard Horne, Subsea Operations Team Lead at Infinity said: “I am delighted to join the team at Infinity. The reputation of the company has grown over the past number of years and the recent Subsea UK Best Small Company of the Year award was great recognition of the hard work being done here. It’s an exciting time for the business and I look forward to working with our clients and growing the team.”

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PEOPLE

i-Tech 7 Appoints new Asia Pacific Director i-Tech 7, Subsea 7’s Life of Field business unit, has appointed a new regional director to help strengthen and grow its life of field business in the Asia-Pacific region. Simon Hird has more than 40 years’ experience in the subsea oil and gas industry and has worked for several major contractors in the construction and life of field sectors. He joins i-Tech 7 from UTEC Survey where he was business unit director responsible for managing activity in the Asia-Pacific region. Mr Hird, who will be based in the company’s Perth office, said: “i-Tech 7 has a strong reputation as a progressive and pioneering subsea life of field partner and I am delighted to be joining the company at such an exciting stage in its development. The Asia Pacific region is seeing a steady recovery and I look forward to working closely with i-Tech 7’s region team to help position the company as the go-to partner for all our clients’ life of field challenges.”

Simon Hird, i-Tech 7’s Asia-Pacific director

Neil Milne, i-Tech 7’s Vice President, said: “Simon’s wealth of knowledge and experience in the subsea sector, as well as his extensive local network, will be a valuable asset to i-Tech 7. Simon will play a vital role in our strategic vision for Asia Pacific as we continue to strengthen our operations and presence in the region over the coming years.”

Mr Hird spent the majority of his career in the North Sea before moving to Perth in 2008.

Group Operations Manager Joins SUT Middle East Committee The group operations manager of energy equipment manufacturer and service provider Flowline Specialists has joined the committee of a newly formed branch of the Society for Underwater Technology (SUT). Graeme Chalmers, who is based in Dubai, is one of the founding committee members of the SUT’s Middle East branch, which was launched in early 2019 to meet local demand. The branch extends the global reach of the international society, providing a focal point for SUT members in the region and creating a platform for all those with an interest in the area of underwater technology. The 18-strong committee, made up of subsea industry professionals who are based in both Abu Dhabi and Dubai, is planning a series of events for the year ahead which aim to fulfil the needs of members across the Middle East.

A multidisciplinary learned society, the SUT brings together organisations and individuals with a common interest in underwater technology, ocean science and offshore engineering. Membership is drawn from a broad base and includes engineers, scientists, industry professionals and students. The Middle East branch’s first events were held in April and were well attended. Both focused on new subsea technology for field life extension and also covered the evolution of subsea technology from diving bells to ROVs, the challenges of subsea asset integrity and new subsea technology.

Commenting on the SUT new branch, Graeme said:

“There’s a diverse network of subsea and underwater engineering related businesses in the Middle East, with many bringing their diverse expertise from other oil and gas regions. Establishing the local branch of the SUT allows these like-minded individuals and businesses to come together and share knowledge with one another and provide insight to the wider supply chain.”

Graeme Chalmers, group operations manager, Flowline Specialists DMCC

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Subsea UK News | June 2019


Integrate. Innovate. Accelerate.

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Profile for Subsea UK

Subsea UK News - June 2019 Issue