EIC Monthly News December 2013

EIC Monthly News December 2013

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The EIC Chief Executive

The Chief Executive Welcome to the December edition of the Monthly News. It’s hard to believe that we are in December already and eight months have flown by since I took on the role as Chief Executive.

The EIC has enjoyed yet another exceptional year with a growing portfolio of products and services to help you to identify business opportunities and deliver tangible benefits to your business, a fact reflected in our growing membership which is about to tip a record 700 members.

Looking back over 2013, a significant change within the EIC has been a restructure of our market intelligence service, which has now been split into an Oil & Gas team and a Power, Nuclear & Renewables team to better reflect the sectors we serve. There has also been the introduction of new initiatives such as the EIC Award for Supply Chain Excellence; the first EIC Annual Conference; the launch of EIC social media channels, and the introduction of an online event booking service.

I am also pleased to say that our in-house training service enjoyed remarkable growth this year; three further international exhibitions – ADIPEC (now annual), OTC Brasil, and Basra Oil & Gas – have been added to our Overseas Events schedule; and the recruitment of an additional Overseas Events Manager has enabled us to provide better regional coverage in terms of exhibitions and delegations offered. In fact, this year we took our first Overseas Delegation to Sub-Saharan Africa in February, with a visit to Ghana, which will be followed with a delegation to Mozambique and Tanzania planned for February 2014.

East and West Africa are excellent examples of emerging frontiers, and I see it as paramount that the EIC responds quickly and effectively to upcoming opportunities in the global marketplace.

Closer to home, EIC Connect, is going from strength-to-strength and, following the introduction of a conference to the event last year, our EIC Connect Energy event held in Manchester last month enjoyed a 20% increase in delegate numbers on the 2011 event.

Contents The Chief Executive

2

Sector Analysis

3

Training Services

4

EIC LaunchPad

6

New EIC Members

7

Member News

8

Events Diary

12

Overseas Delegations

14

Middle East News

15

EIC Connect Oil & Gas 2014 16 UK News

18

Asia Pacific News

20

China News

21

North America News

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South America News

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Developers and contractors from all over the world came together to identify UK supply chain capability for major power, nuclear and renewable projects. Delegates were provided with updates on significant projects including Hinkley Point C, Wylfa and Drax; future investment in CCGT; and activity in renewables – particularly in the UK where we are a leader in offshore wind.

The UK Government’s upcoming Electricity Market Reform programme, another prominent topic at the event, is due to be introduced next year and will be a turning point for the industry. The Government’s progress on policy this year means that the UK is the first country in the world to give clarification on funding levels for renewables through to 2021.

However, focus must not only be on the home market, but also on exporting our technologies and skills abroad in order for the UK to become a serious player worldwide.

With this in mind, I was delighted that Trade Minister Lord Green travelled up to Manchester to tour the event and address delegates, where he encouraged suppliers to position themselves to do business globally to ensure sustainable growth. Lord Green highlighted that British technology and capability is in high demand across the globe, and the opportunities to export goods and services around the world would be ‘enormous’.

I hope that the EIC’s work to bring all levels of the energy industry supply chain together at events such as these will prove valuable as companies begin these efforts.

Meanwhile in the Middle East, the EIC hosted the UK Pavilion at the first annual ADIPEC event, taking 64 companies to showcase their products and services, a 22% increase on 2012. The continued interest in this region is not surprising given that 190 major contracts (EPC, FEED and PMC) were awarded in MENA’s upstream sector between January 2010 and August 2013.

HRH Prince Andrew, the Duke of York, and Climate Change Minister Greg Barker both came along to meet exhibitors on the UK Pavilion during their respective visits to the show, to underline the UK’s commitment to growing oil and gas industry business in the Middle East.

And finally, it only remains for me to wish you and your families an enjoyable Christmas and I look forward to working with you in 2014.

Claire Miller, Chief Executive www.the-eic.com

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December 2013

EIC Sector Analysis

Sector Analysis

The future of offshore production: a platform-less vision be reinjected into the seafloor, increasing reservoir pressure and boosting production. Furthermore, subsea gas compression allows for extended subsea-to-shore tie-back solutions without a topside processing facility.

These technologies, along with multiphase pumping and single phase boosting, will allow operators to develop previously inaccessible offshore deepwater and ultradeepwater fields.

The Arctic is a virtually untapped frontier with estimates suggesting that 25% of the world’s undiscovered, but recoverable, oil and natural gas resources lie in the region. Development of Arctic resources is both highcost and high-risk, but nonetheless an attractive venture for energy development. Major concerns for operators looking to gain access to Arctic reserves include countryspecific environmental laws and regulations, economic sovereignty claims, harsh climates and extreme weather, including near-total darkness for long periods of time.

Most recently, Shell temporarily abandoned its Arctic exploration, citing sea ice blockage, rig damage due to severe weather and other unanticipated setbacks.

Operators face additional issues such as wildlife and environmental disturbance, as well as delayed response times for potential oil spill situations.

Brad Beitler, Vice President of Technology, FMC Technologies, stressed the importance of subsea production and processing systems in converting the ‘Arctic Vision’ into a reality. Subsea processing technology has the potential to significantly impact the outlook on offshore oil and gas production, particularly in deepwater and ultradeepwater fields, regardless of climate. Subsea production and processing equipment relocates conventional topsides processing to the seabed. With processing equipment lying directly on the seabed, the risk of severe weather or ice damage to the traditional above-water platform are mitigated. Without the need for on-site crew and staff, the concern over human safety is a non-issue. These two factors give subsea production and processing the potential to stimulate development activity in the Arctic region.

Only a few active fields have attempted production with subsea processing technology, all of which are successful and close to, or already, producing oil and gas. Subsea processing technology has the potential to transform offshore production. Subsea processing technology is a potential solution to feasibly develop Arctic resources, a key source of energy to meet future demand. Operator willingness is essential for the industry to take the next step in implementing subsea processing technology. In light of all of the recent strides forward, Beitler believes we are only ten years away from seeing a fully operating offshore platform-less field.

Michael Borrel Regional Analyst (North & Central America) Tel +1 713 783 1200 Email michael.borrel@the-eic.com

As North America strives for energy independence, the need for expansion and technological advancements grow. The outlook for offshore oil and gas production is promising, and technological innovation is enabling more fields to be developed in deeper waters. Significant advances in subsea equipment and technology will allow operators and oil and gas producers to renounce costly offshore platforms and move towards more economically viable solutions.

As production of hydrocarbons offshore has moved into deeper and more hostile waters, the structures used to support drilling and production have grown in size and expense to accommodate the environment and the drilling conditions. Even after the capital expense of construction and transporting the structure it to its final destination, operators still face high operational costs associated with staffing, ongoing maintenance, high insurance rates and liability coverage, costly shutdowns due to severe weather and decommissioning expenses.

The ideal technological advancements for future offshore fields involve increasing production with lower investments, as well as improving flow assurance and availability, resulting in increased revenue. Flow rates and reservoir sizes can be greater in deepwater and ultra-deepwater fields, therefore high-yield wells are essential otherwise the costs associated with drilling and producing become uneconomical. The average hydrocarbon discovery size is substantially larger offshore in deepwater and ultra-deepwater fields than in any other region, thus driving operator attraction.

One potential solution to address these challenges is the advancement of subsea production and processing equipment, and their associated technologies. In 1961, the first subsea well began production in the Gulf of Mexico.

Once operators found that production on the seabed was a cost-effective, realistic and reliable option, interest grew and engineers began developing new and improved subsea technologies. Since then, the development of subsea technologies has risen, involving subsea trees, wellheads, separation systems, pumping and boosting systems, and robotics. All of these advancements and many more are predominantly in place to expedite production and maximise recovery, while simplifying the extensive process that is developing an offshore oil field.

There are many advantageous reasons operators would choose to supply their fields with subsea processing systems, rather than the traditional fixed or floating offshore platforms. Subsea processing can enhance recovery with reduced capital expenditure.

This technology has proven to increase production out of mature and ageing fields, thus prolonging the life of the field. Also, with subsea separation and produced water reinjection, retrieved oil, gas, water, and sand are all appropriately separated subsea. Water can then www.the-eic.com

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December 2013

EIC Training Services

Training Services Industry Overview

Industry Overview

Technical Workshop New Introduction to Offshore Wind Energy 4 December 2013 GL Garrad Hassan, EIC London This workshop is suitable for developers, lenders, network operators and regulators, turbine suppliers, Balance of Plant contractors and other professionals who wish to benefit from GL Garrad Hassan’s technical and commercial knowledge of the field. It is assumed that attendees will have a technical background, but no specific offshore wind engineering knowledge is required.

Technical Workshop New Introduction to Fibre-Optic Applications in Harsh Environments 12 December 2013 Anixter and Corning Cable Systems, EIC London The workshop is aimed at anyone who works in an engineering, procurement and construction company, plus the end-user customer base in oil and gas (upstream and downstream), petrochemical, power generation (fossil fuel, nuclear, renewables), transmission and distribution and water/wastewater.

Fundamentals of Refining & Petrochemicals 3 December 2013 EIC London This course has been designed for managers, engineers, graduates, operators and other personnel who are new or are requiring insight into the refining and petrochemicals industry. The workshop will provide an excellent overview for people from technical, non-technical and commercial backgrounds who have limited experience and wish to improve their familiarity with the sector and the supply chain opportunities.

Fundamentals of Oil and Gas 10 December 2013 EIC London This course is suitable for graduates and other newcomers to the industry; people from technical, non-technical and commercial backgrounds who have limited experience and wish to improve their familiarity with some of the processes involved. The course takes the form of five modules to introduce the participants to the fundamentals of the oil and gas industry. It will also examine where the industry is going in terms of future developments.

HSE Training Copyright 2013 iStockphoto LP

Introduction to ATEX Directives 94/9/EC & 1999/92/EC 5 December 2013 Baseefa, Buxton This course will be of benefit to all engineers with a responsibility for compliance with UK and European legislation in respect of Ex equipment and installations.

It is particularly aimed at those who are new to the field and do not have a deep grounding in Ex techniques and those who have been working in the field for some time.

Management Course

Management Course

Why do we need Contracts?

11 December 2013 EIC London This course is aimed at engineers and other personnel who need an introduction to managing risk through the correct selection and drafting of contracts. It will help them engage constructively and intelligently with those at the sharp end of commercial management. The course takes the main approaches to contract strategy such as lump sum, reimbursable and target cost contracts and explains their strengths, weaknesses and typical applications in addressing project goals. The course explains the issues underlying the contract text: the problems which the draftsmen are trying to solve and some of the common solutions and pitfalls.

Tendering for Success: How to Write Winning Bids 5 December 2013 Rothera Group, EIC Billingham This course will give delegates an understanding of the bid management process and a structure which can be used to produce high-impact, customer facing tenders.

The course will cover a variety of areas, including amongst others: selecting work to bid for; making it customer focused; how to sell at higher prices; and beating the competition. This course is suitable for sales directors, bid managers, estimating managers, marketing managers, financial controllers, managing directors and anyone involved in writing tenders or managing bid teams.

If you would like further information on any of our courses or would like to arrange ‘in-house’ training at your offices, contact: ally.leboutillier@the-eic.com www.the-eic.com

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December 2013

New EIC Members

www.the-eic.com

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December 2013

EIC LaunchPad

EIC LaunchPad The EIC has an extensive network of UK and overseas offices, giving members a platform to expand their global business base. EIC LaunchPad is a business incubator service supporting companies entering or expanding into new global markets and offers: Serviced Office Facilities

The EIC’s Serviced Office Facilities, in Dubai, Houston and Rio, offer members the opportunity to cost-effectively build a presence in a new market, while providing vital support through local access to EIC services.

• Low risk and cost-effective market entry • Professionally manned reception and waiting area • Internet and telephone access • Postal and courier service • Copying and printing • Meeting facilities • Advice on legal, banking, insurance and payroll issues • Access to EIC services at a local level

Virtual Office Facilities

The EIC’s Virtual Office Facilities offer members a local identity, enabling members to build bridges to new markets.

• Exclusive local identity with a local address • Dedicated phone line answered in company name • Mail forwarding

Hotdesk Facilities

The EIC’s Hotdesk Facilities in all of our offices provide members with workplace services when in-country.

• Professional office space • High speed internet connection • Printing and scanning • Access to EIC services at a local level

www.the-eic.com

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December 2013

New EIC Members

New EIC Members New Global Member

New Primary Member

8 Lincoln’s Inn Fields London WC2A 3BP Tel +44 (0)20 7404 4140 Email ben.shani@agarcorp.com Web www.agarcorp.com

Imperial House Link 10 Napier Way Crawley West Sussex RH10 9RA Tel +44 (0)2033 019 732 Fax +44 (0)2033 019 738 Email les.elgar@rainbosupplies.com Web www.rainbosupplies.com

Rainbo Supplies & Services Ltd

Agar Corporation UK Ltd

The Nominated Representative is Mr Ben Shani, Operations Manager. Founded in 1980, Agar Corporation is a leading pioneer of non-nuclear, versatile, multi-phase flow meters used to optimise oil well testing and production.

Agar provides innovative solutions for applications such as heavy oil well testing, waste water treatment, automatic tank dewatering, desalters and gas liquid foam control. Raising environmental and safety standards, Agar technologies continue to receive industry recognition for their commitment to the advancement of systems which minimise water pollution and accidental hydrocarbon discharge. Additional industries utilising Agar solutions include the chemical, environmental, and pharmaceutical industries. Agar maintains eight global operational centres including offices in the United States, Canada, the Cayman Islands, China, Saudi Arabia, Venezuela, Malaysia, Indonesia, Ecuador, and the UAE. Agar maintains 50+ business partners and representatives in North America, South America, Europe, Africa, Asia, the Middle East and Australia.

The Nominated Representative is Mr Les Elgar, Sales Director. For the last 20 years Rainbo Supplies & Services has been delivering unique and highly professional procurement and purchasing services to clients. The dedication to customers, coupled with indepth understanding of the markets in which the company operates, is second-to-none. One of the reasons why Rainbo remains at the forefront of the procurement sector is its refusal to lose sight of its company philosophy, that whatever your request – no matter how complex or demanding ‘we get it’. Rainbo endeavours to garner a comprehensive understanding of your individual needs in order to ensure that the company helps you get the job done on time and on budget.

New Global Member

New Global Member

Unit 24, Graphite Way Hadfield, Glossop Derbyshire SK13 1QH Tel +44 (0)1457 899 307 Fax +44 (0)1457 899 308 Email russ@pressure-tech.com Web www.pressure-tech.com

6th Floor 200 Aldersgate Street London EC1A 4HD Tel +44 (0)8432 893 580 Email nora.kohlhase@sal-heavylift.com Web www.sal-heavylift.com

The Nominated Representative is Mr Russ Robinson, Sales Manager. Pressure Tech designs, machines and assembles an extensive range of high quality stainless steel pressure regulators predominantly covering the oil and gas market. Pressure Tech’s knowledge of customers’ requirements and rapid response to problem solving has led it to design products with unique features that improve performance and reduce downtime for customers. The product range covers: Analyser Systems, from gas cylinder regulators to the unique Dual Heated ATEX certified regulators – the versatile range of instrumentation regulators has endured extensive cycle tests; High Pressure Systems, for use on hydraulic and gas systems – the range is used on wellhead control panels, diving applications, and pressure test rigs amongst others; Custom Solutions, from subsea designs to biased dome loaded, from special alloys to special porting connections, Pressure Tech supports its customers when ‘off the shelf’ won’t do.

The Nominated Representative is Ms Nora Kohlhase, Sales Project Assistant. SAL Heavy Lift is one of the leading carriers worldwide specialising in sea transportation of heavy lift cargo. With a fleet of 16 heavy lift vessels, SAL Heavy Lift provides reliable transportation solutions for all types of project cargoes including equipment for the oil and gas industry, (offshore) wind energy, cranes, heavy machinery and floating cargoes. Among the trademarks of the fleet is a high crane capacity of up to 2,000 mtons SWL and an unrivalled speed of 20 knots.

The latest new buildings of type 183, being equipped with Dynamic Positioning 1/DP 2, are ready for offshore subsea installations.

SAL Heavy Lift UK Ltd

Pressure Tech Ltd

www.the-eic.com

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December 2013

EIC Member News

Member News

Alstom has agreed plans for a major upgrade with RWE Generation to implement its high performance MXL2 upgrade package on all nine gas turbines at the 2.2GW Pembroke and 1.65GW Staythorpe facilities – Britain’s two biggest gasfired combined cycle power plants.

The five GT26 gas turbines at Pembroke and four at Staythorpe will each be retrofitted with the multi-mode MXL2 upgrade, which offers increased performance, substantial improvements to operational efficiency and enhances availability through increased maintenance intervals.

This agreement also includes a comprehensive maintenance programme for the RWE Generation GT26 fleet across Europe; including Staythorpe and Pembroke in the UK, and Claus-Maasbracht in the Netherlands.

Alstom

The upgrading of nine advanced class gas turbines at some of the UK’s most important power plants is another milestone for Alstom’s MXL2 product portfolio.

Since its first implementation on a GT26 gas turbine at Spanish plant Castejon in 2009, the upgrade has been successfully demonstrated on the conventional class GT13E2 gas turbine, at South Humber Bank in Lincolnshire, UK in early 2012, and then on the GT24 gas turbine for the 60Hz market at the Bayside plant in Canada in November of the same year.

Michael Rechsteiner, Senior Vice President, Alstom Thermal Services, said: “The MXL2 upgrade package has been designed to help the customer get even more value from his machines with reduced maintenance hours over the life of the plant – and that is an offer which is difficult to resist.”

With the MXL2, Alstom offers performance improvements usually associated with completely new machines – but balanced with the security that comes from fully tested technology, backed up by many thousands of operating hours. Please visit: www.alstom.com

Amarinth has secured a new order in Iraq to supply eight API 610 OH2 A-Series pumps to the Zubair Initial Production Facility. Last year Amarinth secured its first business in Iraq to provide twelve API 610 11th edition Super Duplex OH2 A-Series pumps for the produced water treatment package for the Zubair Initial Production Facility in Basra in southern Iraq.

Following the delivery of those pumps on a short 24 week delivery, Weatherford International, which holds the oil field facilities contract for Iraq’s Zubair oil field, placed a further order for eight pumps to the same specification, on the same 24 week delivery. This brings the total order value of pumps supplied by Amarinth to the Zubair Initial Production Facility to over US$1.5 million. Amarinth is also in on-going discussions with Weatherford International to supply more pumps to the same project.

Iraq is proving to be a rapidly expanding market for suppliers to the oil and gas industry and Amarinth has been building quickly on its initial successes. The company has received approved vendor status from both Lukoil (Russia’s second largest oil company) and ENI and is progressing opportunities in the region with Iraq’s state owned oil companies South Oil Company and Midland Oil Company.

Oliver Brigginshaw, Managing Director, Amarinth, said: “We are delighted to have secured this further order in Iraq with the help of our agent Horizon Development International. While Iraq still poses many significant challenges, having a good local agent such as Horizon Development International is essential for trading in the country. We are currently seeing further significant growth opportunities in the region and the work we have completed to date to establish a foothold in the market, and these new reference sites coming online within Iraq within the next 12 months, will leave us in a strong position to win further business.” For more information please visit: www.amarinth.com

DeepOcean has entered into a five and a half year charter agreement starting March 2016 for a new build installation vessel. This key enabler will enhance DeepOcean’s current service offerings in the SURF (Subsea Umbilicals Risers & Flowlines) segment in the North Sea area.

The new vessel will be owned by Østensjø Rederi and is of SALT 304 design. Key vessel dimensions are; a length of 149.8 metres, a width of 27 metres, and 2,300 sq m of total deck space. The vessel is designed and equipped to suit the Greater North Sea market with the fuel saving environmentally friendly Siemens BlueDrive PlusC propulsion control technology and DP3 positioning system.

The mission equipment will be a 150T dual tensioner vertical lay system and a 3,000 tons carousel situated below deck.

To submit articles to the Member News section, please send no more than 300 words, and a good quality photograph (minimum 300 dpi) to richard.cheatle@the-eic.com or newsdesk@the-eic.com.

Copy deadline is the first of the month for the following month – ie by 2 January for the February issue. www.the-eic.com

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December 2013

EIC Member News

DeepOcean

The project comprises the construction of two additional Russian type VVER-1000 pressurised water reactors, which will each generate 1GW power. The cables and accessories will be supplied for applications within the nuclear containment area and will be installed from 2015.

The cables will adhere to international safety standards including K0, K1, K2 (class 1E LOCA). The technology used will ensure enhanced fire-performance in emergency situations, with insulation sheathing material having a high level of fire-retardancy and fire resistance together with low smoke and low toxicity characteristics, provided by the use of zero-halogen materials.

Olivier Dervout, Market Segment Director, Nexens, said: “In addition to Nexans’ technical expertise and the work it has previously done to supply cables for Phase 1 of this project, Nexans has been awarded this contract because of its strong customer-centric approach and its willingness to work closely with China’s nuclear regulators to ensure the cables and accessories are qualified for this project.” Please visit: www.nexans.com

The 400 tons active heave compensated knuckle boom main crane has extended reach and can lift 600 tons in double fall mode. The accommodation facilities will have a capacity of 140 persons. During the past six months DeepOcean has strengthened its SURF organisation in the UK and Norway. The company recently opened a new office in Westhill, Aberdeen. Future SURF projects will be managed out of Norway and Aberdeen.

Bart Heijermans, CEO, DeepOcean, said: “In the last two years we have hired 450 new employees, upgraded our owned and chartered vessel fleet, increased the number of mission equipment to 33 ROVs and 17 trenchers and generated strong financial results while maintaining a solid balance sheet. We currently operate 11 vessels in our home market, the Greater North Sea, managed by our employees in Norway, UK and the Netherlands.” For more information please visit: www.deepoceangroup.com

In line with the international jobs board’s attendance at the Women’s Global Leadership Conference in Energy & Technology, in Houston recently, the latest statistics from OilCareers.com suggest that registered female candidates have risen by almost 10% globally in the past year as the skills gap widens and salaries soar.

The Global Oil & Gas Workforce Survey: Expectations for hires and pay rates in the oil and gas industry (H2) 2013 shows that salaries are predicted to rise by over 60% this year in comparison with an expected rise of less than 20% in 2010. Further to this, hiring trends are also predicted to increase by more than 40% suggesting that there has never been a better time to enter the oil and gas industry.

This appears to have signalled an increased move by women towards the sector with OilCareers.com seeing a rise in the number of female candidates seeking administration, commercial/financial/legal, engineering, HR/personnel/ training, management, sales and marketing roles.

The survey covers all seven major oil and gas producing regions; Europe, Middle East, the Former Soviet UnionCaspian (FSU), Africa, Asia-Pacific, Australasia and the Americas, highlighting both salary and hiring trends across the industry. To download the survey please visit: www.oilcareers.com/onstream/workforce-survey/

DylanGroup has issued a new free user friendly Size Chart App. Clients can use the App for piping projects by looking up schedules, wall thicknesses, weights, and volumes of pipes. With this App clients can also contact DylanGroup directly by email for any enquiry or information. All information will be available as an App on mobile devices. Because this is a native App there is no need to stay online: all data will be stored on your device.

DylanGroup aims to provide a complete package of steel piping products and services. From strategically located subsidiaries all over the world, DylanGroup distributes pipe, fittings, flanges, solid bar and valves to industries worldwide. They also supply specialist turn-key services, including project management and consultancy for projects small or large-scale.

You can download the DylanGroup Size Chart App free from the iPhone Store. Please visit: www.dylangroup.com

Within the oil and gas industry applications for pressure regulators used on hydraulic control systems traditionally use metal to metal seating in order to provide a longer service life over plastic seats; however these are notoriously difficult to provide a leak tight seal. Plastic seats create a positive seal and faster response, but with a shorter service life. Pressure Tech now offers a solution with ceramic seating on its HYD691 series pressure regulator for hydraulic oil applications.

China National Nuclear Corporation has awarded Nexans a turnkey contract to supply power cables and accessories for Units 3 & 4 of the Tianwan nuclear plant in Lianyungang City, China. www.the-eic.com

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December 2013

EIC Member News

Rittal

The ceramic seating technology has been successfully proven on their LF690 water glycol model over the past five years with thousands of regulators in service throughout the world in both topside and subsea applications. Abrasive tests have confirmed the new superior ceramic seat material lasts 20 times longer than metal alternatives and will also provide better control due to the glass like surface finish.

The fully supported main valve ensures that there is no horizontal travel, thereby providing stable and repeatable control without the threat of resonance and wear. The new seat cartridge is now supplied as a complete module and is accessible from the front of the panel.

Pressure Tech designs and manufactures a full range of pressure regulators from its facility in the UK for a wide variety of applications including gas analysis, diving and life support and hydraulic control systems.

They are supplied in 316 stainless steel, brass and other materials to control pressures from 1psi to 20,000psi as well as providing custom solutions as required. For more information please visit: www.pressure-tech.com

Enclosure heaters can prevent the temperature of delicate electronic equipment from falling to a level at which condensation occurs and is arguably as important as providing cooling during warmer periods.

Rittal’s enclosure heaters with fans have capacities in the range 250W to 800W and the smaller heaters, without fans, have an output range of 10W to 150W. Providing a high level of energy efficiency due to the incorporation of self-regulating positive temperature coefficient (PTC) technology, the heaters benefit from a development using computational fluid dynamics (CFD) and a compact physical size that belies their heating performance.

Positioned anywhere inside the enclosure, Rittal heaters may be fitted either by snap-fastening onto 35mm support rails or direct screw-fixing onto TS 8 punched frame sections. Quick and easy assembly is completed using clamp-type wiring terminals.

Control is effected simply by the inclusion of a thermostat or hygrostat in the supply to the heater, ensuring that either a minimum temperature is maintained or maximum relative humidity is not exceeded.

Rittal’s enclosure heaters are now available with CSA approval and can be installed on systems for export to Canada. Please visit: www.rittal.com

Rainford Solutions has been contracted to supply Vanguard® outdoor electrical enclosures to be used for further research projects at CERN, the European particle physics laboratory near Geneva.

Rainford Solutions will design, manufacture and integrate thermal/power management systems into the enclosures. The outdoor cabinets will house the monitoring stations which measure the gamma and neutron radiation in the environment in the vicinity of CERN.

Rainford Solutions

Philip Harris, Head of New Business, Rainford Solutions, said: “The success of this tender demonstrates our ability to meet the requirements of technologically advanced projects efficiently and effectively. It further underpins our reputation for understanding clients’ needs and devising a solution which meets the most demanding technical requirements including CERN Safety Rules, European Regulations and a variety of standards regarding resistance to harsh environmental conditions.” For more information please visit: www.rainfordgroup.com www.the-eic.com

Siemens has introduced Si-IR and Si-Fence, two new solar-powered perimeter protection solutions to meet the challenge of safeguarding extensive perimeters and numerous network assets and services. Anglian Water is the first water authority to benefit from the new solar-powered electronic security technology. It is not only difficult and expensive to secure full protection of large perimeter and fence lines, but the requirement for costly duct networks, together with the associated power supplies and cabling infrastructure places significant demands on available resources.

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December 2013

EIC Member News Both technologies operate on a light source and not just sunlight, remaining powered for up to three months – even in total darkness. In addition to safeguarding assets, they are designed to improve green credentials and assist with carbon reduction programmes.

Mark Pickering from Anglian Waters’ @One Alliance, said: “Siemens, working collaboratively with the @One Alliance design team has designed a solution that will deliver full perimeter protection in order to save Anglian Water valuable construction time and money. This new technology means that we are able to accelerate our Security & Emergency Measure Directive (SEMD) delivery programme and forgo both the cost and time needed to install civils, power and communications. Furthermore, we will be assured of the security of key locations as well as considerable savings in future running costs.” Please visit: www.siemens.co.uk

“Fundamentally, customers can also be assured of full traceability of supply, which leads to greater flexibility in terms of delivery timescale. Tata Steel is committed to working in partnership with industry and Government to work towards meeting renewable energy targets.”

To learn more about the solar ground mount system from Tata Steel please visit: www.tatasteelenergy.com

Tata Steel

XPD8 Solutions has strengthened its senior management team in the anticipation of further growth with the appointment of two department managers.

Chris Hewson-Smith and Peter Falconer have joined the company in the respective roles for maintenance engineering and integrity services. Both bring extensive experience in the oil and gas industry to their new positions at XPD8.

The firm, based in Aberdeen, is recognised as a leader in maintenance engineering, condition monitoring and integrity services for the oil and gas sector. XPD8 recently reached its 10th anniversary and marked the occasion by announcing that it would be introducing an enhanced service through the introduction of a Reliability Solutions department.

Allan Merritt, Chief Executive, XPD8, said: “Offering a system of prevention rather than cure means clients are increasingly turning to us as they look to extend the life of their platforms and assets.

“Chris and Peter are joining us at a time when we are receiving growing demand for our services. Both have a great deal of experience and will be able to play important roles in helping us to maintain the highest quality of service and reliability in maintenance engineering and integrity services.”

Previously an independent maintenance management consultant, Chris has more than 30 years of industry experience and in recent years has been working internationally on Computerised Maintenance Management System (CMMS) implementation and support contracts. He will bring a wealth of knowledge and a vast network of contacts to XPD8.

Peter has joined from Oceaneering where he was an inspection and integrity function manager. He has been involved in engineering projects over a wide range of design, analysis and management for over 30 years and has focused on management, integrity and business development responsibilities. Widely regarded as an expert in the integrity management field, Peter has compiled articles for international publications and presented at key conferences and seminars.

Formed in 2003, XPD8 is a privately owned company which provides skilled engineers for all areas of the data development process.

The firm also recently revealed that it has received ISO9001 accreditation for its quality management systems which will further support future business growth and ensure high standards throughout the business. For more information please visit: www.xpd8solutions.com

Tata Steel has developed a solar ground mount system using photo-voltaic cells to generate energy from solar radiation.

The system, in its current version, has already been successfully installed in Cumbria, Sussex and the Isle of Wight, UK. The system, designed and manufactured by Tata Steel, is targeted at engineering, procurement and construction (EPC) and utility companies as well as developers and planners, minimises the number of piles needed for installation, resulting in lower costs from the outset.

The innovative engineering of the system allows for greater tolerances and eases installation. In addition, Tata Steel’s established project management capabilities will see the company provide project specific training to installers helping them gain experience in a controlled environment.

Each solar ground mount system is tailored to customers’ specific requirements with factors such as location, weather and landscape analysed, determining the shape, size and layout of the system helping to maximise its durability in any given environment.

Each application of the technology also comes with a performance guarantee for up to 25 years.

Saurish Basu, Business Development Manager, Tata Steel, said: “The development of a new tailored solar mount, which is durable, cost effective and reduces the risk of installation, is a natural extension of Tata Steel’s comprehensive and established energy offering. www.the-eic.com

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December 2013

Events Diary

UK, Overseas & Training December 2013 3 Business Presentation: Opportunities with Sirius Minerals Aldwark Manor Hotel, York 3 Industry Overview: Fundamentals of Refining & Petrochemicals EIC London 3 Technical Workshop: Introduction to FPSOs Rio de Janeiro 4 Technical Workshop: Introduction to Offshore Wind Energy GL Garrad Hassan, EIC London 5 Business Presentation: Opportunities with GDF SUEZ Hilton Treetops Hotel, Aberdeen 5 HSE Training: ATEX Directives 94/9/EC & 1999/92/EC Baseefa, Buxton 5 Management Course: How to Write Winning Bids Rothera Group, EIC Billingham 5 Business Presentation: Opportunities with SBM Offshore Rio de Janeiro 9 Management Course: Time Management Made to Measure Training, EIC London 9 Management Course: Understanding Contracts EIC Singapore 10 Business Presentation: Opportunities with Air Products Wynyard Business Park, Teesside 10 Industry Overview: Fundamentals of Oil and Gas EIC London 10 Business Presentation: Opportunities with Petrofac Dubai International Financial Centre 10 Technical Workshop: Introduction to FPSOs Rio de Janeiro 11 Management Course: Why do we need Contracts?

EIC London 12 Technical Workshop: Introduction to Fibre-Optic Applications EIC London 12 Industry Overview: Fundamentals of LNG eMJay LNG, EIC Houston 17 Technical Workshop: Introduction to Shale Gas EIC London 17 Management Course: Introduction to Social Media International House, Dubai 30 Industry Overview: Fundamentals of Subsea Rio de Janeiro January 2014 8 Management Course: Finance for the Non-Finance Manager EIC London 14 HSE Training: ATEX Directives 94/9/EC & 1999/92/EC Baseefa, Buxton 14 Industry Overview: Fundamentals of Subsea Denmore Technologies, EIC Houston 15 Business Presentation: Opportunities with SNC Lavalin Yas Island, Rotana 15 Technical Workshop: Introduction to FPSOs Denmore Technologies, EIC Houston 21 Technical Workshop: Internal Corrosion Management Solutions EIC Singapore 22 Management Course: Understanding Letters of Credit Institute of Export, EIC London 23 Management Course: Understanding Incoterms Institute of Export, EIC London 23 Technical Workshop: Steam and Condensate Systems Rio de Janeiro 28 Technical Workshop: Introduction to Shale Gas EIC London 31 Technical Workshop: Introduction to Reservoir Engineering EIC London February 2014 4 Management Course: Networking that Works EIC London

4-5 Management Course: The Effective Manager Change Creation, EIC Houston 5 Industry Overview: Fundamentals of Nuclear EIC London 6 Management Course: Effective Selling and Account Management Change Creation, EIC Houston 6 Technical Workshop: Introduction to Fibre-Optic DAS OptaSense, Farnborough 11 Corporate Entertainment: Middle East Members Lunch with Bechtel Sofitel Hotel, Abu Dhabi 12 Industry Overview: Fundamentals of Oil and Gas EIC Singapore 13 Technical Workshop: Introduction to Control Valves Severn Glocon, Gloucester 13 Technical Workshop: Introduction to Flow Measurement NEL, EIC Singapore 14 Technical Workshop: Introducton to Measurement Uncertainty NEL, Singapore For further information on UK & Overseas Events and Training please contact: info@the-eic.com

www.the-eic.com

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December 2013

Events Diary

Exhibitions & Delegations 2013

5-8 December Basra Oil & Gas Conference & Exhibition Basra

Status Sold Out

2014

1-6 February Overseas Delegation to Algeria 9-15 February Overseas Delegation to Mozambique and Tanzania

Booking Now Booking Now

10-14 February Overseas Delegation to India

Booking Now

19-21 February Australasian Oil & Gas Exhibition (AOG) Perth

Booking Now

2-6 March Overseas Delegation to USA (Nuclear)

Register your Interest

10-14 March Overseas Delegation to Azerbaijan

Booking Now

19-21 March CIPPE

Booking Now

Beijing

23-28 March Overseas Delegation to Malaysia

5-8 May Offshore Technology Conference (OTC)

Houston

Register your Interest Sold Out

11-15 May Overseas Delegation to Libya

Register your Interest

11-16 May Overseas Delegation to South Africa

Register your Interest

18-21 May Overseas Delegation to Angola

Booking Now

9-13 June Overseas Delegation to Canada

Booking Now

27-31 July Overseas Delegation to Japan

Register your Interest

25-28 August Offshore Northern Seas (ONS)

Stavanger

Booking Now

15-18 September Rio Oil & Gas

Rio de Janeiro Booking Now

13-17 October Overseas Delegation to Myanmar

Register your Interest

For further information on Exhibitions & Delegations please contact: events@the-eic.com

National Events

2014

Status

25-26 November EIC Connect Oil & Gas

Stand Bookings Now Open

Manchester

For further information on National Events please contact: nationalevents@the-eic.com

u

BOOKING NOW

Contact laura.tavernor@the-eic.com

harriet.fray@the-eic.com

www.the-eic.com

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December 2013

EIC Overseas Delegations

Overseas Delegations

Overseas Delegation to Azerbaijan 11-14 March 2014 MAP Funding: £500 The Caspian’s relatively untapped hydrocarbon resources, and their development and secure transit to international markets, are driving growth and global interest in Azerbaijan. Azerbaijan has been the fastest growing economy in the world in recent years, thanks to a rapid rise in oil and gas revenues, and the UK is the largest foreign investor in Azerbaijan. BP is the dominant operator in Azerbaijan, and the majority of British companies active in Azerbaijan form part of their supply chain. With the completion of new pipelines in recent years, Azerbaijan is a strategic location as an import/export gateway for the region, and a potential transportation hub for other Caspian coastal states.

Overseas Delegations are designed to enable the UK supply chain to target revenue opportunities in a supportive business environment.

Overseas Delegation to Algeria 1-6 February 2014 MAP Funding: £250 Algeria, situated in North Africa, is heavily reliant on its hydrocarbons sector, with 97% of exporting revenue coming from oil, natural gas and liquefied natural gas. Algeria offers many opportunities to companies with large value projects such as the US$20 billion Trans-Saharan gas pipeline, the cross-country Nigeria to Algeria pipeline project; or upstream developments such as the US$3 billion Bir Seba oil field development and downstream the US$3 billion Arzew petrochemical plant project to mention only a few.

The Algerian government also has ambitious investment plans for both the renewables and infrastructure sectors over the next five years, aiming to invest US$60 billion into solar, wind and geothermal sources, by 2030, and the UK is set to become a big trading partner in the renewable sector for the country following the PMs visit in January.

Event Report Overseas Delegation to Mexico Mexico City, Villahermosa and Ciudad del Carmen 7-11 October 2013 Delegates received a good overview of the Mexican oil and gas industry in-country, via a market briefing covering the economy, taxation and legislation. Company visits included PEMEX Shell, ICA Fluor/Grupo Carso, Petrofac, ENX (subsidiary of Grupo DIAVAZ) and Schlumberger.

A number of networking opportunities over the course of the week allowed the delegates to speak to a varied cross-sector of the Mexican oil and gas industry: Her Majesty’s Ambassador, Mr Duncan Taylor CBE, hosted the delegation along with senior level people from PEMEX, BP, Shell, Schlumberger, Petrofac and a number of other companies for a private dinner at the residence in Mexico City. An interesting opportunity to share views on operating in Mexico, the challenges of Energy Reform, and how it could change the face of the oil and gas industry in Mexico.

The British Chamber of Commerce organised Energy Day is an annual event, with representatives coming together to discuss current and relevant topics from the energy sector. There were national and international experts, including members from the Mexican government, PEMEX, and other international companies working in the energy sectors present.

The delegation attended the conference for the day, along with lunch and evening networking reception.

In Ciudad del Carmen the delegation had an informal lunch with local contractor GINEMEX and the Mexican Petroleum Institute.

The delegation and the oil and gas industry will be watching Mexico with interest, in the hope that the Energy Reform will pass and the UKs long standing expertise will be key to increasing production in the coming years.

Laura Tavernor Manager (Overseas Events) laura.tavernor@the-eic.com

Overseas Delegation to Tanzania and Mozambique 9-15 February 2014 Dar es Salaam and Maputo MAP Funding: £720 World-class natural gas discoveries off Tanzania and Mozambique look set to transform East Africa into one of the world’s largest sources of liquefied natural gas (LNG).

Neglected for decades in favour of North and West Africa, interest in the region has increased exponentially in recent years and East Africa is finally emerging as not only a significant player in the continents oil and gas industry, but a possible game changer in the global gas market. The programme will consist of workshops, seminars and company visits along with a networking reception in each location.

Overseas Delegation to India 10-14 February 2014 Mumbai and New Dehli MAP Funding: £550 India’s oil and gas industry constitutes over 15% of the country’s GDP. With the Government’s Five Year Plans kicking into action, extensive production and distribution projects are currently on-going to meet the oil and gas needs of its economy, hence representing huge opportunities for those within the lucrative oil and gas industry. Significant business opportunities also exist in other energy sectors in India. The downstream sector will see over US$100 billion invested in the next five years, in very large scale refining and petrochemical projects. The midstream sector, led largely by pipelines and LNG terminals, is expected to see investment in the region of US$75 billion. These proposed investments identify India as a potentially massive market for the UK supply chain, both in the short and long term. www.the-eic.com

Overseas Events Tel +44 (0)20 7091 8600 Email events@the-eic.com

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December 2013

EIC Middle East News

Middle East News

Finally, the news wouldn’t be complete without mentioning representatives of member companies who we have had the pleasure of meeting either at our office or around town during a visit to the region. John Bright from Voith passed by to introduce his colleague Gulziya Issayulova. John, by the way, is joining us on our adventure to Basra this month.

It was good of John Ferriman from AEG Power Solutions to pass by the office along with his Dubai based colleague Assem Salaam during his tour of the region. There have been a couple of newcomers that have passed by. The first was Carmel Bunuan from Rexal IPG who was introduced to us by John Kaznowski and the other was Kristina Ciuksyte, newly arrived from Online Electronics who was accompanied by Chris Yates who used to work out of our offices here. Another regular visitor was Steve Pigg from Safehouse Habitats and last but not least, we were pleased to be able to assist Dave Hewitt from Endress+Hauser who needed some urgent first aid attention to his sprained wrist.

All in a day’s work at EIC Dubai!

Terry Willis, Director, Middle East Contact: terry.willis@the-eic.com

Office News

The same comment is always made when one starts writing out the December issue of the News. Where has the time gone? It’s hard to believe that we are approaching the end of another year and perhaps we should just take a minute to reflect on a couple of milestones that stand out from the 2013 calendar.

February remains a distant memory but that was the month that saw us deliver our best ever golf event.

Taking place at a new venue and having a full contingent of 120 golfers plus a number of generous sponsors, the event proved to be an outstanding success with Express Electrical grabbing the prize trophy. As a result, we immediately booked up the 2014 tournament which will take place on 20 February with a brand new sponsor in tow. Legrand stepped up to the plate when we were seeking support and we can therefore promise another great golf day.

In June we held our third EIC Connect event in Abu Dhabi. Having adopted a new format of conference plus workshop, the attendance and quality of presentations proved exceptional which has resulted in us considering expanding this in 2015. A date for your diary is therefore 3 June 2015 for EIC Connect Oil, Gas & Power.

Coming back to this month, we have two landmark events plus a training session. For the first time, we shall be hosting a modestly sized UK Pavilion at the Basra Oil & Gas show. Iraq and especially southern Iraq is becoming increasingly attractive to UK companies especially when one considers the high level of investment that is currently taking place within the oil and gas space and over the past couple of years this exhibition has been growing in importance with this year’s episode proving to be the most popular. Not long after returning from Basra, we are delighted to be hosting Petrofac again at one of our industry lunches. To date, Petrofac holds the record for the number of attendees at our lunch events (164 in January 2010) and given current levels of registration, we can be confident that they will not disappoint. The event has also attracted some sponsorship from Triplefast and Joton Paints.

The last event is a training event that is focussed on social media and how a business can take full advantage of the array of tools that are currently at our disposal. This is just one of an expanding programme of training events that we are planning to roll out over the coming months.

Mention last month was made of our newly released serviced office offer, aptly named EIC LaunchPad, that allows companies looking to dip their toes in the water, to take advantage of a complete ready-made solution to consider a more permanent future presence in the marketplace. It is with great pleasure that we can announce that our first tenants moved in last month.

We were very pleased to welcome Darryl Johnson from JSP Ltd who took up residence with us just prior to the very busy ADIPEC week and we wish both him and his company the very best of luck in their new venture.

Regional Comment

Petrofac/Bonatti awarded US$650 million EPC project Petrofac, the international oil and gas services provider, will lead a partnership with Italian lump-sum contractor Bonatti to execute a 32-month Engineering, Procurement and Construction (EPC) contract for Sonatrach to extend the life of the Alrar gas field in south east Algeria. The contract value is more than US$650 million. The scope of work encompasses engineering, procurement, construction and commissioning services for the development of new separation and booster compression facilities.

Oman Oil to take 40% in BP’s Block 61 tight gas fields The state-owned Oman Oil Company (OOC) will take a 40% stake in BP’s Block 61 tight gas fields in north central Oman, once the latter declares commerciality, said Oman’s minister of oil and gas. The minister said BP would declare commerciality of the block once all full-field development agreements are signed between the Oman government and BP. The total investment for developing Block 61 will be in the range of US$15 billionUS$20 billion over a 30 year concession period.

Foster Wheeler to work on Jazan project Foster Wheeler has announced that it has been selected

by Farabi Petrochemicals Company to undertake a concept study and technology selection contract for the Jazan petrochemicals project in Saudi Arabia. Foster Wheeler’s scope of work will include development of the overall concept for the project, which is planned to include a world-scale linear alkyl benzene plant and a range of units producing speciality chemicals derived from diesel feedstock. Foster Wheeler will also recommend the technology for the production of low aromatics solvent and for the treatment of heavy fuel oil, as well as develop a capital and operating cost estimate and the invitation to tender for the front-end engineering design.

EIC Newsbriefs – Keeping you up to date on energy news from around the world. Email membership@the-eic.com www.the-eic.com

15

December 2013

EIC Connect

EIC Connect Oil & Gas 2014

International Supply Chain Event, Exhibition & Conference 25-26 November 2014, Manchester Central, UK STAND BOOKINGS NOW OPEN

Following a hugely successful event in 2012, EIC Connect Oil & Gas will return to Manchester in November 2014 for what promises to be the biggest EIC Connect event to date.

EIC Connect Oil & Gas 2014 encompasses a series of Supply Chain Briefings, a Conference and Exhibition covering global opportunities and updates on major energy projects.

Companies wishing to launch new products and/or showcase innovative technologies are urged to take a stand at the event. The EIC will promote exhibiting companies to operators and contractors in advance and help arrange up to three one-2-one appointments with the procurement/engineering managers attending from speaker companies.

Exhibiting companies are also invited to network with the major operators, contractors and VIPs at the ice breaker evening reception on 25 November which will not be open to general delegates.

Join us as an exhibitor/sponsor and: • Be part of an exclusive showcase of companies • Promote your products and global capabilities to buyers • Receive guaranteed one-2-one appointments with buyers • Discover how to approach business globally and meet with UKTI market specialists • Network with UK and international energy players • Align your brand alongside industry peers Stands open on the front only are £2,400+VAT per 9 sq m. Corner stands are £2,700+VAT per 9 sq m.

To book a stand or to find out more about the Exhibiting and Sponsorship opportunities available contact: Charmaine Atkinson, National Events Co-ordinator Tel +44 (0)1642 379 975 Email charmaine.atkinson@the-eic.com

www.eic-connect.co.uk www.the-eic.com

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December 2013

Where can you meet the decision makers from the world’s leading energy projects?

EIC Connect: International Supply-Chain Event, Exhibition & Conference EIC Connect is a series of highly successful international supply-chain events designed to connect operators and contractors to UK suppliers.

Supply Chain Event & Conference 25th – 26th November, Manchester Central, UK

Leading operators and EPC contractors present their forward work to suppliers from a series of theatres in the main exhibition hall.

Their sessions are supplemented by One-2-One meetings where delegates can put their products and services forward to decision makers. The adjoining exhibition allows UK companies to showcase their products and global capabilities to buyers from the world’s leading energy companies.

Conference & Share Fair June 2015, Abu Dhabi, UAE

NUCLEAR, GAS, COAL & RENEWABLE ENERGY PROJECTS

Supply Chain Event & Conference November 2015, Manchester Central, UK

EIC Connect events also feature conference sessions designed to educate the supply chain on emerging market sectors allowing delegates to channel their business goals.

Widely recognised throughout the energy industry, the events typically attract up to 1000 SME business owners, sales engineers and project managers who all want to know how to work with major companies whilst being given the unique chance to meet with the decision makers and network on a level playing field.

What are the benefits of attending EIC Connect Events?

AS AN EXHIBITOR/SPONSOR:

AS A DELEGATE:

• • • •

• Learn about high-value opportunities on global energy projects • Identify future markets and areas of growth • Book One 2 One meetings with buyers • Learn about new products and technologies in the industry • Access to decision makers • Fantastic networking opportunities

Promoted to the speakers in advance Guaranteed appointments with buyers Part of an exclusive showcase Invitations to exclusive ‘Ice Breaker’ Evening Reception • 2 x Delegate Places • Listed in the event programme & website • Outstanding value for money

The Energy Industries Council (the EIC) is the leading information please17goods visit: www.the-eic.com trade associationFor for more UK companies supplying and services to the global energy industries.

2014 BOOTHS SELLING FA ST!

BOOK

YOUR STAN D

NOW

For more information, visit www.eic-connect.co.uk December 2013

www.eic-connect.co.uk

EIC UK News

News from our UK offices

EIC launches Online Booking More and more EIC Login to book online events are now available to book online, making it quicker and easier for our members to gain access to our services.

Forthcoming Events

Business Presentation: Opportunities with Sirius Minerals 3 December 2013 Aldwark Manor Hotel, York Sirius Minerals Plc is a mining and exploration holding company specialising in the development and delivery of major potash related projects. The York Potash Project is Sirius Minerals’ flagship development asset.

The project targets the production of polyhalite, a multinutrient mineral containing four of the six macro-nutrients required for plant growth. The initial development for the project will target multiple routes to market including production of large-scale granulated polyhalite as a direct application fertiliser and as a main source of potassium for the production of nitrogen, phosphorus and potassium fertilisers (NPK). The York Potash Project is the largest and highest grade polyhalite resource in the world, laying the foundation for Sirius to become a leading global large scale potash and multi-nutrient producer.

Contact: jennifer.hole@the-eic.com

Online booking is being introduced across all of our events over the next couple of months and in the meantime, events are still available to book via the existing routes.

Your login details are the same as your EICDataStream credentials. If you need a reminder of these please email us, we will need your full name if it’s not obvious by your email address: membership@the-eic.com In the coming weeks we will be launching My EIC, a self-service area allowing you to view and amend your mailings with us, download your receipts and update your personal details.

Thank you for your patience during this period and look out for more updates coming soon.

If you have any questions or require a reminder of your password, please contact Lisa Munro, Membership Communications Manager: lisa.munro@the-eic.com

Business Presentation: Opportunities with GDF SUEZ 5 December 2013 Hilton Treetops Hotel, Aberdeen GDF SUEZ E&P UK Ltd discovers, develops and produces oil and gas in the North Sea as an affiliate of the world’s largest utilities company. GDF SUEZ E&P UK Ltd is rapidly becoming one of the UK’s leading operators and duty-holders. Welcome back to Aberdeen, Rob Buchan, who has taken up the role of Aberdeen General Manager and will oversee the company’s developments and operations across the UK. He is also part of the firm’s Executive Team. GDF Suez and Rob Buchan first spoke exclusively to the EIC in 2009. Just after presenting he moved to head office in Paris where his most recent role was Senior Vice President Operations for GDF SUEZ E&P International. Joining him will be Martin Bruce, Manager for Supply Chain & Procurement. Topics will include background information on GDF SUEZ E&P UK Ltd; current work and future opportunities; how to do business with the company (including how to pre-qualify as an approved vendor eg FPAL) and key contacts.

Contact: leeann.stewart@the-eic.com

Southern Region AGM, January 2014

Would you like to represent your organisation on the Southern Region Committee? The EIC is looking for members to help shape the future direction of the region.

The Southern Region Committee aims to assist in the development of the regional programme to equip members with an overview of the energy sector, including suggestions and ideas of areas of interest, speakers or projects; provide a cross section of feedback on EIC services and activities offered within the region, thus helping to shape and maximise our membership offering; help us consider the needs of both speaker companies and members attending regional events; promote the EIC to potential members and provide insight and feedback on projects/industry trends.

The benefits of Committee Membership include: raising the profile of your organisation among the membership and beyond; representing the views of EIC members both in the region and as a whole; helping to build a beneficial programme of events and activities; building strong relationships with other committee members; enhanced networking opportunities; priority invitations to select EIC events.

If you wish to be considered for a place on the Southern Region Committee or would like to find out more, contact: charlotte.hust@the-eic.com

Business Presentation: Opportunities with Air Products 10 December 2013 Wynyard Business Park, Teesside Air Products is building the world’s largest renewable energy plant in the UK using advanced gasification energy-from-waste (EfW) technology on Teesside. It is located on industrial land, adjacent to the North Tees Chemical Complex near Billingham. The facility will provide renewable electricity for up to 50,000 homes and create up to 700 jobs during its construction and 50 permanent jobs once it enters commercial operation.

Further details to be confirmed.

Contact: jennifer.hole@the-eic.com www.the-eic.com

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December 2013

EIC UK News

Meeting rooms available in all EIC UK offices London

The EIC Conference Suite in London offers convenient riverside meeting rooms with excellent views for between 1-110 people within the EIC head office. Made up of five meeting rooms and an airy, spacious breakout area, the energy themed décor of the EIC Conference Suite offers the perfect solution for members looking for somewhere to hold a conference, meeting or reception.

The Suite offers fully adaptable spaces, video conferencing, hot desks, free Wi-Fi, state of the art AV facilities and flexible catering options. Room hire starts at just £70 for EIC members.

Exclusive member offer EIC members can use the Battersea or Blyth rooms once FREE OF CHARGE. Contact: daisy.crisp@the-eic.com

Billingham

The Billingham office offers meeting room facilities for up to 22 people. Now in a larger office within the DBH Business Centre, it is in a prime location for business throughout the Tees Valley and North East area. EIC Billingham has plenty of free parking, a hot desk and two private meeting rooms: a large room which can accommodate a variety of layouts and up to 22 delegates, and a smaller room which can hold four delegates.

All rooms have free Wi-Fi and fully flexible and cost effective catering options are available from our onsite caterers. Use of the meeting rooms is free of charge to EIC members. Contact: jennifer.hole@the-eic.com

Aberdeen

The centrally located EIC Scotland office offers a conference/meeting room on the second floor which can be set up in theatre, conference or meeting room style for up to 20 people. Hot desks are also available and all rooms have access to free Wi-Fi. Serviced offices in Aberdeen available to EIC members The EIC Scotland office is located in a prominent position just off the Queens Cross roundabout which provides a central location which is an ideal base to reach all parts of Aberdeen City and Shire. Considerable refurbishments have been completed since the facility first opened in 2009.

Currently there is one EIC member office available on the 1st floor. The member offices have their own entrance from the 1st floor landing adjacent to the EIC staff offices.

Office 2 is 9.38 sq m and is ideal for one person.

Cost per month £700+VAT. The meeting room facilities are also available to resident members subject to availability.

Contact: leeann.stewart@the-eic.com www.the-eic.com

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December 2013

EIC Asia Pacific News

Asia Pacific News

Regional Comment

Myanmar awards 16 blocks A host of international operators have been awarded 16 blocks onshore Myanmar. 13 of the 16 block awards were for production sharing contracts, with the other three being petroleum recovery contracts. Among the winners, Italy’s Eni, Malaysia’s Petronas, India’s ONGC Videsh, Pakistan’s Petroleum Exploration (PVT), and Canada’s Pacific Hunt Energy each won contracts to operate two blocks.

Office News

Looking back at some of the milestones in the past year, we were pleased to have seen progress in our training workshops and have introduced our video conference presentations series. Last month we had The Fundamentals of Oil & Gas on 5 November, The Professional Presenter on 7-8 November and The Fundamentals of the Refining Process on 28 November. We continue to work with various new partners to expand our training programme and will be introducing specialised technical workshops such as Internal Corrosion Management Solutions with Belzona in January 2014, and The Fundamentals of Flow Measurement and Measurement Uncertainty with TUV NEL in February 2014.

With Christmas around the corner and many members on holiday, December is expected to be a less busy month. Nonetheless, we are holding in-house training on Understanding Contracts with GL Noble Denton on 9 December. We will be celebrating Christmas with our annual Christmas party on 18 December. For those who aren’t able to join us, we wish all a festive Merry Christmas and Happy New Year.

PNG LNG US$1.5 billion funding ExxonMobil has sealed a further US$1.5 billion in financing for the Papua New Guinea LNG (PNG LNG) project. This financing deal takes the total financing facility for PNG LNG to US$15.5 billion and was raised to supplement current financing. The estimated cost for the PNG LNG plant is US$19 billion. The project remains on schedule to deliver its first LNG in Q2 of 2014. The project is being developed by ExxonMobil, Oil Search, Santos and Nippon Oil. EPC contract awarded for coal-fired power plant The Vinh Tan 3 Energy Joint Stock Company (VTEC) has contracted China’s Harbin Electric Company to build the US$2.7 billion Vinh Tan 3 coal-fired thermal power plant in the southern province of Binh Thuan. The plant will consist of three turbine groups with a capacity of 1,980MW and will use imported coal for generating over 12 billion kWh a year, which will considerably help the southern region ease power shortages. Construction will start in Q3 of 2014 and the plant’s first turbine is expected to generate electricity by 2018. VTEC, the project developer, is partnered by Vietnam Electricity (EVN), One Energy Ventures Ltd and Thai Binh Duong Company.

Forthcoming Events Technical Workshop

Internal Corrosion Management Solutions 21 January 2014 EIC Singapore This course has been designed for engineers, asset owners, operators and contractors involved in the design and material selection of new build process vessels for the oil and gas industry. It provides an overview of the latest developments in process vessel internal erosion and corrosion management solutions and application techniques utilising organic lining technologies. Prequalification testing programme and documented real life examples of the systems will also be presented. The aim of the course is to give attendees the opportunity to consider cost effective and reliable corrosion management alternatives at the design stage of a project.

Training partnership for Prelude FLNG Australia’s Challenger Institute of Technology and Shell have committed to a four year partnership to develop training programmes for the technicians who will operate and maintain the Prelude floating liquefied natural gas (FLNG) facility. The agreement will see Challenger deliver training for an expected 200 technicians working in the production, mechanical, instrument-electrical and service areas.

Challenger’s Australian Centre for Energy and Process Training (ACEPT) at the Australian Marine Complex will be the home base for the delivery of the programmes.

Corporate Entertainment: Annual Lunar New Year ‘Lohei’ Networking Lunch 11 February 2014 EIC Singapore

Taranaki Tui farm out AWE Ltd, New Zealand Oil & Gas (NZOG) and Pan Pacific Petroleum (PPP) will absorb Mitsui’s 35% stake in the Tui Area oil project in Petroleum Mining Permit 38158 (PMP 38158) offshore Taranaki Basin, New Zealand.

AWE and NZOG will increase their stakes to 57.5% and 27.5% respectively, after each acquired a 15% interest from Mitsui. PPP bought the remaining 5% stake that Mitsui held. The sale is subject to approval by the New Zealand Minister of Energy and Resources and a Mitsui affiliate will remain as oil marketing agent for the Tui project.

If you need any help or advice in the region or for more information about upcoming events, please contact us: Tel +65 6238 7756 Email singapore@the-eic.com Loong Say Meng, Director, Asia Pacific Contact: loong.saymeng@the-eic.com

EIC Newsbriefs – Keeping you up to date on energy news from around the world. Email membership@the-eic.com www.the-eic.com

20

December 2013

EIC China News

China News

ROC reports progress in Bohai Bay Australia‘s Roc Oil Co (ROC) has said that it is moving ahead with work on the 09/05 licence area, located offshore China in Bohai Bay. In a statement the company said it had wrapped up work on a 3-D seismic study of the block and had also finalised a farm-out option for the project with fellow Australian firm Horizon Oil. A ROC subsidiary, Roc Oil (Bohai), has successfully collected 3-D seismic data from a 162 sq km area within Block 09/05. The company had already begun seismic processing. This will assist the team in high-grading the prospect inventory, in preparation for commencement of early exploration drilling. According to the company, the programme was completed ahead of schedule, within budget and without incident. The company also revealed details of its farm-out agreement with Horizon, which cannot be executed without approval from CNOOC Ltd, the Chinese partner in the project. Under the terms of the agreement, Horizon will pay 40% of all petroleum exploration costs incurred until the exercise or lapse of the option, which entitles Horizon the right to farm in to a 40% working interest in Block 09/05.

Event News

On 10 October we had a very successful member event which was combined with a free tour of China’s top exhibition/forum event for the offshore oil and gas industry, the China International Offshore Technology Conference (CIOTC) and China Offshore Engineering Symposium 2013 (COES). Representatives from member companies including AMEC, Petrofac, DPS, KBC, Bohler, Richtech, Hydratight and Oliver Valves had an enjoyable time as VIP guests at the opening ceremony where they met senior decision makers from CNOOC, Sinopec, China Petroleum Association and CSMI. All of our members who attended had very positive feedback on the event which was an ideal opportunity to network and provided contacts with major players in China’s offshore industry.

For information and business support in China contact: Salina Zhang, Regional Manager, China Contact: salina.zhang@the-eic.com

CNPC wins approval for Dalian expansion China National Petroleum Corp (CNPC) has been given the green light to build the second phase of its major LNG terminal at Dalian on the far north east coast. The first phase, with an annual receiving capacity of 3.5 million tonnes, was completed in October 2012 at a cost of US$767 million, according to CNPC. The second phase, adding another 6 million tonnes per year of capacity, was approved by the National Development and Reform Commission (NDRC) according to the Xinhua news agency. CNPC originally planned for the second phase to be completed and operational by the end of 2013. China’s three NOCs, including Sinopec, are planning to build up to 15 LNG terminals to supply rapidly rising gas demand, forecast by the International Energy Agency (IEA) to reach 260 billion cubic metres per year by the end of 2015.

Regional Comment

Foreign companies to partner in 25 offshore blocks CNOOC Ltd has issued a tender inviting foreign energy companies to bid for 25 offshore blocks located in the South China, Yellow, Bohai and East China Seas. The blocks cover a total area of 102,577 sq km. CNOOC officials also claimed that none of the 25 blocks being offered for foreign participation were located in disputed waters. The South China Sea is viewed as essential to CNOOC where the company plans to invest US$32.58 billion in developing the offshore area by 2030. CNOOC also intends to invest some US$5 billion on seven blocks in the East China Sea, in areas disputed by Japan.

According to information provided on CNOOC Ltd’s website, the tender includes two blocks in the Bohai Sea, three blocks in the East China Sea, three blocks in the South Yellow Sea, 10 deepwater blocks in the eastern portion of the South China Sea, and seven blocks in the western portion of the South China Sea.

CB&I and CPI to jointly build nuclear power plants CB&I has announced that it has signed an agreement with CPI Power Engineering Company, a subsidiary of China Power Investment Corporation (CPI), to form a joint venture to build nuclear power plants in China.

CB&I’s scope will include the provision of engineering, procurement, construction management, commissioning, project management and technical support services for new nuclear power plants planned and invested by CPI in China. CPI is one of the largest state-owned power generation companies and one of the three nuclear power plant owners and operators in China. CB&I is providing engineering, procurement, commissioning, information management system and project management services for 4 nuclear power units under construction in China, including 2 units at CPI’s site in Haiyang, Shandong province.

Since 2012, the State Council of China has approved construction of 4 new plants and is expected to approve approximately 30 more nuclear power plants by 2020.

PetroChina to build second shale gas pipeline China’s top oil and natural gas producer PetroChina plans to build its second shale gas pipeline in south west China’s Sichuan Basin, said a senior engineer with the PetroChina Planning and Engineering Institute.

Speaking at an industry meeting, the source said that the pipeline would connect Zigong in Sichuan province to Jiangjin in Chongqing with a length of 150km. With an annual handing capacity of 5 billion cubic metres, the pipeline is designed to transit shale gas from the Changning-Weiyuan demonstration zone. PetroChina has started the building of China’s first shale gas pipeline with an annual capacity of 1.64 billion cubic metres and a length of 93km.

EIC Newsbriefs – Keeping you up to date on energy news from around the world. Email membership@the-eic.com www.the-eic.com

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December 2013

EIC North and Central America News

North and Central America News Office News

Regional Comment

Keppel signs MoU with Pemex for jackups Keppel Offshore & Marine has signed a Memorandum of Understanding with Pemex PEP and PMI Norteamerica to jointly develop, own and operate a yard facility in Mexico, the first phase of which is to support the construction of six KFELS B class jackup drilling rigs for PEP. The yard will be located in the Port of Altamira along the coast of the Gulf of Mexico. The total yard development cost will be US$400m, with the first phase estimated at US$150m. Subsequent phases of the yard development would enable it to take in deep-draft semisubmersibles and drillships for repairs, undertake FPSO and Floating Liquefied Natural Gas (FLNG) vessel conversions, as well as fabricate topside modules and other offshore structures. Keppel AmFELS has won a contract from Central Panuco, a subsidiary of Mexico’s Perforadora Central to build a KFELS B class jackup rig worth US$240m, including owner furnished equipment.

The rig is scheduled for delivery in Q4 2015 and will be used for operations offshore Mexico.

We held our 4th Annual Sporting Clays tournament on 11 October and had a wonderful turn out again this year.

Over 55 attendees comprised of eight shooting teams and several attendees joining us just for lunch. We also had the pleasure of having a former Houston Oiler, pro-bowler and Super Bowl champion, Dan Pastorini, competing in the tournament. He was available afterwards to sign autographs and take photos. We’d like to thank Insperity for hosting Dan and thank him for being a part of our event.

For the fourth year in a row OilCareers took first place with Alco Valves and Insperity taking second and third places respectively. We’d like to thank everyone who came out to join us for their time and continued support. A great time was had by all and we look forward to hosting our 5th Annual Tournament on 3 October 2014. Please mark your calendars now and join us for this great networking event.

As a member company if you have news you would like to share about your company please let us know. You have a great opportunity to provide articles to be included in this publication each month with the EIC Member News section specifically dedicated to publicise your company’s successes. We have a great programme of training and events put together, please see forthcoming events below. Please also monitor our website and the regional emails for details on all of our upcoming events.

Apache sells GoM operations Apache has sold its Gulf of Mexico Shelf operations and properties to Fieldwood Energy, a portfolio company of Riverstone Holdings. Apache retains 50% of its ownership interest in all exploration blocks and in horizons below production in developed blocks, where high-potential deep hydrocarbons are being tested. Apache has also completed the previously announced sale of oil and gas producing properties in the Nevis, North Grant Lands and South Grant Lands areas of western Alberta, Canada, to Ember Resources Inc.

Forthcoming Events Industry Overview

Fundamentals of LNG 12 December 2013 eMJay LNG Ltd, EIC Houston

Industry Overview

Wood Group companies merge in Canada Wood Group Mustang has announced that three Albertabased Wood Group companies (IMV Projects, Wood Group PSN Western Canada and Mustang Canada) are merging to create Wood Group Mustang’s new presence in Canada. The company will offer EPCM services to the Canadian and broader North American energy services markets, specifically pipelines, automation, upstream/ downstream facilities and shale developments.

Fundamentals of Subsea 14 January 2014 Denmore Technologies, EIC Houston

Industry Overview

Fundamentals of FPSOs 15 January 2014 Denmore Technologies, EIC Houston

Devon and Crosstex create new business Devon and Crosstex Energy have formed a new business that will acquire all of Crosstex’s shares and combine the two companies’ pipelines and processing facilities.

Devon will control the to-be-named entity, and will be the new company’s largest customer. The business will have 12,000km of pipelines, 13 processing plants and six fractionators as well as storage, terminals and a trucking fleet to move oil and natural gas. Its assets will be in the Barnett Shale, Permian Basin and Eagle Ford in Texas, as well as the Haynesville, the Utica of Ohio and the Marcellus in the eastern US.

Management Course

The Effective Manager 4-5 February 2014 Change Creation, EIC Houston For additional information about the EIC Houston office, our upcoming events or should you require any assistance in the North and Central America market, please contact us.

Aimee Marsh, Executive Director, North and Central America Contact: aimee.marsh@the-eic.com

EIC Newsbriefs – Keeping you up to date on energy news from around the world. Email membership@the-eic.com www.the-eic.com

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December 2013

EIC South America News

South America News Office News

The second OTC Brazil took place in Rio in October.

Although still small, the exhibition gathered many high level delegates. The EIC organised the UK Pavilion for the first time and the eight exhibitors enjoyed the visit of MP Ken Clarke, pictured. At the end of November we are bringing an Overseas Delegation to Puerto La Cruz and Caracas in Venezuela. Please see the report next month.

Members interested in coming to the region can use our fully furnished rooms. The Rio office now has three rooms available in different sizes, either small with 10 sq m for one or two people or bigger with 16 to 19 sq m fitting up to five people. If you are interested in renting a serviced room at the EIC in Rio please reply to: rio@the-eic.com Our October Business Presentation was in a lunch format in Rio and gathered 24 attendees for Opportunities with Engevix/Ecovix with Sergio Freitas, Advisor. Chemtech was presented by Rafael Teixeira, Commercial Manager.

We also held a local content workshop presented by ABS gathering 16 attendees and enjoyed the company of 50 EIC members and guests on a relaxed evening in Rio Scenarium during the week of OTC. I hope 2013 was a very successful year for all of our members and wish all a very fruitful 2014.

ANP awards Libra field in landmark auction The National Petroleum Agency (ANP) has awarded the Libra field to a consortium formed by Petrobras (operator and 40% interest), Shell (20%), Total (20%), CNPC and CNOOC (10% each) following the country’s first ever production-sharing auction organised in late October.

The consortium was the only bidder for the field, even though 11 companies had registered for the auction. The Brazilian government considered the auction a success despite the absence of additional bids and the presence of two major private operators in the winning consortium caused surprise as the market was anticipating a greater participation of Chinese companies. Libra is estimated to hold recoverable reserves of 7.9 to 16 billion barrels of oil and its development is expected to require an investment of US$46 billion, according to the ANP.

Forthcoming Events

Business Presentation: Opportunities with SBM Offshore and Statoil 5 December 2013 Rio de Janeiro

Wind projects to dominate power auction Brazil’s next A-5 power auction, designed for projects that will start operations in five years, has attracted 670 proposals for wind farms, with a total installed capacity of 16.4GW. Solar projects came in second, with 162 projects totalling 3.89GW. A total of 16 gas-fired power plants with an overall capacity of 7.57GWe were submitted. Only 11 hydro projects were submitted, with a capacity of 2.02GW. The auction will take place on 13 December.

Technical Workshop Introduction to FPSOs 10 December 2013 Rio de Janeiro

Industry Overview Fundamentals of Subsea 30 December 2013 Rio de Janeiro

Brazil to accept private investment in nuclear sector The Ministry of Mines and Energy has announced that the four new nuclear power plants planned to be built in the country could be developed in partnership with private investors. It would be the first time a private company would have the opportunity to invest in a sector which has so far been controlled by Eletronuclear, the subsidiary of the state-owned power holding Eletrobras. Private developers are already present in other forms of power generation and distribution since reforms were introduced in the early 1990s, when the Cardoso administration began awarding concessions for various greenfield projects. Introduction of the new NPPs is a key element of the government’s power forecast for 2030, as potential from hydro power is expected to be greatly reduced by then. Brazil currently operates two nuclear power plants and is building a third, with operations expected in 2018.

If you need support in taking the next step into the South American market, please feel free to contact us.

Clarisse Rocha, Regional Manager, South America Contact: clarisse.rocha@the-eic.com

Regional Comment

Ecopetrol and PDVSA agree heavy oil development The state-owned oil companies of Colombia and Venezuela are negotiating the creation of a joint venture to develop heavy oil from the Orinoco heavy oil belt in Venezuela, an area estimated to contain 256 billion barrels of recoverable oil reserves. Development of the Orinoco heavy crude reserves is crucial for Venezuela’s oil production plans, as the country plans to double its production to 6 million barrels per day by 2019.

EIC Newsbriefs – Keeping you up to date on energy news from around the world. Email membership@the-eic.com www.the-eic.com

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December 2013

If you would like more information or are interested in becoming an EIC member, please contact: EIC Head Office and Southern Region 89 Albert Embankment, London SE1 7TP Tel +44 (0)20 7091 8600 Fax +44 (0)20 7091 8601 Email info@the-eic.com EIC Northern Region Belasis Business Centre, Belasis Hall Technology Park, Billingham TS23 4EA Tel +44 (0)1642 379 972 Fax +44 (0)1642 379 971 Email billingham@the-eic.com EIC Scotland 72 Carden Place, Aberdeen AB10 1UL Tel +44 (0)1224 626 006 Fax +44 (0)1224 637 393 Email aberdeen@the-eic.com EIC Middle East PO Box 54455, Office No 5WA 228, West Wing Building 5A, Dubai Airport Free Zone, Dubai UAE Tel +9714 299 3945 Fax +9714 299 3946 Email dubai@the-eic.com EIC Asia Pacific 3 Temasek Avenue, Centennial Tower #16-02, Singapore 039190 Tel +65 6238 7756 Fax +65 6238 8179 Email singapore@the-eic.com EIC North and Central America Suite 850, 11490 Westheimer, Houston, Texas 77077 Tel +1 713 783 1200 Fax +1 713 783 0067 Email houston@the-eic.com EIC South America Ed. Manhattan Tower, 26th Floor, Avenida Rio Branco 89, 20040-004 Rio de Janeiro - RJ, Brasil Tel +55 21 3265 7400 Fax +55 21 3265 7410 Email rio@the-eic.com EIC China Tel +86 139 0125 6599 Email salina.zhang@the-eic.com Follow @TheEICEnergy on Twitter

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