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Jubilee field development The story so far (PDF - Tullow Oil plc

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<strong>Jubilee</strong> <strong>field</strong><br />

<strong>development</strong><br />

- the <strong>story</strong> <strong>so</strong> <strong>far</strong><br />

June 2010


<strong>Jubilee</strong> <strong>development</strong> project<br />

Contents<br />

<strong>Jubilee</strong> Development Project<br />

1. Environment, health and safety<br />

2. Sub-surface<br />

3. Well engineering<br />

4. Facilities delivery<br />

5. Sub-sea system delivery<br />

6. Operations readiness<br />

7. Installations, Commissioning and Ready for Start-up<br />

Page No.<br />

2<br />

3<br />

3<br />

4<br />

6<br />

7<br />

8<br />

<strong>Jubilee</strong> Environmental and Social Impact Assessment (ESIA)<br />

1. Project overview<br />

2. ESIA process and objectives<br />

3. Environmental and <strong>so</strong>cio-economic baseline<br />

4. Stakeholder engagement<br />

5. <strong>The</strong> big issues<br />

6. Approval process<br />

7. Mitigation plans and monitoring programmes<br />

10<br />

10<br />

11<br />

12<br />

13<br />

14<br />

14<br />

Front cover: David<strong>so</strong>n Essel and Emmanuel Kwadjo-Dei, Trainee Production Operators on the FPSO in<br />

Singapore during the construction phase of the vessel.<br />

01


<strong>Jubilee</strong> <strong>development</strong> project continued<br />

<strong>Tullow</strong>’s EHS performance in Ghana is<br />

excellent with only two lost time<br />

incidents in 2.1 million hours worked<br />

and no major environmental incidents.<br />

Our EHS policy sets out the standards<br />

and expectations to manage key EHS<br />

risks in our operations and, as an<br />

example, a comprehensive<br />

Environmental and Social Impact<br />

Assessment (ESIA) was carried out<br />

during 2009 including wide public<br />

consultation of stakeholders.<br />

Key components of the ESIA include<br />

environmental monitoring,<br />

waste management, oil spill contingency<br />

planning and community engagement<br />

and investment.<br />

“ <strong>Tullow</strong> on behalf of the <strong>field</strong><br />

partners has worked closely<br />

with the local people,<br />

government and interest groups<br />

throughout its time in Ghana.<br />

<strong>The</strong>se relationships have been<br />

an important factor in our<br />

ability to achieve ESIA approval<br />

for the <strong>Jubilee</strong> <strong>development</strong>.”<br />

02 <strong>Tullow</strong> <strong>Oil</strong> <strong>plc</strong><br />

03


<strong>Jubilee</strong> <strong>development</strong> project continued<br />

By delivering first oil in the fourth quarter of 2010, the project<br />

will have realised production in just 3½ years from discovery.<br />

This achievement is a reflection of the confidence and commitment<br />

by all partners to invest based on discovery and appraisal well<br />

results alone.<br />

A highly experienced project team, comprised of per<strong>so</strong>nnel<br />

from the main partners including <strong>Tullow</strong>, Anadarko Petroleum and<br />

led by Technical Operator Kosmos Energy, has set out to deliver a<br />

quality outcome in record time. Proven contractors have used<br />

proven designs to meet functional rather than truly precise<br />

specifications. This has resulted in <strong>so</strong>me quite dramatic schedule<br />

reductions when benchmarked to general industry performance.<br />

Key contractors involved in the facilities delivery include MODEC<br />

Inc. (Floating Production Storage and Offloading vessel (FPSO)),<br />

Technip (flowlines, risers and installation), FMC and Aker Solutions.<br />

04 <strong>Tullow</strong> <strong>Oil</strong> <strong>plc</strong> 05


<strong>Jubilee</strong> <strong>development</strong> project continued<br />

S<br />

06 <strong>Tullow</strong> <strong>Oil</strong> <strong>plc</strong> 07


<strong>Jubilee</strong> <strong>development</strong> project continued<br />

08 <strong>Tullow</strong> <strong>Oil</strong> <strong>plc</strong> 09


<strong>Jubilee</strong> ESIA continued<br />

10 <strong>Tullow</strong> <strong>Oil</strong> <strong>plc</strong> 11


<strong>Jubilee</strong> ESIA continued<br />

Routine discharges (such as waste water from the FPSO) and drilling wastes will<br />

be treated to accepted standards prior to discharge.Non-routine discharges (such as<br />

chemically treated hydrotest water) will be collected in a closed system and treated to<br />

meet Ghanaian and international standards. <strong>The</strong> selection of fluids will take into<br />

account their potential environmental impacts.<br />

Impacts from emissions to air are unlikely to have a direct impact on local<br />

communities. Our operations will produce Greenhouse Gas (GHG) emissions but we<br />

are working to minimise these through the use of state-of-the-art equipment,<br />

application of EHS policy, Environmental Management Systems (EMS) and <strong>Tullow</strong> <strong>Oil</strong><br />

Environmental Standards (toes). Flaring will be avoided wherever possible with the<br />

stated intention to flare only in specified situations. Water discharges from the FPSO<br />

and support vessels will all be treated prior to discharge to ensure that they meet<br />

both Ghanaian and industry standards.<br />

<strong>The</strong> scale and nature of waste produced will vary depending on operations that are<br />

being carried out. Some waste, such as macerated food waste, can be treated and<br />

disposed of at sea in accordance with MARPOL, the International Convention for<br />

the Prevention of Maritime Pollution from ships. Other non-hazardous waste will<br />

be brought ashore for treatment, recycling and disposal. Hazardous waste will<br />

be transported ashore for disposal at appropriate facilities.<br />

Results of the impact assessment carried out as part of the ESIA process show that<br />

the risk of an oil spill is very slight. We have however put in place a comprehensive<br />

<strong>Oil</strong> Spill Contingency Plan (OSCP) to ensure that in the event of a spill we are ready to<br />

take appropriate action. We have al<strong>so</strong> helped to form the Ghana Offshore Emergency<br />

Leadership Forum (GOELF), which consists of Ghanaian agencies that would be<br />

involved in the event of an incident.<br />

We are working closely with the Ghanaian Fisheries Agency and fishing community to<br />

alleviate any concerns and issues around the presence of the FPSO. This includes<br />

both direct and indirect assistance ranging from compensation procedures, to<br />

assistance with locating alternative fishing grounds. <strong>Tullow</strong> Ghana is al<strong>so</strong> working to<br />

educate the fishermen about potential safety issues caused by fishing close to our<br />

operations.<br />

<strong>The</strong> <strong>Jubilee</strong> ESIA discussions al<strong>so</strong> helped us to understand the most pressing needs<br />

of the six coastal communities of the Western Region and to identify the most<br />

appropriate Social Enterprise and <strong>so</strong>cial investment projects for the area. <strong>The</strong> drilling<br />

of water wells in the region, and our support of a programme to eradicate river<br />

blindness, were the first direct outcomes of the process. <strong>The</strong> information gathered by<br />

the ESIA al<strong>so</strong> allowed <strong>Tullow</strong> Ghana to develop a Social Enterprise strategy and<br />

management framework.<br />

12 <strong>Tullow</strong> <strong>Oil</strong> <strong>plc</strong> 13


<strong>Jubilee</strong> ESIA continued<br />

Feedback from the public consultation meetings<br />

was drawn together into a draft ESIA which<br />

was submitted to the Ghana Environmental<br />

Protection Agency (EPA) for review in August 2009.<br />

In accordance with Ghana ESIA requirements,<br />

Ghana EPA disclosed the draft ESIA to the public<br />

for a 21 day review and comment period.<br />

Copies were al<strong>so</strong> given to Metropolitan,<br />

Municipal and District Assemblies in the coastal<br />

areas of the Western Region, as well as to<br />

government departments.<br />

<strong>The</strong> consultation and review process culminated<br />

in a series of eight public hearings held between<br />

September and November 2009 in the Western<br />

Region and Accra. <strong>The</strong>se hearings were conducted<br />

to ensure that people affected by our activities<br />

were given every opportunity to express their views<br />

and concerns. As the <strong>Jubilee</strong> Project was seen<br />

as a matter of national interest, we were required<br />

to include a national public hearing in Accra –<br />

the first of its kind in Ghana.<br />

Comments from the EPA and comments raised<br />

during the public hearings were addressed in the<br />

final ESIA. <strong>The</strong> first part of a two stage approval<br />

process was received in early 2010.<br />

14 <strong>Tullow</strong> <strong>Oil</strong> <strong>plc</strong> 15


On 1 May 2010, the First Lady<br />

of Ghana, H.E. Mrs Naadu Mills,<br />

officially named the FPSO<br />

‘Kwame Nkrumah’ in honour of<br />

the first President of the Republic<br />

of Ghana.<br />

On completion of sea trials the FPSO<br />

set sail from Singapore to Ghana on<br />

21 May and arrived in Ghana one<br />

month later.<br />

Following hook-up and<br />

commissioning of the FPSO in Ghana,<br />

production will commence in the<br />

fourth quarter of 2010.<br />

First <strong>Oil</strong><br />

FPSO travels from Singapore to Ghana<br />

First Lady of Ghana, H.E. Mrs Naadu Mills at<br />

FPSO naming ceremony in Singapore<br />

Kwame Nkrumah FPSO leaving Singapore<br />

16 <strong>Tullow</strong> <strong>Oil</strong> <strong>plc</strong><br />

17


<strong>Tullow</strong> Ghana Ltd<br />

Sherwood Park<br />

10 Klotey Crescent<br />

Labone – Osu<br />

Accra<br />

Ghana<br />

<strong>Tullow</strong> Ghana Ltd<br />

Plot No. 71<br />

Off George Walker Bush Highway<br />

North Dzowulu<br />

Accra<br />

Ghana<br />

(from end July 2010)<br />

Tel. No.: +233 (0) 302 742 200<br />

Fax No.: +233 (0) 302 742 300<br />

Email : infoghana@tullowoil.com<br />

www.tullowoil.com/ghana<br />

<strong>Tullow</strong> <strong>Oil</strong> <strong>plc</strong><br />

3rd Floor, Building 11<br />

Chiswick Park<br />

566 Chiswick High Road<br />

London W4 5YS<br />

United Kingdom<br />

Tel. No.: +44 (0) 20 8996 1000<br />

Fax No.: +44 (0) 20 8994 5332<br />

Email: info@tullowoil.com<br />

www.tullowoil.com

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