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SUBSEA <strong>UK</strong> NEWS<br />

THE NEWSLETTER FROM SUBSEA <strong>UK</strong> www.subseauk.co.uk <strong>Autumn</strong> 2005<br />

CALL AT OE 05<br />

FOR <strong>UK</strong> SUBSEA<br />

ALLIANCE<br />

THE<br />

<strong>UK</strong>’s Energy Minister Malcolm<br />

Wicks made a special visit to the <strong>Subsea</strong><br />

<strong>UK</strong> stand at Offshore Europe for a<br />

presentation profiling the subsea sector and<br />

the significant future prospects for <strong>UK</strong><br />

companies. The visit was<br />

a high point of a week<br />

which saw many member<br />

companies use the<br />

hospitality area provided<br />

by <strong>Subsea</strong> <strong>UK</strong> and<br />

culminated in a <strong>Subsea</strong><br />

Day which welcomed<br />

visitors and presenters<br />

from around the world.<br />

Key, global technical<br />

challenges facing the<br />

subsea sector are, in<br />

general, very similar and<br />

this was brought home very strongly at the<br />

<strong>Subsea</strong> Day. Global opportunities were<br />

presented by Petrobras, BP for both Gulf of<br />

Mexico and West Africa and Woodside which<br />

demonstrated that subsea is a real growth area<br />

for the future, in fact it is the future of the<br />

offshore oil and gas industry. These<br />

“There is a need to<br />

work more effectively<br />

with operators,<br />

contractors, academia<br />

and government<br />

bodies establishing<br />

effective alliances”<br />

presentations were complemented by Sean<br />

Hanrahan of Chevron, who gave a fascinating<br />

overview of the US’s Deepstar programme.<br />

All of the international presenters spoke of<br />

partnership between academia, research<br />

organisations and oil<br />

and gas operators. Chris<br />

Lawlor of Australian<br />

operator Woodside told<br />

delegates about the<br />

success achieved by<br />

the Western Energy<br />

Research Alliance – an<br />

alliance which has several<br />

projects underway and is<br />

looking to develop new<br />

technologies to meet the<br />

challenges facing the<br />

subsea sector.<br />

<strong>Subsea</strong> <strong>UK</strong> has been calling for such an<br />

alliance in the <strong>UK</strong>. There is a need to work<br />

more effectively with operators, contractors,<br />

academia and government bodies establishing<br />

effective alliances that will enable British<br />

companies to develop and commercialise<br />

tomorrow’s technology today.<br />

> ABOVE LEFT TO RIGHT: DAVID PRIDDEN AND<br />

ENERGY MINISTER MALCOLM WICKS WITH<br />

CHAIRMAN BILL EDGAR AT OFFSHORE EUROPE 05<br />

Forthcoming Events<br />

Business Breakfast<br />

The Marcliffe, Pitfodels, Aberdeen<br />

23rd November 2005<br />

Keynote Speaker: Bob Blizzard, MP<br />

Subtech 2005<br />

London – 15th December 2005<br />

A London-based event organised<br />

jointly by <strong>Subsea</strong> <strong>UK</strong> and the SUT,<br />

focusing on <strong>UK</strong>-developed subsea<br />

technology.<br />

<strong>Subsea</strong> O6<br />

Aberdeen – 2nd February 2006<br />

<strong>Subsea</strong> Tieback Forum<br />

Galveston – 28th February until<br />

2nd March 2006<br />

All Energy Show<br />

Aberdeen - 24th,25th May 2006<br />

OTC<br />

Houston – May 2006<br />

> INSIDE: > SUBSEA <strong>UK</strong> NEWS > MARKET STUDY<br />

> MEMBERS’ NEWS


Comment<br />

CONTENTS<br />

COMMENT. . . . . . . . 2–3<br />

MARKET STUDY . . . . 4–5<br />

MEMBERS’ NEWS . . 6–8<br />

<strong>Subsea</strong> <strong>UK</strong> Members:<br />

Acteon (UWG), Aker Kvaerner, All Oceans<br />

Engineering Limited, Andrew Palmer &<br />

Associates, Ashtead Technology Ltd, Bel<br />

Valves, BG Group, Bibby Offshore Ltd,<br />

Boreas Consultants Ltd, Bowtech Products<br />

Ltd, BP, BSW "Ballgrab" Limited, Buchan<br />

Technical Services Ltd, Caley Ocean<br />

Systems Ltd, CAPCIS, Castrol Offshore,<br />

Century Dynamics Ltd, Century <strong>Subsea</strong><br />

Ltd, Champion Environmental Technologies,<br />

ChevronTexaco Upstream Europe, Circle<br />

Technical Services Ltd, Coda Octopus Ltd,<br />

Cranfield University, CRP Group Ltd, CSL,<br />

CTC Marine Projects, Cutting Underwater<br />

Technologies Limited, DES Operations,<br />

Dunlaw Engineering Ltd, Durham Business<br />

School, Dynamic Positioning Services<br />

(DPS), East of England Energy Group,<br />

Energy Industries Council, eProduction<br />

Solutions, ExxonMobil, Furmanite<br />

International Ltd, Gunn Engineering<br />

Services (Abderdeen) Ltd, Hayward Tyler<br />

Engineered Products, Hedley Purvis Ltd -<br />

Pivicat SAS, Hydrasun, Hydratight Sweeney<br />

Ltd, Hydrocable Systems Ltd, Imes<br />

Systems, Insensys, Inspectahire Inst. Co.<br />

Ltd, Institute for Energy and Environment,<br />

Strathclyde University, INTEC Engineering<br />

(<strong>UK</strong>) Limited, Isleburn Mackay & Macleod,<br />

J & S Marine Ltd (Offshore), J P Kenny<br />

Engineering Limited, KD Marine Ltd,<br />

Kinetics Controls & Innovation Ltd,<br />

Kongsberg Maritime Limited, Litre Meter<br />

Ltd, Master Flo Valve Co (<strong>UK</strong>) Limited,<br />

MCS, Met Office Marine Programme,<br />

National Hyperbaric Centre, National<br />

Oceanography Centre, Nautronix Ltd,<br />

NETmc Marine, Norson Services Ltd,<br />

Ocean Design Europe Ltd, Oceaneering<br />

Intervention Engineering, Oceanlab<br />

(University of Aberdeen), OceanTools Ltd,<br />

ODS-Petrodata Ltd, OIL Engineering<br />

Limited, Pan-Ocean Engineering Ltd,<br />

Pegasus International, Perry Slingsby<br />

Systems Ltd, Piezo Composite Transducers<br />

Ltd, Prosafe Offshore, Prospect Flow<br />

Solutions, Quest Offshore Resources Inc,<br />

Reson Offshore Ltd, Robert Gordon's<br />

University, Rockwool Firesafe Insulation,<br />

Ross Deeptech Initiatives Ltd, Rotech<br />

<strong>Subsea</strong> Limited, RUCO Ltd, Scan Tech <strong>UK</strong>,<br />

Score (Europe) Ltd, Seaeye Marine Ltd,<br />

Seal-Tite <strong>UK</strong> LLC, Seatronics, Shell, SMD<br />

Hydrovision, Solstad Offshore (<strong>UK</strong>) Ltd,<br />

Sonardyne International Ltd, Sonavision<br />

Ltd, Son-ix Technologies Ltd, S.U.T, Stolt<br />

Offshore, Sub-Atlantic Ltd, <strong>Subsea</strong> 7,<br />

Talisman Energy (<strong>UK</strong>) Limited, Technip<br />

Offshore <strong>UK</strong> Ltd, The Engineering Business<br />

Ltd, Total E & P Europe, Tritech<br />

International Ltd, Tronic, TSS (International)<br />

Ltd, University of Aberdeen. Wellstream<br />

International Limited, Ythan Environmental<br />

Services Limited<br />

Tel: +44 (0) 1224 355355<br />

Fax: +44 (0) 1224 707776<br />

E-mail: info@subseauk.org<br />

www.subseauk.co.uk<br />

WITH six successful events under<br />

our belt and four major ones to<br />

come in the next few months, a<br />

market study, a survey into testing facilities<br />

and meetings with key stakeholders, the<br />

<strong>Subsea</strong> <strong>UK</strong> office is becoming a busy place.<br />

In the daily juggling of PR, event<br />

management, lobbying, research and<br />

generally ensuring that we are meeting<br />

members’ needs I recognise that it is<br />

becoming increasingly important to stay<br />

focussed and that, as the organisation<br />

matures, we must continue to pursue the<br />

basic approach on our original key<br />

themes - those of profile, networking,<br />

export opportunities and technology<br />

commercialisation.<br />

Building a profile is critical to <strong>Subsea</strong> <strong>UK</strong>.<br />

We must continue to raise the profile of the<br />

sector so that it gets the support and<br />

recognition it needs to grow, attract the right<br />

skills and receives the correct level of<br />

investment in technology. This benefits all<br />

our members from the major operators to<br />

the very small niche firms. We are raising the<br />

bar in terms of our profile not only through<br />

some positive and hard-hitting national,<br />

local and trade media coverage but also<br />

through our contacts with decision makers<br />

in government and the industry.<br />

Right now, we need the highest possible<br />

profile on the world stage. Major deepwater<br />

prospects together with a growing number<br />

of subsea tiebacks in mature or under<br />

developed provinces are driving forward a<br />

potentially explosive growth period for the<br />

global subsea market – predictions by Infield<br />

show the market almost quadrupling in size<br />

from $5 to $18bn per annum during 2004 -<br />

2008. We must grasp fully this opportunity<br />

and demonstrate the <strong>UK</strong>’s commitment to<br />

do everything possible to secure a major<br />

share of the growing market.<br />

Our recent study of the subsea test facilities<br />

market has demonstrated that a clear gap is<br />

looming in the testing marketplace and we have<br />

the opportunity today to make a clear statement<br />

to the global subsea community that we intend<br />

to remain a true world-leader in this sector by<br />

creating a world-class subsea test centre.<br />

The study identified the need for a large<br />

scale hyperbaric chamber capable of<br />

simulating water depths of 4000metres or<br />

more. If built this would be a unique facility,<br />

targeted at servicing the growing market for<br />

testing of ultra deepwater subsea production<br />

equipment. <strong>UK</strong> based medium sized<br />

manufacturers in particular believe that such<br />

a facility would be of considerable value.<br />

Unfortunately, further investigations by<br />

<strong>Subsea</strong> <strong>UK</strong> have shown that building such a<br />

facility would represent a substantial<br />

commercial risk and be difficult to justify<br />

without an initial injection of public funding.<br />

However we believe that there is an argument<br />

for establishing a centre that provides a<br />

solution to not only testing but other issues<br />

which face the industry at this time such as<br />

further product development, and<br />

technology commercialisation, training and<br />

attracting younger people into the industry.<br />

<strong>Subsea</strong> <strong>UK</strong> wants to see a subsea Centre of<br />

Excellence established in the <strong>UK</strong> which<br />

addresses all of these issues and, like other<br />

offshore oil and gas centres around the<br />

world, draws together existing public and<br />

private bodies to deliver a range of services<br />

to the domestic as well as international<br />

subsea community.<br />

This is a necessary requirement if <strong>UK</strong> plc is<br />

to maintain its lead in the development of<br />

subsea technology and further increase our<br />

international activity and level of exports.<br />

We hope that <strong>Subsea</strong> <strong>UK</strong> members will<br />

support us in calling for such a centre.<br />

Finally, and possibly most important of all<br />

our initiatives, is skills. Without an<br />

underpinning and growing <strong>UK</strong> technology<br />

skills base, we will be incapable of<br />

competing internationally in the longer<br />

term. The very real skills shortages in our<br />

sector are compounded by an alarming<br />

decrease in the number of young people<br />

choosing to study science and engineering<br />

subjects. To arrest this decline, we have to<br />

target young people and show them that<br />

there are exciting opportunities in our<br />

business sector.<br />

<strong>Subsea</strong> <strong>UK</strong> with the support and generosity<br />

of Shell Expro, Cooper Cameron,<br />

Oceaneering, <strong>Subsea</strong> 7, Petro-Canada and<br />

Acteon and in association with the National<br />

Marine Aquarium in Plymouth is seeking to<br />

do just that. Later this month, we will be<br />

taking a subsea Xmas tree and other<br />

equipment from Aberdeen to Plymouth to<br />

be part of a “first-of-its-kind” exhibit outside<br />

of the aquarium, showing actual examples of<br />

subsea technology which will seek to engage<br />

young people. This is a long-term solution<br />

to the skills issue but if we do not start<br />

encouraging young people into our industry<br />

now, we are significantly handicapping<br />

ourselves for future growth.<br />

The aquarium exhibit combined with an<br />

enhanced profile of an exciting sector will,<br />

in the long run, help us attract people into<br />

the sector but we will also be looking at<br />

other initiatives such as working more<br />

effectively with the SUT, building on our<br />

network of young people in the sector and<br />

looking at projects in schools.<br />

In conclusion, <strong>Subsea</strong> <strong>UK</strong> must at all times<br />

serve its member’s needs but it will require<br />

us all to continue to take a focused approach<br />

and I firmly believe that focus should be on<br />

the above initiatives. As always, I welcome<br />

feedback from members on these priorities<br />

and ideas for their delivery.<br />

David Pridden<br />

CEO, <strong>Subsea</strong> <strong>UK</strong><br />

2 <strong>Subsea</strong> <strong>UK</strong> <strong>News</strong> <strong>Autumn</strong> 05


Comment<br />

FEEDBACK<br />

FROM PARIS<br />

SHOW: C’EST<br />

TRES BIEN!<br />

exhibitors and visitors alike. New relationships have clearly<br />

been forged, and it is important for the industry to build on<br />

this success to enhance further its international standing and<br />

competitiveness.<br />

“The diverse range of participants at the event gave us an<br />

invaluable insight into the challenges and opportunities we are<br />

facing in the modern, global industry.<br />

“The opportunities are huge – for example, a typical subsea<br />

tieback in the North Sea would be costed in the tens of<br />

millions of pounds; the sort of subsea infrastructure and<br />

construction needed in the West of Africa fields typically cost<br />

in excess of £500 million.<br />

“It also became increasingly clear at the event that innovation<br />

– a trademark of the British subsea sector – is going to<br />

become more and more important in terms of keeping a<br />

check on field development costs. <strong>Subsea</strong> costs are starting<br />

to shape and inform overall project expenditure, and effective,<br />

cost-efficient solutions that keep total costs down are going to<br />

lead the way and win the business.”<br />

Speakers at the event included BP subsea team leader John<br />

Gooder, Saibos vice president for engineering Giovanni Chiesa,<br />

Total head of subsea production systems Alain Cretenet,<br />

Over 40 companies took part in <strong>Subsea</strong> Solutions, a one-day<br />

exhibition and seminar to highlight their skills and expertise to<br />

a key audience of operators and contractors in Paris.<br />

The exhibition, at the Espace Grande Arche, La Défense, was<br />

staged to spotlight what the <strong>UK</strong> subsea industry can offer in<br />

oil and gas provinces around the world as well as in other key<br />

sectors.<br />

Attendance at the June 28 event was well up on last year’s<br />

exhibition, in terms of both participating companies and<br />

visitors; the number of delegates attending the event was<br />

almost double the previous year’s event. There was also a<br />

series of presentations and panel sessions involving senior<br />

industry personnel.<br />

Paris has a high concentration of key operators and<br />

contractors working in West Africa, while France has an<br />

established reputation as a centre of global activity in the<br />

subsea oil and gas and wider oceanology and<br />

telecommunication sectors.<br />

David Pridden said: “The day proved markedly successful, in<br />

terms of both setting out the industry’s capabilities in a very<br />

important arena, and providing companies with an insight into<br />

how they can respond to new opportunities as they arise in<br />

key provinces.”<br />

Patrick O’Brien, managing director of engineering consultancy<br />

MCS, added: “There has been a very positive response from<br />

Technip business development vice president Emmanuel<br />

Fontan, Stolt technical director for Africa Mediterranean<br />

Philippe Hoffmann, and BP Plutonio URF project manager<br />

Duncan Brown.<br />

Five companies – <strong>Subsea</strong> 7, IMES Group, Nautronix, 2H<br />

Offshore and Century <strong>Subsea</strong> – made presentations on<br />

current technological developments in the <strong>UK</strong>.<br />

In addition, <strong>Subsea</strong> <strong>UK</strong> invited a group of French engineering<br />

students to the exhibition to get first-hand accounts of the<br />

career opportunities presented by the sector, reflecting its<br />

strategic moves to address the industry’s skills shortages. BP<br />

had two of its young engineers give a brief presentation on the<br />

exciting prospects for the subsea industry in developing<br />

deepwater fields in offshore locations around the world, and<br />

Bob Curtis, Oceaneering, gave the audience a visual insight<br />

into the complexity of subsea equipment through the<br />

demonstration of Oceaneering’s underwater simulation tool in<br />

a presentation.<br />

<strong>Autumn</strong> 05 <strong>Subsea</strong> <strong>UK</strong> <strong>News</strong> 3


Market Study<br />

MARKET STUDY<br />

AIMS TO<br />

PROFILE SECTOR<br />

> ABOVE LEFT TO RIGHT: DAVID PRIDDEN AND CHAIRMAN BILL EDGAR WITH ENERGY<br />

MINISTER MALCOLM WICKS AT OFFSHORE EUROPE 05<br />

THE market study which <strong>Subsea</strong> <strong>UK</strong> commissioned Arthur D Little to undertake earlier this<br />

year has been completed and the results confirm the significance and importance of <strong>UK</strong>’s<br />

oil and gas subsea sector. The facts and figures from the survey will be used to promote the<br />

sector to the industry, government and the wider community.<br />

ADL estimated that based on, typically, the last financial year of many companies, the <strong>UK</strong>’s oil<br />

and gas subsea sector market size was $4.64bn of which just over half was exported. Some 766<br />

companies were contacted and the data obtained compared in many cases to published company<br />

reports. In addition to financial data, ADL estimated that 24,000 to 27,000 people were directly<br />

employed in the industry. This did not include those working for the operators.<br />

“This is the most comprehensive review of the <strong>UK</strong>’s subsea sector ever taken,” says Pridden. “At a<br />

time when the manufacturing base in this country is at an all-time low, it is important to stress<br />

one of our manufacturing and technology success stories,” says David Pridden. “This study<br />

ensures that we have accurate facts and figures at our fingertips to demonstrate the importance of<br />

this sector to industry, government and the public at large.<br />

“The results highlight the global role of the <strong>UK</strong> in the subsea industry. For the financial year<br />

reviewed, Infield predict a global subsea market, including the cost of drilling, to be in the order<br />

of $6 to $8 billion. The ADL review, which excludes drilling costs, illustrates that the <strong>UK</strong> has the<br />

major share of the global industry. This is particularly significant when the predicted global<br />

market is set to rise to nearly $18 billion in 2008. We must not get complacent - <strong>UK</strong> based<br />

businesses have to win the lion’s share of this<br />

future business. <strong>Subsea</strong> <strong>UK</strong> must help<br />

members do this by communicating the<br />

breadth and depth of the sector to local,<br />

national and international governments,<br />

building a stronger profile both nationally<br />

and internationally, supporting the business<br />

development of individual companies and<br />

attracting young people and fresh talent into<br />

the sector.”<br />

“With limited global oil and gas supplies,<br />

renewables being much further away than<br />

many want to admit and the likely issues over<br />

nuclear power, it is vital that we squeeze every<br />

last drop of oil out of the reserves around the<br />

world. In the North Sea, this will be<br />

increasingly achieved through subsea<br />

completions - almost 40% of <strong>UK</strong>CS oil<br />

production now comes from subsea wells.<br />

Global production from subsea wells is also<br />

set to grow rapidly and the requirement for<br />

subsea technology and services in the marine<br />

renewable sector will dramatically increase<br />

over the next 10 years as well.<br />

“The subsea sector is therefore of paramount<br />

importance to the <strong>UK</strong> and fortunately it is<br />

one in which we excel.”<br />

While there is the potential for the <strong>UK</strong> to<br />

continue to lead the way in subsea<br />

technology and services, there is a real<br />

vulnerability in terms of international<br />

competition, research and development<br />

capability and the fact that too few <strong>UK</strong><br />

companies attain global scale.<br />

“The risk is that the <strong>UK</strong> may fail to exploit<br />

the next wave of emerging subsea technologies<br />

and services. <strong>Subsea</strong> <strong>UK</strong> was set up to<br />

champion, harness and publicise the expertise<br />

and experience in the <strong>UK</strong> but we need key<br />

stakeholders such as the government, the<br />

academic and financial sectors to understand<br />

the industry and support it fully, if it is to<br />

grow at the same rate as demand for its<br />

services and technology,” says Pridden. “This<br />

credible and detailed study of the sector<br />

highlighting its importance, contribution and<br />

potential will help us lobby those stakeholders<br />

so that we can work together to capitalise on<br />

our current, but little publicised,<br />

advantageous position.”<br />

Arthur D Little have drawn on their existing<br />

and publicly available databases and a direct<br />

survey of all companies involved in the sector.<br />

The results give an accountable view of their<br />

revenues, exports and areas of involvement<br />

which will provide a framework for future<br />

initiatives.<br />

4 <strong>Subsea</strong> <strong>UK</strong> <strong>News</strong> <strong>Autumn</strong> 05


Market Study<br />

Members’ <strong>News</strong><br />

DO WE NEED A<br />

NATIONAL SUBSEA<br />

TEST CENTRE?<br />

The results of <strong>Subsea</strong> <strong>UK</strong>’s study to find<br />

out if there was a need for a national<br />

subsea test centre have caused a bit of a stir<br />

in certain quarters.<br />

With support from Scottish Enterprise<br />

and ONE NorthEast, <strong>Subsea</strong> <strong>UK</strong><br />

commissioned consultants OTM,<br />

Douglas-Westwood Associates and J.P.<br />

Kenny to survey the sector to determine<br />

the requirement for a National <strong>Subsea</strong> Test<br />

Centre that would help bring new<br />

technology to market more effectively and<br />

reaffirm the position of the <strong>UK</strong> as the<br />

world’s leading provider of subsea<br />

technology based products and services.<br />

“The study identified that the majority of<br />

subsea testing is performed in the oil and<br />

gas sector, with the remainder in defence,<br />

oceanology and marine renewables sectors”<br />

observes Chris Dudgeon of OTM. “<br />

Although the survey revealed that by and<br />

large today’s market requirements for<br />

testing were being met, there is a<br />

developing gap in the current capability in<br />

the oil and gas marketplace for a large<br />

scale, high pressure hyperbaric chamber<br />

with the capability to test at water depths<br />

of at least 4,000 metres.”<br />

“With moves into increasingly deeper<br />

water, the existing facilities both in the <strong>UK</strong><br />

and around the world will be inadequate<br />

and will hinder the progress of new<br />

technology.”<br />

The findings revealed the fragmented<br />

nature of testing across the industry, with<br />

companies using services from a large<br />

number of small facilities. Although<br />

current testing needs are being met<br />

sometimes this is not as effectively or<br />

timely as they could and there is niche<br />

group of <strong>UK</strong> based companies that require<br />

additional, specific testing facilities. <strong>Subsea</strong><br />

<strong>UK</strong> has taken the results of this market<br />

survey and consulted with a number of<br />

public and private bodies over the course<br />

of the last couple of months.<br />

Following this, Pridden adds: “I would<br />

emphasise that the survey was to look at<br />

the market requirement, not the<br />

specification or location of any facility.<br />

The report has been published and we will<br />

now be examining the findings in more<br />

detail so that we can make progress on the<br />

creation of a demand-led centre aimed at<br />

ensuring the <strong>UK</strong> maintains its leading<br />

position for subsea technology<br />

development and manufacturing.”<br />

“<strong>Subsea</strong> <strong>UK</strong> believes that a stand-alone<br />

large diameter hyperbaric subsea test<br />

centre would be too costly to develop.<br />

However, if properly planned to meet the<br />

various needs of our industry at this time,<br />

a centre could be developed<br />

accommodating training facilities, a pool<br />

of engineering and operational expertise<br />

and a showcase for new technology as well<br />

as test facilities. It must be independent<br />

and easily accessible to the entire <strong>UK</strong><br />

subsea community.”<br />

There are over 140 facilities worldwide<br />

that perform some sort of role in subsea<br />

testing and companies in the <strong>UK</strong> are<br />

currently using over one hundred of these.<br />

To immediately address this fragmentation<br />

<strong>Subsea</strong> <strong>UK</strong> is developing a central database<br />

to provide details of existing facilities,<br />

capabilities and contact details and any<br />

members with ideas and information for<br />

this are asked to contact Trish Burrell at<br />

<strong>Subsea</strong> <strong>UK</strong>.<br />

“A resource which holds all the<br />

information on <strong>UK</strong> and global subsea<br />

testing will be of real benefit to our<br />

members, saving them time and enhancing<br />

scheduling of testing to meet critical<br />

project timelines.”<br />

The other key findings of the survey<br />

showed that :<br />

> Currently many of the best<br />

equipped test facilities worldwide<br />

are operating at capacity which is<br />

causing delays and adding costs<br />

for companies developing new<br />

technology and qualifying existing<br />

products<br />

> The current testing capability<br />

means that some companies are<br />

“making do” which may result in<br />

lower specification tests<br />

> Many existing facilities are<br />

“inherited” and there is limited<br />

interest in updating or replacing<br />

them<br />

> A large number of companies<br />

consulted stressed the need for<br />

the <strong>UK</strong> “to do something”<br />

to indicate the country’s<br />

commitment to the subsea<br />

industry - Norway and Brazil were<br />

considered to have shown their<br />

commitment with consequent<br />

benefits to their respective<br />

subsea sector<br />

GROWTH AT<br />

ACTEON<br />

> ACTEON’S various specialist<br />

engineering companies are<br />

experiencing steady growth with an<br />

increased demand for their<br />

services.<br />

WellCut Decommissioning Services<br />

recently began the second phase of<br />

a programme of suspended<br />

subsea well abandonments for<br />

ConocoPhillips, which included the<br />

first time use of water-jet abrasives<br />

to recover subsea wellheads in the<br />

<strong>UK</strong> sector.<br />

UWG has secured a contract for<br />

the design and fabrication of a<br />

template for the Banzala B project,<br />

for ChevronTexaco. The company is<br />

also to supply centralisers for the<br />

Azerbaijan International Operating<br />

Company (AIOC) Shah Deniz project<br />

in the Caspian Sea.<br />

2H Offshore Engineering is<br />

expanding globally. The company<br />

has been awarded a contract by BP<br />

to provide integrity services for all of<br />

the oil company’s deepwater risers<br />

and flowlines in the Gulf of Mexico.<br />

The work, which is valued at roughly<br />

$3 million over two years, will be<br />

supported by corrosion and<br />

materials specialist iicorr.<br />

HYDRO BOND<br />

WINS TECHNIP<br />

CONTRACT<br />

> ABERDEEN based subsea<br />

connection specialists, Hydro Bond<br />

Engineering, have been awarded a<br />

significant contract by Flexi France<br />

of the Technip Group at LeTrait in<br />

France.<br />

The contract will cover the provision<br />

of terminations for use on heat<br />

tracing cables within Technip’s<br />

integrated Production Bundles.<br />

These are to be deployed in the<br />

Dalia field off Angola for Technip’s<br />

end customer Total.<br />

“We are delighted to have secured<br />

this business, which is the first<br />

significant reward of our strategy to<br />

obtain work in France.” said Douglas<br />

Whyte, group managing director. “It<br />

is a testimony to both our product<br />

excellence and the high levels of<br />

engineering expertise we can offer.<br />

We continue to see France as a key<br />

market for the group in both the oil<br />

& gas and defence sectors.”<br />

The contract will be fulfilled over the<br />

next year with Hydro Bond<br />

personnel travelling to LeTrait in<br />

France to perform the terminations.<br />

<strong>Autumn</strong> 05 <strong>Subsea</strong> <strong>UK</strong> <strong>News</strong> 5


Members’ <strong>News</strong><br />

STOLT HELPS<br />

EMPLOYEES REACH<br />

THEIR POTENTIAL<br />

STOLT OFFSHORE recently organised an innovative event to<br />

promote learning and development opportunities for staff and<br />

help them map out their career progression within the<br />

company.<br />

As one of the leading contractors to the oil and gas industry,<br />

Stolt’s vision is to be the subsea provider and employer of<br />

choice and its people lie at the heart of achieving this.<br />

Ensuring that the company becomes a true employer of choice<br />

is critical to delivering its vision.<br />

Steve Harvey, organisational and development manager of<br />

Stolt Offshore says : “Like any other large organisation in the<br />

sector, we are facing the ever increasing challenge of<br />

retaining and attracting people. It is no longer just about<br />

financial packages but about creating an environment in which<br />

people feel valued, receive the relevant training for the job, are<br />

able to develop their skills to meet the needs of the business<br />

and can see a path for career progression and personal<br />

development.<br />

“If the business is to reach its full potential, our employees<br />

must be given the necessary management support and<br />

learning opportunities to reach the very highest peak of their<br />

potential.”<br />

The aim of the event explained Stolt Offshore’s organisational<br />

and development adviser, Garth Ledingham, was to help<br />

employees understand how best they could develop within<br />

their current role as well as identify potential career paths. He<br />

said : “Employees need to know how to go about accessing<br />

actual training and development so they can make best use of<br />

the opportunities open to them.”<br />

Almost 500 employees attended the events which were held<br />

in Aberdeen and Stavanger. On registering, each employee<br />

received a workbook which, on completion, ensured that they<br />

got the most out of the event. The exercises in the workbook<br />

were designed to help outline career expectations and work<br />

out how to get there.<br />

“Many people embark on their career without the necessary<br />

self-awareness to make full use of their talents,“ explains<br />

Harvey. “Setting career expectations whether it is simply to do<br />

the best in their current role or become the next CEO is the<br />

first step in finding out how to fulfil their potential.”<br />

On arriving at the event, staff embarked on a learning journey,<br />

beginning in Zone 1 where they were encouraged to identify<br />

their aspirations, their strengths and development challenges<br />

and work out what would be realistic for them and how the<br />

company could help them meet their goals.<br />

Armed with this information, they moved into Zone 2 where<br />

the various departments within Stolt were showcased. This<br />

helped employees to understand the career opportunities<br />

within each area and identify the necessary skills required<br />

from finance and administration to engineering and offshore<br />

operations.<br />

In Zone 3 a range of external training providers and learning<br />

bodies exhibited, highlighting the courses open to Stolt<br />

employees.<br />

Finally, in Zone 4 employees could reflect on what they had<br />

learnt and, using their workbook, translate the information<br />

gathered in to learning goals with the help of coaches or<br />

career counselors. With this support, employees were able to<br />

discover how their learning goals could be achieved and<br />

addressed while maintaining a healthy work life balance.<br />

Both management and staff found the events worthwhile.<br />

Matthew Kirk, subsea construction engineering manager felt<br />

that it gave employees a chance for some considerable “metime”.<br />

“It is not often that staff are able to spend a<br />

concentrated couple of hours focusing on themselves, what<br />

they want from their jobs and how they could develop. People<br />

are not always pro-active in asking what else they can do in<br />

their role or where else they can go. These events were a<br />

novel way of giving staff the guidance to do this whilst allowing<br />

the various departments in the organisation to promote<br />

themselves and explain what they do and how they operate. I<br />

am convinced this has been extremely helpful in better<br />

communicating our organsation to all our employees. Just<br />

being there and listening to people was a fantastic opportunity<br />

for management.”<br />

And the staff share Matthew’s views. Sharmane McLelland,<br />

junior project secretary in the projects and operations<br />

department said “I found the event useful, helpful and<br />

informative. It was great to get information on the courses<br />

available to us. I am keen to progress in my role and currently<br />

doing an HNC in administration and information management.<br />

I feel more confident as a result of the event as I know what<br />

learning support I can request and how I can progress.”<br />

BOOST IN MEMBERSHIP<br />

><strong>Subsea</strong> <strong>UK</strong> now boasts 105 members, making it truly<br />

representative of the sector. Companies are joining for<br />

various reasons and <strong>Subsea</strong> <strong>UK</strong> is working to ensure<br />

that it meets the needs of its members.<br />

A couple of new members described their rationale for<br />

joining:<br />

Litre Meters’ Matthew Anderson says: “Litre Meter has<br />

been increasingly asked to offer <strong>Subsea</strong> metering<br />

solutions of the past 18 months and we joined <strong>Subsea</strong><br />

<strong>UK</strong> to gather more information about this growing<br />

market for our products with the addition of access to<br />

overseas markets such as France and the USA.”<br />

Nicola Hodgson, Business Development Manager at<br />

Champion Environmental Technologies says: “We made<br />

the decision to join <strong>Subsea</strong> <strong>UK</strong> due to its extensive<br />

membership and regular open forums. Through using<br />

their available resources it is our hope that we can<br />

enhance our industry penetration and draw attention to<br />

the benefits of Aquasign.”<br />

6 <strong>Subsea</strong> <strong>UK</strong> <strong>News</strong> <strong>Autumn</strong> 05


Members’ <strong>News</strong><br />

ASHTEAD TECHNOLOGY INVESTS IN SONARDYNE WIDEBAND TECHNOLOGY<br />

LEADING offshore equipment rental<br />

company, Ashtead Technology Rentals,<br />

has increased its commitment to<br />

Sonardyne’s acoustic Wideband Technology<br />

to over $9 million dollars. Worldwide<br />

demand for Sonardyne equipment has driven<br />

this significant purchase and over 200<br />

wideband enabled Compatt 5 subsea<br />

transponders and a large inventory of Fusion<br />

systems are now available with more being<br />

delivered over the next 12 months.<br />

Rob Phillips, group managing director of<br />

Ashtead Technology commented “We are<br />

committed to offering our customers the<br />

most advanced and proven subsea positioning<br />

capability. Sonardyne’s Fusion system<br />

provides a unique capability that can be<br />

configured for any operating environment<br />

around the world.”<br />

Sonardyne Wideband Technology offers long<br />

range, centimetric subsea positioning accuracy<br />

in a robust, flexible and scaleable system. New<br />

updates to software offer dramatically simpler<br />

user interfaces.<br />

COLLABORATION OFFERS BEST TECHNICAL SOLUTION<br />

SUB-ATLANTIC Limited and All-Oceans<br />

Engineering Limited, both leading companies<br />

in the ROV industry have facilitated a<br />

substantial order from <strong>Subsea</strong> Resources Plc.<br />

The 6000m depth rated innovative<br />

Comanche ROV designed by Sub-Atlantic<br />

perfectly meets <strong>Subsea</strong> Resources designated<br />

requirements, to survey and recover salvage<br />

from sunken ships. Sub-Atlantic has been<br />

working closely with All-Oceans to ensure the<br />

launch and recovery system is capable of safely<br />

handling the 6000m umbilical. The unique<br />

design ensures that the umbilical does not<br />

experience undue loads during launch and/or<br />

recovery of the ROV.<br />

The power distribution on both the<br />

Comanche and Mohican ROV allows the<br />

umbilical and tether size to be minimised as<br />

much as is technically feasible. Furthermore,<br />

the DC thruster technology patented by Sub-<br />

Atlantic has a demonstrable track record for<br />

high efficiency and reliability.<br />

The culmination of technical knowledge and<br />

expertise of Sub Atlantic and All Oceans, both<br />

founding members of <strong>Subsea</strong> <strong>UK</strong>, has<br />

resulted in this high profile successful sale.<br />

MCS GROWS DOWN UNDER<br />

> LEADING subsea engineering consultancy, MCS, is expanding its operations with the<br />

opening of an office in Perth, Australia. Its network of offices now includes Aberdeen,<br />

Scotland; Galway, Ireland; Houston, Texas and Rio de Janeiro in Brazil.<br />

The company which specialises in subsea riser systems believes the Perth office will play a<br />

major role in its international growth<br />

Director, Patrick O’Brien, has recently returned from Australia to oversee the office opening.<br />

He says: “The timing is just perfect for us to be opening in Australia there has been a seachange<br />

in the past couple of years with several major projects on the go and the move into<br />

deeper water, where we have real experience and expertise, presents significant<br />

opportunities.”<br />

The office will be headed up by Enda O’Sullivan, currently director of MCS’ Houston office.<br />

“From Aberdeen, we have already undertaken some work in Australia and are working with many of the key players there such as<br />

Woodside, OMV, BP, Apache and ExxonMobil. We hope to capitalise on those relationships and further grow our client base.”<br />

NEW WATERPROOF<br />

ROV SURFACE<br />

CONTROL EQUIPMENT<br />

A NEW, completely sealed and waterproof<br />

surface control unit for ROV operations has<br />

been developed by Seaeye.<br />

Rated to the international standard IP68, the<br />

unit can withstand emersion to a depth of one<br />

metre. The whole system can be deployed in<br />

an exposed RIB or light launch when worked<br />

in conjunction with a small generator.<br />

Designed for use with their Seaeye Falcon<br />

ROV, the unit’s special sealing arrangements<br />

and slip-ring hinge between base and lid,<br />

means it is fully protected against dust ingress<br />

in any hazardous shore-based environment.<br />

The lightweight unit is built into a rugged<br />

case with an integral daylight readable video<br />

display and overlay.<br />

The Falcon’s success as a portable ROV comes<br />

from its superior power and handling as well<br />

as its modern distributed intelligence control<br />

system. This provides a core vehicle that is<br />

easier to operate and maintain in the field. An<br />

increasing range of mission specific underslung<br />

tooling modules can be quickly added<br />

or removed from the core vehicle as<br />

operations demand – making the Falcon ideal<br />

for a wide range of tasks.specialist iicorr.<br />

<strong>Autumn</strong> 05 <strong>Subsea</strong> <strong>UK</strong> <strong>News</strong> 7


Members <strong>News</strong><br />

SCHOOL VISIT TO DUCO<br />

EARLIER this year, umbilical specialists,<br />

DUCO in Newcastle, played host to 15<br />

pupils from the Covenant Christian School in<br />

Stockport. The aim of the visit was to encourage<br />

young people to consdier a career in engineering.<br />

Engineering manager at DUCO, John Brown gave<br />

a presentation on the types of engineering careers on<br />

offer and led the youngsters in some hands-on<br />

activites which included the fatigue of a paper clip,<br />

using 3D modelling software to manipulate a joint<br />

repair and finding out the minimum radius benf of<br />

a hose.<br />

Following a buffet lunch, the pupils were taken on a tour of the factory where they were able<br />

to see the scale of the product and equipment. They were very impressed with the hose<br />

braiding operation which they likened to the effect obtained by dancing round a maypole!<br />

Several of the pupils expressed an interest in engineering as a career and one or two even<br />

volunteered to work in Angola. John Brown says : “I tried to sign them up but apparently<br />

there is something in employment law about sending children to Angola – a proposal which<br />

did however gain the general approval of some parents!”<br />

NEW DSV FOR BIBBY OFFSHORE<br />

BIBBY OFFSHORE, has entered<br />

into a long-term agreement to<br />

charter a new diving and<br />

construction vessel built in Norway at the<br />

Aker Langssten Shipyard.<br />

The vessel named “Bibby Sapphire” is a<br />

state of the art vessel 94 metres in length<br />

with a 150 tonne heave compensated crane,<br />

accommodation for 197 personnel, Class II<br />

dynamic positioning system and fire<br />

fighting class II rated.<br />

During the winter Bibby Offshore will<br />

install a twin bell 15 man diving system<br />

with a depth capability of 300 metres. She<br />

will be available to the market from the first<br />

quarter of 2006. The system can be<br />

increased to support 18 divers by increasing<br />

the hyperbaric lifeboat capacity.<br />

The “Bibby Aquamarine” is currently<br />

enjoying a very busy year and the arrival of<br />

“Bibby Sapphire” is a further step in the<br />

strategic development of the company to<br />

meet the growing demands of its clients in<br />

providing safe, reliable, cost effective and<br />

efficient project delivery.<br />

NAUTRONIX SEES<br />

RISE IN GLOBAL<br />

DEMAND<br />

THE NAUTRONIX commercial<br />

acoustic centre of excellence has<br />

seen a rise in global demand. As an<br />

integral element of the NASNet®<br />

family of products, Nautronix has<br />

designed and launched NASNet®<br />

MS (mini station) for use during<br />

ongoing field activities, or as an<br />

intermediate solution ahead of the<br />

customer committing to standard<br />

NASNet® stations.<br />

NASNet® MS can be considered as<br />

an option for short term projects, as<br />

well as undertaking any work that<br />

might previously have required<br />

traditional long baseline (LBL)<br />

equipment to achieve the necessary<br />

coverage and still maintain a high<br />

positioning tolerance.<br />

Nautronix’ ADS2- based solutions<br />

provide a very high level of signal<br />

reliability, noise immunity, and long<br />

ranges that are ideal features for<br />

long range control and monitoring.<br />

One example of this is NASBOP, a<br />

primary control and monitoring<br />

system, and an enabling technology<br />

for Surface BOP drilling, which has<br />

been proven in the harsh<br />

environment of drilling in 3,000<br />

metres of water, where noise is no<br />

longer an excuse for poor acoustics.<br />

SUBSEA DVD<br />

NOW<br />

AVAILABLE<br />

THOSE of you who exhibited or<br />

attended <strong>Subsea</strong> 05 will remember<br />

the television cameras doing the<br />

rounds of the stands and carrying out<br />

interviews. The footage from the<br />

exhibition and the conference has<br />

now been edited and pulled together<br />

to produce a DVD which aims to<br />

showcase the <strong>UK</strong> subsea sector and<br />

can be used by members,<br />

government and industry bodies etc<br />

to promote the sector whether at<br />

trade shows, on trade missions or<br />

simply with overseas customers.<br />

To obtain your copy, contact Trish<br />

Burrell at <strong>Subsea</strong> <strong>UK</strong> on<br />

01224 355355<br />

Designed & produced by Hampton Associates, Aberdeen<br />

8 <strong>Subsea</strong> <strong>UK</strong> <strong>News</strong> <strong>Autumn</strong> 05

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