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12 – no 01 2012
MAJOR OIL AND GAS ACCIDENTS IN THE PAST FEW DECADES HAVE FORCED
SIGNIFICANT IMPROVEMENTS IN TECHNOLOGY, PROCEDURES AND REGULATIONS.
“NOW, WHEN SEEKING OPPORTUNITIES IN THE ARCTIC AREAS WE MUST ENSURE
THE SAME LEVEL OF RISK AS IN THE NORTH SEA,” EMPHASISES KNUT ØRBECK-
NILSSEN, DNV COO DIVISION NORWAY, RUSSIA AND FINLAND.
TEXT: SVEIN INGE LEIRGULEN PHOTOS: DAMIR CVETOJEVIC
il and gas producing countries have experienced several catastrophic accidents
in the past 30 years. Alexander L. Kielland in Norway, Piper Alpha in the UK,
Montara in Australia and Deepwater Horizon in the US have all claimed many
lives or caused significant oil spills.
Mr Ørbeck-Nilssen explains that another common characteristic with all these tragedies
is that they were completely unexpected. However, they have forced the development of
improved procedures, standards and technologies. On the regulatory side, responsibilities
have become clearer and new governmental safety agencies have been established.
“Offshore safety has never been so high on the public agenda as in the past year. The
industry is debating how to improve technologies and safety solutions, and authorities in
both the US and the EU are developing stricter requirements for oil and gas operations.
There is no doubt that the rules of the game will change with more focus on offshore
safety, environmental protection and risk assessments,” he predicts.
RISK MANAGEMENT ENHANCES SAFETY
“The use of a risk management approach is vital to increase safety. We should not confuse
the risk of a certain event taking place with only the consequences it may result in.
That is not taking into account the likelihood for the event to occur. This approach, the
so-called ‘worst case scenario’ will lead to many decisions without a sound factual basis.
“This is not what risk is about. Risk management is about increasing safety by analyzing
what and where something can go wrong, minimising the probability for it to occur and
ensuring that you can reduce its consequences,” he clarifies.
An oil and gas operator who embraces this approach within its management system will
be able to enhance and manage safety levels, continuously. Authorities that base their
regulations on a risk based approach will also have a pragmatic tool that enables them
to decide on an acceptable level of risk for their countries to harvest resources. This also
provides the basis for regulations that allow for technology development and new and
better solutions. Risk analyses will further provide a common interface for discussions
between stakeholders, for example regarding a decision of whether or not to allow an
industrial activity.
no 01 2012 – 13
DNV HAS BEEN INVOLVED IN THE LNG INDUSTRY SINCE THE 1960S, AND THE COMPANY IS WORKING
ON PROJECTS RIGHT ACROSS THE SPECTRUM OF LNG ACTIVITIES. TODAY, LNG IS ONE OF THE FASTEST GROWING
ENERGY MARKETS AROUND THE WORLD. GIVEN THE NUMBER AND SCALE OF NEW LNG PROJECTS PROPOSED OR
UNDER CONSTRUCTION, GLOBAL PRODUCTION CAPACITY COULD MORE THAN DOUBLE BY THE END OF THE DECADE.
DNV IS WORKING HARD TO SHARE ITS COMPETENCIES WITH CUSTOMERS AND THE INDUSTRY, ENSURING
LNG REMAINS A VIABLE, COST-EFFECTIVE AND SAFE ENERGY SOURCE.
nother expanding area of business Compared to other fuel sources, LNG is to help with studying the distribution of
for DNV concerns the growth of good for the environment and – with the LNG, and we share our experience with
the Arctic region. The United developments being made here – good for other countries in the Nordic region. We
States Geological Survey believes that the Norwegian business. For example, DNV have also met with the EU commission
Arctic seabed contains nearly 20% of the has come with many new concepts for LNGfuelled
ships, such as Triality, a concept for on our experiences and advise on how to
and with the Russian government to pass
world’s oil reserves and 30% of its gas
reserves. Add to that the fact that ships will new, energy-efficient tankers. DNV has extend the use of LNG.
soon be able to sail across an open Arctic taken a lead in this area, and research
Ocean during the summer months, and it programs such as these are on-going
What is being done to raise the knowledge necessary
to develop infrastructure for distribution
is no wonder DNV expertise in Arctic matters
is so sought after.
and refuelling terminals on a global basis?
throughout the country.
With these two issues very much in the Norway already has a leading position in the use
spotlight, DNV Forum decided to take the of LNG as a fuel, such as on ferries and supply Norway has, alongside other countries and
opportunity to speak to a key player on ships. What explains Norway’s pioneering role in maritime operators in Northern Europe,
these topics. Rikke Lind, a Norwegian politician,
was appointed in 2005 to the posi-
at the distribution of LNG as a marine fuel
this area?
financed a feasibility study that is looking
tion of State Secretary of the Norwegian We have a long heritage as a maritime in ports around the North Sea and Baltic
Ministry of Trade and Industry. Due to nation, and over recent decades we have Sea. Once this study is complete it will
Norway’s prominence in the shipping industry,
ownership of oil and gas resources and Combining the capabilities of these two therefore the decision-making process, for
built our competence in the energy sector. undoubtedly improve the knowledge, and
location close to Arctic waters, Ms Lind is disciplines, it is no wonder we are now taking
a global lead.
panies that are considering LNG as a ship
the authorities, ports and shipping com-
often involved in these issues both domestically
and internationally.
The three main efforts that explain fuel.
Norway’s pioneering role in environmental Much of this understanding is being
THE FUTURE OF LNG
shipping are: The NOx Fund; LNG a fuel gained through the pioneering work in a
Norway has taken the lead developing the “LNG on ferries; and the use of LNG as fuel on number of ports, and the report highlights
as fuel” concept for shipping. What development some offshore vessels.
these as examples that others can benefit
do you see here in a global perspective?
The Norwegian government also has from. A project being undertaken at the
an important role to play. We did work LNG terminal in Gothenburg is an exam-
20 – no 01 2012
TEXT: RICHIE MACTAGGART PHOTOS: NINA E. RANGØY
I “Compared to other fuel sources, LNG is good for the environment and – with the developments being made here – good for Norwegian business,” says Rikke Lind, State
Secretary of the Norwegian Ministry of Trade and Industry.
no 01 2012 – 21
Content
01 2012
FORUM 01.2012
PUBLISHED BY
Det Norske Veritas as
NO-1322 Høvik, Norway
Tel: +47 67 57 99 00
Fax: +47 67 57 91 60
EDITOR
Eva Halvorsen
Tel: +47 67 57 97 19
eva.halvorsen@dnv.com
DESIGN AND LAYOUT
Coor Service Management as/
Coor Design
graphic.services@dnv.com
PRINTING
Grøset Trykk AS, 12 000/ 2012
COVER PHOTO
© Statoil
02 Editorial
03 News
11 President Zuma discussed
carbon capture at DNV
12 DNV COO Knut Ørbeck-Nilssen:
Low risks in the North?
16 Norway’s Minister for Petroleum
and Energy:
An industry for the future
20 State Secretary of the Norwegian Ministry
of Trade and Industry, Rikke Lind:
Two topics, one voice
24 Statoil’s Ingbjørn Refsdal:
Statoil step change gets noticed
26 Fosnavåg – A small community with
global impact:
28 Mayor Arnulf Goksøyr:
Defined by the sea
30 CEO of Olympic Shipping Stig Remøy:
“If you can’t dream it,
you can’t make it”
32 Founder of Havila Shipping Per Sævik:
Living an adventure
+ Arctic operation
LOW RISKS
IN THE
HIGH NORTH?
34 Gassco’s Thor Otto Lohne:
Towards new ownership on the
Norwegian continental shelf
36 CEO of Oceansaver Steinar Riise:
Under the waves
38 CEO of KONGSBERG Walter Qvam:
A value-based technology leader
42 Yara’s Tore Jenssen:
Feeding the world
46 Executive chairman of Cool nrg Nic
Frances: A green light on the horizon
50 Kuwait Petroleum International’s Fouad
Qabazard:
Searching for the ideal process
53 Deepwater technology centre
in Singapore
54 Norwegian Sea Rescue:
Safeguarding life at sea
58 Carbon Trust’s Benj Sykes:
Creating “innovation that delivers”
62 President of NACE International
Oliver Moghissi:
Drawing the corrosion-risk picture
64 Last word of John Tiratsoo:
Pipeline research: Where next?
+ LNG
TWO TOPICS,
ONE VOICE
© Det Norske Veritas as, 2012
O
A
12
20
DNV COO Knut Ørbeck-Nilssen:
LOW RISKS IN THE NORTH?
State Secretary of the Norwegian Ministry
of Trade and Industry, Rikke Lind:
TWO TOPICS, ONE VOICE