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PROJECTS<strong>OGP</strong><br />

<strong>Project</strong>s<strong>OGP</strong> Magazine OTC Special Edition<br />

FEATURED PROJECTS<br />

LUCIUS FIELD GULF OF MEXICO<br />

MARINE WELL CONTAINMENT SYSTEM<br />

BIG FOOT FIELD GULF OF MEXICO<br />

LULA FIELD SANTOS BASIN<br />

LLANOS BASIN COLOMBIA<br />

MARISCAL SUCRE VENEZUELA


<strong>Project</strong>s<strong>OGP</strong> is proud to be exhibiting at OTC 2012 in Houston this year – Show<br />

Stand 2375/8. Our global representatives, Ross Whyte and Drew Robertson, are<br />

in attendance and are excited to meet with any clients or other interested parties to<br />

discuss the development and application of the project tracker.<br />

<strong>Project</strong>s<strong>OGP</strong> is an essential business development tool that tracks the life-cycle of<br />

global oil, gas and petrochemical projects. The project tracker has been designed to<br />

provide comprehensive, up-to-date and accurate information on operators, contractors<br />

and subcontractors involved in projects. Conforming to modern expectations of digital<br />

media, <strong>Project</strong>s<strong>OGP</strong> has been created to be user friendly and intuitive through the<br />

simplicity in searching, accessing and exporting specific information from global<br />

projects. Complimenting the project tracking system are interactive features allowing<br />

users to identify and track projects of choice, targeting markets by project type,<br />

contract type or geographically. A pro-active CRM system allows users to forward<br />

plan business and project strategies by identifying new opportunities at the earliest<br />

possible stage. <strong>Project</strong>s<strong>OGP</strong> is the newest product brought to the market by Red Mist<br />

Media, proprietor of Your Industry News and The Cable Directory.<br />

The <strong>Project</strong>s<strong>OGP</strong> magazine - OTC Edition demonstrates a cross section of the latest<br />

developments and contract awards from global projects within the oil, gas and<br />

petrochemical industries, which have been entered into the online database this<br />

month.<br />

The latest advancement for <strong>Project</strong>s<strong>OGP</strong> sees the introduction of a new ‘project type’<br />

category breakdown that covers new build drilling rig projects. This new project group<br />

is scheduled for launch by the end of April.<br />

To increase your global business intelligence pool and retain a competitive advantage,<br />

why not register for a free 48 hour trial of <strong>Project</strong>s<strong>OGP</strong> at www.projectsogp.com<br />

to access information on over 2,800 projects in the oil, gas and petrochemical<br />

industries.<br />

Drew Robertson<br />

Editor<br />

Ross Whyte<br />

Sales Manager<br />

North America<br />

Lucius Field<br />

Marine Well Containment System<br />

Big Foot Field<br />

North America - Awards<br />

South America<br />

Lula Field<br />

Llanos Basin<br />

Mariscal Sucre<br />

South America – Awards<br />

International<br />

Europe – Awards<br />

Africa – Awards<br />

Middle East – Awards<br />

Asia & Oceania – Awards<br />

Client Features<br />

Visit us at OTC 2012 - Stand 2375 / 8<br />

Contents<br />

5<br />

6<br />

8<br />

10<br />

12<br />

15<br />

16<br />

18<br />

20<br />

24<br />

26<br />

27<br />

30<br />

33<br />

36<br />

40


ENGINEERING PLASTIC SOLUTIONS


North America<br />

With proximity to OTC’s Houston backdrop, we take<br />

a comprehensive look at the Lucius project in the<br />

Gulf of Mexico as substantial advancements become<br />

apparent in Anadarko’s deepwater operation. Since<br />

the sanctioning for development of the project in the<br />

conclusion of 2011, the first quarter of 2012 has<br />

seen numerous and significant contract awards for<br />

the Lucius.<br />

Almost two years on from the Deepwater Horizon<br />

disaster, our second feature project in North America<br />

focuses on the Marine Well Containment System<br />

being developed by some of the industry’s biggest<br />

international operators. With an interim containment<br />

system already in place, an expanded system is<br />

scheduled for delivery in 2012.<br />

Our third feature project again centres on deepwater<br />

operations in the Gulf of Mexico with the Big Foot<br />

field development, a further testament to the<br />

lucrative Walker Ridge area. With some recent<br />

contract awards and an abundance of historical<br />

information on operators, main and sub contractors,<br />

the Big Foot has been reviewed in an effort to<br />

showcase the capability of <strong>Project</strong>s<strong>OGP</strong>’s online<br />

database as a business intelligence tool.<br />

A selection of recent developments and contract<br />

awards of note are also featured throughout the<br />

continent’s oil, gas and petrochemical projects.<br />

<strong>Project</strong>s<strong>OGP</strong> currently tracks 337 projects in North<br />

America, each categorised by stream, project type,<br />

contract type and project status.<br />

5


6<br />

Lucius Oil & Gas Field Gulf of Mexico<br />

Situated in Blocks 874, 875, 918 and 919<br />

of the Keathley Canyon area of the Gulf<br />

of Mexico, the Lucius field lies at a water<br />

depth of approximately 2,164 metres.<br />

Discovery was made in Block 875, in<br />

December 2009, hitting more than 60<br />

metres of net pay in sub-salt of Pliocene<br />

and Miocene sands. The field indicates<br />

thick reservoir sands with very good<br />

porosity and permeability.<br />

Lucius is expected to be developed<br />

using a truss spar, which will consist of<br />

a cylindrical hard tank with the truss<br />

extending beneath to the keel for lighter<br />

weight.<br />

Additionally configured for hosting subsea<br />

completions, six producing wells are<br />

planned to be connected to the 23,000<br />

tonne platform.<br />

<strong>Project</strong> Facts<br />

Value: US$250 million<br />

Startup Year: 2014<br />

Water Depth: 2,164m<br />

Upstream Gas Reserves: 1,000 billion ft³<br />

The Lucius spar will have a production<br />

capacity of 80,000 bpd (barrels per day) of<br />

oil and 450 MMcf/d (million cubic feet per<br />

day) of natural gas. Drilling will commence in 2012 with first production scheduled for 2014.<br />

Anadarko Petroleum serves as operator with 35% interest, with Plains Exploration & Production (23.3%), Apache<br />

Corporation (11.7%), Exxonmobil (15%), Petrobras (9.6%) and Eni (5.4%) holding the remaining interest.<br />

© Technip<br />

Contractors<br />

Ensco: Drilling contractor<br />

Mustang Engineering: pre-FEED and topsides EPC<br />

Technip: EPC and transport of a 23,000 ton Truss Spar hull<br />

J P Kenny: pre-FEED - Subsea flowlines and umbilicals<br />

FMC Technologies: Subsea systems and life-of-field services<br />

Aker Solutions: Installation and supply of tube umbilicals<br />

Saipem: Transportation and installation contract for pipeline<br />

Subcontractors<br />

First Subsea Ltd: Supply the mooring line connectors for<br />

Technip


First Subsea awarded spar mooring<br />

connector contract for Lucius Field<br />

First Subsea Ltd has been awarded a contract by Technip<br />

USA Inc to supply the mooring line connectors for a new spar<br />

platform moored in 2,134 metres of water in the Lucius field,<br />

Keathley Canyon block 875 in the Gulf of Mexico.<br />

The Lucius spar will be moored by nine Ballgrab ball and<br />

taper mooring connectors attached to polyester mooring<br />

lines. The Ballgrab connector comprises a male connector<br />

and female receptacle. The Series III male connectors will<br />

comply with the new ABS Mooring Guide 2009.<br />

Mustang wins Lucius topsides contract<br />

Mustang has been awarded the topsides engineering<br />

contract for the Lucius field development.<br />

Mustang will carry out the topsides engineering,<br />

procurement support and equipment inspection for a truss<br />

spar floating production facility at the deepwater project.<br />

Detailed engineering on the Lucius project is scheduled to be<br />

completed during the third quarter of 2012.<br />

Aker Solutions lands umbilicals<br />

contract for the Lucius field<br />

Aker Solutions has been awarded a contract for eight steel<br />

tube umbilicals, by Anadarko Petroleum Corporation, for the<br />

Lucius field.<br />

The scope of work includes the project management,<br />

design, engineering, and manufacturing of two electro/<br />

hydraulic dynamic production umbilicals, two gas lift dynamic<br />

umbilicals, three electro/hydraulic infield umbilicals and one<br />

gas lift infield umbilical, including all associated ancillary<br />

equipment required for installation and interface with the<br />

existing development.<br />

These umbilicals will utilise the patented Aker Solutions PVC<br />

profile matrix, which provides both predictable estimates of<br />

fatigue and friction, as well as improved crush and impact<br />

resistance.<br />

A NEW ERA FOR OFFSHORE PIPE HEATING & COATING<br />

Over the last decade Radyne Offshore has pioneered the effective<br />

use and development of induction heating technology within the pipe<br />

laying sector of the Offshore Industry.<br />

Our Clam Coil systems have been developed in conjuction with<br />

some of the world’s leading pipe laying organisations, resulting in<br />

significant time reductions in pre / post heat treating processing,<br />

providing unmatched heating uniformity.<br />

WWW.RADYNE-OFFSHORE.COM<br />

Saipem secures transportation<br />

contract in Gulf of Mexico<br />

Saipem has won a transportation and installation contract<br />

for a 350 kilometre, 20 inch, OD Gulf of Mexico gas export<br />

pipeline in 100 to 2,100 metres of water.<br />

Castorone will perform this work second half of 2013. The<br />

pipeline will transport gas from the Lucius and Hadrian<br />

South fields.<br />

FMC Technologies wins subsea<br />

systems contract from Anadarko<br />

Petroleum Corporation<br />

FMC Technologies Inc. has signed an agreement with<br />

Anadarko Petroleum Corporation to provide subsea systems<br />

and life-of-field services for its Lucius project.<br />

FMC’s scope of supply includes five subsea production trees<br />

and two manifolds. The equipment will be supplied from the<br />

company’s operation in Houston and deliveries are expected<br />

to begin in the fourth quarter of 2012.<br />

Technip awarded subsea contract for<br />

the Lucius field in the Gulf of Mexico<br />

Technip was awarded a lump sum contract by Anadarko<br />

Petroleum Corporation for the development of the Lucius<br />

field.<br />

The contract covers, installation of a flexible flowline,<br />

multiple flexible gas lift jumpers, main gas lift and infield<br />

umbilicals, subsea distribution units, electrical, fiber optic<br />

and hydraulic flying leads, design and fabrication of the<br />

flexible flowline end termination, fabrication and installation<br />

of rigid jumpers, burial of flowlines, and flooding and hydrotesting<br />

of the flowline system.<br />

Technip’s operating centre in Houston, will perform the<br />

overall project management. The company, which recently<br />

acquired Global Industries, will use some of their key<br />

assets for this project, including their Deep Blue deepwater<br />

pipelay vessel. The vessel will be used during the offshore<br />

installation phases in 2013 and 2014.<br />

7<br />

RADYNE<br />

OFFSHORE<br />

OTC 2012<br />

Stand 2577


8<br />

Marine Well Containment North America<br />

In response to 2010’s Deepwater Horizon<br />

oil spill in the Gulf of Mexico, energy giants<br />

ExxonMobil, Chevron, ConocoPhillips and Shell<br />

joined efforts in founding the Marine Well<br />

Containment Company (MWCC).<br />

Headquartered in Houston, MWCC recognises<br />

the need to be better prepared in the event<br />

an operator losing complete control and<br />

subsequent containment of a well. Committed<br />

to being continuously ready for response to<br />

incidents in the deepwaters of the Gulf, the<br />

company commenced development of an<br />

interim<br />

containment system, which became available in<br />

2011.<br />

As an ongoing project, an expanded<br />

containment system has been designed to<br />

increase flexibility, adaptivity and mobilization<br />

time. The new system will be compatible with<br />

a wide range of well designs and equipment,<br />

various oil and natural gas flow rates, as well<br />

as diverse weather conditions. Furthermore,<br />

the expanded containment system will be<br />

engineered for use in water depths of up to<br />

3,048 metres and has the capacity to contain<br />

up to 100,000 barrels of liquid per day, and up<br />

to 200 million standard cubic feet of gas per day.<br />

Contractors<br />

AMEC: Capping stack<br />

Technip: FEED<br />

Weatherford: Topside process modules for<br />

two dynamically positioned tankers<br />

Scana Subsea: Forgings and machining<br />

work on workover riser joints, top and<br />

bottom riser assembly joints, goosenecks<br />

and U-joints<br />

Wood Group PSN: Technical support<br />

services for MWCC’s containment system<br />

Sub contractors<br />

Drydocks World: Conversion work on a pair<br />

of tankers<br />

Interim Containment System<br />

Expanded Containment System


Marine Well Containment Company<br />

receives tanker for expanded<br />

containment system<br />

Marine Well Containment Company (MWCC) has delivered<br />

a new Aframax tanker to its expanded containment system.<br />

Named “Eagle Texas” in a recent ceremony in Takamatsu,<br />

Japan, the tanker will be operated by AET Tanker Holdings.<br />

The vessel will soon undergo extensive conversion and<br />

modification before taking up duties in the U.S. Gulf of<br />

Mexico.<br />

The Eagle Texas is one of two dedicated capture vessels that<br />

will serve as part of MWCC’s expanded containment system.<br />

Modular process equipment will be installed on the capture<br />

vessels and will connect to the riser assembly that directs<br />

the oil from the subsea components. The process equipment<br />

will separate the oil from the gas, safely store the oil and<br />

flare the gas. Oil will be offloaded to shuttle tankers and<br />

transported to shore.<br />

The company’s expanded containment system is on track for<br />

delivery in 2012. It is being engineered for use in deepwater<br />

depths up to 3,048 metres with the capacity to process up to<br />

100,000 bol (barrels of liquid) and handle up to 200 million<br />

standard cubic feet of gas per day.<br />

Scana awarded US$3.6 million<br />

contracts for Gulf of Mexico well<br />

containment project<br />

Scana Industrier ASA has through its subsidiary Scana Subsea,<br />

been awarded contracts for the U.S Gulf of Mexico Marine well<br />

containment system project and the Hibernia project in Canada.<br />

Initial contracts are valued at US$3.6 million.<br />

The Scana scope of work includes forgings and machining for<br />

top and bottom riser assembly joints, goosenecks and U-joints<br />

to the riser system as well as work-over riser joints. Deliveries<br />

will commence during fourth quarter of 2011 through to second<br />

quarter of 2012.<br />

Drydocks World secures AET contract for<br />

the Marine Well Containment system<br />

The MCVs will be converted from two newbuild aframax<br />

tankers - the Eagle Texas and Eagle Louisiana - constructed<br />

for AET at the Tsuneishi Tadotsu shipyard in Japan.<br />

AET is converting these vessels as part of the MWCC’s well<br />

containment system. The conversion will be conducted at<br />

Drydocks World’s Dubai facility and will allow the tankers<br />

to continue to operate as tankers in the US Gulf of Mexico,<br />

with capability to be deployed as MCVs within the shortest<br />

possible time.<br />

The first vessel is expected to arrive at the yard in December<br />

2011 and the second vessel in February 2012. Each project<br />

should take nine months to complete. Each vessel will be<br />

equipped to handle about 100,000 barrels of liquid and<br />

about 200 million standard cubic feet of gas per day. The<br />

MCVs are capable of operating at depths of 3,048 metres.<br />

The vessels will be outfitted with new containment system<br />

components provided by MWCC. Conversion scope includes<br />

installation of four off-power generators, four off-retractable<br />

type azimuth thrusters, one tunnel thruster, dynamic<br />

positioning system, pipe racks on deck and supports for<br />

process module, flare tower, and turret among other items.<br />

Marine Well Containment Company<br />

has granted two service contracts to<br />

Wood Group<br />

Wood Group has been granted two contracts by the MWCC,<br />

committed to improving capabilities for containing a<br />

deepwater well control incident in the U.S. Gulf of Mexico.<br />

Wood Group companies Wood Group PSN and Mustang will<br />

provide technical support services for MWCC’s containment<br />

system to be used in the event of a deepwater well control<br />

incident in the U.S. Gulf of Mexico.<br />

Wood Group PSN is helping MWCC enhance plans and<br />

procedures to maintain MWCC’s interim containment system<br />

equipment. Mustang is assisting MWCC in the analysis of<br />

drillship oil and gas processing equipment. Mustang will<br />

conduct steady state and transient modelling of subsea<br />

equipment, evaluate hydrate condition and mitigation, and<br />

develop process simulation modules.<br />

9


10<br />

Big Foot Field Gulf of Mexico<br />

The Big Foot field development is a deepwater discovery<br />

in the Gulf of Mexico, situated in Block 29 of the Walker<br />

Ridge Area, approximately 362 kilometres south of New<br />

Orleans, Louisiana. Three exploration and appraisal wells<br />

with multiple sidetracks have been drilled successfully in<br />

the field to define the structure.<br />

Estimated to contain total recoverable resources in excess<br />

of 200 million boe (barrels of oil equivalent), the field’s<br />

primary pay sands are middle to upper Miocene, ranging<br />

from 5,800-7,300 metres and lying below a salt canopy<br />

approximately 2,400 to 4,500 metres thick. Big Foot will be<br />

developed with a dry tree Extended Tension Leg Platform<br />

with an onboard drilling rig and have production capacity of<br />

75,000 bpd (barrels per day) of oil and 25 MMcf/d (million<br />

cubic feet per day) of natural gas. Production of first oil from<br />

the well is expected in 2014.<br />

Chevron serves as operator of the Big Foot field with 60%<br />

interest, with partners Statoil ASA (27.5%) and Marubeni Oil<br />

& Gas (12.5%) holding the remaining interest.<br />

Contractors<br />

Dockwise: Transport Big Foot platform newbuilding<br />

FloaTec (Floatation Technologies Inc): Conceptual design study for the field, FEED - Hull, mooring, risers<br />

Mentor Subsea Technology: Responsible for the examination of subsea hardware for the field<br />

J Ray McDermott: Feasibility Study - Formulate topsides parameters<br />

Mustang Engineering: FEED - To evaluate topsides.<br />

Aker Solutions: To review options for a Semi-Sub<br />

Technip: Review options for Spar<br />

IntecSea: Pre FEED / Preliminary Design & Engineering - For subsea layout<br />

KBR: FEED - For the topsides and EPC - Detailed design for topsides with engineering and procurement support.<br />

Houston Offshore Engineering: To work with FloaTec<br />

GATE (Gibson Applied Technology & Engineering) LLC: FEED - To provide specialized chemical systems, materials, corrosion<br />

and operations and HSE support<br />

2H Offshore Engineering: Subsea / SURF - For work on riser systems<br />

Gulf Marine Fabricators, L.P.: EPC - Topsides Contruction<br />

Dril-Quip - Subsea / SURF: Subsea wellhead equipment, specialty connectors, and tubulars.<br />

Baker Hughes: To supply ESP systems and production packers<br />

GE Oil & Gas: Tension leg platform (TLP) marine riser tensioner system<br />

Wood Group: Commission the Big Foot extended tension leg platform (E-TLP)<br />

Harris CapRock Communications: Telecommunications systems and infrastructure<br />

Heerema Marine Contractors<br />

Embridge: Construct and operate an oil pipeline<br />

Sub contractors<br />

<strong>Project</strong> Facts<br />

Location: Block 29, Walker Ridge, Gulf<br />

of Mexico<br />

Value: US$4,000 million<br />

Start year: 2014<br />

Water Depth: 1,600 m<br />

Oil Reserves: 150 million bbl<br />

BMT Fluid Mechanics: in partnership with BMT ARGOSS, to provide Tow Simulation Services for Heerema Marine Contractors<br />

Nederland B.V Inc. (“HMC”)<br />

Kiewit: The topsides tonnage is thought to be about 25,000 tonnes, which could require the use of Kiewit’s Heavy Lifting Device<br />

- a twin boom crane capable of lifting 13,000 tonnes.<br />

Foster Wheeler: Detail design of pipeline<br />

(It is understood that Kiewit has been assisting Gulf Island with the platform on the Bigfoot project.)


Wood Group PSN awarded<br />

commissioning contract for Chevron’s<br />

Big Foot facility<br />

Wood Group PSN has been granted a multi-million dollar,<br />

three year contract by Chevron U.S.A. Inc. to commission the<br />

Big Foot extended tension leg platform in the deepwater Gulf<br />

of Mexico.<br />

Work will be performed by DSI, Wood Group PSN’s<br />

commissioning services business. DSI’s scope of work<br />

covers the full commissioning process, from development<br />

of procedures, through inspection and testing of every<br />

operational component at the South Texas fabrication yards<br />

and offshore, to the final hand-over of systems to Chevron.<br />

Dockwise lands contract from Chevron<br />

for its US$4 billion Big Foot Platform<br />

Dockwise has been awarded a contract from Chevron to<br />

transport its Big Foot platform newbuilding from South Korea<br />

to the Gulf of Mexico. Dockwise is understood to have lined<br />

up its vessel Mighty Servant 1 for the transportation of the<br />

46,000-tonne extended tension-leg platform from Daewoo<br />

Shipbuilding & Marine Engineering in the second half of<br />

2012.<br />

The journey is expected to take around two months but could<br />

not be drawn on the contract price. Chevron signed off on its<br />

US$4 billion Big Foot development in December 2010. The<br />

platform will sit at the field some 320 kilometres south of<br />

New Orleans in water depths of 1600 metres and will have a<br />

drilling rig onboard.<br />

Local yard Gulf Island Fabrication was awarded the contract<br />

to build the topside for the platform in December 2010.<br />

GE to supply TLP Tensioner System for<br />

Chevron’s Big Foot Platform in a deal<br />

worth US$45 million<br />

GE Oil & Gas received a US$45 million contract from<br />

Chevron for the supply and service of a tension leg platform<br />

(TLP), marine riser Tensioner Systems, for deployment on its<br />

Big Foot oil and gas field in the Gulf of Mexico.<br />

The company is making key design modifications to develop<br />

‘push-up’ style, marine riser Tensioner equipment, to enable<br />

the Big Foot TLP to deal with challenging wave and current<br />

movement conditions of deepwater applications.<br />

The Big Foot TLP will be the first unit to operate in a water<br />

depth of 1,585 metres. The TLP will include an on-board<br />

drilling rig and will have a production capacity of 75,000<br />

barrels of oil per day and 25 million cubic feet per day of<br />

natural gas. Installation of the TLP is scheduled to begin in<br />

November 2012 and first oil is expected in 2014.<br />

BMT to provide Tow Simulation Services<br />

for Chevron’s Jack St. Malo and Big Foot<br />

Platforms<br />

Heerema Marine Contractors Nederland B.V Inc. has<br />

awarded a contract to BMT Fluid Mechanics in partnership<br />

with BMT ARGOSS, providing Tow Simulation Services for<br />

the inshore tow of Jack St. Malo and Big Foot Production<br />

Platforms to be installed in the Gulf of Mexico.<br />

BMT will be engineering, procuring, installing and<br />

commissioning a purpose built simulation facility to be<br />

located in Houston, Texas, for the purpose of training tug<br />

captains and other marine personnel involved with the<br />

inshore towing of the platforms from the Ingleside integration<br />

yards. The inshore tows are particularly challenging because<br />

of the extremely small hull clearances within the shipping<br />

channels leading from the yards out to the gulf. Up to five<br />

independently controlled tug boats will be effectively, rigidly<br />

coupled to the hull to perform the 24 kilometre wet-tows.<br />

BMT’s PC Rembrandt real time manoeuvring training<br />

software will be the basis of the simulator. The simulator<br />

will provide a realistic hands-on facility for tug captains to<br />

develop safe operating strategies for the tow and develop<br />

rational weather and tide operating limits.<br />

Harris wins telecom deal for Chevron’s<br />

Big Foot platform project in the Gulf of<br />

Mexico<br />

Harris CapRock Communications has signed a contract to<br />

provide telecommunications systems and infrastructure for<br />

Chevron’s Big Foot platform project in the Gulf of Mexico.<br />

Under the terms of the agreement, Harris CapRock will<br />

conduct the robust design, integration and testing of<br />

telecommunications subsystems, including UHF (Ultra-High<br />

Frequency) trunked, marine VHF (Very High Frequency),<br />

survival and aeronautical radios, radar, AIS (Automatic<br />

Identification System) and weather tracking systems,<br />

closed-circuit and entertainment TV, personnel on board<br />

location and access, VSAT (Very Small Aperture Terminal)<br />

and associated fibre, CAT-6 structured cabling, and the<br />

infrastructure to support all services.<br />

Chevron requires a customised solution including the design,<br />

integration and testing of telecommunications systems<br />

before deployment, along with VSAT hardware and service<br />

during production. Specifically, Chevron’s needs include<br />

telecommunications and electronic equipment, fibre and<br />

structured cabling, RF (Radio Frequency) and coax cabling,<br />

and an overall telecommunications infrastructure.<br />

The systems integration work will support all aspects of<br />

the project from design through to FAT (Factory Acceptance<br />

Testing), with the testing period to be held at Harris<br />

CapRock’s energy headquarters in Houston, Texas.<br />

11


12<br />

North America<br />

WorleyParsons wins US$57.9 million<br />

TransCanada contracts<br />

TransCanada has awarded WorleyParsons two fabrication<br />

and construction contracts worth US$57.9 million for work<br />

on the Hardisty terminal facilities in Alberta, Canada.<br />

WorleyParsonsCord will conduct Terminal A brownfield<br />

work and Terminal B balance of plant construction at<br />

the TransCanada Pipelines Limited Hardisty facility. The<br />

contracts are scheduled for completion by December 2012.<br />

Hardisty, situated 190 kilometres southeast of Edmonton,<br />

Canada, is the site of TransCanada’s major crude oil terminal<br />

hub and will also serve as the hub for the Keystone pipeline.<br />

TransCanada acts as operator with 100% interest.<br />

Explortex to acquire working interests<br />

in 33 Barnett Shale wells<br />

Explortex Energy, Inc. has entered into an agreement to acquire the<br />

working interests in 33 Barnett Shale oil and gas wells from Point<br />

Capital Barnett Shale Investors, G.P. which holds interest in 14 wells in<br />

Denton County, Texas.<br />

Point Capital Barnett Shale Investors II, LP holds interest in 19<br />

additional wells located in Denton, Cooke and Wise Counties, Texas.<br />

Consideration for the transaction is approximately US$1.3 million. A<br />

total of approximately US$10.5 million was invested into the General<br />

Partnerships over the last six years.<br />

The Barnett Shale formation is located in the Bend Arch-Fort Worth<br />

Basin, which primarily spans northern Texas and southern Oklahoma.<br />

Pulse Seismic signs US$27.8 million<br />

3D seismic data license<br />

Pulse Seismic Inc. has signed a US$27.8 million seismic data<br />

licensing agreement, with the majority of the seismic data located<br />

in the Cutbank Ridge area of northwest British Columbia.<br />

Seismic data sales from the company’s 2010 significant asset<br />

acquisition of the Cutbank Ridge and Montney datasets have now<br />

totalled US$49.5 million in the 18-month period ended March<br />

31, 2012. This represents an 89% cash recovery of the US$55.6<br />

million cash component of the purchase price for this acquisition.<br />

337<br />

PROJECTS<strong>OGP</strong><br />

TRACKER<br />

live projects in North America<br />

www.projectsogp.com<br />

Cal Dive awarded Pemex Subsea<br />

Pipeline Installation contract to<br />

generate US$46 million in total revenue<br />

Cal Dive International has been awarded a US$46 million<br />

contract by Pemex Exploración y Producción for the<br />

installation of a 20 inch subsea pipeline located in the<br />

Abkatun, Pol and Chuc fields, offshore Mexico.<br />

The contract will utilise two of the company’s key assets and<br />

the offshore construction is expected to commence in the<br />

second quarter of 2012.<br />

The Abkatun, Pol and Chuc fields are located in the<br />

Campeche Sound, offshore Mexico, at a water depth of 73<br />

metres. Pemex acts as operator of the fields with 100%<br />

interest.<br />

Fugro signs letter of award for seismic<br />

survey<br />

Fugro Geoteam has signed a letter of award worth over<br />

US$40 million with Statoil Canada for a 3D seismic survey<br />

offshore Newfoundland.<br />

The survey will be undertaken using one of Fugro Geoteam’s<br />

industry leading C-Class seismic vessels during the second<br />

and third quarters of 2012.<br />

Subsea 7 wins US$100 million Terra<br />

Nova SURF contract<br />

Subsea 7 S.A. has been awarded a SURF (subsea, umbilical,<br />

riser, flowline) contract, worth approximately US$100 million,<br />

from Suncor Energy for work on its Terra Nova field, off the<br />

coast of Newfoundland.<br />

The contract scope includes the management, engineering<br />

and installation of nine 300 metre replacement risers and<br />

associated flowlines, jumpers and tie-ins.<br />

Engineering and project management activities will be<br />

executed at Subsea 7’s St John’s office, with offshore<br />

operations due to start during the third quarter of 2012.<br />

Offshore Canada, the Terra Nova field is situated in the<br />

Jeanne d’Arc basin, approximately 350 kilometres southeast<br />

of St. John’s, Newfoundland. Suncor Energy serves as<br />

operator with 29% interest, with partners ExxonMobil (22%),<br />

Husky Oil (17.5%), Statoil ASA (15%), Murphy Oil (12%),<br />

Mosbacher Operating (3.5%) and Chevron Canada (1%)<br />

holding the remaining interest.


Technip awarded subsea contract for<br />

the Hadrian South Development in the<br />

Gulf Of Mexico<br />

ExxonMobil awarded Technip a contract for subsea<br />

equipment on the Hadrian South natural gas development in<br />

the Gulf of Mexico.<br />

The contract covers project management, procurement and<br />

installation of two 11 kilometre long flowlines and associated<br />

jumpers, installation of a 14 kilometre umbilical, associated<br />

foundation and flying leads, as well as pre-commissioning.<br />

The Deep Blue, a deepwater pipelay vessel from the Technip<br />

fleet, is scheduled to install the subsea equipment in 2013.<br />

Technip will execute the contract from its operating centre in<br />

Houston, Texas, while the flowlines to be welded at Technip’s<br />

spoolbase located in Mobile, Alabama.<br />

At a depth of approximately 2,300 metres of water, the<br />

Hadrian South is situated in Keathley Canyon Block 919, in<br />

the Gulf of Mexico. ExxonMobil operates with 50% interest,<br />

with partners Petrobras (25%) and Eni (25%) holding the<br />

remaining interest.<br />

Technip lands Tubular Bells contract<br />

Hess Corporation has awarded Technip a contract for<br />

the development of the Tubular Bells field, located in the<br />

Mississippi Canyon area of the Gulf of Mexico.<br />

The company will work on 28 miles of flowlines, steel<br />

catenary risers, pipeline end terminations, piles and<br />

structures under the contract, which covers design,<br />

engineering, fabrication and subsea installation.<br />

Technip will manage the project from its Houston operating<br />

centre, while the flowlines and risers will be welded at<br />

the company’s spoolbase in Mobile, Alabama. Offshore<br />

installation is scheduled to be completed with the Deep<br />

Blue, one of Technip’s deepwater pipe-lay vessels, during the<br />

first half of 2013.<br />

The Tubular Bells field is located in the Mississippi Canyon<br />

area of the Gulf of Mexico, 217 kilometres southeast of New<br />

Orleans, at a water depth of approximately 1,370 metres.<br />

BP serves operator with 50% interest, with partners Dehvron<br />

Texaco (30%) and Hess Corporation (20%) holding the<br />

remaining interest.<br />

13


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South America<br />

In relation to a flurry of recent activity, as well as the working interests of<br />

several companies based out of OTC’s home town, our first feature project<br />

in South America examines the Lula field (formerly Tupi), located in the presalt<br />

region of the Santos basin. The Basin covers a 352,260 sq kilometre<br />

area in the south Atlantic Ocean, offshore Brazil, and the development<br />

of Petrobras’ Lula has seen several notable contract awards in the early<br />

stages of 2012.<br />

Colombia’s prolific Llanos Basin provides the focus for our second feature<br />

on the continent, with various operations yielding significant finds in the<br />

area. The article provides a sample of the 30 detailed Llanos projects<br />

currently being tracked by <strong>Project</strong>s<strong>OGP</strong>, intended to highlight the use of the<br />

database in searching for exploration activities around the globe.<br />

Again due to numerous recent events, our third feature<br />

project concentrates on the Mariscal Sucre natural gas<br />

project in Venezuela, including both the development of<br />

four primary offshore fields, as well as an onshore complex.<br />

Alongside recent contract awards, our project information<br />

details the future of intended progressions within the<br />

Mariscal Sucre, as an effort to demonstrate the extent of<br />

research being undertaken by our independent team.<br />

Additionally, further samples of new<br />

developments and significant awards<br />

are featured throughout South America’s<br />

oil, gas and petrochemical projects.<br />

<strong>Project</strong>s<strong>OGP</strong> currently tracks 214 projects in<br />

the continent, each categorised by project<br />

stream, project type, contract type and<br />

project status.<br />

15


16<br />

Lula Field Brazil<br />

Discovered in July 2006, the Lula field is Brazil’s largest<br />

discovery to date, located in block BM-S-11 in the Santos Basin,<br />

250 kilometres off the south coast of Rio de Janeiro.<br />

Formerly known as Tupi, Lula is located in water depth of 2,126<br />

metres and holds an estimated total recoverable resources of<br />

5-8 billion boe (barrels of oil equivalent), with the gravity of the<br />

light oil discovery measured at 28º API.<br />

The Lula field lies below the ocean under almost 3,048 metres<br />

of sand and rocks and a layer of salt some 1,981 metres thick.<br />

The salt formation in this region is over 800 kilometres long,<br />

extending along the coast of south eastern Brazil below waters<br />

that are 1524-3,048 metres deep.<br />

The find is particularly important because it will provide a<br />

source of light crude for Brazilian refineries, which were built<br />

before Brazil started producing oil and are not made to handle<br />

the country’s heavy crude. Peak production at Lula will probably<br />

reach 1-1.2 million bpd (barrels per day) between 2022 and<br />

2024.<br />

Petrobras serves as operator of the Lula field with 65% interest,<br />

with partners BG Group (25%) and Galp Energia SGPS SA<br />

(10%) holding the remaining interest.<br />

Contractors:<br />

Aker Solutions: EPC for topside seawater treatment and sulphate removal module<br />

Allseas: EPC for pipeline development<br />

Baker Hughes: Drilling system<br />

Bohai Oil Marine Engineering & Supply Company (Bomesc): EPC for sulphur removal unit, electric housing, pipe rack, fuel gas<br />

system and chemical injection system<br />

BW Offshore: FPSO for production test<br />

CGGVeritas: 3D survey<br />

CompactGTL: Gas-to-liquids technology<br />

Consortium for pipeline EPC: Corus UK Ltd., TenarisConfab<br />

Consortium for FPSO hull EPC: Engevix, GVA Consultants (KBR Company)<br />

Modec Inc.: FPSO Cidade de Angra dos Reis MV22 (Marubeni, Mitsui and Mitsui OSK Lines invested in a charter for this vessel March 2012)<br />

Noble Drilling: Drilling contractor<br />

Consortium for Cidade de Paraty FPSO charter and EPC: Queiroz Galvao, SBM (Single Buoy Moorings)<br />

Rolls-Royce: Thirty-two RB211 gas turbine power generation packages, including waste-heat recovery units<br />

Saipem: EPCI contract for an 18-inch, 19-kilometre export line as well as a new E&C contract in April 2012<br />

Sofec Inc.: Spread mooring<br />

Subsea 7: Four riser systems<br />

Technip: Flexible pipeline and EPC for pipelay development<br />

Wellstream: Pilot flexible risers<br />

Sub Contractors:<br />

ABB: Electrical module<br />

Dalian Shipbuilding Industry Co Ltd.: Hull and marine system EPC for Modec’s<br />

DOF Subsea: Survey and positioning services for Technip<br />

Dresser-Rand: Compressors<br />

Keppel FELS Ltd.: Upgrade of FPSO for BW Offshore<br />

Oil States International: Steel catenary riser terminations<br />

Parker Hannifin: Steel wire tether system<br />

<strong>Project</strong> Facts<br />

Value: US$12,000 million<br />

Startup Year: August 2013<br />

Location: Block BM-S-11,<br />

Santos Basin


Technip wins Petrobras pre-salt<br />

contract offshore Brazil<br />

Petrobras has awarded a contract for pre-salt field development<br />

on the Guara & Lula Nordeste fields in the Santos basin,<br />

offshore Brazil, to Technip.<br />

Technip will manufacture 24 kilometres of six inch gas<br />

injection flexible lines for the project, along with 18 kilometres<br />

of flowlines, two 200 metre top risers and four 1,400 metre<br />

intermediate and bottom risers. The gas injection lines will be<br />

used to re-inject produced gas into the reservoir to respect new<br />

Brazilian environmental regulations.<br />

The flexible lines will be manufactured at Technip-operated<br />

facilities, including one in the Brazilian city of Acu, and will be<br />

delivered in two batches, the second one to arrive in the first<br />

quarter of 2013.<br />

Petrobras awards Rolls-Royce US$651<br />

million gas turbine-based power<br />

packages<br />

Rolls-Royce has been awarded new contracts with a potential<br />

value of US$651 million by Petrobras to support its production<br />

activities offshore Brazil.<br />

Rolls-Royce will supply Petrobras with 32 RB211 gas turbine<br />

power generation packages, including waste-heat recovery units,<br />

to meet the power generation requirements of eight separate<br />

Floating Production Storage and Offloading (FPSO) vessels. The<br />

FPSOs, used for the processing of hydrocarbons and storage of<br />

oil, will operate in the petroleum rich Lula and Guará oilfields,<br />

located in the pre-salt area of the Santos Basin.<br />

The new gas turbine power generation packages will be delivered<br />

in groups of four, with the first units scheduled for delivery in the<br />

first quarter of 2013. Four gas turbine generating sets will be<br />

installed on each of the eight FPSO’s. To ensure that the FPSO<br />

vessels operate at peak performance levels, Rolls-Royce will also<br />

provide Petrobras with long-term services, technical support and<br />

training.<br />

Saipem secures gas pipeline contract<br />

for Lula Development<br />

Petrobras has awarded Saipem a new E&C contract for the Lula<br />

development.<br />

The EPCI contract pertains to the gas export trunkline Rota<br />

Cabiúnas, situated in the Santos Basin pre-salt region,<br />

approximately 300 kilometres off the coast of the State of<br />

Sao Paulo. The development comprises the engineering and<br />

procurement of subsea equipment, and the installation of a 380<br />

kilometre long pipeline with a 24 inch diameter, in a maximum<br />

water depth of 2,200 metres. The pipeline will connect the<br />

central gathering manifold in the Lula field, in the Santos Basin,<br />

to the onshore Processing Plant of Cabiúnas, located in the<br />

Macaé district, in the State of Rio de Janeiro. Work is scheduled<br />

for completion in the second quarter of 2014.<br />

Dresser-Rand to supply compression<br />

systems in a deal worth US$700 million<br />

offshore Brazil<br />

Dresser-Rand has received a US$700 million contract from<br />

Tupi and Guara to supply compression equipment and<br />

services in Brazil.<br />

The contract includes up to 80 Datum compressor trains,<br />

which will be installed on eight FPSO vessels. Six of the<br />

vessels will be deployed in the Lula field and the other two<br />

will be sent to the Guara field. The contract also includes<br />

training, aftermarket services and two ten-year maintenance<br />

deals.<br />

Saipem awarded new E&C offshore<br />

contracts worth approximately US$600<br />

million<br />

Saipem has been awarded new E&C Offshore contracts in<br />

South America worth approximately US$600 million.<br />

In Brazil, Saipem has been awarded an EPCI (engineering,<br />

procurement, construction and installation) contract by<br />

Petrobras for the development of the gas export pipeline Lula<br />

NE - Cernambi, in the Santos Basin Pre-Salt Region.<br />

The development encompasses the engineering,<br />

procurement, fabrication and installation of a gas export<br />

pipeline 18 inches in diameter and 19 kilometres long, and<br />

related subsea equipment, which will be laid in a maximum<br />

water depth of 2,200 metres. The pipeline will connect the<br />

field of Cernambi to a Central Manifold in the field of Lula.<br />

The majority of the offshore activities will be performed by<br />

the deepwater field development ship Saipem FDS 2 during<br />

the second half of 2013. This is the third export flowline from<br />

the new Pre-Salt FPSOs (after Guara and Lula NE) and the<br />

third to be installed by the Saipem FDS 2. The technology of<br />

the FDS 2 installation vessel, and specifically its powerful<br />

J-Lay capacity, is ideally suited to the installation of the ultradeep<br />

water pipelines and flowlines of the Pre-Salt fields in<br />

Brazil.<br />

17


18<br />

The Llanos Basin<br />

Colombia<br />

Covering an extensive area of grassland, the Llanos Basin<br />

expands 500 kilometres east from the Colombian portion of<br />

the Andes mountains range. The Llanos shares several<br />

geological characteristics with the Western Canadian<br />

Basin, presenting similar challenges for seismic mapping<br />

and data analysis. In comparison to more mature basins<br />

in production, the Llanos Basin remains relatively<br />

unexplored but presents vast potential to find<br />

and develop large reserves.<br />

At the most recent stages in the Basin’s<br />

development, approximately 1,500 million barrels of<br />

recoverable oil have been officially documented.<br />

Discoveries within the Llanos currently consist of two<br />

giant fields (Cano-Limon and the Castilla), three major<br />

fields (Rubiales, Apiay and the Tame Complex) and over<br />

50 minor fields.<br />

1<br />

Operators: Ecopetrol (100%)<br />

Location: Cano Sur Block, Llanos Basin<br />

Ecopetrol is set to launch a tender for<br />

two integrated service contracts to<br />

develop the prolific<br />

Castilla-Chichimene heavy oil<br />

complex and the recently<br />

discovered Cano Sur field.<br />

2<br />

Operators: Taurex-Condor (50%),<br />

Brownstone (25%), Quetzal (25%)<br />

Location: Canaguaro Block,<br />

Llanos Basin<br />

The Canaguay-1 exploration well was drilled to a final total<br />

depth of 4831 metres and is currently undergoing<br />

completion and testing to evaluate several potential oil<br />

reservoirs including the Mirador, Barco, Gacheta and Une.<br />

1


2<br />

3<br />

4<br />

4 5<br />

Operators: Hocol (20%), Talisman<br />

(30%), Tempa/Total (50%)<br />

Location: Niscota Block, Llanos<br />

Basin<br />

The Huron-2 appraisal well has reached a<br />

total depth of 2438 metres. Results from<br />

Huron are expected in the first half of<br />

2012 and another appraisal well is also<br />

expected to be drilled this year.<br />

5<br />

3<br />

Operators: Interoil Colombia (50%),<br />

PetroMagdalena Energy Corp (50%)<br />

Location: LLA-47 Block, Llanos Basin<br />

The Lince-2 well was a re-drill of Lince-1<br />

and tested some 90 bpd of oil, after<br />

experiencing technical difficulties.<br />

InterOil is committed to acquire 350 sq<br />

kilometres of 3D seismic and to drill 8<br />

exploration wells before September 2014.<br />

Operators: CEPSA (55%),<br />

Gran Tierra (45%)<br />

Location: Llanos-22 Block,<br />

Llanos Basin<br />

The Ramiriqui-1 exploration well has reached<br />

total depth at 5949 metres and a testing<br />

programme has been designed to define<br />

the reservoir and hydrocarbon character,<br />

with results expected in April, 2012.<br />

19


20<br />

Mariscal Sucre Venezuela<br />

The Mariscal Sucre project consists of gas fields<br />

Dragon, Patao, Mejillones and Rio Caribe off the<br />

Venezuelan north eastern coast, as well as the<br />

onshore Gran Mariscal de Ayacucho gas complex<br />

located in Guiria, Sucre.<br />

Through the development of the four natural gas<br />

fields, the project is estimated to have 11-13 tcf<br />

(trillion cubic feet) of natural gas reserves. Initially<br />

aiming to produce 600 million cubic feet of natural<br />

gas a day, production is planned to eventually rise to<br />

1.2 bcf (billion cubic feet). The gas production from<br />

Dragon and Patao will be dedicated to the domestic<br />

market, while the remainder is expected to feed the<br />

second train of the Delta Caribe LNG project.<br />

There will be two semi-sub rigs that will work on<br />

the development and a 110 kilometre pipeline will<br />

connect the Dragon field to Guiria, on the mainland.<br />

The Dragon field will include a maintenance<br />

platform and a main processing facility, which will<br />

dehydrate the gas offshore. This facility will sit in<br />

130 metres of water with subsea tiebacks from<br />

eight wells on the Dragon and Patao fields. An early<br />

production system for the Rio Caribe and Mejillones<br />

fields will include a wellhead platform plus FPSO<br />

facilities capable of exporting 30,000 bpd (barrels per day) of condensate, also featuring gas reinjection units.<br />

PDVSA serve as operator with 60% interest, with partners CNOOC, Petronas, Sonatrach and a consortium of companies (Rosneft,<br />

Surgutneftegaz, TNK-BP, Lukoil and Gazprom) holding the remaining interest.<br />

Contractors<br />

Cameron: Subsea equipment and services for Dragon and Patao fields<br />

Songa Offshore ASA: Drilling contract<br />

Centro Empresarial INECOM: EPC - Field engineering<br />

Saipem SpA: EPC - Dragon- CIGMA pipeline installation<br />

SNC Lavalin Inc.: FEED - Early production system for the Rio Caribe/Mejillones development and project management contract<br />

Technip: EPC - Dragon/Patao development and major procurement, installation and operation support, covering subsea,<br />

onshore and offshore facilities, for an accelerated production system<br />

PDVSA awards SNC-Lavalin US$134 million project management contract<br />

SNC-Lavalin has signed a US$134 million project<br />

management contract with PDVSA for the Delta Caribe<br />

Oriental project in Sucre state.<br />

The agreement covers offshore gas fields Dragon, Patao,<br />

Mejillones and Rio Caribe, as well as the onshore Gran<br />

Mariscal de Ayacucho gas complex (Cigma). SNC-Lavalin<br />

<strong>Project</strong> Facts<br />

Value: US$3,000 million<br />

Startup Year: 2013<br />

Upstream Gas Reserves: 14,000 billion ft³<br />

Water Depth: 150m<br />

will supervise the work of contractors who will be providing<br />

engineering, procurement, construction, installation and<br />

commissioning services for the offshore and onshore facilities.<br />

The initial mobilisation is underway at the project’s offices in<br />

Caracas, Cumaná, London and Houston.


Gas project output to begin in December<br />

2012 from the Mariscal Sucre project<br />

The Mariscal Sucre offshore gas project will begin production<br />

in December 2012 after years of delays and difficulties in<br />

attracting foreign partners.<br />

Initial output from Mariscal Sucre would be 300 million cubic<br />

feet a day, eventually rising to 1.2 billion cubic feet per day. The<br />

project’s total reserves are estimated at 14.7 tcf (trillion cubic<br />

feet).<br />

Mariscal Sucre’s development has been delayed in part<br />

because of the sinking of a US$200 million exploration rig there<br />

in May 2010.<br />

President Hugo Chavez’s government wants to develop natural<br />

gas production to meet growing domestic demand that has<br />

forced Venezuela, despite sitting on some of the world’s biggest<br />

gas reserves, to import supplies from neighbouring Colombia.<br />

Electricity shortages caused widespread rationing and curbed<br />

economic growth in 2010, and are still a burning political issue<br />

for the socialist Chavez during an election year.<br />

Technip awarded major contract for an<br />

accelerated production system on the<br />

Mariscal Sucre field in Venezuela<br />

Technip was awarded a major procurement, installation and<br />

operation support contract by Petroleos de Venezuela S.A.<br />

(PDVSA) covering subsea, onshore and offshore facilities,<br />

for an accelerated production system on the Mariscal Sucre<br />

Dragon development.<br />

The project scope covers the supply and installation<br />

of subsea flow-lines, the supply and installation of gas<br />

processing equipment onshore, and operational support for<br />

the subsea, offshore and onshore facilities.<br />

Venezuela selects companies to<br />

develop the Mariscal Sucre offshore<br />

gas project<br />

Venezuelan officials have chosen a group of foreign<br />

companies to develop the country’s offshore natural gas<br />

project Mariscal Sucre. Among the companies picked for the<br />

project are Petronas, CNOOC Ltd, Sonatrach, and a Russian<br />

consortium that includes Rosneft, Surgutneftegaz, TNK-BP,<br />

Lukoil and Gazprom Neft.<br />

21


24<br />

South America<br />

Petrobras new well confirms light oil in<br />

Santos Basin Pre-Salt Cluster<br />

Petrobras has found light oil in ultra-deepwaters block BM-S-9 of<br />

the Santos Basin pre-salt reservoirs.<br />

The new well, 3-BRSA-1023 (3-SPS-85), named Carioca Sela, is<br />

located in the assessment area of 1-SPS-50 (Carioca) field, some<br />

4.5 kilometres from the discovery well. In this new well, 27º API oil<br />

was recovered, in a water depth of 2,149 metres.<br />

The discovery was verified by oil sampling in test performed in<br />

reservoirs located at an approximate depth of 5,250 metres.<br />

The BM-S-9 is located approximately 273 kilometres off the south<br />

coast of Rio de Janeiro. Petrobras serves as operator with 45%<br />

interest, with partners BG do Brasil (30%) and Repsol YPF do<br />

Brasil S/A (25%) holding the remaining interest.<br />

Petrobras oil find in pre-salt Santos basin<br />

Petrobras has found oil in block BM-S-8 of the Santos Basin<br />

pre-salt reservoirs.<br />

The discovery was made at well 4-SPS-86B (4-BRSA-971-<br />

SPS), known as Carcará, 232 kilometres off the coast of São<br />

Paulo state, at a depth of 5,750 metres. The well is in 2,160<br />

metre-deep water and was spudded December 15, 2012.<br />

The BM-S-8 block lies to the south of the Lula field, as part<br />

of the Santos Basin. Petrobras serves as operator with<br />

66% interest, with partners Galp Energia (14%), QGEP<br />

Participacoes S.A (10%) and Barra Energia (10%) holding the<br />

remaining interest.<br />

Wintershall secures Argentina License<br />

Wintershall has increased its activities in Argentina.<br />

Wintershall Energía S.A., a wholly owned subsidiary of<br />

Kassel-based Wintershall, has been awarded the exploration<br />

permit for the Area CN-V (Cuenca Neuquina V) by the<br />

Mendoza Province.<br />

The area is located in the southernmost region of the<br />

Province and covers 369 square miles (956 square<br />

kilometres). Since 2004, Wintershall has performed field and<br />

lab-work over the whole surface, including geology mapping,<br />

geochemical analysis, geological modelling as well as 2D<br />

seismic reprocessing and interpretation.<br />

Recent evaluations indicate that the CN V Block has an<br />

important potential to explore and develop conventional and<br />

unconventional reservoirs (shale gas and shale oil) in two<br />

different sedimentary levels.<br />

PetroMagdalena makes Colombia find<br />

PetroMagdalena has struck more oil at a sidetrack well on one of<br />

its large plays in Colombia.<br />

The Canadian independent hit a total of over seven metres of<br />

net pay at the Cernicalo-1 ST sidetrack on the Cubiro Block at the<br />

Llanos exploration programme.<br />

The well, which was spudded on 18 January 2012, was perforated<br />

in two Upper Guadalupe sands which are currently being tested.<br />

Almost four metres of net pay was found in the C7 formation with<br />

similar amounts discovered in the Upper Guadalupe formation.<br />

Seismic data showed an accumulation of around 1.5 kilometres<br />

long at Cernicalo-1 ST.<br />

The Llanos Basin is located in the eastern region of Colombia<br />

with the northern limit being the Colombian-Venezuelan border,<br />

extending south to the Guaviare River, east to the Guyana<br />

Shield, and west to the Eastern Cordillera. It covers an area of<br />

approximately 200,000 sq kilometres.<br />

SeaBird secures seismic contract in<br />

South America<br />

SeaBird Exploration PLC has been awarded a US$3 million<br />

seismic survey contract by a major oil company in South<br />

America.<br />

The seismic shoot will be carried out by the Harrier Explorer,<br />

en route to Brazil, where the vessel will commence a long<br />

term charter early in the second quarter of 2012.<br />

Shale oil discovery in Argentina<br />

Recoverable resources of 741 MMb of 40 - 45° API shale<br />

oil are thought to be reservoired in 428 sq kilometres of the<br />

Vaca Muerta Formation.<br />

Repsol YPF have already drilled 15 wells in the area, known<br />

as Loma La Lata Norte, and the wells have been flowing high<br />

quality shale oil at an initial rate of 5,000 boepd (barrels of<br />

oil equivalent per day).<br />

Exploration is also in progress at another discovery in a 502<br />

sq kilometres area of the same formation, where the well is<br />

flowing 400 boepd of 35° API shale oil. There is potential for<br />

even larger reserve estimates, as Repsol YPF has rights to<br />

12,000 sq kilometres in the Vaca Muerta Basin.<br />

The Vaca Muerta Formation is one of the world’s largest<br />

non-conventional reservoirs. The Loma La Lata Norte area is<br />

located in the Neuquén province of Argentina. Repsol YPF is<br />

the operator with 100% interest.


Amerisur lands drilling contract for<br />

Colombia campaign<br />

Amerisur Resources Plc has signed a contract for a drilling<br />

rig to perform its Platanillo drilling campaign.<br />

The Serinco D10 1200HP drilling unit has been contracted<br />

for two firm wells with a continuing option to extend for<br />

further wells.<br />

The D10 drilling unit recently drilled a 3,353 metre well<br />

under contract to the Agencia Nacional de Hidrocarburos<br />

(ANH), and is currently located in Bogota and Tumaco.<br />

Following agreement of preventative maintenance and load<br />

out procedures, Serinco expects to begin mobilisation of the<br />

unit and its associated camp to the drilling location “Platform<br />

9” in the southern part of the Platanillo field in April 2012.<br />

Results from the first well are expected to be announced in<br />

May 2012.<br />

The recently worked over Platanillo-2 well is now being<br />

tested with an Electrical Submersible Pump at higher rates<br />

than previously reported in natural flow. The company is<br />

configuring the surface reception and treatment systems in<br />

order to efficiently handle and condition the flow for a Long<br />

Term Test of the N sand.<br />

The Platanillo block is located near the Fenix block in<br />

Colombia. Amerisur Resources owns and operates with<br />

100% interest in both blocks.<br />

Marubeni invest in a FPSO deal for<br />

vessel in Brazil’s pre-salt<br />

Marubeni, Mitsui and Mitsui OSK Lines (MOL) will invest<br />

in a long-term charter business operated by Mitsui Ocean<br />

Development & Engineering (Modec) to provide an FPSO<br />

(floating production storage offloading) vessel for use in<br />

the Cernambi Sul area of a pre-salt oil field off the coast of<br />

Brazil.<br />

Marubeni, Mitsui and MOL will invest in Cernambi Sul<br />

MV24, a Dutch company established by Modec. MV24 has<br />

signed a long-term chartering agreement with Tupi, a Dutch<br />

firm owned by Petrobras Netherlands (65%), BG Overseas<br />

Holding (25%) and Galp Energia E&P Brasil (10%). The FPSO<br />

will be chartered to Tupi for 20 years.<br />

Construction of the FPSO will involve conversion of a VLCC<br />

that will be renamed FPSO Cidade de Mangaratiba MV24.<br />

The vessel will be deployed to the Cernambi Sul area of<br />

offshore block BM-S-11 in the third quarter of 2014. The<br />

oil is in the pre-salt layer some 5,000 metres beneath the<br />

seabed.<br />

Foster Wheeler awarded contract<br />

for an LNG receiving terminal in<br />

Dominican Republic<br />

Foster Wheeler AG has been awarded the basic design and<br />

FEED (front-end engineering design) contract by Complejo<br />

GNL del Este, for a new LNG (liquefied natural gas) receiving<br />

terminal and jetty to be built in San Pedro de Marcorís, in the<br />

Dominican Republic.<br />

Foster Wheeler has previously completed a feasibility study<br />

for the selection of the most suitable technology for the new<br />

terminal, which will be designed for a send-out capacity of<br />

240 MMscf/d (million standard cubic feet per day), with an<br />

LNG storage tank of 160,000 cubic metres. The design will<br />

also consider future expansion up to 700 MMscf/d. Foster<br />

Wheeler will work with a local partner in executing this work,<br />

which is expected to be completed in September 2012.<br />

The LNG receiving terminal site is located in San Pedro<br />

de Marcoris, in Dominica. Complejo GNL del Este is a<br />

consortium formed by Dominican and Colombian companies<br />

that participate in the energy sector of these countries,<br />

owning and operating with 100% interest in the terminal.<br />

Petrobras confirms crude oil at<br />

Nordeste de Tupi<br />

Petrobras’ second well, drilled in areas acquired from the<br />

government in 2010, confirms the discovery of high-quality<br />

crude oil.<br />

Petrobras drilled the well in an area known as Nordeste de<br />

Tupi, northeast of the first Santos Basin pre-salt discovery to<br />

enter production, the Lula field. The well was drilled in 2,131<br />

metres of water, approximately 255 kilometres offshore Rio<br />

de Janeiro.<br />

The company is accelerating development of the pre-salt<br />

fields, with plans to invest US$225 billion through 2014 and<br />

increase crude oil output. A cluster of oil deposits was found<br />

in the Santos Basin off the coasts of Rio de Janeiro and<br />

Sao Paulo states, potentially holding as much as 100 billion<br />

barrels of oil equivalent.<br />

Petrobras plans a well-formation test to evaluate the well’s<br />

productivity after drilling is completed.<br />

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26<br />

International<br />

Reflective of <strong>Project</strong>s<strong>OGP</strong>’s global coverage of oil, gas<br />

and petrochemical projects, our international section<br />

covers a selection of new and significant contract awards<br />

and project developments, reporting from the worldwide<br />

spectrum beyond the Americas . Categorised by oil and gas<br />

regions, as with the online database, the range of awards<br />

and updates feature across Europe, Africa, the Middle East<br />

and Asia & Oceania.<br />

Awards and intelligence from this month’s European section<br />

predominantly focuses on redevelopments of existing fields within<br />

the North Sea, offshore UK and Norway. Most notably, these include<br />

Aker Solutions’ award for a FEED contract for a pioneering design of the<br />

world’s largest spar platform, known as a belly spar, for Norway’s Aasta Hansteen field.<br />

Africa remains an exciting area with several acquisitions of exploration licenses,<br />

discovery announcements and drilling<br />

contract awards, particularly throughout<br />

West African countries. As with other regions,<br />

various contracts of significance have been<br />

awarded early in 2012 and Africa continues to<br />

be a focal point for information pertaining to<br />

new business.<br />

Similarly, the Middle East boasts an<br />

abundance of new projects and opportunities.<br />

Topically, Saudi Aramco’s announcement of a<br />

US$6-8 billion expansion for the second phase<br />

of the Rabigh Refining and Petrochemicals<br />

Plant appears as our feature project in this<br />

month’s e-magazine, which is distributed free<br />

to all subscribers of <strong>Project</strong>s<strong>OGP</strong>.<br />

Recent awards and information in the Asia<br />

& Oceania region have principally been for<br />

involvement in Australia’s Ichthys LNG project,<br />

which was reviewed in a feature for last<br />

month’s e-magazine. Another advancement<br />

for <strong>Project</strong>s<strong>OGP</strong> sees the introduction of a new<br />

‘project type’ category that will include drilling<br />

rig new builds and maintenance projects. This<br />

new project group is scheduled for launch by<br />

the end of April and will typically cover<br />

rigs built out of yards in China,<br />

Singapore and South Korea,<br />

adding to the wealth of<br />

intelligence already<br />

available in these regions.<br />

Photo: Rune Johansen / Statoil


Europe<br />

Hejre Oil & Gas Field North Sea<br />

With a combined investment of US$1.6 billion in the<br />

development of Hejre, the field is expected to come<br />

online in 2015. The Hejre oil and gas field is located<br />

in central part of the North Sea, approximately 300<br />

kilometres off the Danish coast in License 5/98,<br />

at a water depth of 70 metres. DONG Energy is the<br />

operator holding a 60% interest in the field, with partner<br />

Bayerngas Norge (40%) holding the remaining interest.<br />

Maersk Drilling wins US$148million<br />

Hejre rig Contract<br />

Maersk Drilling has signed a US$148 million contract<br />

with DONG Energy for the jack-up rig Maersk Resolve to<br />

work on the Hejre field in the Danish North Sea.<br />

The expected duration of the five-well contract is approx<br />

750 days including an option for two additional wells<br />

at an estimated 280 days’ duration. The contract is<br />

scheduled to commence in the second or third quarter<br />

of 2014.<br />

Aker Solutions signs US$170 million<br />

Snorre A drilling facilities contract<br />

Aker Solutions has been awarded a US$170 million contract<br />

by Statoil to deliver replacement and upgrading of the drilling<br />

equipment and systems on the Snorre A platform in the<br />

North Sea.<br />

The primary objective of the project is to extend the<br />

technical lifetime up to 2040 and improve HSE factors while<br />

maintaining the capacity and operational availability. Scope<br />

of work will include engineering, procurement, construction,<br />

installation and commissioning assistance.<br />

Execution of the contract will be undertaken by Aker<br />

Solutions’ drilling technologies engineering team in<br />

Kristiansand, and will be concluded by its integration<br />

competence centre in Bergen. Prefabrication will be<br />

performed at Aker Solutions’ yard in Egersund. With<br />

preparations already having commenced, a total of 100<br />

engineering and management personnel at Aker Solutions’<br />

offices in Bergen and Kristiansand, plus up to 100 offshore<br />

installation personnel will work on the Snorre A drilling<br />

contract for the next three years.<br />

The Snorre field is located at a water depth between 300-<br />

350 meters in the North Sea, 200 kilometres northwest of<br />

Bergen, Norway. Statoil wholly owns and operates with 100%<br />

interest in the field.<br />

Technip secures field development<br />

contract in Danish North Sea<br />

Technip, in partnership with Daewoo Shipbuilding & Marine<br />

Engineering (DSME) has been awarded a contract for the<br />

Hejre field development project, offshore Denmark, by Dong<br />

E&P and Bayerngas.<br />

The contract covers engineering, procurement, fabrication,<br />

hook-up, and commissioning assistance for a fixed wellhead<br />

and process platform and associated facilities. Designed to<br />

process high pressure and high temperature hydrocarbons<br />

fluids, the platform is capable of producing up to 76 million<br />

standard cubic feet of gas per day and 35,000 barrels of<br />

oil per day. The platform includes 11,500 tonne topsides<br />

supported by a 6,500 tonne jacket and comprises living<br />

quarters to accommodate 70 people and a flare.<br />

Technip’s operating centre in Paris, France, will execute the<br />

contract, with the support of its Chennai and Mumbai offices,<br />

India. The jacket and wellhead unit will be delivered in 2014,<br />

the topsides and living quarter in 2015.<br />

FMC Technologies awarded US$70 million<br />

subsea production system contract for<br />

Statoil’s Fram H-Nord Development<br />

FMC Technologies, Inc. has signed a contract with Statoil,<br />

valued at approximately US$70 million, for the manufacture<br />

and supply of subsea production equipment to support the<br />

Fram H-Nord development.<br />

FMC’s scope of supply includes one subsea production tree,<br />

one manifold and one multiphase meter. The company will<br />

also supply an integrated template structure, one umbilical,<br />

two wellheads and additional controls and equipment. All<br />

equipment will be based on the standard fast-track subsea<br />

solution designed by FMC for Statoil and deliveries are<br />

expected to occur throughout 2013.<br />

Situated in Block 35/11, the Fram field development area<br />

compromises the Fram West, Fram East and Fram North oil<br />

fields, located about 20 kilometres north of the Troll field<br />

at a depth of approximately 350 meters. Statoil serves as<br />

the operator holding 45% interest, with parteners Mobil<br />

Development Norway (25%), Idemitsu (15%) and GDF Suez<br />

E&P Norge AS (15%) holding the remaining interest.<br />

27


28<br />

Schiehallion Field Quad<br />

204 project North Sea<br />

With estimated recoverable reserves of some<br />

450 - 600 million barrels, the Schiehallion field<br />

is predominantly situated in blocks 204/20 and<br />

204/25, 175 kilometres west of Shetland, in<br />

a water depth of between 350 to 450 metres.<br />

BP serves as operator with 36.3% interest, with<br />

partners Shell (36.3%), Hess (12.9%), OMV Ltd<br />

(4.84%), Statoil (4.84%) and Murphy Petroleum Ltd.<br />

(4.84%) holding the remaining interest.<br />

Hamworthy wins further process<br />

order for BP FPSO<br />

Hyundai Heavy Industries has contracted Hamworthy to supply<br />

an ST8 series treatment plant for BP’s new Quad 204 FPSO.<br />

The BP operated FPSO is to be deployed to the west of the<br />

Shetland Isles in the North Atlantic as a replacement for the<br />

Schiehallion FPSO. The ST8, which handles around 12,000<br />

litres of water per day, has been modified to meet stricter<br />

enforcement of sewage treatment standards for operation<br />

under IMO MEPC 159(55) guidelines, which came into force<br />

in 2010 and employ more stringent black water effluent<br />

quality treatment guidelines. The pumps and macerators<br />

are made from 316 stainless steel and pipe work in super<br />

duplex stainless steel in compliance with NORSOK M-650<br />

requirements. This contract follows a recent agreement for<br />

Hamworthy to supply inert gas generator packages for the<br />

same project, with delivery of all equipment scheduled for<br />

2012.<br />

EPC secures US$2 million Lancaster<br />

field contract<br />

<strong>Project</strong> management contractor EPC Offshore has been<br />

awarded a US$2 million contract to decide the optimum<br />

development concept for Hurricane Exploration’s Lancaster<br />

field, west of the Shetland Isles.<br />

The year-long contract will see the company deploy a team<br />

of engineers and technical specialists at Hurricane’s Surrey<br />

offices, having earlier worked with the company on appraisal of<br />

the field. EPC Offshore will review development options before<br />

helping the company to select a concept, as well as determine<br />

the contracting strategy for field awards.<br />

The first phase of the project is expected to run until the end of<br />

2012 with front-end engineering and design starting in 2013.<br />

The Lancaster field is located in Block 205/21a in the UK sector<br />

of the North Sea, west of Shetland. Hurricane Exploration is the<br />

owner and operator of the Lancaster field with 100% holding.<br />

Technip awarded major subsea<br />

contract for BP in UK North Sea<br />

Technip’s UK entity has been awarded a contract worth<br />

approximately US$ 450 million by BP and partners to develop<br />

the subsea infrastructure for the Quad 204 project, located<br />

west of the Shetland Isles.<br />

The Quad 204 project involves replacing the existing<br />

Schiehallion production facility with a new purpose built<br />

FPSO (floating, production, storage, offloading), and installing<br />

extensive new subsea infrastructure. This major re-development<br />

will enable the potential recovery of an additional 450 million<br />

barrels of resource and extend production through to 2035.<br />

Technip’s scope of work for the contract includes:<br />

• removal of the existing Schiehallion FPSO and mooring<br />

system<br />

• recovery of all existing flexible risers and dynamic umbilical<br />

systems<br />

• positioning and installation of a new FPSO and associated<br />

mooring system and anchor piles<br />

• supply and installation of 21 dynamic flexible risers<br />

• installation of four static and dynamic umbilicals<br />

• coating, welding and installation of 15 steel pipelines,<br />

totalling 50 kilometres<br />

• supply and installation of numerous flexible jumpers<br />

• installation of various manifolds, jumpers and infrastructure<br />

associated with the field development<br />

Approved in July 2011, the project is expected to begin in 2013.<br />

Technip’s UK based office near Aberdeen will project manage<br />

the contract and the spoolbase in Evanton will fabricate<br />

the 15 steel pipelines. Technip’s facility in Le Trait, France,<br />

will manufacture all flexible pipelines. Various vessels from<br />

Technip’s fleet will be used to execute this project and these will<br />

also be managed from the Aberdeen office.<br />

Aker Solutions lands Draupne FEED<br />

contract<br />

Aker Solutions has won a FEED (front-end, engineering and<br />

design) contract from operator Det Norske Oljeselskap, for a<br />

study on the Draupne field, on the Norwegian continental shelf.<br />

The study will be carried out by Aker Solutions’ newly established<br />

engineering office in London, and delivered to the license<br />

partners in the fourth quarter of 2012., with the contract value<br />

left is undisclosed. Aker was handling pre-front end engineering<br />

design work on Draupne earlier in 2012 which has now<br />

converted into a full FEED contract.<br />

Partners in the Draupne field have agreed with partners in the<br />

nearby Luno field on a coordinated development solution for the<br />

area. Located in Block 16/1, the Draupne field is situated on the<br />

Norwegian continental shelf in the North Sea. Det norske acts<br />

as operator with 35% interest, with partners Statoil (50%) and<br />

Bayerngas Norge (15%) holding the remaining interest.


Aasta Hansteen gas field Norway<br />

The Aasta Hansteen gas field is located on Blocks 6706/12, 6707/10, approximately 300 kilometres offshore in the<br />

Vøring area, and is due on stream in December 2016. Statoil serves as the operator with 75% interest, with partners<br />

ExxonMobil (15%) and ConocoPhillips (10%) holding the remaining interest.<br />

Dockwise secures Aasta Hansteen<br />

contract offshore Norway<br />

Statoil has awarded Dockwise with the spar buoy<br />

transport contract for its Aasta Hansteen (formerly Luva)<br />

offshore production field.<br />

Weighing 45,000 tonnes and measuring 200 metres by 50<br />

metres, the spar buoy will be transported on the Dockwise<br />

Vanguard from either Korea or Finland, subject to yard<br />

choice, to Norway in 2015. Dockwise also secured contracts<br />

for the transport of four drilling rigs to Rotterdam, Saudi<br />

Arabia and Singapore, all for the first half of 2012, and a<br />

single load of barges to Brazil in the second quarter 2012.<br />

The value of all six new contracts totals US$57 million. The<br />

Dockwise Vanguard vessel is currently under construction,<br />

with delivery expected in the fourth quarter of 2012.<br />

Technip wins FEED contract for Luva Platform<br />

Technip has been awarded a lump sum FEED (front-end<br />

engineering design) contract by Statoil ASA for the development<br />

of the Luva floating platform, in the Aasta Hansteen gas field,<br />

offshore Norway, at a water depth of approximately 1,300 metres.<br />

The contract covers the design and planning for procurement,<br />

construction and transportation of a Spar hull and the mooring<br />

systems, as well as the design of the steel catenary risers. The<br />

award builds on the study work, including pre-FEED, which has<br />

Wood Group to manage North Sea<br />

floater for Premier Oil in contract<br />

worth US$396 million<br />

Premier Oil has awarded Wood Group PSN a contract for operations<br />

and maintenance support services to the Balmoral FPV (floating<br />

production vessel) in the central North Sea, offshore UK.<br />

Under the US$396 million life-of-field contract, Wood Group PSN<br />

will provide onshore and offshore operations and maintenance,<br />

including management of selected procurement and logistics<br />

support. The brownfield services specialist will execute the contract<br />

from Aberdeen through an operations team based in Premier Oil’s<br />

offices, with the project estimated to run through to 2020. Wholly<br />

operated by Premier Oil, the semisubmersible production vessel is<br />

stationed 196 kilometres northeast of Aberdeen and exports production<br />

from the Balmoral, Beauly, Brenda, Burghley, Nicol, and Sterling fields.<br />

Salt Separation Services awarded Potable<br />

Water Package for ATP Cheviot project<br />

Salt Separation Services has recently been awarded a<br />

contract for the design, manufacture and commissioning of<br />

the Potable Water Package by COSCO Shipyard for ATP Oil and<br />

Gas’ Cheviot field development, offshore UK.<br />

been ongoing since early 2010 to document the suitability of a<br />

Spar platform in Norwegian waters.<br />

Technip’s operating centre in Houston, Texas will execute the<br />

contract in cooperation with the Technip operation centres in<br />

Norway and Finland.<br />

Aker Solutions lands Aasta Hansteen<br />

FEED contract from Statoil<br />

Aker Solutions has been awarded a FEED (front-end<br />

engineering and design) contract from Statoil to design the<br />

world’s largest Spar platform for the Aasta Hansteen field<br />

development. With a total hull length of 193 meters and<br />

a draught of 170 meters, the Aasta Hansteen (formerly<br />

Luva) Spar platform will be the first Spar platform on the<br />

Norwegian continental shelf, and also the world’s first to<br />

capable of condensate storage capacity.<br />

Known as a Belly-Spar due to the Aker’s patented design,<br />

the platform has a distinctively increased diameter on part<br />

of the circular shaped hull to accommodate the condensate<br />

storage tanks. The facility will be equipped with steel<br />

centenary risers which are made of self-supporting steel<br />

pipes in a bow shape between the platform and the seabed.<br />

Compensating for the motions on the floating facility the<br />

design is capable of withstanding the harsh conditions at the<br />

field, which is located in a water depth of 1300 metres.<br />

The FEED study is due to be completed in the third quarter of<br />

2012, with the contract value left undisclosed.<br />

Equipment comprising the package will be capable of producing<br />

1.1m3/hr of potable water and 0.75m3/hr of demineralised water<br />

from seawater. COSCO Shipyard has awarded the contract from<br />

the Nantong yard, in China’s Jiangsu province. The ATP Cheviot<br />

platform is a floating facility and will be installed offshore, in the<br />

UK sector of the North Sea, as part of the redevelopment of the<br />

previously abandoned Cheviot field.<br />

Straddling blocks 2/10b, 2/15a and 3/11b in the northern North<br />

Sea, the field is located approximately 100 kilometres east of the<br />

Shetland Isles, at a water depth of 150 meters. ATP is the owner<br />

and operator of the field with 100% interest.<br />

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30<br />

Africa<br />

ADX Energy signs rig contract for Sidi<br />

Dhaher well test<br />

ADX Energy has signed a contract with Dietswell for the<br />

provision of the Sedlar 160 drilling rig to flow test the Sidi<br />

Dhaher-1 oil discovery.<br />

A testing programme has been approved by Enterprise<br />

Tunisienne d’Activités Petrolieres (ETAP) and initial test<br />

results, along with well operations, are expected to<br />

commence by April 2012. The rig and auxiliary equipment<br />

are currently being audited and critical equipment will<br />

be tested in the storage yard in the city of Sfax prior to<br />

mobilisation to the Sidi Dhaher-1 well site.<br />

Situated in the Chorbane Exploration Perm, the Sidi Dhaher<br />

Prospect is primarily located onshore in central Tunisia.<br />

ADX serves as operator with 40% interest, with partners<br />

Gulfsands Petroleum (40%), Xstate Resources (10%) and<br />

Verus Investments (10%) holding the remaining interest.<br />

African Petroleum awarded second<br />

block offshore Ivory Coast<br />

The Republic of Côte d’Ivoire has awarded African Petroleum<br />

Corporation Ltd an exploration permit on Block CI-509 in the<br />

Gulf of Guinea.<br />

African Petroleum Corporation was previously awarded<br />

exploration rights to Block CI-513 in December 2011. 3D<br />

seismic mapping over both Blocks CI-513 and C-I509 is<br />

expected to commence in April 2012.<br />

Both blocks are located offshore the Republic of Côte<br />

d’Ivoire in the Gulf of Guinea. African Petroleum Corporation<br />

acts as operator with 90% interest, with partner Côte<br />

d’Ivoire’s national oil company Petroci (10%) holding the<br />

remaining interest.<br />

African Petroleum lands contract for<br />

Liberia drilling programme in Q4 2012<br />

African Petroleum Corporation has signed a contract with<br />

Ocean Rig for a two well programme in Blocks LB-08 and LB-09<br />

offshore Liberia, West Africa.<br />

The programme will be completed using Ocean Rig’s Eirik<br />

Raude, a deepwater 5th generation semi-submersible drilling<br />

rig which is expected to commence operations in the third or<br />

fourth quarter of 2012. Including the option for a third well, the<br />

programme will continue Africa Petroleum Corporation’s drilling<br />

programme in Liberia, West Africa, and other West Africa blocks.<br />

Blocks LB-08 and LB-09 are located offshore Liberia, with the<br />

Mercury and Venus discoveries in Sierra Leone situated to<br />

the northwest, and the Jubilee Field located to the southeast.<br />

African Petroleum acts as operator and holds a 100% interest in<br />

both Blocks.<br />

BG Group makes fourth gas discovery<br />

offshore Tanzania<br />

BG Group have made a fourth Tanzanian gas discovery from<br />

the Jodari-1 exploration well located in Block 1, offshore<br />

southern Tanzania.<br />

Preliminary evaluation of the well results indicates gross<br />

recoverable resources are in the range of 2.5 to 4.4 tcf<br />

(trillion cubic feet) of gas.<br />

The partnership of BG Group and Ophir Energy have had<br />

exploration successes in all four wells drilled in Tanzania so<br />

far, with mean total gross recoverable resources currently<br />

estimated to be approaching some 7 tcf of gas.<br />

The next target for drilling is the Mzia-1 location in Block 1,<br />

some 23 kilometres to the north of Jodari-1, which is located<br />

approximately 39 kilometres offshore southern Tanzania, in<br />

water depths of 1150 metres. BG Group serves as operator<br />

with 60% interest, with partner Ophir Energy (40%) holding<br />

the remaining interest.<br />

Brenham Oil & Gas receives letter of<br />

award for 15% interest in four blocks<br />

in West Africa<br />

Brenham Oil & Gas Corporation, a subsidiary of American<br />

International Industries, Inc., has received and accepted a<br />

letter of award from the Government of Equatorial Guinea,<br />

West Africa, for a 15% participating interest in four offshore<br />

exploration blocks.<br />

The four blocks are in between and along a geologic trend<br />

with a large producing oil and gas field complex showing peak<br />

production of more than 80,000 barrels of oil per day, as well<br />

as another undeveloped oil discovery.<br />

Fairstar Heavy Transport secures<br />

US$1.2 million contract with Aveon<br />

Fairstar Heavy Transport N.V. has signed a US$1.2 million<br />

contract with Aveon Offshore Ltd to provide marine<br />

transportation services for the Chevron OAGM project in<br />

Nigeria.<br />

Fairstar’s FJELL will transport two power barges from the<br />

Bonny River in Nigeria to the Escravos Area and the total<br />

operation is expected to take approximately 12 days.<br />

The OAGM project is located southeast of Lagos, Nigeria.<br />

Chevron serves as operator with 60% interest, with partner<br />

Nigerian National Petroleum Corporation (40%) holding the<br />

remaining interest.


Chariot Oil and Gas sign drilling rig<br />

contract with Maersk<br />

Chariot Oil & Gas’ wholly owned subsidiary, Enigma Oil &<br />

Gas Exploration, has signed a one-well drilling contract with<br />

AP Moller Maersk for operations in the Tapir South prospect,<br />

offshore Namibia.<br />

Enigma has hired the ultra-deepwater semi-submersible<br />

drilling rig Maersk Deliverer to drill the prospect, with the well<br />

estimated to hold gross unrisked mean prospective resources<br />

of 604 million barrels of oil. Maersk’s unit was anticipated to<br />

arrive on site at the end of March 2012 and will be drilling in<br />

water depths of over 2,100 metres, to a total depth of 5,100<br />

metres. Drilling is estimated to take two months and will mark<br />

the first well in Chariot’s 4 to 5 well 2012/2013 exploration<br />

programme within its highly prospective offshore acreage in<br />

the region.<br />

The Maersk Deliverer will relocate from Block LB-9 off<br />

Liberia where it has recently struck significant oil for African<br />

Petroleum Corporation at the Narina-1 wildcat.<br />

Located in Northern Block 1811A of the Taper South prospect,<br />

the well is approximately 80 kilometres off Namibia’s<br />

mainland. Chariot acts as operator holding 100% interest.<br />

Don’t Let Documents<br />

Drown Your <strong>Project</strong>!<br />

Maurel et Prom lands two licenses<br />

offshore Namibia<br />

Maurel et Prom has secured two exploration licenses from<br />

the Government of Namibia in the Walvis Basin, offshore<br />

Namibia.<br />

The acreage covers License No 0044 (Block 2212B) and<br />

License No 0045 (Blocks 2313A, 2313B, 2413A). Under the<br />

agreement the first exploration sub period shall be for two<br />

years with a minimum exploration work of 600 kilometres<br />

and 1,800 kilometres of 2D seismic acquisition, for License<br />

0044 and License 0045 respectively. Minimum exploration<br />

work for a second exploration sub period of two years<br />

would include 3D seismic acquisition (100 sq kilometres<br />

on License No 0044 and 300 sq kilometres on License<br />

No 0045). The seismic acquisition with GeoStreamer and<br />

Geosource will be operated by partner PGS Seismic UK Ltd.<br />

Blocks 2212B, 2313A, 2313B and 2413A are situated in<br />

the Walvin Basin, Offshore Namibia. Maurel et Prom Namibia<br />

is the operator of both licenses with 37% interest, with<br />

partners PGS Seismic UK Ltd. (48%), National Petroleum<br />

Corporation of Namibia (8%), Livingstone Mining Resource<br />

Development (4%), and Frontier Mineral Resources (3%)<br />

holding the remaining interest.<br />

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31


32<br />

Statoil and ExxonMobil oil find in<br />

Zafarani prospect offshore Tanzania<br />

Statoil and ExxonMobil have confirmed they made a large gas<br />

discovery in Block 2 of the Zafarani prospect, offshore Tanzania.<br />

Spudded by Statoil in early January 2012 with the Ocean Rig<br />

Poseidon UDW (ultra deep water) drillship, Zafarani-1 had<br />

encountered gas shows in a good-quality reservoir. Logging<br />

results reveal that the discovery is high-impact, so far proving<br />

that the well holds up to 5 tcf (trillion cubic feet) of gas-in-place.<br />

The well has encountered 120 metres of excellent quality<br />

reservoir with high porosity and high permeability. The gaswater<br />

contact is yet to be established and drilling operations will<br />

continue until total depth is reached.<br />

The Zafarai discovery is located in Block 2 offshore Tanzania<br />

in a water depth of 2,582 metres. Statoil operates the license<br />

with 65% interest, with partners ExxonMobil (35%) holding the<br />

remaining interest.<br />

Oando secures US$74.9 million Shell<br />

drilling contract in Niger<br />

Oando Plc subsidiary, Oando Energy Services, has been awarded<br />

a two year drilling contract worth US$74.9 million by Shell for<br />

operations in the Niger Delta.<br />

OES Passion, under hire for the contract, is a unique swamp<br />

barge with sequential well drilling capabilities and a skidding<br />

system that enables it to drill up to six wells in one location. The<br />

rig is rated to 3000HP and thereby able to drill up to 7620 metres<br />

in water depths of up to 5 metres.<br />

The hire of swamp rig OES Passion brings the total number of rigs<br />

Oando Energy has in operation to three, following the deployment<br />

of the OES Integrity in 2009 and the OES Teamwork in 2010.<br />

Technip wins two contracts for Tullow’s<br />

Jubilee project worth US$131 million<br />

Technip has been awarded two contracts by Tullow Ghana<br />

with a combined value of approximately US$131 million, for<br />

operation on the Jubilee field project.<br />

The contracts cover full project management, engineering,<br />

fabrication and installation of a new flexible riser, two rigid<br />

flowlines and 11 spools/jumpers, as well as the installation<br />

of two manifolds and five kilometres of umbilicals. Offshore<br />

installation is scheduled to be completed in the second half<br />

of 2012 using the Global 1200 and the Deep Pioneer, two<br />

vessels from Technip’s fleet.<br />

Both contracts are for work on Phase 1A of the Jubilee field<br />

project, located offshore Ghana at a water depth of 1,300<br />

metres. Tullow serves as operator with 49.5% interest, with<br />

partners Kosmos Energy (18%), Anadarko Petroleum (18%),<br />

Sabre Oil & Gas (4.05%) and Ghana National Petroleum<br />

Corporation (10%) holding the remaining interest.<br />

Tullow makes Enyenra oil discovery in<br />

Ghana<br />

Tullow Oil Plc has announced that the Enyenra-4A appraisal well,<br />

in the Deepwater Tano licence offshore Ghana, has successfully<br />

intersected 32 metres of net oil pay.<br />

Pressure data from the oil leg has demonstrated that the oil is in<br />

static communication with the oil seen in the other wells in the field<br />

and indicates a continuous oil column of approximately 600m.<br />

The Ocean Olympia drillship drilled Enyenra-4A to a total depth of<br />

4,174 metres in water depths of 1,878 metres.<br />

Located approximately seven kilometres southwest of Enyenra-<br />

2A and almost 21 kilometres south of the Enyenra-3A well which<br />

defined the northern end of the Enyenra oil field, the Enyenra-4A<br />

well was drilled to define the southern extent of the field. Tullow<br />

operates the Deepwater Tano licence with 49.95% interest, with<br />

partners Kosmos Energy (22.05%), Anadarko Petroleum (18%)<br />

and the Ghana National Petroleum Corporation (10%) holding the<br />

remaining interest.<br />

Tullow and Africa Oil make Ngamia<br />

discovery<br />

Tullow Oil and Africa Oil Corporation have encountered in excess<br />

of 20 metres of net oil pay from their Ngamia-1 exploration well,<br />

onshore Kenya.<br />

The well was drilled to an intermediate depth of 1,041 metres by<br />

the Weatherford 804 rig and has now been successfully logged<br />

and sampled. Moveable oil with an API greater than 30 degrees<br />

had been recovered to surface that held similar properties to the<br />

light waxy crude discovered in Uganda’s Lake Albert basin.<br />

Spudded in February 2012, the well will now be drilled to a depth<br />

of around 2,700 metres to explore for deeper potential in Miocene<br />

age sandstones. Following this, the rig will move to the Tullowoperated<br />

Block 10A, where the Paipai-1 wildcat is due to spud in<br />

the second half of 2012.<br />

The Ngamia-1 well is the first of a multi-well drilling program at the<br />

10BB block and adjacent prospects.<br />

Block 10BB is situated in the Lokichar Basin, located in Kenya’s<br />

Turkana County. Tullow Oil serves as operator with 50% interest,<br />

with partner Africa Oil (50%) holding the remaining interest.<br />

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Middle East<br />

Tender for Bahrain LNG Terminal end<br />

of 2012<br />

A tender to build an LNG (liquefied natural gas) import<br />

terminal in Bahrain will be awarded by the end of 2012.<br />

Bahrain plans to import 400 million cubic feet of natural gas.<br />

Recently, Bahrain has been in talks with Gazprom to buy<br />

about 3 million metric tons of LNG per annum.<br />

AICCO awards PCS deal to Honeywell<br />

ALLA International Contracting Company (AICCO) has<br />

awarded Honeywell the PCS (process control system)<br />

contract at Saudi Aramco’s Yanbu Refinery.<br />

AICCO is registered as a contractor with Saudi Aramco, Sabic<br />

and Sabic Engineering and <strong>Project</strong> Management (Sabic<br />

E&PM) for electro-mechanical and construction works to EPC<br />

contractors. AICCO’s scope of work is mainly control systems<br />

and instrumentation, as well as additionally including civil<br />

works and mechanical/piping tie-ins.<br />

Yanbu Refinery is located in Yanbu Industrial City on the west<br />

coast of Saudi Arabia, 350 kilometres north of Jeddah. Saudi<br />

Aramco serves as operator with 62.5% interest, with partner<br />

Sinopec Group (37.5%) holding the remaining interest.<br />

Aker Solutions secures US$17 million<br />

contract in Bahrain<br />

Aker Solutions has been awarded a US$17 million contract<br />

by EnerServ W.L.L to deliver 600 sets of surface wellheads<br />

and trees to the Awali oilfield in Bahrain.<br />

The first delivery will be a total of 45 sets of surface<br />

wellheads and trees that is scheduled for June 2012. The<br />

contract will be delivered out of Aker Solutions’ surface<br />

products manufacturing centre in Batam, Indonesia, and<br />

supported in Bahrain.<br />

Located in the Gulf of Bahrain, the Awali field is operated<br />

by partners Occidental Petroleum Corporation, BAPCO and<br />

National Oil and Gas Authority.<br />

Aker Solutions wins US$64 million drill<br />

components deal for NDC rigs<br />

Aker Solutions has won a US$64 million contract with<br />

a subsidiary of China’s Honghua Holding to deliver high<br />

specification drilling equipment components for seven new<br />

onshore drilling rigs destined for delivery to Abu Dhabi’s<br />

National Drilling Company (NDC).<br />

Each drilling equipment delivery includes a draw-work,<br />

three mud pumps, and a 1,000 tonne top drive amongst<br />

other equipment from Aker Solutions. Aker will deliver the<br />

first equipment sets to the customer in the fourth quarter<br />

of 2012 and all equipment deliveries are scheduled for<br />

completion by the summer of 2013. The majority of the<br />

equipment will be delivered from Aker Solutions’ subsidiary<br />

in Erkelenz, Germany.<br />

Aker equipment will be used on seven 9,000 metre 3,000hp<br />

cluster land drilling rigs being built for Abu Dhabi’s NDC.<br />

Honghua is building a series of seven drilling rigs for NDC<br />

under a deal valued at US$300 million struck in December<br />

2011. Honghua will provide seven units of 9,000 metre<br />

3,000hp cluster land drilling rigs, which will be primarily<br />

used in the operation of oilfields in the Middle-East.<br />

Al Jaber Energy awarded Zadco deal<br />

for oilfield work<br />

Zakum Development Company has awarded a contract to<br />

Al Jaber Energy Services, for early civil work at the offshore<br />

Upper Zakum oilfield.<br />

Al Jaber has already received a letter of award and scope<br />

covers enabling works, civil works and other miscellaneous<br />

works at four artificial islands under construction. The<br />

duration of the project is 36 months.<br />

Located 84 kilometres northwest of the Abu Dhabi Islands,<br />

the Upper Zakum field covers around 1,200 sq kilometres<br />

of the Gulf marine areas. Abu Dhabi National Oil Company<br />

serves as operator with 60% interest, with partners<br />

ExxonMobil (28%) and Japan Oil Development Company<br />

(12%) holding the remaining interest.<br />

Al Jaber’s GPS lands key contract in<br />

Oman<br />

Global Process Systems (GPS), a member of the Al-Jaber<br />

Group, has secured a contract with Larsen & Toubro Ltd<br />

to supply Gas Sweetening and Gas Dehydration process<br />

systems for the Lekhwair Gas Field Development in Oman.<br />

The contract is one of several awarded across the GPS<br />

Group recently, worth a combined value of US$200 million.<br />

Work has already commenced at the GPS office in Dubai,<br />

UAE, and will be carried out on a fast-track schedule. The<br />

Gas Dehydration and Gas Sweetening systems will be<br />

manufactured at GPS’ major fabrication facilities in Abu<br />

Dhabi.<br />

The Lekhwair development is located approximately 110<br />

kilometres from the Yibal Government Gas Plant, and its<br />

associated network, in Oman. Petroleum Development Oman<br />

acts as operator with 100% interest.<br />

33


34<br />

AMEC scores multi-billion dollar PMC service<br />

contract at Nasr and Umm Lulu fields<br />

AMEC has been awarded a PMC (project management<br />

consultancy) services contract by Abu Dhabi Marine Operating<br />

Company (Adma-Opco) for the ‘execute phase’ of the Nasr Phase-1<br />

and Umm Lulu Phase-1 field development projects, offshore Abu<br />

Dhabi.<br />

Scheduled to take 30 months, the multi-million dollar contract<br />

covers the EPC (engineering, procurement, construction) phase of<br />

these significant offshore developments.<br />

Phase 1 will include the construction of an early production facility,<br />

33 wellhead towers, pipelines and pumps with a view to sustaining<br />

a production capacity of a further 125,000 bpd (barrels per<br />

day) from the fields. Phase 2, the EPC deal for which is yet to be<br />

awarded, is estimated to add a further 40,000 bpd to production.<br />

The Nasr and Umm Lulu fields are located approximately 30<br />

kilometres northwest of Abu Dhabi, in the Arabian Gulf. Partners<br />

Zadco and Adma-Opco act as operators for the development.<br />

Aramco committed to US$8 billion<br />

Petro Rabigh expansion<br />

Saudi Aramco have reaffirmed their committment to a US$6-8<br />

billion expansion of its first integrated refining and petrochemical<br />

project, Rabigh Refining and Petrochemicals Company (Petro<br />

Rabigh).<br />

The company’s plant, on Saudi Arabia’s Red Sea coast, expects to<br />

double petrochemicals capacity to 3.7 million metric tons a year,<br />

and create an estimated 5,000 jobs, if it completes a planned<br />

expansion to the refinery and adjacent industrial park.<br />

Feasibility studies for the work were finished earlier and an<br />

announcement on the financing for the planned expansion<br />

were said to be close, however Aramco’s partner in the venture,<br />

Sumitomo, have expressed a more cautious outlook on the project<br />

citing changing conditions in the economic and petrochemical<br />

market as reasons behind delays in their own preparations.<br />

Baker Hughes joins BP and<br />

Schlumberger in talks to upgrade<br />

Kirkuk oil field<br />

Baker Hughes has joined BP and Schlumberger in separate talks<br />

with Iraq to more than double output from the country’s giant<br />

Kirkuk oil field in northern Iraq.<br />

Iraq is conducting preliminary talks with these three companies to<br />

examine plans to develop the field, located in the oil hub of Kirkuk<br />

province in northern Iraq. Iraq is aiming to sign a five to ten year deal<br />

with one of these firms to raise output from the field to 600,000<br />

barrels a day eventually from 280,000 barrels a day currently.<br />

Situated in the northern region of Iraq, the Kirkuk Oil Field is currently<br />

wholly owned and operated by state-run North Oil Company.<br />

Gazprom awards Badra analysis<br />

contract to Expro<br />

Expro will undertake analysis of more than 100 PVT (pressure<br />

volume temperature) studies in a contract award with Gazprom<br />

in the Badra field, situated close to the Iranian border.<br />

Two further contract awards with large operators in the south of<br />

Iraq involve further PVT sampling studies and laboratory work.<br />

Expro will utilise its Iraqi capabilities as well as its fluids analysis<br />

centre and analytical data services teams in the UK to conduct<br />

more than 200 PVT studies.<br />

The Badra oil field is situated in Iraq’s Wasit province, 160<br />

kilometres southeast of Baghdad city. Gazprom serves as<br />

operator with 30% holdings, with partners Iraqi Oil Exploration<br />

Company (25%), Korean Gas Corporation (22.5%), Petronas<br />

(15%) and Turkish Petroleum Corp. (7.5%) holding the remaining<br />

interest.<br />

Linde to invest US$380 million in<br />

Jubail chemical complex<br />

The Linde Group and Sadara Chemical Company recently signed<br />

a long-term contract that will see Linde supply Sadara with carbon<br />

monoxide (CO), hydrogen (H2) and ammonia (NH3) at a chemical<br />

complex now being built in Jubail.<br />

The on-site gases supply contract includes a HyCO facility for the<br />

production of CO and H2 plus an ammonia plant. Linde will be<br />

investing US$380 million in the project. Linde’s Engineering Division<br />

will design, deliver and construct the new turnkey gases facilities at<br />

Sadara’s site in the Jubail 2 petrochemical cluster. The company will<br />

be building a two-stream HyCO plant, plus a single-stream NH3 unit<br />

producing waterless liquid ammonia. Linde will also install a large<br />

NH3 storage tank, resulting in a sophisticated supply concept which<br />

will enable the plant to run smoothly and reliably at all times. The<br />

production units are scheduled to be ready in 2015.<br />

Linde will be investing US$380 million in the project, which will be<br />

the world’s largest chemical complex ever built in a single phase.<br />

Sadara, established in October 2011, is a joint venture developed by<br />

Saudi Arabian Oil Company (Saudi Aramco) and The Dow Chemical<br />

Company.<br />

The complex will be constructed at Jubail Industrial City, in the<br />

Eastern Province of the Kingdom of Saudi Arabia. Saudi Aramco will<br />

own and operate the refinery once constructed.<br />

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Lukoil and Samsung in deal to up Iraq<br />

output<br />

Lukoil have signed a US$1 billion deal with Samsung<br />

Engineering to develop the West Qurna-2 oil field, located in<br />

southern Iraq.<br />

Over the course of 29 months, the contract requires<br />

Samsung to build five well pads with 67 development wells,<br />

water intake equipment, infrastructure to extract and treat<br />

oil, as well as a variety of other requirements.<br />

Lukoil serves as operator with 75% interest, with partners<br />

North Oil Company and South Oil Company forming a<br />

consortium (25%)<br />

McDermott awarded EPCI contract by<br />

Al-Khafji Joint Operations<br />

McDermott International, Inc. has been awarded an EPCI<br />

(engineering, procurement, construction and installation)<br />

contract from Al-Khafji Joint Operations, for the expansion of<br />

the Hout field onshore production facilities.<br />

The EPCI agreement comprises more than 600 tonnes of<br />

structures including a tripod jacket, deck and flare tower<br />

and 42 kilometres of 24 inch subsea pipeline. McDermott<br />

will also carry out modifications to a number of existing<br />

platforms in the Hout field, through its dedicated brownfield<br />

division in Jebel Ali.<br />

McDermott’s scope of work includes engineering, with<br />

construction from its Jebel Ali fabrication facility and<br />

installation using vessels from its global fleet, scheduled to<br />

mobilise in the third quarter of 2013.<br />

The Hout field is located in the neutral zone between Saudi<br />

Arabia and Kuwait. Al-Khafji Joint Operations, a Kuwaiti and<br />

Saudi joint venture, serves as operator with 100% interest.<br />

Penspen secures PMS contract for<br />

Kuwait Gulf Oil Company<br />

Penspen Group has won a contract from the Kuwait Gulf Oil<br />

Company to project manage the detailed design and construction<br />

of a new GCES (Gas & Condensate Export System) from Khafji in<br />

Saudi Arabia, on the Kuwait-Saudi Arabia border.<br />

Penspen will project manage EPC contractor Technip’s design<br />

work, procurement activities and the construction as undertaken<br />

by Technip and its sub contractors. <strong>Project</strong> objectives will cover<br />

the delivery of condensate and gas product to Kuwait from Saudi<br />

Arabia, assistance in reducing gas flaring, and recovery of valuable<br />

hydrocarbon resources.<br />

The new export system will include gas facilities carrying 40<br />

MMscfd of gas via pipeline to Kuwait, and 110 km of 12 inch<br />

diameter export pipeline, of which approximately 47 km will be<br />

offshore. Penspen will also assist with the commissioning of the<br />

final scheme. Kuwait Gulf Oil Company serves as operator with<br />

100% interest.<br />

Saipem lands new E&C Offshore<br />

contract in Saudi Arabia<br />

Within the framework of the Long Term Agreement signed<br />

with Saudi Aramco, Saipem has been awarded a contract for<br />

the fabrication, transportation and installation of offshore<br />

structures in the Marjan and Manifa fields, located in the<br />

Arabian Gulf.<br />

The contract comprises the fabrication, transportation and<br />

installation of four jackets and one observation platform, which<br />

will weigh a total of 3,300 tons. Offshore activities will mainly be<br />

performed by the derrick lay barge Castoro II, during the fourth<br />

quarter of 2012.<br />

The Marjan and Manifa fields are both located off the eastern<br />

coast of the Kingdom of Saudi Arabia, and each is wholly<br />

operated by Saudi Aramco with 100% holdings.<br />

35


36<br />

Oceania & Asia<br />

Ausdrill secures US$13.71 million<br />

Galilee drilling contract<br />

Exoma Energy awarded Ausdrill a US$13.71 million contract<br />

to provide a drilling rig and services for its 2012 exploration<br />

program in Queensland’s Galilee basin.<br />

Ausdrill will supply its recently purchased Schramm TXD200<br />

rig to carry out the contract which runs for a 12 month period<br />

with an option to extend for a further 12 months. Covering<br />

five permit areas, the drilling programme is scheduled to<br />

commence in April 2012 with the aim of defining future<br />

development priorities for the coalbed methane (CBM),<br />

conventional oil, shale oil and shale gas plays identified in<br />

last year’s initial exploration program.<br />

Exoma will meet with joint venture partner China National<br />

Offshore Oil Corporation (CNOOC) in Beijing to review the<br />

2011 results and finalise the first stage of the 2012 drilling<br />

programme.<br />

Galilee Basin is situated approximately 70 kilometres northnortheast<br />

of Longreach, Queensland. Exoma Energy acts<br />

as operator with 50% interest, with partner CNOOC (50%)<br />

holding the remaining interest.<br />

Drydocks World lands FLNG deal from<br />

SBM Offshore<br />

Drydocks World will build the world’s largest marine turret<br />

for SBM Offshore at its Dubai shipyard, which will form part<br />

of Shell’s pioneering FLNG (floating liquefied natural gas)<br />

facility at the Prelude gas field, offshore Australia.<br />

The scope of the yard’s work is to fabricate and load-out the<br />

internal turret in six modules, with the design, material and<br />

equipment to be provided by SBM Offshore. With a 30 metre<br />

diameter, 90 metre height and weight of 11,500 tonnes, the<br />

turret will be shipped to Samsung Heavy Industry’s yard in<br />

Korea for integration with Shell’s FLNG.<br />

The Turret Mooring System will anchor the FLNG facility at<br />

location for the duration of production operations, without<br />

the need to disconnect. The design allows the FLNG facility<br />

to weathervane passively and endure hazardous climate<br />

conditions, including extreme Category 5 cyclone events.<br />

SBM Offshore was awarded the turret contract by Technip for<br />

the EPC (engineering, procurement and construction) of the<br />

FLNG Turret Mooring System. The remainder of the facility<br />

is being built by the TSC Consortium at the Samsung Heavy<br />

Industries shipyard in Geoje, Korea. Measuring 488 metres<br />

from bow to stern and weighing around 600,000 tonnes<br />

when fully loaded, Shell’s Prelude FLNG will be the largest<br />

floating offshore facility in the world. It will be moored over<br />

200 kilometres from land and will produce gas from offshore<br />

subsea fields, treat and liquefy the resource onboard via a<br />

cooling process, before storing and exporting the LNG via<br />

conventional LNG carriers.<br />

Situated in the WA-371-P permit, the Prelude gas field is<br />

located in the Browse Basin, approximately 475 kilometres<br />

northeast of Broome, Western Australia, and more than 200<br />

kilometres from the nearest point on the mainland. Shell is<br />

the operator with 100% interest.<br />

Ezra wins US$70 million Apache<br />

subsea contract offshore Australia<br />

Ezra subsidiary, Emas AMC, has been awarded a subsea<br />

contract worth US$70 million by Apache for work on its<br />

Coniston-Novara development, offshore Australia.<br />

The contract includes transport and installation of the<br />

pipeline and manifolds, other manifolds, umbilicals and<br />

flexible flow-lines in water depths of around 380 metres.<br />

Emas AMC’s agreement includes options that would add on<br />

another US$30 million, bringing the potential value of the<br />

contract to US$100 million. Works is to begin immediately<br />

with offshore installation operations expected in the first<br />

quarter of 2013.<br />

Coniston-Novara is scheduled to go into production in 2013.<br />

Coniston and Novara lie in the WA-35-L permit off the<br />

coast of Western Australia. Apache serves as operator with<br />

45.67587% interest, with partners INPEX (41.32913%) and<br />

Woodside (13%) holding the remaining interest.<br />

Monadelphous Group wins Pluto LNG<br />

work from Woodside<br />

Monadelphous Group has secured a new three-year<br />

maintenance services contract from Woodside on the Pluto<br />

LNG <strong>Project</strong> at Karratha, in Western Australia.<br />

The contract includes work associated with its onshore<br />

and offshore facilities and has the option for two one-year<br />

extensions.<br />

It follows Monadelphous’s delivery of major construction<br />

services and commissioning support at Pluto through its<br />

Engineering Construction division since 2009.<br />

Monadelphous has also won a 12-month extension to the<br />

general maintenance services and projects contract with<br />

Chevron at its Barrow Island and Thevenard Island LNG<br />

operations.<br />

The Pluto LNG project is located 190 kilometres northwest<br />

of Karratha, Western Australia, in the Northern Carnarvon<br />

Basin. Woodside acts as operator with 90% interest, with<br />

partners Tokyo Gas (5%) and Kansai Electric (5%) holding the<br />

remaining interest.


Total signs China’s US$9 billion<br />

refinery agreement with KPC<br />

Total has signed a comprehensive Memorandum of Understanding<br />

(MOU) with Kuwait Petroleum International and Petrochemicals<br />

Industries Company, two wholly owned subsidiaries of Kuwait<br />

Petroleum Corporation (KPC), to be partners in a joint Kuwait-China<br />

oil refinery venture.<br />

With a proposed refinery which has a processing capacity of<br />

300,000 barrel-per-day and an accompanying petrochemical<br />

complex, the joint venture is being completed in partnership with<br />

China’s Sinopec. The complex will be designed to process Kuwaiti<br />

crude oil as feedstock and to produce high-quality refined and<br />

petrochemicals products.<br />

KPC and Sinopec signed an agreement to build the US$9 billion<br />

complex more than two years ago.<br />

The refinery and petrochemicals complex is to be built in Zhanjiang,<br />

in China’s southern Guangdong province. Sinopec and KPC act as<br />

joint operators.<br />

Ramunia awarded West Desaru subsea<br />

contract offshore Malaysia<br />

Ramunia Holdings Berhad has been awarded a US$7.8 million<br />

contract by Aquaterra Energy for the manufacture of wellhead<br />

support structures for the West Desaru project, off Peninsular<br />

Malaysia.<br />

Ramunia will fabricate two subsea structures, one topside structure<br />

and a boat landing facility for the oilfield under the agreement.<br />

Opertator Petrofac intends to accelerate the development of the<br />

West Desaru fault block by introducing an Early Production System,<br />

which will involve utilising both current export facilities and also<br />

upgrading and deploying a Mobile Offshore Production Unit, which is<br />

in the process of being purchased.<br />

The West Desaru project is situated in Block PM304, offshore<br />

Peninsular Malaysia. Petrofac acts as operator with 30% interest,<br />

with partners Petronas Carigali Sdn Bhd. (25%), KUFPEC (30%) and<br />

PetroVietnam (15%) holding the remaining interest.<br />

Santos finds more gas at Sangu,<br />

offshore Bangladesh<br />

Santos’ Sangu-11 well has penetrated a new gas reservoir in with<br />

approximately 20 metres of good quality gas pay in the Sangu area,<br />

offshore Bangladesh.<br />

The well will be completed and tied into the Sangu facilities, providing<br />

incremental gas to Chittagong in the coming months once marketing<br />

arrangements have been finalised. Work is continuing to assess<br />

volumes and flow potential of the reservoir.<br />

Sangu-11 was the third well of a 3-well drilling campaign in Block<br />

16 PSC that commenced in September 2011. The first well, South<br />

Sangu-4, found gas in one target but was unable to add further<br />

reserves due to encountering anomalously high formation pressure,<br />

and had to be abandoned prior to reaching its primary objective.<br />

The second well, NE Sangu-1 drilled in December 2011, failed to<br />

encounter commercial hydrocarbons and was also abandoned.<br />

After completion of Sangu-11, Seadrill’s jack-up drilling rig Offshore<br />

Resolute will be demobilised.<br />

The Sangu Development Area is located in the Bay of Bengal, offshore<br />

Bangladesh. Santos serves as operator with 75% interest, with partner<br />

Halliburton (25%) holding the remaining interest.<br />

Shell closes US$58.1 million Prosafe<br />

Philippines deal<br />

Prosafe has been awarded a US$58.1 million short-term rig<br />

contract with Shell for operations off the Philippines.<br />

The accommodation rig specialist has received a Notice of Award<br />

for a minimum nine-month contract for hire of its rig Safe Astoria to<br />

work for Shell at the Malampaya 3 project for at least nine months.<br />

Shell also has three additional one-month options over the unit<br />

with on site operations planned to commence within the second<br />

or third quarter of 2014. However, Prosafe has provided Shell the<br />

alternative choice of a structure with 11 month firm period plus<br />

options, or 12 month firm period plus options.<br />

Total value of the firm period will be between US$58.1 million and<br />

US$70.5 million depending on which alternative is selected.<br />

The Malampaya 3 project is located offshore Palawan, Phillipines.<br />

Shell Philippines serves as operator with 45% interest, with<br />

partners Chevron (45%) and PNOC (10%) holding the remaining<br />

interest.<br />

Wood Group wins Shell Surf agreement<br />

Wood Group Kenny has been awarded a frame agreement to provide<br />

SURF engineering and construction management services to Shell<br />

worldwide, with primary focus on the Asia Pacific region, along with<br />

other project-specific awards in Europe.<br />

The frame agreement was awarded for a term of five years with an<br />

option to extend for a further five years. Wood Group Kenny has<br />

already started work for Shell as part of the agreement, with a FEED<br />

study for the high temperature, high pressure Linnorm project in<br />

Norway, as well as work on the Prelude FLNG in Australia, the world’s<br />

first floating liquefied natural gas project.<br />

In addition, Wood Group Kenny is supporting Shell on the Gumusut<br />

project in Malaysia, and will provide subsea and topsides support for<br />

the Subsea Well Response <strong>Project</strong> (SWRP), a multi-company initiative<br />

focusing on worldwide subsea well control incident intervention in<br />

the North Sea.<br />

Gumusut is a joint development alongside the Kakap project<br />

and both are situated offshore Sabah, in eastern Malaysia. Shell<br />

and Murphy Sarawak Oil Company Ltd serve as operators of the<br />

joint development, holding major interest stakes, with partners<br />

ConcoPhillips and Petronas holding the remaining interest.<br />

37


38<br />

Technip awarded engineering contract<br />

for Petronas’ RAPID project in Malaysia<br />

Technip has been awarded a FEED contract by Petronas for<br />

its proposed RAPID (Refinery and Petrochemical Integrated<br />

Development) project located in the state of Johor, Malaysia.<br />

The engineering contract is scheduled for completion in the second<br />

or third quarter of 2013. RAPID aims at building a world-scale<br />

integrated refinery and petrochemical complex to answer the growing<br />

need for specialty chemicals and to meet the demand for petroleum<br />

and commodity petrochemical products in the Asia Pacific region by<br />

2016.<br />

With a capacity of 300,000 barrels per standard day, the proposed<br />

refinery will supply naphtha and liquid petroleum gas feedstock for<br />

the RAPID petrochemical complex, as well as produce gasoline and<br />

diesel that meet European specifications.<br />

The petrochemical units will enhance the value of the olefinic<br />

streams coming from the RAPID steam cracker by producing various<br />

merchant grades petrochemicals products such as polyethylene,<br />

polypropylene, synthetic rubbers and other petrochemicals products.<br />

Located at Pengerang in Johor, Malaysia, the project is jointly<br />

operated by partners Petronas and BASF with 40% and 60%<br />

interests respectively held by each firm.<br />

DeepOcean wins South China Sea<br />

trenching project<br />

CTC Marine <strong>Project</strong>s Ltd., a subsidiary of DeepOcean Group<br />

Holding, has been awarded a major trenching contract from<br />

COOEC on the Liwan 3-1 <strong>Project</strong> offshore Shenzhen, China.<br />

CTC will be responsible for the trenching of approximately<br />

174 kilometres of 30 inch pipeline from the shallow water<br />

host platform of the Liwan field development in water depth<br />

of 205 metres. CTC will use the MSV Volantis equipped<br />

with two ROVs and the 2.1 Megawatt UT-1 Trencher. The<br />

Liwan 3-1 development is located in block 29/26, situated<br />

approximately 300 kilometres southeast of Hong Kong and<br />

65 kilometres southeast of the Panyu gas discovery, in<br />

the South China Sea. Husky Energy China acts as operator<br />

with 49% interest, with partner CNOOC (51%) holding the<br />

remaining interest.<br />

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Ichthys Australia<br />

Ichthys’ offshore portion is located on the WA-<br />

285-P permit within the Browse Basin, in northwest<br />

Australia. Inpex serves as operator with 75% interest,<br />

with partner Total (25%) holding the remaining<br />

interest.<br />

The Ichthys LNG plant is situated on Blaydin Point on<br />

the Middle Arm Peninsula in Darwin. INPEX serves as<br />

Operator with 72.805% interest, with partners Total<br />

(24%), Tokyo Gas (1.575%), Osaka Gas (1.2%) and<br />

Toho Gas (0.42%) holding the remaining interest.<br />

Daewoo wins US$2 billion Ichthys<br />

FPSO contract<br />

Daewoo Shipbuilding & Marine Engineering has won an order<br />

worth US$2 billion to build an FPSO (floating production,<br />

storage and offloading) vessel for Inpex Corp and Total E&P’s<br />

Ichthys LNG (liquefied natural gas) project.<br />

The Ichthys FPSO will be a 335 metre-long vessel designed<br />

to produce 85,000 barrels per day of condensate and store<br />

1.2 million barrels of liquids. Topsides will feature processing<br />

modules, mono ethylene glycol regeneration facilities and<br />

accommodation for 150 people. The company plans to<br />

deliver the FPSO in 2016, and it will be permanently moored<br />

in 250 metres of water via an internal turret system to be<br />

supplied by SBM Offshore.<br />

Empired lands US$5 million Ichthys<br />

LNG deal<br />

Empired Ltd has secured a US$5 million information systems<br />

contract with INPEX as part of its Ichthys LNG project.<br />

The agreement will see Empired supply, install, configure and<br />

manage the Coreworx information and cost control system over<br />

the next 5 years of the US$34 billion project.<br />

INPEX granted production licenses<br />

on Ichthys LNG project<br />

INPEX Corporation and other project group companies have<br />

been granted production licenses for the Ichthys LNG project by<br />

the Australian Government.<br />

Upon the grants, INPEX has received the major necessary<br />

governmental authorisations for the Ichthys LNG project to move<br />

forward, including environmental approval and pipeline licenses.<br />

The Ichthys LNG project made final investment decision<br />

in January 2012. Gas from the Ichthys field will undergo<br />

preliminary processing offshore to remove water and raw<br />

liquids, including condensate. The gas will then be exported to<br />

the onshore liquefaction plant in Darwin via an 889 kilometres<br />

subsea pipeline. The Ichthys LNG <strong>Project</strong> is expected to<br />

produce 8.4 million tonnes of LNG and 1.6 million tonnes of<br />

LPG per annum, along with approximately 100,000 barrels of<br />

condensate per day at peak.<br />

INPEX and Total are proceeding with development works for the<br />

project, including the execution of engineering, procurement<br />

and construction of the onshore LNG plant, offshore Central<br />

Processing Facility, new-build Floating Production, Storage and<br />

Offloading vessel, and Gas Export Pipeline. Production start-up is<br />

targeted by the end of 2016.<br />

The Ichthys joint venture is seeking the continued support from<br />

the Australian Government, the Western Australian Government,<br />

the Northern Territory Government and other stakeholders for<br />

early and optimal commercial gas production from the Ichthys<br />

LNG <strong>Project</strong>.<br />

Upon the grants, WA-37-R and the location Block area in WA-<br />

285-P, where the Ichthys gas-condensate field is located, will be<br />

registered as WA-50-L and WA-51-L, respectively.<br />

John Holland JV awarded US$340<br />

million Ichthys civil works contract<br />

John Holland, in a joint venture with Macmahon Holdings Ltd,<br />

has been awarded a US$340 million site development civil<br />

works contract by the JKC Joint Venture (JGC Corporation, KBR,<br />

Chiyoda Corporation) for the onshore facilities of the Ichthys LNG<br />

<strong>Project</strong> near Darwin, in the Northern Territory.<br />

The Macmahon-John Holland Joint Venture will undertake<br />

civil construction works associated with delivering the finished<br />

earthwork levels for the LNG plant and associated facilities.<br />

The works include access roads, earthworks, drainage and<br />

ground improvement works required for the establishment of<br />

the landmark project. Early works on the project will commence<br />

almost immediately with site works starting in early April 2012.<br />

Completion of the site development work is scheduled for mid 2014.<br />

NYK secures ocean carriage<br />

contract for Ichthys LNG project<br />

NYK-HINODE LINE has been awarded the ocean carriage for<br />

module contract by the JKC Joint Venture (JGC Corporation, KBR,<br />

Chiyoda Corporation) for the Inpex led Ichthys LNG project.<br />

The period of transportation is planned to be from the first<br />

quarter of 2014 to the second quarter of 2015, and will involve<br />

transportation of modules from Thailand, China and the<br />

Philippines to Darwin, Australia. M/V Yamato and M/V Yamatai,<br />

two of NYK-HINODE LINE’s owned, operated, self-propelled<br />

module carriers, will be allocated to transport various main units<br />

as module cargo for the project.<br />

39


40<br />

Client features<br />

Alderley secures £22m in project wins<br />

Alderley, a market leader in liquid and gas metering and<br />

produced water treatment packages, continues its ongoing<br />

growth and success by securing orders in excess of £22<br />

million in the first quarter of 2012. The orders are a global<br />

result for Alderley as the projects span across the world to<br />

include the North Sea, Africa, Middle East, Asia and Australia.<br />

The projects secured will see Alderley deliver a range of fiscal<br />

metering systems, proving systems, sampling, metering<br />

control, deoiling hydroclyclones, bespoke hydraulic solutions<br />

and specialist engineering support services. The manufacture<br />

of these applications will take place at Alderley’s worldwide<br />

facilities in the UK, Singapore, Saudi Arabia and UAE.<br />

Chris McGeehan, CEO says, “This is an excellent start to 2012<br />

for the Alderley Group and falls in line with Alderley’s overall<br />

growth and development plans across all regions.”<br />

Chris continues by saying, “Through our established regional<br />

offices we have the capacity to continue to deliver world-class<br />

products internationally and we expect 2012 to continue to be<br />

a busy and successful year for the Alderley Group.”<br />

For more information on Alderley and the<br />

projects they have delivered you can visit them<br />

at stand 2541-J at the Offshore Technology<br />

Conference (OTC) in Houston, Texas from the<br />

30th April – 3rd May 2012.<br />

Valeport develops new surveying and<br />

monitoring equipment<br />

Now into their 43rd year providing the hydrographic,<br />

oceanographic and military community with surveying and<br />

monitoring equipment, Valeport are pursuing their policy of<br />

continuous development to meet customer demands.<br />

New to the field is the VA500 altimeter. A 500KHz titanium<br />

housed package with options of a pressure sensor which<br />

offers high accuracy performance over a range of 0.1 to<br />

100m.<br />

The Valeport TideMaster tide gauge offers you the latest<br />

technology with transducer choice of pressure sensor or<br />

radar. An optional MetPak II sensor when extra data<br />

is required can be simply plugged in at any time. The<br />

TideMaster continues Valeport’s success in providing quality<br />

instruments to meet the Hydrographic surveyor needs.<br />

For sound velocity data to enhance your single or multi-beam<br />

echo sounder surveys, Valeport offer a variety of sensors<br />

and profilers. The superior performance is recognised<br />

by all multi-beam manufacturers and users making the<br />

Valeport sensor an “industry favourite” in the field. Latest<br />

developments include the Rapid SV profiler which has been<br />

developed for the fast collection of Sound Velocity Profiles<br />

(SVP) without compromising the quality of data.<br />

“Meeting and exceeding our customer expectations is what<br />

we aim to do” states Kevin Edwards, Valeport’s Sales &<br />

Marketing Manager “and this is what drives us. Our 12<br />

month perpetual service warranty is typical of this and<br />

proving to be a winner. Valeport’s strength is in customer<br />

service and the policy of continuous product development.<br />

Our aim is to continue this high level of innovation and<br />

support”.<br />

Aquasign introduces revolutionary<br />

fixing method for subsea markers<br />

Aquasign is a global company specialising in subsea antifouling<br />

markers with a guaranteed lifespan of 60 years. This longevity is<br />

due to our proprietary non-toxic oil release system which mimics<br />

fish skin – preventing marine growth attachment at the lowest level<br />

means that our markers will remain visible for the lifespan of your<br />

project.<br />

Underwater identification markers are our core business, we invest<br />

in research and development to ensure that our products not only<br />

remain unique but are also environmentally sustainable.<br />

Our antifouling systems were originally developed by Shell at their<br />

Thornton Research Centre who, after almost a decade of research,<br />

commercialised them under the trademark Aquasign®. Now the<br />

system is used on more than 800 oilfield projects globally and is<br />

the only marker system with a proven track record in excess of 25<br />

years.<br />

Aquasign® is a bespoke product that can be fully customised to<br />

our client’s specific project requirements.<br />

We are fully accredited to ISO9001, 14001 as well as 18001,<br />

providing impressively short lead-times whilst exceeding our quality<br />

and safety targets. Our commitment to quality, competence and<br />

satisfaction sees us consistently ranked high in our customers’ top<br />

quartile of suppliers.<br />

Our brands that support Aquasign® include:<br />

• Biohesive® – an environmentally friendly silicone adhesive that<br />

has been approved for use with most substrates commonly used in<br />

the oilfield.<br />

• Shield® – for extra protection against accidental damage<br />

• AquasignPlus– the ability to incorporate our customers RFID<br />

or bar code systems.<br />

The latest innovation to join this portfolio is a revolutionary fixing<br />

method – KISS. Through the use of specially formulated adhesive<br />

tapes the installation of subsea markers could not be easier -<br />

simply Peel, Sick and Seal. Used in conjunction with our silicone<br />

adhesive – Biohesive 225, KISS provides watertight protection<br />

from corrosion and enhanced life span with a 30% increase to<br />

bond strength.


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