european oil and gas issue 12 2013
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The latest edition of European Oil and GasTRANSCRIPT
oil&gasf r o m e x p l o r a t i o n t o e n d u s e r
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europeanoilandgas.co.uk
this issUE: Materials innovation
save the dataengineering data management can improve operations
perfect planningeffective refinery planning is essential for operators
opportunitiesNew
a thriving shale gas industry could create thousands of jobs
Shale gas , or unconventional gas, may
be a relatively young industry in the UK, but it is one that we
can’t help but hear about across the industry and in the media
on a wider scale. However, rather than consider whether shale
is good or bad for the UK, whether it will or won’t provide the
resources that some experts predict, or if indeed it will change
the landscape for myriad communities around the country, in
this issue we discuss how the growth of the unconventional gas
sector could stretch the energy skills pool.
We all know that for many, finding young skilled personnel
is seen as the key challenge for the energy industry, but on
page four Mike Thornhill of Spencer Ogden analyses whether
shale could heighten the problem. “The best way to forecast
how shale gas might affect our skill pools is to monitor local
developments, planning regulations and test site successes,
for example, and to look at existing markets, comparing our
experiences with theirs,” he explains.
Of course, while our shale industry may still be somewhat
embryonic this is a topic that is worth some consideration, and
as Mike points out, if we do want to take this sector forward we
need to start planning now, “we need to be prepared to meet the
demands of fracking projects if they are given the go ahead. One
of those demands will be for skilled and unskilled workers to
man the supply chain. Once it is up and running shale gas may
generate 74,000 jobs in the UK.” Whatever your thoughts on
unconventionals, it’s a topic that we can’t shy away from.
editors Libbie Hammond & matt HigH
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one of those demands will be for skilled and unskilled workers to man the supply chain. once it is up and running shale gas may generate 74,000 jobs in the uK”
pleaSe nOTe: The opinions expressed by contributors and advertisers within this publication do not necessarily coincide with those of the editor and publisher. every reasonable effort is made to ensure that the information published is accurate, but no legal responsibility for loss occasioned by the use of such information can be accepted by the publisher. all rights reserved. The contents of the magazine are strictly copyright, the property of Schofield publishing, and may not be copied, stored in a retrieval system, or reproduced without the prior written permission of the publisher.
Chairman andrew Schofield Group Managing director mike tulloch
Managing editor Libbie [email protected] matt [email protected] staff Writers Kirsty birkett-StubbsJo Cooper editorial Administrator emma Harris
Art editor gérard Roadley-battinAdvertising design Jenni newmanProduction Manager Fleur ConwayProduction AdministratorVicky Howes
sales director david garnerCorporate Advertising sales david [email protected] Finlay JohnsonHead of research Philip monumentBusiness development Manager mark Cawstonresearch Managers natalie martin ben Richell editorial researchers ed Hipperson Kieran ShukriJeff Johnson
office Manager tracy Chynoweth
© 2013 Schofield Publishing Limited all rights reserved
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T: +44 (0) 1603 274130F: +44 (0) 1603 274131schofield-media.com
Editors
Profiles
Regulars
22 Port of Fujairah Authority
26 A.Hak Drillcon
29 Cryo AB
32 Seven Seas Services
34 Amarinth
36 MMHE
39 Barge Master
42 Trelleborg Offshore & Construction
4 Lead Feature A thriving shale gas industry could create thousands of new jobs
8 News A look at some of the recent developments in the oil and gas industry
10 IT Engineering data management can significantly improve E&P operations
12 Lead Feature Mike Hawkins on his experiences of working in the oil and gas industry
16 Special feature - Refinery management Examining why effective refinery planning is essential for operators
18 South Hook LNG Terminal Company Ltd 20 Technology Phenolic composite insulation materials represent a new era in oil and gas
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Contents
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67 Xcite Energy Resources
70 AFI
72 Gas Compressors
75 Essar Oil
44 EagleBurgmann Norway
47 VENKO Offshore
49 Thermtech
52 Gemini Corrosion Services
54 Providence Resources
57 Camcon Oil
59 Motherwell Bridge
62 Galp Energia
65 Gasunie
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65
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n recent years there’s been a lot of talk
about trends in energy skills. In particular
there have been concerns of a widening
skills gap at middle-manager level in
established markets including conventional
oil and gas. Thankfully it is relatively easy to predict the
development of mature sectors such as this, and with
knowledge of how the markets are moving we are able to
take pre-emptive action to plug any skills gaps that might
develop. However shale gas, or unconventional gas, is a
fledgling industry. It’s unpredictable and we have no true
idea of how it will impact the UK. The best way to forecast
how shale gas might affect our skill pools is to monitor local
developments, planning regulations and test site successes,
for example, and to look at existing markets, comparing our
experiences with theirs.
Shale right nowIt’s hard to keep up with the volume of news published on
the topic of shale; every day brings a new report or comment
from an industry expert. The story is developing so fast that
anything written here may very well be out of date by the
time it is read.
In April we were inundated with stories about the
Government incentivising those communities local to
fracking projects. In May an industry round table involving
the CEO of Spencer Ogden led to national controversy over
flaring in Sussex, while in June the topic moved on to the
feasibility of shale projects in the UK. Most recently The
British Geological Survey (BGS) in association with DECC
released its estimate of the resource of shale gas available in
central Britain. The figure it proposed was 1329 trillion cubic
feet (tcf), which given that the UK uses approximately three
tcf per year would indicate that we have enough available to
give value to shale projects. But what BGS stated, and what
we’ve heard again and again, is that how much gas we can
actually extract is hard to predict.
Planning for the futureIn order to predict the skills that will be required in the UK,
we need to look at similar projects abroad. Yes shale is in
an embryonic state here, but internationally fracking has
been under way for a number of years, and we are in a very
fortunate position in that we can actively learn from the
triumphs and failures in other more mature markets. Two
examples on either ends of the scale are the US and Poland.
The US is considered the great success story when it
comes to shale gas, and it is to the US that other countries
turn when considering their own shale prospects. In 2000
shale accounted for an insignificant 1.6 per cent of natural
gas production in the country, but by 2010 that figure had
grown to 23.1 per cent. As a result, the US shale industry
now employs 600,000 workers. One of many reasons it
was able to grow its shale projects so fast was its laws on
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NewopportunitiesA thriviNg shAle gAs iNdustry iN the uK would creAte thousANds of jobs but A mAjor boom is uNliKely, suggestsMike Thornhill
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Lead one
the US. Unfortunately concerns about taxation and licensing,
alongside disappointing results from the first test fracks,
soon placed the brakes on project development. In 2012,
with projects looking less profitable Exxon pulled out of its
investment. Since then others, most recently Talisman and
Marathon Oil, have followed suit.
Poland demonstrates why we shouldn’t be getting ahead
of ourselves in the UK; what was predicted to be a boom
has turned out more of a rumble, and as a result companies
and investors will now be more cautious before placing
their money elsewhere. Even if we are successful, the rate of
production is unlikely to have a large and immediate impact
on our skills pool. Rather, drilling sites will develop slowly,
picking up speed once we have confirmation that shale gas is
a profitable and sustainable market.
land ownership. Shale gas development in the United
States has taken place primarily on private land. This has
given companies a way to secure decent returns from
early investments. Unfortunately for developers, in the UK
the underlying rocks belong to the Crown Estate, which
complicates matters.
Conversely, the Polish shale industry has all but been
written off as a failure. Despite predictions that 500 wells
would be drilled a year, since 2010 only 33 test wells
have been drilled, and less than six of which have been
horizontally fracked. Three years ago the story of Poland
was similar to the UK, in 2011 it was estimated that there
was reserves of 187 tcf of recoverable gas in the country, and
plenty of rock available for fracking. Hopes were high and
comparisons were drawn with the Marcellus Shale Project in
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few workers will want to leave sunny climes for the UK if
they also run the risk of losing their position within a few
months.
Once the gathering of conventional oil and gas workers
is underway, there will need to be training in order to
complete the transference of skills. There are a number of
techniques and methods used in fracking that are foreign
to many oil and gas workers. For example conventional 3D
seismic data has been used to estimate the saturation of gas
hydrates for years, but within the shale industry the preferred
technique for understanding subsurface variability is
microseismic technology. The most obvious way to facilitate
the transference of skills will be to bring in existing expertise
from abroad. In the US, where the industry has been active
and mature for a number of years, there are thousands of
contractors that might be paid to come to the UK in order to
train our local workforce.
The Government must also take a role, establishing
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Market regulationThat word ‘profitable’ will be key. The more regulatory and
legislative hoops that companies need to jump through
before and during drilling, the more expensive it becomes
for them. Projects then become less attractive and less
lucrative, which dampens investment as we saw in Poland.
But this is something we already seem to be learning from. In
June Minister of State for Business and Enterprise, Michael
Fallon, announced new support for shale gas – tax breaks for
exploration, simpler planning rules and new incentives for
communities to back ‘fracking’ wells in their areas.
Transferable skillsThough we continue to be uncertain about the future of
shale gas in the UK, we need to be prepared to meet the
demands of fracking projects if they are given the go ahead.
One of those demands will be for skilled and unskilled
workers to man the supply chain. Once it is up and running
shale gas may generate 74,000 jobs in the UK, but they
won’t all be on rigs; we will need manufacturers to create
the chemicals used in the fracking process, drivers to
transport chemicals and other materials to and from sites and
geological and engineering experts involved throughout.
So where will we find those 74,000 workers? They’re not
yet present in the UK – not as existing shale experts, and we
can’t gather them from abroad as shale is still a limited sector.
What we do have are thousands of skilled conventional oil
and gas workers, particularly in the North Sea, though it is
worth noting that there is already a recognised skills shortage
in this area. PwC referred to an “emerging talent and
recruitment crisis” in reference to Aberdeen, Europe’s oil and
gas hub last year, while Subsea 7 has called the sector’s skills
shortage, “genuinely worrying”.
Nonetheless, it seems certain that some of the talent
drafted into the UK shale industry will come from the North
Sea. Drilling operations there have produced thousands of
workers with skills that can be transferred to shale projects,
and the return to on-land projects will certainly prove
attractive to some.
A number of offshore workers may also find themselves
with the opportunity to return to dry land sooner than they
think. In the North Sea larger companies have begun to
decommission fields. Hess, for example, has already sold
some fields and is in the process of pulling out of others.
For this, and other large organisations, the North Sea is less
commercially viable than it once was (production is set to
grow for another five years before beginning to decline); the
fields are being bought up by smaller companies, which are
less attractive as employers to the skilled workforce. For the
workers on these rigs, a move into onshore fracking may
seem wise move.
And the lucrative nature of shale – if that’s what it proves
to be – may also prompt some ex-patriot citizens to return
to the UK. But before either of these things happen, the
industry must prove itself profitable and sustainable. Very
Spencer OgdenMike Thornhill is exploration and production manager - oil and gas, at Spencer Ogden, the global energy recruiter of choice. By joining together the project lifecycles of the energy sector, it offers a 360 degree service to its energy clients. Since trading began in 2010 it has formed long-term client and candidate relationships built on trust and success. With vast knowledge and experience within each sector of the energy market, Spencer Ogden represents energy professionals at all levels. The company employs over 200 people across its London headquarters, Aberdeen, Glasgow, Houston, Singapore, Hong Kong, Cape Town, Calgary and Dubai offices working in oil & gas, renewables, power, smart, nuclear, energy trading, mining, technology and energy finance.
For further information please visit:spencer-ogden.com
Lead one
training programmes for workers new to the sector. Once
the existing generation of workers has moved up and on,
we will need a new talent available in order to avoid the
skills gaps that have become so troublesome in industries
such as mining.
Concluding a topic of this nature is no easy task. The
success of the UK shale industry is dependent on many
variables and we cannot know how fast it will grow, if it all.
We don’t even know how many companies will express an
interest in undertaking initial drilling projects. There are 176
licenses for onshore oil and gas exploration issued in the
UK but it is up to licensees to come forward with plans to
explore shale’s potential. The best we can do is learn from
existing markets, watch the outcomes of Caudrilla and IGas’
investigations, and prepare ourselves to meet skills needs as
and when they arise. Thankfully the skill sets of conventional
oil and gas workers are transferable, and of those, we have
some of the best in the world.
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Once it is up and running shale gas may generate 74,000 jobs in the UK, but they won’t all be on rigs; we will need manufacturers to create the chemicals used in the fracking process, drivers to transport chemicals and other materials to and from sites and geological and engineering experts involved throughout
Global supplier of fluid transfer systems, FES International has won a £2 million contract to
supply BG Norway with six Automatic DBSCs. FES will supply an array of Automatic DBSCs to
contractors NOV/Subsea 7 for a floating production, storage and offloading (FPSO) vessel operating
in the Knarr field, in the Norwegian sector of the North Sea.
The Automatic DBSCs are designed by FES International to enable quick, efficient and cost
effective installation of riser and umbilical bend stiffeners in often congested or confined areas. The
latching mechanisms on these DBSCs are fully ROV and diverless, offering safer and more reliable
connections and have been designed to cope with extremely high loads. FES says this could save in
the region of circa £300,000 to £400,000 on the cost of installation.
FES International will deliver the contract by the end of 2013 and FES International’s managing
director Rob Anderson said: “This is a significant contract for us, Shell have fully approved our
Automatic DBSC, which was developed in partnership with them, and now NOV/Subsea 7 have
identified it as the optimum piece of equipment for use in the Knarr field.
“We’ve built a strong working relationship with NOV/Subsea 7 thanks to our track record of
delivering innovative products or delivering successfully to stringent requirements.”
Prime objective
Optimum equipment
Xodus Group has acquired the business of Dubai based Prime Energy as part of a major expansion
drive in the Eastern Hemisphere. This is the first acquisition Xodus has made in the Middle East
following the launch of its Dubai operations in 2012.
Colin Manson, CEO of Xodus Group, said: “Prime Energy is a great fit for Xodus and with its
focus on wells and drilling, it completes the Xodus offering. We now have the full complement of
wells, subsurface and surface services to offer our Middle East clients.
“This is the first major acquisition as part of a significant international expansion drive. Our sights
are set on expanding the business in the Middle East, Africa, India and Asia Pacific. Prime Energy
has a strong focus in these areas, which will open the door to explore further opportunities in these
regions.”
Prime Energy’s team will form part of Xodus’ subsidiary based in Dubai, Xodus DMCC, which
will be renamed Xodus-Prime DMCC.
Peter Bradley, director operations of Prime Energy, said: “Founded by a team with broad
experience in the oil and gas services industry, Prime Energy has accomplished strong growth and
is serving a global client base with a focus on East and West Africa, India and the Middle East. With
our integration into Xodus we will be able to deliver to our clients the enhanced capabilities of the
combined platforms.”
Above: (l to r) Emma Merchant and Colin Manson from Xodus, and Jon Rodd, Wayne Longstreet, Burnie Simpson and Peter Bradley from Prime
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Funding the futureA total of £15,000 has been awarded
to students in Scotland by the Society
of Petroleum Engineers Aberdeen
Section as part of its 2012-13 bursary
programme.
The bursaries were given to 20
students from Aberdeen, Strathclyde,
Robert Gordon, Dundee and
Heriot Watt universities following
a rigorous application process. All
students who received the awards
are currently studying courses linked
to the oil and gas industry including
petroleum, chemical and mechanical
engineering.
The bursary scheme was created
by SPE Aberdeen in line with
one of its primary objectives – to
provide an information channel and
support to young people in schools
and universities. The awards are
presented to those who demonstrate
strong technical knowledge and a
drive to succeed both academically
and in their future careers.
Anthony Onukwu, SPE
Aberdeen chairman, said: “One of
our key values as an organisation
is to encourage a high standard of
academic performance from students
who are part of the SPE, and to
support the industry in growing the
workforce of tomorrow.
“In the past ten years, SPE
Aberdeen has provided over
£100,000 of support to students to
help ease financial pressures and
allow these individuals to reach their
full potential.”
The North Caspian Operating Company (NCOC) has announced an important milestone in the
development of the Kashagan field. On the occasion of RoK President Nursultan Nazarbayev
and British Prime Minister David Cameron visiting the Kashagan project facilities, the NCSPSA
Consortium celebrated the completion of the facilities required for initial production, marking the
commencement of the start-up of the Kashagan production facilities.
Pierre Offant, managing director NCOC, added: “Preparations for start-up both onshore and
offshore commenced in 2012 and progressed at a steady pace. Today we celebrate the completion of a
very important milestone which we have been looking forward to: the commencement of the start-up
of the production facilities, which means from today onward, the project facilities will become live in a
staged process.”
Once all milestones have been completed successfully, the integrated system will receive the first oil
and gas from some 4200 meters below the North Caspian Sea. This will be delivered by eight wells on
the artificial A Island. The wells and the pipeline system are ready for production, whereas the offshore
production and treatment facilities on D Island are in the final stages of commissioning.
Age defying solutionsAubin has launched a new integrity management and subsea division in response to demand from
the oil and gas industry. The division will provide groundbreaking solutions to urgent challenges
facing operators of aging offshore infrastructure, both in the UKCS and internationally, as well as
permanent fixes.
Aubin recently helped resolve one operator’s major integrity issue in the leg of a North Sea
platform by adapting its patented L gel technology to create an internal pipework sealant on an asset
in record time, enabling repair intervention following a serious breach in integrity.
Paddy Collins, CEO of Aubin, said: “Many of the assets in the North Sea were built to last 25 years
and are still producing well beyond their original lifespans. This inevitably brings with it integrity
issues. Our range of products can provide a quick temporary fix if there is a leak in flexible (and
rigid) pipework by creating a seal around or within a breach.
“We have seen significant growth at Aubin through new projects and international expansion, and
adding this new division was a natural step for us. We have long assisted many of our operators with
integrity management solutions, and adding these new capabilities allows us to continue growing
and reaching new markets.”
Exciting developments
Above: Rob Buchan takes up the role of Aberdeen general manager
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news
Continuing to growOil and gas operator GDF SUEZ
E&P UK has announced a senior
appointment in Aberdeen as the
company pursues an ambitious
UK growth strategy. Rob Buchan
takes up the role of Aberdeen
general manager and will oversee
the company’s developments and
operations across the UK. He will
also become part of the firm’s
executive team.
His appointment comes as two
major developments operated by
GDF SUEZ E&P UK move towards
production. The Juliet field in the
Southern North Sea (SNS) is due
to come on stream at the end of
2013 and Cygnus, the largest gas
discovery in the SNS in the last 25
years, is scheduled to start producing
in late 2015.
Rob has worked for GDF SUEZ
E&P since 2008 when he joined as
operations manager in Aberdeen. He
moved to head office in Paris in 2009
where his most recent role was senior
vice president operations for GDF
SUEZ E&P International. He said:
“GDF SUEZ E&P is at a very exciting
stage of its growth in the UK and I
look forward to returning to Aberdeen
as we prepare for first gas from Juliet
and progress construction for Cygnus
while pursuing an active exploration
and appraisal programme.”
need a new window hinge. To cut a long
story short, I broke mine. The casement
is now sitting precariously in the opening
in danger of falling into the room or
outside, three stories down onto the cars
below. I need to know the model of the hinge so I can order
a new one. Or a detailed description so I can buy a similar
replacement. But this isn’t exactly the part of the standard
information handover when buying a new home.
The previous property owner wouldn’t have known
because the builder wouldn’t have told them. The builder
wouldn’t have known because the subcontractor wouldn’t
have told them. The manufacturer knows, but I don’t
know who they are, and they don’t know who I am. Most
importantly, the manufacturer, subcontractor, builder and
previous owner all got paid ages ago. So why should they care
about me and my window now? The data exists somewhere
but I can’t get to it. My heating bill is higher because I can’t
properly close the window and an escape route in the event
of fire is compromised. I am suffering from endemically poor
data management (and poor judgement in high winds.)
Engineering data management is one of the most
misunderstood aspects of safe and efficient operation in oil and
gas. Disinterested project teams, seductive new technologies
and frustrated operations staff have led to lots of pain points,
lots of talk and lots of tools but not so much realised benefit.
The missing element is an appreciation that data
relationships are just as important as the data itself. The
snazzy fix I buy today isn’t worth the box it came in if I can’t
link it to the snazzy fix I bought yesterday. And I wouldn’t
need a fix at all if the overall system was designed properly
in the first place.
High profit margins and design focused project teams
overshadow the inefficiency in which we gather data for
operations. The people who actually operate and maintain
plants are often the least likely to have any influence over
what supporting information is gathered for their use. The
project team is heavily reliant on design drawings, which
means these are proactively managed. Associated data
may be provided in notes on the drawing or in separate
documents or application extracts, or not at all.
The Information Management discipline has visibility
across both projects and operations so we can see the
problems this causes. However, within Information
Management, document management and data management
have not developed as closely as they should have been.
Engineering Data Management Systems do not tend to
have as rigorous document management capability as is
required, and Document Management Systems have no Data
Management functionality at all. International Standards
have been developed for engineering data, but not for
documents. To make it more difficult, staff tend to specialise
in one or the other.
The end user doesn’t care if the answer comes from a
database or a document, as long as it comes, and quickly.
With drawings, because so many originate in projects, they
are assigned document numbers and you can find them
using the number. Within the drawing different pieces of
equipment are assigned tag numbers. But during the project
it’s unlikely that anyone will need to find a drawing, but only
have a tag number as a reference. Therefore, most projects
do not bother investing in functionality that allows you to
search for a drawing using a tag number.
Conversely, when the project has disbanded and operations
are in charge, the actual equipment in-situ is just marked
with is a tag number. At this stage it is likely that someone
will need to find a drawing and have only a tag number to
go on. We have put ourselves in a situation in which the
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Fionnuala Cousins, Amor Group informAtion mAnAGement business AnAlyst, discusses enGineerinG dAtA mAnAGement in oil And GAs
datasave the
Amor GroupFionnuala Cousins is an information management business analyst at Amor Group - Energy Sector, which has over 20 years’ experience of delivering scalable IT managed services, information management, process control systems security, process safety management and application developments to clients in the global energy industry, operating from bases in Aberdeen, Houston and Dubai. Fionnuala is responsible for establishing and driving the Information Management (IM) Energy Forum, a collaborative project between Amor Group and the Robert Gordon University (Aberdeen), to facilitate knowledge sharing and service development in oil and gas information management.
For further information please visit: amorgroup.com
IT
projects team have felt the pain themselves of going from
system to system, manually making the links between
images and drawings and data, this is a difficult sell.
Where the sale has failed, operations feel the pain.
However, it may be just as challenging to really address the
problems even at this point. It’s much easier to sell cool,
cutting edge technology then it is the development plan
thereafter. The outcome then can be hundreds of thousands
of pounds of imaging data sitting on a network drive, out of
date and isolated from engineering data. It might be exciting
to look at a 3D image of a platform but no one’s job is
purely to look at exciting things. More likely, after the initial
excitement, I want to get on with the task in hand. I need
the data on the valve in the picture but it turns out no one
bothered to connect the two. So I close the picture and go
back to the old way of doing things.
Fundamentally, it is necessary to build an understanding
in the oil and gas industry that the data we record now
is for the use of our colleagues in the future, and it is our
professional duty to make it as easy as possible for them.
It is not a particularly challenging requirement. All the
data already exists somewhere. We need to be smart about
where. We also need to recognise that engineering data
projects should be approached with all the rigour of any
proposed business project, with real attention given to what
requirements will be met, and how.
Back to me and my window. Were we practicing good
engineering data management, there would have been
a standard clause in each contract in the supply chain;
data would be supplied according to the specification in
International Standard XYZ. As the operator of this property,
I would be provided with the designs and the data, linked.
I would be able to reach the data via the design and the
design via the data. The data would describe not only the
hinge in place but also the functional requirements that led
to the selection of that particular hinge. I would skip down
to B&Q and, if the exact hinge wasn’t there, I would have the
information which allowed me to pick an alternative. Sorted.
I could move on to breaking the next thing confident that
the strength of my data will see me through.
most evident reference in the physical environment is not
searchable in the information environment.
When you consider that a normal offshore platform might
have 30,000 documents but 150,000 tagged items, each
with 35 pieces of data recorded against them, the scale of
the inefficiency becomes apparent. The delay this has caused
over the years has certainly cost millions in down time.
However, we are now making progress in a number of
ways. International standards exist, though are not yet
comprehensive. Two way links between the document
number and tag numbers are being retrofitted by operations.
We also recognise that there is value in both the data that
describes a requirement, and the data that describes the item
fulfilling this requirement. Historically, the latter overwrote
the former and we ended up knowing what was in place, but
not why it was in place.
We are encouraging operations to define their data
requirements and to ensure subsequent projects meet this
standard. We want to cascade this down the supply chain to
make data capture efficient and easy for every organisation.
There are also services available in which a single data source
for an entire industry is built so all you need do is provide a
single pointer to that system.
New technologies are in the early stages of deployment, for
example Google Streetview style image capture on offshore
installations and 3D models are beginning to replace drawings
as a means of communicating design in some instances.
The biggest challenge, however, is still the people.
Projects engineers are powerful; even if there is a contractual
requirement for a third party to provide data, if they don’t
recognise its necessity they can negotiate it away in favour
of completing on time and in budget. Even when they
keep to the data requirement they have a new and deeply
uninteresting task of checking data quality. Unless the
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his year, Jee Ltd celebrates its 25th
anniversary. From its beginnings as a
one-person consultancy, the company has
grown to become a leading independent
multi-discipline subsea engineering and
training firm, with a team of 90 and three offices located
around the UK.
Jee was founded by Trevor Jee in 1988 and Mike Hawkins
joined as the first full-time staff member soon after. He has
been with Jee for more than 20 years and has witnessed the
company’s phenomenal growth first-hand. Now working as
Jee’s technical director, Mike shares his thoughts on his time
with the company and his experiences of working in the oil
and gas sector.
QWhat brought you into the oil and gas industry?
My involvement is due largely to my family – my
father was a mechanical engineer in the oil industry
and I wanted to follow a similar career path. The North
Sea was relatively young when I started out and it was
an exciting time to join the sector. I knew it would be a
stimulating career that could teach me a lot and provide
new experiences.
As I have progressed within the oil and gas industry, I have
seen many advancements and my position at Jee has allowed
me to be involved with large changes within the industry, as
well as the company.
T
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Valuable
MikE Hawkins of Jee Ltd discusses his experiences of working at a successfuL business in the oiL and gas industry
BelowMike hawkins,technical director of Jee Ltd
Lead two
how we can continue progressing to remain a company of
choice for the subsea industry.
QHow have you seen the oil and gas industry develop
during your 20 years in the workforce?
From legislation reform to technological innovation, I have seen
the industry transform tremendously in the past two decades.
Charting advancements in the sector, Jee has adapted with cost-
effective and integrated engineering solutions, and has grown its
offerings to stay in step with the ever-changing industry.
Within Jee, we have transformed from a small consultancy
to a full-service company fulfilling large contracts for
international clients. Not only has the company added a
QHow did you get started at Jee Ltd?
I had an existing relationship with Trevor from the
early days working together at BP. When Trevor founded
Jee, the staff comprised just himself and a secretary. On his
request, I began doing some freelance consulting for the
company and, as the workload continued to grow, Trevor
reached the point where he wanted to take on full-time staff.
At the time I was working for a large company and going
from that to a smaller business was a challenge, but it also
provided an exciting opportunity to help actively grow the
company through an organic growth strategy.
One of the most rewarding aspects of working at Jee
has been watching the company evolve. I have seen many
developments in my time here, and look forward to seeing
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to further expand our expertise in flow assurance capabilities,
increased materials capabilities and structural design. We
have recently completed a large renewables project and will
use the experience gained from this to continue expanding
our focus in the field.
Employing openness to change and modernisation is
what has helped Jee achieve its lasting longevity and will be
necessary for all companies working in the oil and gas industry.
QWhat developments do you expect to see within Jee in the
next five years?
Jee is currently focusing on an aggressive growth strategy,
aiming to increase our workforce from 90 to 150 in the
next four years. This year, we opened an office in central
London to attract new staff as well as give a more localised
service to our clients in the area. We have already seen
staff numbers there grow exponentially and we anticipate
seeing this continue. We are also moving our Aberdeen
office to a location double its size to accommodate growing
client requirements.
Though not currently under development, but certainly
within the longer term, it is inevitable that we will open an
office in the US. We still have plenty of scope for growth
within the UK sector at the moment but in the future
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range of additional services and capabilities during my
time here, but also I have seen our roster of clients grow
as Jee became recognised for its technical excellence and
commitment to service.
In the beginning, the company worked exclusively on
pipeline technology. We were able to specialise in a niche
market and could undertake highly technical studies or
pieces of work, but such specialisation inevitably limited
the size of the company. The decision to move from being
purely a pipeline company was one made quite deliberately,
as it enabled the business to continue to grow by fulfilling
the needs of our customers and provide whole life of field
engineering to their projects. By expanding our staff and
introducing new expertise in structures, controls, materials,
installation, decommissioning and renewables, we have
allowed Jee to not only grow, but also to thrive.
QWhat have been some milestones of your time within the
industry?
One of the biggest achievements during my time at Jee is also
a milestone of the oil and gas industry as a whole. In one
of my early pieces of work with the company, I assisted in
convening a joint industry project (JIP) on pipeline trenching
in connection with the British government.
In 1995, Jee managed the Trenching Guidelines Joint
Industry Project, which accomplished a change in design
philosophy for small diameter pipelines. For nearly two
years, we managed this project, which involved collaboration
from more than 20 companies within the industry, to
develop design methodologies and data to enable operators
to install pipelines without trenching.
The JIP provided influential change for the industry and
proved financially successful. The resulting government
guideline was especially significant in certain locations
around the North Sea and West of Shetland, saving
considerable installation costs for operators.
Internally, one of Jee’s major milestones was introducing a
management team and board of directors within the company.
Ten years ago, Jee’s workforce was primarily composed of
engineers. We realised that to take the company further, we
needed to have a team who could manage technical contracts,
as well as a board who could decide company strategy.
By adding both of these, we moved from a small group of
consultants doing engineering studies to a fully-fledged
engineering company able to complete major projects.
QHow can oil and gas companies such as Jee ensure they
continue to grow and thrive in the industry?
I think innovation is the most important aspect of
this industry. Companies have to be able to adapt
and encourage their staff members to examine novel
approaches and devise new solutions, rather than remain
stagnant with existing policies.
At Jee, we are identifying new skills that we want to
develop within the company to broaden our range of
integrated engineering capabilities. We are currently looking
Jee LtdJee Ltd is a leading independent multi-discipline subsea engineering and training company, focussing on the oil, gas and renewables industries. The company employs a high ratio of chartered engineers to graduates and continues to grow as a centre of excellence. Its projects range from integrity management to decommissioning and analysis.
For further information please visit:jee.co.uk
Lead two
we will be looking to expand overseas and America is a
natural choice.
Our focus on expansion is also seen in our engineering
courses. Jee offers a wide variety of courses that are
continually adapted to the changing industry. Similar to our
engineering capabilities, we add new course subjects as the
industry demands. Currently, we are developing new courses
in the renewables area as we advance our skills in that field.
Our portfolio will continue to evolve as the company grows
and furthers its range of expertise.
QWhat developments do you expect to see in the coming
years for European oil and gas?
The European offshore oil and gas industry is now mature,
which brings very specific issues and drivers. Cost-effective
safe operation of aging assets, extension of the life of
assets beyond original design life, reduction of the cost
of new developments and efficient decommissioning of
infrastructure will be brought to the forefront. Operators will
have to put organised plans in place to effectively deal with
these initiatives.
Lifetime extension (LTE) will continue to become more
prevalent in the industry in the coming years to enable safe
operation of existing assets and infrastructure beyond its
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original design intent. At Jee, we are working consistently on
LTE projects and have contributed to the authorship of ISO
12747, an internationally recognised code addressing LTE for
rigid metallic pipelines.
The industry will also be driven towards low-cost options
for development of subsea tie-backs to maximise viable
production from depleting fields. Alternative novel techniques
for pipeline installation could become extremely valuable if
savings over conventional installation methods can be proven.
The engineers and staff at Jee will keep a close eye on this
and other industry advancements to remain at the forefront of
technology and practice, and to ensure we continually deliver
optimal service to our current and future clients.
One of the biggest achievements during my time at Jee is also a milestone of the oil and gas industry as a whole. In one of my early pieces of work with the company, I assisted in convening a joint industry project (JIP) on pipeline trenching in connection with the British government
solutions that free up time for the planners to experiment
with new ideas and to drive innovation. If planners can
look at alternatives they can make more money and drive
additional profit for the plant. So, software solutions need
to help refineries to increase the time that they can spend
on exploring those new ideas and testing them to drive
enhanced profits. In terms of economic modeling, planners
will spend time looking at what crudes to purchase at the
front end and assess the most economical way to produce
feedstock and turn them into profitable products.
Driving better decisionsIn developing solutions, refiners need to be aware of the
challenging, yet pivotal role played by refinery planners -
individuals who typically have to make a raft of difficult
decisions in tight timeframes. Important decisions are
sometimes made without much detailed information
because it is difficult to anticipate problems or disruptions
to supply, and predict prevailing market conditions that
are likely to occur three to six months ahead and beyond.
Planners typically have a lot of responsibility, albeit that
they often work in isolation or small groups and without
much assistance.
In many refineries, there is just one planner based on site
and sometimes several at corporate headquarters. Adding
further to their pressures, planners also need to continuously
report to senior management in a timely manner how
operations are proceeding on a daily basis while making
assessments about which trading areas are likely to be most
commercially advantageous in the near future. Critically
too, planners have to keep three distinct groups happy;
management, who principally want to ensure that the plant
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arsh economic realities are making
commercial objectives difficult to achieve
for refiners worldwide. Refineries are
becoming more heavily integrated into the
global supply chain and there is the need
to be more responsive to pricing fluctuations and changing
demand in the market place. Most refineries are struggling to
achieve profit levels witnessed prior to the global recession
as they try to place their products into, what is for many a
shrinking marketplace.
Effective refinery planning is the foundation for refinery
profitability. Every day, decisions are made that will affect
the financial performance of the operation. Investment in
leading-edge software can play a significant role in helping
planners make the right economic decisions and maximise
refinery margins.
Changing landscapeBefore the economic downturn, a typical refinery’s principal
goal was to maximise throughput in the safe knowledge
that the company’s trading organisation would be able to
profitably place the products into the market. The situation
for many has radically shifted. Downward pressures on
refining margins have led to a more dynamic planning
environment as refiners are forced to look at a range of
options in a bid to become more profitable. For example,
many refiners have considered a much wider array of crude
oil feedstocks than ever before in order to find the elusive
optimum slate that will yield the highest margins.
In this new environment, streamlining the operational
process has become increasingly important as a means
of helping drive profitability. The key here is to find
H
EriC pEtEla on achieving a step-change in refinery planning
plansperfect
The majority of the world’s refining operations are
planned with Aspen PIMS, making it the industry-leading
production planning and optimisation product. New,
powerful analytics in PIMS yield faster and better evaluation
of crudes available in the open market as crude cost is the
major expense for all refineries the ability to determine
crude choices quickly and accurately supports the planning
process and enhances refinery profitability. Aspen PIMS
Platinum, recently launched by AspenTech, is a significant
enhancement to the PIMS family and provides a new
experience for the user. The post solution analysis capability
has been significantly enhanced with a new set of features
including 2-d and 3-d graphs. The key to PIMS Platinum
is that the software product enables planners to better
understand the options quickly and ensure the best choice
can be made. This powerful tool is the perfect workhorse
to evaluate all the options and make the best economic
decisions for business.
Paul Gallagher, refinery planning manager, Samsung
Engineering recently commented “Aspen PIMS Platinum
is the way that planners can make decisions, making it
faster and easier. The post solution analysis capability has
been significantly enhanced with this new set of features,
including 2-d and 3-d graphs. Seeing the LP solution space
visually is a sea-change in planning analysis and should
result in better plans and greater profitability.”
Bottom line resultsEvery refinery has seen the dynamics of their business
change significantly due to the economic downturn.
Understanding where opportunities exist is paramount for
making sound, swift business decisions. Getting the refinery
production strategy right is of great importance to ensure
profitability. Through leading-edge planning software,
refiners can rapidly respond to changing market conditions
or upsets in their operations. With powerful tools, such as
Aspen PIMS Platinum, planners will make crucial and timely
decisions that drive powerful results.
AspenTechEric Petela is director, business consulting at AspenTech, a leading supplier of software that optimises process manufacturing for energy, chemicals, pharmaceuticals, engineering and construction, and other industries that manufacture and produce products from a chemical process. With integrated aspenONE solutions, process manufacturers can implement best practices for optimising their engineering, manufacturing and supply chain operations. As a result, AspenTech customers are better able to increase capacity, improve margins, reduce costs and become more energy efficient.
For further information please visit:aspentech.com
Special feature - Refinery management
is running efficiently and profitably; operations teams whose
overriding concern is safety and compliance; commercial
teams who are fundamentally focused on driving profit. The
intensity of work, the constant need to create, publish and
share plans, creates its own challenges and means there is
little time to explore alternative approaches or devise new
innovative techniques and methodologies.
The main purpose of the refinery planner, however, is to
apply effective processes to develop the monthly refinery
operating plans. By selecting and acquiring the best value
crude the planner can help to maximise operating margins and
maintain a robust supply chain. In view of the dynamic nature
of oil markets, it is vital to be continually aware of supply
demand balances and capitalise on opportunities. Speed is
becoming critically important as speed of response can make
the difference between a profitable trade happening or not.
How leading-edge software can helpSuccessful planning requires the integration of proven
technologies with industry best practices to deliver the
highest value. The approach needs to drive the efficiency
of the hard-pressed refinery planner while also driving
the efficiency and ultimately profitability. State-of-the-art
planning software, such as Aspen PIMS, is able to harness
vast data quantities - the thousands and thousands of
numbers that production planning and processing solutions
generate. By also turning these data into pictures, planners
can assimilate all the important information and evaluate
multiple scenarios quickly. This software capability is
essential to making the difficult job of the planner easier to
perform effectively, while also driving the efficiency of the
refinery itself.
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Groundbreaking in terms of its size
and strategic importance, the South Hook LNG
Terminal is one of Europe’s largest liquefied
natural gas (LNG) re-gasification terminals.
Fully commissioned in 2010, it has the capacity
to process 15.6 million tonnes of LNG annually,
representing up to 20 per cent of the UK’s
natural gas demand. Based in the deep water
port of Milford Haven, Pembrokeshire, Wales,
the Terminal offers easy access for large LNG
carriers and reduced transportation costs due to
its location on the UK’s west coast.
Three of the world’s most experienced energy
companies came together in this visionary project
as part of a joint venture. The shareholders
of South Hook LNG Terminal are affiliates of
Qatar Petroleum International, with a 67.5
per cent share, ExxonMobil, with 24.15 per
cent, and Total, with 8.35 per cent. “A clear
accomplishment of the Terminal is that, since
we began First Phase operations in 2009, we
have safely received 300 LNG shipments at the
Terminal, which is an achievement we are very
proud of,” says Yasser S. Al Jaidah, who became
General Manager of the South Hook LNG
Terminal in August 2012.
Appointed to the head position by
shareholders due to his previous experience
and involvement in major international projects
in the oil and gas industry, Yasser was the Inlet
Facilities Project Lead for the RasGas Expansion
Phase Two Project and also held the position
of Project Execution Engineer in Houston for
ExxonMobil. “I have worked on four continents
and held senior positions in a number of areas,
most recently as General Manager of the RasGas
Korea Liaison Office,” said Yasser.
Keen to bring his expertise and enthusiasm
to the Terminal, Yasser already has a clear vision
on how he can continue taking the business
forward: “I am committed to making sure the
company’s highest regard for operational safety
standards are upheld and to build on South
Hook LNG’s reputation for safety, reliability and
security. I will also work actively to safeguard the
company’s legacy to the local community and the
environment in which we operate. Our greatest
asset as a company is our people. Key to my
leadership will be their continued development.”
Over the last few years there has been a
decline in UK Continental Shelf gas reserves,
raising the importance for the UK to gain more
diverse and secure supplies of energy. South
Hook Gas Company Limited, a separate entity
in the UK, is responsible for LNG imports,
the Terminal’s capacity and commercial
arrangements, and is helping to improve energy
security and diversity by signing agreements
with companies such as ConocoPhillips, Total
and Chevron to enable them to potentially bring
in more cargoes of LNG via the South Hook
LNG Terminal. South Hook Gas’ core business
though is to import LNG from Qatar and sell
natural gas to ExxonMobil Gas Marketing
Europe Ltd.
As Qatar’s first involvement in a foreign
important
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Strategically
proFilE south hook lnG tErminal Company
BelowYasser S. Al Jaidah, Director and General Manager of South Hook LNG Terminal Company
South Hook LNG Terminal Company Ltdsouthhooklng.com
ServicesLNG Terminal operator
capacity adjacent to the existing Terminal. The
shareholders are Qatar Petroleum International
Ltd., ExxonMobil Power Ltd. and Total Gas
and Power Business Services S.A.S. The CHP
facility would provide electricity to the existing
Terminal and the balance would be exported
off-site. The proposed plant, for which an
application for development consent has been
submitted, will have the capacity to meet the
electricity needs of 900,000 homes and will
significantly lower the gas use and emissions
of the LNG Terminal by providing heat that
can be used for LNG regasification. “The South
Hook CHP project is being considered by our
shareholders. Although a separate entity from
South Hook LNG Terminal Company Ltd, we
are keen to share our values and high standards
with this potential new development and are
working closely with the South Hook CHP team
as they progress the consultation and consenting
process,” says Yasser.
Proud of the high standards maintained and
the transparency of its operations, Yasser is
optimistic about the future of the company and
what it can continue to offer to the country. “LNG
continues to offer strong benefits to the UK; it
improves our security in energy supplies and
reduces carbon emissions. The Terminal holds a
significant role, not just by being part of the UK’s
energy infrastructure, but also by strengthening the
strategic relationship between the UK and Qatar.
We are incredibly proud to be part of this venture
and remain committed to the safe and reliable
operation of the Terminal,” he concludes.
downstream terminal, South Hook LNG
Terminal is proud to be one of the major
contributors to the diversity of UK energy. The
supply chain starts 3500 miles away in Qatar’s
North Field gas reserves in the Arabian Gulf,
the single largest non-associated gas reservoir in
the world, with an estimated 900 trillion cubic
feet of proven reserves. The natural gas is then
piped from the gas fields to a processing plant in
Ras Laffan Industrial City where it is processed
and liquefied through cooling. The liquefied
natural gas is stored at sub-zero temperatures in
insulated storage tanks before being transported
by sea. The state-of-the-art double-hulled ships
are designed specifically to accommodate the
low temperatures of LNG and the cargo requires
no pressurisation or refrigeration throughout the
voyage to maintain it in a liquid state.
Once at South Hook LNG Terminal, the cargo
is pumped ashore into double-walled, insulated
non-pressurised tanks that act similarly to large
thermos flasks. When natural gas is required, the
LNG is warmed until it reverts to its gaseous state
and enters the National Transmission System,
reaching homes and industries across the UK.
South Hook LNG Terminal cost $1.7 billion to
build, demonstrating the long-term commitment
of its shareholders to the UK market. “As one
of the largest LNG facilities in Europe, the safe,
successful and reliable regasification of natural
gas is our main objective,” says Yasser.
Yasser welcomes the proposed development
of a high efficiency, low-carbon combined heat
and power (CHP) plant of up to 500 MW
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proFilE south hook lng tErminal Company
As one of the largest LNG facilities in Europe, the safe, successful and reliable regasification of natural gas is our main objective”
Different materialsSubsea pipelines and equipment need insulation to assist
flow assurance from quite low temperatures so productivity
can be increased. But there is only one known material
capable of withstanding the heat and pressure in deepwater
environments in excess of 3000 metres and at temperatures
of as much as 185°C.
Traditionally, the industry relied upon technologies such
as Polyurethane materials. These were applied by ‘pump-in-
place’ methods and were limited to around 120°C operating
temperatures. Furthermore, field experience has shown that
Polyurethane can fail at temperatures as low as 85°C when
exposed to heat in a seawater environment. Hydrolysis can
take place causing catastrophic failure.
Another limitation of both Polyurethane and its
alternative, the Epoxy-resin based material, is that these
materials shrink on curing, requiring attention at application
stage, but also causing stress loading and risk of joint failure.
So what alternatives are there to overcome these risks?
Both Polypropylene and natural rubber can also be used, but
the former is limited to 140°C and can only be applied in the
factory rather than on location, which significantly inhibits
its usefulness in practical applications. The latter, meanwhile,
requires vulcanisation at a special facility, which also limits
practicality when applying.
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nnovative subsea structure technology
is key to the future of oil and gas, where
challenging extremes of temperature
and pressure are becoming unavoidable
problems faced by operators in new
developments in the more remote areas of subsea topography.
It is no surprise pipework in these sometimes unpredictable
deepwater environments will depend upon a resilient
insulation material that can cope with these extremes.
go with the flowThermal insulation is an integral part of the design of many
offshore systems, especially in deep waters. This is because
effective insulation of subsea structures helps maintain flow
rates, optimise productivity and reduce processing costs.
More specifically, subsea thermal insulation materials are
critical to guard against the build-up of waxes and hydrate
crystals in the reservoir fluids, which can occur when the
wells are shut in and the hot fluid hydrocarbon is cooled by
the low seawater temperature at the seabed.
Unchecked, these deposits can quickly build up and cause
loss of flow or even a blockage. Downtime means a loss of
revenue, and blockages are expensive to rectify, representing
a loss on a considerable investment. The greater the depth,
the more expensive the intervention.
anDrEw BEnnion looks at how the development of phenolic composite insulation materials is unlocking a new era in oil and gas
material
Belowandrew Bennion, managing director of advanced insulation plc
I
The C55 composite syntactic foam layer sits under
multiple glass fibre layers impregnated with phenolic resin
to form a tough outer skin of nominal 4mm thickness.
There are several ContraTherm material grades individually
developed for differing water depth requirements. Some
of the latest offshore operations in locations such as West
Africa or Brazil are taking place at depths of up to 3000
metres beneath the sea, where equipment must withstand
temperature ranges of -50°C to 185°C, and cope with
pressures of up to 300Bar.
Physical tests on both dry and saturated material simulate
accelerated ageing, which have shown that insulation
materials can maintain their performance characteristics until
the end of the field life.
For example, among our many tests, we use thermal
shock tests in which hot oil at 121°C is introduced into
the inside of a pipe as rapidly as possible then allowed to
cool. Even when repeated five times, this test found no
cracking, delamination of disbondment either between the
ContraTherm layers or between the ContraTherm substrate.
Fire proofingIn topside asset protection, elevated production temperatures
at the wellhead translate to increased processing equipment
operating temperatures, and coupled with moves to more
and more hostile production theatres there are again few
alternatives to phenolic-based fire protective coatings.
For instance, in places such as Kazakhstan the
environmental temperature can vary from -50° to +50°C over
the year and combined with elevated operating temperature
of around 150°C this presents a considerable material
selection challenge to the fire protection engineer.
With offshore oil and gas exploration beset by increasingly
harsher environments and long distance deepwater gas
transportation becoming an ever pervasive challenge, the age
of easy oil seems to be drawing to a close. A relatively ancient
material has found a new lease of life. Indeed the future of oil
and gas exploration looks like it will depend on it.
AdvAnced InsulAtIon plcAndrew Bennion is managing director of Advanced Insulation plc, a company that specialises in the manufacture and application of unique syntactic phenolic resin based foam insulation and fire protection systems. Advanced Insulation is a single source supplier for insulation and fire protection systems to the oil and gas industry and represents one of the most respected and progressive names in topside and subsea insulation worldwide.
For further information please visit:aisplc.com
Technology
Deepwater performanceA team of materials scientists at AI’s Research and
Development facility in Gloucestershire has found a way to
unlock the new boom in oil and gas in remote areas using
phenolic composites – one of the oldest types of plastic
known to man.
Such deep drilling requires a composite that can control
flow of fluids at a stable temperature, and at these extremes
there is no more resilient insulation material than a phenolic
composite. In fact, we believe that this relatively ancient
material is the key to many of the world’s most recent
oilfields, and surprisingly it is a close relative to Bakelite, a
plastic that dates back over 100 years.
It is now critical for operators developing subsea oil and
gas fields to transport unprocessed hydrocarbons, usually at
high pressure and high temperature, over longer and longer
distances on the surface of the ocean floor.
If the structure isn’t sufficiently insulated the hydrocarbons
will cool, leading to the aforementioned blockages and the
risks and costs associated with them. The hydrostatic pressure
capability of a resin-based phenolic composite allows safe
flow in ever more inhospitable and extreme environments.
Phenomenal phenolicsThis phenolic material has already been used to manufacture
insulation products that have been proven in action in
oil and gas developments around the world. The unique
thermal insulation properties of the products, such as our
ContraTherm® C55 on subsea pipelines and equipment,
have generated repeat client demand and led to substantial
business growth for AI. In anticipation of future oilfield
developments, testing has even been carried out to
temperatures up to 200°C.
Heat proofing foamSyntactic foams have been used in the offshore industry
for more than 30 years because they have low thermal
conductivity and maintain a robust mechanical structure.
Even the most advanced materials, such as a multi-layer
syntactic phenolic composite system, have properties that
can be tailored to meet specific project requirements.
The future of oil and gas exploration will depend
on cutting-edge research and development into the
advancement of materials. The material evaluation process
is split into two main categories, material definition and full
scale performance testing. Our own ContraTherm has been
developed thanks to continuing research and development
within our laboratories and through qualification
programmes sometimes involving third party facilities. In
developing the materials, a constant focus was maintained on
the critical parameters required of high temperature and high
pressure insulation materials.
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Construction of the port initially began in
1978 as part of the economic development of
the UAE, with full operations beginning in 1983,
giving it a long heritage in port and terminal
operations. Since then the Port has embarked on
a continuous process of enhancement to both its
facilities, and comprehensive range of services.
These include handling of general cargo, bulk
cargo, wet bulk cargo, container activity, and
facilities for small supply craft users and agents.
The Port benefits from a draft of 15-metres and
1.4 kilometre long main quay. It has a number
of different berths for container, general, and
bulk cargo, and two oil terminals commissioned
in 2006 and 2010 respectively. Oil Terminal
1 is home to three berths with the ability to
accommodate tankers of up to 110,000 tonnes,
whilst Oil Terminal 2 has four berths and a draft
of 18-metres allowing larger vessels to call.
Container operations at the port began in
1982, since which time it has built up a long
expertise in road relay, consolidation and
The Port of Fujairah is the only
multi-purpose port on the eastern seaboard
of the United Arab Emirates (UAE). Located
approximately 70 nautical miles from the
Straits of Hormuz, the Port is positioned at the
crossroads of shipping lines between east and
west making it one of the Emirate’s most vital
facilities, as well as an important hub for the
market activities of the Indian sub-continent and
East Africa.
hubAn important
PROFILE PORT OF FujaIRah auThORITy
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PROFILE PORt OF FujaIRah authORIty
The Port benefits from a draft of 15-metres and 1.4 kilometre long main quay. It has a number of different berths for container, general, and bulk cargo, and two oil terminals commissioned in 2006 and 2010 respectively
deconsolidation, sea/air cargo, and transhipment
services. The Port’s alliance with DP World as
the concessionaries for container cargo has also
strengthened its position amongst the global
network of container ports.
In terms of more general cargo, the Port also
handles a significant proportion of the steel
billets, steel bars, copper concentrate, chrome
ore, iron ore, coal, bagged aluminium hydroxide,
and industrial salt which moves to and from
the UAE, GCC countries and beyond. A major
proportion of project cargo associated with
the UAE Federal Qidfa Desalination plant was
handled successfully through the Port.
As well as a paved storage area of 500,000
square metres which can accommodate general
and project cargo, cars, and containers, the Port
has additional compacted land of approximately
150,000 square metres available for temporary
pre-shipment or post-shipment storage.
Also present at the port is Fujairah Anchorage,
which offers an efficient and varied one-stop-
shop service for up to 100 vessels at any time.
Calling vessels can secure bunkering, ship supply,
ship repair, spare parts, and inspection services,
as well as crew changes to and from anchorage.
In order to keep accommodating the growing,
and diverse, volumes that look to take advantage
of its attractive location, the Port of Fujairah has
long subscribed to a strategy of investment. It
is not only the Authority itself though that sees
the benefit of this approach, private external
companies also fund developments within the
port and surrounding area.
One notable project has been the completion
of the Abu Dhabi Crude Oil Pipeline (ADCOP),
which will carry between one and 1.5 million
b/d per day via a 360-kilometre pipeline. This
feeds into 12 million bbl of storage capacity, and
then onto export through three subsea pipelines
and three single point mooring buoys for deep
water loading.
Another recent development is the UAE
Federal Grain Reserve, which in its first phase
contains 250,000 tonnes of grain silo storage,
conveyors, and load and discharge arms. Plans
are already in place for a second phase of
development that will see this capacity increased
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ArchipelAgo Middle eAst shipping llcArchipelago Middle East Shipping LLC (AMES) is well aware of the role of a Port Authority to be of assistance in shaping the broadness of business functionality of its partner operators. AMES’ strong local relationship with Port Of Fujairah (POF), and POF’s continuing process of enhancing their facilities and comprehensive range of functions, widely helps us to provide pure and complete ship agency services to vessel owners, charterers and managers. POF’s up-to-date shipping information enables us to extend high quality service to the clients attuned to the reality in which we work.
Port of Fujairah Authorityfujairahport.ae
ServicesMulti-purpose port
to 750,000 tonnes.
Earlier this year a new observation tower was
inaugurated at the port in the midst of Fujairah
Bunkering Week 2013. Fifty-three metres in
height, the tower is shaped like the letter F of
the Port of Fujairah logo and equipped with
radars, navigation systems, and a state-of-the-art
system for calling vessels. It was constructed as
part of an ongoing programme to enhance the
port and increase its capacity to accommodate
more inbound and outbound operations.
The tower will also help the Port of Fujairah
to offer customer service that is on par with
international standards.
Furthermore the port has installed eight
Tideland SB-285P lateral mark buoys north of
the port to mark a new passage where the Port
Authority provides services for the ADCOP. The
buoys are equipped with SolaNOVA-65 self-
contained LED lanterns, the first to be supplied
in the Middle East, and AIS AtoN systems to
communicate with vessels in the vicinity. This
equipment transmits a range of information such
as its position to vessels approaching the port,
and sends a remote monitoring signal back to
base. These are picked up and routed through
to the AIS display system situated in the newly-
built observation tower.
Elsewhere, private companies are continuing
with the construction of additional tank storage
to cater for trading and bunkering activity, and
new terminal facilities. This is a particular point
of focus for the Port which aims to raise capacity
from around six million cubic metres to ten
million by 2014. This is in response to booming
demand from the Middle East and Asia, which
could see the Port of Fujairah rival the world’s
top bunkering hubs.
With additional berths also scheduled for
delivery, and projects like the ADCOP come
to fruition, oil is clearly a target market for
the port when it comes to making the best
use of its position. Also in the pipeline is the
new Fujairah Refinery, which is expected to
become operational around the end of 2016.
It is designed initially to produce 200,000 b/d
per day, primarily using feedstock from the
ADCOP, but can also import different grades of
crude through the port. Planning has not only
focused on the facility itself, but also the services
required around it, particularly if products are to
be exported.
Even those sub-trends such as LNG, which
the Port may not be able to cater for directly
through its berth and storage structure, are still
being fulfilled in the area as a result of private
investment. At present a separate LNG facility
to the north of the port is being developed by
Mubadalla and IPIC, and as for all commercial
activity in Fujairah waters the Port will supply
the necessary marine services.
Whilst the Port of Fujairah clearly has a lot
to offer its customer base, its success is not only
down to its favourable location. From the very
beginning the port has grown alongside its market,
enhancing and adding new capabilities to mirror
the requirements it sees. By having a structure that
allows for this evolution, and the determination
to succeed, the port has become a strong marine
logistics hub. Although the acceleration of
investment has seen it become an increasingly
internationally important oil centre, the Port is
not focusing on growth in one area through the
sacrifice of others. As such, it continues to build
on both its oil-based and non-oil activities to
ensure an enduring high level of service.
PROFILE PORt OF FujaIRah authORIty
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A.Hak Drillcon BV is a specialist in
horizontal directional drilling (HDD) crossings,
direct pipe drilling methods, micro tunnelling,
and auger drilling. Typical applications for A.Hak
Drillcon’s services include pipelines for gas
transmission, kerosene and oil transportation,
fresh and wastewater, telecommunications
connections, heat transport systems, landfalls,
culverts, inverted siphons, drainage systems, and
low-, middle- and high-tension connections. The
company is focused on providing a full service to
its clients, which means as well as maintaining
its own engineering department, A.Hak Drillcon
also operates its own fleet of in-use designed
rigs. These vary in terms of size and application,
from the three-tonne HDD mini drill rig up to
the 500 tonne HDD mega drill rig, allowing
A.Hak Drillcon to execute a wide scope of
projects whether large or small.
Ronald van Krieken, managing director of
A.Hak Drillcon, highlighted that the 500 tonne
rig mentioned above is a very new investment,
which was only delivered at the end of June
2013: “This is our newest HDD rig end and it is
one of the largest rigs in the world,” he said. “In
addition last year we made an acquisition and
invested in five other new rigs, this time of 400
tonne pull back force.”
He continued: “It is one of our unique selling
points that we have a lot of HDD rigs, and
companyA family
PROFILE A.HAk DRILLcOn
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started another significant project, this time
working with A.Hak Leidingbouw, building a
60-kilometre high-pressure transport pipeline.
Said Ronald: “This is in the north west part
of Holland, close to the city of Amsterdam so
comes with a lot of infrastructure challenges.
We have to make 12 HDD crossings with
drilling lengths of about 800 metres to 1250
metres. The first crossing on that project has
been completed, and that was the largest one,
of 1250 metres from Amsterdam harbour to
the North Sea.”
Ronald was also keen to highlight a very
special design and construct project for
A.Hak Drillcon, which is called the Shore
Approach, also located in the north west of
Holland. “This is a unique contract so we
are responsible for the engineering and the
supply of the pipe, as well as the drilling,” he
explained. “We will drill a PE plastic pipe of
42 inches with a length of 1000 metres into
the sea. This incorporates new environmental
challenges as we are drilling from the beach
and so we have to take into account all local
activities - from people to animals.”
This required some creative thinking and as
Ronald explained, A.Hak Drillcon came up with
an original concept: “Normally we would have
several trucks transporting pipe over the beach
and then we would need to weld the pipeline
into one straight one km length on the beach
as well. Instead we negotiated with the supplier
of the pipeline to make it in one piece of 1000
metres and it’s coming on a boat from Norway
directly to our jobsite.”
From looking at all these new contracts, it is
clearly an exciting time for A.Hak Drillcon, but
nevertheless the company is always looking
for new opportunities. Ronald agreed, and
highlighted that the business had very recently
set up a drilling company in Nigeria, together
with a local company that is specialised in
pipeline work. “We will have our own yard
thanks to our history in this industry we also
have a team of very experienced and skilled
people to operate them. Many of our employees
have over 15 years experience in HDD and this
gives us a big advantage, especially on contracts
for difficult and large crossings. So for example,
we worked on a job in Columbia a few months
ago, where we created a very large crossing
of 1500 metres for a 42-inch gas pipe in very
difficult soil conditions, on budget and on time.
After finishing that job our client give us several
other jobs to do in Columbia, and in fact we still
are drilling over there now.”
This sort of large project is where A.Hak
Drillcon can really shine and in May 2013 it
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We will work together over the next two to three years and hopefully create a drilling technique that should make it possible to do longer crossings than are possible at the moment. This will mean we can achieve a drilling length over 3000 metres
A.Hak Drillcon a-hakdrillcon.nl
ServicesSpecialist in trenchless technologies
to strength, always supported by its parent
company, the A. Hak Park Group. As Ronald
concluded, this backing has contributed to its
impressive development: “A.Hak is a family
company and this makes it much easier to
invest in people and equipment,” he said.
“After a simple phone call or meeting with the
owner of the company, we can move quickly
with our decisions and that has really helped
in our success.”
and rigs very shortly in the south of Nigeria
and we will be drilling a lot of oil and gas
pipelines over there.”
He continued: “There is a lot of work in
Nigeria, for pipelines and river crossings, so
for example, Shell is considering using HDD
methods for all its installations instead of normal
dredging, because there have been issues in the
country with pipelines being damaged when
people steal oil. When we use HDD we are at a
depth of at least 15 metres so nobody can come
into contact with the pipeline.” A.Hak Drillcon
will be using this new division to gain more
contracts in Nigeria in the future, as well as in
the wider West African region.
“This will be one of our key areas, alongside
Europe and South America,” added Ronald.
“Europe is where we are based so is of course
very important to us, and we are always
enhancing our presence across the region –
so for example we exhibited at the No-Dig
exhibition in Germany, and we are already
working on a very exciting 1000 metre crossing
in France, which for us is a real breakthrough to
the French market.”
Ronald previously mentioned working with
Shell, and he noted that A.Hak Drillcon is
very keen to work in close partnership with
clients. In fact, the company and Shell are now
working together on a new drilling technique,
which will make it possible to do longer
drillings in the future.
“Shell had already undertaken some research
and now we have a joint venture,” he said. “We
will work together over the next two to three
years and hopefully create a drilling technique
that should make it possible to do longer
crossings than are possible at the moment. This
will mean we can achieve a drilling length over
3000 metres.”
Since last appearing in European Oil and
Gas A.Hak Drillcon has gone from strength
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fieldExperts in the
One of the world’s leading
manufacturers of cryogenic equipment for the
storage, transportation and handling of liquefied
gases, Cryo AB has long been at the forefront of
this market having developed its first tank in the
1950s. It’s an area that has become the subject
of greater focus as liquefied natural gas (LNG)
grows as a fuel source.
An independent company belonging to the
Linde Engineering Division, Cryo AB gains
several advantages from its parent business
as managing director Lars Persson explains:
“We have direct access to leading experts in
the cryogenic field. Having a strong mother
company also enables us to go for larger
projects, which wouldn’t be possible without
strong financial backing. Linde also has global
functions such as construction, manufacturing
and procurement so we gain synergies in many
fields. We are a relatively small local operator, so
this opens the door to many global markets.”
Based as it is in Gothenburg, Sweden, Cryo
AB built a lot of its expertise in the Scandinavian
and Nordic countries, and continues to lead
projects in these markets today. Notably in 2011
the company completed Sweden’s first LNG
receiving terminal project. It’s an area where it
has continued to secure work in, including a
new project for Scangas.
“This is the second LNG receiving terminal
that Cryo AB has built of this magnitude,
and once complete will be the biggest facility
of its type in Sweden,” describes Lars. “The
project is progressing very well with a target
for mechanical completion of early next year.
We also see opportunities for other upcoming
projects of this size in Scandinavia, so this will
serve as a good reference for those.”
As well as plants, another side of the
business that is growing strongly is distribution
equipment. This has sparked considerable
investment into development by Cryo AB with a
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PROFILE CRyO
Clearly the potential of LNG as a fuel source is massive, and as projects such as these indicate there is still much in the way of development taking place around this
number of new products now coming to market.
This includes the world’s biggest vacuum
insulated tank with a capacity of 1250 m3, and
the largest LNG semi-trailer on the market to
transport up to 60 tonnes of product.
At the same time Cryo AB has launched a new
trailer with the lowest centre of gravity available,
which offers superior road handling. Investment
has not only been into new innovations though.
The company has also upgraded its helium tank
container production facilities in the wake of the
success of this product to enable it to produce
more than 50 units per annum.
“We have extensive cryogenic know-how
having been present in the market since it
began,” highlights Lars. “The combination of
this with our core technology and production
capabilities gives us a very strong proposition.
We also focus on offering complete solutions to
the client including after sales services such as
education, maintenance and support.”
One market where Cryo AB has found
significant scope for its capabilities, particularly
in LNG, is the maritime sector. For over 12 years
the company has supplied energy fuel tanks
for vessels such as ferries and supply ships to
run on LNG, which has both economic and
environmental benefits.
This has since been extended to smaller ships
with the company’s development of the world’s
first marine LNG fuel system for tug boats. The
vessels were ordered by the Norwegian marine
services company Buksér og Berging AS to go
into service in late 2013. The system has been
designed specifically to minimise the space
needed for such equipment onboard the vessel,
which opens up the LNG fuel market to even
small ships.
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Cryo ABcryo.se
ProductsCryogenic equipment
It’s a market that Cryo AB is following on a
global basis, as Lars concludes: “We want to
be a world class provider of EPC services for
LNG terminals in Scandinavia, and a supplier
of leading and innovative onboard LNG fuel
tanks, bunker systems and related solutions
to the global marine industry. We will also
continue with our distribution equipment
arm and other developments borne out of our
experience in cryogenics.”
“This was a unique system that enables the
boat to purely run on LNG, as opposed to
a dual fuel set-up, and therefore minimises
the need to carry different types of fuel. The
solution has been of interest for smaller coastal
vessels such as tug boats and passenger ships,
as its the first time that they have been able
to exploit this fuel, so we expect this to grow
further,” explains Lars.
Going one step further, earlier this year
Cryo AB delivered the world’ first LNG
bunkering ship, which operates within the
Port of Stockholm providing LNG fuel to
Viking Line’s new Viking Grace dual fuel
passenger ferry and other such vessels. This
pioneering project was undertaken for AGA
and involved the conversion of a former ferry
into the bunker boat, which has since been
christened Seagas.
Clearly the potential of LNG as a fuel
source is massive, and as projects such as
these indicate there is still much in the way
of development taking place around this.
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Operating from offices through the
UAE, Seven Seas Services is a leading specialist
contracting company that provides services in
the marine, offshore and building construction
industry. The company, which is part of the
Seven Seas Services Group, employs a team of
dedicated and highly skilled and experienced
design, services and sales engineers and project
supervisors, which enables it to offer services
across the entire Middle East Gulf region.
It is just under a year since Seven Seas Services
was featured in European Oil and Gas Magazine.
At that time (November 2012) the company
was firmly dedicated to continued growth, while
securing its already strong reputation across
the Middle East Gulf. Shahvir Sidhwa, business
development director, recently highlighted some
of the key developments that have happened in
the company.
“One of the biggest recent developments is
that we are in the process of relocating to new
office facilities,” he said. “While this is part of
our natural growth, it is largely down to the fact
that we have expanded quite a lot, having gone
from having roughly 50 office staff to around
75 now, so the new offices will allow us to
accommodate that, as well as increasing our site
workforce to around 250 workers.
“At the same time, we have also been
expanding our workshop facilities quite
significantly with new machinery, tools and
equipment in line with our growth. In terms of
the new equipment, it includes the introduction
of new CNC machines, which we mainly use for
the fabrication of various furnishings, equipment
and similar items that we use in our living
accommodation solutions. There have been other
introductions, so looking at galley equipment
for example; we have invested in stainless steel
cutters, as well as a lot of new equipment for our
carpentry department. Again, that will be used
for a lot of interior and soft furniture items that
we develop, so beds and other similar items. It
all serves to improve our operations and our
efficiency within our workshops. Take the new
CNC machine for example, before some of that
work would have been a manual operation, so
the benefits are obvious.”
This growth has been part of the natural
development of Seven Seas Services. The
company is already a leader in the region, with
its name synonymous with quality and efficient
project delivery. As Shahvir explained, being a
part of the Seven Seas Services Group has been
a key part of the successful development. “The
main benefits that we find are the financial
strength that the group has,” he says. “Seven Seas
Services is just one division of the overall group,
which is quite financially strong. Apart from
the financial strength the corporate structure
of the group gives us advantages too. It is well
structured, which makes it very easy when new
investments need to be made and approved. It’s
not like a big public company for example, where
we would need to go through various committees
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Special
Seven Seas Services LLCsevenseasservices.com
ServicesSpecialist contracting services
looking to expand in the Saudi Arabian market.
We don’t have a full presence there but are
looking for a suitable partner to be working with.
I think it will be a key growth area, particularly
as the Saudi Government is looking to conduct
more marine jobs locally rather than exporting
work, which is the current situation. We have
been in talks with Daman Shipyard to open a
workshop in order to build up a small presence
to begin with, and if we can build our business
there we will certainly grow in that sector.
“Over the coming years we will largely focus
on continuing to grow. We have always been
a contractor for accommodation modules but
whereas before we have always done just the
interior the industry is moving towards more
end-to-end solutions. In order to meet that
demand we will move toward becoming a more
complete provider, offering a total modular
accommodation system where we can provide
the complete service to our clients. That is
where I see us progressing to for the foreseeable
future,” he concluded.
or stages to get a decision approved, but rather
they can be made quickly and effectively for the
benefit of the whole organisation.”
Seven Seas Services provides a wide range
of services to clients in the marine, offshore
and construction industries. The company is
able to supply and install a variety of solutions,
largely for offshore rigs and platforms, but
also for offshore vessels. Its large portfolio
includes traditional items such as turnkey
accommodation solutions, galleys, laundry
rooms, windows, fire doors and cabin doors,
ceilings and walls, toilet and shower modules,
and associated services and equipment.
However, as Shahvir explained, the company
continuously looks to develop new areas
to exploit market opportunities. “We have
recently started manufacturing helidecks,
becoming one of the first companies in the
Middle East to start building them out of
aluminium. Companies are now looking at
using aluminium helidecks instead of steel,
largely because of the weight savings they can
gain. As a consequence clients have looked
further at how they can use aluminium instead
of steel in other areas, so this is something
new that we have moved into. We’ve started
aluminium fabrication, so alongside helidecks
we’ve looked at other types of aluminium
fabrication, such as buildings, accommodation
units, modules and other products.”
Due to its extensive range of services and
solutions, the company is regularly contracted
by some of the leading names in the industry for
large projects. One example is the DOLWIN-2
development, which is the largest offshore wind
platform structure ever commissioned. “This is a
project that we worked on with Dubai Drydocks
World, and it really is a key project for not only
us, but for Drydocks World and the region as
a whole. It is one of the first major NORSOK-
specification projects to have been given to
this region – usually these projects are given to
companies in Germany or Norway for example –
so it is quite a prestigious project to be working
on. It also means that we have had to fulfil quite
a steep learning curve in terms of working to the
NORSOK specifications, but ultimately is quite a
feather in our cap in terms of moving forwards.”
When it comes to the future, the business
is targeting further growth over the coming
years. “Naturally we are looking at moving into
new markets and regions,” said Shahvir. “For
example, we have been co-operating on some
projects with Saudi Aramco recently as we are
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specific client, Amarinth’s solutions fall into a
number of categories: process pumps, seal support
systems, packages and modules, and spares and
service. Its process pumps have a number of
applications, such as oil and gas, chemical and
industrial process, but for the former market the
company offers its API 610 process pumps in
OH2 Horizontal and VS4 Vertical series. Now
in its eleventh edition, the API 610 standard,
which is the specification for centrifugal pumps,
is specifically designed and developed to provide
technical standards for the pumps supplied in oil
and gas related markets such as production, power
plants and refinery operations.
Illustrating the innovative and high quality
approach of Amarinth, its API 610 pumps have
been designed to the latest standards using up to
date software as a heavy duty, minimal wear, long-
life pump that, due to its modular design, provides
clients with a number of options to ensure it meets
the most demanding operational requirements.
This particular Amarinth product is widely
used across the oil and gas industry by many
of the leading companies. In 2008 for example,
Amarinth delivered an API 610 pumping
solution for a major FPSO project by Aker
Floating Production. Aker had a number of
specific requirements for this particular project,
which due to its short lead-time and lack of
final specifications for the pump, required a
flexible and responsive supplier able to provide
high quality pumping solutions at short notice.
Throughout the project the specifications of
the pump changed rapidly yet Amarinth was
able to apply its experience and knowledge to
successfully navigate the process, meeting the
short deadline and providing solutions that met
specified performance and DNV witness tests.
More recently Amarinth was involved in a
three-way consultation project to develop a small
footprint pump and seal support system for the
Amarinth, a leading manufacturer of
pumps for general industrial, chemical and
petrochemical applications, was formed to
utilise the skills, creativity and passion of people
who have worked in the pump industry for
many years. The business, which provides
clients with made-to-order, customised
solutions, can boast more than 300 years’
combined experience among its employees,
making it the pump provider of choice for a
broad range of industries.
The company was formed in 2002 following
the closure of Girdlestone Pumps, itself a
well-recognised and highly experienced pump
manufacturer. Continuing the quality work
and retaining the knowledge of its employees,
Amarinth was able to develop quickly. In fact,
after initially concentrating on building its
reputation in the UK the company quickly and
successfully expanded overseas, where it now
exports more than 80 per cent of its products.
Today Amarinth offers a large range of
pumps and associated solutions, all of which
are engineered-to-order and tailored to meet
the exact requirements of the individual
client according to the highest international
standards and cutting-edge technology. It does
this through a dedication to customer-oriented
service, placing the highest possible emphasis
on customer satisfaction delivered through
exceptional manufacturing capabilities and an
unwavering focus on innovation.
While its products are custom made for a
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successDeveloping
proFilE AmArinth
Amarinth Ltdamarinth.com
ServicesPump manufacturer
yet Amarinth was able to successfully meet the
technical specifications of HHI in just 28 weeks,
again demonstrating its ability as a flexible, agile
pump manufacturer capable of engineering the
most difficult innovations.
Of course, these examples highlight just one
area of Amarinth’s expertise, but the business is
continually developing across its product range
in order to maintain its leading position in the
market. Every three to five years it looks at its
future product developments, using its expertise
and experience to understand what the changing
market requirements will be and thus, how to
develop the business moving forwards.
Such a dedicated focus on staying ahead
of the field has always been a cornerstone of
Amarinth’s strategy. Throughout its lifetime the
company has relied on its skill and expertise
to consistently deliver on its promises by
exceeding its customer’s expectations. For a
relatively young business this approach has paid
handsomely, making its shared objective of being
a leader in its field a reality.
Quad 204 FPSO, which is to be located west
of the Shetland Isles upon completion. For this
project Amarinth was selected to supply pumps
for the produced water treatment and reservoir
pressure maintenance re-injection package to
be used on the FPSO. However, a number of
design challenges predominantly around the
space available on board made achieving a final
solution particularly challenging.
Using a collaborative approach to the project
Amarinth carried out the design work with John
Crane and BP engineers to develop an integrated
pump and seal support system package that sat
on a bespoke baseplate, effectively wrapping
the seal support system through 90 degrees
around the pumps whilst still maintaining
its interoperability and meeting the footprint
limitations imposed by BP. Success in this design
meant Amarinth was suggested by BP to Hyundai
Heavy Industries (HHI) for a second challenging
project on the same FPSO. This particularly
complex requirement had seen little interest from
Amarinth’s competitors due to its difficult nature,
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Of course, these examples highlight just one area of Amarinth’s expertise, but the business is continually developing across its product range in order to maintain its leading position in the market
has built a credible reputation for its ability
to deliver integrated and complex services,
including deepwater oil and gas support
services and projects for international clients.
In a further expansion of its capabilities it
has more recently developed its expertise in
LNG ship repair and dry-docking activities,
thus making it a one-stop-shop for marine
conversion operations.
During its recent history, MMHE’s yards have
delivered a number of key milestones and major
projects. For example, in late 2006 Malaysia’s
first deepwater project was completed at the
site when the FPSO Kikeh and the Kikeh dry
tree unit truss SPAR were delivered by MMHE.
Not only was this the first deepwater FPSO in
Malaysia Marine and Heavy Engineering Sdn Bhd (MMHE)
is focused on the provision of oil and gas
engineering and construction works and marine
conversion and repair services. These extensive
services are offered from two yards – MMHE
West Yard and MMHE East Yard, both of which
are able to handle complex heavy engineering
works for offshore and marine projects.
Over 40 years of experience it has successfully
expanded organically, improving its capabilities
and offering by entering strategic partnerships
with leading companies such as Technip,
Samsung Heavy Industries and ATB Riva.
The business was incorporated in Malaysia
in 1989 as a private company, and today it
Loyalty and36
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Malaysia, it was the first SPAR platform to be
installed outside of the Gulf of Mexico. MMHE
has also constructed the Gumusut Kakap semi-
floating production system, the largest of this
type of facility in the world to have been fully
built and integrated on land.
Today the business is globally recognised as
a regional heavy engineering and deepwater
support services provider for the oil and gas
deepwater industry, as well as a major player in
the LNG ship repair sector. The range of services
provided by MMHE is vast, covering engineering
and construction, marine conversion, repairs and
associated services.
When it comes to offshore construction,
MMHE’s yard in Pasir Gudang, Johor, is the
only yard in Malaysia that has constructed
deepwater oil and gas structures, giving it a
considerable advantage over its competitors.
For oil and gas clients the company offers the
full range of construction services, from detailed
engineering, design and procurement through
to construction, installation, hook-up and
commissioning (EPCIC).
Typical projects include construction of
various offshore equipment such as deepwater
facilities like SPAR and semi-submersible
structures, integrated platforms, wellhead
platforms, compression, dehydration and
water injection modules, jackets, living
quarters, turret and mooring buoys, and
topsides. MMHE’s capabilities do not just
extend to offshore construction, as the
business regularly manufactures process skids
and modules, steel tubular and piles, and
process equipment.
Alongside construction services MMHE
provides offshore conversion projects, and is the
only of its kind in Malaysia to have completed
FPSO and FSO conversion projects. In this field
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Malaysia Marine & Heavy Engineering (MMHE)mhb.co.my
ServicesMarine and heavy engineering services
The market continues to look favourable
for the foreseeable future, with the company
continuing to gain impressive contracts, such
as the recently awarded TLP Malikai deepwater
project for Shell Petroleum. With the major
names in the oil and gas industry continuing
to chose MMHE, it appears that the future
looks to be successful for the business into the
long-term.
the company represents a one-stop solution for
the conversion of a broad range of vessels, such
as VLCCs, Aframax tankers, and offshore oil rigs
and LNG carriers, into floating structures like
FPSOs and FSOs.
In order to provide the high levels of
service it is renowned for MMHE ensures
that both yards are equipped with the latest
technology. For example, in April 2012 the
business implemented a comprehensive yard
optimisation initiative to both expand yard
size and capacity through the acquisition of
new land and updating existing equipment.
The acquisition of additional land was made
to enable the fabrication of offshore oil and
gas related structures by being able to cater
to the increased engineering, procurement,
construction, installation, hook-up and
commissioning work. This has increased overall
capacity from 69,700MT to 129,700MT, making
the business the largest fabricator in Malaysia.
It was during this optimisation programme that
the yards were renamed MMHE West Yard and
MMHE East Yard.
Alongside its work in the oil and gas industry
MMHE provides its expertise to marine repair
projects, carrying out work such as general
vessel repairs as well as more focused repair
and refurbishment programmes. While this
work extends to a wide range of marine clients
and operational areas, it is primarily aimed at
energy-related vessels such as ULCCs, VLCCs,
petroleum tankers, chemical tankers, oil rigs and
gas carriers.
During their operational lifetime MMHE’s
yards have developed a strong reputation
for their services in the offshore and marine
industries. The business has continued to
provide clients with the highest levels of
services based around its core values of loyalty,
integrity, professionalism and cohesiveness.
Today the business is globally recognised as a regional heavy engineering and deepwater support services provider for the oil and gas deepwater industry, as well as a major player in the LNG ship repair sector
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a counterweight. The pontoon with the Barge
Master was then taken further offshore where a
range of load-lifting tests was undertaken in a
variety of sea-states and mooring setups. With
the Barge Master switched ‘on’, the crane hook
and load hung perfectly still.
“Things are going very smoothly so far, the
Barge Master works very well, with 95 per cent
motion compensation achieved, it has proven
itself through testing in the North Sea as well
as with MARIN,” explains Martijn. “It has a
payload capacity of 700 mT, which means the
customer can put a total load of 700 tonnes
on it, whether this is a crane with a load in the
hook or a supply load only, the Barge Master will
compensate 95 per cent of the vessel motions
and can handle significant wave heights of up
to two metres at wave periods ranging from five
to 18 seconds. It is a modular system and easily
mobilised and demobilised due to it being fully
containerised with only 12 40-foot containers.
Following the success of the BM-001 we
have received a lot of interest and requests for
custom made systems, due to the Barge Master
scaleability and versatility. It can be placed on
any vessel and deploy any crane.”
With a whole career in marine construction
and marine services, Martijn used his
engineering expertise to find a way to stabilise
the whole crane on a floating barge or other
vessels without the use of jack-up legs, thus
vastly reducing the dangers and challenges
related to crane loads swinging during a swell
offshore. “A small movement of a few degrees
can be extremely dangerous as it leads to a
pendulum effect – when the load on the crane
starts to swing due to the moving of the barge.
This leads to the crane swinging in a wide
arc, even swinging the load over the deck of
the vessel, which can be highly dangerous for
those on board. From this experience I had the
innovative idea of stabilising the whole crane on
the barge, and thus, the Barge Master was born,”
explained Martijn in his last interview.
To develop the innovative system, the
Netherlands based Barge Master worked with a
It has been an eventful and
successful 12 months for Barge Master BV since
it was last in European Oil and Gas Magazine, as
it has continued with the ongoing developments
of its wave compensated platforms for the
marine and offshore construction industry.
“There have been some major changes over
the past year, the latest being the awarded
contract from a large Dutch dredging contractor
following its tender win for a major offshore
installation contract. This followed the sea-
trials last year, which resulted in us passing
the testing phase and gaining recognition in
the industry for having a system that works,”
says Martijn Koppert, inventor and director of
Barge Master BV. “The system has been Lloyds
certified and DNV approved, so we are seeing a
lot of interest from major contractors who are
using it in their tenders for projects in 2014,
2015, 2016 and so on.”
Launched on the 12th December 2012, the
BM-001 system is Barge Master’s first operational
motion compensating platform to provide safety
and stability to crane and supply operations
offshore. Suitable for all kinds of standard marine
vessels and now available for commercial use,
the BM-001 will allow cranes to operate in swells
up to five times larger than current systems,
thus significantly expanding the use of standard
cranes and minimising operating expenses
and manufacturing costs for offshore projects.
Pre-launch, various sea trials were performed
in the North Sea alongside maritime contractor
GeoSea, using both a crane configuration
and the Barge Master as a supply platform. A
Liebherr LR1250 crawler crane was placed on
top of the Barge Master platform in one single
lift before it was sea fastened and tested with
Ruling thewaves
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Machinefabriek VanderPloeg offers all the benefi ts of co-
makership for the best manufacturing of high-quality machines,
equipment and constructions. We can take care of a major
part: from production-engineering to assembly and testing.
The earlier you discuss your ideas and requirements, the
more you will profi t from our experience and strengths.
Co-makership with VanderPloeg means partnership with a
multifaceted company in the fi eld of manufacturing machines,
equipment and constructions under the highest quality
requirements. This also goes for the superior processing
techniques used for this, such as certifi ed welding, cnc-
machining, assembling and testing facilities.
VanderPloeg is qualifi ed for welding a wide range of materials
and processes, all under a quality assurance system according
NEN-EN-3834-2.
Plutoweg 13, 8938 AC Leeuwarden, The Netherlands • Tel. +31(0)58 253 99 99 • [email protected] • www.vdploeg.nl
www.vdploeg.nl
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The right DNA for manufacturing off-shore equipment
VANDERPLO9502-G105335 Barge MasterV2.indd 1 29-08-12 16:11
Barge Master BVbarge-master.com
ProductsWave compensation platforms
utilisation of a dynamic positioning or traditional
anchor system. Using the Barge Master results in
increased safety, increased workability, a higher
vessel payload capacity and a flexible low cost
solution to companies involved in lifting and
supply operations offshore.
Having concluded tests and proven the
advantages of its game-changing system, the
future looks positive for Barge Master as it
continues participating at conferences and
exhibitions to gain further exposure and
potential contracts. “We have expanded our
office because we needed the extra space due to
increased and expected upcoming demand,” says
Martijn. “We are also in the process of making
a second Barge Master, which is based on the
same principle as the Barge Master C400. The
Barge Master T40 is capable of compensating a
small offshore knuckle/boom telescopic crane
with a 20mT capacity; as a smaller example of
the Barge Master it will compensate for smaller
cranes, resulting in more deck space. Over the
coming years our key focus is to develop new
Barge Master systems, adaptations and bespoke
systems for our customers.”
range of leading companies as technology partners,
such as MARIN Maritime Research Institute
for numerical and scale model testing as well as
motion behaviour; Bosch Rexroth for the drive
and control system, and Temporary Works Design
(TWD) for the structural design of the platform
and foundations. “For the control system we
worked closely with Bosch Rexroth, the number
one drive and control company in the world,
and we are very happy to work with this firm to
develop these systems and they are happy to work
with us. In 2010 Frans Van Seumeren, owner of
shipping and heavy lifting firms RollDock and
Roll-Lift invested in Barge Master and made it
financially possible to develop and build the first
Barge Master,” says Martijn.
To compensate sea-induced motions during
offshore and near-shore installation work, Martijn
took three of the six degrees of freedom (DoF),
one translation (heave) and two rotations (roll
and pitch) into consideration before developing
three controlled hydraulic actuators. The other
three DoFs are compensated through restraining
two translations (surge and sway) and one
rotation (yaw) of a barge or vessel with the
PROFILE BaRgE MastER
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The steel construction of the BargeMaster was built by Machinefabriek VanderPloeg in Leeuwarden, the Netherlands
For almost 60 years Machinefabriek VanderPloeg has been manufacturing machines and constructions, completely assembled and
tested or in parts, for many renowned companies in a wide range of industries. At the beginning of this century VanderPloeg made the
strategic decision to focus on co-makerships in the markets with high demands on quality, flexibility and reliability. This decision was
a logical step in the further development of the company and it perfectly matched the profile, knowledge and skills of Machinefabriek
VanderPloeg. Since then the company has achieved the required specialist knowledge and expertise in-house regarding materials,
welding and machining, all of which complies with the stringent quality requirements. VanderPloeg also has highly efficient and flexible
production capabilities at its spacious location at a waterway.
VanderPloeg’ s attitude of co-makership means a close and constructive co-operation with client and notified bodies in order to define
and realise the best feasible solutions for the special parts and constructions. In this Machinefabriek VanderPloeg is able and pleased to
take responsibility for the qualified weldings, machining, coating, assembly and the required tests; most of this is carried out at its own
site in Leeuwarden or with sub-contractors in the region.
The company is convinced of the importance of co-makership. Consequently, the business has a long-lasting relationship based on
mutual trust with many of its clients. VanderPloeg is a compact, flexible company with short lines of communication and it has the
capacity, knowledge and facilities for complex orders. This Dutch company has the right DNA for a co-maker relationship, focused on
quality and reliability at manufacturing special products.
VanderPloeg now works with many major companies in the offshore oil and gas industry, but also in other sectors like energy, defence,
steel, chemical and the environment. VanderPloeg has the necessary specialist knowledge and certification for processing and welding
the specific materials that are applied in these industries.
VanderPloeg: the right DNA to be your partner in manufacturing your tools and equipment.
machinefabriek vanderploeg
Cronisteel AsCronisteel AS are a leading stockholder and distributor of stainless and high alloyed steels in Norway. Our products consist of sheet, plate, bars in all forms, and tubes and fittings. Our specialty is 6Mo, Duplex and Super Duplex delivered acc. to NORSOK specification in hot rolled and forged execution. We also supply plasma and water jet cut details from plate.
innovation
of operation down to 3000 metres and with a
continuous service temperature up to 155 °C.
“We have also been challenged by customers
to meet an increasing number of demands for
local application where equipment is too large
to be shipped, or for other reasons, unsuitable
for transportation to our sites. So we have also
developed a version of Vikotherm for field
application and curing. This is completed by
mobile ‘factories’. This makes Vikotherm more
portable and flexible in terms of meeting market
demands. Our cost and time-effective approach
is a key reason that our clients choose to work
with us.”
Trelleborg Offshore & Construction maintains
its leading position through this kind of
approach – continuously looking to develop
new products and innovations in response to
the market needs. Alongside Vikotherm, the
business provides a vast range of solutions
that cover areas such as corrosion protection,
flexible piping systems (Elastopipe), passive
fire protection, and other engineered solutions.
“We have seen an increase in various market
demands, particularly in thermal insulation, due
to the growth in subsea operations in deeper
waters,” highlighted Morten. “We are able to act
as a total supplier in the thermal insulation field.
Our development strategy is very important
for us as we continuously work on rubber
innovations. In addition, Trelleborg has a strong
focus on the environment and are members of
It is roughly 12 months since
European Oil & Gas last featured Trelleborg
Offshore & Construction in Norway, and during
that time the business, which is the largest
producer of innovative rubber products in
Norway, has continued to grow.
“Over the last year or so we have seen several
exciting product launches, as well as some new
concepts being implemented within the business,”
said Morten Kristensen, who heads up sales
and marketing in Norway, elaborating on the
company’s recent success. “For example, our
product, Vikotherm, has gone through continuous
developments resulting in the recent launch of a
new generation known as Vikotherm II. This has
been well received within the market.”
Vikotherm is a rubber-based composite
that provides corrosion protection, thermal
insulation and mechanical protection of
jumpers, manifolds, risers, pipelines, flow lines,
equipment and other subsea structures.
“We’ve noted that market trends are moving
towards more demanding applications, where
the water depths are increasing and process
fluids are becoming hotter,” he continued. “As
a result, the need for high performance, durable
and reliable thermal materials has never been
greater. In order to fulfil these requirements, the
second generation of the Vikotherm system has
been developed and subjected to years of tests
and qualification programmes. We can now
provide the market with a material that is capable
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proFIlE TrEllEborg oFFshorE & ConsTruCTIon
Trelleborg Offshore & Constructiontrelleborg.com/offshore-norway
ServicesInnovative rubber products
innovationsubsea gas compression facility, and Trelleborg’s
innovative Vikotherm II insulation material will
be used on 600 metres of piping, forming part of
the Asgard system which will be located on the
Halten bank in the Norwegian Sea, about 200
kilometres from the centre of Norway.”
As Morten illustrated, the business is certainly
busy at the moment, and with its innovation
programme continuously developing new
products, the future certainly looks positive for
Trelleborg Offshore & Construction, Norway.
“During 2013 we will largely be focusing on
controlled growth, as well as continuing to
develop our strong customer focus through
building mobile factories and developing and
improving our technologies to make us an even
stronger partner in the market. In the longer
term - over the next three to five years – our
goal is to become the preferred supplier in
the industry by developing new products and
services for existing and new markets, always
delivering the best possible service to our
clients,” Morten concluded.
the European Union’s REACH Programme that
deals with registration, evaluation, authorisation
and restriction of chemical substances.
“Work taking place at our dedicated
R&D facilities covers the A-Z of our product
portfolio,” he explained. “We can carry out
a wide range of tests, such as scala tests, jet
fires on our dedicated rig, material testing
in our own laboratories and pressure tests
in separate pressure vessels for thermal
applications. Currently, we are working with
the next generation of Firestop - our passive fire
protection system. The completed fire tests have
given us good results and the enhanced product
is due for release next winter.”
Of course, such a dedication to innovation
means that Trelleborg Offshore & Construction
is the supplier of choice for many of the leading
names in the industry. “We have won a big
contract to provide Aker Solutions with high
performance subsea insulation, for use on the
Asgard Subsea Compression Project for Statoil,”
Morten pointed out. “This will be the world’s first
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We can now provide the market with a material that is capable of operation down to 3000 metres and with a continuous service temperature up to 155 °C
Founded as a subsidiary of the family
owned EagleBurgmann Germany GmbH in
1990, EagleBurgmann Norway AS (EBN) has
enjoyed 23 years of organic, steady growth to
become the leading player in the manufacture of
seals and seal systems in Norway. Aware that no
industrial production plant can operate without
seals, EBN delivers products and services to a
wide range of organisations within the oil and
gas industry, as Kristian Malnes, managing
director of EBN, states: “Our main market is
definitely the oil and gas industry as we can
offer a comprehensive range of sealing solution
services to companies within it, such as oil
pumping and cracking, process gas containment,
gas compression, phase separation or synthesis
of chemical substances, temperature expansion
in flue gas systems and pipeline sealing. Our
strengths lie in our fast service, flexibility and
customer focus as well as our pool of certified
offshore service technicians and the worldwide
presence and support we receive from our parent
company EagleBurgmann Germany. This has
resulted in our busiest year ever, with several
contracts from Statoil awarded to supply seals
and accessories for the Valemon and Gudrun
projects as well as working on Lundin’s Edvard
Grieg project.”
As a leader in sealing technology, EBN delivers
safe, reliable products for any application and
finds the best solution for each unique request
through the innovative design of seals that are
capable of withstanding a comprehensive range
of media, various pressures and temperatures
and different aggregate states. Its extensive
portfolio includes both standard seals and one-
off, unique, application specific designs, such as
mechanical seals, seal supply systems, gaskets,
expansion joints, special products and total
sealcare services. “We have total commitment
to outstanding quality at EagleBurgmann,” says
Kristian. “We at EBN have local manufacturing
and in-house test facilities to ensure our
mechanical seals meet the most demanding
customer expectations.”
Over the course of a long partnership with
the oil and gas industry, EagleBurgmann has
developed a range of standard, high quality
solutions to meet many of the diverse needs
of the oil and gas industry. This includes
mechanical seals for pumps, mechanical seals
for agitators, mechanical seals for compressors,
carbon floating ring seals, compression
packings, gaskets and magnetic couplings.
Playing a key role in the reliability of an entire
plant, EagleBurgmann’s portfolio of sealing
technology protects systems and components
from contamination, external influences
and also prevents emissions. Furthermore,
EBN’s aftersales and service department offers
customers spare parts and the refurbishment of
mechanical seals, assistance during installation
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Flying
EagleBurgmann Norwayeagleburgmann.com
ServicesLeading sealing technology provider
and commissioning, stocking of mechanical
seals, the design of seal supply systems, technical
support/trouble shooting, training courses and
offshore certified service personnel.
Dedicated to innovation, the company
introduced its cutting edge mechanical seal
coating technology, DiamondFaces, in 2007.
Seal faces with DiamondFaces are extremely
hard and wear resistant, with excellent thermal
conductivity and strong chemical resistance. This
results in a longer service life, with extended
maintenance intervals and huge reductions
in life cycle costs. “We are very proud of our
technical developments and have successfully
launched our new revolutionary oil barrier/
separation seal, the CobaSeal, to the market.
This product has been very well received and
we are currently increasing our installed based
worldwide for this product,” enthuses Kristian.
This co-axial gas lubricated seal eliminates all
of the disadvantages of existing systems that are
currently in the industry. With a similar design
to a gas seal, the CobaSeal consists of a ductile
rotating seat and a stationary spring-loaded seal
face. Contrary to conventional mechanical seal
systems, the separation gas goes through the
stationary seal face into the centre of the sliding
face via the axial bores before it is separated
into two leakage streams towards the inside and
outside diameter of the sliding face. Certified by
NACE, features include a ready-to-fit cartridge
unit and aerostatic lift off, it is also gas lubricated
and bi-directional.
Another innovative product within
the company’s expansive portfolio is the
RoTechBooster; described as ‘the unbeatable
solution for reliable seal gas supply flow’, the
RoTechBooster is simple to set up and easy to
operate. With a centrifugal design it is highly
reliable, virtually maintenance free and boasts an
extended life that is three to four times greater
than current boosters. Through compressing
the filtered flushing gas and supplies it to the
seal, which prevents dirt deposits collecting and
causing leaks or damage. “The RoTechBooster
helps the operator to ensure maximum reliability
of the seal gas supply to their compressor seals,
resulting in maximum equipment uptime and
plant availability,” says Kristian.
As investments in offshore Norway continue
to show growth, the future looks positive for
EBN, as it continues to offer sealing solutions
to industries around the world, as Kristian
concludes: “We are a family owned company
which always has, and will continue to have, a
long term focus, which will ensure sustainable
growth and profitability. Our target is to increase
our installed base and guarantee continued
customer satisfaction. If this is achieved I am
certain the numbers will develop positively.”
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Seal faces with DiamondFaces are extremely hard and wear resistant, with excellent thermal conductivity and strong chemical resistance. This results in a longer service life, with extended maintenance intervals and huge reductions in life cycle costs
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VENKO Group prides itself on
providing high quality coating work for projects
in a wide range of shapes and sizes, and in all
kinds of locations. Undaunted by a challenge,
VENKO has carried out assignments on board
offshore platforms, on high-tension pylons,
power plants, substations, transmission masts,
(railway) bridges, pipe spools, sluice gates, and
many other areas.
It offers these services through three main
divisions – Outdoor, Offshore, and Indoor, and
its dedicated team of professionals can supervise
a project from beginning to end by providing
the right advice, the right materials and the right
people.
This wide variety of services means VENKO
Group has an equally diverse portfolio of
assignments and clients. The Group therefore
has long-term business relationships in the
following sectors: energy; railway; chemical, oil
and gas industry; commercial and industrial
buildings; civil works; innovative maintenance;
stationary blasting and coatings, among others.
Looking specifically at the offshore sector,
this division specialises in carrying out fabric
maintenance work on production platforms,
drilling platforms and measuring platforms.
Andre Hofman, VENKO group managing
director, and Tom Herok, the division’s business
unit manager, highlighted the typical client
that would undertake a contract with VENKO
Offshore. Said Andre: “Our main customers are
the oil and gas producing companies working
on the Dutch Continental Shelf and the UK
Continental Shelf.” Andre illustrated how
VENKO Offshore operates by describing the
current work it is undertaking with Shell: “We
have actually been awarded contracts from Shell
for 35 locations,” he said. “Most recently on
the NAM L13FE1 platform, we painted it from
top to bottom, and this means every area was
blasted and painted, the sheeting was re-done,
plus the helideck netting and the helideck
marking were replaced.
“We have completed four locations for Shell
and are now working on the fifth in NL, all on
schedule. The next locations are in the UK and
further afield, so they cross borders, and we
work on them 365 days a year.”
Andre added: “If we look at the whole
VENKO Group, there are some other significant
projects that are being worked on. We are
specialists at working at height, so for example
we work on pylons and we are moving into the
maintenance of wind turbines. We also have
experience in large and complex projects, with
an example being the high-speed water locks
here in Holland. VENKO used an innovative
painting system and alternative access on this.
By doing so, we have reduced the overall project
costs and duration for our client.
“We also carry out the submarine painting for
the Dutch Navy, which requires specialist skills,”
said Andre. “That is performed at the Royal
Navy Base in Den Helder were VENKO has its
own facility.”
processSmoothing the
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aboveElectricity mast
rightDetail on platform
TopNAM L13FE1 after full fabric maintenance
abovePlatform detail
Holland Mineraal BVHolland Mineraal BV, founded in 1976, is a producer and supplier of abrasives and blasting machines. The company has become an international leader in the field of surface treatment and is ISO 9001-2008 certified since 1997.We represent respected manufactures and continiously develop proven concepts. A selection from our extensive range of products in the offshore industry are: blastpots PED approved, vacuum recovery systems, blastrooms, portable dust collectors (ATEX), portable recycling systems, nevel-jet-wetblastsystem, vacuum blasting machines and a complete programme of abrasives. The in-house engineering department and team of experts, both with major experience in the field, will be pleased to provide you with objective and expert advice on complex projects.
VENKO Offshore BVvenko.nl
ServicesBlasting/painting/protecting metal and concrete
to the barge, and we’d like to have an office on
land to support the businesses’ requirements, so
we have opened our office in Great Yarmouth,”
he said.
“The main reason we are setting up a presence
onshore in the UK is to support our activities on
the Shell contract for 35 platforms,” he added.
“But of course we also want to expand our
business in the UK and that is a step planned
for 2014. In 2013 our focus is purely on the
successful start of the barge campaign work in
the UK waters.”
With expansion on the agenda and a raft
of new contracts to complete, the next few
years look busy for VENKO Offshore. But as
Andre noted, the company has no intention of
resting on its laurels: “We want to make more
customers aware of our approach, so we can
sell our philosophy on product maintenance
activities. We feel that our unit-based contracts
are the future, as this will change the execution
focus for both VENKO and our client, which
results in overall cost saving. In addition
we include the five-year guarantee and an
expectation of between ten and 15 years, and we
want to raise awareness in the market of this.”
Andre concluded: “We like to add value to our
clients’ projects, and our experience in the market
is invaluable here. We started the company in
1975 and today in the Netherlands we are one of
the key players in metal preservation. So, we are
not only executing work for our customers but
also we are setting the standards and developing
innovation programmes. That is the added value
for us to be not only a supplier, but a partner in
the entire process.”
These blue-chip clients are drawn to use
VENKO Offshore’s services because of its
reputation for high quality and a flexible
approach: “VENKO has been known for several
years as being a company big enough to support
oil and gas clients but flexible enough to react to
the clients’ exact needs,” agreed Andre. “We can
generally incorporate all the clients’ needs into
our way of working so we are adaptable to their
wishes. But we also challenge our clients to add
value. Furthermore, we have a lot of experienced
employees who have worked for us for a
number of years and their commitment is also
one of our major strengths. Combined with our
stocks of equipment, our ability to react quickly
to customers’ demands is superb.”
Andre continued with some more details
about what makes his team stand out from the
competition. “What we have at VENKO is a
large group of qualified, highly accomplished
painters. They bring with them extensive
experience on metal work, and their skill
enables us to offer a unique five year guarantee
on offshore metal work. That is not commonly
done in the industry.”
Tom added: “We also offer a unique contract
in the offshore industry - the standard is an
hourly based contract but we offer fixed prices.
This gives us a better relationship between
VENKO and the client, which we see as another
strength of VENKO Offshore.”
As Andre already noted, VENKO Offshore will
start work in the UK market shortly, via a barge
vessel that moves from platform to platform.
“This means that supply boats travel from the
UK and personnel is mobilising from Norwich
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aboveFree fall life boat in the paint shop at Venko
BelowNAM L13FE1 before full fabric maintenance
Over the past ten years Thermtech, a Norwegian technology and
engineering company, has doubled in size,
and in 2008 it was ranked as number one on
Deloitte’s Fast 50 in Norway. This success has
been established on the vision of setting the
global standard for the treatment of drill cuttings,
which contain oil from drilling fluids. The tool it
developed to reach this goal is Thermomechanical
Cuttings Cleaner (TCC) technology.
Patented and highly advanced, TCC is a
friction based thermal separation technology
that is able to recover the Base Oil from the Oil
Based Mud for re-use, and can be operated both
onshore and offshore. The treatment with the
TCC represents both the best environmental
and commercial options since the TCC is able to
standardrecover the high value Base Oil from the cuttings
with the same qualities as the original Base Oil.
The last time that Thermtech appeared in
European Oil and Gas, sales and marketing
director Rocco Valentinetti explained how the
company operated: “Across the world there are
numerous oil companies of all sizes that require
the use of the TCC technology for the treatment
of their waste. What Thermtech does is supply
this technology, both as complete units to its
customers and as manufacturing licenses to its
license holders, the industry’s leading service
providers, which in turn provide services to the
exploration and production companies.”
Operationally, Thermtech is the technology
owner of the TCC process, and focuses mainly
on selling turnkey solutions to customers that
are in, or want to enter into, the treatment
business. Thermtech itself does not offer
services, but rather, it assists the customers in
getting their business up and running.
In addition to the equipment itself, Thermtech
offers assistance with permit applications
and plant design, education and training of
customer’s operators and supervisors, installation
and commissioning, operational start up
assistance, remote and on site supervision of
operations, spare parts and maintenance.
The actual manufacturing is outsourced to
professional and experienced manufacturing
companies, while Thermtech retains the project
management and carries out the assembly, the
installation and the commissioning of the TCC
The global
PROFILE ThERmTEch
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Thrums EnginEEring sErvicEsThrums Engineering Services (TES) have been working alongside Thermtech for the last two years designing and building both Canadian and European units. Thermtech initially came to TES with a vision and outlining design of these units, but made it clear that TES could make modifications throughout the build to best suit the units use. Thermtech representatives often visit the fabrication workshop to get an overview of progress on current builds. As a result of this relationship we successfully saw the fabrication and installation of the first Canadian unit. Thermtech and TES continue to work closely together and look forward to many future builds.
Thermtechthermtech.no
ProductsTCC technology and engineering
hand in hand since the recovered Base Oil is
re-used to replace the expensive virgin
Base Oil, which can be even more
costly due to transport costs.
Thermtech affirms that the TCC
process challenges any other existing
method or technology simply based on
the business case itself. Even discharge
to sea can be less economic in given
situations, in particular if future liability is
taken into account.
Going forward, Thermtech has plans for
more expansion and growth. It is always
investing in research and development into
new and more advanced TCC options, such
as mobile units or those designed to handle
different types of waste. It is also interested
in geographic expansion into new areas that
are seeing exciting developments in the oil
industry. By maintaining its focus on both the
environmental and commercial benefits of
TCC technology, Thermtech looks set for a
successful future.
units. All the
design work is performed
in-house by professional engineers who
use advanced software and knowledge tools.
The most important property of the TCC
process is its ability to recover every material
found within the waste itself, while retaining
the same qualities possessed by the original
components. This means that at the end of the
treatment process, the oil can be re-used and the
clean solids can be used in different applications,
land filled or discharged to sea. With all the
elements recovered and able to be reused with
their chemical and physical characteristics
still in place, the TCC process has completely
eliminated the concept of waste.
The application of the TCC process results
in major environmental benefits, these positive
results are attracting more and more customers,
as they look for ways to adhere to the stricter
environmental regulations.
Indeed, the reputation of the TCC process is so
strong that Thermtech sometimes finds that some
oil companies operating in areas of lax regulation
have still adopted its technology, not for any
commercial advantage, but mainly to reinforce
their ‘green’ reputation and thus emphasise their
environmental credentials.
Furthermore, Thermtech’s customers
appreciate that the TCC technology keeps
the environment clean and, at the same time,
creates commercial benefits. The beneficial
environmental effect created by the recovery
of the Base Oil from the waste also creates
a positive income and cost savings. In
particular in regions where the Base Oil is
imported, such as in the Caspian, it results
in an income that is equivalent to the cost
of the recovery operation. This means that
environmental and commercial interests go
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training and development schemes as well as
internal promotion to ensure the retention of an
experienced and qualified team.
Gemini is today a world leader in protecting
pipework, steel structures and subsea pipelines
against corrosion in the oil and gas industry; it
has recently expanded its Montrose base from
seven acres to ten acres and acquired new heavy
lifting equipment as part of an investment of
£1.5 million in the building of new facilities.
With on-site facilities including a blast bay,
thermal spray hall, main spray hall and fully
automated metal spray facility at its Montrose
base, which the company expanded into in
2009, Gemini can offer complete standard
or bespoke solutions to its long-standing
and extensive client base. Over 30 years it
has developed its flexible coating services
for new equipment, whether land based or
offshore, topside or subsea, as well as offering
refurbishment and upgrade of old coating
systems. Topside coating projects range from
the structural components on oil rigs, including
accommodation modules and helidecks, through
to process and control equipment, such as pipe
work (spools) and valves.
Typically based on the NORSOK M501
When founder and managing director
of Gemini Corrosion Services Ian Guthrie was
working offshore in 1982, he saw first-hand
the impact of corrosion on scaffold fittings
and learned the majority of these fittings were
scrapped when returned from the offshore
rigs. Seeing a gap in the market, Ian launched
Gemini Corrosion Services in a small unit at
Spurryhillock Industrial Estate, Stonehaven,
15 miles south of Aberdeen, where he began
refurbishing scaffold equipment. This offered
offshore companies the benefits of extended
asset life expectancy and a fast response
turnaround from a local supplier.
Recognising that further opportunities existed
within its offshore client base, Gemini increased
its range of services in 1985, investing in surface
preparation equipment and establishing its
corrosion services business. The enhanced
business volumes resulting from this increase
led to the company relocating to larger premises
on the Spurryhillock estate, which became
Gemini’s headquarters whilst it continued
to develop and expand facilities with the
construction of new coating and blast halls and
ongoing improvements to its infrastructure.
Furthermore, the company implemented
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Fullyprotected
Gemini Corrosion Services Ltdgeminicorrosion.com
ServicesSurface preparation and protective coating applications
for TSA coated tubular equipment, such as
risers, Gemini designed and constructed a fully
automated cutting-edge thermal spray hall, the
first of its kind in Europe, and began operations
in January 2006. The automated coating is far
superior to manual application techniques, as
it allows numerous programme processes to
be stored and ensures even coating thickness.
Consisting of an automatic pipe manipulator
with two high throughput electric arc wire
spray units, the facility is designed to ensure
the highest quality TSA coatings and is capable
of coating pipes from four inches to 48 inches
diameter and 6.6 feet to 75 feet in length.
With more than 30 years in the business, the
company recognises the pressure surrounding
time constraints and the stringent demands
for maintaining a high quality service on
schedule. Having retained an ethos for the best
quality services and facilities, as well as active
investigations into innovative coating processes
and applications, there is no sign of Gemini
getting rusty any time soon.
standard for both paint and thermal spray, the
applied coatings’ types, controls application
methods and quality are stringently regulated.
For subsea environments, one of the most
severe tests for protective coatings, Gemini has
established a long and successful history and is
able to offer the highest standard quality in this
demanding market where any mistakes result
in huge expense. This has led to numerous
approvals with major blue chip equipment
manufacturers; equipment protected by
Gemini applied coatings includes BOPs, valves,
protection frames, pipelines and risers.
At its Montrose facility the company can
take on the most challenging of tasks, with
its purpose built main spray hall that covers
more than 1000 square metres and comes
equipped with two ten tonne overhead cranes
for component handling assistance. The ISO
18000 accredited spray hall can produce various
coatings from epoxy paint that conforms
to NORSOK industry standards, to more
specialised systems, such as anti-fouling paint.
Meanwhile, its multi-function thermal spray hall
is where both specific surface preparation and
thermal spray is undertaken. Believing the basic
process of surface preparation is the foundation
of its success, the company’s main blast bay
is accessible from the main yard and opens in
to the main spray hall. Most components are
maneuvered in to the bay with fork lifts, while
larger items are loaded on to bogies by cranes
before being pushed in on the track systems,
thus minimising handling operations.
The company assesses the surface profile and
cleanliness in terms of the industry recognised
Swedish Standards SA2.5 or SA3 and uses
various media dependent on component
material, client specifications and required
results. For example, chilled iron grit, due
to its ability to quickly strip various surface
contaminants, is used for aggressive cleaning
applications, while aluminium oxide is used on
surfaces that can’t be contaminated by ferrous
materials; glass bead blasting, meanwhile,
produces a clean, bright finish, without
dimensional change of parts. In addition to
blasting, Gemini has a shot peening facility,
which employs spherical shot blasted on to a
surface to produce compressive surface stresses,
which improve fatigue life.
Used for many years to protect steel work
from corrosion, thermal spray coatings have
proven an excellent way to protect offshore
structures and equipment. To satisfy the demand
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way he said. “There were a number of key reasons
for this, predominantly based around lack of
infrastructure, lack of frontier or deepwater
technology that was needed and an economic
environment that was considered less attractive
than other regions. More recently however, those
key variables have all been overcome; so we
have the pipeline infrastructure in place across
Ireland and connecting us to Europe, the advent
of better drilling technology, as well as the use of
3D seismic technology that has opened up new
opportunities, changes in the tax regime and a
more robust commodity pricing environment.
All of these elements are extremely positive
for the Irish market and are largely behind our
advancing our drilling programme.”
Building on the renewed interest, Providence
has focused on a large-scale exploration and
appraisal programme, working on opening up
as many basins as it can. “We describe ourselves
as a front end E&P company, so we are not a
development company as such, but rather we
feel that we are very good at going out there and
finding the basins, doing the initial exploration
and appraisal and bringing in the right partners
to achieve success. We currently have activities
in eight basins offshore Ireland, making us the
most diversified explorer in the region, and we
have already brought in a number of first rate
partners including ExxonMobil, ENI, Repsol and
Petronas among others.”
In carrying out this work, Providence’s general
business model has revolved around opening up
as many of these basins as it can, often carrying
out one pathfinder project or well in the basin
with the hope of finding significant resources.
“Essentially, it has been all about opening up
Ireland as a realistic oil and gas region,” Tony
commented. “We always said that we would
need one significant discovery and it would be
a game changer for us and the Irish oil and gas
industry, and that is precisely what happened in
one of our basins that we drilled last year in the
Celtic Sea, called Barryroe.”
Barryroe has proven to be a large, positive
development for Providence Resources. Situated
in circa 100 metres of water off the south coast
of Ireland, the field was the subject of successful
appraisal drilling in 2012. Previous operators
had drilled five wells on the field and in 2011
Providence, having acquired a new 3D seismic
survey on the field, successfully drilled a sixth
well announcing results that far exceeded
pre-drill expectations. After extensive post
well analysis and field development planning,
In recent years there has been an
increased international interest in the Irish
oil and gas market, which despite having
limited resources compared to other northwest
European countries, has a number of elements
such as attractive fiscal terms, new technology
and the installation of infrastructure, which
have made it an attractive area to prospective
operators. At the forefront of this growing
market is Providence Resources, a business that
is focused on the exploration and exploitation of
the hydrocarbon potential around Ireland.
The growing interest in the sector, and the
untested potential of the Irish market, has seen
Providence Resources embark on an ambitious
multi-basin, multi-year drilling programme to
test and exploit that potential. European Oil and
Gas Magazine recently spoke with Tony O’Reilly,
chief executive at the business, to find out more
about its operations.
“Since the early 1980’s, we have been focused
on oil and gas exploration, and primarily in
Ireland, which is why the business was originally
set up,” he explained. “The fundamental change
really happened in 2004 when
we commissioned a strategic
review of the company, looking
at our operations in Ireland and
establishing that this is the region
that we really wanted to continue
to focus on. At that time, we
felt that Ireland was still very
much an unproven region, with
too few wells drilled and with
only two successful commercial
developments, despite its offshore
acreage being substantially larger
than the whole North Sea.
“Ireland had essentially been under-drilled
for some time, as far back as the 1970s
and 1980s, with many wells encountering
hydrocarbons but not being commercialised,”
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Providence Resourcesprovidenceresources.com
ServicesExploration and appraisal
drilled and taking the initiative, and that is what
we are doing. The more activity you have, the
greater the chance of success, and I think that
whilst we may have been something of a ‘lone
voice’ for the Irish sector in the past, now that
you have the arrival of players like ExxonMobil,
Cairn, Kosms, Woodside, Repsol, Petronas, etc
– clearly, the international industry is watching
developments, particularly our developments,
very closely.
“I think that there is a very real sense that
Ireland’s time is coming, and there is a ‘watch
this space’ feeling around Barryroe and Dunquin.
The latter is an uber-large exploration prospect
that we have brought ExxonMobil, Repsol and
ENI in to and I think the coming weeks and
months will be hugely interesting and could be
massive for Irish oil and gas. With all that we
have going on, we view the future with great
confidence. We are validating the prospectivity
of the Irish offshore and as an Irish company, I’m
proud that Providence is leading the way in that
respect,” he concludes.
analysis, Providence has launched a farm out
campaign to bring in a partner to take the field to
first oil - and it has received significant amounts
of international interest owing to the size of
Barryroe, its location and its relative attractiveness
from a fiscal and operating perspective.
However, Barryroe is just one of the many
developments that Providence Resources is
currently undertaking, as Tony was keen to
highlight: “We are involved in a $500 million
programme of six basins with our partners – so
in addition to Barryroe, we are presently drilling a
massive exploration well off the west coast called
Dunquin (drilling operations commenced in
April 2013), and then through next year we have
another four basins that we will be drilling off the
west of Ireland and in St. Georges Channel.
“It is still early days, but it is a very exciting
time for us and I am pleased that Providence is
really taking a leading role in the Irish offshore.
I think the great thing is that we are drilling –
it’s all very well talking about the potential of
the market, but it is all about getting the wells
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company’s innovation and determination to
break through in what is a traditionally risk
adverse culture. “We have achieved this through
a number of methods, starting with funding,” he
outlines. “Camcon has worked hard to secure
sufficient financial support from its shareholders
to establish a long-term funding commitment,
which is essential to enable us to put all product
development, manufacturing, and support
programmes in place.”
He continues: “By talking continually to the
industry Camcon has been able to move from
the proof of concept, design and prototype stages
to field testing. We’ve already put in place an
extensive distribution network in one of our
main targets areas – the Middle East, through
agreements with Al Mansoori Group, one of
the region’s leading oilfield services companies.
We’ve also been working to gain the industry’s,
and particular operator’s confidence in both
the technology and its delivery. That is now
manifesting itself through what we are confident
will be successful field trials in Oman.”
Indeed, Camcon Oil believes APOLLO is set
to revolutionise the gas lift sector as we know
it as a product developed in direct response
to operators’ needs to have access to variable
operating valve combinations in their artificial
lift operations. “Today’s gas lift solutions
come with certain limitations, particularly in
regard to the information they generate and
the often crude forms of intervention they
require,” explains Ian. “In artificial gas lift
Camcon Oil is a world leader in
developing intelligent tools for deployment
in the upstream oil and gas industry. The
company’s first product, APOLLO, a Digital
Intelligent Artificial Lift (DIAL) solution, is
currently undergoing testing in Oman and is
shortly to come to market.
This solution is designed to address the
challenges of enhancea oil recovery (EOR)
head-on. Taking into account the reduced
cost of well interventions associated with side-
mandrel gas lift units, the loss of production,
wireline and slickline intervention incidents,
and optimal usage of gas and associated
compressor equipment, Camcon believes that
its DIAL products can deliver a return on
investment of at least 20 and have the potential
to increase recovery from individual wells by up
to 30 per cent.
Camcon Oil is in fact part of a federation of
companies set up to support the development
and commercialisation of the Binary Actuation
Technology (BAT), which sits at the heart of the
DIAL solutions. Since parent company Camcon
Technology was formed in 2000, this BAT has
already found applications in the automotive,
life sciences, and process control industries,
with Camcon Oil being incorporated in 2009 to
specifically concentrate on product development
for the oil and gas industry.
When asked to consider what it is that sets
Camcon Oil apart in the market, managing
director Ian Anderson reflects that it is the
Intelligentoperations
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BelowIan Anderson, managing director at Camcon Oil
Camcon Oilcamcon-oil.com
ProductsDownhole tools
published shortly.
Whilst Camcon Oil’s focus is channelled on
what it is confident will be highly positive results,
the company is also preparing for the widespread
launch of the APOLLO system. However, despite
the huge opportunities presented, the product
not only has to contend with the challenge of
other artificial lift alternatives, but also the culture
of the industry itself.
“In some cases, smaller incremental progress
better suits the larger companies rather than
the radical changes that APOLLO represents,”
agrees Ian. “This enables these companies to
maximise revenues from existing product lines
by simply squeezing better performance out of
them for short-term gain rather than tackling the
more long-term challenges that might displace
established and profitable product lines. Gas
lift offers considerable advantages over other
processes though such as Electrical Submersible
Pumps (ESP) and multiphase boosting. These
include its effectiveness offshore and in a wide
range of well conditions; its ability to handle
high volume, temperature, and pressure wells
as well as abrasive elements; and the gas lift
injection valves, which allow deeper injection
into the tubing.”
In order to make these known to the market
Camcon Oil is focused on building a suite
of reference cases for the APOLLO concept
that will help it in its business development
programme. Longer-term the company aspires
to establish itself as an accomplished, leading
supplier of next generation production utilising
its unique patented technology. “With our
continuous focus on research and development,
we are also looking at bringing other innovative
BAT-related products to market in the oil and
gas sector over the coming years. In addition, we
would like to see APOLLO become the digital
gas lift solution of choice in the upstream oil and
gas market today,” concludes Ian.
injection, operators still have little information
on pressure and temperatures at the point
of injection, as well as limited control and
flexibility in being able to alter injection rates
in real-time.
“Our solution – APOLLO – meets and
overcomes these challenges. APOLLO is based
around our BAT consisting of a low energy pulse
control, which signals to switch an actuator
between two stable positions to digitally operate
the valve, eliminating the need for side pocket
mandrels. In this way, operators can vary
injection rates and depths in real-time without
production interruption and well intervention,
and generate pressure and information data
throughout the injection process.
“As such, the solution not only gives
operators greater downhole control over gas
usage but also delivers increased recovery
rates. Recent modelling analysis of APOLLO
conducted by a third party showed increased
incremental production using APOLLO of over
1000 bopd, and in one scenario up to 110 per
cent more production. The result will be to
shift the economic operating point for wells
with the installation of APOLLO bringing non-
viable fields back into production, maximising
the lifetime of existing oilfields, and providing
real-time production support by monitoring
the well’s flow conditions and how it adapts to
fluctuating parameters,” he adds.
APOLLO has now been deployed in an
onshore well in Oman in partnership with
Petroleum Development Oman (PDO), which
counts Shell amongst its major shareholders.
This is being undertaken as part of a normal
workover programme for a high productivity
well where the new intelligent gas lift method
will be used to improve the production
performance. Oman’s focus on EOR techniques
has made it an ideal testing ground for APOLLO,
with the first well test results expected to be
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Longer-term the company aspires to establish itself as an accomplished, leading supplier of next generation production utilising its unique patented technology
Global
It is around one year since
Motherwell Bridge Ltd last appeared in European
Oil and Gas, at a time when the business was
maintaining its focus on developing in its
key markets. Since then the company, which
is widely recognised as the world’s leading
manufacturer and maintainer of storage tanks,
heat exchangers and gasholders, has continued
to grow, cementing its position at the forefront of
the industry.
In fact, in early 2013 the company, which is
based in Lanarkshire, Scotland, announced that
it had seen operating profit rise five-fold over the
previous two years, largely due to its pursuit of
a string of high-profile overseas contracts. For
example, the business secured multi-million
dollar contracts in Liberia in West Africa,
Iraq, Turkey, Brazil, Mexico and India, which
effectively saw its order book increase by around
80 per cent.
These projects followed the business strategy
set out by Motherwell, which revolved around
concentrating on engineering, design and
construction of its core products – storage tanks,
gasholders and heat exchangers, particularly in
West Africa and the developing regions of Brazil
and India. This point was reiterated by Russell
Ward, chief executive, when last speaking
to European Oil and Gas: “As a global player
Motherwell Bridge’s focus today, as it relates to
its large storage tank business, is largely on the
UK, Middle East and West African oil and gas
markets,” he confirmed.
“Separately, its gasholder business is focused
primarily on the global steel manufacturing
industry with a specific emphasis on the
Indian, South American and Far East markets.
Meanwhile, Motherwell Bridge’s heat exchanger
business targets the North Sea and shore based
operations of its main oil and gas clients. In
order to further this, the company is also in the
process of offering a similar service to those
based in the Middle East, where it is currently
engaged in supplying units in Iraq.”
As illustrated, the company’s core services
extend across three key areas of business, but
the projects it has won cover all of these. For
example, in April 2013 the company finished
the construction of its first tank on a $22 million
project to renovate and build 22 oil storage tanks
in Liberia. This represents a significant project
for the business, which commenced working on
the site during 2012 and has been contracted
to modernise the boat offloading, pipeline and
jetties on site, carry out all civil engineering
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Motherwell Bridge Ltdmbgroup.com
ServicesManufactures storage tanks, heat exchangers and gasholders
Of course, Motherwell Bridge’s reputation
is in little need of further endorsement, with
the company firmly recognised for the highest
standards of quality, health and safety. Indeed,
during its history the business has received a
number of prestigious awards in these fields
including the British Safety Council National
Safety Award (achieved annually since 2006),
RoSPA President’s Award (achieved in 2004
on receiving ten consecutive Gold Awards),
RoSPA Order of Distinction (achieved in
2009 on receiving 15 consecutive Gold
Awards), Membership of the British Safety
Council, Nominated for Employer of the Year
Scotland 2013, and quality and environmental
management systems accredited to according
ISO standards.
Naturally, achieving this level of quality
relies heavily on the skill and competence of
Motherwell Bridge’s employees – an area in
which the company continuously invests. In
March 2013, for example, the business further
strengthened its team with the addition of key
employees. It expanded it storage tanks division
by adding two design engineers, a junior welding
engineer and a trainee CAD designer to the
design and engineering team. Clayton Walker,
Motherwell Bridge’s gasholder division recruited
a trainee design engineer during the same period,
and a third new project manager, Alan Taylor,
was added to the heat exchanger team.
These additions will only strengthen an
already industry-leading team, continuing to
drive Motherwell Bridge to new heights. In
terms of growth the business is continuing
to look to international projects, as well as
maintaining its position domestically. During
2013 the company is looking to carry out high
profile networking by appearing at various
industry exhibitions and conferences to secure
new leads. With the strengths of its name
preceding it, there is little doubt that Motherwell
Bridge will find a wealth of new work to propel
it forward in the future.
works, demolish redundant plant facilities,
construct new bunding, lay foundation and
construct new tanks, lay pipelines and install
new pumps and electrical systems, and develop
new instrumentation and fire fighting systems.
“We have been exploring opportunities in
West Africa for some time and this contract with
LPRC demonstrates our ability to undertake
complex operations in new markets, building
on our existing projects in Nigeria,” said Russell,
speaking about the project on the company’s
website. “We see significant opportunities
in locations like Liberia, as there is still a
tremendous amount of work to be done in the
country following decades of civil war and we’re
not afraid of tackling challenges in what can
still be a difficult environment. But we haven’t
gone into this job with our eyes closed. We’ve
taken a pragmatic approach and have teamed
up with people who know the market and can
find the people and skills we need locally to
make it happen. This project demonstrates what
the modern Motherwell Bridge has to offer –
the senior project management and technical
expertise necessary to undertake even the most
complex of tank storage projects – anywhere in
the world.”
Closer to home, tank storage is also a growing
market in the UK for Motherwell Bridge as in
May 2013 the company was awarded a contract
to design, procure and install the replacement
floor and double deck floating roof for a storage
tank at Essar Oil (UK)’s Stanlow refinery, which
was formerly owned by Royal Dutch Shell.
Essar is conducting an ongoing investment
programme at Stanlow and Motherwell Bridge
will be handling the replacement of the floor
and double deck floating roof on one of the
facility’s 100,000 m3 storage tanks. Together
with the recent international developments this
project represents Motherwell Bridge’s continued
success in its domestic market and is a strong
endorsement of its capabilities, particularly in
floating roof projects.
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proFilE MothErwEll BridgE
We see significant opportunities in locations like Liberia, as there is still a tremendous amount of work to be done in the country following decades of civil war and we’re not afraid of tackling challenges in what can still be a difficult environment
MCAVMCAV is a reference company in the mechanical construction and erection field and is dedicated to steel structures, pressure vessels, tanks, industrial piping and boilers. Certified ISO 9001, ISO 14001, OHSAS 18001 and Stamp ASME S and U, to follow high performance requirements, MCAV can approach a whole set of major projects in Portugal and Europe. For more than a decade, MCAV has been a solid supplier of Galp Energia, having also integrated the Portuguese Refineries Reconversion projects.
and production portfolio, led by entry into
Namibia and Morocco. The company’s portfolio
also includes projects in East Timor, Uruguay,
and Equatorial Guinea.
Galp Energia’s Exploration and Production
activity was started in Angola in 1982, at the
Safueiro field, and since then it has added other
projects in Angola to its portfolio, in which
block 14 stands out for being the one of the only
blocks under production.
However, Mozambique has proven to be a
particularly exciting location. In 2011, the start
of drilling activities in ‘area 4’ of the Rovuma
basin offshore Mozambique revealed several
natural gas discoveries of significant scale, and
which exceeded pre-drill expectations.
At the beginning of 2013, and after drilling
a total of eight exploration and appraisal wells
in the block, the estimate of natural gas initially
in place (GIIP) is 75 trillion cubic feet (Tcf).
The exploration consortium estimates that the
resources in reservoirs exclusively located in ‘area
4’ alone amount to 27 Tcf, which is particularly
relevant since they provide more flexibility to the
consortium in developing the project.
Another illustration of the company’s
ambition to be at the forefront of exploration
is its activity in around 20 projects in Brazil,
where it is in partnership with oil operator
Petrobras. The Santos basin is Galp Energia's
main project in Brazil, and the Lula and
Cernambi fields (ex. Tupi and Iracema) have
estimated recoverable volumes of 8.3 billion
barrels of oil and natural gas.
In June 2013 Galp Energia announced
that the FPSO Cidade de Paraty had begun
operations, which marked the start of the
commercial production of Lula NE, in the pre-
salt Santos basin, according to plan.
Cidade de Paraty has the capacity to process
up to 120,000 barrels of oil and five million m³
of natural gas daily. The FPSO is anchored at a
With a background that often
intersects the most striking aspects in the
history of Portugal, one of Galp Energia’s most
distinctive traits are its Portuguese roots. The
origin of the Galp Energia Group dates back to
the early development stages of the domestic
oil and natural gas industry, and the merger,
acquisition and integration of several companies
in different times, which enabled Galp Energia to
grow and expand its business into the impressive
conglomeration it is today - an integrated multi-
energy operator, present in all stages of the oil,
natural gas and electricity value chain.
The Galp Energia group consists of the
company Galp Energia and its subsidiary
companies, among them, Petróleos de Portugal
- Petrogal S.A., GDP – Gás de Portugal,
SGPS, S.A., Galp Power, SGPS, S.A., and Galp
Energia, S.A. Its activities cover exploration and
production, refining and marketing, and gas and
power. It is active at every stage of the oil and
natural gas value chain and has ever-growing
interests in renewable energy sources and
markets. Furthermore, Galp Energia’s activities
are expanding strongly worldwide.
In fact, Galp Energia's Exploration and
Production activity is spread across four
continents. The company focuses on three core
areas – Brazil, Mozambique and Angola – but
there have been major efforts to diversify its
exploration portfolio both geographically and
geologically. Thus, during the year 2012, Galp
Energia added 16 new projects to its exploration
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futurePowering the
proFilE galp EnErgia
Galp Energiagalpenergiea.com
ServicesEnergy company
in the development plan. The Lula field started
producing in 2010 with the FPSO Cidade de
Angra dos Reis, four and a half years after its
discovery in 2006.
In addition, Galp Energia also reported
more activity in Brazil in late June 2013,
when it announced the Araraúna well, which
was spudded on February 11, located in
the BM-POT-16 concession, has detected
hydrocarbons in the drilling mud via mudlog
oil shows, thus proving the presence of
hydrocarbons. Although there has been no
commercial discovery, the fact that this well
proved the existence of a hydrocarbon system
increases the potential of finding a new play in
the Brazilian Equatorial margin.
As the company’s Brazilian portfolio starts to
materialise, Galp Energia is looking forward to
a new era in the upstream business, as well as a
sound downstream business, solid financials and
sustainable and responsible growth. As it heads
into the future, further exciting discoveries look
certain to be around the corner.
water depth of 2120 metres, approximately 300
km off the coast, and will be connected to eight
production wells and six injection wells. The
new FPSO was chartered by the consortium of
BM-S-11 to consortium Queiroz Galvão O&G
and SBM Offshore.
The first well has the potential to produce
25,000 barrels per day, but for the first month
of operations production will be restricted to
around 13,000 barrels of oil per day, and will be
gradually increased as the processing and natural
gas reinjection systems are commissioned. The
peak of production, of 120,000 barrels of oil per
day, is expected to be achieved 18 months after
its start-up, that is, in the second half of 2014.
This is the second out of ten definitive
development modules for the Lula field
(including the Iracema area) that are envisaged
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As the company’s Brazilian portfolio starts to materialise, Galp Energia is looking forward to a new era in the upstream business, as well as a sound downstream business, solid financials and sustainable and responsible growth
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Gasunie is a European gas
infrastructure company, with a network that
ranks among the largest high-pressure gas
pipeline grids in Europe – it consists of 15,500
kilometres of pipeline in the Netherlands and
northern Germany.
Each year, Gasunie transports about 125
bcm of natural gas, offering transport services
via its subsidiaries Gasunie Transport Services
B.V. (GTS) in the Netherlands and Gasunie
Deutschland GmbH in Germany. In fact,
Gasunie was the first independent gas transport
provider with a cross-border network in Europe.
In addition to gas transportation, Gasunie
also offers gas storage facilities (Gasunie
Zuidwending), the pipeline to England (BBL)
and the LNG terminal Gate at Maasvlakte. In
addition, it facilitates and stimulates the green
gas market through its subsidiary Vertogas.
Due to the reliability and strategic location of
its network in relation to growing international
gas flows, the Gasunie network forms the heart
of what is known as the northwest European
‘gas roundabout’.
legacyThis roundabout consists of infrastructure
belonging to GTS and Gasunie Deutschland,
which serves both home markets, as well as
linking to different ‘junctions’. Each junction
either brings gas to the roundabout, such as
through the Nord Stream and BBL pipelines,
stores it in order to meet fluctuations in demand,
or stimulates the market for green gas. Together,
the whole system ensures that gas can be
easily transported between Russia and the UK,
from Belgium to Denmark, and even Qatar to
Rotterdam as LNG. It is Gasunie’s Participations
and Business Development unit, which makes
these junctions possible – many with the
support of various business partners.
In 2012 there was a significant sign that
the European gas roundabout is playing an
increasingly important role in the European gas
market - trade on the Dutch gas trading exchange
TTF (Title Transfer Facility) grew by almost
20 per cent. This spectacular growth further
strengthened the leading position of TTF on the
European continent. The gas prices on TTF now
serve as a benchmark for the rest of Europe.
Echoing these positive results was Gasunie’s
own 2012 annual report, which highlighted
solid results for the organisation in that year.
Net profit amounted to 359 million euros,
and operational activities in the fields of safety
and security of supply also achieved good
results. Total costs fell by two per cent in the
past financial year, partly due to a multi-year
efficiency programme.
On the basis of current insights, Gasunie
expects revenue and results after taxes from
regular operational activities for 2013 to be at
A strong
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ILF ConsuLtIng EngInEErsILF Consulting Engineers is proud to serve Gasunie with full-scope engineering support in the course of the extension of its gas transport network in Northern Germany.ILF provides basic/detail design, permit engineering, cost estimation as well as support for procurement, construction, commissioning and final documentation for the realisation of numerous compressor stations, as well as pressure reduction and metering stations.All projects are progressing at cost and schedule and ILF is delighted about the excellent co-operation with its client, Gasunie.
Gasuniegasunie.nl
ServicesGas infrastructure company
transparent and secure gas market for customers
in Europe and around the world. This is a
positive development for traders, suppliers and
consumers in the gas market,” commented Paul.
Just a month later in April 2013, 19
major transmission system operators (TSOs)
from seven European countries, including
Gasunie, announced the launch of the new
PRISMA European Capacity Platform at the
FLAME conference. From that day, day-ahead
capacity at various European interconnection
points was offered through the platform.
The announcement of the TSOs came less
than a year after signing a Memorandum of
Understanding at 2012’s Flame Conference.
The creation of the PRISMA joint capacity
platform is a major step towards creating the
EU internal gas market. It proves that when
European network operators work closely
together towards a joint goal and bundle their
experience, the involved partners can succeed in
implementing the future European market rules
two years ahead of their time.
It is clear that during his tenure at the
company as CEO, Paul van Gelder has led
Gasunie through a remarkable transformation,
and kept the business on track through
turbulent times. The company is now strong
both operationally and financially, and Paul
has decided to look for a new challenge. He
commented: “Gasunie is a unique company
with very professional employees. It has been
an honour to lead this company and contribute
every day to safe and reliable energy supply in
the Netherlands and Germany, one of the most
important pillars in our society and economy.
I’m convinced that Gasunie will continue to
make a significant contribution to an energy mix
that is not only cleaner, but also affordable in the
long term.”
a similar level as 2012. A strong management
focus on efficiency will continue to be required
to compensate for diminishing revenue due to
regulatory effects.
Paul van Gelder, CEO and chairman of the
executive board at Gasunie commented at the
time: “We are proud of what we have achieved.
Our results provide a great foundation for the
successful implementation of our long-term
strategy, and enable us to keep serving our
customers, and thus also the public interest, in
the best possible way.”
Over the past two years there has been a
raft of exciting partnerships, agreements and
developments at Gasunie, including the signing
of a joint declaration in 2012 between Energinet.
dk (Denmark), Fluxys Belgium and Gasunie,
which is aiming at 100 per cent carbon-neutral
gas transmission in their networks in 2050.
In 2013 GRTgaz of France and Swedegas of
Sweden joined the initiative. Gasunie believes
that gas infrastructure is key to proactively help
develop the solutions required for the realisation
of a low carbon scenario for Europe.
Another noteworthy highlight is Gasunie’s
involvement with the newly established North
Sea Power to Gas Platform. This has been formed
to further develop the concept of Power-to-Gas
(P2G): the conversion of renewable power into
gas. P2G will play an increasingly important role
in Europe’s future energy system, as it reduces
temporal surpluses of renewable power by
converting these surpluses into gases. As these
gases can be used for different purposes such as
transportation, domestic heating, as feedstock for
the chemical industry, and power generation, the
potential value of P2G is considerable.
Furthermore, in 2013 Gazprom and Gasunie
inked a document that stipulates co-operation
between the companies in exploring the
possibilities for the Nord Stream gas pipeline
expansion, as well as setting up other
infrastructure projects to secure gas supply for
northwest Europe and the UK.
In March 2013, Gasunie and
IntercontinentalExchange, a leading operator of
global markets and clearing houses, announced
the launch of ICE Endex, following receipt
of competition clearance by the Office of Fair
Trading (OFT) in the UK and the declaration
of no-objection from the Dutch Ministry of
Finance. “We regard our agreement with ICE as
an important achievement, because it serves all
stakeholders in this market. Gasunie and ICE
share a commitment to further develop a liquid,
Due to the reliability and strategic location of its network in relation to growing international gas flows, the Gasunie network forms the heart of what is known as the northwest European ‘gas roundabout’
PROFILE GasunIE
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At a time when supplies of ‘easy’ oil are
perhaps falling away, Xcite Energy Limited
is marking itself out as an appraisal and
development company focusing on offshore
heavy oil. The company believes that this area
presents a niche for significant growth and
value addition. Through its subsidiary, Xcite
Energy Resources Limited (XER), these activities
have so far been focused on the development
of discovered resources in the UK North Sea,
namely the Bentley field.
“We acquired this field through the Promote
Licence Round in 2003,” explains Charles Lucas-
Clements, director of strategy and business
development. “We’ve pursued a methodical and
progressive appraisal programme over the years,
enabling us to bring oil to surface in 2007, through
to delivering 250 million barrels of 2P reserves
in 2013 after a highly successful pre-production
extended well test (“EWT”) which was completed
in September 2012. We also have peripheral assets
and were awarded three adjacent blocks in the
27th Licensing Round last year.”
Looking at this activity in more detail, XER
has actually successfully conducted three drilling
programmes with five penetrations of the field,
including sidetracks and laterals, since the
licence award. The total investment to date has
been around $350 million, approximately $250
million of which went into the EWT.
“Throughout the EWT we gathered a vast
amount of information, which together with new
3D seismic, has enabled us to increase our in-place
volumes, revise our development plan and
materially increase our reserves. It has required a
long year of hard work to deliver, but the EWT
has met and exceeded our expectations not only
in its results, but also the quality and extent of data
that was collected,” enthuses Charles.
In preparation for the EWT, XER expanded
its corporate office to bring in necessary skills
knowledgeSharing
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© 2
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Xcite Energy Resources Limitedxcite-energy.com
ServicesAppraisal and development
Alongside this work, XER has been running
a programme to identify enhanced oil recovery
techniques (EOR). After lab work based on
samples taken from the reservoir and aquifer,
the company has shortlisted polymer injection
as the most suitable EOR technique. It is
also building a pilot programme into the
first stage of development in order to prove
the concept, and lead the way for a full EOR
implementation in Phase 2.
The year ahead again looks busy for the
business as it works to capitalise on the last
decade of work in this challenging niche. In a
further step forward, XER recently started the
farm-out process, which it sees as a key part of
the future financing strategy for the development
of the field. “We also hope to expand the RBL
facility based on the increased scope of the first
phase development. These will trigger the full
development programme,” notes Charles.
Certainly the industry seems to be pricking up
its ears with regards to the progress the company
has made in transforming heavy oil resources
into viable development propositions, and it
comes at a time when heavy oil projects are
being advanced in the North Sea.
Picking up the thread Charles adds: “In the
process of executing the programmes so far we
have developed an extensive knowledge, not
only of the Bentley field and the engineering
solutions needed to successfully commercialise
a reservoir of this type, but also how to manage
a significant offshore, heavy oil project. One of
the key things in this industry is the sharing of
knowledge when moving into new areas, and we
are keen to do this with others just as they are
keen to speak with us.”
Indeed it seems the Bentley field is just the
starting point. XER has also been collecting
licences in neighbouring blocks, most recently
in the aforementioned 27th Licensing Round.
‘It is our belief that these prospects may contain
a lighter oil which could be used as a diluent
in the future, so the aim is to appraise these
with a view to a tie back into Bentley as we go
forward,” comments Charles.
“This forms part of our strategic plan for the
next few years which is centred on selecting
a suitable development partner, completing
financing, and getting the Bentley field
producing. We also want to prove the EOR
techniques through the pilot programme, and
implement the second phase of development,
whilst continuing to look for other suitable
opportunities,” he concludes.
including the appointment of a new operations
director, operations manager, and engineering
manager. “I think that key to our success has
been finding highly experienced people that can
really contribute to the team,” notes Charles.
“As well as operations, we have been building
up our engineering and well completion skills
sets, based on the importance of drilling and
operations going forward.”
The results of the EWT have been critical to
planning the ongoing development programme,
which is split into two phases – Phase 1 and
Phase 2, covering the northern and southern
areas of the field respectively. The development
programme extends over approximately two
years with current anticipation of first oil in late
2015, with the phases now being of a similar
size, with Phase 2 beginning some five years
after the start of Phase 1 and then both running
concurrently from that point onwards for the
35 years of field facilities design life. The EWT
has also proven up many of the engineering
solutions and techniques to be utilised in the
development plan, such as the use of an FSO to
dehydrate the fluid.
Certainly the industry seems to be pricking up its ears with regards to the progress the company has made in transforming heavy oil resources into viable development propositions
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w�Weighing & lifting products
Manufacturing of 6
w�Vacuum jetting tankers/super suckers
w�Hydraulic cylinders, power packs
w�Rubber and gasket products
AFI provides these and many other products
to over 2000 customers in the GCC region,
including renowned blue-chip names such as
Aramco, SABIC, Qatar Gas, KNPC, Arcelor
Mittal and Halliburton. Brian credits the
diversity of the product range as one of the
company’s main strengths, but also highlights
several others: “We also cover the full lifecycle
The full name of AFI - ‘Alaa for
Industry’ - is a perfect representation of how the
company regards its customers and operations.
“Alaa is an Arabic word which is connected
with ‘success’ and it encompasses a lot in terms
of how we serve a variety of industry sectors
with a vast range of products,” explained Brian
O’Sullivan, CEO. “Our objective is to provide
high quality, in-depth engineering solutions to
industrial companies in the GCC region, with a
strong focus on customer service.”
Founded in 1984, AFI remains a privately
owned Saudi company. “We have grown to have
1000 employees based in 18 branches across
four countries - Saudi Arabia, Bahrain, Kuwait
and Qatar. We are financially a very strong
company and we have ambitious aims to grow
further over the next few years,” added Brian.
Although the range of services offered by AFI
is too vast to list here, its main activities include:
Fluid power - hydraulics, pneumatics 6
w�Design/manufacturing of hydraulic systems,
power packs, cylinders, seals and hoses
w�Supply and after-sales of components
Power transmission products – bearings, belts, 6
chain drives, electric motors, gearboxes, etc.
Capital equipment 6
w�Truck mounted equipment
w�Foundation equipment
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Success for
proFIlE AFI
AFIafi.com.sa
ServicesEngineering products and services for hydraulics, pneumatics, transportation, power transmission and industrial equipment
facility where we undertake the refurbishment
and repairs of products for a local company,
which is active in the oil and gas sector.
“Both of those factories will be taking up
a lot of our time this year in terms of getting
them finished, and we are also expanding our
workshops in Qatar, as well as working on ASME
certification for pressure vessel manufacture.
“It is our target to double our turnover in the
next three years and so far this year we are well
on the way to achieving that objective. I think
we are well positioned for the challenges and the
engineering opportunities that present themselves
in the oil and gas sector in the GCC and I believe
there is more potential in this market.
“Our message to any company, whether they
are in engineering, drilling or servicing, if they
are looking for an engineering or maintenance
solution or a fluid, then they should contact
AFI. We can give professional assistance, access
to a network of technical expertise available
throughout the GCC region, and offer an
exemplary standard of quality.”
of products, so we distribute products, have
manufacturing solutions in-house and offer after-
sales services,” he said.
“We represent some of the leading brands, so
our strategy is to represent the number player in
the global market. So for example we represent
Parker Hydraulics, ASCO Pneumatics, SKF
Bearings and are an agent for DuPont.
“Another strong aspect of our business
is our focus on quality. We have been ISO
compliant for over 15 years and we have a very
strong quality team. When a customer visits
us, whether they are a local company, a multi-
national corporation or an EPC contractor, they
are always overwhelmed by our dedication to
this area.”
He added: “In the oil and gas sector this is
obviously very important. So our approach is all
about getting it right first time. This works hand-
in-hand with our technical expertise and can-do
attitude – companies know they can come to
AFI for solutions to their technical problems.”
When it comes to the oil and gas sector
specifically, AFI is a leading provider of loading
arm installations and service and overhaul work
for loading arms. “We represent Emco Wheaton
for these products and we have been winning
a number of contracts with Saudi Aramco with
KNPC in relation to loading arm overhaul,
supply and installation. Last year we did over $5
million worth of loading arm projects,” noted
Brian. “A recent addition to our product line
up is Ingersoll Rand air and hydraulic winches,
which are used on oil platforms and refineries.”
He continued: “I think what our oil and gas
customers want is a total solution, they want
us to deliver on time, to the highest quality
standards with the correct documentation and
with proper backup and after-sales service. They
return to AFI because we can provide that level
of service and that coverage across the region.”
Brian sees this combination of strengths as
the foundation of future accomplishments. “We
want to continue to be successful in winning
contracts with large scale industrial customers
and develop expertise in new areas,” he said.
“So for example in the last three months we
have won some significant maintenance,
repair and overhaul (MRO) contracts with
international corporations.”
In 2013 AFI is also focusing on a major
expansion project, as Brian highlighted: “We
are building two new factories, to meet the
increasing demand for local manufacturing. And
in fact, one of these factories is going to be a
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Our message to any company, whether they are in engineering, drilling or servicing, if they are looking for an engineering or maintenance solution or a fluid, then they should contact AFI
Gas Compressors Ltd (GCL)
is a dependable, independent compressor
packaging company, which specialises in the
design, manufacture and commissioning of large
and medium sized, custom built/bespoke gas
compressor, booster and blower packages for
worldwide use.
The foundation stone of the company is
its flexibility, as it is not tied to any particular
sub-vendor, compressor manufacturer or
compressor technology, but instead supplies
the most suitable type of machine for every
project. Indeed, its top quality, unique, packages
are a source of pride to GCL and it is careful
to provide the customer with their exact
requirements, including delivering on time and
continuity of care throughout each project.
Founded as a small one man operation just 13
years ago by current managing director Rupert
Easter, GCL today employs a team of 40 staff,
which includes design, manufacturing and
engineering personnel, with years of experience
and the ability to optimise machine selection,
and thereby allow customers to gain maximum
economic advantage.
“The concept behind my founding the
company still remains today,” confirmed Rupert.
“We design and build custom compressor
systems for various applications, and we source
components from all over the world, from lots
of different manufacturers so that we can come
up with the best technical solution for any given
application. We use lots of different compression
technologies in our machines including
blowers, rotary vane-, screw-, reciprocating- and
successcentrifugal-compressors. We can design units
to operate from vacuum to hundreds of bars
of pressure, and with flow rates from 10 m3/h
up to 100,000 m3/h. Typically our maximum
power is 7.5 MW / 10,000 hp although larger is
possible in certain types.”
This list of technology perfectly illustrates
GCL’s company ethos, flexibility of choice.
“There aren’t really any other companies
identical to us, specialising in custom design
and totally different concepts,” said Rupert.
“I will design something that hasn’t been
built before whereas competitors have pretty
standardised packages. We do some of that
but are winning more business in the one-off
type field. So we will source items such as
compressors from large, well known companies
like GE, as well as smaller mechanical
components, such as motors, pumps and
electrical instruments, but all the process and
mechanical design is done in-house, and we
build the vessels, pipes and structural steel,
perform the testing and create all the electrical
control panel and power control panels.”
This sort of design-led bespoke package
requires working closely with clients, and this is
an area where GCL excels. “Once we have got an
order, we work in partnership with a customer
to come up with a completed design that we
are happy with from a process and mechanical
perspective and they are happy with how it fits
into their footprint and what they want it to
do,” said Rupert. GCL also ensures clean and
clear communications between all parties and
a methodology of teamwork from end user to
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Compressed
proFiLE Gas ComprEssors
Gas Compressors Ltdgascompressors.co.uk
ProductsBespoke gas compressor systems
supplier ensuring precise, efficient and timely
build and delivery. The team is available to speak
with customers 24 hours a day when necessary,
and always tries to respond within 24 hours to
any query. It also provides maintenance, spare
parts, training and local support.
This high quality service is in demand in both
the oil & gas and power sectors, with typical
applications for GCL products including: fuel
gas boosting for gas turbines and gas engines,
gas recycle, wellhead, associated gas, sour gas,
vapour recovery, gas storage, boil off gas and
pipeline gas. Its also produces machines for
industrial gases, such as nitrogen, oxygen, CO2
and SF6.
Customers from around the world utilise these
systems and GCL has a client list that features
names such as Rolls Royce, INA, IGSA, Perenco,
Jacobs Engineering, Salamander Energy and
BP. One of its most recent projects is with John
Zink, a flare gas recovery company, which is
part of a very large development in Turkey. “We
are manufacturing eight twin stage rotary vane
compressors for flare gas recovery for that contract
and overall that is a massive scheme to be part
of, and will take a year for us to complete,” said
Rupert. “Usually we estimate six months for our
orders to go from design to delivery, which is
very fast for our industry - but this one is more
involved and will take more time.”
Turkey is an area where GCL is seeing a lot
of business activity, as is Russia. “We are getting
a lot of enquires from Turkey, and the country
seems to be buzzing at the moment so we are
keen to tap into that,” added Rupert. “Although
to be fair the market is strong generally
everywhere currently, there are a large quantity
of projects going ahead around the world in
which we could be involved. We would also like
more work on the Indian subcontinent but that
hasn’t quite come to fruition as tenders in India
especially seem to be too tied up with politics.”
When he founded the company, Rupert
contracted out fabrication to other companies
but it was always his vision to bring this
in-house. Today GCL has its own factory
where his staff manufacture all vessels, piping,
structural steel, controls and electrical and
software under one roof. Rupert foresees further
expansion on the horizon: “I would like bigger
facilities, as we have got a 15,000 sq ft factory
at the moment and are essentially finding that
too small so are considering some sort of move,
but staying close to where we are now. Ideally, I
would like to build a brand new factory from the
ground up, around five or six times bigger than
this, designed to our exact specifications.”
He concluded: “This is our short-term
ambition as there is so much growth and
impetus in the market that I would like to
be able to embrace it when it’s available. The
number of jobs we could secure is substantial
and we are talking large sums of money overall,
so really these are quite exciting times for us.”
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We can design units to operate from vacuum to hundreds of bars of pressure, and with flow rates from 10 m3/h up to 100,000 m3/h. Typically our maximum power is 7.5 MW / 10,000 hp although larger is possible in certain types
Essar Oil is a subsidiary of Essar Energy,
the London-listed oil and gas and power
company, which currently has 741,000 barrels
per day of refining capacity, mainly at its
large refineries at Vadinar, India and Stanlow,
UK. Essar Oil also has a growing exploration
and production business with large potential,
including a global portfolio of 15 onshore
and offshore oil and gas blocks spanning
approximately 35,000 square kilometres. Essar
Oil has a network of over 1400 fuel retail outlets
across India, with a further 200 in various stages
of commissioning, while on the power side, Essar
Energy also has a generation portfolio currently
totaling 3910MW of capacity, with a further
2890MW in various stages of construction.
Essar Oil’s business is very much focused
on India, and although its exploration and
production (E&P) activity includes blocks in
Nigeria, Madagascar, Indonesia, and Vietnam,
the current focus is on developing its assets
within India. Overall, the E&P portfolio equates
to 2.1 billion barrels of oil equivalent of reserves
and resources. “The assets outside of India are
in the conventional space, so classic oil and gas
exploration, whilst in India there is a mix of
unconventional and conventional prospects,”
describes Ifty Nasir, CEO of E&P.
“On the conventional side we have four
blocks, one is in offshore Mumbai, one in
the Cambay Basin, and a couple in Assam
to the east of the country. When it comes to
the unconventional hydrocarbons these are
potentialpredominantly in the form of coal-bed methane
(CBM) located in the east,” he continues.
Although all of Essar Oil’s E&P businesses are
considered important, at present more attention
is being given over to India where the company
is currently developing its first coal bed methane
asset, the Raniganj block in West Bengal. “CBM
has been around for a long time, but there are
very few true economic developments in India,”
elaborates Ifty. “Aside from our Raniganj block,
the other producer in India is Great Eastern
Energy Corporation Limited, with their block a
little further to the west. Theirs is a more paced
and steady production growth, typical for CBM
projects. Raniganj has a far faster development
phase that should have a production profile not
dissimilar to a conventional oil and gas field.
“We are achieving this through a much higher
rate of drilling and hydrofracturing than would
normally be the case in CBM developments,
having drilled over 100 wells in the last year
and with plans to do a couple of hundred more
in the coming one. This results in efficiencies
that come with a critical mass of activity, and
accelerated production, which improves the
economics,” he continues.
The second project that Essar Oil is pursuing
is the conventional oil block in the Cambay
Basin. “As an oil prospect it’s probably not the
most exciting, but below the oil horizon we
believe there is serious shale gas potential, which
we’ll also be looking to develop in due course,”
highlights Ifty. “This is not part of the reserves
Exploring its
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BelowIftikhar Nasir, CEO of E&P
Essar Oilessar.com
ServicesOil refining and retailing, and producer of oil and gas
however if it were effected today, it would
result in a gas price of circa $6.83/mmbtu
based on assumed regression of the Rangarajan
report recommendations upon which this gas
policy was based. This policy should help
encourage more players into exploring and
producing gas in India, thereby reducing the
average cost of gas in the country.
“This should incentivise investors to come
into India and start exploring and developing the
gas reserves in particular. India is very short on
gas, with circa 60 per cent currently imported,
which puts pressure on foreign exchange
reserves, as well as making it vulnerable to
market spot price which is presently over $16.
As such developing oil and gas in-country does
a number of things. Firstly it presents a source of
gas that is significantly cheaper than that which
is imported. It will also help India to develop
this sector through both domestic and foreign
direct investment,” he notes.
Increasing amounts of gas also enables energy
consumers in the country to switch over from
other types of fuel such as diesel, which are
more expensive and more environmentally
damaging, making businesses more competitive.
Likewise with methane considered the cleanest
of all the hydrocarbons, this shift will allow
India to progressively move towards a lower
emission environment.
Reflecting on the direction of Essar Oil’s E&P
business in the coming years, Ifty describes how
it closely reflects its current attention split: “The
near-term focus is very much about exploiting
and developing the assets we currently have
in our portfolio, building a solid platform/
foundation on which to build new opportunities.
This includes being able to bring other partners
into the assets we already hold through farm-
downs and strategic partnerships in and outside
of India. It also allows us to explore the potential
for other geographies through joint venture, or
farm-down partners that may come to work with
us in India.”
that are in the books, it’s something that is pretty
new and that we believe has great potential.”
He continues with how Essar Oil will
be looking to maintain a mix of both
unconventional and conventional assets in its
E&P portfolio long-term: “It’s important to
have both sides because there’s the potential for
cross-pollination of ideas, and optimisation. This
is particularly true if we are looking at a future
where the government allows what they call a
simultaneous development. This is a policy that
is in progress, and essentially enables an operator
to not only exploit a certain set of horizons or
resources, be that coal, oil or shale for example,
but to develop all the hydrocarbons within that
geographic location.”
That said Essar is also looking to become
one of the leaders in the unconventional
industry in India, and is already well thought
of in that respect. This aspiration can be seen
in the company’s formation of a new CBM and
Unconventional Resource centre in West Bengal
to support the unconventional sector. This
includes exploring specialised types of drilling
and hydrofracturing, as well as managing surface
risks and minimising environmental impacts.
A number of other crucial developments
have been taking place in India as of
late. These include moves by the Indian
Government to develop a policy on shale
oil and gas, which has been in the works
for sometime, and announcements that Ifty
believes are of importance to the progression
of the business: “The government has just
declared the new gas price policy which has
moved from $4.2 per million British thermal
units (mmbtu) to $8.4 per mmbtu. It’s a
policy, but a move which results in a far more
competitive price both for the producer and
consumer. Simply put, the price is derived
through a combination of international gas
prices in established markets, where gas to gas
competition already exists, and landed LNG
prices. This will be applicable from April 2014,
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Essar Oil will be looking to maintain a mix of both unconventional and conventional assets in its E&P portfolio long-term: “It’s important to have both sides because there’s the potential for cross-pollination of ideas, and optimisation
f r o m e x p l o r a t i o n t o e n d u s e r
Schofield Publishing Ltd10 Cringleford Business Centre Intwood Road Cringleford Norwich NR4 6AU
T: +44 (0) 1603 274130 F: +44 (0) 1603 274131
editor Matt High [email protected]
sales manager Rob Wagner r [email protected]
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