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March 2009
Houston London Paris Stavanger Aberdeen Singapore Moscow Baku Perth Rio de Janeiro Lagos Luanda
World Trends and Technology for Offshore Oil and Gas Operations
Tamar discovery reveals potential gas-rich play offshore Israel
INSID
E:
Subsea b
oostin
g/
proce
ssin
g post
er
Port Fourchon thrives despite the economy
Seismic vessel survey: Acquisition technology drives changes in industry practice
For continuous news & analysiswww.offshore-mag.com
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Fall Energy 2008
Catalogue
You won’t know the diff erence, but the sea life will
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Mooring and foundations installation / Rig and floating production moves / Active heave compensation / Subsea
hardware installation / Flexible flowline and umbilical laying and retrieval / Deepwater piling and conductor
pre-installation / Subsea well abandonment
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BACK-DECK SERVICESActeon companies are at the forefront of the movement to reduce the industry’s
dependence on specialist marine assets. Driven by the need to reduce costs and
improve operational flexibility, we have developed a range of applications that can be
performed from the back deck of less-sophisticated monohull vessels. Talk to us when
you are looking for someone that is prepared to explore a different approach to your
offshore needs.
For more information about how back-deck services can improve your project
economics, visit
www.acteon.com
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Offshore (ISSN 0030-0608) is published monthly by PennWell, 1421 S. Sheridan Road, Tulsa, OK 74112. Periodicals class postage paid at Tulsa, OK, and additional offices. Copyright 2009 by PennWell. (Registered in U.S. Patent Trademark Office.) All rights reserved. Permission, however, is granted for libraries and others registered with the Copyright Clearance Center, Inc. (CCC), 222 Rosewood Drive, Danvers, MA 01923, Phone (508) 750-8400, Fax (508) 750-4744 to photocopy articles for a base fee of $1 per copy of the article plus 35¢ per page. Payment should be sent directly to the CCC. Requests for bulk orders should be addressed to the Editor. Subscription prices: US $101.00 per year, Canada/Mexico $ 132.00 per year, All other countries $167.00 per year (Airmail delivery: $234.00). Worldwide digital subscriptions: $101 per year. Single copy sales: US $10.00 per issue, Canada/Mexico $12.00 per issue, All other countries $14.00 per is-sue (Airmail delivery: $22.00. Single copy digital sales: $8 worldwide. Return Undeliverable Canadian Addresses to: P.O. Box 122, Niagara Falls, ON L2E 6S4. Back issues are available upon request. POSTMASTER send form 3579 to Offshore, P.O. Box 3200, Northbrook, IL 60065-3200. To receive this magazine in digital format, go to www.omeda.com/os. Ride-Along enclosed, version P3.
International Edition
Volume 69, Number 3
March 2009
C O N T E N T S
32
SUBSEA
Subsea boosting, processing sustain momentum .................................................... 46
Looking at the momentum from a number of recent/current subsea processing installations,
development programs and project applications continue to provide the industry with new tech-
nical advancements, more opportunities, and some challenges, too.
PORT FOURCHON
Port Fourchon thrives despite the economy .............................................................. 50
LA 1 coalition, levee district trying to get Washington’s attention ........................... 54
No job shortage in Lafourche Parish ......................................................................... 58
Two new offshore facilities proposed for Port Fourchon .......................................... 60
Halo goes high-tech to optimize safety ..................................................................... 62
GEOLOGY & GEOPHYSICS
New seismic company, vessel
plans highlight survey ........................ 32
The feature of the 2009 Seismic Vessel Survey
is the entrance of Polarcus onto the list of
companies. That also brings the list of new
vessels for 2009 and beyond to eight – Polar-
cus has three scheduled for delivery this year
and three for delivery in 2010 while West-
ernGeco has two scheduled for this year.
Worldwide seismic
vessel survey ...................................... 36
SPECIAL REPORT:
MEDITERRANEAN
Eastern Mediterranean Tamar
discovery reveals potential
gas-rich play in Levantine basin ........ 42
Test results from a gas discovery in the Levan-
tine basin point to an emerging subsalt play.
The deepwater well on the Tamar structure,
90 km (56 mi) offshore Haifa, Israel, encoun-
tered three productive reservoirs with thick
sands in the Lower Miocene and net pay of
more than 460 ft (140 m).
Celebrating Over 50 Years of Trends, Tools, and Technology
54
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Do more with your career. Do more with your life. Right here in Houston at largest deepwater operator in the world. Find your dream job at DoMoreHere.com.
here.© 2009 StatoilHydro. An equal opportunity employer.
exploring collaborating
project leading technology leading industry leading
subsurface subsea subanywhere smiling geosteering
globe-trekking horizontal drilling ecothinking biking
groundbreaking digital mapping remote sensing
carbon capturing challenging yourself discovering
rock sampling rock climbing relaxing on the weekends
playing creative thinking stress reducing family bonding
mud logging well logging caring for our environment
life balancing parenting softball playing soccer playing
initiative grabbing pushing the envelope
Do more
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6 Offshore March 2009 • www.offshore-mag.com
SWEDEN
Higher capacity, smoother discharge improve supply vessel cargo handling ........ 68
Syntactic foam wrap helps protect casings against HP/HT damage ....................... 70
Mooring group sees signs of recovery ...................................................................... 71
Stabilized antenna expected to improve satellite coverage on seismic vessel ....... 72
Supply vessel specialist building expertise in ice operations .................................. 73
Micro-seismics technique sheds light on fracturing operations ............................. 74
International Edition
Volume 69, Number 3
March 2009
COVER: Atwood Oceanics’ semi-
submersible drilling rig Atwood Hunter
hit gas on the Noble Energy-operated
deepwater Tamar fi eld offshore Israel.
Post-drill analysis and well test data
indicate a potential fl ow rate of over 150
MMcf/d from the 5-tcf structure. Noble
Energy and its partners have retained
the rig for two more wells offshore Israel,
include a step-out on Tamar. Other acre-
age in the vicinity is expected to hold
considerable resource potential as well.
Read the full story beginning on page 42.
Photo courtesy of Noble Energy.
D E P A R T M E N T S
Comment ............................................... 8
Data ..................................................... 10
Global E&P .......................................... 12
Offshore Europe .................................. 18
Gulf of Mexico ..................................... 20
Subsea Systems ................................. 22
Vessels, Rigs & Surface Systems ....... 26
Drilling & Production .......................... 28
Geosciences ........................................ 30
Business Briefs ................................... 76
Advertisers’ Index ............................... 79
Beyond the Horizon ............................ 80
72
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Do more with your career. Do more with your life. Right here in Houston at one energy company that believes we should be able to play as hard as we work. DoMoreHere.com
Do more
© 2009 StatoilHydro. An equal opportunity employer.
exploring collaborating
project leading technology leading industry leading
subsurface subsea subanywhere smiling geosteering
creative thinking stress reducing family bonding
globe-trekking horizontal drilling biking ecothinking
team building carbon capturing pushing the envelope
groundbreaking digital mapping remote sensing
rock sampling rock climbing relaxing on the weekends
mud logging well logging caring for our environment
life balancing parenting softball playing soccer playing
initiative grabbing challenging yourself
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___________
here.
New company, techniques highlight seismic survey
This year’s annual Seismic Vessel Survey includes the entrance of a new company -- Polarcus -- and brings the list of new vessels for 2009 and beyond to eight, according to the survey by Gene Kliewer, Technology Editor, Subsea & Seismic.
Polarcus has three new vessels scheduled for delivery this year and three for 2010, while WesternGeco has two scheduled for this year. Addi-tions and deletions of vessels to the list bring the total to 173, compared with 169 for 2008.
The nature of the surveys undertaken today is changing. New acquisi-tion geometries such as wide-azimuth, multi-azimuth, rich-azimuth, and Coil Shooting single-vessel full azimuth acquisition increase illumination of the subsurface from a wider range of angles and azimuths. These techniques enhance the ac-curacy of the inversion of seismic data for Earth properties. In addition, increasing the fre-quency bandwidth by lowering the minimum frequency of seismic sources has improved steep-dip imaging and overall resolution. Kliewer’s full report begins on page 32.
Subsea processing alive, well and growing
Operators continue to initiate and to fund studies into subsea boosting, separation, compression, and power delivery and distribution when developing new fi elds, as our report from Michael Padilla of INTECSEA in this month’s issue refl ects.
In an attempt to capture the full value of subsea processing’s technical and eco-nomic advantages, operators address these options early in fi eld development, Padilla reports. An increase in overall confi dence toward subsea processing packages is the result of ongoing development and the success of current systems. See Padilla’s in-depth report beginning on page 46. And don’t miss the bound-in wall-size poster on Subsea Processing.
Port Fourchon thrives despite the economy
Buoyed by deepwater activity that shows no sign of drying up anytime soon, Port Fourchon is sidestepping the economic malaise gripping most of the nation and is not just coping, but fl ourishing, as Contributing Editor Jim Redden reports this month.
While cash-strapped independents operating on the shelf have pulled back apprecia-bly, the bread and butter for Port Fourchon is the deepwater, where it functions as the primary support base for more than 90% of existing projects, Redden notes. “According to a recent Minerals Management Service (MMS) study, that bread and butter is in no danger of going off the shelves in the foreseeable future,” he reports. “In early 2009, the federal agency listed 59 “pending” deepwater projects in the Gulf of Mexico, which is in addition to the 33 wells currently being drilled in deep and ultra deepwater. Factoring in the 135 deepwater fi elds already developed, there are nearly 230 deepwater projects in need of products and services fl owing from the port.”
Read his full report on Port Fourchon beginning on page 50.
Gas fi nd off Israel spurs renewed interest
Test results from a gas discovery in the Levantine basin point to an emerging subsalt play offshore Israel. The deepwater well on the Tamar structure, 90 km (56 mi) offshore Haifa, encountered three productive reservoirs with thick sands in the Lower Miocene and net pay of more than 460 ft (140 m). Offshore’s Jeremy Beckman, Editor-Europe, gives a full report on activity there in this month’s issue.
Gas fl owed at a constrained rate of 30 MMcf/d over a limited section of the lowest reservoir, and operator Noble Energy believes a production rate of over 150 MMcf/d could be feasible. Noble and its partners are set to retain the rig, the Atwood Hunter, for two more wells. Beckman’s article begins on page 42.
8 Offshore March 2009 • www.offshore-mag.com
To respond to articles in Offshore, or to offer articles for publication, contact the editor by email (eldonb@
pennwell.com) or fax (1-713-963-6296).
C O M M E N T Eldon Ball • Houston
PennWell1455 West Loop South, Suite 400, Houston, TX 77027 U.S.A.
Tel: (01) 713 621-9720 • Fax: (01) 713 963-6296
VICE PRESIDENT andGROUP PUBLISHER
John [email protected]
SALES
WORLDWIDE SALES MANAGERHOUSTON AREA SALES
David Davis [email protected] Tel: (713) 963-6206
Bailey Simpson [email protected]
CUSTOM PUBLISHINGRoy Markum [email protected]
Tel: (713) 963-6220
PRODUCTION MANAGERRae Lynn Cooper [email protected]
Tel: (918) 831-9143 • Fax: (918) 831-9415
AUDIENCE DEVELOPMENT MANAGERTommie Grigg [email protected]
Tel: (918) 832-9207 • Fax: (918) 831-9482
SUBSCRIBER SERVICESContact subscriber services for address changes
Tel: (847) 559-7501 • Fax: (847) 291-4816
Email: [email protected]
PETROLEUM EVENTS
Eldon Ball (Houston) [email protected]
Niki Vrettos (London) [email protected]
Frances Webb (London) [email protected]
Gail Killough (Houston) [email protected]
EDITORIAL ADVISORY BOARD
Luke R. Corbett, Anadarko
David J. Greer, Shell International E&P
Jack B. Moore, Cameron Corp.
Hugh O’Donnell, Saipem
Bruce Crager, J. Ray McDermott
James K. Wicklund, Spinnerhawk Capital Management
CORPORATE HEADQUARTERS
PennWell; 1421 S. Sheridan Rd., Tulsa, OK 74112
Member
All Rights reserved
Offshore ISSN-0030-0608
Printed in the U.S.A. GST No. 126813153
CHAIRMAN:Frank T. Lauinger
PRESIDENT/CHIEF EXECUTIVE OFFICER:Robert F. Biolchini
CHIEF FINANCIAL OFFICER:Mark C. Wilmoth
Publications Mail Agreement Number 40052420GST No. 126813153
CONTRIBUTING EDITORSNick Terdre (Norway)
David Shields (Mexico)
Peter Howard Wertheim (Brazil)
Gurdip Singh (Singapore)
EDITOR-IN-CHIEFEldon R. Ball
EDITOR-EUROPEJeremy Beckman
EDITORIAL ASSISTANTPriti Ubhayakar
PRESENTATION EDITORJosh Troutman
MANAGING EDITORDavid Paganie
TECHNOLOGY EDITOR,SUBSEA & SEISMIC
Gene [email protected]
TECHNOLOGY EDITOR,DRILLING & PRODUCTION
John [email protected]
Kliewer
Beckman
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Weatherford helped StatoilHydro upgrade subsea communications and increased the number of downhole gauges from the Visund platform. The operator can now monitor performance in wells with more complex reservoir structures and increase the overall speed and reliability of communications.
Build better subsea production.
Drilling Evaluation Completion Production Intervention Production
With an open system from
Weatherford, adding or
retrofitting equipment
becomes far simpler because
you are no longer tied to
a single manufacturer’s
communication protocol,
pricing or delivery schedule.
And you can use your existing
power lines for high-speed
communications.
Open up your subsea network. Weatherford’s production control and
communication systems work with trees from all major manufacturers,
enabling you to easily combine previously incompatible systems. Because
you can mix and match devices on the sea floor, you increase your options
for expanding subsea fields or for retrofitting new designs while delivering
state-of-the-art monitoring, control and data management. Who would
have thought you could simplify subsea operations while increasing
speed, flexibility and performance? Weatherford did. For more information
on opening your existing subsea system for state-of-the-art control,
communications and data management, visit weatherford.com.
© 2009 Weatherford International Ltd. All rights reserved. Incorporates proprietary and patented Weatherford technology.
The open database structure allows the dissemination of data from all subsea devices to real-time operational and historic databases.
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US GoM32 (0)
65 (-5)
Floaters
Jackups
North Sea 40 (0)
35 (+1)
East Atlantic
Mex GoM5 (0)
33 (+2) S. Asia10 (0)
34 (11)
SE Asia14 (+2)
50 (+2)
Far East 6 (-3)
22 (+1)
M. East 1 (0)
110 (+3) W. Africa32 (+1)
25 (+1)
L. America 49 (+2)
14 (0)
Source: Rigzone.com
2 (0)
0 (0)
Active rig fleet, February 2009
G L O B A L D ATA
GoM drilling permits issued
Dri
llin
g p
erm
its
100
90
80
70
60
50
40
30
20
10
0Aug.
49
Oct.
57
Sept.
25
Nov.
43
Dec.
45
Jan.
39
July
70
Source: US Minerals Management Service
Feb.2008
Mar.2008
Apr.2008
May2008
Jun.2008
Month
July2008
Aug.2008
Sept.2008
Oct.2008
Nov.2008
Dec.2008
Jan.2009
Jackup
80Jan.2008
80
82
83
84
85
86
87
88
89
90
Pe
rce
nt
Middle East rig utilization
74Jan.2008
Feb.2008
Mar.2008
Apr.2008
May2008
Jun.2008
Month
July2008
Aug.2008
Sept.2008
Oct.2008
Nov.2008
Dec.2008
Jan.2009
Drillship
Semisub
Jackup76
78
80
82
84
86
88
90
92
Pe
rce
nt
Worldwide rig utilization
10 Offshore March 2009 • www.offshore-mag.com
Worldwide day rates
Year/Month Minimum Average Maximum
Drillship
2008 Feb $43,000 $273,300 $520,000
2008 March $43,000 $273,248 $520,000
2008 April $43,000 $273,099 $520,000
2008 May $43,000 $277,800 $520,000
2008 June $43,000 $279,368 $520,000
2008 July $43,000 $292,031 $520,000
2008 Aug $43,000 $304,291 $525,000
2008 Sept $43,000 $316,768 $525,000
2008 Oct $43,000 $323,260 $556,000
2008 Nov $43,000 $327,818 $556,000
2008 Dec $43,000 $329,366 $556,000
2009 Jan $115,000 $345,318 $558,000
Jackup
2008 Feb $41,000 $134,929 $306,000
2008 March $41,440 $134,420 $306,000
2008 April $41,440 $134,686 $330,000
2008 May $41,440 $135,705 $330,000
2008 June $41,440 $137,225 $330,000
2008 July $41,440 $138,033 $330,000
2008 Aug $40,000 $140,897 $330,000
2008 Sept $40,000 $142,181 $330,000
2008 Oct $41,440 $144,165 $330,000
2008 Nov $35,000 $145,586 $330,000
2008 Dec $35,000 $144,876 $330,000
2009 Jan $35,000 $147,131 $330,000
Semi
2008 Feb $65,000 $280,308 $500,000
2008 March $65,000 $283,955 $525,000
2008 April $65,000 $292,031 $525,000
2008 May $80,000 $298,607 $525,000
2008 June $80,000 $301,791 $525,000
2008 July $80,000 $307,116 $525,000
2008 Aug $80,000 $299,544 $525,000
2008 Sept $80,000 $304,872 $525,000
2008 Oct $80,000 $305,023 $525,000
2008 Nov $80,000 $313,713 $580,000
2008 Dec $80,000 $323,835 $637,000
2009 Jan $80,000 $328,177 $637,000
Source: Rigzone.com
Source: Rigzone Source: Rigzone
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Americas
Petrobras has unveiled its latest fi ve-year business plan, covering the period 2009-13. The $174.4 billion program will include for the fi rst time development projects in the pre-salt area of the Santos and Espirito Santos basins. Most of the investments will be directed at Brazil, with the remainder ($16.8 billion) focussed on exploration and production mainly in the Gulf of Mexico, West Africa, and else-where in Latin America.
Four developments are planned for the pre-salt layer of the Santos basin: the Tupi Pilot, scheduled to start producing in 2010, followed by Tupi 1 and Guara 1 in 2012, and Iara 1 in 2013. Over the longer term, the company targets oil production from its interests in Brazil of 2.68 MMb/d in 2013, 3.34 MMb/d in 2015, and 3.92 MMb/d in 2020. Gas output should also grow, lifting overall domestic produc-tion from 3.31 MMboe/d in 2013 to 5.1 MMboe/d in 2020.
•••
Pemex has contracted J. Ray McDermott to transport and install two new drilling platforms to the Bay of Campeche. The Ixtal-B plat-form comprises a four-leg jacket with 2,205 tons (2,000 metric tons) of piles, supporting a 2,205-ton topsides load.
The larger Maloob-C platform will feature an eight-leg jacket fi xed by 3,307 tons (3,000 metric tons) of piles and 2,646 tons (2,400 metric tons) of conductors, and topsides weighing 2,535 tons (2,299 metric tons). J. Ray’s construction vessel DB50 will mobilize to the Mexican sector shortly to perform both sets of installations.
•••
Ecopetrol is set to increase its interests in the Fuerte Norte and Fuerte Sur blocks in the Caribbean sector offshore Colombia. Sub-ject to approval by Colombia’s licensing agency ANH, EcoPetrol will become a 50% license partner in both blocks, currently operated by BHP Billiton.
Australia/New Zealand
Nexus Energy has been offered production license AC/L9 in the Browse basin off Western Australia, encompassing an area includ-ing the Crux fi eld and the Auriga and Caelum structures. It is the fi nal stage of regulatory approval allowing the Crux liquids project to go forward.
Recently, Nexus entered negotiations with SBM concerning the supply and operation of an FPSO for the project. It also has fi nalized a settlement with Viking Oil and Gas International and Viking Ship-ping concerning termination of a previous agreement for an FPSO for Crux, signed in 2007.
•••
Australian Worldwide Exploration has secured the semisubmers-ible Kari Tan IV on behalf of a consortium of Australian companies. The rig has been lined up to drill four exploratory wells off New Zealand – likely targets include the large Hoki oil prospect in permit PEP 38401, and two other potentially oil-bearing structures close to the producing Tui fi eld.
Offshore Taranaki, New Zealand Oil & Gas has won a new explo-ration permit, PEP 51311, covering 3,000 sq km (1,158 sq mi) west and south of the Kupe development.
The company hopes to secure the seismic vessel Pacifi c Titan to acquire 500 km (311 mi) of 2D seismic as part of its work commit-ment. Regional analysis suggests prospects for oil or wet gas dis-coveries.
Europe
In the Norwegian North Sea, Talisman Energy Norge has brought onstream its gas-condensate accumulation Rev via two subsea wells connected to a 9-km (5.6-mi) multiphase pipeline to BG’s Armada platform in UK waters. Modifi cations to the platform included a new 450-ton (408-metric ton) separation module built by Burntisland Fabrications, and installation of new subsea control and hypochlo-rite injection systems. A third well should be added later this year.
•••
G L O B A L E & P Jeremy Beckman • London
12 Offshore March 2009 • www.offshore-mag.com
Deepwater investment continues to rise, and should exceed $35 billion annually by 2013, according to a report from ana-lysts Douglas-Westwood. ‘The World Deepwater Market Report 2009-2013’ also forecasts total spending over the coming fi ve years of $162 billion.
Africa, Brazil, and the Gulf of Mexico will account for 75% of the global deepwater spend, with Asia also on the rise. One of the main drivers will be the opening up of reserves farther from the coast and the incorporation of satellite fi elds into deepwater hubs. These activities, and drilling and completion of subsea development wells, should together account for almost 70% of total expenditure, according to analyst Thom Payne.
Australia Worldwide Exploration’s working interests’ offshore New Zealand.
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____________________________
Iceland’s National Energy Authority has unveiled the country’s fi rst offshore licensing round, on the Dreki area in the Atlantic Ocean. The region on offer cov-ers more than 42,700 sq km (16,487 sq mi) on the Jan Mayen Ridge, between northeast Iceland and the island of Jan Mayen. Water depths range from 3,280 to 6,562 ft (1,000 to 2,000 m).
License applications may cover one or more blocks or part-blocks, up to a maximum of 800 sq km (309 sq mi). Available data includes a speculative survey acquired in 2001, and an Icelan-dic-Norwegian governmental survey conducted during 1985-88.
Russia
Gazprom’s management committee has drawn up a six-point plan designed to progress development of major oil, gas, and condensate fi elds in the Rus-sian Arctic Sea. It aims to bring on-stream the Prirazlomonye fi eld in 2011, Shtokman in 2013, and Kirinskoye in 2014. The committee also proposed submitting an amended program for Gazprom’s activities aimed at pursuing hydrocarbon resources development on the Russian shelf through 2030.
West Africa
Petrosen has approved Australian company FAR to assume operatorship of the Rufi sque, Sangoma, and Sango-mar Deep blocks offshore Senegal. The two co-venturers already have acquired over 2,000 sq km (772 sq m) of 3D seismic, and identifi ed several exploration plays.
•••
Noble Energy has discovered oil in the Carmen prospect on block O off-shore Equatorial Guinea. The well, in 150 ft (46 m) of water, encountered 26 ft (7.9 m) of net oil pay and 13 ft (4 m) of net gas pay while testing a Lower Miocene reservoir. Noble claims the oil sourcing extends from block I to the south, where it has two sepa-rate discoveries. It is aiming for fi rst production in 2012 from a combined development which could also tie in Carmen.
Caspian Sea
The Kazakhstan Authority and its seven co-venturers in the Kashagan project have appointed a new joint
G L O B A L E & P
Noble Energy’s prospects offshore Equatorial Guinea.
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operating company for the North Caspian Sea Production Shar-ing Agreement. North Caspian Operating Co. (NCOC) assumes all responsibilities previously held by Agip KCO, including project planning and coordination, reservoir modeling, conceptual stud-ies, appraisal and early development planning, and interfaces with the Kazakh government.
Middle East
BP/RWE Dea have discovered gas with a deepwater well in the West Nile Delta off Egypt. The Ruby-3 well, in 920 m (3,018 ft) of water, penetrated gas-bearing sandstones in the Pliocene interval. Evaluation of the results is continuing, but the partners plan to ap-praise other gas fi nds in the area before resuming exploration of this structure.
Also in the Nile Delta region, Dana Gas has achieved its second gas discovery in quick succession this year in its West Manzala con-cession. The West Manzala-2 (Haggag prospect) encountered a pos-sible 20 bcf of dry gas within two zones in the Pliocene Kafr El Shikh formation. The location is a few hundred meters from the pipeline connected to the company’s South Manzala gas processing facility.
•••
Fabrication of four offshore platforms is under way at the new STAR yard in Dammam. This is Saudi Arabia’s fi rst in-kingdom off-shore construction facility. It was developed to service a long-term agreement contract awarded to a consortium of Snamprogetti Saudi Arabia, Saipem, and TAQA. The yard covers an area of 300,000 sq m (74 acres), and is capable of fabricating 14,000 metric tons (15,432 tons) per year of structural steel.
India
ONGC has approved the second phase of the Mumbai High North redevelopment project, designed to improve recovery from the fi eld. Under the program, the company will drill 73 new wells and side track 38 low-performance existing producers. It also will integrate development of the small L-I and L-II reservoirs with the main L-III reservoir to lift overall oil output.
Asia-Pacifi c
CNOOC has earmarked $6.76 billion for upstream capital expendi-ture this year, an increase of 19%, with $4.38 billion budgeted for devel-opment, $1.11 billion for exploration, and $1.12 billion for production.
The company expects to have over 20 development projects under construction in 2009, with 10 projects scheduled to come onstream, including eight offshore China. It also plans to drill more than 80 wells and acquire a total of 39,200 sq km (22,196 sq mi) of 2D and 3D seis-mic off China and elsewhere.
•••
American Technologies Inc. Petroleum (ATIP) is back to work on its Yen-Tu 1X well, reportedly North Vietnam’s fi rst oil discovery. The well was spudded in 2004, encountering hydrocarbon-bearing formations in Lower Miocene and carbonate basement intervals. It was then plugged and abandoned pending further appraisal.
ATIP recently re-opened the well for testing, following another success-ful program on last summer’s nearby Ham Rong discovery in the Song Hong basin. Ham Rong 1X was drilled to 3,700 m (12,139 ft) TD after again fi nding hydrocarbons in carbonate basement. According to ATIP, drillstem testing revealed open fl ow production at a commercial rate. �
G L O B A L E & P
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Sevan bid clinches Goliat
Eni Norge has chosen Sevan’s cylinder-shaped FPSO for its Goliat development in the Barents Sea. Sevan was one of two contractors vy-ing in a front-end engineering design (FEED) competition, the other being Aker Solutions with its concrete-hulled Condeep MonoFloater.
Sevan is now working on post-FEED engineering under a separate, NOK150 million ($21.76 million) contract. The proposed concept, the Sevan 1000, will be the largest of the buoy-type fl oaters designed by the company to date, capable of producing oil at 100,000 b/d, gas at 3.9 MMcm/d (138 MMcf/d), and with oil storage capacity of 1 MMbbl.
Goliat, now expected on stream in 2013, will be the fi rst oilfi eld project in the Barents Sea. Various measures will be adopted to quell environmental concerns, including supply of electrical power direct from the shore in an attempt to limit CO
2 emissions; and use of bal-
last tanks in the sides and bottom area of the steel hull to limit leaks from the oil containment system. The entire process plant will be enclosed to protect both equipment and crew during winter.
Aker Solutions remains in the running for the engineering, pro-curement and construction contract. All previous Sevan FPSOs have been built in the Far East, followed by outfi tting in Rotterdam.
Investor gloom dents UK activity
Exploration drilling on the UK shelf remained strong last year, according to the latest survey from Oil & Gas UK. The association identifi ed 109 exploratory and appraisal well spuds, including side-tracks, but activity started to dip in the fi nal quarter.
The picture looks gloomier going forward, with operator mem-bers revealing plans for only 34 fi rm E&A wells in UK waters this year, plus another 33 “non-fi rm” wells. In 2010, the survey identifi es only 10 fi rm E&A wells at present.
Investor confi dence is largely to blame, with capital increasingly hard to come by. Lower oil and gas prices are also impacting devel-opment, according to the survey with many planned projects barely economic at even $50/bbl. Cost infl ation is another issue: in recent years the UK industry has had to spend more to extract fewer bar-rels. If trends continue, investments in new and existing UK fi elds could slide from $7.17 billion in 2008 to $3.58 billion in 2010.
Hot spots emerge in Moray Firth
Despite the tail-off in exploration, wells in the UK North Sea con-tinue to deliver. In the Moray Firth, Maersk discovered gas and con-densate in the Culzean structure in block 22/25a, south of the Atlan-tic and Cromarty fi elds. The high-pressure/high-temperature well
encountered a substantial hydrocarbons column in Mid-Triassic to Triassic-age reservoirs.
In the same region, Houston-based Endeavour managed a suc-cessful up-dip appraisal of the undeveloped Rochelle fi nd in block 15/27, which the company acquired in 2006. The well intersected 77 ft (23.5 m) of net gas-condensate pay in Lower Cretaceous Kopervik sandstone: recoverable reserves could be over 30 MMboe, better than pre-drill estimates.
Endeavour’s partner, Nexen, made an oil discovery of its own with the Hobby well in central block 20/1N, 1.5 km (0.94 mi) west of its recent Golden Eagle fi nd. It plans to drill multiple sidetracks to delineate the extent of both structures.
High-performance development drilling last year also helped Nexen prove a further 29 MMboe of reserves at its central North Sea Buzzard complex. Later this year, Nexen expects to install the jacket for a fourth platform with production-sweetening facilities to treat high levels of hydrogen sulfi de.
Noreco in mood to merge
Stavanger-based Norwegian Energy Co. (Noreco) has proposed a merger with Det norske oljeselskap, which would create the largest E&P independent on the Oslo stock exchange. The combined group would have interests in various discoveries and 100 exploration li-censes in Norway, Denmark, and the UK, and production totaling 18,000 boe/d.
It would also have a market capitalization exceeding NOK4 bil-lion ($580 million), with no need for additional equity funding for its investment programs, according to Noreco. The proposed share exchange ratio would favor shareholders in Det norske, giving them a 52.5% ownership in the new entity.
Det norske, however, has its own views on the way forward, hav-ing appointed a new board and chairman, Diderik Schnittler, the lat-ter a former managing director of Saga Petroleum. It also has been talking with what it terms “a foreign actor” concerning a potential strategic and fi nancial cooperation.
Offshore Norway, the company operates 27 licenses, and this year plans to participate in 15 exploration wells. Its targets include the 10-80 MMboe Grevling prospect in production license 038 in the North Sea – here it recently increased its acreage position following a swap of license interests with Talisman Energy Norge. If a well here is successful, the company might opt for development through Talisman’s Varg fl oater, 20 km (12.5 mi) to the south. �
O F F S H O R E E U R O P E Jeremy Beckman • London
18 Offshore March 2009 • www.offshore-mag.com
Map locates Maersk Oil’s Culzean discovery in the Moray Firth.
Sonsub recently completed its operations on Total’s Frigg sea lines
decommissioning project in the North Sea. The scope of work included
preparation, removal and disposal of all infi eld pipelines within a
designated 500-m (1,640-ft) zone, plus power cables, umbilicals, com-
munication lines, grout and sand bags, and concrete mattresses. The
program required the services of two vessels, the Normand Cutter and
the multipurpose support vessel Far Sovereign. The latter recovered all
infi eld fl exible and small diameter rigid lines using a reverse reeling
method, a fi rst for Sonsub.
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Minimizing uncertainty
key to Lower Tertiary
development
Minimizing uncertainty is one of six keys to commercially develop Lower Tertiary fi elds in the US Gulf of Mexico, suggested Richard D’Souza, Granherne Americas/KBR, in his presentation at the Deep Offshore Technol-ogy International Conference & Exhibition in New Orleans, Louisiana.
D’Souza talked about the technical and economic challenges in developing Lower Tertiary fi elds. Some of the characteristics of the trend are low rock permeabilty, high pressure and temperature, deep reservoirs in deepwater, high viscosity/low GOR fl u-ids, large salt canopies (7,000 ft [2,134 m] to >20,000 ft [6,096 m]), all remote from exist-ing infrastructure.
Drilling and completion dominate the devel-opment cost of a Lower Tertiary well, D’Souza said. This is about 50-60% of the overall fi eld development cost. A typical well could take 200-250 days to drill at $150-$250 million.
Lower Tertiary drilling has had a success rate of about 60% since the fi rst discovery on Great White in 2002, but there is a high level of uncertainty in reservoir performance with no production analogs to date. MMS estimates 3-15 Bboe are recoverable in the trend.
The combination of minimizing uncer-tainty in reservoir performance and well pro-ductivity is one of six keys to commercially develop Lower Tertiary reserves, D’Souza explained. He pointed to three strategies to reduce uncertainty: Drillstem test (up to 60 days), extended or long-term test (6-24 months), and early production or phase de-velopment (more than three years). Ideally, the operator needs to fl ow a well at least 12 months to increase confi dence in well rates and recovery, he said.
A drillstem test was carried out on Chev-ron’s Jack discovery, an extended well test has not yet been done in the GoM, and Petrobras is using a phase development ap-proach for its Cascade-Chinook project.
In the production phase, some form of ar-tifi cial lift is required to enhance recovery from Lower Tertiary wells, D’Souza said. Downhole (ESP) or mudline pumps are most effective to maintain reservoir pres-sure, but water injection and gas lift also are viable. Subsea boosting and processing are possibilities, but a step-change in the tech-nology is needed to meet the technical chal-lenges in the Lower Tertiary, he said.
Shell is using subsea processing for its Per-dido development, slated for fi rst production in late 2009/early 2010. The technologies devel-oped for Perdido and Petrobras’ Cascade-Chi-nook, scheduled for fi rst production in 2010, “will be enablers for the many Lower Tertiary discoveries in the queue,” D’Souza said.
Success rate continues
Drilling success in the Lower Tertiary con-tinues with the Buckskin and Shenandoah discoveries. The Chevron-operated Buckskin oil discovery is in Keathley Canyon block 872 about 44 mi (71 km) west of the company’s Jack discovery.
The Buckskin No. 1 well, drilled in 6,920 ft (2,109 m) of water to 29,404 ft (8,962 m) deep, encountered more than 300 ft (91 m) of net pay.
More tests are being conducted on data gathered from the discovery well, and addi-tional work on the fi eld is needed to deter-mine the extent and commercial viability of the discovery, Chevron says.
The Anadarko-operated Shenandoah dis-covery is in Walker Ridge block 52. The dis-covery well, drilled in 5,750 ft (1,753 m) of wa-ter to 30,000 ft (9,144 m) deep, encountered more than 300 ft (91 m) of net oil pay.
Anadarko and partners are evaluating the well results and the next steps toward future appraisal activity.
“Initial data indicate the Shenandoah dis-covery has reservoir properties that appear to be of much higher quality than industry has seen previously in the emerging Lower Tertiary play,” says Bob Daniels, Anadarko senior VP of worldwide exploration.
Anadarko also made a deepwater oil dis-covery at the Heidelberg prospect in Green Canyon block 859. The discovery well, drilled in 5,000 ft (1,524 m) of water to 28,500 ft (8,687 m) deep, encountered more than 200 ft (61 m) of net oil pay in several Miocene sands.
“The Heidelberg discovery further vali-dates our geologic understanding of the sub-salt Miocene trend,” Daniels says. “The well encountered the same age sands and reser-voir characteristics similar to the previously announced Caesar/Tonga discoveries.”
Heidelberg’s proximity to Anadarko’s 100%-owned Constitution spar enhances the company’s fl exibility to consider a variety of development options after further appraisal, which Anadarko says it intends to conduct in
the second half of this year. Mariner Energy has made a gas discovery at
the Bushwood prospect in Garden Banks block 463. The Bushwood No. 1 (formerly Geauxpher No. 3) discovery well, drilled in 2,700 ft (823 m) of water to 25,300 ft (7,711 m) deep, logged more than 260 ft (79 m) TVT of net gas pay in multiple sands, with more than 150 ft (46 m) TVT of net gas pay found in the deeper exploratory section.
Friesian offset draws
parallel to Tahiti
Plains Exploration & Production Co. says data from its Friesian No. 2 discovery well show a strong correlation, both geologic and pres-sure, to the initial Miocene pay sands at Tahiti.
The PXP-operated well, in Green Canyon block 643 approximately 3,300 ft (1,006 m) due south of the initial discovery well, was drilled to a TD of 28,989 ft (8,836 m). It en-countered approximately 389 ft (119 m) of net oil in Miocene-age sands.
These pay sands are the uppermost fi eld pays at the Tahiti fi eld approximately eight mi (13 km) to the west across the basin syn-cline, the company says.
PXP and its partner have opted to deepen the Friesian No.2 well by an additional 3,500 ft (1,067 m) to 32,500 ft (9,906 m) true vertical depth to test the main fi eld equivalent sands such as the M15, M18, M21A, and M21B at Tahiti. Several of these Tahiti pay sands have fl ow tested in excess of 25,000 b/d of oil, according to PXP.
Diamond Offshore’s semisubmersible drill-ing rig Ocean Monarch was scheduled to arrive on site in early March to begin deepening the well. First production is targeted in 2012.
In other deepwater news, Nexen says it expects fi rst production from its Sargent dis-covery to come in 2010. Development plans are for a single-well tieback from the discov-ery well in Garden Banks block 339 to exist-ing infrastructure in the area. The company also says a feasibility study is under way for development of the Shell-operated Vicksburg discovery in DeSoto Canyon block 353. �
G U L F O F M E X I C O David Paganie • Houston
20 Offshore March 2009 • www.offshore-mag.com
Garden Banks 463Bushwood
Green Canyon 859Heidelberg
Walker Ridge 52Shenandoah
Keathley Canyon 872Buckskin
Green Canyon 643Friesian
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According to Galoc Production Co, operator of Galoc fi eld, repairs to mooring
and risers are under way at the fi eld in SC 14C off the west coast of Palawan in
the Philippines. At the time of the report, all necessary equipment for repairs
was at the fi eld along with a saturation diving team and two support vessels, the
AHV Sea Sovereign and the Rubicon Maverick. The work was scheduled to be
completed by publication date.
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Subsea market
target of studies
Two market data research companies recently addressed the condition of the subsea market. Douglas-Westwood examined the world’s deepwater market and Infi eld Energy Analysts took a look at the global subsea market.
Deepwater: The World Deepwater Market Report 2009-2013 forecasts oil and gas spending over that time will total $162 billion.
“Overall, despite more moderate levels of expenditure during 2009 and 2010 relative to 2008, the deepwater sector is forecast to continue its growth trend, with annual expenditure reaching over $35 billion by 2013,” says Steve Robertson, Douglas-Westwood’s Oil & Gas manager.
“The ‘golden triangle’ of deepwater, namely Africa, the Gulf of Mexico and Brazil, will account for nearly 75% of global ex-penditure,” concludes analyst Thom Payne. “For Africa, a large number of world-class developments are under way or planned for the forecast period and valued at $60 billion. North America, which in deepwater terms means the US Gulf of Mexico, is set for substantial spend with $29.3 billion forecast for the 2009-2013 period. Latin American activity (also $29 billion) is domi-nated by Brazil and, given the potential of the country’s presalt reserves, this is likely to remain the case for some time. The emer-gence of Asia as a signifi cant region should not be overlooked, with ex-penditure over the 2009-2013 period increasing by 90% when compared to 2004-2008 and accounting for 9% of forecast global spend.”
Global subsea: From 2009 to 2013, total global subsea equipment, and drilling and completion spending will exceed $80 billion, estimates Infi eld Energy Analysts. Some 3,222 trees are expected for startup with-
in the next fi ve years. The biggest players are expected to be Petrobras (374), Shell (244), Total (237), Chevron (236), BP (229), ExxonMobil (215), and StatoilHydro (194).
Now with limited access to fi nancing and a lower price outlook there are questions regarding the viability of future projects. It is smaller single-well tiebacks that can have sanction rates up to $65/bbl whereas larger fl oating projects can be sanctioned at as little as
S U B S E A S Y S T E M S Gene Kliewer • Houston
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______________________
$23/bbl. The smaller projects in Europe and in Southeast Asia are most at risk and could see potential delays and cancellations, says the report.
Latin America: Petrobras is going all-electric at its Roncador Module III project. It has award-ed a $75-million contract to FMC Technologies to engineer and manufacture four subsea mani-folds and controls for the project incorporating FMC’s all-electric technology. FMC’s scope of supply consists of two, six-slot subsea manifolds to distribute gas lift injection to 12 wells. These manifolds also are to contain 12 subsea control modules to provide electro-hydraulic functions to operate the manifolds and subsea trees. The company also will supply two additional mani-folds for water injection using All-Electric actua-tors for the operation of the chokes. The equip-ment will be engineered and manufactured at FMC Technologies’ facility in Rio de Janeiro with deliveries expected to start in 2010.
Europe: StatoilHydro has contracted Trico Marine Services Inc.’s DeepOcean AS to con-duct inspections of production platforms in the North Sea using Edda Fonn. StatoilHydro will use the vessel for a scheduled four-months starting in April for survey work. The same ves-sel is scheduled to conduct surveys for Enagas off Gibraltar. DeepOcean will perform a survey of gas pipelines from Spain to Morroco.
Asia/Pacifi c: Trident Australia has award-ed CTC Marine a contract through August for diving support, installation, trenching, burial, and riser installation services at Long-tom. This covers installation and trenching of more than 20 km (12 mi) of umbilicals.
Africa: BP has signed an $80-million con-tract with FMC Technologies for manufacture and supply of subsea equipment for ongoing projects offshore Angola. Under the agree-ment, FMC would supply six subsea trees, control systems, wellheads, tubing hangars, well jumpers, and fl ow bases for delivery this year from its facilities in Kongsberg, Norway, and Dunfermline, Scotland.
Gulf of Mexico: Knowledge Reservoir has contracted to provide project direction and technical services for a project awarded un-der the Research Partnership to Secure En-ergy for America (RPSEA) Ultra-Deepwater
Program (UDW). The project will report on and establish a
characterization database of deepwater and ultra deepwater assets in the Gulf of Mexico focused on incentives, needs assessment analy-ses, and concepts identifi cation for the applica-tion of improved recovery techniques (IOR/EOR) in deepwater. The project will be directed by Knowledge Reservoir, with primary project participants Louisiana State University and An-adarko Petroleum.
The project aims to identify improved re-covery opportunities in the early stages of fi eld development planning so facility and well designs can be optimized to take imple-ment those opportunities.
The project will include characterization of deepwater and ultra deepwater reservoir assets, and will compile and categorize key causes of trapped and remaining hydrocar-bons in such reservoirs. The prioritization of technology gaps in improved recovery meth-ods will also be addressed as relates to deep-water and ultra deepwater reservoirs, with the aim to identify leading concepts for future re-search, investment, development, testing, and deployment/application. A thorough and com-prehensive review of IOR/EOR techniques, experience and best practices, both on- and offshore, will be conducted. �
S U B S E A S Y S T E M S
Subsea Boosting & Processing Poster
This issue of Offshore contains the second-ever collection of subsea boost-ing and processing equipment and proj-ects from around the world. The poster is updated from last year and contains new features along with the new data.
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Keppel delivers
semi, jackup, FDPSO
Keppel FELS has delivered the semisub-mersible Development Driller III to Trans-ocean, the jackup Mærsk Resolve to Mærsk Drilling, and the world’s fi rst FDPSO Azur-
ite to Prosafe Production. The semisubmersible drilling rig is
built to Keppel’s proprietary DSS 51 de-sign, with Transocean’s dual-activity drill-ing technology. It can drill wells in up to 2,286 m (7,500 ft) of water, upgradable to 3,048 m (10,000 ft), to 11,430 (37,500 ft) deep, upgradable to 12,192 m (40,000 ft).
The jackup drilling rig is the third of four to be delivered to Mærsk. It can drill high-pressure/high-temperature wells in up to 350 ft (107 m) of water to 30,000 ft (9,144 m) deep.
The FDPSO will be deployed off the Republic of Congo at the Murphy-operat-ed Azurite development in the Mer Pro-fonde Sud block.
The vessel is equipped with a modular drilling package that can be removed and reused elsewhere when the production wells have been drilled. It has storage capacity of 1.4 MMbbl of oil and process capacity of 60,000 b/d of fl uid and 40,000 b/d of oil, and will be spread-moored in 1,400 m (4,593 ft) of water.
PETRORIG I set to sail
Sembcorp Marine’s Jurong Shipyard has completed turnkey con-struction of PETRORIG I, the fi rst of four semisubmersible drilling rigs for Larsen Oil & Gas. The rig was scheduled to be delivered in March for a fi ve-year charter with Petro-bras America in the US Gulf of Mexico.
The semi is a sixth-generation Friede & Goldman Ex-D Millennium Class de-sign equipped with capacity to drill in up to 10,000 ft (3,048 m) of water in DP mode to 37,500 ft (11,430 m) total depth.
Larsen’s PETRORIG II and PETRO-
RIG III have secured fi ve-year charters as well, with Petrobras for work offshore Brazil and with Pemex for deployment offshore Mexico, respectively.
Deepsea Atlantic
moves to Norway
The semisubmersible drilling rig Deep-
sea Atlantic has been handed over to Od-fjell Invest. The rig will undergo sea trials in Norway before it begins its four-year contract with StatoilHydro in May.
Construction of its sister rig Deepsea Sta-
vanger is under way, with delivery scheduled for 2Q 2010. In addition, Odfjell Drilling in cooperation with Metrostar has two drill-ships under construction in South Korea for delivery in 2011.
Sea Dragon, Vantage
enter rig management
agreement
Sea Dragon Offshore has issued Van-tage Drilling Co. a management agree-ment for one of its two deepwater semi-submersible drilling rigs, with an option to include the second unit. The rigs are designed to drill in up to 10,000 ft (3,048 m) of water to 30,000 ft (9,144 m) deep.
Pursuant to the management agree-ment, Vantage will receive fees during the construction phase of the project plus performance-based completion incentives. During the operations phase, Vantage will receive fi xed and variable daily fees. Analyt-ics fi rm Pritchard Capital Partners expects the arrangement could amount to about $5 million/rig/year to Vantage.
Mosvold Drilling and Hercules Off-shore have entered into a similar arrange-ment, according to a Raymond James re-search report. Mosvold has two newbuild jackups and will pay Hercules a marketing fee once it secures contracts, as well as management fees to run the rigs once they
have been delivered, the report says. James projects Hercules could gross at least $4 million in 2010 from
these fees.
Superior Energy
adds to fl eet
Superior Energy Services has taken delivery of derrick barge Superior Pride.
The vessel is 400 ft (122 m) long, 100 ft (30 m) wide, and 32 ft (9.8 m) deep, and features an 880-metric ton (970-ton) Huisman crane, full galley, and accom-modations for 360 people.
The barge was delivered to Superior in Xiamen, China, where it was loaded onto the Dockwise submersible ship Trustee
for a 30-day voyage to West Africa where it will be employed under a long-term contract.
Mitsubishi, Petrobras
to build drillship
Mitsubishi and Petrobras have formed a 50/50 joint venture company that will own a 10,000-ft (3,048-m) rated drillship. The $830-million vessel is scheduled for delivery in June 2010 to an affi liate of Schahin Engenharia for work in Brazil and overseas. �
V E S S E L S , R I G S , & S U R FA C E S Y S T E M S David Paganie • Houston
26 Offshore March 2009 • www.offshore-mag.com
DSME shipyard in South Korea delivered
the semi Deepsea Atlantic to Odfjell follow-
ing a 20-month construction period. Photo
courtesy of Odfjell.
Transocean’s semi Development Driller III is scheduled to
work fi rst for BP in the US Gulf of Mexico. Photo courtesy
of Transocean and Ken Childress.
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Brazil’s OGX launches drilling debut
Brazil’s largest independent oil and gas company in terms of off-shore acreage has launched its initial exploratory campaign.
Startup operator OGX raised $4.1 billion in last year’s initial public offering despite the fact it has yet to produce any oil. The record-setting IPO set the stage for the fi rst serious local contender to com-pete with heavyweights such as national oil company Petrobras.
During Brazil’s ninth oil and gas licensing round, OGX acquired concession blocks cover-ing approximately 7,000 sq km (1.7 million acres). Hoping to pursue additional growth opportuni-ties, the company also has a farm-in agreement for a 50% participating interest in an exploration block in the Santos basin, totaling 6,800 square km (1.68 million acres).
The acreage includes 21 high-potential explor-atory blocks in the Campos, Santos, Espírito San-to, and Pará-Maranhão basins.
Based on an appraisal by DeGolyer & MacNaugh-ton, this acreage contains prospective resources of 20.180 Bboe and natural gas, and net risked pro-spective resources of 4.835 Bboe. The net risked prospective resources assume a 27% probability of exploratory success. However, the exploration team at OGX believes that the average success rate could be closer to 50%.
Enthusiasm over these prospects has been buoyed in part by the composition of the com-pany’s management team, whose infl uence and experience extend through the highest echelons of Brazil’s corporate and political spheres.
Founded by Brazilian mega-investor Eike Ba-tista, OGX has brought together top engineers se-lectively recruited from Petrobras, a management team with extensive experience in the energy in-dustry, and a board of directors that includes two former energy ministers, one former fi nance min-ister, and one former president of Petrobras.
“We plan to drill 51 wells in the next four years in order to prove our oil and gas reserves while developing our initial discoveries,” says CEO Ro-dolfo Landim.
The company expects to begin drilling in San-tos with partner Maersk Oil by the end of 2Q 2009. Drilling will begin on two wells in Campos
once the rigs are delivered in September.“Upon completion of the fi rst two wells operated by OGX, we ex-
pect to begin drilling two additional prospects in the Campos basin which will most likely begin towards the end of 2009 and continue into early 2010. Our sixth well scheduled for 2009 will be in the San-tos basin and should start in November after we receive our third rig,” says Landim. �
D R I L L I N G & P R O D U C T I O N John Waggoner • Houston
28 Offshore March 2009 • www.offshore-mag.com
(Above) Campos basin. (Below) Santos basin.
Milestones at a glance
In the past six months OGX has completed a 3D seismic campaign, hired four semis, chartered six vessels and two helicopters for logistical support, contracted an onshore base, acquired all critical drilling materials and built a state-of-the-art 3D visualization center. While the drilling program was acceler-ated ahead of its initial schedule, Landim says costs have been contained.• Seismic: 3D seismic data shooting in the Campos and
Pará-Maranhão basins was completed in December 2008. Seismic acquisition in the Espírito Santo blocks is seven months ahead of the original timetable. Existing 3D seismic data for Santos basin was enhanced for interpretation, which is scheduled to be complete by mid-2009 for the Campos, Santos, and Pará- Maranhão basins, while Espírito Santo will be ready by December 2009.
• Drilling rigs: OGX hired four semisubmersible rigs, three of them from Diamond Offshore and one from Pride Interna-
tional. Two rigs are starting in September 2009, another will begin in October, and the last one is scheduled to start in the beginning of 2010, but could start earlier.
• Logistics: So far OGX has chartered six vessels, fi ve of which are being built in Brazil, and two helicopters to service rigs in Campos and Santos. Suppliers include Edison Chouest, Nor-skan Offshore, and Aeróleo. OGX also secured with Briclog its onshore supply base in the city of Rio de Janeiro.
• Drilling services and equipment: All materials, services and equipment have been secured, including wellheads from Vetco, casing from V&M do Brasil, and drilling fl uid from MI-SWACO. OGX has retained engineering services from Schlumberger and Halliburton, and casing running services from Frank’s International.
• 3D visualization: OGX built a state-of-the-art visualiza-tion center at their Rio de Janeiro headquarters to further enhance integration between teams of specialists, improve decision-making, and increase productivity.
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Asia/Pacifi c: New Zealand Oil & Gas Ltd. has contacted the Pacifi c Titan about running a 500-km (311-mi), 2D seismic survey over Petroleum Exploration Per-mit 51311 offshore Taranaki southwest of the Kupe development. The permit off-shore New Zealand recently was award-ed by Crown Minerals following NZOG’s November 2008 “Priority in Time” appli-cation. The vessel is in area waters. The permit is for an initial fi ve years with eval-uation to be done in the fi rst two years and a decision on drilling an exploration well is to come by the end of the second year.
“There are a number of separate clo-sures formed by upper Miocene sands, eroded by submarine channels, which were then in-fi lled by younger mudstones,” says CEO David Salisbury of NZOG. “These mudstones may have formed an effective lateral seal, trapping oil and/or gas. Similar oil bearing structures are known to exist in the Sacramento Valley in California and in the Gulf of Mexico.”
Africa: An ocean-bottom seismic pro-gram is planned for the Agbami fi eld offshore Nigeria. Star Deepwater Petro-leum Ltd., a Chevron Nigeria Ltd. affi li-ate and operator of Agbami, has agreed with SeaBird Exploration Ltd. and its local partner Sonar Ltd. for survey de-sign and acquisition of seismic data. The Hugin Explorer is scheduled to collect data with Kondor Explorer as the source vessel. A CASE Abyss 4C autonomous seismic recording system will be used on the seafl oor. Pre-survey geophysical modeling, fi nal contract terms, approv-als, and survey start are expected to be complete in 2Q 2009.
A 940-sq km (363-sq mi) seismic in-version program is under way on Jubi-lee fi eld offshore Ghana to integrate log and core data from Hyedua-1, Hyedua-2, Mahogany-2, Mahogany-2, and Mahog-any-3 wells.
“The original seismic inversion we con-ducted for Kosmos Energy and partners was limited to the West Cape Three Points block and covered 150 sq km (58 sq mi),” says Gareth Taylor, Rock Solid Images senior VP. “However, with only the Ma-hogany-1 well as a calibration point, we successfully predicted the presence of
pay in the Mahogany-2 and Mahogany-3 wells so we are confi dent we will be able to contribute substantively to a comprehensive appraisal and delineation of this world-class fi eld.”
Fugro Global Environmental & Ocean Sci-ences Ltd. has won two contracts for metocean work off the east coast of Africa. One contract covers current measurement in 5,577 ft (1,700 m) water depth off Tanzania for Ophir Ener-gy. The second is a joint-industry metocean off Tanzania and Mozambique for StatoilHydro, Dominion Tanzania Ltd., Petrobras, Petronas, and Anadarko Energy. That study is in water depths from 3,609 ft (1,100 m) to 9,843 ft (3,000 m) water depth.
Canamens is embarking on a round of explo-ration offshore Morocco following the award of contracts and agreements with Morocco’s Offi ce National Hydrocarbures et des Mines. Canamens says it will reprocess and acquire new 2D data in the Essaouira Shallow Offshore in water less than 500 m (1,640 ft) and based upon the results chose whether to convert the license into an exploration permit. In the Es-saouira Deep Offshore area with water depths greater than 500 m (1,640 ft), Canamens plans to reprocess and acquire new 2D data with an option to extend into a 3D and drilling commit-ment. The acreages totals more than 11,000 sq km (4,247 sq mi) and Canamens holds 75% with ONHYM holding the remainder.
Latin America: Reliance Industries con-tracted Wavefi eld Inseis and Discoverer 2 to conduct a seismic survey on Borojo Norte and
G E O S C I E N C E S Gene Kliewer • Houston
30 Offshore March 2009 • www.offshore-mag.com
NZOG plans 500 km (311 mi) of 2D seismic
data collection offshore New Zealand.
Proposed lines are shown on this map.
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www.offshore-mag.com • March 2009 Offshore 31
Borojo Sur blocks offshore Colombia, which was scheduled to be completed by now. The blocks are west of the country and cover 4,000 sq km (1,544 sq mi) with water depths to 1,500 m (4,921 ft). When it took the lease, Reliance planned to spend as much as $50 million over 18 months including two wells on each block.
Borders & Southern has reviewed its 3D survey over 1,492 sq km (576 sq mi) offshore the Falkland Islands. The company says it plans additional interpretation of the data. Work to date highlights three fairways: a Lower Cre-taceous, Upper Cretaceous/Lower Tertiary, and Tertiary. The Lower Cretaceous play fair-way comprises sandstone reservoirs within tilted fault blocks and submarine fans. The Up-per Cretaceous/Lower Tertiary structural play fairway comprises sandstone reservoirs within major structural closures measuring up to 150 sq km (58 sq mi). The Tertiary seismic ampli-tude supported play fairway comprises Tertia-ry deepwater distributary sandstone reservoirs partly stratigraphically trapped within struc-tural closures. Borders & Southern says there is evidence of hydrocarbon generation and migration, including a “chain of fi ve anticlines with gas hydrates located above the crests or slightly displaced on the asymmetrical limb of the folds.” There also are multiple seismic am-plitude anomalies over the area.
Petrobras and Schlumberger have signed a technological cooperation agreement for pre-salt reservoir research and development. Included under the agreement are four re-search projects:
• Electromagnetic technologies to improve deep reservoir characterization
• Seismic data analyses technologies, also to improve reservoir characterization
• Nuclear magnetic resonance technolo-gies, aimed to characterize complex res-ervoirs
• H2S electrochemical sensors. Additionally, six other projects are still under
negotiation. The agreement will be in effect for three years, and can be renewed for an equal term. Petrobras foresees it will invest some $10 million in the projects. The agreement will also establish the Schlumberger research center on the Fundão Island in Brazil during 2010.
Gulf of Mexico: TGS-NOPEC Geophysical Co. says it has completed several multi-client projects to evaluate hydrocarbon potential in the central GoM prior to the scheduled March lease sale. The Stanley 3D survey is the fi rst multi-client reverse time migration project in the Gulf. TGS also completed an anisotropic Kirchhoff depth migration for Deep Resolve and Sophie’s Link 3D surveys. The anisotrophic work ties into more than 800 well logs, accord-ing to the company.
CGGVeritas has won a long-term contract for wide-azimuth and 4D reservoir surveys from BP in the GoM. The contract runs into 2010. �
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New seismic company, vessel
plans highlight surveyAcquisition technology drives changes in industry practice
32 Offshore March 2009 • www.offshore-mag.com
G E O L O G Y & G E O P H Y S I C S
The feature of the 2009 Seismic Vessel Survey is the entrance of Polarcus onto the list of companies. That also brings the list of new vessels for 2009 and beyond to eight – Polarcus has
three scheduled for delivery this year and three for delivery in 2010 while WesternGeco has two scheduled for this year. Additions and deletions of vessels to the list bring the total number accounted for to 173, compared with 169 on the 2008 tally. This is an increase of four vessels, or slightly less than 2.5%.
Launched in 2008, Polarcus is investing in a seismic fl eet of high-end 3D and multipur-pose 3D/source vessels. The company says it expects to operate worldwide providing towed marine contract acquisition services and multi-client projects. The fi rst 12 stream-er 3D vessel is scheduled to be operational in 3Q 2009, with all six vessels fully operational within 2010. Headquarters is in Dubai.
“We have a pure play strategy focusing on the marine towed streamer seismic acquisition busi-ness, coupled with a strong commitment to mini-mize our environmental impact in the perfor-mance of our work, leaving the lowest possible environmental footprint,” the company says.
WesternGeco will bring its vessel total to 22 with the addition of the Columbus and Magel-
lan scheduled this year. That total puts West-ernGeco at the top of the vessel count by com-pany. Second is CGGVeritas with 20 followed by Global Geophysical and PGS Marine both with 16.
One merger currently being conducted in-volves CGGVeritas acquisition of Wavefi eld Inseis. At this writing, CGGVeritas was in the process of acquiring the last remaining shares of
Gene Kliewer
Technology Editor, Subsea & Seismic
(Top) Polarcus Nadia and Naila both are Ulstein
SX124 design 12-streamer, 3D vessels and will
resemble this rendering. (Middle) Western Spirit,
a Q-Marine vessel equipped with DSC (Dynamic
Spread Control), the automated vessel, source,
and streamer steering technology. (Below)
Global Geophysical Tiny Tune designed for shal-
low water surveys.
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G E O L O G Y & G E O P H Y S I C S
Wavefi eld which it did not purchase following a voluntary offer. Upon completion of the merger, the resulting company will have 28 vessels, the largest fl eet among seismic survey contractors.
Some changes in vessel construction plans hinge on timely completion of construction. It also is possible that some construction and ren-ovation could be canceled owing to the world fi nancial market conditions now as compared to the circumstances at this time last year.
As an illustration, Petroleum Geo-Services ASA (PGS) last year responded to speculation regarding vessel construction by discussing termination rights in contracts for newbuilds 532 and 533 at Factorias Vulcano, Spain, and the related contracts governing the charter parties between Arrow and WesternGeco.
After amendments made in 2008, the ship-building contracts with the yard set delivery of Nov. 30, 2008, and March 31, 2009. If either 532 or 533 were delayed more than 120 days, Ar-row would notify WesternGeco that Arrow has a right to terminate the shipbuilding contract with the yard. WesternGeco then could either choose to terminate the charter party with Ar-row or instruct Arrow not to terminate the ship-building contract. Further, if either or both of the construction contracts were canceled due to late delivery, Arrow would receive repay-ment from the yard of all investments made to that date.
The nature of the surveys undertaken to-day is changing. According to WesternGeco, recent advances in processing capabilities are allowing sophisticated seismic data migration methods to become standard practice.
Dave Nichols, Houston-based research di-rector, says improvements in imaging are tak-ing advantage of the increases in computer capacity that enable imaging techniques that are closer to the ideal wave equation. They also benefi t from new acquisition geometries that extend the frequency bandwidth and off-set and azimuth range of recorded data.
New acquisition geometries such as wide-azimuth, multi-azimuth, rich-azimuth, and Coil Shooting single-vessel full azimuth acqui-sition increase illumination of the subsurface from a wider range of angles and azimuths. These techniques enhance the accuracy of the inversion of seismic data for Earth prop-erties. In addition, increasing the frequency bandwidth by lowering the minimum fre-quency of seismic sources has improved steep-dip imaging and overall resolution.
Migration techniques that honor the actual physics of wave propagation are an important factor in improving image quality, Nichols continues. There are two main trends active here: reverse-time migration and anisotropy. Both have been studied for many years, but only now are adequate computer resources available to make use of these tools in an inte-grated approach of imaging and Earth prop-
erty determination.In the future, the industry will have to go
beyond correctly positioned images and de-liver estimates of absolute Earth properties. In a traditional compressional-wave, or P-wave, workfl ow, this process has been split into two parts: acoustic-imaging algorithms that yield accurate Earth refl ectivity and elas-
tic refl ectivity inversion that provides a model of the Earth properties.
“We will continue to ride the wave of com-puter power,” Nichols says. “When I joined the company almost 15 years ago, we were at 10s of megafl ops. We have seen a million-fold increase in computer power. I expect to see another thousand times increase before I retire.” �
Now, the full spectrum of potential field products and services is available from a
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has more than 50 years of land, marine and airborne oil and gas exploration experience,
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BGP Atlas 2007 64.7 1 x 1,200 Yes AF, MID E, FAR E 1 x 9000
BGP Pioneer 2006 83.7 19.5 6 x 648 Yes AF, MID E, FAR E 2 x 3,400 6 x 8,000
BGP Researcher 2007 68.5 13.8 1 x 1,200 Yes AF, MID E, FAR E 1 x 3,000 n/a
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Caspian Geophysical, T. Aliyarbekov St. 9, 370005, Baku, Azerbaijan
Caspian Kyra 1970 36 7 Caspian Sea
CGGVeritas, 1 Rue Leon, BP 32, 91301 Massy Cedex, France
Alize 1999 100 29 14 x 960 Yes Worldwide 2 x 4,840 14 x 6,000 x 75
Amadeus 1999 84 19 8 x 960 Yes Worldwide 2 x 4,960 8 x 6,000 x 100
Challenger 2006 90 24 12 x 960 Yes Worldwide 2 x 4,740 12 x 7,200 x 100
Duke 1998 67 13 1 x 960 Yes Worldwide 1 x 3,000 1x 7,200
Fohn 1997 87 18 8 x 960 Yes Worldwide 2 x 4,670 8 x 6,000 x 75
Harmattan 1997 97 18 6 x 960 Yes Worldwide 2 x 4,820 6 x 6,000 x 100
Laurentian (leased from PGS) 2005 84 17 6 x 960 Yes Worldwide 2 x 3,930 6 x 6,000 x 100
Orion 1997 81 18 8 x 960 Yes Worldwide 2 x 4,500 8 x 6,000 x 100
Pacific Sword 2000 58 12 2 x 960 Yes Worldwide 2 x 3,200 2 x 5,000 x 100
Pacific Titan 1998 65 19 4 x 480 Yes Worldwide 2 x 3,840 2 x 6,000 x 100
Princess 2001 76 14 3 x 320 Yes Worldwide 2 x 3,080 3 x 4,000 x 100
Search 2002 98 19 8 x 960 Yes Worldwide 2 x 4,940 8 x 6,000 x10
Symphony 2000 121 23 12 x 960 Yes Worldwide 2 x 4,740 12 x 6,000 x 100
Venturer 2007 90 15 4 x 960 Yes Worldwide 2 x 3,840 4 x 6,000 x 100
Viking 2006 93 22 10 x 960 Yes Worldwide 2 x 5,260 10 x 8,100 x 100
Viking II 1999 93 22 8 x 960 Yes Worldwide 2 x 5,260 8 x 8,100 x 100
Viking Vanquish 2007 93 22 12 x 960 Yes Worldwide 2 x 5,260 10 x 8,100 x 100
Viking Vantage 2002 93 22 8 x 960 Yes Worldwide 2 x 5,260 8 x 8,100 x 100
Viking Vision 2007 105 26 12 x 960 Yes Worldwide 2 x 5,260 10 x 8,100 x 100
Voyager 2006 68 16 4 x 480 Yes Worldwide 2 x 5,260 4 x 6,000 x 100
China Oilfield Services, Ltd., No.6 Dongzhimenwai Xiaojie Beijing 100027 P.R.C
Bin Hai 511 1979 81 13.4 3 x 360 Yes China, Asia, CIS 2 x 3,000
Bin Hai 512 1979 79 13.4 4 x 360 Yes China, Asia, CIS 2 x 3,000
Bin Hai 517 1997 60 15 2 x 480 Yes China, Asia, CIS 4,075
Bin Hai 518 1995 50 12.5 2 x 240 Yes China, Asia, CIS 2,040
COSL 718 2005 78 6 streamers Yes China, Asia, CIS
Nan Hai 502 1980 66 11 2 x 360 Yes China, Asia, CIS 3,660
Orient Pearl 1994 77 16 4 x 480 Yes China, Asia, CIS 2 x 3,660
Dalmorneftegeophysica (DMNG), 426, Mira Ave., Yuzhno-Sakhalinsk, 693004, Russia
Akademik Fersman 2006-2007 81.5 14.8 1 x 7,680 PGS Worldwide 4 x 4,200 1x12000
Orient Explorer 1995 81.8 14.8 4 x 1,440 PGS Worldwide 6 x 2,920 4 x 6000 x 100
Zephyr-I 2002 81.8 14.8 1 x 960 4 x 2,940 1 x 7,950
Fairfield Industries, 14100 Southwest Freeway, Sugar Land, Texas 77478, USA
Fairfield Encounter 2001 55 11 Radio Tel. Yes GOM OBS
Fairfield Endeavor 2001 65 9.75 Radio Tel. Yes GOM 4,140
Fairfield New Venture 2004 76 16.5 Z-3000 Yes GOM 4,330 dual
Fairfield Challenger 2005 67 13.4 Radio Tel. Yes GOM 4,140
Fairfield Speculator 1996 20.75 5 Radio Tel. Yes GOM 1,680
Fugro GeoServices, 200 Dulles Blvd., Lafayette, Louisiana USA
Geodetic Surveyor 1981 37 9 1 x 48 Yes GOM 90-300 GI Guns
Seis Surveyor 1976/ 1985 45.7 11.6 1 x 48, 1 x 96, 2 x 48, 4 x 8, 6 x 6 Yes GOM 90-300 GI Guns
Universal Surveyor 1980 37 9 1 x 48, 1 x 96 Yes GOM 90-300 GI Guns
Albuquerque 1982 40 10 1 x 48 Yes GOM 90-300 GI Guns
Fugro Enterprise May 2007 52 12 1 x 48, 1 x 96 Yes GOM 90-300 GI Guns
Fugro-Geoteam AS, Hoffsveien 1 C, P.O. Box 490 Skøyen, N-0213, Oslo, Norway
Geo Arctic 1988/1997/2005 82 15 1 x 12,000 Yes Worldwide 5,860 single source
Geo Atlantic 2000/2006 121 26 10 x 8,000 Yes Worldwide 4,300 dual source 7.20 sq km
Geo Baltic 1998/2002/2006 75 16 6 x 4,000 Yes Worldwide 2,620 dual source 3.00 sq km
Geo Barents 2007 77 17 6 x 9,000 Long-term charter Worldwide 4,300 dual source 6.75 sq km
Geo Caribbean 2008 100 28 14 x 6,000 Yes Worldwide 4,500 dual source 10.4 sq km
Geo Celtic 2007 100 28 12 x 8,000 Yes Worldwide 4,500 dual source 8.80 sq km
Geo Natuna 2006/2008 70 17 6 x 4,000 Yes Worldwide 4,300 dual source 3.00 sq km
Geo Pacific 1998/2003/2006 82 20 8 x 6,000 Yes Worldwide 3,460 dual source 4.5 sq km
Hawk Explorer Yes Worldwide
Seisquest 1991/2001/2007 92 19 8 x 6,000 m Yes Worldwide 4,000 dual source 4.5 sq km
Fugro Survey Ltd., Denmore Rd, Bridge of Don, Aberdeen AB23 8JW, UK
Fugro Mercator 1979/1996 73 11.6 1 x 120 Yes NWECS 140
Fugro Meridian 1982/1997 72.5 13.8 1 x 240 Yes NWECS 140/1,000
Geo Prospector 1970/1997 72.6 11.8 1 x 120 Yes EAME 140
Fugro Discovery 1997/2007 70 12.6 1 x 120 Yes NWECS 140
Worldwide Seismic Vessel SurveyVessel
name
Year
rigged o
r co
nve
rted
Tota
l le
ngth
(m
)
Tota
l beam
(m
)
Str
eam
er
confi
gura
tion
(# s
tream
ers
x
# c
hannels
)
Vess
el
ava
ilabil
ity
(Yes,
No,
or
Exc
lusi
ve c
ontr
act
)
Pri
mary
regio
n
Sourc
e a
rray
confi
gura
tion a
s ri
gged (
# a
rrays
x
capaci
ty)
Maxi
mum
tow
able
fo
otp
rint (#
cable
s x
length
(m
) x
wid
th (
m))
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Technical capability Onboard processing
Seismic
ACQUISITION An expanding fleet to match your expanding worldwide requirements.
w w w . s c a n g e o . c o m
x x
x x x
x x
x x
x x x x x x x x VSAT ≥ 256k
x x x x x x x x VSAT ≥ 128k
x x x x x x x x VSAT ≥ 256k
x x x x VSAT ≥ 128k
x x x x x x x x VSAT ≥ 256k
x x x x x x x VSAT ≥128k
x x x x x x x VSAT ≥ 128k
x x x x x x x x VSAT ≥ 512k
x x x x x x x VSAT ≥ 128k
x x x x x VSAT ≥ 128k
x x x x x x VSAT ≥ 128k
x x x x x x x x VSAT ≥ 512k
x x x x x x x x VSAT ≥ 256k
x x x x x x VSAT ≥ 128k
x x x x x x x x VSAT ≥ 128k
x x x x x x x x VSAT ≥ 128k
x x x x x x x x VSAT ≥ 128k
x x x x x x x x VSAT ≥ 128k
x x x x x x x x VSAT ≥ 128k
x x x x x x x x x VSAT ≥ 128k
x x >10 m x x x x x
x x >10 m x x x x x
x x >8 m x x x x
x x >6 m x x x x x
x x
x x >10 m x x x x x
x x >10 m x x x x x
x x x x x x Chartered to PGS
x x x x x x x x NorSat Chartered to PGS
x x x x x x NorSat
x x x x x x x x X Yes
x x x x x x x X Yes
x x x x X x x x x Yes
x x x x X x x x x Yes
x x x x X x x x Yes
x x x x x x M-Sat 4800
x x x x x x x M-Sat 4800
x x x x x x M-Sat 4800
x x x x x x M-Sat 4800
x x x x x x M-Sat 4800
x x x x x Norsat
x x x x x x x Norsat
x x x x x x x x Norsat
x x x x x x x Norsat
x x x x x x x Norsat
x x x x x x x Norsat
x x x x x x x x Norsat
x x x x x x x Norsat
Chartered from Seabird. See Seabird Exploration below
x x x x x x x Norsat
x x x x x x 7
x x x x x x x 7
x x x x x x 7
x x x x x x 7
2D
3D
4C
Shall
ow
transi
tion z
one
Deepw
ate
r
Hig
h d
ensi
ty
Oce
an b
ott
om
ca
ble
Vert
ical
cable
Nav
data
QC
data
Full
data
Sate
llit
e t
ransm
issi
on
to s
hore
(co
mpany
use
d
and t
ransm
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Note
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Fugro Searcher 2010 65.2 14 1 x 240 2010 tba 140/1,000
Fugro Survey Pte Ltd, 32 Tuas West Road, Singapore 638387
Geo Surveyor 1981 58 10.5 1 x 120 Yes Far East, Worldwide 1 x 40, 1 x 80, 1 x 160
Gardline, Endeavour House, Admiralty Rd., Great Yarmouth, Norfolk NR30 3NG UK
Sea Explorer 1993/1994 58.8 11 1 x 120 Yes Worldwide 2 x 160
Sea Proflier 1992 65.7 11 1 x 120 Yes Worldwide 2 x 160
Sea Surveyor 1998/1999 64.4 11.4 1 x 480 Yes Worldwide 1 x 160 up to 1,950
Sea Trident 1984/1991/2006 57.9 10.2 1 x 120 Yes Worldwide 2 x 160
Ocean Seeker 1970/2000 80.7 13 1 x 120 Yes Worldwide 1 x 160
L’Espoir 1971/1996 67.5 10.6 1 x 120 Yes Worldwide 1 x 160
Tridens 1 1984/1991 57.9 10.2 1 x 120 Yes Worldwide 1 x 160
Global Geophysical Serevices, 3535 Briarpark Dr., Houston TX, USA
DIB 1 2007 12.5 4.25 Yes International OBC Cable
DIB 2 2007 12.5 4.25 Yes International OBC Cable
Global Longhorn 2007 28.5 8 3,000 channels Yes GOM, International OBC Cable
Global Quest 2007 20 5.5 Yes India, International OBC Cable
Global Vision 2007 20 6.4 Yes India, International OBC Cable
James H. Scott 2005 21 6.7 Yes GOM, International 4 x 750 OBC Cable
Lori B 2007 14.6 6 Yes GOM OBC Cable
Miss Ginger 2006 54.8 11.5 Yes GOM OBC Cable
Ms. Cordelia 2007 41.5 11.5 Yes GOM, International OBC Cable
Sea Diamond VIII 2007 55 12 Yes India, International 2 x 750 OBC Cable
Seapol One 2007 16.75 9 3,000 channels Yes India, International OBC Cable
Soha Folk 2007 55 12 Yes India, International OBC Cable
Super Transporter 2006 33.5 8.5 Yes GOM OBC Cable
Te Wera 2007 16.5 4.9 Yes India, International OBC Cable
Tiny Tune 2005 11.5 3.7 Yes USA 1 x 640 OBC Cable
Tuhawiki 2007 15 4.2 Yes India, International OBC Cable
GSI 400, 400 5th Ave. SW Calgary, Alberta, T2P 0L6, Canada
GSI Admiral 1998 89.6 19 4 x 480 Spec Americas 2 x 3,930 4 x 6,000 x 300
GSI Pacific 1979/2005 56.3 12 1 x 480 Spec Americas 1 x 4,410 1 x 7,200
Marine Arctic Geological Expedition (MAGE)
Geofizik 1983 55.7 9.3 Contract Arctic, Northern Seas
Geolog Dmitriy Nalivkin 1991 71.7 12.8 1 x 480 Contract Arctic, Northern Seas 1 x 3,410 1 x 6,000
Professor Kurentsov 1995 68.9 12.4 1 x 480 Contract Arctic, Northern Seas 1 x 6,000
Offshore Seismic Surveys, OSS, 13430 NW Freeway, Suite 800, Houston TX 77040
OSS Gulf Supplier 56.4 11.6 3 x 240 Yes South America 2 x 1,500 3 x 3,000 x 200
OGS Italy, Borgo Grotta Gigante 42c, P.O. Box 2011, 34016 Trieste, Italy
OGS Explora 1997 71.9 12.8 1 x 96 Worlwide inc. Antarctic 2 x 355
PGS Marine Geophysical, Strandveien 4, 1326 Lysaker Norway
Atlantic Explorer 1994 91.5 18 6 x 480 Yes Worldwide 2 x 3,090 3.6 sq km
Falcon Explorer 1997 81.2 16.3 1 x 640 Yes Worldwide 2 x 3,090 N/A
Geo Atlantic 2006 121 26 10 x 480 Yes Worldwide 2 x 4,500 5.4 sq km
Laurentian 2005 84 17 6 x 480 Yes Worldwide 2 x 3,090 3 sq km
Nordic Explorer 1993 82 16.5 6 x 480 Yes Worldwide 2 x 3,090 3.6 sq km
Ocean Explorer 1995 82 18 6 x 480 Yes Worldwide 2 x 3,090 3.6 sq km
Orient Explorer
Pacific Explorer 1994 91.5 22 6 x 528 Yes Worldwide 2 x 3,090 4.0 sq km
Polar Explorer 2008 92 17 1 x 640 Yes Worldwide 2 x 3,090 N/A
Ramform Challenger 1996 86.6 39.6 16 x 480 Yes Worldwide 2 x 3,090 6.6 sq km
Ramform Explorer 1995 82 39.6 12 x 480 Yes Worldwide 2 x 3,090 6.6 sq km
Ramform Valiant 1998 86.6 39.6 20 x 480 Yes Worldwide 2 x 3,090 6.6 sq km
Ramform Vanguard 1999 86.6 39.6 20 x 480 Yes Worldwide 2 x 3,090 6.6 sq km
Ramform Viking 1998 86.6 39.6 20 x 480 Yes Worldwide 2 x 3,090 6.6 sq km
Ramform Sovereign 2008 102 40 26 x 480 Yes Worldwide 2 x 3,090 10.4 sq m
Southern Explorer 2008 92 17 Yes Worldwide 2 x 3,090 N/A
Polarcus, PO Box 283373, Dubai, United Arab Emirates
Nadia 2009 88.8 19 2009 Worldwide 2 x 4,240 12 x 8,000 x 75
Naila 2009 88.8 19 2009 Worldwide 2 x 4,240 12 x 8,000 x 75
Samur 2009 84.2 17 2010 Worldwide 2 x 4,240 6 x 8,000 x 160
Selma 2010 84.2 17 2010 Worldwide 2 x 4,240 6 x 8,000 x 160
Asima 2010 92 21 2010 Worldwide 2 x 4,240 12 x 8,000 x 100
Alima 2010 92 21 2010 Worldwide 2 x 4,240 12 x 8,000 x 100
RXT Reservoir Exploration Technologies, Lysaker Torg 5 A, PO Box 104, 1325 Lysaker, Norway
Beulah Chouest (RXT 1) 1982/1996 60 14 980 channels Yes Worldwide 3 x 1340 cu in. 6 x 6,000
Bourbon (RXT 1) 2004 210 54.4 Yes Worldwide 6 x 6,000
Caspian Marie (RXT 3) 1998 Yes Worldwide 8 6-km VSO cables
Worldwide Seismic Vessel SurveyVessel
name
Year
rigged o
r co
nve
rted
Tota
l le
ngth
(m
)
Tota
l beam
(m
)
Str
eam
er
confi
gura
tion
(# s
tream
ers
x
# c
hannels
)
Vess
el
ava
ilabil
ity
(Yes,
No,
or
Exc
lusi
ve c
ontr
act
)
Pri
mary
regio
n
Sourc
e a
rray
confi
gura
tion a
s ri
gged (
# a
rrays
x
capaci
ty)
Maxi
mum
tow
able
fo
otp
rint (#
cable
s x
length
(m
) x
wid
th (
m))
GEO SEARCHER ����������� �� ������������������������� ��������������������������!�� ��������!������������
S C A N G e o p h y s i c a l A S A
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Technical capability Onboard processing
Seismic
x x x x x x 7
x x x x x x x
x x >10m x x x x x VSAT (256)
x >10m x x x x x VSAT (256)
x x >10m x x x x x VSAT (256)
x >10m x x x x x VSAT (128)
x >10m x x x x x VSAT (256)
x >10m x x x x x VSAT (128)
x >10m x x x x x Gardline 64k
x x x x x x x x
x x x x x x x x
x x x x x x x x Recording vessel
x x x x x x x x
x x x x x x x x
x x x x x x x x
x x x x x x x x
x x x x x x x x
x x x x x x x x
x x x x x x x x
x x x x x x x x Recording vessel
x x x x x x x x
x x x x x x x x
x x x x x x x x
x x x x x x x x
x x x x x x x x
x x x x x x V-SAT
x x x x V-SAT
x
x x x x x x NorSat
x x x
x x x x V-SAT
x x x x x x 64k
x x x x x x x 56k
x x x 56k
x x x x x x x 56k
x x x x x x x 56k
x x x x x x x 56k
x x x x x x x 56k
Chartered from DMNG.
See Dalmorneftegeophysica (DMNG) above.
x x x x x x x 56k
x x
x x x x x x x 56k
x x x x x x x 56k
x x x x x x x 56k
x x x x x x x 56k
x x x x x x x 56k
x x x x x x x 56k
x
x x x x x x x VSAT
x x x x x x x VSAT
x x x x x x x VSAT
x x x x x x x VSAT
x x x x x x x VSAT
x x x x x x x VSAT
x x x x
x x x x
x
2D
3D
4C
Shall
ow
transi
tion z
one
Deepw
ate
r
Hig
h d
ensi
ty
Oce
an b
ott
om
ca
ble
Vert
ical
cable
Nav
data
QC
data
Full
data
Sate
llit
e t
ransm
issi
on
to s
hore
(co
mpany
use
d
and t
ransm
issi
on
speed –
baud #
)
Note
s
SCAN RESOLUTION ��"��� ������������ �������������!����#��$��!��%�����"� ����� �&������'������� ���� ���(���� ��� ��)��*������!����� +�������-&������� ���/����������������������������
w w w . s c a n g e o . c o m
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Geofizik-1 (RXT 3) 1989 Yes Worldwide 8 6-km VSO cables
Ocean Pearl (RXT 2) 2001 108.6 18 Yes Worldwide 12 x 6,000
Sanco Star (RXT 5) Q2 2008 (combined source/cable vessel) Yes Worldwide
Sara Maatje II (RXT 3) 1977 Yes Worldwide 8 6-im VSO cables
Sara Maatje IX (RXT 3) 1994 Yes Worldwide 8 6-km VSO cables
SCAN Geophysical ASA, Raadhusgaten 23, 0158 Oslo, Norway
Geo Searcher 2005 69.2 12.8 1 x 960 Yes Worldwide 1x 7,480 N/A - 2D
Scan Resolution 2006 72.7 17 4 x 1,920 Yes Worldwide 2x 4,000 4 x 6,000 x 100
Scan Stigandi 2008 66.3 14.2 4 x 2,560 Yes Worldwide 2x 4,000 4 x 6,000 x 100
Scan Empress 2009 80 19.4 10 x 6,400 3Q 2009 2 x 4,320 10 x 8,000 x 1
Sea Bird Exploration Nedre Vollgate 3, P.O. Box 1302, Vika 0112 Oslo, Norway
Aquila Explorer 2007 71 17.5 1 x 960 PGS Worldwide 2 x 5,000
Geo Mariner 2001/2004 38.2 12.8 2 x 320 Yes Worldwide 2 X 1,700; 3 X 1,995 2 x 3600 x 100
Harrier Explorer 2007 81 18.3 Source PGS Worldwide
Hawk Explorer 2006 66 14.5 1 x 960 Fugro Geoteam Worldwide 1 x 4400
Hugin Explorer 2007/2008 86 20 Yes Worldwide 2 x 4400
Kondor Explorer 1984/1997 63.5 13.6 Source Yes Worldwide 2 X 5000 (client selectable)
Munen Explorer 2007 60 14 1 x 960 Yes Worldwide 2 x 5000
Northern Explorer 1987/1998/2004 76 14 1 x 648 Yes Worldwide X 5,000 Bolt
Osprey Explorer 2006 81 16 Source Yes Worldwide 2 X 5000 (client selectable)
Sevmorneftegeofizika (SMNG), 17, Karl Marx St., 183025 Murmansk, Russia
Akademik Lazarev 1987/96 81.8 14.8 1 x 696 Yes Worldwide 4 x 4,258 1 x 8,000
Akademik Nemchinov 1988/97 84 14.8 4 x 408 Yes Worldwide 6 x 7,874 4 x 5,000 x 450
Akademik Shatskiy 1986/91 83.5 14.8 1 x 640 1-year charter Worldwide 6 x 6,444 2 x 4,000 x 100
Iskatel - 5 1989/97 49.2 18.2 1 x 324 Yes Worldwide 4 x 3,000 1 x 4,000
Professor Polshkov 1984/94 71.6 12.8 1 x 480 Yes Worldwide 4 x 3,800 1 x 6,000
Professor Rjabinkin 1989/95/2007 49.9 10.5 2 x 480 Yes Worldwide 2 x 2,280 2 x 6,000
Shanghai Offshore Petroleum Bureau CNSPC, 1225 Shangcheng Road Pu Dong, Shanghai
Discoverer 1980 72 16.4 120 ch
TL Geohydrographics (TL Offshore, operated by SapuraCrest Petroleum), Tingkat 15, Menara 2, Faber Towers, Jalan Desa Bahagia, Taman Desa, Off Jalan Klang Lama, 58100 Kuala Lumpur, Malaysia
Teknik Kembara 1993 56.4 12.2 1,500 m GX600 Yes Asia Pacific 2 x 160
Teknik Putra 1995 60 11 Yes Asia Pacific
Wavefield Inseis AS, Damsgardsveien 163 B, N-5162 Laksevag, Norway
Bergen Surveyor 1997/ 2006 67 14.6 2 x 480, 1 x 960 Yes Worldwide 4,400, 2 x 2 sub-arrays 2 x 6,000 x 100
Discovery 2 1993 65.15 17.98 960 Yes Worldwide 1 x 4,000 1 x 12,000
Geowave Champion 2007 106.3 22.4 12 x 720 Yes Worldwide dual 3,500, 2 x 3 sub-arrays 12 x 9,000 x 825, 10 x 9,000 x 900
Geowave Commander 2006 98 16.5 6 x 720, 8 x 480 Yes Worldwide dual 3,500, 2 x 3 sub-arrays 8 x 6,000 x 700
Geowave Endeavour 2008 106.6 26.6 16 x 720 Yes Worldwide dual 3,500, 2 x 3 sub-arrays 16 x 9,000 x 1,125m
Geowave Master 2007 113 22.5 12 x 720 Yes Worldwide dual 3,500, 2 x 3 sub-arrays 12 x 9,000 x 825, 10 x 9,000 x 900
Geowave Voyager 2008 92.7 22 12 x 720 Yes Worldwide dual 3,500 2 x 3 sub-arrays 12 x 9,000 x 825, 10 x 9,000 x 900
Malene Østervold 2007 70 15 2 x 480, 1 x 960 Yes Worldwide dual 3,500, 2 x 3 sub-arrays 2 x 6,000 x 100
WesternGeco, Schlumberger House, Buckingham Way, Gatwick Airport, West Sussex, RH6 0NZ UK
Conti 2005 65 17 2 x 3,200 Yes Worldwide
Geco Bluefin 1980 80 19 2 x 3,200 Yes Worldwide
Geco Diamond 1993 81 19 8 x 480 Yes Worldwide 6 x 1,695 8 x 6,000 x 700
Geco Eagle 1999 95 37 12 x 640 Yes Worldwide 8 x 1,695 12 x 8,000 x 1,100
Geco Emerald 1992 81 19 8 x 480 Yes Worldwide 6 x 1,695 8 x 6,000 x 700
Geco Searcher 1983 92 20 8 x 2,560 Yes Worldwide 8 x 1,695 8 x 8,000 x 700
Geco Snapper 1997 67 18 Yes Worldwide 6 x 1,695
Geco Tau 1992 77 19 Yes Worldwide 6 x 1,695
Geco Topaz 1992 81 19 8 x 1,920 Yes Worldwide 6 x 1,695 8 x 6,000 x 700
Geco Triton 1970 79 21 10 x 720 Yes Worldwide 8 x 1,695 10 x 9,000 x 900
Gilavar 1981 85 19 6 x 480 Yes Worldwide 6 x 1,695 6 x 6,000 x 500
Ocean Odyssey 2005 72 16 Yes Worldwide 8 x 1,695
Western Delta 2007 61 12 Yes Worldwide 8 x 750 sleeve
Western Monarch 1991 93 24 12 x 2,560 Yes Worldwide 8 x 1,695 12 x 8,000 x 1,100
Western Neptune 1999 93 24 12 x 2,560 Yes Worldwide 8 x 1,695 12 x 8,000 x 1,100
Western Patriot 1993 78 17 8 x 480 Yes Worldwide 6 x 1,695 sleeve 8 x 6,000 x 700
Western Pride 1991 73 20 20 x 1,920 Yes Worldwide 6 x 1,695 10 x 6,000 x 900
Western Regent 1992 94 24 12 x 2,650 Yes Worldwide 8 x 1,695 sleeve 12 x 8,000 x 1,100
Western Trident 1999 92.5 23 16 x 315 Yes Worldwide 8 x 750 sleeve 10 x 7,000 x 1,100
Western Spirit 1993 78 22 10 x 1,920 Yes Worldwide 8 x 1,695 sleeve 10 x 6,00 x 700
WG Columbus 2009 88 21 12 x 3,200 Yes Worldwide 6 x 1,695 12 x 10,000 x 1,100
WG Magellan 2009 88 21 12 x 3,200 Yes Worldwide 6 x 1,695 12 x 10,000 x 1,100
Q refers to Q-Technology
Worldwide Seismic Vessel SurveyVessel
name
Year
rigged o
r co
nve
rted
Tota
l le
ngth
(m
)
Tota
l beam
(m
)
Str
eam
er
confi
gura
tion
(# s
tream
ers
x
# c
hannels
)
Vess
el
ava
ilabil
ity
(Yes,
No,
or
Exc
lusi
ve c
ontr
act
)
Pri
mary
regio
n
Sourc
e a
rray
confi
gura
tion a
s ri
gged (
# a
rrays
x
capaci
ty)
Maxi
mum
tow
able
fo
otp
rint (#
cable
s x
length
(m
) x
wid
th (
m))
SCAN STIGANDI ��0���������)���1��������! ���������!��������� �������!������������5/������1����*���6����!�� ��������!������������� ������
S C A N G e o p h y s i c a l A S A
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Technical capability Onboard processing
Seismic
x
x x x x
x
x
x x x x x x VSAT
x x x x x x x x VSAT
x x x x x x x x VSAT
x x x x x x x x VSAT
x x x x x Inmarsat C 2D/Source. Charter to PGS.
x x x x x x NorSat C
Inmarsat C Charter to PGS.
x x x x x Inmarsat C Time charter to Fugro-Geoteam.
x x x x x x x Inmarsat C SeaBed
x KU Band Source only.
x x x x x Inmarsat C 2D/Source.
x x x x x NorSat C
x Inmarsat C
x x x x x x 64k
x x x x x x x x 64k
x x x x x x x x 64k One-year charter to Wavefield Inseis.
x x x
x x x x x x 64k
x x x x x x 9.6k
x x x x x x
x x x x Inmarsat B
x x x x Inamrsat B
x x x x x x VSAT Telenor 256k
x x x x x x x VSAT Telenor 256k
x x x x x x x VSAT Telenor 256k
x x x x x x x VSAT Telenor 256k
x x x x x x x VSAT Telenor 256k
x x x x x x x VSAT Telenor 256k
x x x x x x VSAT Telenor 256k
x x x x x x VSAT 128K+
x x x x x x x x x VSAT 128K+
x x x x x x x VSAT 128K+
x x x x x x x VSAT 128K+
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Eastern Mediterranean Tamar discovery reveals
potential gas-rich play in Levantine basin
Regional analogies also offer prospects for deeper oil
Test results from a gas discovery in the Levantine basin point to an emerging subsalt play. The deepwater well on the Tamar structure, 90 km (56 mi) offshore Haifa, Israel, encountered
three productive reservoirs with thick sands in the Lower Miocene and net pay of more than 460 ft (140 m).
Gas fl owed at a constrained rate of 30 MMcf/d over a limited section of the lowest reservoir, and operator Noble Energy be-lieves a production rate of over 150 MMcf/d could be feasible. It claimed the fi nd could be the largest in its history, with a resource potential of around 5 tcf. The water depth of 5,500 ft (1,680 m) was also the deep-est by far for any well to date in Is-raeli waters.
Noble and its partners are set to retain the rig, the Atwood Hunter,for two more wells. The fi rst would be on Dalit, another Tertiary/Lower Miocene subsalt prospect in 4,500 ft (1,372 m) of water in the Michal per-mit, 28 mi (45 km) offshore, which is already covered by 3D seismic. The second well would be a step-out on Tamar, in the Matan license.
Further gas fi nds would help ease Israel’s energy concerns. The coun-try’s sole production comes from the Mari-B fi eld in shallow water off the southern coast. The Gaza Marine discovery has yet to be put into pro-duction. Otherwise, the only exter-nal source of gas is a pipeline from Egypt, but throughput has been sub-ject to interruptions.
In recent years, Houston-based No-ble and local company Delek Drilling have been the mainstays of Israeli E&P. Prior to Tamar, there had been no ex-ploration drilling for several years, but
more recently other companies have picked up offshore concessions. These include Israeli junior PetroMed, which last year converted two deepwater exploration permits in the Le-vantine basin to drilling licenses (Sara and Myra) both a short distance from the Matan license. The company also operates an adjoin-ing exploration permit (Benjamin).
PetroMed’s interpretive studies of exist-
ing geological and seismic data since 2005 indicated strong potential for thermogenic gas, and for condensate and oil at deeper levels. The company’s acreage is close to the Tamar discovery and on trend with the Dalit structure. PetroMed also has found strong indications of deeper lying, light Jurassic oil, based on wells closer to the Israeli coast and via geological analogies with recent ultradeep discoveries in the Nile Delta to the south.
Hibernia ‘look-a-like’
The company describes its mission as “to discover, drill, develop, and deliver oil and
gas to Israel,” with a focus on off-shore targets. It was formed in 1999, originally as a Nevada-based corpo-ration, by fi nancial and management consultant Hagai Amir. Four years later in Calgary, he and Russell Koch were introduced to the late Donald Axford, a Canadian geologist cred-ited with fi nding the Hibernia fi eld off Newfoundland.
Axford believed he had “seen” an-other Hibernia on seismic offshore Israel.
AJ Amir is chairman and CEO of PetroMed, supported by fi nance di-rector Koch, who is based in Seattle. Other board members include Arlon Tussing, a former chief energy advis-er to the US Senate and now energy consultant for the World Bank and Deutsche Bank.
The company’s exploration team of experienced geologists and geophysi-cists, all based in the UK, are headed by exploration manager David Peace. The team is complemented by exter-nal consultants RPS, providing as-sistance with 3D survey design and specialized data reprocessing, and Aberdeen-based contractors to help with early well planning.
For much of his exploration career Peace has worked in the greater Medi-terranean region. He worked in Milan for Agip and Penn Geophysical, and headed an interpretation team of eight
42 Offshore March 2009 • www.offshore-mag.com
Jeremy Beckman
Editor, Europe
S P E C I A L R E P O R T: M E D I T E R R A N E A N
The Atwood Hunter will shortly drill the
Dalit structure, another gas prospect, in
shallow water closer to the Israeli coast.
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44 Offshore March 2009 • www.offshore-mag.com
S P E C I A L R E P O R T: M E D I T E R R A N E A N
geologists and geophysicists for Agip review-ing much of the Italian offshore region and the Po Valley. In the 1990s, he was Texaco’s explo-ration manager, based in Rome, and a director of Texaco Italiana Spa.
After leaving Texaco in 1998, Peace was an independent exploration consultant and conducted a regional evaluation of the en-tire Eastern Mediterranean based on Spec-trum’s regional seismic grid of 25,000 line km (15,534 mi).
“Spectrum had a regional seismic grid around Cyprus and Lebanon,” he explains, “based on a reprocessed speculative survey originally acquired in 1975. This data was a wide-spaced regional survey from southern Turkey to the eastern Nile Delta, and cov-ered the thrust zone between Anatolia and North Africa – one of the major continental margins – and it revealed a very attractive new play.
“The old data had imaged the entire Le-vantine basin, which had not really been explored by any of the countries in the re-gion. Due to recording limitations, they had only recorded the fi rst fi ve to six seconds of data – hence also seeing only the top of the basin. However, when Spectrum acquired its 20,000 km (12,427 mi) of new seismic in 2001-2002, it recorded down to 12 seconds, which allowed us to see the deeper part of the basin.”
The only prior wells in the area were off southern Turkey and had led to some small discoveries in the Iskendrun basin. Spec-trum’s new seismic provided a more de-tailed 2D grid over offshore southern Tur-key, Syria, Lebanon, Cyprus, Israel, Gaza, and the outer fringes of Egypt, and was de-signed to promote licensing rounds in these countries.
In 2001, when the surveys were being acquired, the Lebanese government was in talks about a fi rst offshore round, but this never came about at the time. Cyprus also considered staging a round, although this did not take place until 2007-08.
“To date,” Peace adds, “there has been no offshore drilling either in Syria or Cy-prus, and only one well offshore Lebanon. Onshore Cyprus, which is the epicenter of the collision zone with Africa, is one of the toughest to interpret geologically in the world, but we see the sedimentary plays on the fringes of the Levantine basin as very interesting.”
In late 2002, Peace began evaluating Spectrum’s entire database for the eastern Mediterranean region, concluding the pro-gram in fall 2003. The results looked very promising: “In the Levantine basin, includ-ing the Latakia thrust zone in the north, we identifi ed some very interesting structural patterns which showed a lot of individual
seismic leads, from small closures to much larger simple structural traps.”
Southerly analogy
To the south in the Nile Delta, explora-tory drilling began in earnest in the late 1990s. “British Gas started fi nding gas in channel sands in the shallow Pliocene sec-tion above the deeper Messinian salt layer that covers much of the Mediterranean,” says Peace. “Later, they followed similar channel features up the eastern Mediter-ranean coast to make further biogenic gas fi nds off Gaza and southern Israel.
“At that time I was with Texaco and to us, the whole area looked rather gas-prone in the early days. Later on, however, the focus of Nile Delta exploration switched to drilling through the Messinian salt zone, and over the last few years companies have found not just biogenic gas of shallow origin, but also deeper thermogenic gas and, more recently, condensate and oil 4.5 km (2.8 mi) down in the high-pressure/high-temperature zone. So the message is clear: biogenic gas in the shallow section, but thermogenic gas, con-densate and free oil in the deeper pre-salt section, a situation we believe exists in the Levantine basin as well.
“From our evaluation of the Spectrum regional data, we can see that the Levantine basin has some characteristics and geologi-cal conditions similar to the Nile Delta (al-though not at all identical) and which extend into PetroMed’s licenses. Inshore from our blocks, two older wells have already tested 800 b/d of light ‘Jurassic’ oil from deeper ly-ing Jurassic strata underlying our permits. These excellent oil shows are almost cer-tainly the result of migration from the deep-er parts of the basin to the west, and provide further evidence for an active thermogenic hydrocarbon system in the deeper part of the Levantine basin, in part mirroring what we see off Egypt.”
Exploratory leads
Following initial contact and dialogue with the Geophysical Institute of Israel near Tel Aviv, PetroMed submitted its initial tech-nical presentations for its permit areas to the Ministry for National Infrastructure in Jeru-salem early in 2006, and these were granted later that year. Initial evaluations continued to confi rm the potential of the areas, and last year the company opted to convert the per-mits to three-year drilling licenses.
The Sara and Myra licenses both cover 400 sq km (154 sq mi). Peace and his team so far have identifi ed two large prospective lead areas, one in each license, in water depths of around 1,100 m (3,609 ft). One is a thick four-way dip closure from Tertiary to Jurassic, which is on trend with the Dalit
structure in the adjacent Noble-operated permit. The second prospect is a potential reef growth on top of an older high, which is in turn overlain by potential Cretaceous and Tertiary reservoirs, as confi rmed in Tamar.
The company has a letter of agreement for a 3D seismic vessel, and aims to start acquir-ing 3D over the two license areas by mid-year, followed by detailed processing and pre-stacked depth migration of the data.
“We will do the interpretation ourselves,” Peace says. “We’re happy that the structures are there from the 2D data, so the main pur-pose of the 3D seismic is to confi rm internal geological detail within each of the struc-tures to allow us to optimize future drilling locations.
“We need 3D data primarily to defi ne these structures in greater detail – we can see anomalies within them that cannot be resolved by 2D seismic. Thereafter, we plan to select our best drilling locations and be ready to spud our fi rst well within two and a half years from now. At the same time, it is also a case of getting partners on board to share the well costs.”
According to Hagai Amir, PetroMed has been in open dialogue with several major oil companies in this regard. “At this time,” he says, “we are open to offers from potential new fi nancial partners and strategic part-ners from the industry. Ideally, the partner we would prefer would be an established in-ternational oil and gas company with signifi -cant drilling and operational experience.
“PetroMed is currently operator of all three licenses and permits for all technical work up to the initial well spud, but we would welcome specialized geophysical technical assistance from suitably experienced new partners as well. As we are only a small com-pany, we would also prefer that a more expe-rienced oil company partner would operate as we enter the actual drilling phase.”
Water depths in the two drilling permits extend to 1,500 m (4,921 ft). Both carry ini-tial three-year terms, but in the event of a discovery, these can be renewed for a fur-ther four years for appraisal drilling, and 25 years for subsequent development and pro-duction. The work obligations for the adjoin-ing, 18-month exploration permit include geological studies and 2D seismic.
“Our long-term ambition,” says Amir, “is to build a stronger and stronger explora-tion position, work up opportunities that will attract further industry partners, and see them developed while retaining an inter-est therein. In time the company may also consider venturing outside Israel to explore other opportunities, but the recent discov-ery of Tamar has confi rmed our belief in the region, and we are very happy with our cur-rent acreage.” �
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Subsea boosting, processing sustain momentum
Advances, new applications create opportunities
This article addresses the progress made through the application of subsea processing, separation, and boosting technologies in the past year. Maintaining the momentum from a number of recent/current subsea processing installations, development programs and project applications continue to provide the industry with new
technical advancements and opportunities, and some challenges, too.Operators continue to initiate and to fund studies into boosting,
separation, compression, and power delivery and distribution when developing new fi elds. In an attempt to capture the full value of subsea processing’s technical and economic advantages, operators are tak-ing the lead in fi eld development. An increase in overall confi dence towards subsea processing packages is the result of ongoing devel-opment and the success of current systems. Operators appear more open to investigation and development of project-specifi c equipment, and now ask more questions about economics and application details rather than voicing previous concerns about risk and reliability.
INTECSEA has completed multiple proprietary Gulf of Mexico projects which carried subsea processing solutions through the conceptual and pre-FEED stages. Each project performed detailed studies into the current industry offerings; identifying current hard-ware while also planning the development of future complementary technologies required for the entire system. For example, identify-ing the optimal type and size of a subsea pump for an application is only half the battle. If the necessary wet-mate electrical connectors and penetrators are not available, the pumps have to wait.
As the primary subsea processing disciplines (separation, boost-ing, and gas compression) are applied to projects, evolution of the drivers for each of the disciplines continues. Stated advantages are being complemented with new drivers as necessity breeds develop-ment. This is evident in the BP King and StatoilHydro Tordis proj-ects, as both have dealt with unplanned interruptions during the fi rst few months of operation. Yet these interruptions are viewed as prog-ress towards more effi cient solutions; a necessary step in the evolu-tion of the technology. During the Subsea Boosting and Processing Joint Industry Project conducted by INTECSEA in 2007, operators voiced the realization that unforeseen problems were more likely in the fi rst two years than the following three to fi ve years. That is, problems are identifi ed and solved in the early part of application life so operations are much more trouble free after that. The same con-cept applies to technologies in general. As problems are identifi ed and solved, future applications should be much more reliable.
Subsea boosting continues to pave the way for the other subsea processing disciplines in its development and experience. While Fra-mo continues to develop its Hybrid and High Boost pump technol-ogy to combine the benefi ts of helicon-axial and centrifugal pumps for Pazfl or, the Camforce joint venture of Cameron, Curtiss-Wright, and Leistritz anticipates results from the pending Marlim twin-screw pump installation. Keeping pace, Aker Solutions continues to devel-op its new semi-axial pump technology to rival the Framo offerings, while Bornemann and Flowserve continue to advance the technol-ogy of twin screw designs, including Flowserve’s future target offer-ing of a 5-MW pump system.
Schlumberger and Baker Hughes Centrilift continue to develop elec-trical submersible pump (ESP) technology. Centrilift expects success-ful installations offshore Brazil will continue to push the advancement of ESPs. Pending installations and operations include BC-10, Golfi nho, and Albacore Leste. Similarly, the Shell Perdido project aims to set the stage in the Gulf of Mexico by using ESP technology in 8,000 ft (2,438 m) of water with fi ve boosting packages.
Looking further into the future, gas developments at Aasgard and Ormen Lange (both slated for 2012) still are on pace to establish new baselines in gas compression and power distribution technol-ogy. A project update for Ormen Lange is expected at the 2009 Sub-sea Tieback Forum in San Antonio, Texas.
Effects that the current economic downturn will have on the in-dustry cannot be quantifi ed, but it has not yet prevented operators from investigating, developing, or committing to continued develop-ment of subsea processing technology. �
To continue this conversation, contact INTECSEA by e-mailing [email protected].
46 Offshore March 2009 • www.offshore-mag.com
Michael Padilla
INTECSEA
S U B S E A
Reasons for subsea compression, boosting, water injection, separation
COMPRESSION
Increase subsea tieback distance
Improve fl ow assurance issues
Eliminate offshore platform(s)
ENABLER: The fi eld could not be developed economically and/or
technically (i.e. - Gas tieback under ice in Artic regions)
BOOSTING
Reservoir advantages
Increase ultimate recovery by lowering abandonment
pressure
Enable oil recovery from low-pressure reservoirs
Enable oil recovery of low-quality fl uids
Production advantages
Increase production rate by reducing fl owing wellhead pressure
Reduce opex by reducing recovery time (shorten life of fi eld)
Offset high-friction pressure losses in fl owline due to fl uid viscosity
Offset elevation head pressure loss
Facilities advangages
Longer subsea tiebacks
WATER INJECTION
Eliminate topsides water injection equipment
Eliminate water injection fl owlines
SEPARATION
Minimize topsides water handling
Hydrate control by removing liquids from gas stream
Increase hydrocarbon production volume
Decrease total boost system power requirements
Accelerate and/or increase recovery
Improve fl ow management, fl ow assurance
Reduce capex on topsides processing equipment and pipelines
Improve economics of fi eld with low GOR, high viscosity, low
permeability
COURTESY OF INTECSEA AND BHP BILLITON
As the primary subsea processing disciplines (separation, boost-ng and gas compression) are applied to projects evolution of the
SEP
Min
Hyd
Incr
Dec
See the 2009 Subsea Processing poster in this issue.
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March 2009
Houston London Paris Stavanger Aberdeen Singapore Moscow Baku Perth Rio de Janeiro Lagos Luanda
World Trends and Technology for Offshore Oil and Gas Operations
Port Fourchon thrivesdespite the economy
For continuous news & analysiswww.offshore-mag.com
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NT Port Fourchon thrives despite the economy
Deepwater activity stays the course amid pullback
Buoyed by deepwater activity that shows no sign of drying up anytime soon, Port Fourchon is sidestepping the economic malaise gripping most of the nation and is not just coping,
but fl ourishing. While cash-strapped independents
operating on the continental shelf have pulled back appreciably, the bread and butter for Port Fourchon is the deepwater, where it functions as the primary sup-port base for more than 90% of existing projects. According to a recent Minerals Management Service (MMS) study, that bread and butter is in no danger of going off the shelves in the foreseeable future. In early 2009, the federal agency listed 59 “pending” deepwater projects in the Gulf of Mexico, which is in addition to the 33 wells currently being drilled in deep and ultra deepwater. Factoring in the 135 deepwater fi elds already developed, there are nearly 230 deepwater projects in need of products and services fl owing from the port.
The port’s daily traffi c count appears to confi rm that the global recession has not yet made its way into Port Fourchon, the southernmost port in Louisiana, strategically nestled on 1,300 acres at the mouth of Bayou Lafourche in Louisiana’s southernmost par-ish of Lafourche.
“Interestingly enough, our daily traffi c count in January (2009) was 13% higher than it was in January 2008. So, as you can see, our activity level certainly hasn’t diminished here,” says Ted Falgout, executive director of the Greater Lafourche Port Commission (GLPC), who will retire at the end of the year after 30 years at the helm of Port Fourchon.
Today, more than 250 operators and service and supply companies, from inter-national conglomerates to home-grown, family-owned enterprises, operate out of Port Fourchon. The port’s director of Economic Development, Chett Chiasson, who will suc-ceed Falgout in January, says that number promises to rise considerably as companies stand in line to acquire space being made available through the entity’s aggressive northern expansion project.
“We’ve been averaging about one new lease a month and as fast as we can build these new facilities, they’re taken,” he says.
The latest MMS report follows on the heels of an eye-opening study released in 2008 that examines the regional and national impact of a three-week disruption in oil and gas deliveries from the port’s jurisdiction. Considering that the Gulf of Mexico provides
upwards of one-third of the nation’s domestic oil supply, with 80% expected to fl ow from the deepwater by 2010 when some new develop-ments come on line, the ramifi cations on US energy security of any supply interruption are momentous, the study concludes. What’s more, some 87% of the nation’s offshore gas production comes from the Louisiana outer continental shelf.
Along with its impact on domestic production, Port Fourchon also is home to the Louisiana Offshore Oil Port (LOOP), the only deepwater facility in the US capable of offl oading supertank-ers carrying imported oil. An estimated 13-15% of the imported oil entering the US market is delivered through LOOP, which also is connected to 50% of the nation’s refi ning capacity. The latest fi gures show LOOP handling more than 1 MMb/d of
imported crude along with 300,000 b/d of domestically produced oil.
Taking all this into account, the study en-titled “Economic Impacts of Port Fourchon on the National and Regional Economies” concludes any long-time disruption from a hurricane or other event would remove some 18% of the nation’s energy supply. Dr. Loren Scott of Loren C. Scott and Associates of
Baton Rouge compiled the study, which was funded by the Loui-siana Department of Economic Development.
Based on an average 2006 oil price of $66/bbl, Scott concluded
50 Offshore March 2009 • www.offshore-mag.com
Jim Redden
Contributing Editor
Rally Point to keep information fl owing
The next time a hurricane or similar catastrophe strikes South Louisiana, com-munications for employees and companies operating out of Port Fourchon will continue unabated.
By the start of the 2009 hurricane season, Port Fourchon will have its “Rally Point” network in place. It is designed to give employees and companies operat-ing out of the port an uninterrupted communications system. Port Fourchon IT Director April Danos says the Web-based system will provide continual updates.
“During storms, people evacuate and we have no contact information for them. What this will do is allow us to communicate with them, advise them of what is hap-pening at the port, and when they can return,” she explains.
The way it works is each facility and employee will receive access cards and a link where they can provide contact information in case they have to evacuate because of a storm.
Danos says to further facilitate uninterrupted communications, the port is looking at establishing an off-site e-mail service that will provide a “fail over” should elec-tronic communications at the port become inoperable.
“We also are looking at having a mobile communications trailer so the adminis-trative offices and harbor police can be up and running immediately after a storm,” she says.
Retiring Port Fourchon Executive Director Ted
Falgout, right, and his successor, Chett Chias-
son, at the port’s Galliano headquarters.
Tanks for the fi fth M-I Swaco drill-
ing fl uid plant in Port Fourchon
are staged for installation at the
new Gulf Offshore Logistics (GOL)
facility.
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52 Offshore March 2009 • www.offshore-mag.com
a three-week loss of service for any reason would equate to a national economic impact of $9.9 billion in lost sales, a loss of $2.9 billion in household earnings, and a drop of more than 77,000 jobs across the nation.
Closer to home, the study estimated the economic impact of a supply disruption on the Houma Metropolitan Statistical Area, which includes Port Fourchon, to be $1.5 bil-lion in lost business sales and a $350 million drop in household earnings.
“We have long felt that the impact of this corridor to our region and nation was huge, and now we have well-documented evidence that even our own estimates were understat-ed. Port Fourchon’s signifi cance is growing every day,” Falgout said when the report was released.
The impact of even a comparatively short-er disruption was driven home in August and September of 2008 when hurricanes Gustav and Ike slammed into the southern Louisiana coast, temporarily shutting off production coming out of the port.
“It is estimated that as a result of Gustav and Ike, over $7 billion worth of oil and gas was made unavailable to the American public,” Falgout said at the time. “The Port is ramping up very quickly to play its role in recovery of the Gulf of Mexico energy industry.”
Port, tenants expanding
Ramping up, indeed. In light of the most recent MMS calculation on the present and future growth of the deepwater oil and gas operations and expectations for 19 newbuild deepwater drilling rigs entering the Gulf of Mexico between 2010-2112, the optimism of port executives and tenants alike is easily justifi ed, and both sides are responding accordingly.
The port, which the Louisiana legislature created in 1960, is moving closer to comple-tion of its 4,000-acre northern expansion project, which essentially would double the facility’s operational area. Port offi cials say they are close to completion of Phase 1 north of the E-Slip development that comprises a 700-acre (2.8-sq km) site that includes 180 acres of non-waterfront property and 21,000 linear ft (6,400 m) of water frontage.
Construction of 2,314 linear ft (705 m) of steel sheet pile bulkhead along Slip B is well under way, with an additional 1,800 linear ft (549 m) of bulkhead expected to be com-pleted by the end of this year. Chiasson says 84% of the property included in the Phase 1 project already has been leased.
“Slip B is nearing completion. Right now, 4,100 ft (1,250 m) of bulkhead is under construction and another 1,425 ft (434 m) is in the planning stages. We also are working on permits for Phase 2 that will include the 7,000 ft long x 700 ft (2,134 m x 213 m) wide Slip C. We expect those permits any day now,” Chiasson says.
Furthermore, Port offi cials say that when Lafourche Parish votes abolished the drilling rig ad valorem tax in 2004, it cleared the way for property within the northern expansion to become an attractive venue for the grow-ing rig repair and refurbishment business.
The South Lafourche Leonard Miller Jr. Airport, which came under the GLPC umbrella in 2001, likewise, is in the midst of a major expansion. The airfi eld, which the Federal Aviation Administration (FAA) named Louisiana’s Airport of the Year in 2006, has completed the extension of its runway from 3,800 ft to 6,500 ft (1,158 m to 1,981 m), allowing it to accommodate mid-size business jets.
“Since the (runway) expansion, we’ve see a big increase in jet traffi c. Business jets used to make up about one-fourth of our total
traffi c, but now it’s more like 50-50,” says airport manager, Jason Duet, who adds that Edison Chouest Offshore is completing a hangar to house three of its jets.
Duet says the airport also is looking at developing an industrial park, which would double available crew quarters and other facilities for offshore workers and those engaged in other local projects like the LA 1 highway construction.
The companies operating out of Port Four-chon say the optimism of port executives is clearly justifi able.
“The bottom line is, Port Fourchon provides quick access to the deepwater; so as long as there is an oilfi eld in the Gulf of Mexico, this will continue to be the hub,” says Karl Boffanie, manager of John W. Stone Oil Distributors. �
VIH Cougar joins Port Fourchon helicopter fl eet
By April, Idaho-based VIH Cou-gar Helicopters will be fl ying out of a new hangar and passenger facility at South Lafourche Leon-ard Miller Jr. Airport.
The company has been operat-ing in the Gulf of Mexico since 2005 as part of an alliance with Pacifi c Helicopter Tours Inc. where it fl ew passengers for BP Americas. In October 2008, VIH Cougar completed its Part 135 Federal Aviation Regulations (FAR) certifi cation, allowing it to fl y passengers directly, says Gen-eral Manager Bill McDonald.
“We will be conducting pas-senger fl ights for Heerema Marine beginning in the March/April timeframe and will also conduct fl ights for BP on an as-required basis. We also have hopes of securing more passenger contracts with Gulf operators,” McDonald says. “Additionally, VIH Cougar has a depth of experience in search and rescue and we plan to evolve into that role with the Sikorsky S92 by mid-summer.”
McDonald says the company plans to move into its new passenger facility by the end of March and into the new hangar by the end of April. Three 20-passenger Sikorsky S61 helicopters will be based at the airport with an additional S92 ex-pected to join the fl eet in June.
VIH Cougar Helicopters claims it is the only such operator in the Gulf with 100% satellite-based tracking and voice communications. Consequently, it says there is no interruption of service or safety even during inclement weather.
VIH Cougar Helicopters also operates from an office in Bellingham, WA.
An artist’s rendition of the new VHI Cougar Helicopter
hangar and passenger facility at South Lafourche
Leonard Miller Jr. Airport.
A jackup works off the coast of Port Fourchon in aftermath of Hurricane Gustav.
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to get Washington’s attention
Emissaries of two prominent alliances in Lafourche Parish are trying to get the ear of Washington, but for entire-ly different reasons.
While the LA 1 Coalition lobbies for a share of the US economic stimulus package to complete construction of the elevated highway, the South Lafourche Levee District is merely trying to convince the federal government that it, indeed, exists. In what threatens to cause fi nancial hardships to local residents and business-es alike, the Federal Emergency Manage-ment Agency (FEMA) says it intends to decertify the nearly 50-mi (80-km) levee that in 40 years has never sustained a breach, despite being slammed by some of the most active and powerful hurricane seasons on record.
In the meantime, LA 1 Coalition Execu-tive Director Henri Boulet says his group had been seeking up to $360 million from the near trillion-dollar stimulus package President Barack Obama recently signed into law, but that request has since been pulled off the table. As the coalition looks elsewhere than the federal government, Boulet says the federal stimulus fi nanc-ing would have gone a long way to help ensure that the main stretch of the nearly $1.6-billion 47-mi (76-km) infrastructure improvement project now under way was completed by 2012 as planned. The federal funds would have been earmarked specifi -cally to complete the elevated eight-mile stretch north of Leeville to the Golden Meadow town limits.
A major sticking point was the compli-cated appropriation formula that has states receiving a percentage of the total monies allocated for national transportation improvements. Boulet’s coalition pushed the Louisiana congressional delegation to encourage the federal government to dedi-cate the full $80 billion proposed earlier
for nationwide highway projects. That way, he says, the four-phase LA1 project has a better chance of landing its full requested amount than if it was forced to try to get a large share of a smaller pie.
However, the fi nal stimulus package earmarks $27.5 billion nationally in high-ways funding to be disbursed through the US Department of Transportation (DOT)
Surface Transportation Formula. That translates into $308 million for Louisiana highways and complicating it even further, the package requires $109 million of high-way monies be spent on transportation projects in urban areas.
“Because under state law the Louisiana Department of Transportation must have the full $360 million identifi ed for the LA
54 Offshore March 2009 • www.offshore-mag.com
(Above) Construction is well under way on
the new LA 1 elevated roadway.
(Below) The footing of the Leeville Overpass
is engineered specially to resist collisions
and strong tide fl ows.
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2009 National
MMS Safe Award Nominee
Award Recipient
2001 • 2002 • 2004
•Shore-base Management •Construction & Fabrication •Production Labor •Coatings •International Consultants •Safety Professionals
Danos & Curole is a progressive and growing oilfield servicescompany offering a broad range of services and a proven trackrecord. Founded in 1947, we remain a family owned businesswith a strong commitment to our foundational values. All of ourservices are based on our core strengths of finding, developingand managing people.
Danos & Curole is a flexible, responsive service partner settinga high standard for excellence in the services we offer. Withmore than 1000 employees and consultants worldwide, we arecommitted to safety, training and the quality development of ourpersonnel.
From the Gulf of Mexico to West Africa to the South China Sea,we are pleased to serve the industry through our extensivecompliment of services. Visit our new website or call our salesteam today.
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Right for you. Where you need us. When you need us.
Connecting the right people
to the right job for 62 years.
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1 Project’s Phase II in order to put the project out to public bid, consequently, the LA 1 Project has been taken out of consid-eration for this smaller-than-anticipated pot of money. Even if we received the entire state allocation, it’s simply not enough to do the project,” Boulet says.
He points out, however, that the coali-tion has an alternative federal route for the necessary funding. The funding option, he says, is linked directly to the highway’s federal designation as a “High Priority Cor-ridor,” because of its strategic importance to the nation’s energy security. In addi-tion, the US Department of Homeland Security and the Minerals Management Service (MMS) has named LA 1 a “Critical Asset” and “Focal Point for OCS Activity,” respectively.
“Our hope is that in a much smaller stimulus transportation program, another $1.5 billion from the DOT Secretary is available for him to disburse at his discre-tion under a competitive grant program that provides no state can get more than $300 million and that must be intended for projects of national signifi cance, which he is supposed to distribute equitably be-tween rural and urban communities. We are in talks with the state Department of Transportation to allow the LA 1 Project to be Louisiana’s sole application to this program, because we do not think there is
a more signifi cant project to the country’s economy than the LA 1 Project is at this time,” he says.
As the only overland access to Port Fourchon, which is directly responsible for some 18% of the nation’s energy sup-ply, no one disputes the need to replace the time-worn and fl ood-prone roadway. Owing to the billions of federal funds generated in OCS royalty revenue, the US Congress in 2001 made Louisiana 1 a “High Priority Corridor” – one of only 44 highways in the nation to be so-designated. More recently, a Minerals Management Service (MMS)-authorized study revealed that only 2% of this “High Priority Corridor” was not in need of improvement. The federal agency also estimated that ever-increasing deepwater activity will spur a 60% increase in traffi c along the rapidly deteriorating highway, compared to a national traffi c growth rate that averages 5% a year.
“It’s been made pretty clear that if this highway gets washed out because of a storm, it will have a negative economic impact on the entire country,” Boulet says.
He added the project also has a leg-up in that the full Environmental Impact State-ment has been completed and acquisition of remaining right-of-ways is well under way.
In addition, not only is LA 1 widely rec-
ognized as “America’s Energy Corridor,” it provides the only hurricane evacuation route out of Port Fourchon. The existing sea-level highway repeatedly is closed to traffi c even during less severe weather. The ramifi cations are magnifi ed during a hurricane, which Gary Ellis, for one, will be the fi rst to affi rm.
The general manager of Gulf Offshore Logistics (GOL), the newest company to set up shop in Port Fourchon, says the service and supply facility had just begun operations in August 2008 when Category Two Hurricane Gustov pummeled south Louisiana. “Highway One was closed so we all had to stay here. We desperately need that new highway,” he says.
While the coalition awaits word on federal stimulus funding, construction is well under way, thanks to a combination of local and state funds. The coalition will celebrate a major milestone later this year with completion of the 4.4-mi (7.1-km) overpass toll way over Bayou Lafourche at Leeville. A major component of this phase of the project is replacing the 40-year-old and often inoperative Leeville lift bridge with a fi xed-level overpass that features a 72-ft (22-m) clearance. Closed often by high tidal fl ows and collisions, the existing Leeville bridge has long been cited as the weakest line in the LA 1 network.
“Based on the future traffi c estimates
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we’ve seen, we estimate the tolls will allow us to retire all our (highway construction) bonds within 30 years,” Boulet says.
He says the phased construction ap-proach allows portions of the project to be constructed as funding is made available. In addition, the roadway is designed to facilitate “end-on” construction methods to help protect sensitive wetlands and marshes wherever possible. Boulet added that concrete from the soon-to-be-disband-ed Leeville bridge also will be crushed and used for wetlands restoration.
FEMA decertifi cation ‘ironic’
Meanwhile, Windell Curole, general manager of the South Lafourche Levee District, says he is cautiously optimistic FEMA will rethink its decertifi cation of the levee, which would decree new residents and businesses build as high as 14 ft (4 m) above sea level. Currently, con-struction in the levee district is authorized at elevations of 2½ ft to 4 ft above sea level. The ring levee protects the towns of Golden Meadow, Larose, and Galliano, key support centers for South Louisiana’s offshore energy production.
The problem arose when FEMA adopted new standards that increased the strength of 100-year storms for national fl ood insur-ance purposes. “We’re trying to work with FEMA. We’re reviewing the fl ood elevation
models and probabilities, but there’s a lot of leeway in judgment and assumptions when you’re doing modeling. What they’ve done is take a few observations and default to models, but you need experts to inter-pret those,” Curole says.
Curole says the threatened decertifi ca-tion is ironic, considering the levee is the only one south of Intercoastal that has never breached even in the face of the massive storms that have hit the coast in
recent years. He added the importance of both the levee and the new LA 1 to the en-ergy security of the area and nation cannot be understated.
“This is a working coast. We don’t have any condos or beaches and we have some of the lowest unemployment rates in the country. The farmer in Iowa may never visit South Louisiana, but he’ll defi nitely feel the effects if fuel from here is cut off,” he says. �
New LA 1 construction timeline
Phase 1A: Construction of two-lane elevated highway south of Leeville to LA 3090 at Port Fourchon (6.8 mi).
Completion target: 2011
Phase 1B & 1C: Construction of a fi xed-span, high-level, two-lane over-pass over Bayou Lafourche at Leeville, and associated interchanges and toll booths (4.4 mi).
Completion target: 2009
Phase 2: Highway widening and upgrades from Port Fourchon to Grand Isle (8 mi)
Construction of a two-lane elevated highway from Golden Meadow to Leeville (8.3 mi).
Completion target: 2012
Phase 3: Construction of a four-lane, at-grade highway from Larose to US Highway 90 (19.5 mi).
Completion target: 2017
Phase 4: Construction of an ad-ditional two lanes of elevated highway from Golden Meadow to Port
Fourchon, including the Leeville Overpass, and upgrades to LA 1 from Fourchon to Grand Isle. (17 mi)
Completion target: 2017
www.offshore-mag.com • March 2009 Offshore 57
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In stark contrast to much of the US, in La-fourche Parish “help wanted” signs are as prevalent as the bayou and shrimp boats.
“While the national economy has slowed and people are losing their jobs,
we haven’t seen the slow down here,” says Danos & Curole Vice President of Domes-tic Operations Paul Danos. “Job seekers recognize the need here and consequently we’ve had a great deal of interest from as far as Detroit, Florida, Oklahoma, and New York.”
The demand for workers is so strong the 62-year-old family-owned company, which provides supplemental labor and related services, recently constructed a second bunkhouse at its Larose head-quarters to accommodate workers from outside the area.
Danos says the most pressing needs include specialized disciplines such as offshore and onshore crane operators, I&E technicians, mechanics, logistical person-nel, production operators, welders, project managers, and a wide range of maritime positions. He adds that the skill sets of any number of workers displaced from other industries as well as soon-to-be-discharged US military personnel can be transferred with specialized training and development to the offshore and the onshore support environments.
“Our core competency is in developing people. We can work with people with no experience in the oilfi eld and put them through a comprehensive, hands-on training
and development program. In addition, every person we send to a customer’s operation has completed an intensive four-day training program that educates them in our safety culture and provides hands on, practical training for their work. That is a real asset to our customers.”
“Some companies provide labor. We provide a service,” adds Manuel Merlos, divi-sion manager – Labor Services.
In addition to providing a supplemental labor force, Danos & Curole provides Construction and Fabrication services and recently established a Coatings Divi-sion to paint and blast offshore platforms and onshore industrial structures. The company also created a Professional Safety Services Division offering a suite of enhanced services designed to provide clients a “total safety and environmental management plan to reduce losses from employee injuries, property damage, and
environmental incidents.” To properly match available personnel
with a client’s requirements, Danos & Curole also developed a personnel tracking software system.
“What this involves is matching the specifi cations for the position the company is looking to fi ll with an individual who has the proper certifi cations or qualifi cations, says Paul Danos. “Every employee in our system has a link to all of their training, certifi ca-tions, and skill levels. That way, the customer is assured we have sent the right person for a specifi c job.”
Danos & Curole says the key differentia-tor with its services is the focus on training and safety. According to the company web-site, “Our commitment to training is a refl ec-tion of our core values. Danos and Curole provides quality training to our employees through a well managed and documented process. Our training is designed to meet or exceed compliance standards set by govern-ment agencies, expectations of customer contracts, company best practices, and job-specifi c skills.”
The company offers nearly 300 courses for employee development covering cur-riculums devoted to training in such areas as core compliance, DEVELOP Production Personnel, core initiatives, and DOT-OQ Leadership.
Danos & Curole was recently awarded the Houma District 2009 Minerals Management Service SAFE Award and is a 2009 nominee for the MMS’ National SAFE award. �
58 Offshore March 2009 • www.offshore-mag.com
It is impossible to drive down a roadway in
Lafourche Parish without seeing “help wanted”
signs.
Jane Arnette makes no attempt to curb her enthusiasm when she discusses a program aimed at molding a new generation of workers for the southernmost parishes of Louisiana.
The executive director of the South Central Industrial As-sociation says the group’s Work It! The Louisiana initiative has been a hit with students, teachers, and business leaders. Described as “a creative marketing and recruitment plan” to address current employment needs, the long-term goal is to educate students on job opportunities and salary expecta-tions.
The pilot program encompasses seven parishes, includ-ing Lafourche, Terrebonne, St. Mary, Assumption, St. John, St. James, and St. Charles. Arnette says Work It! Louisiana is “motivated and executed by local businesses, with the total support of educational system.”
“Others have tried somewhat similar approaches, but none of those were ever structured as a team approach generated from the business aspect. In the past they were always gener-ated from the education side of it. We felt like we needed to look at long-term recruitment and the only way to do that is through the children of Louisiana,” Arnette says.
She explains the program is designed to encourage the student to “value and take pride” in any chosen career path. The strategy involves an aggressive media campaign includ-
ing classroom posters, media advertisement, a website, classroom career videos, career link events, speaker’s bureau, and is driven further by teacher Work It! champions from each participating school. Arnette says the initiative focuses on lo-cal students, who do not have the fi nancial means or inclina-tion to attend a college or university.
“We’re trying to expose them to multiple career paths and we’re doing that through several initiatives, including having champions in every school from grades 6-12. We’re not re-questing the presidents of companies speak to these kids, but the working class guy. Recently, we had a guy speak on how geometry is used in drilling. It was awesome and so motivat-ing. The kids were excited, the teacher was excited and the speaker was excited. We also brought in a boat captain and when he told the kids he was making $100,000 a year, that got their attention,” she says.
The work has not gone unnoticed at higher levels. In July 2008, Louisiana legislators approved $370,000 in state funding with the Louisiana Economic Development and the Louisiana Department of Education promising additional monies.
“Our objective is to bring nobility back to our work force and that’s critical because these kids have always been told that if they don’t go to college they’re somehow lacking. We want these kids to feel good about their career choices. We want them to take pride in their careers. That’s what we’re all about.”
Work It! Grooming tomorrow’s workforce today
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VIH Cougar Helicopters is a new kind of Helicopter Company in the Gulf of
Mexico. We were built by a team of US and Inter-
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Galliano, LA 70354 Cell: (601) 590-0577 | Office: (985) 475-4534
Email: [email protected]
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If Edison Chouest Offshore and local businessman Jim Moncus have their way, Port Fourchon soon could be home to two new offshore facilities.
Chouest Marketing Manager Dan-iel W. LaFont says the company is looking at constructing a modifi ed version of its C-Port 1 and 2 facilities, designed specifi -cally for the timely delivery of supplies and equipment to the deepwater Gulf of Mexico. Unlike its two counterparts, the latest version would comprise a straight-line uncovered dock with 1,800 ft (549 m) of bulkhead with cranes, he says.
In December 2008, Edison Chouest Senior Vice President Roger White told the Greater Lafourche Port Commission that construction of the so-called Chouest Shorebase Services facility would not be-gin until 2010 at the earliest. The company has been in negotiations to lease a 71-acre track within the port’s ongoing northern expansion project. If all goes well, Edison Chouest will be the fi rst client to commit
to the port’s 400-acre expansion around a third channel called Slip C.
With more than a mile of bulkhead, the proposed facility will be capable of accom-modating heavier crane capacity and offer more space to store greater quantities of water, chemicals, and drilling fl uids. The project is aimed primarily at servicing the 19 new deepwater rigs slated to enter the Gulf of Mexico over the next three years.
In a related development, Chouest is nearing completion of a covered three-slip drydock in Port Fourchon that is designed to handle large anchor-handling vessels. LaFont says the facility is expected to be in operation by early in the second quarter.
The new drydock is 420 ft x 400 ft (128 m x 122 m) and rises 150 ft (46 m) above the water level. Since it is under cover, repairs will not be impacted by weather, LaFont says, adding the facility can ac-commodate anchor handlers as large as the 348-ft (106-m) long Laney Chouest, the largest in the company’s fl eet.
“This facility is designed specifi cally for anchor handling vessels. Before when they had an issue that needed addressing they had to go to Houma or Biloxi. These are expensive pieces of equipment so you need to get them repaired and turned around as quickly as possible. It’s very costly for a rig to be sitting there waiting for them,” LaFont says.
“We just felt it would be more cost ef-fective to have a facility right here in Port Fourchon. The demand is so strong that the facility will pay for itself in a relatively short time.”
Meanwhile, Moncus says land is available and all he needs are client commitments to make his Deepwater Storage & Service facility a reality. The founder and former owner of Devin International supply and manufacturing company, describes his concept as the only industrial storage and service facility that allows companies to re-furbish and securely store deepwater tools and other equipment.
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OPERATIONS8114 West Highway 90
Broussard, Louisiana 70518Tel: 337.365.0180Fax: 337.365.0037
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Moncus says the facility is geared to-ward downhole specialty equipment, such as drill collars, that previously had to be taken to central storage facilities in Houma or Lafayette. In addition to the warehouse storage facility, the proposal also would have provisions for maintenance and wash
areas. “These are high-end components that they do not want to leave outside and unsecured,” he says.
Moncus notes while many companies build facilities to store their own equip-ment, a need defi nitely exists for a univer-sal location to be shared. “It makes sense
to have a central facility here. There’s a great deal of business in the deepwater so the opportunity is defi nitely there. It’s just a matter of lining up the fi rst couple of clients and then we’re up and running.”
Greene’s Energy Group LLC acquired Moncus’ former company in 2008. �
Edison Chouest Offshore’s new anchor-handling drydock rises above the wetlands of Lafourche Parish. The facility is slated to be in operation this
spring.
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Halo LLC is using advanced technol-ogy as an integral component of its “Life First” safety initiative.
One of the newest companies to locate in Port Fourchon, Louisiana,
the provider of wire rope, chains, slings, and related industrial equipment for the offshore has incorporated Radio Fre-quency Identifi cation (RFID) technology to ensure traceability of all its products. President and owner Ken Ragusa says that unlike the traditional stainless tagging systems popularized in the 1980s, RFID eliminates human error and instantly advises clients when slings and other in-dustrial products are scheduled for safety inspections.
“This is revolutionary technology and is keeping with what the industry wants and needs,” Ragusa says. “We listened to our end users and they want total traceability and we want to modernize the industry by using innovative and creative technology to ensure our goal of keeping ‘Life First’.”
While RFID tracking tags can be found in everything from passports to people, it was only a few years ago that they made their way into the oilfi eld. Today, closed-
loop RFID systems provide 100% comput-erized and transparent record keeping, which helps end users minimize mistakes and speed up the typically tedious tracking process.
“This technology can be added to any product we fabricate, test or inspect,” says Ragusa. “It eliminates paperwork, helps clients maintain compliance, and ensures total traceability of our products. More importantly, it strengthens our commitment to keeping ‘Life First’ as opposed to ‘Safety First.’ I am very passionate about safety and this is in keeping up with what the industry wants,” says Ragusa.
Founded in 2007, Halo opened its 11,000-sq ft (1,022-sq m) rigging ware-house and fabrication shop at the 25-acre InterMoor facility in December 2008. The facility is equipped with a 4,000-ton (3,629-metric ton) hydraulic swaging machine able to press up to 6-in. (15-cm) wire rope, and seven spooling units capable of handling up to 300,000 lb. In addition, the facility houses a 3-million lb (1,361-metric ton), 220-ft (67-m) load test bed with an 11-ft (3-m) stroke capable of testing all sizes and types of mooring
lines and heavy-lift slings. In addition to slings, wire rope, and relat-
ed products, the Halo Offshore Equipment Sales and Rental division also offers heave compensation units, ROV handling systems, and abandonment and recovery winches, among other items. Complementing its product offerings are onsite and in-house inspection and training services.
“As a company, we believe it is our responsibility to educate and train our customers to make sure they know how to handle our products in a safe manner,” says Ragusa. “We feel our responsibility for that product does not end when it is delivered to the customer.”
In late 2008, the company went global when it formed a strategic alliance with Gaylin International PTE Ltd. of Singa-pore. The agreement calls from Halo to market Gaylin’s heavy-lift cable-laid slings and grommets in the Gulf of Mexico and Atlantic basin while Gaylin, in turn, will do the same with Halo products in the Pacifi c Rim.
“Our goal is to become a full-service deepwater rigging and testing center,” Ragusa says. �
Halo goes high-tech to optimize safety
62 Offshore March 2009 • www.offshore-mag.com
The Halo LLC facility in Port Fourchon is equipped with a 3-million lb (1,361-metric ton), 220-ft (67-m) load test bed to test all sizes and types of moor-
ing lines and heavy-lift slings.
PO
RT F
OU
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UP
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USLL gets a perfect 10The Louisiana E&P waste management scorecard is clear
USLL Brand X Brand Y1 Two transfer stations with 1600-ft water
frontage in Port Fourchon to improve bargeturnaround times
2 Six transfer stations in Port Fourchon,Berwick, Cameron, Intracoastal City, Veniceand Galveston to keep your transport costslow
3 Four treatment facilities in LA and two in TX toprovide local service
4 Frequent testing, open-door “anytime/anyday”audit policy with zero citations or violations
5 Does not dispose of waste in 3rd-party industrial or municipal landfills
6 Waste treated in engineered cells with oil andwater recycled and clean reuse material generated
7 Drilling and NORM waste slurried and pumpedunder pressure into injection wells in TX
8 Does not accept or handle NORM or other industrial waste streams; never comminglesE&P waste with other waste streams
9 Diligently working to achieve zero operator liability by converting clean recycled E&Pwaste to levee fill and road base
10 100% of customers surveyed would recommend their services to a friend or colleague in the industry
Please visitwww.uslla.comfor more information about the difference professional E&P waste managementcan make to your operations.
Jennings, LA337.824.3194
Houston, TX713.590.4620
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rion level controls are built tough. Our Aurora
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More Content. Global Energy Coverage.
Introducing the NEW PennEnergy.com
PennEnergy.com launches with even more valuable energy-centric content and easier,more effi cient navigation. The new web site provides the most complete and trusted source of energy-related topics including today’s news plus ten years of archived web andmagazine content from PennWell’s award-winning energy publications.
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_________
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_______
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We invite you to submit an abstract for the Offshore Middle East 2009 Conference
and share your knowledge, experience and ideas with technical and strategic
decision-makers and strategists.
Conference Topics include:
Bahrain International Exhibition Centre, Manama, Bahrain
27 – 29 October 2009, www.offshoremiddleeast.com
Held Under the Patronage of
H.E. Dr. Abdul-Hussain Bin Ali Mirza - Minister of Oil & Gas Affairs and
Chairman of National Oil & Gas Authority, Kingdom of Bahrain
For further information about participation
as a speaker, or for a full list of conference
topics, please contact:
Frances Webb
Event Director
T: +44 (0) 1628 810562
F: +44 (0) 1628 810762
For more information about exhibiting and
sponsorship opportunities please contact:
Jane Bailey - Europe and Middle East
T: +44 (0) 1992 656 651
F: +44 (0) 1992 656 700
Michael Yee - Asia/Pacific
T: +65 9616 8080
F: +65 6734 0655
Craig W. Moritz - Americas
T: +1 713 499 6316
F: +1 713 499 6201
Delivering Solutions for
Offshore Growth
Call for PapersAbstract submittal deadline: 22nd March 2009
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SWEDENPrepared by
Offshore Magazine
March 2009
March 2009
www.offshore-mag.com
Houston London Paris Stavanger Aberdeen Singapore Moscow Baku Perth Rio de Janeiro Lagos Luanda
World Trends and Technology for Offshore Oil and Gas Operations
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Higher capacity, smoother discharge
improve supply vessel cargo handling
Hopper and blow-pump bulk handling systems from MacGregor Selfun-loaders increase storage capacity for offshore supply vessels (OSVs). Cur-rently, systems are being installed on
10 newbuild vessels.The company – part of Cargotec Corp.’s
MacGregor Group – has derived the design for this equipment from its pneumatic con-veying system to load and unload cement carriers, fi rst introduced in 1947 and further refi ned over the years. In 2004, with the sud-den boom in offshore vessel construction, the company decided to transfer its bulk handling expertise into this market.
Bulk cargoes carried by OSVs typically include barite and ben-tonite, as well as cement. “The major disadvantage with conven-tional bulk handling systems in OSVs is that they rely on pressur-ized storage tanks,” says Pankaj Thakker, senior sales manager for MacGregor Selfunloaders in Sweden.
During discharge, it is the pres-sure differential between the tank and the discharge line which, with the aid of compressed air, conveys the bulk material out of the tank. “Because the tanks are pressur-ized,” he adds, “they have to be circular, which is not an optimal shape when it comes to using the storage space in a vessel’s hull.”
The MacGregor solution instead stores cargo in hoppers, which have fl oors covered with aeration panels. The fl oors are tilted at an angle of 12º in the direction of the outlet, below which is situated a blow-pump. Dis-charge is achieved by passing air through the aeration panels. This fl uidizes the cargo which, under the infl uence of gravity, fl ows to the outlet and drops into the blow-pump. When the chamber of the blow-pump is full, aeration stops, the outlet valve is closed, and compressed air conveys the bulk material from the pump through the discharge line.
Only the blow-pumps are pressurized. Since the hoppers are not pressurized, they are designed for optimal use of available space in the ship’s hull, meaning a rectangu-lar shape. Moreover, they normally can be formed using the existing structure of the
ship – the longitudinal and transverse bulk-heads for the walls and the underside of the main deck for the roof. Only the fl oor needs to be added. Thus, the hopper’s capacity is signifi cantly greater than that of pressurized circular tanks fi tted into the same space – 50-75% greater, according to Thakker.
He cites one current delivery to a VS491 CD anchor-handler under construction at the Batamec Shipyard in Indonesia, in which bulk capacity will be about 500 cu m (654 cu yd). “This is almost 67% higher than the originally planned conventional bulk tank type system
comprising four 75-cu m (98-cu yd) tanks with a total capacity of 300 cu m (392 cu yd).”
To speed discharge, each hopper has two outlets, one in each half. While one pump is fi lling with cargo, the other is discharging its load. The capacity of the blow-pump is 4 cu m (5.2 cu yd).
Less steel
There are other advantages. Less steel is needed to form the hopper, as it makes use of existing bulkheads and deck. In contrast, the pressurized tank has to be built. More-over, because it is pressurized, it needs thicker walls, sometimes up to 20 mm (0.8 in.), which further adds to the required vol-ume of steel.
In addition, the internal wall of the pres-surized tank has to have a special coating of epoxy primer to ensure none of the cargo sticks to it. No special treatment of the inter-nal wall is required for the hopper.
MacGregor also has developed a two-way valve to replace the butterfl y valve at the junction where the cargo transfer line splits into the loading line which enters the top of the hopper and the discharge line run-ning from the blow-pumps. When opened, the butterfl y valve has a blade in the cargo stream, and so tends to wear out.
The two-way valve overcomes any clog-ging in the line – it has a disc which fi ts on the line that needs to be blocked. Since it does not intrude into the cargo stream, it suffers almost no wear and tear, Thakker says. It is
fi tted with an inspection cover for easy maintenance.
The MacGregor system avoids clogging the discharge line due to high humidity in the air used for conveying the cargo (which often leads to the air being passed through refrigerant dryers). In the case of the hopper and blow-pump system, between each fi ll and discharge cycle of the blow-pump, the whole discharge line is blown clean.
“To fully realize the benefi ts of the self-unloading system, it should be taken on board at the project’s design stage,” Thakker says. “It should be emphasized that the hopper and blow-pump
system is integrated within the structural design of the vessel, and early discussions between ship designer and system designer are crucial for successful implementation.”
The fi rst hopper and blow-pump systems for offshore application are now being fi tted in four offshore vessels under construction at Batamec for Mosvold Supply. Last year the company also received orders for six newbuild vessels from Arabian Gulf’s Whi-tesea Shipping & Supply. �
For more information contact Pankaj Thakker,
Cargotec Sweden, MacGregor Selfunloaders. Tel +46
171 232 56, fax +46 171 232 99, pankaj.thakker@
macgregor-group.com, www.macgregor-group.com
68 Offshore March 2009 • www.offshore-mag.com
S W E D E N
ON THE COVER: the Deepsea Atlantic semisubmersible. Picture courtesy GVA Consultants
MacGregor’s
hopper and blow-
pump bulk handling
system offers gains
in storage capacity
compared with
pressurized tanks.
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Heavy Offshore Experience E N G I N E E R I N G » F R O M F E E D T O F I E L D «
GVA has been in the offshore industry for more than 30 years. Our design have been proven and tested in all
water and weather conditions. Every single unit GVA have supplied is still in operation today.
GVA is the leading marine and offshore design company for semi-submersibles and other floating units.
Based on the experience of more than 100 projects in more than 20 countries, we deliver trusted, cost-efficient
design solutions.
Our range of products and services includes conceptual designs, basic designs for offshore vessels, engineering
for conversions and upgrades, project management support and research & development services.
In short, we got to the top – and we aim to stay on the top.
Find out more at www.gvaconsultants.com
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Syntactic foam wrap helps protect
casings against HP/HT damage
70 Offshore March 2009 • www.offshore-mag.com
Trelleborg CRP has introduced CFW+, an upgraded version of its crushable foam wrap for use in high-pressure/high-temperature wells.
CFW mitigates casing failure caused by annular pressure-build-up, or trapped annular pressure, a phenomenon restrict-
ed to subsea wells. Fluids such as brine and drilling muds from the drilling phase, and solids such as rock chippings become trapped in the outer casing annuli, also known as the “B” and “C” annuli.
When the well is brought into production, and the hot wellstream fl ows to the surface, heat transfers to the outer annuli. This causes an increase in pressure in these annuli, which is not vented to air. The trapped fl uids are incompressible so they do not mitigate pres-sure build-up.
If the pressure reaches a certain level, something has to give – fl u-ids may leak or, in the worst case, there may be catastrophic failure of the casing, says Guy Downie, manager of the subsea group at Trelleborg CRP. The well then has to be shut down, and may be lost permanently, leading to a large investment going down the drain – these days a deepwater well into an HP/HT reservoir can cost $50-100 million. Recovery costs can be even more expensive.
There are well-documented cases, such as well A2 on BP’s Marlin deepwater development in the Gulf of Mexico. Much effort was put into investigating this incident. To quote from one resulting paper, “Pressur-ization of outer annuli due to the production of thermal effects was iden-tifi ed as one of two possible root causes of the failure” (SPE 77473).
Honeycomb structure
Trelleborg fi rst launched CFW in the early 1990s as a means to combat annular pressure build-up when subsea wells were becom-ing increasingly popular as a means of production. Over the years, technology enhancement has expanded the operating envelope more than 4,000 psi (25.6 MPa) and 80-100º C (176-212º F). To date this has been suffi cient to meet most requirements. Recent deliver-ies include a 21-well deepwater development off Nigeria.
But with downhole operating conditions becoming ever more ex-treme, the company decided a new grade of CFW with higher capa-bilities was needed. The result is CFW+, which can operate in tem-peratures of 175º C (347º F) or more and at much higher pressures.
CFW is a polymeric material with a honeycomb microstructure which collapses under pressure. It is made of syntactic foam – resin – with microscopic glass bubbles, or microspheres, embedded in it. Downie describes it as a mechanical fuse – at a pre-determined pres-sure and temperature, the glass bubbles, which are voided, collapse, causing the material to shrink in size and allowing expansion of the annulus fl uids and dissipation of potentially hazardous pressure.
For the CFW+ development, the resin system was modifi ed to ex-pand the operating envelope. Different grades of microspheres are used, with crush strengths ranging from 250 to beyond 18,000 psi (1.7 to beyond 124 MPa).
Each delivery is tailored to the requirements of the individual well
as specifi ed by the operator’s well design engineers. The amount of CFW is dictated by the collapse volume and crush percentage requirements, Downie says. The collapse volume is defi ned as the calculated volume increase of the annular fl uids brought about by thermal expansion between the installation (or ambient) tempera-ture and the operating temperature during production.
The crush percentage is defi ned as the amount of compression un-der isostatic load allowed by the foam before catastrophic collapse. This value is usually between 30% and 40% depending on the foam formulation. From the collapse value and the crush percentage, the total volume of foam required can be calculated. The crush mecha-nism is progressive over the pressure envelope, but complete failure is designed to occur well before the casing collapse pressure.
CFW typically is supplied in quadrant cylinders around 1 m (3.28 ft) long – these are rectangular sections bonded to the outside of the pro-duction casing using an acrylic adhesive. They can be located anywhere within the annulus while still allowing the free fl ow of the liquids.
CFW is quick and easy to install on the casings onshore prior to deployment, whether by Trelleborg CRP off-site teams or by those installing the well.
There are other methods of mitigating annular pressure build-up, Downie says. For example, the wall casing can be dimensioned to withstand whatever pressure is anticipated in the outer annuli, implying a thick casing. Other options include insulated casing, to limit heat transfer, burst disks, or pumping nitrogen, a compressible fl uid, into the outer annuli.
Currently, CFW is the only solution which operates on both pres-sure and temperature triggers, rather than pressure alone, accord-ing to Downie. “Additionally, the feedback we have received from our clients is that it is one of the few systems that works without affecting casing integrity.” �
For more information, contact Guy Downie, Trelleborg CRP, Tel +44 1695 712 018,
fax +44 1695 712 111. [email protected], www.trelleborg.com
Nick Terdre
Contributing Editor
S W E D E N
Crushable foam wrap from Trelleborg CRP being attached to casing. The
wrap is used to combat annular pressure build-up in subsea wells.
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S W E D E N
Mooring group sees signs of recovery
Anchor chain manufacturer Ramnäs has landed its biggest order ever. The order is to supply chain to Hyundai Heavy Industries for mooring Total’s Usan FPSO off Nigeria. The order is
valued at more than SEK 120 million ($14.38 million).
In a hectic period in January, the company booked two further orders, consolidating a strong start to the year. “We’ve got roughly one year’s production on our order book, says Magnus Westher, president of Ramnäs, “but it’s not all for 2009. We still have some capacity available for this year.”
The Usan FPSO contract calls for lengths of chain of both 142-mm (5.59-in.) R4 grade and 147-mm (5.79-in.) R3S grade for 17 moor-ing legs. The total weight of chain will be sig-nifi cantly greater than the 3,400 metric tons (3,748 tons) which was the maximum the company had previously delivered in a single order. Final shipment is due in May 2010.
The company also will supply six 1,100 m (3,609 ft) legs of 103 mm (4.06-in.) R4S chain to Saipem to moor OLT Offshore LNG
Toscana’s Livorno fl oating regasifi ca-tion plant off Italy. Delivery is due next October. A third recent order was for 7,500 m (24,606 ft) of 76-mm (2.99-in.) R4 chain to drilling contrac-tor Odfjell, to be delivered in June.
Last year was eventful for Ramnäs, which was acquired by a Norwegian consortium led by Carl Arnet, CEO of BW Offshore, leaving the previous Swed-ish owners with a 30% stake. Ramnäs also in-stalled a new machine to improve its capac-
ity for proof-loading services, for which there is increasing demand among mooring component suppli-ers and users.
Fall, however, was a nervous peri-od, says Westher, with customers putting their projects on hold. “Fortunately some of them have now decided to go ahead.” Despite that uncertain period, Ramnäs expects to post bet-ter results for 2008 than the previous year.
Meanwhile the company has expanded the range of chain strengths it can offer, having received certifi cation from both DNV and ABS for the R5 grade. With a yield strength of 760 MPa and an ultimate tensile strength of 1,000 MPa, R5 has a proof-load and a break-load both 16% higher than R4. �
For further information, contact Magnus Westher,
Ramnäs Bruk. Tel +46 220 220 01, fax +46 220 358
37, [email protected], www.ramnas.com
Under President Magnus Westher,
anchor chain manufacturer Ramnäs
has had a busy start to 2009.
Our drive is your performance.
Hägglunds Drives AB, SE-890 42 Mellansel, Sweden. Tel: +46 (0)660-870 00. E-mail Business Area Manager: [email protected], www.hagglunds.com
Demanding applications?We’ve seen them all.
With proven performance on waters around theworld, Hägglunds drive systems can make all thedifference. You are up and running smoothly with a simple, flexible design that's easy to install andsaves on valuable space. Along with excellent service, we will ensure you get outstanding powercapacity and durability with systems made for toughmarine environments. Let us know your demands. See us at OTC, stand #2605.
Ramnäs’ new proof-loading machine.
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Stabilized antenna expected to improve
satellite coverage on seismic vessel
Maritime communications specialist C2SAT has sold its fi rst VSAT antenna for use on a seismic ship, Wavefi eld Inseis’ Malene Ostervold. The antenna forms part of a TracSAT satellite communications system supplied by the Swedish company’s partner in Norway, ID Systems.
The VSAT – very small aperture terminal – antenna delivered to Wavefi eld is a 1.2-m (3.9-ft) Ku-band unit.
Wavefi eld purchased the TracSAT system after testing to verify satellite coverage and global function. The company’s IT manager, Jan Vidar Nordstrand, says the equipment “excelled in the tests we performed. The C2SAT antenna, combined with the complete solu-tion provided by Trac ID, is a signifi cant improvement for us.”
“This sale should be regarded as a reference installation for the oil and gas industry,” adds Mats Back, C2SAT’s director of business development. “A lot of companies are interested in seeing how the TracSAT solution works, especially in different parts of the world.”
The focus of the cooperation is the development of the Radio Link Point-to-Point system which allows the transfer of huge quantities of data – 155 megabytes per second – by radio. This service requires a vessel to carry four antennas, two at the bow and two at the stern, to ensure uninterrupted contact with the satellite.
Both partners are fi nalizing tests of a specially developed switch to control which antenna is transmitting at any time. An upgraded radio amplifi er supplied by Ericsson has made this task easier, as it automati-cally controls which of each pair of antennas is in transmission mode. The Radio Link Point-to-Point system now is available to the market. �
For more information contact Mats Back, C2SAT Communications. Tel +46 8748
0144, fax +46 8748 0143, [email protected], www.C2SAT.com
S W E D E N
Malene Ostervold is the fi rst seismic ship to be fi tted with a VSAT stabi-
lized antenna.
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____________
S W E D E N
Transatlantic, the only Swedish shipown-er operating offshore supply vessels, is gearing up to be a player in the arctic offshore market, according to business manager for offshore/ice-breaking, Ste-
fan Eliasson.Until late last year the company was involved
in a joint venture with Norwegian group Viking Ship Supply, operating four anchor-handling tug/supply vessels, three of them also ice-break-ers. When the two parties began to diverge on policy issues, they agreed to discontinue the joint arrangement, each taking two of the vessels.
Transatlantic now operates Balder Viking and Tor Viking, both ice-breakers. Under a 15-year agreement with the Swedish Maritime Admin-istration, these are available for ice-breaking duties in the Baltic Sea during the fi rst quarter of the year. Otherwise, they work mainly in the North Sea spot market, where Transatlantic and Viking continue to cooperate.
In 2010 and 2011, two new anchor-handlers, both under construction at the Astilleros Za-makona yard in Spain, will join the Transatlan-tic fl eet. Both will comply with the Swedish-Finnish 1A ice-class.
“We see a big increase in activities in this market within three to fi ve years,” says Elias-son.
In supporting this ambition, the company has established three courses in ice manage-ment and associated topics at Kalmar Mari-time Academy in southern Sweden to help de-velop the required crew competency. And last month it was set to announce the formation of the Transatlantic Ice Council, comprising eight ice experts from Russia, Finland, Ger-many, Sweden, Canada, and the US. They will provide the company’s customers with best practice and advice about ice operations.
Under its joint venture with Viking, the company undertook various assignments in
arctic areas. In 2004 Vidar Viking, one of the ships now with Viking, was fi tted with a drill-ing rig and drilled for cores on the Lomonos-ov Ridge close to the North Pole on behalf of a Russian scientifi c expedition.
In 2007 Tor Viking worked for Shell for six months off Alaska, performing ice-breaking and anchor-handling duties. Last year Vidar
Viking worked as an ice-breaker off Greenland supporting seismic activities for a consortium led by StatoilHydro. �
For further information contact Stefan Eliasson, Red-
eri AB Transatlantic. Tel +46 304 67 47 00, fax +46
304 67 47 70, [email protected], www.rabt.se
Transatlantic’s anchor-handler Tor Viking on
station in the Arctic ice.
ransatlantic, the only Swedish shipown-er operating offshore supply vessels, is
i b l i h i
In 2010 and 2011, two new anchor-handlers,both under construction at the Astilleros Za-
k d i S i ill j i h T l
Supply vessel specialist building
expertise in ice operations
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Micro-seismics technique sheds
light on fracturing operations
Atechnique to visualize hydraulic fracturing operations has been developed by Guideline Oil Drilling Technology. The company hopes to have a commercial version available by the end of this year, according to CEO Peter Hjorth.
Guideline’s approach involves the use of micro-seismics, which it devised originally as a means to locate the drill bit in real time. During fi eld tests in North America, the company noted its potential for fracturing, and is now developing the two applications in parallel.
Drill bit localization uses seismic waves generated by the friction between the bit and the rock or sand being drilled. With fracturing, the waves are created by stress relief as the rock fractures under the pressure of the fl uid and solid material pumped into it under high pressure. In both cases the signals are registered by an array of receivers deployed at the surface above the well.
Guideline has formulated data algorithms to indicate the location of the source of the waves. For drill bit location, there is just one source of events, but in the case of fracturing, there are multiple events at multiple locations.
A feasibility test on a horizontal well in Canada was encouraging, according to chief technology offi cer Ivo Henriksson. The frac was performed in several zones along the horizontal section of the well at a depth of 5-6,000 ft (1,524-1,829 m), in a hydrocarbon-bearing lay-er about 30 ft (9 m) thick. Knowing the geology where the test was carried out and the locations where the fracing emanated from, the team concluded that the results were realistic, Henriksson says.
The fi eld’s operator is working “in the dark” for almost all fractur-ing, he adds, so its only way of judging the effectiveness of a frac operation is the resultant well performance. A means to map the operation will make it possible to assess both the extent and the direction of the fracture. This should allow the operator to improve control of the operation and to judge when it has achieved its aims, making the entire operation more cost-effective.
Henriksson says the technology’s accuracy is suffi cient in terms of the deviation on a horizontal plane, although some improvement is required in the vertical plane. A development program which will involve several tests is scheduled for this year in Canada or North America.
Tight reservoirs
The company is encouraged by market prospects. According to market analyst Spears & Associates, the downhole pressure pump-ing services sector, of which fracturing accounts for the largest part, exhibited compound annual growth of 21% in 1999-2007. In 2007 it was evaluated at about $20 billion.
This refl ects the well-known fact that the industry increasingly has to tackle tight reservoirs which restrict hydrocarbon fl ow. Frac-ing is widespread in North America, in both vertical and horizontal wells, Henriksson says.
The same development is taking place offshore. In the UK south-ern gas basin, for instance, several operators have implemented fracturing to improve production. In one recent case it was only after conducting successful frac operations on a fi eld that a leading opera-tor decided that development would be economic.
Taking the Guideline method offshore represents a signifi cant step which the company will consider once the onshore version is commercial. In principle it could be implemented offshore using an array of receivers on the seabed, although like other novel offshore technologies, a higher level of cost will be involved.
Meanwhile the drill bit development is progressing, though at a somewhat slower pace. A number of fi eld tests have been done and more are planned. However, drilling activities have declined in line with the oil price drop, as have the cost of associated services. So for the time being, the company’s business focus will remain on fractur-ing visualization.
More work also needs to be done on the sensor for the drill bit de-velopment, Henriksson adds. Drilling for oil and gas usually involves drilling through sedimentary formations consisting of multiple lay-ers in which seismic waves propagate with different velocities. The sensor, therefore, needs to be able to receive signals imparted with a range of different velocities.
“It’s both a sensor and a mathematical problem. When it comes to hydraulic fracturing, we have pretty much resolved this and arrived at solutions for the algorithms, but there is more to do regarding the drill bit application,” says Henriksson.
Guideline also has become active in a new technology through its acquisition last year of Malå Geoscience, a specialist in ground penetrating radar. This technology also is relevant to the oil and gas industry, Hjorth says. One tool developed and sold by this company is the omnidirectional borehole radar which is deployed downhole to map the surrounding formation. �
For more information contact Peter Hjorth, Guideline Oil Drilling Technology. Tel
+46 8 655 3641, fax +46 8 655 2610, [email protected], www.
guidelinetechnology.com
74 Offshore March 2009 • www.offshore-mag.com
S W E D E N
Guideline has developed a method to visualize the effects of hydraulic
fracturing. Here a fracing operation is prepared at an onshore well.
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__
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People
Prospectiuni has appointed
Timothy Branch as VP of
business development. Branch
previously served as country
manager for Petroleum GeoSer-
vices in Morocco.
MODEC has appointed
Nobuhiro Yaji as president
and co-CEO. The company
has also appointed Shashank
Karve as MD and COO as
well as chairman and CEO of
MODEC International Inc.
Kenji Yamada has been named
chairman and continues as CEO
of MODEC Inc.
Wave Imaging Technology
has appointed Tom Wood as VP
of sales and marketing.
CSIP has appointed David
Scott-Frame and Julian
Moore as embedded software
engineers focusing on the com-
pany’s underwater manipulator
arms.
ClerkMaxwell has appointed
Guy Cook as subsea and pipe-
lines director. Cook will focus
on bringing operations, con-
struction, and detailed design
knowledge into the front-end of
projects.
BP has appointed Robert
Dudley as a director, effective
April 6, 2009. As a MD of the BP
Group, he will assume respon-
sibility for broad oversight of
the company’s activities in the
Americas and Asia.
Thales has appointed Michel-
angelo Neri as division country
director in the United Arab
Emirates (UAE). In his new
position, Neri will coordinate
all marketing and sales activities for Thales’s
Security Solutions and Services business in
the region.
Apache Corp. has named Roger B. Plank
as president. The company has also appointed
John A. Crum as co-COO and president–
North America, and Rodney J. Eichler as
co-COO and president–International.
Transocean has appointed Ramon Yi as VP
and treasurer.
MicroSeismic has appointed Malcolm
Macaulay as VP of international sales.
Macaulay previously served as the company’s
international sales manager.
ABS has appointed Sean T. Connaughton
as corporate VP for government affairs. Con-
naughton previously served as US maritime
administrator.
International Association of Drilling
Contractors (IADC) has nominated Naresh
Kumar as a member of the organization’s ex-
ecutive committee. Kumar, who serves as MD
for Jindal Drilling & Industries and president
of Petrotech Society, will serve a three-year
term.
The Greater Lafourche Port Commission
has named Chett Chiasson as successor to
executive director Ted Falgout. Chiasson is
the current director of economic development
and will be the second director in the port’s
history. Falgout is scheduled to retire on Dec.
31, 2009.
Xodus Group has appointed Nick Lodge
and Francis Barrett to the company’s subsea
division as senior consultants.
NCS Survey has appointed Andrew Mc-
Murtrie as business development manager.
McMurtrie has responsibility for further de-
veloping business with NCS Survey’s existing
customer base both in the UK and overseas,
as well as developing relationships with new
customers.
TGS-NOPEC Geophysical Co. (TGS) has
appointed Rod Starr as GM, Asia Pacifi c.
Tanya Johnstone has been promoted to
regional manager – Indonesia and Australasia.
The company also has appointed Iain Buchan
as regional manager – South and Southeast
Asia and Peter Baillie as chief geologist for an
expanded region that now includes Africa and
the Middle East in addition to Asia-Pacifi c.
Newfi eld Exploration has appointed Lee K.
Boothby as president, effective immediately.
The company expects to name Boothby to the
additional role of CEO in May, where he also
will stand for election to the board of directors.
Boothby will succeed David A. Trice, who
plans to retire.
Knight has appointed Doug-
las (Doug) W. Smith to the
company’s corporate sales team
in Houston.
BJ Services has appointed
Ryan Elder as business devel-
opment manager – Middle East
and Russia for the company’s tu-
bular and completion assembly
service line.
The Industry’s Technology
Facilitator (ITF) has promoted
technology manager David
Liddle, to operations direc-
tor. Liddle will be responsible
for the development of the organization’s
strategy. The organization has also appointed
Tony Zaccarini as business development
manager.
InterMoor do Brasil has named Osvaldo
Lorca as project director for its Rio de Janeiro
offi ce. He will be responsible for project
management.
The Minerals Management Service (MMS)
has appointed Ron Brinkman as senior staff
geophysicist for its resource evaluation offi ce.
Brinkman will oversee seismic compliance and
policy issues for the Alaska, Gulf of Mexico, and
Pacifi c MMS regional offi ces.
Knight Manufacturing has
appointed Phillip Thomas
Mitchell as GM. Mitchell will
manage Knight’s manufacturing
division and focus on developing
its workforce.
OPITO – The Oil & Gas
Academy has appointed Mike
Duncan as skills director. The
organization has also appointed
Peter Crowther as technical
specialist and Sam Howard
as corporate communications
manager.
ONGC has appointed Sudhir Vasudeva as
director. He succeeds N K Mitra.
Severneftegazprom has appointed Alexan-
der Popov as director general.
Geomodeling Technology has appointed
Kevin Donihoo as VP of sales and services.
Pegasus International has appointed Bill
Washington as director of business develop-
ment. He will be responsible for leading the
strategic business development activities for
the company’s offshore division. The company
also has appointed Randy Monson to its busi-
ness development team.
Rowan has appointed John J. Quicke, a
managing director and operating partner at
Steel Partners, to the company’s board of
directors.
Pöyry has added Conor Crowley, Neil
Smith, and Peter Henderson to the com-
pany’s board of directors.
Baker Hughes has appointed Russell J.
Cancilla as VP of HS&E, and security.
The Canada-Nova Scotia Offshore Petro-
leum Board has appointed Stuart Pinks as
CEO.
Aker Solutions has appointed Gary Mandel
as executive VP of the company’s process
and construction business area. He replaces
executive VP Jarle Tautra who moves to a
similar position in the energy development
and services business area.
PIPC has appointed Ben Tye as the fi rm’s
global practice lead. He is joined by Helen
Ratcliffe.
Total has appointed Marc Blaizot to the
company’s corporate management committee.
Eni Norge has appointed Leonardo Stefani
as MD. Former MD, Agostino Maccagni, will
return to Eni’s E&P headquarters in Milan.
The Kuwaiti government has appointed
Sheikh Mohammad Al-Salem Al-Sabah
as oil minister; he replaces Mohammad Al-
Olaim.
B U S I N E S S B R I E F S
76 Offshore March 2009 • www.offshore-mag.com
Yaji
Karve
Yamada
Wood
Scott-Frame
Smith
Mitchell
Liddle
Duncan
Moore
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ntroducing the E3 Modulevel, our fourth generation
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To learn more about today’s leading-edge in displacer-based,
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• Display Ads: $215.00 per column inch. Same discount as above. 15% agency commission. $200.00 minimum charge for inser-tions. Page size is 3 columns wide by 10 inches deep. One Column = 2.25” wide, Two Columns = 4.75” wide, Three Columns = 7” wide. Minimum Size: 1 Column X 1 Inch.• Deadline for classifi ed advertising is the 15th of the month preceding publication. Contact Glenda Harp, (918) 832-9301, orfax your ad for a quote (918) 831-9776. E-mail: [email protected]• No special position available in classifi ed.
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PENNWELL PETROLEUM GROUP
1455 West Loop South, Suite 400, Houston, TX 77027 PHONE +1 713 621 9720 • FAX +1 713 963 6228
David Davis (Worldwide Sales Manager)
[email protected] Simpson (Regional Sales Manager)
[email protected] El-Khelaly (Advertising Services)
[email protected] Glenda Harp (Classifi ed Sales) [email protected]
GREATER HOUSTON AREA, TX
David Davis [email protected]
USA • CANADA
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MIDDLE EAST
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PHONE +33 2332 82584 • FAX +33 2332 74491 David Betham-Rogers [email protected]
UNITED KINGDOM
PennWell CorporationWarlies Park House, Horseshoe Hill, Upshire
Essex, United Kingdom EN9 3SRPHONE +44 (0) 1992 656 665 • FAX +44 (0) 1992 656 700
Linda Fransson [email protected]
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• NORTH AFRICA
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PHONE +33 (0) 1 3071 1224 • FAX +33 (0) 1 3071 1119 Daniel Bernard [email protected]
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AUSTRIA • EASTERN EUROPE
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Sicking Industrial Marketing, Kurt-Schumacher-Str. 16 59872 Freienohl, Germany
PHONE +49 (0) 2903 3385 70 • FAX +49 (0) 2903 3385 82 Andreas Sicking [email protected]
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UNIWORLD MARKETINGVia Sorio 47 - 35141 Padova, Italy
PHONE +39 (04) 972 3548 • FAX +39 (04) 985 60792 Vittorio Rossi Prudente [email protected]
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Grupo Expetro/SMARTPETRO, Ave. ErasmoBraga 227, 11th fl oor
Rio de Janeiro RJ 20024-900, BRAZILPHONE +55 (21) 2533 5703 or +55 (21) 3084 5384
FAX +55 (21) 2533 4593 [email protected], Url [email protected]
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Chiyoda-Ku, Tokyo 102-0093, Japan PHONE +81 3 3556 1575 • FAX +81 3 3556 1576
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PHONE +65 6 737 2356 • FAX +65 6 734 0655 Michael Yee [email protected]
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Interads Ltd., A-113, Shivalik, New Delhi 110 017 PHONE +91 11 628 3018 • FAX +91 11 622 8928
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Flat 8, 3rd fl oor (Oluwatobi House) 71 Allen Ave, Ikeja, Lagos, Nigeria
PHONE +234 805 687 2630 or +234 802 223 2864 Dele Olaoye [email protected]
SALES OFFICESA
Acteon.. ................................................ 2-3www.acteon.com
Alcoa Oil & Gas.. .....................................1www.alcoaoilandgas.com
BBaker Hughes Incorporated ............... 29
www.bakerhughes.comBayou Companies ............................... C3
www.bayoucompanies.comBisso Marine. ........................................11
www.bissomarine.comBupa International. ...............................14
www.bupa-intl.com
CCameron ............................................... C4
www.c-a-m.com/camerondc
DDanos & Curole Marine Contractors.... 55
www.danos.comDelmar Systems, Inc........ .....................61
www.delmarus.com
EESAB Welding & Cutting Products...... 47
esabna.com/seismicEXPRESS WELD, LLC........ ...................60
FFluor Corporation...... ...........................19
www.fl our.com/offshoreFugro...... ................................................35
www.fugro-gravmag.com/solutionsFugro-Geoteam AS................................33
www.fugro-geoteam.com
GGreater LaFourche Port Commission .51
www.portfourchon.comGVA Consultants AB ............................69
www.gvaconsultants.com
HHagglunds Drives AB ...........................71
www.hagglunds.com
IINTECSEA .............................................15
intecsea.comINTERMOOR ..........................................57
www.intermoor.comION .........................................................43
iongeo.com/IAdata
JJet-Lube Inc.......................................... C2
www.jetlube.com
KKOHLSWA GJUTERI AB.. .....................73
www.kohlswagjuteri.se
LL&M Radiator, Inc..................................16
mesabi.com
MM-I SWACO ............................................53
www.miswaco.comMagnetrol International ........................77
magnetrol.comMulti-Chem ............................................17
www.multichem.com/safespend
NNational Oilwell Varco ..........................27
www.nov.com/xlsystems
OOrion Instruments ................................64
orioninstruments.comORR Safety Corporation ......................13
www.orrsafety.com/kong
PPolarcus .................................................31
www.polarcus.comPennEnergy ...........................................65
www.PennEnergy.comPennWell Deep Offshore Technology International Conference & Exhibition 2010 .................... 6
www.dotinternational.net
MAPSearch ................................................. 24
www.MAPSearch.comOffshore Asia 2009 .................................. ..25
www.offshoreasiaevent.com
Offshore Middle East ................................. 66
www.offshoremiddleeast.com
Offshore Reprints ...................................... 14
www.offshore-mag.com
PennWell Books ......................................... 22
www.PennWellBooks.com
PROLINE SYSTEMS, INC. .....................56www.prolinesystemsinc.com
QQatar Airways ........................................45
qatarairways.com
SSCAN Geophysical ASA ................. 36-41
www.scangeo.comSchilling Robotics, LLC .......................23
www.schilling.com/schillingstrongSercel..... ................................................34
www.sercel.comSPE - 2009 Digital Energy Conference and Exhibition .......................................75
www.digitalenergy2009.comSPE - 2009 Offshore Technology Conference.... ........................................48
www.otcnet.org/2009Statoil Hydro .......................................5, 7
DoMoreHere.com
UUS Liquids Of Louisiana.. ....................63
www.uslla.com
VVIH Cougar Helicopters .......................59
www.vihcougar.comVOLVO PENTA . .....................................72
www.volvopenta.com
WWeatherford International ......................9
www.weatherford.comWood Group ..........................................21
www.woodgroup-esp.comWPT Power Transmission Corporation..... ......................................30
www.WPTpower.com
The index of page numbers is provided as a service. The publisher does not as-sume any liability for error or omission.
ADVERTISERS INDEX
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It is controversial and urgent. Debate and discussion carry from classrooms to boardrooms, from TVs to radios, and even to ships at sea. This emotional topic, of course, consists of the joint challenges of climate change and sustainable development with the primary question being: How are we going to address this? We believe the answer is that the world needs global solutions. This means nations, NGOs, individuals, and the business world working together as a team.
The seismic industry should not be exempt, even though it is a part of the oil and gas business which is perceived so often as being on the dark side of the environmental debate. In reality, fossil fuels will have a place alongside other energy sources for many decades, so our industry has a key stewardship role to play in making every effort to operate in an environmentally responsible manner.
There have been some in our industry who maintained a business strategy that allowed them to operate with little concern for environ-mental responsibility and sustainable development. After all, it was fossil fuels, the dark side, plus they did not sell to the public and did not see a profi t in operating green.
Polarcus, a marine seismic company launched in 2008, approach-es this from the perspective of individual citizens seeking global so-lutions and recognizes we must be willing to accept economic costs now in order to avoid negative future consequences. We are well aware that we have a signifi cant opportunity within the maritime sphere of our industry to perform our work cleaner and greener. Our goal is to rise up and meet this challenge head on.
In launching Polarcus, we are building an environmentally re-sponsible company that we envision as a model for others. Our be-liefs are embedded in our corporate values of respect, innovation, and excellence, and are apparent throughout the corporate lifecycle, from the design of our seismic fl eet through each vessel’s operation to their eventual recycling.
Our corporate values are the foundation for what we call “our pioneering environmental agenda.” To be a pioneer, we lead by ex-ample. Leading by example means, we know where we start from and how we compare alongside our peers.
We are pursuing an Emission Index for COx, NOx, and SOx in our vessel build program. The principal uses an Emission Indexing algorithm to measure our environmental footprint. The goal is to minimize that footprint while simultaneously maximizing vessel ef-
fi ciencies. The Emission Indexing is being conducted on the global marine seismic fl eet by Ulstein International and Det Norske Veritas AS. This will establish benchmarks for existing vessels as well as newbuilds. It is our intention to share this data with the industry as it is only together that a timely, effective, and pragmatic global solu-tion can be found for the pollution and greenhouse gas challenges. The resultant data will provide clients with the ability to objectively evaluate the sector and select an environmentally responsible con-tractor, further challenging us all to innovate and move towards a cycle of continuous improvement.
While building the company, nearly every aspect of our vessel design and technology selection has come under the green focus. In designing the fl eet, we recognized the importance of reducing atmospheric emissions from our vessels. We investigated Selective Catalytic Reduction and through installation of these units realized an investment in our future.
Similarly, by using the latest bilge and ballast water treatment sys-tems we reduce, if not eliminate, the number of contaminants and non-native species released into our oceans, a lesser debated but equally important area of concern.
In parallel to the engineering initiatives, we continuously seek other ways to address the green agenda. For instance, we measure the carbon footprint of our offi ce, including business seminars held elsewhere. Employees calculate the carbon footprint of primary cars and residences, with the carbon offsets paid for personally by the se-nior managers and by the company for all other employees. Another idea under consideration is a carbon offset matching plan with our clients and suppliers, to offset the carbon footprint generated during our operations. The offsets would be used to support sustainable de-velopment in areas of extreme need, allowing us to give something back to the global community.
These may be small initial steps, perhaps. But by increasing par-ticipation, promoting awareness, investing in green technologies, and leading by example, we hope to inspire others in our sector to become part of the global solution.
Peter Zickerman
Executive Vice PresidentPolarcus
It is controversial and urgent. Debate and discussion carry fromb d f TV di d hi
fi ciencies. The Emission Indexing is being conducted on the globali i i fl b Ul i I i l d D N k V i
Going green demands global solutions Seismic industry is not exempt
This page refl ects viewpoints on the political, economic, cultural, technological, and environmental issues that shape the future of the petroleum industry. Offshore
Magazine invites you to share your thoughts. Email your Beyond the Horizon manuscript to Eldon Ball at [email protected].
B E Y O N D T H E H O R I Z O N
80 Offshore March 2009 • www.offshore-mag.com
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With all our companies at one dock, you can tie up some real savings.
Because The Bayou facilities are together at
the Port of Iberia, we can meet your subsea
project schedule and deliver real savings. Your needs
can run the gamut because our services do. Bayou
applies OD corrosion, ID flow efficiency and
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The Bayou Companies5200 Curtis Lane, New Iberia, La 70560
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www.bayoucompanies.com © 2008
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________________
Advanced Coiled Tubing
Solutions
Supported by Supplement to
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CustomCustomPublishingPublishing
“When you know exactly what’s happening downhole, you can adjust job parameters
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Richard Cunningham
Profi le Editor,
Jerry Greenberg
Presentation Editor/Designer,
Chad Wimmer
Production Manager,
Dorothy Davis
918.831-9537
fax: 918.831.9415
Circulation Manager, Tommie Grigg
918.832.9207
fax: 918.831.9722
PennWell Petroleum Group
1455 West Loop South, Suite 400
Houston, TX 77027 U.S.A.
713.621.9720 • fax: 713.963.6285
PennWell Corporate Headquarters
1421 S. Sheridan Rd., Tulsa, OK 74112
P.C. Lauinger, 1900–1988
Chairman, Frank T. Lauinger
President/CEO, Robert F. Biolchini
supplement to:
sponsored by:
ContentsA secret beginning 1
The basic coi led tubing r ig 3
Appl icat ions 4
Fi t- for-purpose solut ions 6
ACT ive* serv ices 8
The ACT ive port fo l io 10
ACT ive case h istor ies 11
Sponsor prof i les 14
An asterisk (*) is used throughout this document to denote a mark of Schlumberger.
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The fi rst application of coiled tubing (CT) tech-
nology was not for oil wells, but for a plan to lay
emergency pipelines across the English Chan-
nel during World War II. Allied engineers made
coiled tubing from 40-foot lengths of 3-inch pipe
and spooled it around huge fl oating drums that
could be towed behind ships. In 1944, some of
the 23 secret pipelines they laid delivered Allied
fuel for the Normandy invasion.
The Allies made their coiled tubing by weld-
ing joints of pipe end to end. The idea is simple
enough, but making coiled tubing that is safe and
dependable is much more complicated. The low-
grade steel used in the early days couldn’t take
the tensile stress of heavy loads, and the many
welds required to produce continuous spools of
pipe frequently leaked or broke.
Steady improvements in manufacturing and
metallurgy through the 1970s and 80s greatly
improved the reliability of coiled tubing. In 1990,
the fi rst string of 2-inch coiled tubing was milled
for a permanent well completion, and suppliers
soon began offering coiled tubing up to 4-½
inches outside diameter.
Service companies quickly developed new CT
applications. In well workovers, coiled tubing be-
came the tool of choice for removing cement plugs
and scale. When customers said they wanted to
drill more slimhole wells for exploration and pro-
duction, coiled tubing was a natural choice.
A secret beginning
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The big advantage of coiled tubing, of course,
is that tripping in and out of a well is continuous.
That is not only faster than making up joints of
tubing, it requires fewer people on the rig fl oor
and makes the whole operation safer.
Coiled tubing units can also deploy downhole
tools that cannot be run on conventional wire-
lines. The two main benefi ts, however, are that
with coiled tubing, operators can pump fl uids
through the coil, and they can push tools into
the well rather than lowering them down on a
wireline. Depending on the size of the spool and
diameter of the pipe (1 inch to 4.5 inches), coiled
tubing is available in lengths in excess of 30,000
feet. Once reserved for niche services only, coiled
tubing is now an essential well intervention tool.
For drilling and workovers, CT rigs are much
smaller and lighter than the rigs that use conven-
tional tubing, and they need less room at the drill
site. Some oil and gas operators now use CT
routinely to drill shallow wells. In unconsolidated
sands, coiled tubing rigs can drill at rates up to
1,300 fph, compared 400 fph for conventional
rigs. Current technology allows CT drilling be-
yond 7,000 feet, and some heavy-duty units are
targeting depths of 10,000 feet.
Coiled tubing moved offshore in the mid-
1980s, where CT engineers had to overcome
much greater challenges than they faced on
land. Even though CT is lighter than rigid-tubing
rigs, the equipment was still too bulky for most
offshore platforms, and if the tubing was de-
ployed from a nearby vessel, operators had
to deal with the vertical and lateral movement
caused by the sea. Today, thanks to CT SEAS*
Safer, Effi cient, Automated Solutions other ad-
vanced Schlumberger technology, coiled tubing
offshore is an increasingly valuable option.
2 Schlumberger co i led tub ing
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The main components, other than the spool of
coiled tubing itself, are the injector head, the
stripper and the blowout preventers. Of these,
the injector head is the driver, because it is the
machine that pushes and pulls coiled tubing in
and out of the well. The device includes a curved
gooseneck beam that guides the coiled tubing
from its spool into the top of the injector head.
Pipe passing through the injector head
straightens before it enters the wellbore.
A stripper, set below the injector head,
contains the packing that seals the out-
side diameter of the tubing and isolates
pressure from the well.
Blowout preventers, located below
the stripper, are emergency devices that
can either cut the coiled tubing and seal
the wellbore, or if necessary, seal the
casing or riser.
The tool string at the bottom of the coil
is called the bottomhole assembly. One
advantage of coiled tubing is that it can
run a much wider range of tools and per-
form many more downhole jobs than can
be done with conventional wirelines.
The basic CT rig
Schlumberger co i led tub ing 3
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Coiled tubing can perform almost any downhole
job. In depleted gas wells, CT has even been
installed as production tubing and can be run
inside a well’s conventional tubing string. While
many production engineers think of CT as an
alternative to wireline service—and it is—the
technology is much broader than that.
Well cleanouts: Nearly half of all coiled tubing
jobs are done to get a well back in production
by circulating fl uids and debris from the wellbore.
Through an innovative mix of hardware, software,
fl uid cleanout systems and monitoring, produc-
tion engineers worldwide are using Schlumberger
coiled tubing applications to reduce the cost and
risk of cleanout operations and quickly return
their wells to production.
The diffi culty of any cleanout job depends
largely on the geometry of the well, properties of
the cleanout fl uid, fl ow rate, downhole pressures,
the nature of the solids that must be removed,
and how deep they are in the well.
Cleanouts are relatively easy for shallow wells
with simple geometries. When deviation angles
reach above 40 degrees, however, almost any
wellbore can be hard to clean. Often, sev-
eral techniques are combined to clean one well.
Schlumberger began integrating its wellbore
cleanout and optimization systems in 2002 and
continues to improve this robust lineup.
Jet Blaster* jetting scale removal service is a
CT-conveyed through-tubing tool that uses a
rotating head and high pressure fl uids to remove
scale, including hard scale (strontium and iron
sulfi de), from wellbores in one trip. It is a fast
and cost-effective alternative to nozzle systems,
positive-displacement motors, impact hammers
and other techniques on the market.
PowerCLEAN* engineered fi ll removal service
is a CT service that effi ciently lifts sand, silt,
wax, scale and other debris from the wellbore.
The system’s innovative software, coupled with
engineered nozzle and fl uids, optimizes the job
by evaluating the fl ow rate, circulating pressure,
bottomhole pressure and other variables before
taking each bite of fi ll.
Workovers: In recent years, coiled tubing has
become an effi cient, cost-effective solution for
open-hole milling, fracturing and many other
workover jobs.
CoilTOOLS* is a one-stop source for the latest
downhole CT tools. The portfolio includes standard
bottom-hole assemblies such as motor heads,
connectors, check-valve, disconnect assemblies,
knuckle joints, fi xed and hydraulic centralizers,
fi xed and rotary wash tools, nipple locators, gauge
carriers and the entire suite of downhole valves.
Discovery MLT* multilateral tool is a cost-
effective reentry system for maximizing the
performance of multilateral wells. The downhole
tool sends a pressure signal to confi rm that it has
reached the correct lateral. The tool’s orientation
adjusts from the surface and provides real-time
feedback, which greatly increases the chance of
a successful reentry on the fi rst try to Level 1 and
Applications
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2 multilateral wells. The Discovery MLT software
displays several essential parameters, such as the
tool’s orientation relative to the lateral window. The
application also monitors previous indexes and
guides the operator through subsequent indexing
cycles to provide accurate, real-time information.
Coiled tubing is often used to pump fl uids to
specifi c sections of a well, and Schlumberger has
a suite of CT tools that make the job go easier.
CoilFLATE* through-tubing infl atable packer de-
signed for extreme conditions. CoilFLATE packer
can isolate selected perforation intervals with
pump-through capability, without the need for a
workover rig. The system also allows operators to
permanently abandon zones or temporarily iso-
late areas of the wellbore for testing.
CoilFRAC* stimulation through coiled
tubing is a well stimulation service that
incorporates unique bottomhole as-
semblies to selectively isolate zones
of interest. CoilFRAC service can treat
multiple zones in a single trip and stimu-
late zones that were bypassed during
the original completion. Many opera-
tors are using this economical system
to stimulate lower-producing zones that
were too expensive to treat before.
CoilCAT* coiled tubing computer-aid-
ed treatment raises informed real-time
decision making to a new level of confi dence.
The new CoilCAT well site service makes well
interventions more effi cient and reliable. CoilCAT
service combines the Coiled Tubing Sensor Inter-
face advanced data acquisition system with the
Universal Tubing Integrity Monitor and software to
effi ciently merge design, execution and real-time
evaluation capabilities in one package.
Perforating: Coiled tubing offers many advan-
tages over other conveyance systems, particularly
for highly deviated and horizontal wells. First is
the strength and rigidity of the tubing, which can
endure more tensile and compressive forces
than wireline systems. Schlumberger routinely
runs coiled tubing perforating strings in excess of
2,000 feet (600 meters) on Alaska’s North Slope.
For live wells, CT perforating can run long
gun strings and either drop them off or retrieve
them without having to kill the well. The ability
to continuously circulate through the tubing also
makes it easy to spot-treat with fl uids. Treating a
carbonate interval with acid just before perforat-
ing, for example, creates cleaner perforations.
In depleted wells where there is not enough
difference between the bottomhole pressure and
pressure from the reservoir, nitrogen can be cir-
culated to lighten the fl uid column and increase
the drawdown at the target zone.
Schlumberger co i led tub ing 5
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CT EXPRESS* rapid-deployment coiled tubing
service is designed for low- to medium-pressure,
intermediate-depth land-based wells. The sim-
ple, reliable design can handle rough terrain and
extreme weather conditions.
The unit consists of just two trucks and a crew
of three. One truck holds the CT rig itself, and the
second vehicle carries a combination nitrogen
and liquid pump, plus electrical and hydraulic
systems to run the entire unit. Since there are no
hydraulic or electrical connections to be made
on location, rig-ups are safer and more effi cient
than with other systems. During fi eld tests, CT
EXPRESS crews performed more than 200 jobs
without a lost-time incident.
With CT EXPRESS service, rig-up and rig-down
times are as short as 30 minutes. Coiled tubing
rigs with similar capabilities typically require four
trucks and a crew of fi ve. CT EXPRESS service
can be used on wellheads up to 20 feet high; the
system can also be deployed onto the rig fl oor of
land rigs if required.
CT SEAS* Safer, Effi cient, Automated Solu-
tions, is a fi t-for-purpose offshore CT system
that greatly improves the effi ciency and safety
of moving from one well to the next. Designed
for harsh offshore conditions, the system incor-
porates the same proven process control and
distributed architecture of the CT EXPRESS
rapid-deployment coiled tubing unit for land-
based operations.
Speed is a key feature. In some cases, well-to-
well time is as little as four hours. The system’s
ergonomic design, smaller footprint and high de-
gree of automation also make it less costly than
other alternatives.
The CT SEAS system provides one central
control point for the entire coiled tubing opera-
tion, as well as real-time data acquisition and data
transfer to offsite locations. The versatile, space-
saving design combines all the major coiled
tubing components into modules that are easy
to transport and assemble with zero discharge.
Because several key processes have been au-
tomated, CT SEAS systems also require fewer
operators than conventional CT units, which is a
real advantage offshore.
CT SEAS systems have a fl exibility that makes
them readily adaptable for many offshore struc-
tures, including platforms, fl oaters and tension
leg platforms. But even with a high degree of
fl exibility, they retain all the capabilities of con-
ventional coiled tubing units.
This advanced system improves the overall
safety of coiled tubing operations; with a proven
15 percent increase in operational effi ciency, a
substantial reduction in boat lifts, and 30 percent
Fit-for-purpose
solutions
6 Schlumberger co i led tub ing
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fewer offshore personnel. The design of the
equipment package features fewer mechanical
connections, improved control room ergonomics,
and faster well-to-well cycle times. Compared to
earlier systems, CT SEAS systems can also run
heavier coiled tubing at increased speeds.
CT TCOMP* advanced coiled tubing motion-
compensation system is made specifi cally for
deepwater use. It is the result of a two-year fi eld
study to identify the potential safety and effi cien-
cy that could be gained by improving the design
and packaging of compensation equipment. The
result is a total motion-compensation package
for deepwater CT operations.
CT TCOMP system trims up to 16 hours from
the average 87 hours it takes to rig up and rig
down a standard deepwater CT system, and it
is safer than other CT packages. It protects well-
head integrity during CT operations by limiting
wellhead stresses, and by compensating for verti-
cal and horizontal wellhead motion from inside or
outside the derrick. And since the equipment rigs
up quickly, it can be used on some spars (caisson
vessels) and TLPs where conventional coiled tub-
ing systems would be too expensive to use.
Schlumberger co i led tub ing 7
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In May 2008, Schlumberger introduced the
ACTive family of coiled tubing services for onshore
and offshore use. This innovative suite of down-
hole coiled tubing services provides continuous
feedback that allows engineers—either at the well
or in remote locations—to measure, interpret and
act on downhole events in real time.
All previous systems relied on surface data and
feedback from the well to determine what was
happening downhole. Downhole pressure was
estimated from pressure readings at the pump,
the wellhead or both. Actual tool depth was in-
ferred from the amount of coiled tubing in the
hole, which is only accurate to within about 0.3
percent. When jobs required greater accuracy,
crews might tag a known bottom or restriction,
use tubing tail locators, or run mud-pulse telem-
etry logging tools. These techniques, however,
are inaccurate, expensive and time consuming,
and they can complicate the job.
The ACTive difference is a rugged, high-
bandwidth fi ber optic cable inside its own
nickel-chromium-based super-alloy steel carrier
that is deployed inside the coiled tubing string.
The fi ber optic cable links bottomhole sensors
with surface monitors and controls, allowing
specialists to measure, interpret and act on
downhole events as they occur.
The complete system includes a bottomhole
assembly, fi ber optic carrier, surface electronics
and software that delivers internal and external
pressure, temperature, casing collar locator
depth correlation, and distributed temperature
measurements that provide data back to surface
in real time.
ACTive services can elevate the performance,
effi ciency and results of coiled tubing operations
in various types of wells. Operators in western
Canada, for example, need cost-effective ways
to achieve maximum reservoir contact in their
partially depleted carbonate reservoirs. Multi-
lateral completions give them greater reservoir
contact and the ability to reach isolated parts
of the reservoir without excessive construction
cost or complexity. Conventional coiled tubing
services are often used to access and treat these
multilateral wells, but without accurate depth
information, it can be hard to confi rm access in
all the laterals. Operators not only have to cor-
rectly orient the bottomhole assembly to enter
the lateral, they must fi rst determine which lateral
they are entering. For them, ACTive services rep-
resent a step change in CT capabilities.
ACTive services give operators the tools they need
to diagnose and respond to changing conditions
in real time. To take full advantage, Schlumberger
fi elds a team of CT experts who stand ready to
diagnose and respond, based on their knowledge,
experience and the information they get from
ACTive real-time downhole measurements.
ACTive services –
a breakthrough in
CT technology
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As Schlumberger experts monitor the well,
Decipher* dynamic evaluation software provides
the information they need to cross-reference
what they see downhole with surface and petro-
physical data. For the fi rst time, adjustments to
job parameters are based on immediate feed-
back from the job in progress. Changes can be
made decisively and with greater confi dence
than ever before.
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The ACTive portfolio
ACTive Matrix monitors
the injection rates, downhole
pressures and temperatures of
matrix treatments to promote
the penetration of fl uids,
enhance diversion and optimize
treatment volumes. The service
also aids in the design of
subsequent treatments.
ACTive Cleanout is a
fi ll-removal service that uses
differential pressure readings to
avoid formation damage and
minimize the number of trips in
and out of the well. It also re-
duces the total operating time
by optimizing fl uid volumes and
penetration rates into the fi ll.
ACTive Isolation provides
effi cient, on-depth settings of
isolation devices in a single run.
It allows operators to insure the
integrity of the seals by control-
ling both the infl ation pressure
and the differential pressure
across the sealing elements.
ACTive Isolation can also be
used to accurately place fl uids
for temporary operations or to
permanently isolate zones, all
in one trip in the hole.
ACTive Lift improves the
time and fl uid effi ciency of ni-
trogen lift jobs by continuously
monitoring pressure in the
wellbore. The result is a faster,
more controlled restoration of
production, without the risk of
producing excessive sand and
debris from the reservoir. This
service also aids in the charac-
terization of fi eld performance
and the evaluation of artifi cial
lift programs.
ACTive Perf achieves accu-
rate depth control in a single
run and ensures full coverage
of the target zone. Controlling
the hydrostatic balance avoids
damage to the formation,
and prevents the invasion of
formation fl uids and sand into
the wellbore. Verifi cation that
the perforating guns have
been activated improves the
safety and reliability of CT
perforating jobs.
ACTive Profi ling enhances
all ACTive services with DTS
profi ling to provide a 3D
temperature profi le of the
entire wellbore to monitor the
placement of treatment fl uids
and production performance
of the well. Temperature
profi ling also gives operators
the ability to perform active
point measurements and DTS
spatial measurements on the
same run.
There are six services in the ACTive portfolio.
Each presents its own unique solution in the
market by combining advanced, high data-rate
telemetry, fi ber optics and real-time downhole
measurements with state-of-the-art interpreta-
tion software.
10 Schlumberger co i led tub ing
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Increased st imulat ion coverage of a mult i lateral gas wel l :
When an operator in Canada needed to increase the productivity of two openhole legs in an exist-
ing multilateral gas well, they turned to ACTive Matrix for a solution. The well, which is in a natu-
rally fractured dolomite formation, was producing a high concentration of H2S and some CO
2.
Coiled tubing was run in the hole to obtain downhole measurements, which were used to
stimulate the openhole legs. Acid treatments temporarily diverted and treated the sections of the
open hole that would otherwise not have been stimulated. Pre- and post-treatment distributed
temperature survey (DTS) data were used to optimize acid placement.
Using the more reliable real-time bottomhole pressure measurements, rather than surface pres-
sure measurements, increased the accuracy and effectiveness of the stimulation treatments.
The initial acid treatment was confi rmed. Injection points and other zones to be opened were
identifi ed. Thermal analysis results were used to generate a revised pump schedule that provided
details of the appropriate diverter and acid stages, which allowed temporary diversion of the
initially stimulated zones and better overall treatment of the multilateral leg.
A fi nal DTS confi rmed that the treatment successfully diverted the acid and stimulated all of the
targeted zones.
Accurate placement for a successful water shutoff :
Saudi Aramco chose ACTive Isolation when a 60 percent water cut caused one of its new horizon-
tal wells to stop fl owing. Most of the water was coming from the toe of the openhole completion.
ACTive Isolation* provided a coiled tubing solution by allowing operators to deploy an infl atable
packer through the production tubing and a cement plug to isolate the water-producing zone.
An initial CT run confi rmed accessibility and revealed an accurate downhole temperature,
which was needed to prepare the cement slurry. On the second run, the through-tubing infl atable
packer was deployed to the depth of the oil/water interface. After confi rming the depth, a ball was
dropped in the coiled tubing to set the packer, and real-time measurements confi rmed that the
packer was properly located and set. A third run spotted cement on top of the infl atable packer.
Kill fl uids were displaced with nitrogen, which was confi rmed at the surface by monitoring the
downhole pressure. With the well back in production, the water cut decreased by 50 percent and
oil production increased by 1,000 barrels per day.
ACTive case studies
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Effect ive sand cleanout:
Talisman Malaysia Ltd. (TML) drilled a water injector well in Malaysian waters of the South China
Sea. After perforating the fi rst zone, produced sand plugged the next perforating intervals. Despite
efforts to clean the well using conventional CT methods, the planned intervals could not be
reached. Injecting nitrogen to circulate fl uids and fl ow the well only produced more sand.
The operator chose ACTive Cleanout and ACTive Perf to obtain real-time downhole measure-
ments, which allowed better control of the cleanout and accurate placement of the perforating guns.
The existing sand in the wellbore was lifted out by keeping the bottomhole pressure balanced or
slightly overbalanced using real-time bottomhole pressure data. The designed pumping schedule
was then followed with continuous real-time monitoring of the pressure and temperature. Before
continuing with the planned perforation run, an injectivity test ensured that the tunnels in the exist-
ing perforation interval were open.
Perforating resumed, with the guns successfully conveyed to the target depth and correlated
against the base depth log. The real-time bottomhole pressure reading assured operators that
they were maintaining the proper balance to keep additional sand from entering the wellbore.
Using the real-time CCL correlations, the guns were positioned. The e-Fire* electronic fi ring head
system was activated via nitrogen pulses through the coiled tubing. Both the bottomhole pressure
and temperature increased after the guns were fi red.
ACTive services allowed operators to effectively clean sand from the well, accurately place the
perforating guns, fi ne-tune the bottomhole pressure and receive feedback at the surface once
the guns were fi red. As a result, the fi nal water injectivity rate was 8,900 bbl/d at 700 psi surface
pressure, which confi rmed that sand was not reintroduced into the wellbore after the perforating
operations were complete.
ACTive case studies
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Identifying the causes of lost production:
When production dropped in a well that was completed using an openhole slotted liner in the
Bunga Raya fi eld, the operator, Talisman Malaysia Ltd. (TML), performed a chemical treatment to
remove the emulsion and polymers left behind by the drilling fl uid used to drill the well. Immediately
after the treatment, production increased from 500 bbl/d to 2,000 bbl/d, but within fi ve hours, it
dropped dramatically and then stabilized at its pretreatment rate.
TML suspected that the emulsions and asphaltenes had formed in the wellbore during the
shut-in time while rigging down. However, the operators did not have adequate information about
the formation characteristics and the trajectory of the well. Without the data, they could not
understand the cause of the production decline after treatment, where and how the emulsions and
asphaltenes were forming, and how to dissolve them or prevent them from reforming.
TML asked Schlumberger to design a well cleanup plan, to obtain pressurized bottomhole
samples, and to run a DTS. ACTive Profi ling was chosen to provide a single-point temperature
reading at the tool and to provide a temperature reading across the fi ber optic cable used to
deliver the DTS measurements.
The objectives were to check the conformance of the fi rst DTS results and interpretation, to use
the DTS data to select the location for collecting representative bottomhole hydrocarbon samples
and to optimize the treatment interval.
The pressure survey and DTS data revealed minimum pressure support from the water injector,
which, in turn, caused the gas cap to expand. Temperature dropped across the entire interval, but
was lowest at the toe. The cooling effect and subsequent drop in liquid production was caused
by gas coming from the heel and toe of the well as the gas cap expanded. The combination of
gas rates with oil and water production was also creating a tight, viscous emulsion that further
hindered the well’s performance.
TML concluded that with this well, due to the horizontal openhole slotted-liner completion, the
high gas production from the toe and heel could not be selectively shut off or controlled.
ACTive case studies
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Using downhole measurements to boost well performance:
Talisman Malaysia Ltd. operates more than 130 wells in the South China Sea, but many of them
do not perform to full potential because of perforation damage at suboptimal reservoir conditions.
Initial attempts to solve the damage problem involved CT perforating with the well in an under-
balanced condition. The main advantages of CT were the ability to lower the bottomhole pressure
using nitrogen and a lower overall cost when compared to tubing-conveyed perforating using a
standard rig.
Although conventional CT methods were considered effective in this application, concerns
included perforating off-depth due to inaccurate depth control, an inability to detect fi red guns
and improper pressure balance in the well. Too much pressure in the wellbore could result in an
ineffective cleaning of the perforations and too little pressure could cause the guns to be sanded
in after they fi red.
ACTive Perf was selected because the service provides downhole measurements, tools and
techniques to perforate in properly balanced conditions. It also allows the accurate placement of
the guns, a pressure activated electronic fi ring head system and the ability to receive real-time
confi rmation that the guns have fi red.
The ACTive Perf system was used to complete a TML offshore gas well. The perforating gun
was positioned on depth using real-time CCL correlation. Prejob calculations showed that the
correct underbalance would be reached after the displacement of wellbore fl uid with nitrogen.
However, when real-time pressure data showed that the desired underbalance pressure had not
been achieved, operators were able to respond immediately to correct the problem.
Nitrogen pulses were sent down through the coiled tubing to fi re the guns. Downhole measure-
ments quickly showed an increase in bottomhole temperature and pressure, which confi rmed a
successful fi ring.
By perforating under optimal reservoir conditions, TML achieved a higher-than-expected and
sand-free gas production rate of 70 MMcf/d.
ACTive case studies
14 Schlumberger co i led tub ing
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Avai lable now, or coming soon
ACTive services are already deployed in eleven
countries, with nine more coming online in
2009. The addition of ACTive services to the
Schlumberger family of services brings the next
generation of coiled tubing capability and novel
ways to tackle old problems.
www.slb.com/active
w w w . w e l l c o n t r o l . c o mw w w . w e l l c o n t r o l . c o m
Tel: +1-713-849-7400
API
WEL
LCONTROL SCHO
OL
e-L
ear
ning
Well Contr
ol
T
rain
ing
System 21
e -Learning
Web -Based
Training Program
IADC & API Well Control Training (Drilling, Workover/Completion, Well Servicing)
Stuck Pipe Prevention Training
Instructor - Led
Training Program
IADC & API Well Control Training (Drilling, Workover/Completion, Well Servicing)
IWCF Preparatory Course and Testing(Rotary Drilling & Well Intervention)
Tel: +1-713-849-7400
Commit ted to Quality...
Delivering Value!
Schlumberger co i led tub ing
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________________________
16 Sch lumberger co i l ed tub ing
C o m p a n y P r o f i l e
Coiled Tubing Units, Nitrogen and Coiled Tubing Support Equipment
NOV Hydra Rig is the recognized world leader in coiled tubing units,
nitrogen and coiled tubing support equipment, having supplied more
coiled tubing units than all current manufacturers combined.
National Oilwell Varco’s Hydra Rig Division couples advanced
technologies with proven high-quality components, service and
technological expertise to provide the single source for all of your well
intervention requirements worldwide. NOV Hydra Rig delivers the complete
CT equipment advantage with brand names relied upon for more than 30
years and is constantly developing new and innovative solutions for all of
your future CT requirements.
Coiled tubing drilling operation utilizing an NOV Hydra Rig coiled tubing unit and nitrogen unit, NOV Texas Oil Tools pressure control equipment, NOV
CTES data acquisition system, and an NOV Rolligon twin fluid pumper.
[email protected] [email protected] [email protected] [email protected] [email protected]
Ft. Worth, Texas Duncan, Oklahoma Calgary, Alberta U.K. Dubai, U.A.E.
817-985-5000 580-255-4433 403-279-6430 44-1493-651801 971-4-883-5910
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C o m p a n y P r o f i l e
Sch lumberger co i l ed tub ing 17
Two Door
Stripper Packer
NOV Texas Oil Tools has enhanced the Over/Under design
to have two easy access doors. The new Two Door
Stripper packer provides two packers in one Stripper
with easy replacement and extended life packers.
“ES” BOP
3.06’’, 4.06’’, 5.12’’, and 7.06’’
This is a lightweight, high pressure coiled tubing BOP
package. Features include hydraulic ram change,
balanced shear piston and combi shear seal and pipe
slip ram capabilities.
Coiled Tubing (CT) Pressure Control Equipment
NOV Texas Oil Tools
Since its founding in 1978, Texas Oil Tools (TOT) has established itself as one of the leading
specialty manufacturers and suppliers of pressure control equipment. During this period,
TOT has expanded its range of products to meet the dynamic demands of the industry.
A proven track record of excellence in design, manufacturing and service has gained
NOV Texas Oil Tools worldwide recognition as a leader in pressure control products. We
design and manufacture our products to the most stringent standards. We are a licensed
API manufacturer and supply our equipment to meet or exceed industry standards.
Our product range begins with 1.50’’ bore and goes up to 9.00’’. In addition, our
spectrum of products exhibit working pressures up to 20,000 psi and temperature ranges
from -75°F arctic service to 500°F geothermal applications.
NOV TOT CT Pressure Control Equipment
• Blowout Preventers
Single, Dual, Triple, Quad, Quint, and Combi Ram Designs
• Stripper Packers
Side Door, Sidewinder, Conventional, Tandem Side Door, Over/Under, Two Door
• Quick Latches
Hydraconn, Injector Connector, Quick Disconnect, Hydraulic Releasing Connector (JHS)
• Additional Equipment Offered:
— Flanges — Safety Valve
— Flow Cross — Transport Lift Frames
— Hand Unions — Tubing Punch
— Lubricators — Tubing Shear
[email protected] [email protected] [email protected]
Conroe, Texas Broussard, Louisiana Scotland, U.K.
936-520-5300 337-839-0024 44-1224-331-200
www.nov.com
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C o m p a n y P r o f i l e
Sch lumberger co i l ed tub ing
Tenaris offers the most diverse line of coiled tubing for downhole applications
Tenaris is the leading manufacturer of coiled tubing products worldwide. At its two Houston
facilities, the company manufactures coiled tubing and coiled line pipe in a range of sizes and
grades, including corrosion resistant alloys for sour service environments. As a result of Tenaris’
capabilities, Schlumberger chose the company to be its exclusive provider of coiled tubing for
their global coiled tubing services organization.
Tenaris has differentiated its product offerings by not only supplying coiled tubing strings used
for downhole production-related coiled tubing services, but also through manufacturing of larger
coiled tubing that may be utilized for marine pipeline requirements. The company is the world’s
fi rst tube or pipe manufacturing facility to obtain ISO-9001 certifi cation for its quality assurance
programs. Tenaris is the world’s only supplier of 4 ½-in. and 5-in. OD coiled tubing and the sole
provider of heavy wall coiled tubing with available thickness from 0.224-in. to 0.300-in.
Additionally, Tenaris operates the world’s only dedicated three-layer continuous coating line
for coiled line pipe, consisting of fusion bonded epoxy, copolymer adhesive and polyethylene
or polypropylene. The coiled line pipe is delivered on spools to marine vessels where they are
consolidated to enable the vessel to pay out the tubing signifi cantly faster compared with con-
ventional stick pipe welded joint by joint and laid by a traditional pipelay vessel.
Coiled line pipe typically is used in water depths of 200-3,000 ft. with one Gulf of Mexico
installation in more than 7,000 ft. of water and other projects in locations from Norway to
New Zealand. Tenaris also pioneered the API 5LCP coiled line pipe certifi cation standards, and
continues to be the only certifi ed supplier.
Continuously setting records
The company holds numerous production records for the longest and heaviest coiled tubing ser-
vice work strings, all of which have been in conjunction with Schlumberger as its global alliance
supplier of coiled tubing.
• A project in the Gulf of Mexico calling for 28,900 ft of 1 ½-in. high strength (HS) 110 tapered coiled tubing;
• A Gulf of Mexico project requiring 32,600 ft of 2-in. tapered coiled tubing, plus a second 33,300 ft tapered
string of 2-in. HS 110 tubing. The strings have seven wall thickness transitions from 0.204-in. to 0.125-in.
The project took two years to develop, including six months of pre-planning and the manufacturing of two
mini-strings to test bias welds;
• A third Gulf of Mexico project for Schlumberger required 30,600 ft of 1 ¾-in. HS 110 coiled tubing;
• A project offshore eastern Canada called for 30,200 ft of 2-in. HS 90 coiled tubing with electric line cable for
logging equipment.
Optimizing manufacturing process
Tenaris’ coiled tubing plant in Houston went through a debottlenecking and expansion program from late 2005
through spring 2007, signifi cantly improving workfl ow as well as adding the latest technology to increase production
effi ciency. The expansion project also improved service handling and simplifi ed truck traffi c fl ow through the plant.
Improvements included increased assembly lines, additional assembly consolidation wheels, which dramatically
reduced the amount of time the coiled tubing was in the assembly area, and the addition of digital radiography tech-
nology to reduce the time for welds and inspection by 50% compared with the older fi lm processing technology.
Two heavy-duty overhead crane systems were installed providing for safer and more reliable transportation
of the coiled tubing strings throughout the plant. There are more and larger spooling reels available for long
coiled tubing strings, and additional hydro test bays were built. The expansion program increased output by
75%-80% and signifi cantly reduced backorder time. There also is additional infrastructure to allow for further
expansion, including a third mill and bias welding cells as well as room for onsite master coil slitting.
Tenaris continuously works with other innovative companies to develop new applications for coiled tubing
and coiled line pipe. The forward thinking company is currently testing the applicability of large diameter coiled
line pipe for marine riser applications, unique artifi cial lift products, and tubular products as subcomponents for
more advanced production equipment for tertiary and SAG-D production.
Tenaris is a leading supplier of tubes and related services for the world’s energy industry and certain other
industrial applications. Its mission is to deliver value to its customers through product development, manufactur-
ing excellence and supply chain management. The company minimizes risk for its customers and helps them
reduce costs, increase fl exibility and improve time-to-market. Tenaris’ employees around the world are commit-
ted to continuous improvement by sharing knowledge across a single global organization.
Contact:
Dennis Dunlap
8615 East Sam Houston Parkway North
Houston, TX 77044
Telephone: 281-458-2883
Fax: 281-458-2886
www.tenaris.com/coiledtubes
Tenaris is th
facilities, the
grades, inclu
capabilities,
their global c
Tenaris h
for downhole
coiled tubing
fi rst tube or
programs. Te
provider of h
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consolidated
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Coiled li
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New Zealand
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The compan
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ulf of Mexico project
ng of 2-in. HS 110 tu
project took two yeThe
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The
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Second Annual
Women in Energy Forum
Energy Workforce Opportunities in the New Economic Climate
Customized and Personalized:Improving Frontline Training Practices
EnergyWorkforceF o r t h e i n d u s t r y ’ s c a r e e r - m i n d e d p r o f e s s i o n a l s • S p r i n g 2 0 0 9
A s u p p l e m e n t t o P e n n W e l l p u b l i c a t i o n s • w w w . P e n n E n e r g y J O B S . c o m
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_____________________
APPLY ONLINE AT CHK.COMNYSE:CHK
NATURAL GAS
J O I N A M E R I C A’ S C H A M P I O N O F
CHESAPEAKE IS ONE OF AMERICA’S LEADING PRODUCERS OF NATURAL GAS. We’re
also proud to be listed among the FORTUNE 100 Best Companies To Work For® in
2009. Chesapeake off ers rewarding opportunities in many career areas:
Drilling Engineers � Reservoir Engineers � EH&S
Production Engineers � Facilities Engineers
Pipeline Specialists � Geologists � Petrophysicists
Chesapeake has gained national recognition as a top-paying company
with outstanding benefi ts and a generous stock-award plan.
Chesapeake is a dynamic, fast-growing organization of professionals who are committed
to our company, our communities and our environment. Join us as we champion natural
gas – the answer to America’s energy future.
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______
Energy Workforce Opportunities in the New
Economic Climate 6
P e t e r W e i g a n d a n d M i c h a e l A b r a h a m , S k i p p i n g S t o n e
Forum: Continued advancement for women
in energy is promising 8
C h r i s P o s e y , C o n t e n t S t r a t e g i s t
Customized and Personalized 14
T h e A s c e n t G r o u p , I n c .
DEPARTMENTS
p u b l i s h e r ’ s l e t t e r 2
J O B S i n s i g h t 4
ADVERTISERS’ INDEX
Chesapeake Energy Corporation. ............................................................................................. Inside Front Cover
Shaw Group Inc. ........................................................................................................................................... 3
Aerotek Energy Services ............................................................................................................................... 5
Epco Inc. ..................................................................................................................................................... 7
Fluor Corporation ....................................................................................................................................... 11
PennEnergy.com ........................................................................................................................................ 13
PennEnergyJOBS .................................................................................................................. Inside Back Cover
Alberta Employment Immigration ......................................................................................................Back Cover
w w w . P e n n E n e r g y J O B S . c o m
EnergyWorkforceStacey Schmidt, Web Publisher
Chris Posey, J.B. Avants, Editors
Candice Doctor, Sales Manager
Chad Wimmer, Art Director
Dorothy Davis, Production Manager
Tommie Grigg, Audience
Development Manager
Tom Cintorino
Sr. Vice President, Digital Media
PennWell Corporation
1421 South Sheridan Road
Tulsa, Oklahoma 74112
918 835 3161
PennWell.com
–––––––––––––––––––––––––––
Recruitment Advertising Sales:
Candice Doctor
Sales Manager
918 831 9884
Stephanie Brown
Power & Petroleum Account Executive
918 832 9228
Brent Eklund
Petroleum Account Executive
720 535 1264
–––––––––––––––––––––––––––
Cover illustration © Spectral-design
Dreamstime.com
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________________________________
With easier, more effi cient
navigation and even more
valuable, energy-centric content,
PennEnergy.com serves the
global energy industry with the broadest and most complete
coverage of petroleum and power industry news, research,
workforce management solutions and product information.
global energy industry with
2 For job opportuni t ies, v is i t www.PennEnergyJOBS.com EnergyWorkforce
In 2008, PennWell Corporation launched the new PennEnergy.com, the fi rst website
of its kind focused on providing the most complete and in-depth coverage of both
the petroleum and power industries. In January 2009, PennEnergyJOBS offi cially
became part of the PennEnergy.com family. With the addition of PennEnergyJOBS,
PennEnergy.com now provides workforce
management solutions and tools for job seekers
and employers.
With content organized by Topic Centers, the
new PennEnergy.com provides easy access to
in-depth and expert original and sourced news,
comprehensive fi nancial data, extensive research
tools and product and service information. Topic
Centers focus on specifi c areas of both the Power
and Petroleum industries, including Renewable
Energy, Smart Grid, Petroleum Exploration,
Refi ning, Processing, and LNG.
Since 1910, PennWell has been a leader for coverage of and service to the worldwide
petroleum and power industries. With foundation magazines and web sites such as Oil
& Gas Journal, Off shore Magazine, Renewable Energy World, Power Engineering, and
Utility Automation Engineering T&D, PennWell created PennEnergy.com to serve as a
one-stop resource for energy news, research, and insight. In addition to today’s energy
news and information, the site contains ten years of archived content from PennWell’s
award-winning energy publications.
With easier, more effi cient navigation and even more valuable, energy-centric content,
PennEnergy.com serves the global energy industry with the broadest and most complete
coverage of petroleum and power industry news, research, workforce management
solutions and product information.
I thank you for your support of PennEnergyJOBS, Energy Workforce Magazine and
PennEnergy.com, and look forward to serving you in the future.
Regards,
Stacey Schmidt
Web Publisher, Energy Markets
p u b l i s h e r ’ s l e t t e r
Dear Reader,
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www.shawgrp.com
At Shaw, Power Group employees lead their
business with ingenuity and vision. Shaw’s collaborative
work environment allows you to reach your full potential as we
meet the needs of our global clients. If you are looking for a career
with substantial opportunity for growth and challenge, consider
building yours with Shaw. Immediate opportunities include:
Building Excellence—One Career at a Time
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Maintaining your fi nancial and
career security is priority number
one, but it is also important to keep in mind your long term
goal—turning this tumultuous time into a career upgrade.
one, bbut iit iis allso iimportant
4 For job opportuni t ies, v is i t www.PennEnergyJOBS.com EnergyWorkforce
J O B S i n s i g h t
By the end of January, the unemployment rate rose to 7.6% bringing job losses
to a 34 year high. Th e energy sector has faired better than areas including
manufacturing and construction. Moreover, the peaked interest and support in renewable
energy has led to a great deal of discourse around the so-called “green collar” jobs. Th is
could possibly result in fewer lay off s in the energy industry, yet more transitions. Th e
overall reality is the precarious environment in which we currently live is serving as a
catalyst to think about our career development.
Regardless of your job’s current state of vulnerability, it is the perfect time to think
about your next career move. Th e evolution
of your career will either be in your current
company or outside of it. Th e decision may not
be yours to make, but you can at least insert
yourself into the outcome.
Build a road map of your career future by
asking yourself some important questions. What
is the current state of my career? How susceptible
is it to a lay off ? What are my options?
Th e level of lay off susceptibility will help to determine whether or not your path will stay
within your current organization or outside your current organization. For those of you who
fi nd yourself highly susceptible to a lay off , you should get your resume up to date, reach out
to your network and start researching. Find out which companies are hiring, which energy
jobs are active and how your skills and experience could translate into a new opportunity.
Not everyone will be looking for career options outside of their company. Internally, the
short term goal is to make your job less vulnerable by gravitating towards the work, taking
on challenging projects, appraising your skills and expertise and working on building
areas of weakness. Take the initiative, work hard and you could potentially increase the
sustainability of your job.
Maintaining your fi nancial and career security is priority number one, but it is also
important to keep in mind your long term goal—turning this tumultuous time into a career
upgrade. Future tides will turn once again providing opportunity for promotion. Finish out
your road map with a target promotion in mind and strive towards it every day. Doing so
could pay rich dividends.
Th ese challenging times should be looked upon as a catalyst for career growth, not just
by those laid off , but by everyone. Th ere may be hardships incurred earlier, but eff ort spent
now is the key to a more stable career over time.
Sincerely,
Stanna Brazeel,
Manager, Staffi ng and Salary Administration, Human Resources
PennWell
Career Focus In Economic Uncertainty
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The things that make you unique may also make you uniquely qualified. That’s
why, at Aerotek, we take the time to find the person behind the resume. We dig deeper to discover
the very best qualities inside you. Qualities that inspire. Qualities employers look for. Qualities you
may not even know you had. Because at Aerotek, we send only one perfect candidate to fill one
perfect opportunity. And we want it to be you. People. Fit. Perfectly.®
Aerotek is an equal opportunity employer. An Allegis Group Company. © 2009
Nationwide & International Offices. 800.977.6499 www.aerotek.com
Career Placement Specialists SM
Engineers Managers Welders/Fitters Multi-craft Mechanics Specialty Technicians Craft Labor Other Related Professionals
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ENERGY WORKFORCE
6 For job opportuni t ies, v is i t www.PennEnergyJOBS.com EnergyWorkforce
Energy Workforce Opportunities in the New Economic Climate
It’s a mixed message out there. On the one
hand the media is claiming the energy
sector is the place to be; on the other hand,
energy companies are not immune to the
current economic woes. With commodity
prices down, industrial demand destruction
a reality and the inevitable increase in slow
or no paying customers, energy companies
are definitely experiencing the effects of our
current economy.
Just as consumers have become wallet vigilant, so too are
energy companies. And given that energy companies cannot
control demand destruction, commodity costs, or payment
consistency, that leaves projects and labor costs as the target
rich environment for cost control. We are already seeing hiring
freezes, projects being killed and a number of related signals
that indicate many energy companies are following the rest of
the economy into a standstill.
Opportunity Knocks
Who hasn’t heard or read about the workforce crisis facing the
energy industry? A couple of telling fi gures; such as 50 percent
or more of utility employees are eligible for retirement within
10 years, or, that Gen-Xers fall 4 to 6 million people short of
fi lling the vacated positions across all industries within the
next 3 years, are sobering indeed.
Meanwhile, the energy industry is experiencing a popularity
boost like nothing seen before. A recent college senior survey
indicated energy as one of the top 5 fi elds of interest. Until two
years ago, energy didn’t even make the top 20 list.
It’s an employers market today. Th ere may not be a better time
to capitalize on this opportunity and when the economy starts
to recover, this window of opportunity will close.
Answering the Door
It would be easy to suggest a simple strategy, such as, go out
and hire people from outside the industry in droves, but
the odds of that working and the cost of the inevitable large
number of “mistakes” is pretty high.
Th ere are essentially two key issues with hiring from outside the
energy industry: 1) lack of training, and, 2) retention risk.
Training can be an expensive investment in people, especially
given post-training retention risks.
Th is doesn’t have to be the case.
According to a Skipping Stone survey which was administered
to non-energy industry job seekers who were interested in
getting into the energy industry, 35 percent of respondents
were willing to pay for some amount of industry training out
of their own pocket. Th e number increased to over 50 percent
if they knew a job was waiting for them upon successful
completion of training. Th e number jumped to 85 percent
if the company hiring them was willing to reimburse their
training costs over a period of time.
Given the survey results, the current unemployment situation
and willingness of non-energy professionals to be retrained, this
screams for a low cost strategy that results in a new trained and
retained talent pool. For example, off ering jobs upon successful
training completion with a three-year payback program tied to
retention starts to look attractive. If you couple that with a third
party student loan program backed by your company and a
personal guarantee from the applicant, it gets even better.
If you don’t want to wait for people to get outside training
to get them started, a simple and cost eff ective retention risk
mitigation strategy is a contract to permanent program.
Contract to permanent has a myriad of benefi ts beyond the
obvious “try before you buy”. Advantages such as fl exibility, no
benefi ts costs, no HR issues, and little or no insurance impact
come with a “contract-to-permanent” approach.
Contract-to-permanent is a viable solution whether your
strategy is progressive on workforce development or if you
are simply in cost control mode. Using contractors for staff
augmentation and project work enables the ability to shed costs
quickly and easily as fi nancial conditions warrant.
Implementation
Most human resource departments aren’t equipped to
implement these strategies single handedly. Outsourcing in
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Join us in driving fast-moving, far-reaching
projects that span from the Gulf Coast to
the Rockies and across North America.
Whether building new pipelines
and facilities or optimizing and maintaining
existing ones, advance your career like
never before. Experience the stability of
working for a growing, industry-leading,
diverse operating company with a
track record of success.
ENGINEERINGWe move careers as fast as
we move energy.
An Equal Opportunity Employer.
Visit:
www.epco.com
• Field & Process Engineering
• Asset Integrity
• Reliability Engineering
• Project Engineering
• Offshore Engineering
• Engineering Services
• Measurement/Controls
• Project Management
Opportunities
ENERGY WORKFORCE
a partnership mode with internal HR is the quickest way to
capture what may be a short term opportunity. Th is eliminates
the ramp rate of hiring internal recruiters, contract coordinators,
training coordinators and other gaps to timely implementation.
To streamline the eff ort and minimize the number of outsource
partners needed, one way to eff ectively hit the market hard
and fast is the use of a fi rm that can provide a combination of
recruiting services, contractors, including payroll and benefi ts,
training coordination and assist in developing strategies and
tracking performance and budget.
Financial Impact
Consider the investment in the aforementioned workforce
strategies in terms of a two to three year window. Th e cost to
implement it in 2009 will be much lower than in future years as
eventually the labor market will strengthen and in the current
environment the competition for talent is at a low point.
Assuming there is a need to either address a retiring work
force, renewable mandates or potentially a government backed
windfall of activities, any way you look at it, there is a need
to invest in a workforce strategy. Doing so should not impact
earnings to a signifi cant degree and could position the company
for a signifi cant return on that investment in future years. If
positioned right, analysts might even reward such a strategy.
Th e competition for talent may never be this low again. —EW
About the Authors:
Peter Weigand is Chairman of Skipping Stone, a
professional resources company focused on providing
energy companies with strategic consulting, interim
and contract resources and recruiting services. Email:
[email protected], Phone: 714-965-0885
Michael Abraham is a resourcing client manager
with Skipping Stone. Email: mabraham@
skippingstone.com, Phone: 714-965-0883
—
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8 For job opportuni t ies, v is i t www.PennEnergyJOBS.com EnergyWorkforce
Forum: Continued advancement for women in energy is promising
Existing roadblocks and challenges
Q: Do you see any challenges or roadblocks that still exist for women
in the energy industry whose career management paths include in-
tentions to reach senior levels? If so, what are the challenges you see?
Kendrick: Utilities are facing a workforce crisis with the
imminent retirement of baby boomers and the changing
demographics of the future smaller workforce talent pools. I
have heard statistics expressing as many as 50 percent of some
utility’s workforce can retire in the next 5 years. Th is creates
many opportunities, especially for women, in the utility business.
Not only as positions become available but additional new skill
sets will be needed which do not require the physical strength
many utility positions required in the past. Th e bigger roadblock,
in my opinion, are the numbers of girls being attracted to take
science, math and technology classes starting in middle school.
Th ese courses will be critical to the success of the future utility
workforce. Th erefore, attracting girls to these classes will be
crucial; inspiring them to stay in science classes is essential; and
providing the right mentors and positive experiences in the
utility business is fundamental to continued recruitment.
Shanahan: I believe the challenges and roadblocks for the
advancement of technical women in the energy industry
are the result of decades of engineering colleges graduating
predominately white men. Th e few women work in a male-
dominated environment. Although I believe very few in the
industry seek to exclude women from the fi eld or advancing,
that is not the same as creating an inclusive environment. Th e
value of diversity to an organization is the better decisions and
results from bringing together a diverse set of perspectives,
approaches and styles of thought to business problems. But
for women to succeed, we oft en train women to adapt to the
predominant (male) culture. Although this makes women
more eff ective in the work environment, the women no longer
participate “authentically.” Th e business loses the value of
diversity and the women have to hide their authentic self.
Creating an inclusive environment would increase women’s
ability to fully contribute at all points in a career path and give
the employer stronger business results.
Nichols: At the 2008 Energetic Women’s inaugural conference,
guest speaker Alice Eagly, author of Th rough the Labyrinth,
shared her research-based concept that the glass ceiling no
longer exists – there is no barrier to the top. Th ere are lots of
challenges (a labyrinth to navigate) for women in their quest for
the corner offi ce, but there are plenty for men as well. Th ose
challenges may be diff erent then for men, but the bottom line
Forum Participants:Betty Shanahan is the executive director and CEO for the Society of
Women Engineers, the fi rst engineer to hold this position. Prior to joining
SWE, Betty spent 24 years in development, engineering management, and
marketing for the electronics and soft ware industries. She has earned B.S. in
electrical engineering, Master of Soft ware Engineering, and M.B.A degrees.
Wanyonyi J. Kendrick is the Chief Information Offi ce at Jacksonville Energy
Authority. Ms. Kendrick joined JEA in February 2000 as Director of Corpo-
rate Applications. She is responsible for a $500 million information technology
portfolio. Ms. Kendrick has spent the last 17 years of her career focusing on
integrating technology solutions with regulatory, legislative, and business
process requirements, resulting in solutions with measurable results.
Kristine J. Nichols directs engineering for
Nicor Gas, one of the nation’s largest natural gas
distribution companies, serving over 2 million
customers in the northern third of Illinois (outside
of Chicago). Her responsibilities include all aspects
of pipeline integrity and regulatory compliance
for the utility. Prior to joining Nicor in 2003, she
held management positions at Kohler Company
in Brownwood, Texas and Wisconsin Gas Company/WEC in Milwaukee,
Wisconsin (now WeEnergies). She is the Inaugural Chair of Energetic Women,
a nationwide organization designed to increase the pool of promotable women
in energy operations and engineering.
Gianna Manes is senior vice president of retail customer services for
Duke Energy. With 20 years of industry experience, Manes leads the retail
customer services function, which includes call center operations, revenue
services, marketing, energy effi ciency and large business customers providing
service to Duke Energy’s approximately 4 million customers in the Midwest
and Carolinas. Previously, Manes served as senior vice president of regulated
portfolio optimization and fuels for Duke Energy’s U.S. Franchised Electric
and Gas organization.
In the Spring 2008 issue of Energy Workforce, we invited three female
executives in the energy industry to participate in a forum on women
seeking to enter or advance their careers in the energy industry.
In light of this article’s notable reception, we are continuing our forum
one year later in the Second Annual Women in Energy Forum.
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ENERGY WORKFORCE
“…the bottom line is always about how much value
you can bring to the table for the organization. If wom-
en focus on how they can help their organization to be
successful, rather than focusing on being in a male-
dominated environment, it becomes easier to meet
the challenges and overcome the perceived barriers.”
—Kristine J. Nichols, Vice President,
Engineering, Nicor Gas
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EnergyWorkforce For job opportuni t ies, v is i t www.PennEnergyJOBS.com 9
is always about how much value you can bring to the table for
the organization. If women focus on how they can help their
organization to be successful, rather than focusing on being in
a male-dominated environment, it becomes easier to meet the
challenges and overcome the perceived barriers.
Manes: Th e challenges for women are no diff erent in the ener-
gy industry than in other fi elds. Th e ability to progress in a ca-
reer starts with a strong foundation of knowledge (education),
curiosity and the willingness and ability to get the job done.
In addition to the foundation, there are other actions women
(and all workers) can take to enhance their advancement po-
tential: 1) seek mentors and role models who have your best
interest in mind to provide guidance and honest feedback,
even if it is diffi cult to hear; 2) be honest about and know your
personal strengths and weaknesses; 3) leverage your skills and
experience and be intentional in career choices and identifying
experiences you want to gain (rather than focusing on a spe-
cifi c “job”); 4) don’t expect others to read your mind – make
your interests known; 5) be willing to take risks.
Prospects for advancement
Q: How would you characterize prospects for career
advancement for women in general in the energy industry?
Shanahan: I have the opportunity to speak to executives in
many segments of the energy industry, from huge energy
producers like ExxonMobil to utilities like Exelon. Th e
uniform message I hear from executives is their desire to
advance women in their organizations and benefi t from having
women in the most senior positions. Th e challenge becomes
getting the executive commitment refl ected in the day-by-day
actions throughout the organization that advance or hinder
women’s career paths. My advice for women in the energy
industry is to understand your employer’s overall commitment
to diversity. If your employer is committed to diversity but the
day-by-day environment you experience is not supportive,
then work with your employer to fi nd opportunities elsewhere
in your organization. If your employer is not committed
to diversity, then I suggest you look at the many energy
organizations that off er advancement.
Nichols: Although traditionally dominated by men, today
there are opportunities galore for women in the energy
industry! Today’s senior
leaders understand the value
of diversity at every level of
an organization, and oft en
actively seek opportunities
to grow talent where they
may not feel they are diverse
enough. My recommendation
for women is to focus on how
they can add the most value to
their organization, and ignore that there may be more men
then women at the table. Being the only woman can be an
opportunity rather than a barrier to showcase their talents.
Manes: Th ere are tremendous opportunities for women in
the energy industry. Energy companies are competing with
other industries for smart, creative and adept employees. Th ese
companies recognize their future viability is dependent on the
ability to attract and retain this type of talent. As a result, any
bias, however subtle, that may have existed in the past limiting
the success of females or other minorities no longer has a
place. As these companies also face signifi cant retirements in
the coming years, I am optimistic about the opportunities that
will be presented for women as the next generation of industry
leaders. Lastly, the energy industry is undergoing dramatic
change as it expands from traditional technologies that have
sustained us in the past to include emerging technologies and
renewable energy. Th e need for innovators and entrepreneurial
thinking to support this change is increasing, which makes it
an exciting time for everyone – one full of growth potential.
Kendrick: Career advancement in utilities has been perceived
as diffi cult (if not impossible) for women in the past; however,
both a combination of the landscape of the industry and a
changing talent pool provides great hopes for the future. Th e
prospective talent pool for utilities will defi nitely be more
heterogeneous than in the past and that includes women. As
a result of workforce planning pressures, the utility industry’s
workforce needs and expectations are also changing to meet
this new talent pool. Th e utility jobs of the past will not be
the utility jobs of the future, with key national initiatives such
as green energy jobs, smart grids, and social responsibility,
utilities are reengineering their positions to embrace and
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“The utility jobs of the past will not be the utility
jobs of the future, with key national initiatives such
as green energy jobs, smart grids, and
social responsibility, utilities are reen-
gineering their positions to embrace
and accommodate the new talent pool.
I believe the future for women’s ad-
vancement in utilities is promising.”
—Wanyonyi Kendrick,
Jacksonville Energy Authority
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“As a tactic to support women, I encour-
age managers at all levels to create fo-
rums for women to network with each
other, learn, and feel a sense of communi-
ty. Organizations like the Society of Women
Engineers can serve as such a forum.”
—Betty Shanahan, executive director and
CEO for the Society of Women Engineers
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accommodate the new talent pool. I believe the future for
women’s advancement in utilities is promising.
Organizational support
Q: What measures and/or initiatives have you seen implemented
within your own company that support women in their career
management paths, even into the senior levels of your organization?
Manes: Duke Energy has taken steps in a number of areas to
actively support women in their career development. One of
the biggest successes in recent years is the growth and value
created by our employee resource groups. One such group,
the Business Women’s Network (BWN), promotes networking
and workshops targeted to the specifi c needs and interests of
women in the company. Th is group is supported by an executive
steering team comprised of women executives who are actively
and visibly engaged with BWM members in various activities
and serve as accessible role models and mentors. Th e company
also promotes a voluntary mentoring program for all employees
where they are matched with an executive leader.Additionally, I
have seen an increase in the fl exibility employees are provided in
terms of work hours and location, which gives them increased
ability to manage both a career and family. We are redefi ning
the defi nition of “workplace.” Increasingly, work is being
performed where the employee is physically located rather than
the traditional job where employees go to the work location.
While not directed specifi cally at women, this greatly increases
women’s ability to better integrate their career and lives over the
course of time, increasing their choices and enhancing
their overall career opportunities.
Nichols: Nicor Gas has an excellent and well-
earned reputation for promoting the people that
add the most value – and that certainly includes
women. Th e most impressive aspect of Nicor
Gas’ leadership development is the support senior
leaders within the organization provide to emerg-
ing leaders. Nicor has a comprehensive succession plan which
focuses on growing internal talent. In succession planning, em-
ployees have the opportunity to take on diff erent posi-
tions and responsibilities which allows them to develop a
broad vision of the organization. Th e fact that Nicor has
so many women in leadership roles across the company
with a variety of experiences on their resume demon-
strates their long-term commitment to empowering
women to assume meaningful leadership roles.
Kendrick: Over the past decade JEA has developed
both implicit and explicit strategies that support and
promote career advancement for women even into
senior management positions of JEA. Change starts
at the top and both our present and immediate past CEO
actively supported these strategies. In fact, JEA’s Board of
Directors closely refl ects our community in diversity and for
fi scal year 2008 our Board Chair was an African American
woman. Today we have three relevant initiatives: cultural
competence initiative, executive leadership development
program and internships. At JEA cultural competence is
recognizing, understanding, and valuing people’s diff erences
and using this knowledge to interact eff ectively. JEA’s vision is
to be recognized as a leader in achieving excellence by valuing
the unique contributions and needs of our employees and
the communities we serve. We are establishing a multiyear
initiative focusing on our cultural competency goals with the
intended outcome of supporting the expected changes in our
workforce to refl ect the heterogeneous community we support.
JEA’s Executive Leadership Development (ELD) identifi es and
supports (through training and mentoring) our future utility
leaders. Th e ELD group endeavors to be diverse. Th e group
meets regularly and not only has an opportunity to network
with both the JEA board and executive management but also
some of the best and brightest CEOs in North East Florida.
JEA’s Employee Development Program is similar to the ELD but
specifi cally focused on the unique needs of individuals striving
to become supervisors and entry level managers, however it
continues to ensure strong mentorship as well as the creation
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Fluor, listed number one in the May 5, 2008 issue of FORTUNE magazine’s Engineering, Construction category of
America’s largest corporations, is a global leader recognized for designing, building and maintaining today’s
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ENERGY WORKFORCE
EnergyWorkforce For job opportuni t ies, v is i t www.PennEnergyJOBS.com 11
of sustainable networks to support career advancements. JEA’s
internship program promotes hiring the best and the brightest
college students for internships for up to four years to prepare
these students for a career in utilities. Again the initiative attempts
to represent the community in its demographics.
Industry improvement
Q: How might the energy industry in general improve prospects
for women to advance their careers?
Shanahan: Th e fi rst requirement is commitment from top
management. CEOs, facility managers, and others in top
management must demonstrate, not just say, their commitment
to diversity throughout the organization. From that
commitment should spring eff orts to have all employees shift
their understanding of diversity from tolerance to others to
creating an inclusive corporate culture where all employees can
contribute. As a tactic to support women, I encourage managers
at all levels to create forums for women to network with each
other, learn, and feel a sense of community. Organizations like
the Society of Women Engineers can serve as such a forum.
Kendrick: I am a strong proponent of a best practice approach
to improving the advancement of women in business. Th ere
are many industries and many companies in the utility
business that have embraced successful strategies that
have encouraged better promotion of women into senior
management positions. Th ese practices start with defi ning
the business case: clearly understanding the benefi ts of hiring
women and other groups in the customer base serviced.
Continue by creating a strategy and an organization structure
that can sustain the objectives: including recruitment,
retention, development, training, communication and most
importantly measurement strategies. Lastly monitoring
and celebrating the results. At a more fundamental level
many of the criteria that make a great company also make a
great company for women’s advancement. Th ere are certain
programs that can be considered that truly will attract and
retain women: strong mentoring programs, access to senior
management, career paths and succession planning. But
the basics are also important: great benefi ts, fl exible hours,
job sharing and various forms of childcare may also help a
company to diff erentiate itself to women.
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ENERGY WORKFORCE
“While current economic conditions seem
daunting, I believe opportunities are hid-
den in the news about job
losses and are providing us
the chance to rethink how
we manage our business…
In order to succeed, we need
a multi-dimensional, inclusive
workforce.”
—Gianna Manes, Duke Power
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12 For job opportuni t ies, v is i t www.PennEnergyJOBS.com EnergyWorkforce
Nichols: Th e opportunities are out there; the industry already
provides them! Th e real question is what women can do to
capitalize on those opportunities? First, I would advise women
to join Energetic Women and other leadership development and
networking groups as a means of broadening their horizons and
creating a supportive network outside of the organization to grow
their leadership potential. Second, seek out ways to maximize
your potential. Objectively evaluate your past experiences,
the value you currently add to your organization, and what
experiences or skill sets you need to work on in order to be the
best candidate for another opportunity. Finally, be brave! Time
and time again, women executives most oft en credit having
the courage to try something totally new as the primary reason
behind their success. Th ey did not always go seeking their
next assignment. Many were just thrust in a new direction.
Th ey had to dig deep, have faith in their own abilities to grow
and adapt, and have the courage to face their challenges head
on. Th ose experiences are the ones that really make a diff erence.
Concerns about the economy and
employment
Q: With the recent economic and employment slump, have you
noticed any changes in recruitment and sourcing activities aimed
at women in the energy industry?
Kendrick: Yes, the transition to a 21st century heterogeneous
workforce has defi nitely slowed down as a result of the economic
turndown. Any initiative that is not essential to the next 12 to 18
months has been put on hold, canceled or eliminated, oft entimes
diversity initiatives fall into this category. However, the problem
still remains with a shrinking talent pool of the future, the pain
has just been postponed and I am confi dent that most of these
initiatives will begin again in the coming years in the same form
or a more appropriate modifi ed format.
Nichols: It is a tighter market for everyone, not just women.
Now is a good time to focus on leadership development
opportunities. Consider formal education, taking on new
assignments in an area you have not worked before, or testing
your skill sets as a volunteer outside of the corporate world.
Showing your dedication to continually grow and add value
will only strengthen you, regardless of the economy.
Manes: I believe all challenges present opportunities. While
current economic conditions seem daunting, I believe opportu-
nities are hidden in the news about job losses and are providing
us the chance to rethink how we manage our business. It is an
opportunity to be creative with regard to costs, earnings and
resources – especially employees. Th is is the time to focus on
the best talent, the best ideas and the best solutions. In order to
succeed, we need a multi-dimensional, inclusive workforce. We
are being more deliberate in our sourcing and recruiting in all
areas with these needs in mind, which will continue to improve
opportunities for all, including women.
Shanahan: I wouldn’t note changes for women that are any
diff erent than the changes for men. Some sectors of the
industry are facing hiring slowdowns or freezes that impact
both men and women.
Final thoughts
Q: What else do energy companies need to know about women
in the industry?
Nichols: Many women learn and grow in ways diff erent
than their male counterparts. Th e opportunity to network
with other women in the industry is a great asset to their
growth and development. It has become obvious to me now,
through my involvement with Energetic Women, that it is
really essential to have a safe venue for women to explore their
leadership potential with other women and to fi nd solutions
to the challenges they experience in their careers. I strongly
encourage energy companies to look into Energetic Women as
a resource to attract, develop, and retain women to diversify
their talent pool and strengthen the organization long term.
Shanahan: Th e energy industry must fully utilize all the talents
of a diverse workforce if it is create a long-term strategy to
deliver sustainable energy to the world while maintaining and
increasing quality of life globally.
Kendrick: Women and other diverse workforce groups
should not be portrayed as replacing any one demographic…
but rather complementing the workforce and providing
opportunities for better decision-making similar to Abraham
Lincoln’s strong cabinet team of rivals. —EW
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More Content. Global Energy Coverage.
Introducing the NEW PennEnergy.com
PennEnergy.com launches with even more valuable energy-centric content and easier,more effi cient navigation. The new web site provides the most complete and trusted source of energy-related topics including today’s news plus ten years of archived web andmagazine content from PennWell’s award-winning energy publications.
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Customized and PersonalizedImproving Frontline Training Practices
Training and training delivery systems are
changing, evolving to take advantage of the
power of the Internet, mobile communications,
and handheld technologies—the technologies
that are changing society itself. Technological
advancement has made it possible and
practical to shift from classroom training to
individualized learning. In turn, corporations
are expecting trainers to become performance
consultants, with the goal of developing custom
learning content to help individual employees
achieve their desired outcome.
As a result, companies are spending more per employee
on training and the average number of hours of formal
learning per employee is increasing. Th e use of technology
to deliver learning content has increased and companies are
also spending more on external services like content design,
development and delivery or technology infrastructure.
More and more subject matter experts are assuming the
training role. More live instruction is being delivered remotely
or online and more and more self-paced or computer-
based training is being off ered to busy employees, making
it even more convenient to brush up on skills or learn a
new procedure. Training that is portable, self-directed, and
available on-demand is becoming popular, through pod casts,
PDAs, or even mobile phones. Simulation technology is also
being widely implemented, allowing learners to realistically
“try the job” before actually on the job.
Companies are expecting more from their training
organizations—to maximize results while minimizing
resources; to prove that the investment in training is paying
off in employee performance; to develop content more
quickly; and to deliver learning in such a manner that it is
more accessible, even seamless with work duties. More so
than ever before, an organization’s training function is being
run like any other business function with increased attention
on operational effi ciency, accountability, and connection to
organizational strategy.
Th ese challenges are refl ected in the top concerns identifi ed
by training and development professionals in recent
industry research:
Managing training costs and funding•
Getting the most out of e-learning, learning •
development systems
Linking learning to performance•
Increasing training comprehension•
Aligning learning with business needs and •
individual employee competency needs.
It’s no longer acceptable to hope an employee learns something
at a training session. Th e best performing companies are
thoughtfully developing and engaging their most important
resource: the people they employ.
Engaged employees are the key to excellent customer service.
Engaged employees are employees that feel as though they
are truly valued at work; that their eff orts directly contribute
towards the mission and success of the company. Engaged
employees are more productive and less likely to look outside
of the company for employment.
However, employee engagement is beginning to deteriorate due
to the failing economies of the U.S. and elsewhere around the
world. A recent national study by Modern Survey revealed that
that 21% of U.S. workers actively disengaged. Poor employee
engagement can lead to absenteeism, a lack of teamwork, poor
morale, and low productivity, among other concerns.
It is becoming more and more diffi cult to fi nd and engage the
right employees. Tight labor markets are making companies
think twice about compensation packages, benefi ts, and
incentives. Turnover and competition are pushing companies to
focus on ways to keep qualifi ed employees happy and motivated.
Customer service management’s top priority is attracting and
engaging top-performing customer service employees.
Learning plays a key role in helping employees to get and stay
engaged. Many organizations have begun to rely heavily on
the learning function for engagement support. While new-
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hire training can initiate an employee’s engagement with the
company, refresher training and other personal development
opportunities can help keep employees engaged. However,
training and development alone does not guarantee employee
engagement.
Additionally a good relationship between employees and
immediate supervisors is recognized as a top driver of
employee engagement. Yet this is a problem area for many
customer service organizations—frontline supervisors and
managers lack the skills to eff ectively engage employees. A
study performed by the Ascent Group found, many customer
service organizations do not off er basic supervisory training
to frontline supervisors, much less tactics to improve
employee engagement.
With all this in mind, the Ascent Group conducted research
in mid- and late-2008 to better understand training and
development programs for front-line customer service
employees. Th is research was conducted in concert with
additional research into the recruitment and hiring of front-
line employees and performance measurement.
Th e main objective of the study was to identify “best practices”
for front-line customer service training. In particular, focus
was given to understanding how best-in-class customer service
organizations train and prepare their front-line, customer-
facing employees.
Secondary objectives included understanding:
What initial training programs are used? •
Duration?
What on-going training programs are used? •
Duration? Frequency? Pass/Fail?
What job rotation processes are in place? Are they •
eff ective in increasing productivity and customer
satisfaction?
What technologies are improving the training •
process?
Participants were also asked to share management tactics and
strategies, as well as identify any improvement in performance.
Th e study also asked companies to include considerations,
successes, and plans moving forward. Study participants
ranged from 2 to 6,000 frontline employees and from 1 to
1,900 new hires per year.
Lessons Learned
Hire for Attitude, Train for Technical Skills. Th e best foundation
for service excellence is your people. It is easier to teach
profi ciency than it is to change attitudes. Best-in-Class
companies look for motivated and enthusiastic people who
demonstrate a propensity to serve—hire for attitude and
train for skill. Consider potential, not necessarily experience.
Best-in-Class companies have turned hiring into an art form,
not only the process but also the identifi cation of the right
type of employee. In a service business, the employees are the
company and hiring is critical. Work with your recruiters to
fi nd the right candidates.
Communicate Job Expectations Th roughout New Hire
Training—Do as much as possible to relay expectations
to students during the new hire-training program. Th e
more a new employee understands about the job, the work
environment, performance expectations, and culture,
the quicker they will be able to achieve standard. Use job
shadowing, peer mentoring, or simulation to relay culture
and expectations. Revise training content so the appropriate
expectations are conveyed. Survey new students to better
understand how to continually refi ne the process and
minimize new-hire surprise.
Emphasize the Importance of Customer Service in the Training
Process—Make sure that students know up front about your
organizational commitment to customer service. Stress the
importance of customer service and customer satisfaction
throughout the new-hire training program. Do as much as
possible to integrate the “Customer Experience” into Training
Program—so students understand customer expectations
and appreciate the customer perspective. Use simulation,
role-playing, and mentoring to convey the correct “customer
experience”. On average, our participants spend about 20
percent of new-hire training hours on soft -skills, usually
integrated into the new-hire training program.
Engage New Hires with “Hands-On” Training, Customized
to Individual Learning Styles—Research shows a growth in
more interactive, hands-on training opportunities for new
hires—role playing, simulation, peer mentoring. Hands-
on experiences help internalize learning, incorporate more
“learning by doing” opportunities into your new-hire program.
Hands-on learning can also be used to drive assessment
so that trainers can measure both factual knowledge and
comprehension. Additionally, training comprehension is
increased through individualized training—training tailored
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ENERGY WORKFORCE
eLearning & learningmanagement systems
0 5 10 15 20 25 30 35
% Participants reporting
Computer-based &video-based training
Web meeting software
Enhanced training room
Intranet repository
Fig. 1. Top new training technologies
29%
29%
24%
18%
18%
16 For job opportuni t ies, v is i t www.PennEnergyJOBS.com EnergyWorkforce
to each students individual learning style. Smaller class sizes,
modular training, and self-paced activities help students learn
at their own pace.
Mentoring & Monitoring Ease the Transition to the Floor—
Participants use a combination of one-on-one mentoring and
frequent call monitoring to help new hires transition to the
fl oor. Many companies also employ “nesting”—pod on the fl oor
dedicated to new hires— to facilitate more extensive coaching
and one-on-one assistance until the team is up-to-standard.
Another approach that has been successful is the creation of an
OJT manager to shepherd new-hire and ongoing OJT eff orts.
Maximize Intranet and Internet Resources and other
Technologies to Enhance Training and Job Aids—Newer
technologies off er the opportunity to customize learning and
make it more accessible. Investigate opportunities to deliver
online or computer-based training. Self-paced training is
inherently customized to individual learning speeds and
styles. Training that is portable, self-directed, and available
on-demand, through pod casts, PDAs, or mobile phones, will
be more convenient and more appealing for many employees.
Simulation technologies allow learners to “try the job” before
actually being on the job, creating a more realistic training
environment. Research also shows a growth in the use of web-
based meeting applications, such as WebEx, GoTo Meeting,
and LiveMeeting, to facilitate distance learning and to reduce
training costs.
Integrate Training with Quality Assurance and Operational
Excellence to Facilitate Continual Improvement and Pre-
emptive Targeted Training. To ensure successful continuous
improvement, encourage training groups to work closely
with quality assurance and operational excellence groups.
Th is will encourage the link between learning and
performance—making sure the training group is equipping
employees to successfully perform as well as making sure any
operational changes are refl ected in training. At the same time,
underperforming employees can receive targeted training.
Provide Supervisors with Training on How to Coach
and Engage Employees. Organizations reporting more
highly engaged workers actively promoting a culture
of engagement by ensuring that organizational leaders,
including immediate supervisors, are skilled in the area
of engagement improvement. Aft er all, having a good
relationship between employees and immediate supervisors
is a top driver of employee engagement. Yet, many frontline
supervisors are lacking in basic supervisory skills, much
less tactics for engaging employees. A study by the Ascent
Group found that only 57 percent of participants have a
formal supervisory (coach) training program for front-line
customer service employees.
Evolve Your Training Resources. As technology becomes
more specialized and learning becomes more personalized,
trainers will assume more of a performance consultant role.
Make sure your trainers have the appropriate training and
resources to make the transition. Many companies have a
diffi cult time balancing the needs of the business to meet
service level goals and the need to train and develop frontline
employees. Make the time to adequately train your frontline
customer service resources.
Make Time for Training. Many companies have a diffi cult time
balancing the day-to-day needs of the business and the need
to train and develop frontline employees. Make the time to
adequately train and prepare your frontline customer service
resources. Make sure they are equipped and trained to handle
all situations. Refresh training periodically to keep employees
in top performance and up-to-date on customer service and
technical skills. —EW
About The Ascent Group
Th e Ascent Group, Inc. is a management-consulting fi rm that
specializes in customer service operations and improvement,
performance benchmarking, competitive benchmarking, work
management, and industry research. www.ascentgroup.com
—
We encourage your feedback on this or any PennEnergyJOBS EnergyWork-
force article. Please send your comments to [email protected]
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PennEnergyJOBS is a full-service recruitment advertising solution:
• job postings
• resume search
• print classifi eds
• banner advertising
• newsletter sponsorships
• targeted email campaigns
• web broadcasts
• career fairs
Call our dedicated recruitment advertising team today!
Our customized solutions can help lower your cost per hire and time to
hire. Ask us how! (800) 331-4463 or [email protected]
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Known for its natural beauty, entrepreneurial spirit and welcoming communities,
Alberta, Canada is a good place to be. Alberta offers employment opportunities and
plenty of excitement for your days off.
Visit our booth at the Offshore Technology Conference, May 4-7, 2009 in Houston, Texas
to find out more about working and living in Alberta.
www.AlbertaCanada.com/liveworkstay
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