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Contents
REGIONAL UPDATES
4 Briefs
New discoveries, leases, and development plans.
SHIPYARDS
8 2D Revolution
COVER STORY
10
20 Activity
Chinese industrial conglomerate Fosun International Ltd.
will acquire Australias Roc Oil Co. Ltd. in an all-cash US$441
million transaction.
CONTRACTS
22 Solutions
AOG staff highlight new tools and techniques designed to
improve operational performance.
PEOPLE
16
23 Spotlight
US-based project management company Crowley Maritime chose
William Hill as manager for its new Singapore office.
FACTS & FIGURES
24 Numerology
A capsule view of interesting industry statistics.
COVER IMAGE
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September
October 2014
AOG
Nina Rach
Tel: (+1) 713 831 1780
nrach@atcomedia.com
Managing Editor
Regional Briefs
Audrey Leon
aleon@atcomedia.com
Associate Editor
Gregg App
Jerry Lee
Web Editor
Melissa Sustaita
msustaita@atcomedia.com
Design & Layout
Bonnie James
ADVERTISING
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Singapore, Malaysia, Indonesia,
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Norway/Denmark/Sweden/Finland
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Indonesia
ORIGIN ACQUIRES
BROWSE INTEREST
Australias Origin Energy acquired
Karoon Gas interest in Western
Australias Browse basin permits WA315-P and WA-398-P for an estimated
US$800 million.
According to Karoon, the Browse
basin gas condensate basin has discovered resource in excess of 30Tcf. It is set
to become a significant source of global
LNG supply with Inpexs Ichthys project
and Shells Prelude projects (currently
under construction) and Woodsides
Browse LNG project (in FEED).
Origin will be responsible for all costs
associated with the current Pharos-1
exploration well, located in permit WA398-P, which encountered hydrocarbon
pay in the Browse basin this July.
China
CNOOC DUO BEGINS PRODUCTION
Operator CNOOC Ltd. began production
at its Wenchang 13-6 oilfield and Panyu
10-2/5/8 project, both of which are located in the South China Sea. Wenchangs
main production facilities include one
wellhead platform and 12 producing
wells. There are currently five wells producing approximately 1300bbl/d.
The Panyu 10-2/5/8 project is designed
to share some facilities of Panyu 4-2
oilfield. The new facilities include one
wellhead platform and nine producing
wells. CNOOC says there are four wells
connected, which are producing approximately 9000b/d. CNOOC expects to reach
peak production of 13,000b/d is expected
by 2015.
United Kingdom
Mike Cramp
Tel: +44 (0) 1732 459683
mike@aladltd.co.uk
France/Spain
Paul Thornhill
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paul@aladltd.co.uk
North America
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Publisher
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Associate Publisher
Neil Levett
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neil@aladltd.co.uk
Australia
India
GE INVESTS IN WIND PROJECTS
GE Energy Financial Services invested
equity in three Atria Power wind projects under construction in India.
The wind farms will have a combined
capacity of 126Mw. The fi rst project,
25.6Mw, located in Ananthapur district
of Andhra Pradesh, is expected to reach
commercial operations in September.
Two other projects, each 50Mw, are
located in Betul district of Madhya
Pradesh, and are expected to reach
commercial operations in December and
June 2015 respectively.
The projects will use GE 1.6-87.5
wind turbines, serviced by GE under an
operations and maintenance agreement,
to generate 76Mw of the total capacity.
Additional turbines will be supplied
and serviced by another manufacturer
to generate 50Mw. Atria Power is managing construction and operations.
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Myanmar
ENI ENTERS MYANMAR
The Italian major, Eni, signed two
production sharing contracts (PSC) with
Myanmar Production and Exploration
Co. Ltd. (MPRL E&P) for the RSF-5 in the
Salin basin and PSC-K onshore blocks
in the Pegu Yoma-Sittaung basin.
Block RSF-5 covers an area of 1292sq
km in the prolific Salin basin, approximately 500km north of Yangon. Block
PSC-K covers an area of 6558sq km in
the unexplored Pegu Yoma-Sittaung
basin, in the central part of Myanmar.
This agreement marks Enis fi rst entry
into Myanmar. The exploration period
will last six years and subdivided in to
three phases.
Vietnam
OFFSHORE VIETNAM DISCOVERY
A consortium of three Japanese exploration companies, led by operator
Idemitsu Kosan, discovered natural gas
and condensate at the fourth well in
Blocks 05-1b and 05-1c offshore southern Vietnam, about 300km (188mi)
southeast of Ho Chi Minh City.
Spudded in February, natural gas and
condensate were indicated following drill
stem tests carried out in May and August.
Discovery of gas and condensate at
this exploration well follows discovery
of oil and gas accumulations at other
wells drilled in blocks 05-1b and 05-1c.
A detailed reservoir evaluation will be
carried out in conjunction with further
evaluation of other potential prospects
in these blocks.
DUA OIL PROJECT
PRODUCTION BEGINS
Oil productionhas begunat the Dua
oil project, operated by Premier Oil
offshore Vietnam, 40 years after the field
was discovered.
Thetie-in from Dua to the Chim So
field in Block 12W was approved by the
government of Vietnam in December
2011 and sanctioned in August 2012.
Subsea installations were completed
in 2013 and tied back to the Chim So
FPSO via flowlines and umbilicals.
Premier Oil drilled three production
wells at Dua, beginning in February,
using the newbuild West Telesto ILC
jackup, operated by Seadrill.The gross
production rate from the Dua wells
is estimated to average 8000 bo/d for
the fi rst 12 months of production.
Sufficient oil and gas handling capacity
is available on the Chim Sao FPSO to
Thailand
SUKSAN SALAMANDER
RECEIVED FIRST OIL
First oil has been received in the
tanks of the newly convertedSuksan
Salamanderfloating storage and offloading vessel (FSO) at the Bualuang field
in the Gulf of Thailand, says Londonheadquartered Salamander Energy. The
upgrade to the fields facilities targets
a reduction in operating costs of up to
US$25 million/yr.
The new FSO will operate at halfthe
day rate of the existingRubicon
Vantagefloating production, storage, and offloading (FPSO) vessel.Additionally, the upgrades double
the water-handling capacity, potentially increase production rates, and
extend the productive life of the field.
TheRubicon VantageFPSO will leave
the field in the coming weeks.
MANCHAREE-1 DISAPPOINTS
Singapore-based KrisEnergy completed
drilling on the Mancharee-1 well off the
Gulf of Thailand with no significant pay
zones identified.
KrisEnergy says gas shows were
encountered at several levels but no significant pay zones were identified.
The West Cressida jackup rig, owned
by Seadrill Far East, drilled to 3720m
total depth in 51.8m of water. The well
is located in license G10/48 in the developing Wassana oil field, which covers
4696sq km over the southern section of
the Pattani basin and is located in up to
60m water depth.
In June, KrisEnergy contracted Shelf
Drillings Key Gibraltar jackup for
development, appraisal and exploration
drilling in the G10/48 and G6/48 blocks.
The contract will begin in January 2015
for a fi rm six-month term with an option
to extend an additional two months.
Philippines
CONTRACTING
ROUND LAUNCHED
The Philippines Department of Energy
launched the fifth Philippine Energy
Contracting Round (PECR5) in May,
and scheduled international roadshows
in Texas, Singapore, and Turkey (14-17
September 2014) to encourage oil exploration players to join the contracting
round. The PECR5 offers 11 areas for
petroleum exploration, most located in
Kazakhstan
DISCOVERY AT BNG
Oil and gas have been detected at a
depth of 4332m in well A5 of BNG
contract area being drilled onshore
Kazakhstan, Roxi Petroleum announced. After the completion of cleanup work to deal with the oil and gas
shows encountered, core samples will
be taken to determine the oil bearing
horizon.
Well A5, the fi rst deep well on the
BNG contract area, with a planned total
depth of 4700m is targeting principally
the middle carboniferous formation at
4390m of the South Emba sub-basin.
The BNG contract area is located in
the west of Kazakhstan 40km southeast
of Tengiz on the edge of the Mangistau
Oblast, covering an area of 1561sq km of
which 1376sq km has 3D seismic coverage acquired in 2009 and 2010.
Russia
KARA SEA PROSPECT SPUDDED
ExxonMobil began exploratory drilling operations in the Kara Seas
Universitetskaya structure in the East
Prinovozemelskiy area in August, defying Western sanctions against Russian
state-owned Rosneft. Operations will
last two months. Rosneft said that the
Universitetskaya structure contains
a 55m-high hydrocarbon trap, with
resources of 1.3 billion toe. About 30
structures have been found in three East
Prinovozemelskiy areas of the Kara Sea,
with a resource base totaling 87 billion
boe, Rosneft said. Drilling will take
place at 81m water depth. The Kara Sea
has water depths ranging 40-350m.
While previous sanctions forbid the
US and EU from business transactions
with sanctioned individuals, Julys sanctions specifically intend to deny Rosneft,
and other sectors of the Russian economy, from thriving off Western-based oil
and gas equipment and technology. AOG
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Shipyards
McDermott International, Inc. was awarded a contract by PC Ketapang II Ltd., a subsidiary of Petronas, for fast-track fabrication of the BTJT-A jacket for the Bukit Tua development project in the Ketapang block, off east Java, Indonesia.
McDermott will fabricate the four-leg, 1100t wellhead jacket from the Batam Island fabrication facility in Indonesia. The project is expected to be complete by mid-November 2014.
The timing of delivery for this fast-track project is critical, says Hugh Cuthbertson,
vice president and general manager, Asia Pacific. We have already commenced fabrication activities as the jacket must be completed for installation before the start of the
monsoon season.
Aerial view of
McDermotts Batam Island yard.
OPUS OFFSHORE READIES TO
RECEIVE TIGER DRILLSHIPS
Tiger I and Tiger
II, the fi rst drillships to be built
in China, for
Opus Offshore
Pte Ltd, are on
the verge of
delivery. The
New Opus drillship: drillships were
ordered in SepTiger I
tember 2011, and
construction began on 1 June 2012.
The 170m-long, 32m-wide drillships
are being built under a turnkey contract by China State Shipbuilding Corp
(CSSC)-affiliated Shanghai Shipyard
Co. Ltd. The ships will be able to work
in water to 5000ft and drill to 32,900ft
and are classed by ABS. They will be
managed by the Songa-Opus JV, formed
earlier this year.
Peter Burnett, Operations Manager at
Opus Offshore, said:
Tiger 1 will be ready for operations
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JANUARY-1.indd 10
S31OS1
12/19/13 3:12 PM
Australian LNG
Fueling Asia
espite aging oil basins, the country is not keen on taking a back
seat in the oil and gas scene. Natural
gas production and greater LNG capacity are fueling a multi-billion investments Down Under. Almost $200 billion
worth of LNG projects under construction, abundance of gas resources, and
strategic location could potentially be
the catalysts for Australia to clinch the
worlds top LNG exporter position by
2020.
Australia is a country with economic
reserves of 1 billion bbl of crude oil, 2.1
billion bbl of condensates, and 1 billion
bbl liquid petroleum gas (LPG) according to the Australian government agency,
Geoscience Australia. In 2012, oil production summed up to 484,000 b/d, comprising about 50% crude oil, 28% lease condensates, 13% LPG, with refining gains
and biofuels making up the remaining
percentage. Statistics have illustrated that
condensates and liquids associated with
natural gas production are progressively
substituting crude oil production.
Oil-producing basins
Australian oil reserves are concentrated mostly off the coasts of Western Australia, Victoria,
and the Northern Territory. Onshore basins are found in Queensland and South Australia,
known as the Cooper basin, though it only accounts for 5% of the countrys oil resources.
Western Australias abundant crude oil reserves makes up 64% of the countrys proven
reserves, 75% of its condensate and 58% of its LPG reserves.
The Carnarvon basin in the northwest accounts for 72% of total liquids production. While
the Gippsland basin in southeastern Australia accounts for 24% of total liquids production.
These are the largest oil producing basins in the country. The production from Carnarvon
basin is predominantly exported, while the Gippsland basin oil production is mostly used
in domestic refi ning. Currently, Australia is not producing oil shale on a commercial basis
due to technical and environmental challenges. However, according to a recentU.S. Energy
Information Administration (EIA) studyon world shale oil resources, the country has technically recoverable reserves of over 17 MMbbl in the state of Queensland.
10
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coast, the crude oil and condensates produced there are exported to Asian refineries.
For instance, in 2012, countries like Malaysia, Nigeria,
United Arab Emirates, and Indonesia supplied more than half
of the total crude oil imports (55%) into Australia. The second
tier of crude oil supplies (about 22%) is contributed by African
countries such as West Africa, Nigeria, Congo, and Gabon.
Gas resources
Australia is endowed with an abundance of natural gas
for its domestic consumption as well as for export purpose. The country has more than 800 trillion cubic feet
(tcf) of gas resources and this number is growing with new
explorations unlocking more gas. New gas discoveries in
Australia have caused a recent influx of investments into
the country. Increased demand for gas in the Asia
Pacific region has also boosted investors confidence in
Australian gas.
Approximately 92% of traditional gas resources are located
in the North West Shelf (NWS) offshore. The majority of
rgy Ltd.
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12
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April
Petroleum Exhibition & Conference of Mexico
14-16
2015
www.pecomexpo.com
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September.indd 28
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North Sea
Now, the OSPAR Convention governs the decommissioning of
offshore structures in the North Sea area. As of February 1999,
it requires all redundant man-made structures to be removed
for disposal on land, except for concrete, gravity-based structures and the footings of steel-piled jackets (SPJ) installed
before 1999, where the installed jacket exceeds 10,000 tonnes.
Self-floating steel piled jackets weigh more than 12000
tonnes and were only installed in the 1970s and 1980s; none
have been decommissioned yet. Barge-launched jackets generally weigh between 5000 and 25000 tonnes. Lift installed
structures weigh less than 10,000 tonnes. Shallow-water
14
jackets usually weigh less than 2000 tonnes and are installed
in water less than 55m deep.
The OSPAR Commission reviews requirements every five
years and considers amendments based on proposals by
OSPAR contracting parties and the availability of new technology. Following amendments in 2008, it was noted that no
technology yet exists to safely cut large sections of SPJ footings and grout-filled pile clusters.
Its unclear whether the recent completion of Allseas new,
gigantic, twin-hull Pieter Schelte heavy-lift vessel will change
OSPAR regulations.
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014_AOG1014_feature2_Decomm.indd 14
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structures in the area are more than 20 years old, and ASCOPE
members could benefit from a collaborative approach toward
developing unconventional decommissioning solutions.
During the 16th E&P BDC meeting in May 2007, it was decided that ASCOPE Member Countries would cooperate to come
up with a regional convention decommissioning reference
document, with technical assistance from Petrad. Also, each
ASCOPE member country would formulate its own decommissioning guidelines.
At the 17th E&P BDC meeting in September 2007, Malaysia
proposed a regional effort to share resources and Thailand
proposed to have common decommissioning guidelines.
At the 18th E&P BDC meeting, Norways Petrad conducted a
one-day workshop prior to establishing a regional decommissioning guideline.
At the 19th E&P BDC meeting in August 2008, ASCOPE
formed the Decommissioning Guidelines (ADG) Task Force, set
up terms of reference, and put together a two-year roadmap.
The road map was revised in 2009, with the decision to
share historical data and leverage with Petrad and CCOP as
consulting bodies to benchmark with other regions. It was also
decided that the ADG task force would meet quarterly to draft
the Guideline, and that country chapters of ASCOPE should
attend decommissioning conferences in key decommissioning
areas, such as the North Sea and the Gulf of Mexico. The task
force would also investigate technologies for heavy lifting, underwater cutting, environmental monitoring and remediation,
and look into salvage, reuse, and refurbish options.
Over the next two years, the ADG task force issued a draft
version of the Decommissioning Guideline for comment,
and selected a technical editor. In December 2011, ASCOPE
engaged Reverse Engineering Services Ltd. (RESL), based in
Manchester, England, to edit the ADG Guidelines, with input
from member countries.
Brian Twomey, RESL Managing Director, said the company
reviewed the onshore and offshore decommissioning guidelines of other countries such as the United Kingdom (UK),
Norway, United States (US Idle Iron), and Australia, among
others.
ADG
The guidelines were completed in 2013 and launched at the 38th
ASCOPE Council Meeting (ACM), held in Yangon, Myanmar.
ASCOPE Decommissioning Guidelines (ADG) provide a
common technical reference for ASEAN countries for decommissioning. The guideline aims to establish a balance between
environmental protection, cost, safety and technical considerations in accordance with applicable global and regional
conventions and guidelines.
The Guidelines include: Introduction; International Decommissioning Law and Regulations; Technical Decommissioning
& Disposal Options; Impact Assessment; Residual Liability in
Decommissioning; and References.
In 2013, Twomey said the new ASCOPE Decommissioning
Guidelines will hopefully lay the foundation for a regulatory
regime in Asia that is more flexible than those found in Europe
and the United States, as operators need clarity, simplicity and
flexibility to manage their growing decommissioning burden.
Costs
In March 2010, Twomey published a review of decommissioning costs in the Asia-Pacific region. At that time, the region
had more than 1700 offshore installations, and companies
have installed an average of 86/year, during the preceding
decade. About 95% of the structures are fixed jackets, 3%
FPSOs, and 2% TLPs, with a smattering of other types.
Twomeys data showed that about 48% of the offshore
installations were more than 20 years old in 2010, and nearly
12% were more than 30 years old. A few (16) were even greater
than 40 years old.
In 2010, Indonesia had about 500 offshore structures, with
more than 300 of them characterized as small platforms,
tripods, or single wellhead platforms in the Java Sea north of
Jakarta. Others are in East Kalimantan, in Java off Surabaya,
Gresi, and Pasurian, and off Sumatra in the Straits of Malacca.
More than 50% of Indonesias offshore facilities are greater
than 20 years old.
At the same time, Malaysia had about 250 offshore structures off Peninsular Malaysia, Sarawak, Sabah, and the
Malaysia-Thailand Joint Authority. (The MJTA was formed to
manage exploration in disputed and territorial waters in the
Gulf of Thailand.) Nearly 50% of Malaysias offshore installations had exceeded their 25-yr design life, including 28% off
Sarawak, 12% off Sabah, and 8% of Peninsular Malaysia.
Most (85%) of Asia-Pacifics offshore installations are in
shallow water, less than 75m, but more than 200 are in water
deeper than 75m. There are only a handful of gravity-based
structures, led by the mammoth, 102,500-tonne Malampaya
platform off the Philippines. About 54% of structures actually
weigh less than 2000 tonnes and are in shallow water.
To determine the future cost burden of the existing offshore
installations, Twomey considered available cost data, and the
average cost to remove per tonne and per facility. He excluded
well P&A and subsea installation costs, assumed pipelines
would be left in place, and assumed that the offshore structures would be totally removed.
Costs could only be estimated for 819 offshore facilities
(roughly half of the 1732 facilities then counted), and at the
time, would cost US$15.2 billion to remove. Twomely considered that the total cost for all could be as high as $32 billion.
Four years later, with new ASCOPE guidelines, we may yet
see a push to safely retire some of the older iron. AOG
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Rebirth of an Ancient Tr
The Myanmar-China crude oil and
natural gas pipelines are significant
in a way that they epitomize
a reincarnation of the ancient
southwestern silk trading route.
Mary Ching explains.
In the beginning
Early discussions on the pipelines started between the two
nations in 2004. Subsequently, Chinas interest in purchasing natural gas was cemented in long-term contracts spanning three decades, which PetroChina and the government of
Myanmar signed in 2005. This was the basis for the agreement signed by CNPC (the parent company of PetroChina) and
the Daewoo International consortium in 2008, to purchase the
natural gas produced from the offshore Shwe gas field in the
Andaman Sea.
The Daewoo International consortium is comprised Myanma Oil and Gas Enterprise, Indias Oil and Natural Gas Corp.
(ONGC), GAIL, and Korea Gas Corp., with Daewoo leading the
gas field operation.
The Shwe natural gas field has a total proven reserve of approximately 9.1 trillion cubic feet (tcf). It was discovered in
16
Dual construction
In 2009, Myanmar and China brought their plans further by
signing an agreement to construct a crude oil pipeline and a gas
pipeline that run parallel, starting at Kyaukphyu and passing
through Mandalay, Lashio and Muse in Myanmar, and continues through the Chinese border city of Ruili the in Yunnan
Province. The pipelines then continue to Kunming, in southwestern Yunnan, where the oil pipeline then terminates.
The gas pipeline extends furtheran additional 2035km
reaching Guizhou Province and the Guangxi region of China.
Overall, the oil pipeline measures 771km in length, while the
gas pipeline is 2806km long. Construction costs for the oil
pipeline and the gas pipeline were reported to be US$1.5 billion and US$1.04 billion, respectively.
In 2013, construction of the gas pipeline concluded and the
line became fully operational.
However, construction of the oil pipeline has evidently due
to various obstacles and challenges. Although the oil pipeline
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L
L
e
t
nt Trade Passage
Large image: China eyes to revive the Southwestern Silk Route for its economic and trade sustainability. Photo by Rob Parciasepe.
Left: One of the construction sites of the Myanmar-China oil and gas pipelines. According to the Shwe Gas Movement, local workers were treated unfairly with low wages and poor working conditions. Above: Local students traverse to and from school along
trails which have been destroyed during the pipelines construction. Photos from Shwe Gas Movement.
was scheduled to commence operations early this year, internal conflicts, protests from both Chinese and Myanmar locals,
Chinas overcapacity and economic slow-down have caused
the oil pipeline project to be postponed.
Strait of Malacca had about 15.2 million b/d of crude oil flow
in 2011.These factors indicate the bustling waterway is a
potential choke point with possibilities of collisions, grounding/stranding and oil spills. Apart from that, ships traversing
through the Strait of Malacca are at risk of attempted theft and
hijackings from pirates.
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Above: The loading jetty at the Pluto infrastructure which has a single processing
train with production capacity of 4.3 million tonne/yr.Photo from Woodside Energy Ltd. Left: Women from the Arakan State, where the gas that
supplies the pipeline originates, still need to collect firewood as a source of cooking fuel. Photo from Shwe Gas Movement.
Controversy-laden projects
Despite rendering economic benefits to both China and
Myanmar while forging political ties, the reputation of the
Myanmar-China oil and gas pipelines project has often been
slated as a controversial operation. Charges of exploitation,
unfair treatment, environmental hazards, politics, and safety
issues have caused numerous protests and resistance amongst
these two nations.
Resistance from the Chinese public regarding the construction of the Anning refinery in Kunming is one of the hurdles
faced by the the oil pipeline planners. With a maximum
capacity of 440,000 b/d, the crude oil pipeline is designed to
supply oil to the proposed Anning refinery which requires
200,000 b/d to produce gasoline and diesel efficiently while
feeding a nearby petrochemicals plant. Thousands of Kunming residents protested CNPCs construction of the refinery
on the grounds of environmental pollution with emission of
carcinogenic chemicals.
Moreover, the Chinese economy is experiencing decline
and overcapacity resulting in a hold back in energy development. The construction delay at the Anning refinery follows a
number of other massive refineries and petrochemical projects
being postponed.
Equally controversial is the resistance from the Myanmar
public on the oil pipeline construction which also has been
delaying the project completion. The people of Myanmar and
human rights activists have staged protests against the oil
and gas pipelines by voicing complaints over unfair compen-
18
Repeating history
In light of the southwestern Silk Road, China has been fostering ties with Myanmar to access the ports at the Bay of Bengal,
a strategic trade starting point for immeasurable amount of Chinese goods to be shipped to Europe and a gateway for oil import
from the Middle East to reach China.
China will achieve a milestone in resurrecting a southwestern ancient passage that once prospered with trade and
cultural diffusions. Once again, China is attempting to conduct
more trading activities with India, the Middle East and Europe
across this history-filled route. The Myanmar-China oil and
gas pipelines project is an illustration of these visions. So, will
history repeat itself? Many are of the opinion that China always
seems to have the prerogative in trading business. AOG
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Activity
Fosun to buy Roc Oil
20
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020_AOG1014_Activity.indd 20
9/1/14 5:02 PM
MACGREGOR WINS
SUBSEA CRANE SUPPLY
Chinese shipbuilder Fujian
Mawei Shipbuilding Ltd.
awarded MacGregor a contract
for two 100-tonne active
heave-compensated subsea
cranes. The cranes will be
fitted to two 86m multipurpose platform supply vessels
under construction in Fuzhou,
China. Delivery is scheduled
for the end of September and
October 2015. This order
builds on a 2013 contract for
eight cranes for installation on
a new series of four compact
semisubmersible offshore
accommodation vessels for
Marine Assets Corp.
PETRONAS, QINTERRA
SIGN SERVICE PACT
Petronas Carigali Snd Bhd and
Qinterra Technologies signed a
contract worth approximately
US$20miliion to support
Petronas Malaysia operations.
Under the three-year agreement, Qinterra Technologies
will provide tractor services
for all of Petronas offshore assets. The scope for work covers
more than 50 wells, which will
see the introduction of next
generation tractor applications,
including debris collector
and rotational equipment.
Qinterra has had a presence in
Malaysia since 2008 and is one
of the brands formed from the
restructure of Aker Solutions
and EQT VI in January 2014.
PERTAMINA IN
MATINDOK
DEVELOPMENT DEAL
Indonesias PT Pertamina
EP awarded a lump sum
contract for the Matindok
Gas Development project to
a consortium composed of
Technip and PT Wijaya Karya
(Persero) Tbk (WIKA).
The contract covers the
engineering, procurement,
Contracts
construction and installation of gas well pads, as
well as flowlines, pipelines;
a central processing plant
(672 million cu m/yr of gas)
with gas treatment facilities
such as acid gas removal and
sulphur removal, and related
infrastructure.
Sweet gas from Matindok
central processing plant will
be sent to the Donggi Senoro
liquefied natural gas (LNG)
plant.
Technips operating center
in Jakarta will carry out the
detailed engineering, procurement of critical process
equipment, while WIKA
will carry out the construction activities along with the
procurement of major items.
The project is scheduled for
completion by 1H 2016.
The Matindok development is an onshore project in
Central Sulawesi, comprising the Donggi, Matindok,
Maleoraja and Minahaki
fields. It produces about
1Bcm/y of natural gas and is
solely owned by Pertamina.
HONGHUA OFFSHORE
WINS SEMISUB ORDER
Orion Engineering and
Management Ltd. signed a
letter of agreement with Hong
Kongs Honghua Offshore Oil
& Gas Equipment to build a
semisubmersible drilling rig
for about US$320 million.
According to the LOA, the
agreement is expected to be
executed within 60 days. At
the same time, Orion has the
option to purchase three additional rig units with the same
specification from Honghua
Offshore under the same
conditions, at intervals of six
months. The rig and option
units under the LOA will be
equipped with the companys
in-house designed and manufactured drilling package.
Meanwhile, Orion will
contract a subsidiary of Opus
INDONESIA ORDERS
FIRST CNG CARRIER
Pelayaran Bahtera Adhiguna,
a subsidiary of Indonesias
state-owned power company
Perusahaan Listrik Negara (PT
PLN) chose Qingdao Wuchuan
Heavy Industrys shipyard in
northern China to build the
worlds first compressed natural gas (CNG) carrier.
The carrier will transport
natural gas from Indonesian
fields in East Java to the
island of Lombok.
The CNG carrier has been
designed by Chinas CIMC
Ocean Engineering Design &
Research Institute, and will
be classed by ABS and by the
Indonesian class society Biro
Klasifikasi Indonesia.AOG
Custom
REPRINts
Take Advantage of your Editorial Exposure
BUMI TO SUPPLY
FPSO OFF INDONESIA
Husky-CNOOC Madura Ltd.
granted Malaysia-based Bumi
Armada Offshore Holdings
Ltd. and its joint venture
company PT Armada Gema
Nusantara a contract to provide the floating production,
storage and offloading (FPSO)
vessel for the Madura BD
Field, located approximately
65km east of Surabaya and
about 16km south of Madura
Island, offshore Indonesia.
The contract is worth an estimated US$1.18 billion for a
fixed period of 10 years with
options of five extensions
worth an aggregate value of
$147 million.
The contract will be finalized
by late September 2014.
Call us today!
use this logo on black or darker
backgrounds. The Printing
Service is in white.
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PMS 370 C
21
9/1/14 4:56 PM
Solutions
ROVs clean hulls
CleanHull Singapore Pte Ltd.
successfully performed the first
environmental-friendly hull cleaning test trial at a Singapore port
terminal using ROVs. Through close
collaboration with maritime companies, and as part of the memorandum of understanding signed
in April 2012 between the Maritime
and Port Authority of Singapore
(MPA), the Singapore Maritime
Institute, and BW Ventures Pte Ltd,
hull cleaning technology was deployed by a local team from CleanHull. On-site testing confirmed
the feasibility of performing hull
cleanings of container ships and
Cleanhull ROV deployed in Singapore.
other vessels during their loading
Photo from BW Maritime.
and unloading activities at the port
terminals in Singapore. By using an ROV or even multiple ROVs simultaneously for
hull cleanings, instead of deploying divers, provides a safe and reliable choice that
is independent of water visibility, currents, time of the day, and ongoing activities on
the vessel (such as loading/unloading/bunkering). In addition, the collection and
filtering systems assure that residues and potential contaminants can be disposed
of through environmentally-friendly procedures and without harm to marine life and
water quality at the port. www.cleanhull.no
22
Mitsubishi launches
wind Lidar system
Tokyoheadquartered
Mitsubishi
Electric
launched
its compact
wind lidar
technology. Lidar, combining light and
radar, is a remote sensing apparatus that
projects a laser beam and then evaluates
the reflected light to measure wind
speed.
Mitsubishiscompact wind lidar can
measure wind remotely at multiple altitudes for accurate assessment and prediction of wind-turbine power generation,
and featuresimproved environmental
tolerance for diverse operation.
It has an increased tolerance to extreme
environmental conditions, including
water resistance to IP67 and temperatures
down to -20C, has a reduced power
GE introduces iQ VideoProbe
GEs Measurement and
Control
business
introduced a
new video
borescope
The GE Mentor Visual iQ the GE
Video Probe. Photo from GE.
Mentor Visual
iQ VideoProbe. With the device, technicians employ non-destructive testing
(NDT) techniques, such as visual
inspections, to alert technicians to any
material or component indications that
can adversely affect the integrity or
safety of the equipment. Designed for use
across several industries, GE Mentor
Visual iQ VideoProbe is equipped with
an touchscreen interface, on-screen
keyboard and ergonomic buttons. Menu
directed inspection (MDI) guides users
through the inspection process and
organizes results for simplified reporting.
Equipped with Bluetooth and Wi-Fi
connectivity, and similar to GEs newly
launched Mentor EM, the GE Mentor
Visual iQ VideoProbe is built for
real-time collaboration. Harnessing the
power of the Industrial Internet, inspection technicians will beable to connect
directly with experts from the field to get
advice, share screens and images of the
inspection site, make notes, and more
accurately assess the area, helping to
expedite the inspection process.
The quick change probes with multiple
lengths and diameters and tip optics
speed the inspection process by allowing technicians to identify more indications and collect more data with a single
system. The 3D Phase Measurement
capabilities help determine accurate indication depth and size for pitting, cracking
and corrosion.www.ge.com AOG
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October 2014
aogdigital.com
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AOG | September
022_AOG1014_Solutions.indd 22
9/1/14 5:11 PM
Spotlight
Wild Well Control, Inc., appointed Wayne Stennes and Christian Haustead
managing director and area manager, respectively, at the companys regional
office in Kuala Lumpur, Malaysia. Stennes and Haustead will enhance emergency well control operations and assist market development for non-emergency well control engineering services. The addition of Wayne Stennes and
Christian Haustead will greatly enhance Wild Wells response and engineering
capabilities for our clients throughout the Asia Pacific region, said Freddy
Gebhardt, president of Wild Well Control. Wayne and Christian both bring
a wealth of knowledge regarding the emergency response processes required
when dealing with emergency well control incidents. Their experience in this
field will provide our clients with the most comprehensive and heightened
level of response to a well control emergency, onshore and offshore.
US-based project
management
company Crowley
Maritime chose
William Hill to serve
as manager for its
new Singapore office.
Hill previously
served as director, business development, for Crowleys Anchorage, Alaska,
office for the last six years where he
worked numerous sealift and marine
projects for major oil, gas, and engineering, construction and procurement
management customers. Weve seen an
increase in customers requiring service
in the (Asia Pacific) region and as part of
our commitment to consistently evaluate
and expand service offerings to meet
such needs, we decided that a physical
location with local personnel in
Singapore was necessary, Hill said. It
will allow us to not only have in-person
management of our assets in the area,
but will also provide better, more timely
communication with our current and
potential customer base.
Wayne Stennes
Christian Haustead
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9/1/14 5:52 PM
Numerology
300,000
126Mw
US$13.6million
4696sq km
32,900ft
990bcf
September/October 2014
W E L L
S E R V I C E S
(832) 379-2300
info@freedomwells.com
www.FreedomWellServices.com
24
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8/20/2014 10:45:06 AM
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WORKS
Be Valuable to
the Industry
from the Very
First Click.
Go to OilOnline.com
to set up your profile
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September.indd 25
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PRESENTED BY:
Global
4th Annual
forum
Keynote Speaker
Randall Luthi
President, National Ocean Industries
Association (NOIA)
REGISTER
at globalfpso.com today!
Jennifer Granda
OE Events Manager
Direct: 713.874.2202 | Cell: 832.544.5891
jgranda@atcomedia.com
Interested in sponsorship and exhibiting?
Contact: Gisset Capriles
Business Development Manager
Direct: 713.874.2200 | Cell: 713.899.2073
gcapriles@atcomedia.com
SPONSORS
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7/22/14 8:36 AM