Europe

An interdisciplinary joint project on geothermal development in Germany, AGENS has received a €44.4mn grant from the Federal Ministry for Economic Affairs and Climate Protection (BMWK), based on a resolution of the German Bundestag. 

Defined as the 'Demonstration of an adaptive, multilateral reservoir development for geothermal energy for seismicity and cost mitigation in the Upper Rhine Graben' that will be delivered over a span of five years, the AGENS initiative involves geopfalz, Institute for Geothermal Resource Management at ITB gGmbH, Johann Wolfgang Goethe University of Frankfurt am Main, Rhineland-Palatinate Technical University of Kaiserslautern-Landau, Ruhr University Bochum, geomecon GmbH, and the Technical University Bergakademie Freiberg.

In a sub-project of the AGENS that will be spearheaded by Stadtwerke Speyer GmbH-subsidiary Geopfalz GmbH & Co. KG in Schifferstadt city, Geopfalz will create 'Rhein-Pfalz' – the first deep geothermal duplicate, a basic building block for geothermal heat supply. This will ensure decarbonisation of the heat supply in Speyer and Schifferstadt, creating public awareness on sustainable living. 

Reasearchers will also take into account the larger economic impact of the project. 

With an allocation of  €24.3mn, the project will look into a pioneering exploration technique, in which several side boreholes are drilled from a main borehole. The reservoir can be developed in a geomechanically and hydraulically optimised manner that reduces the risks of induced seismicity while increasing productivity.

A remaining funding of around €20.1mn will go to the other project partners.

Geo-Energie Suisse AG is an associate partner in the AGENS project. The project also involes the Federal Ministry of Education and Research (BMBF), which is supporting as part of the supplementary project LISAGENS with an additional funding volume of approximately €1.8mn to address questions of basic research.

DeepOcean, an ocean services provider that is dedicated to enabling the energy transition and sustainable use of ocean resources, has been awarded a significant recycling project on the UK continental shelf.

Provided by an unnamed international operation, the contract will see DeepOcean oversee project management and engineering operations for a comprehensive campaign that will span more than 120 days. With offshore decommissioning activities scheduled this year, the project is segmented into five sub-campaigns including the recovery of concrete mattresses, spools, flexibles, flowlines, jumpers, suction anchor, multiple structures and final debris clearance with the addition of a subsea rock installation campaign to conduct final seabed remediation.

Gary Scott, UK Commercial Manager & Legal Counsel at DeepOcean, commented, “We are delighted to have been selected to perform this decommissioning project and this contract award reflects our team's proficiency in executing complex subsea projects with a focus on safety, environmental responsibility, and efficiency.”

To execute the workscope, DeepOcean has stated that it will employ its advanced fleet including the Edda Freya, a state-of-the-art vessel suited for operations worldwide. The ship will utilise its 2,300 sq m of deck space and 400Te AHC crane, with two moonpool launched 220 HP Kysdesign WROVs. The Normand Jarstein will also be deployed.

As outlined by DeepOcean, upon successful recovery, all items will be transported and offloaded onshore for appropriate reuse, recycling, or disposal, adhering to stringent environmental regulations. Through close collaboration with DeepOcean’s selected waste management contractor, reuse options for all concrete mattresses will be sought, demonstrating our commitment to the environment and needs of our client with a continued focus to maximise re-use for all recovered materials.

Earlier this year the company made use of Decom Engineering to execute a decommissioning project in the same region. Click here to discover more.

Aberdeen-based Odfjell Technology Ltd has solidified is plug and abandonment (P&A) and slot recovery range with a £3mn-acquisition of McGarian TDC Ltd.

This acquisition will advance Odfjell’s Well Services division, and add to the company's 20 years of experience in designing whipstocks, casing and packer milling, fishing and remedial products. 

Representing as much as 45% of an asset’s decommissioning costs, the P&A market is at a dynamic stage right now.

Odfjell Technology boasts of a completely integrated service for P&A campaigns using innovative operational models for the challenges of different well constructions, varying downhole geologies and adjacent infrastructure.

Focus on safety and environmental security

Odfjell Technology AS CEO Simen Lieungh said, “We are delighted to welcome McGarian TDC Ltd to the Odfjell Technology family. Their engineering and product design capability perfectly complements our existing competencies.

“P&A represents a significant investment for our customers involved in of end-of-life operations. Our aim has always been to provide an efficient service with a focus on safety and environmental security – this strategic acquisition enables us to further strengthen that commitment to our customers.”

Bruce McGarian, Owner of McGarian TDC Ltd, added, “Joining forces with Odfjell Technology presents an exciting opportunity for us to leverage our expertise on a larger scale.”

Equinor has awarded DeepOcean a four-year frame agreement for marine services that includes subsea intervention and repair contingency for subsea pipelines, structures and high voltage cables for not only oil and gas fields but also offshore renewables.

The agreement comes with a scope for extension up to another four years.

Geographically the agreement is valid for work on the Norwegian continental shelf and internationally for planned Equinor work and for contingency work for the PRSI pool members, which comprises 23 energy companies that cover their offshore pipeline and power cable repair contingency via the pool.

The contract delivery will be managed by DeepOcean from its Haugesund-based office in Norway. 

“Such a long-term agreement allows us to constantly evolve working methods, collaboration models and technologies, with the objective of making offshore operations and subsea cable repair work as cost-effective as possible. We look forward to supporting Equinor and the PRSI Pool members over the coming years,” said Olaf A Hansen, Managing Director of DeepOcean’s European operation.

For work in the offshore oil and gas industry, the frame agreement covers planned or unplanned marine services using remote operated intervention methods with or without the use of PRS equipment.

Under the agreement, DeepOcean is also expected to be equipped to produce multiple engineering or preparedness studies as requested by Equinor or PRSI pool members.

“DeepOcean has a 400 people-strong engineering team that are specialists on solving subsea challenges across industries. We are industry agnostic and share learnings and experiences from subsea operations across different types of operations and industries in order to develop the best possible solutions for our clients. Our experience from oil and gas is highly valuable for offshore renewables – and vice versa," said Normann Vikse, Offshore Renewables Director at DeepOcean.

DeepOcean has already received the first call-offs for work under the new frame agreement.

On behalf of Gassco and Equinor, DeepOcean will perform seabed preparations and complex remote hot tap tie-in operations at three different locations on the Norwegian continental shelf. Hot tapping is a method of connecting to a pressurised system, such as a pipeline, without removing the pipe from service.

On behalf of Gassco with Equinor acting as technical service provider, DeepOcean has already performed marine services to support baseline inline inspection of a large sized pipeline.

An integrated service provider from Aberdeenshire, AquaTerra Group has announced four decommissioning contract wins that add up to a seven-figure sum.

The last year has marked several firsts for the Group, including the first time that the company was subcontracted by Dutch offshore contractor, Allseas. Under the contract, AquaTerra supported an EPRD project on Enquest’s Heather Alpha platform. It provided engineering, fabrication, access, and construction teams to complete underdeck preparation scopes for topside removal.

Also for Allseas, AquaTerra removed underdeck obstructions in preparation for the topside removal of TAQA’s Cormorant Alpha platform. This was followed by a subcontract from Wood, which involved further work on the same platform.

By utilising its lifting and rigging equipment and services, including its modular suspended access platform QuikDeck, AquaTerra also won its first decommissioning contract with another operator to support conductor decommissioning.

Stephen Taylor, Managing Director of AquaTerra Group, said, “The team and I are delighted that we were selected by Allseas through what was a competitive tendering process for the Enquest and TAQA projects. This is also the first time that we have worked with Wood in several years, so it is great to be supporting them again.

“We’re tendering for more big projects than we’ve ever tendered for before in decommissioning, and this is already paving the way for us achieving our target of £14 million turnover in 2024.”

The Net Zero Technology Centre (NZTC) has called for innovations in rigless plug and abandonment.

This has been made in partnership with the 'Go Radical P&A' project, a venture by Energy Transition Norway, Danish Offshore Technology Centre, Centre of Decommissioning Australia and the Petroleum Technology Alliance Canada.

A cost-efficient and environmentally sensitive option for well decommissioning, new innovations in rigless plug and abandonment is considered one of the best way to meet regulatory requirements. They will also help address technical challenges such as accessing the wellbore without a drilling rig.

This comes as part of NZTC’s Well Decommissioning Collaboration initiative, which is actively supported by the Technology Leadership Board, North Sea Transition Authority, and Offshore Energies UK. The initiative aims to trial and test new technologies in multi-operator collaboration field trials, enabling faster, lower-cost trials and wider industry adoption in the UK and beyond, aligning with UKCS cost and emission reduction targets.

Selected participants will get to interact with a consortium that includes Harbour Energy, ConocoPhillips, Respol, TotalEnergies and Petrobras, with potential for support in developing, trialling and testing technologies. They will get exposure at similar operator consortiums in Norway, Denmark, Australia and Canada as well. 

Joint innovation 

Lewis Harper, Project Manager for NZTC’s Well Decommissioning Collaboration, “Our Wells Decommissioning Collaboration initiative highlights how joint innovation is crucial for advancing technologies needed for affordable and sustainable well decommissioning, supporting the industry in reaching its net zero targets. It’s an exciting chance for emerging developers to join in, gain exposure, and potentially receive support to propel their technology development.”

UK Government Minister for Scotland Donald Cameron said, “This is a fantastic initiative that aims to deliver innovative and affordable solutions through information sharing and trials to help secure the future prosperity of the energy sector while helping to achieve our net zero goals. I encourage those working with this technology to find out more.

“The UK Government is investing £90 million in the Net Zero Technology Centre and more than £3 billion to level up right across Scotland.”

The deadline for applications is 23:59 on 31 May.

The European Investment Bank (EIB) has provided a loan to Eavor Technologies to support the commercial-scale geothermal heating project in the German state of Bavaria.

Eavor will implement its closed-loop technology, Eavor-Loop, for the first time at commercial scale in the Bavarian town of Geretsried with the help of EIB’s loan of close to €45mn. The loan comes with a guarantee by the European InvestEU programme.

The project is co-financed by Japan Bank for International Cooperation, ING Bank N.V., and Mizuho Bank Ltd, and is insured by Japan’s Export Credit Agency, Nippon Export and Investment Insurance. It qualifies as a green loan in accordance with the Loan Market Association’s Green Loan principals. The combined support amounts to €130mn. The project is also being developed with the additional support of a €91.6mn grant from the EU Innovation Fund.

The Eavor-Loop will provide heating to households and businesses in Geretsried. In addition, an on-site power station will convert the geothermal heat into electricity. Eavor intends to start heat delivery by 2026, and the Eavor-Loop has started developing a second project in Germany to supply 15-20% of the demand of district heating in Hanover.

Nicola Beer, EIB Vice President, said, “The Eavor-Loop supports the transition to a carbon-neutral energy system in Germany and helps the country to get independent form fossil fuels, while adding to energy security for the people and businesses.”

Commissioner for Climate Action, Wopke Hoekstra, commented, “Once again, we see how valuable the work of the Innovation Fund is through the funding it provides for cutting edge projects that lower emissions. Today, thanks to €45mn investment by the European Investment Bank and €91.6mn from the Innovation Fund, we are supporting the innovative geothermal technology Eavor-Loop in Bavaria, Germany.”

Daniel Molk, Executive Vice President Europe Operations, concluded, “We are impressed and honoured that, after the EU Innovation Fund, the European Investment Bank is now also co-financing our project in Geretsried. Europe has recognised that the Eavor Loop is a scalable key technology for achieving climate neutrality and significantly more energy security on this continent." 

AGR has been awarded a contract by geothermal energy supplier Innargi for the provision of technical consultancy for three appraisal wells being drilled in Aarhus, Denmark.

Through the contract, AGR will provide wellsite geology and drilling supervision over the Aarhus wells as the company boasts extensive experience in well and reservoir engineering for geothermal wells. AGR has previously supplied software solutions for managing geothermal drilling time and costs for projects throughout Germany and Austria.

Lene Thorstensen, Manager Operations and Wellsire Geology at AGR, said, “Our team has a track record of managing drilling of more than 200 wells in the North Sea. The Aarhus project is a great example of valuable competence transfer from the oil and gas industry to renewable energy sources.”

Innargi aims to bring clean and reliable district heating to Europe through geothermal energy, and the Aarhus plant project provides a stepping-stone to achieving that goal. The geothermal plant, if everything goes accordingly, will become the EU’s largest geothermal district heating system. A 6,000 horsepower drilling rig has been set to drill 2.5 km into the ground to extract the heated water, with heat delivery set to begin in 2025. The system is projected to provide 20% of Aarhus’ district heating upon completion.