North America

SLB, a global technology company, has announced that its SLB OneSubsea joint venture has been awarded a contract by bp to implement a boosting system in the greenfield development of the Kaskida project in the Gulf of Mexico.

“We’re delighted to expand our relationship with bp into the subsea processing domain, especially with such a critical delivery to bp’s first Paleogene field development” remarked Mads Hjelmeland, CEO of SLB OneSubsea. “Our subsea boosting system will accelerate and maximise the immense potential for this development.”

The contract represents the first engineering, procurement and construction contract for a subsea boosting system between bp and SLB OneSubsea. It includes a supplier-led, high-pressure subsea pump solution complete with an integrated power and controls umbilical, in addition to topside equipment.

The boosting system has been regarded as a key technology within bp’s first Paleogene field development. It will supply the required artificial lift needed to maximise production through the accelerated recovery of reserves with minimal energy consumption. The new award has also been celebrated as a continuation of the long-standing relationship between bp and SLB OneSubsea.

The Department of the Interior has announced the Bureau of Land Management's approval of the Fervo Cape Geothermal Power Project in Beaver County, Utah.

The project will use innovative technology to generate up to 2GW of baseload power that, if fully developed, is enough to supply more than two million homes. This approval marks the BLM's green-light for nearly 32GW of clean energy projects on public lands, including 42 projects approved under the Biden-Harris administration. The BLM is also proposing a new categorical exclusion to facilitate geothermal energy resources confirmation on public lands. 

“Geothermal energy is one of our greatest untapped clean energy resources on public lands,” said Principal Deputy Assistant Secretary for Land and Minerals Management, Steve Feldgus. “Today’s actions are part of the Department’s work to deliver on new opportunities, new technologies, and new solutions in geothermal energy that support the Biden-Harris administration’s commitment to create jobs, economic growth, and clean carbon-free electricity for communities throughout the West.”

“The BLM is committed to supporting the responsible growth of geothermal energy on public lands,” said BLM Director Tracy Stone-Manning. “We need all the tools in the toolbox to reach a clean energy future, and this proposed categorical exclusion will be helpful in accelerating the process of locating new geothermal resources.”

The Bureau of Safety and Environmental Enforcement (BSEE) has awarded a contract and first task order for the decommissioning of eight orphaned pipelines in the Matagorda Island lease area.

This move comes as part of the Biden-Harris Administration’s concerted efforts to address legacy population and will see work take place in the area which is located around 12 miles off of the Texas coast.

On 4 September, BSEE awarded a five-year indefinite delivery/indefinite quantity contract to Chet Morrison Contractors, LLC, to conduct on-site pipeline decommissioning activities. This was closely followed, on 12 September, by the award of the first task order under the contract, for the Matagorda Island Areas.

“With this award, BSEE advances to the active pipeline decommissioning phase of the Matagorda Island area project,” remarked Kathryn Kovacs, Interior Deputy Assistant Secretary for Land and Minerals Management, who leads BSEE. “The funding provided by the Bipartisan Infrastructure Law is crucial to BSEE as we tackle orphaned infrastructure on the Outer Continental Shelf, which presents a serious hazard to safety and the environment.”

The project will reduce pollution risks and improve offshore safety by decommissioning infrastructure that could interfere with navigation, commercial fisheries, and other current or future ocean uses.

A decommissioning legacy

These awards the year are the latest in a series that has seen action take place in the Matagorda Island lease area. Last year, BSEE awarded contracts for the decommissioning of nine orphaned wells there in a bid to address the urgent decommissioning needs. This included securing wellheads, decommissioning pipelines with hazardous materials, and preparing the site for permanently sealing the wells.

This has been part of the Bipartisan Infrastructure Law which allocated US$250mn to clean up well sites in national parks, national forests, national wildlife refuges, and other public lands and waters. Nearly US$150mn has been disbursed over the past three years.

Halliburton has launched the Clear portfolio of electromechanical well intervention technologies and services

This portfolio addresses challenges related to high-angle deployment and includes surface readout telemetry for communication and precise control to deliver differentiated performance. It includes the ClearTrac wireline tractor and ClearCut non-dangerous goods electromechanical pipe cutters. ClearShift high-expansion shifters will also soon be introduced to open and close downhole valves that include barrier isolation devices.

The ClearTrac wireline tractor is an advanced wireline conveyance technology for highly deviated or horizontal wells that require cased-hole logging diagnostics, perforating, and powered mechanical intervention services. It uses an innovative electromechanical drive and real-time telemetry for communication and precise control to deliver unmatched performance compared to pipe-conveyed solutions. ClearTrac wireline tractor achieves speeds from 5 to 125 ft per minute and carries payloads up to 1,000 lbs. with a single-drive section. It provides an economical conveyance solution that acquires data in up-and-down passes. This increases efficiency and reduces the potential for HSE incidents.

The ClearCut service portfolio offers a family of pipe severing tools for a machine shop quality cut without dangerous goods from 2⅜ to 9⅝ in. ClearCut can be deployed on eline or RELAY Digital Slickline and navigate through small restrictions. It cuts outer tubing encapsulated cables in intelligent completions.

With the elimination of explosives and chemicals, ClearCut service provides a safer alternative for complex wireline interventions.

“Our Clear suite of services delivers integrated formation evaluation and intervention solutions to improve production,” said Chris Tevis, Vice President of Wireline and Perforating. “Today's launch of our power mechanical services will enable our customers to intervene in their completions in a more reliable, precise and powerful way.”

SLB has launched a well integrity assessment solution for carbon storage developers to quantify the risks associated with wells at prospective storage sites with previous drilling activity.

Since carbon capture, utilisation and storage (CCUS) provides one of the most immediate opportunities for reducing emissions, establishing secure storage sites is essential to enable the growth of a low carbon energy ecosystem. SLB’s new methodology for quantifying the probability and potential impact of carbon leakage helps customers understand the risks associated with each well, informing remediation strategies and ultimately estimating the project's long-term viability.

“The significance of the risks associated with each well and the costs of remediation to mitigate leakage risks can make a project economically unfeasible,” said Frederik Majkut, Senior Vice President of Industrial Decarbonisation, SLB. “By addressing potential well integrity issues early in the development process, SLB’s well integrity assessment solution can help storage developers avoid costly delays or operational disruptions, and drive companies toward their net zero ambitions.”

There are several prospective carbon storage sites that can be found in either mature or retired oil and gas fields. Having a large number of wells at a site can increase the risk of potential leakage pathways for the stored carbon.

The new tool by SLB incorporates advanced failure mode effect and criticality analysis (FMECA) to assess potential leakage pathways, well barrier, failure mechanisms and resulting consequences. Using advanced multi-physics 3D modeling, SLB can assess the volume and flow rates of brine and carbon leakage over time to better estimate risk.

Geothermal baseload and energy storage company, Sage Geosystems Inc, announced Christine, Texas, as the location for a 3MW Geopressured Geothermal System (GGS) energy storage facility after entering into a land use agreement with San Miguel Electric Cooperative Inc. 

Set to be established later in the year, near the SMECI lignite coal power plant, the EarthStore facility will utilise the earth's natural capacity for energy storage to produce clean, sustainable, and dispatchable electricity on demand. This technology offers a reliable and resilient power source that is independent of weather conditions and not reliant on wind or sunshine. 

“Once operational, our EarthStore facility in Christine will be the first geothermal energy storage system to store potential energy deep in the earth and supply electrons to a power grid,” said Cindy Taff, CEO of Sage Geosystems. “Geothermal energy storage is a viable solution for long-duration storage and an alternative for short-duration lithium-ion batteries. Electric utilities and co-ops like SMECI, will be able to use our technology to complement wind and solar, and stabilize the grid.”

The facility will use Sage’s proprietary technology to store energy, targeting 6-to-10-hour storage durations and delivering a round-trip efficiency (RTE) of 70-75%. In addition, water losses are targeted to be less than 2%. At scale, this energy storage system will be paired with renewable energy to provide baseload and dispatchable power to the electric grid. When combined with solar power, the facility will enable round-the-clock electricity generation at a blended Levelized Cost of Energy (LCOE) well under US$0.10/kWh.

Craig Courter, CEO, SMECI, said, “Long-duration energy storage is crucial for the ERCOT utility grid, especially with the increasing integration of intermittent wind and solar power generation. We are excited to be part of this innovative project that showcases the potential of geothermal energy storage.” 

Sage will operate as a merchant, buying and selling electricity to the ERCOT grid.

Sage will be applying for two drilling permits in Texas. The first permit is in Atascosa County for the EarthStore facility in Christine and the second permit is in Starr County, adjacent to the company’s existing test well.

Offshore Network has released a new report on the Offshore Well Intervention Market in the Gulf of Mexico.

The new research comes ahead of the OWI GOM 2024 Conference arriving in Houston from 21-22 November. This is apt timing for it will closely follow after the US election – a significant event that will greatly affect the future of the offshore oil and gas industry in the region. The return of Republican candidate, Donald Trump, to the White House will likely herald a wave of drilling and a slackening of regulations rung tighter under the tenure of President Biden. However, should the Democrat nominee win, then the focus will likely remain on restricting further assets being created and greater emphasis on operators to fulfil the ever-growing decommissioning scope of work.

Regardless of this outcome, according to most market commentators, global demand for oil and gas is set to remain at least for the short-term, and likely for longer. With drilling becoming an increasingly distasteful option in much of the public eye, production enhancement to maintain rates and extend asset life is becoming increasingly attractive – if the recovery factor of mature assets is boosted by just 1%, then 2-3 years of additional consumption could be satisfied. These dynamics are creating a favourable outlook for the well intervention market in GOM, and service providers are looking to take advantage by bringing new technology into play of ever-increasing sophistication.

Click here to download the report and prepare for OWI GOM 2024 by staying up to date on the future of the offshore industry in the region.

Exciting times lie ahead for the offshore Health, Safety & Environment (HSE) community in the Gulf of Mexico as Offshore Network’s inaugural HSE GOM 2024 Conference is set to debut in Houston on 8-9 October this year.

The event, which will open its doors in the Hilton Greenway Plaza in Houston, is set to make its mark on the HSE sector with attendees gaining exclusive access to operator best practices and innovative technologies while exploring key strategies to enhance safety performances across the region.

Attendees will also hear from regulators (including the Bureau of Safety and Environmental Enforcement) on standards development, industry-leading strategies for cultivating a prosperous safety culture, and the latest cutting-edge advancements in PPE. More than 20 expert speakers are set to take to the stage to cover topics such as safety culture, process safety, planning and preparation, and technology and innovation.

With 150+ HSE decision makers set to be in attendance, ten technology demonstrations, seven networking events and a series of dedicated sessions, the conference promises to provide an insightful and fruitful experience for all who wish to develop their knowledge about all things HSE.

For more information about HSE GOM 2024, head to the website here to download the full agenda and see the complete list of speakers. For any additional enquiries, please contact Jack Heffernan at This email address is being protected from spambots. You need JavaScript enabled to view it..