Sign up for our newsletter
Latest News
- Region: Gulf of Mexico
- Date: July, 2023
Trendsetter Engineering, a provider of specialised subsea hardware and offshore service solutions from exploration drilling through to abandonment, has announced the recent completion of two deepwater well stimulation campaigns for major operators in the Gulf of Mexico.
The two campaigns resulted in the successful acid treatments of a combined six wells. The campaigns arrived on the heels of a contract agreement to deliver hydraulic intervention and technical services via the Subsea Tree Injection Manifold (STIM) for a Hydrate Remediation and Flowline Flush Project in the Gulf of Mexico.
The Trendsetter STIM offers a 15,000psi rated subsea safety system designed to provide hydraulic well access for both vertical and horizontal tree types. In addition to hydraulic well stimulation, the STIM unit has been used and is capable of supporting various other hydraulic intervention operations including hydrate remediation, bull heading of kill weight fluid and cement as well flowline flushing and testing operations for both pre and decommissioning.
- Region: All
- Date: July, 2023
According to Rystad Energy, the well intervention market is receiving a healthy boost as oil and gas companies look to increase their output.
The research and business intelligence company claimed that spending on interventions is projected to jump by almost 20% in 2023 to total US$58bn and this is just the start of a surge in the coming years.
The intervention rate is forecast to reach 17% in 2027 which would total about 260,000 wells globally.
Breaking this down, Rystad showed that more than US$11bn of the total expenditure will be directed to the wireline & perforating segment, while together, intervention units and oilfield chemicals sectors will represent 35%. In addition, the sum of the investments in coiled tubing, water management, and intervention tools is expected to close 2023 surpassing US$20bn.
Regionally, onshore interventions in Asia, South America, and Africa will lead the 9% growth in activities related to intervention during 2024, a year expected to be significant for the well intervention market. North America is projected to account for 64% of the total oil and gas wells ready for intervention in 2027, whereas Asia and South America will reach their maximum in 2026, with respectively 41,413 and 9,703 wells.
Jenny Feng, Supply Chain Analyst at Rystad Energy, explained, “As oil demand picks up in the second half of this year, operators will look to ramp up production from existing fields, and well interventions will be a vital piece of the puzzle. As a quick, efficient, and cost-effective method of maximizing existing resources, interventions are going to be a hot topic in the years to come.”
In terms of offshore markets, 618 assets are highly attractive for intervention. Norway and Australia stand out with 36% and 25%, respectively, while the UK has 91 wells likely to be involved in intervention activities.
- Region: Europe
- Topics: Geothermal
- Date: July, 2023
Decom Engineering (Decom) has invested more than UK£1mn to develop its largest chopsaw to date.
The C1-46 Chopsaw has been delivered in response to client demand for larger sized subsea pipe-cutting capability. It is designed to cut tubulars and other materials up to 46” and is able to cut a wide range of materials, including inconel alloys, duplex and concrete.
With the ability to cut in any orientation, the C1-46 is capable of multiple cuts per blade (20-100), resulting in large cost savings and increased efficiency. Blade changes are efficient, safe and the chopsaw can be supplied set up in a number of configurations and settings to suit project requirements.
It can be operated in water depths of up to 2,000 m and is currently deployed on its first project on behalf of a global energy company on a UK North Sea workscope.
The solution is able to achieve a versatile angle of deployment and an array of cuts can be completed whilst subsea or held in wet storage, without returning to the surface. The Tungsten Carbide Tipped saw, which can be operated topside or by ROV (with hot stab capability), is highly adaptable to suit challenging surroundings and varied structures.
Decom Engineering Managing Director, Sean Conway, commented, “Our commitment to research and development is a differentiator and making this significant investment to bring the C1-46 Chopsaw to market was a result of clients indicating they would welcome larger sized cutting options, as this is an area existing technologies struggle with.
“Decom are focused on supporting clients in solving their problems by asking how we can do more. This flagship product is designed for large subsea cutting operations and can cut through tough exotic materials and thick coatings with ease, while maintaining clean cuts for easy access to flush pipelines or recycle pipes.
“The saw clamps are designed to penetrate into the sea bed/sediment and to minimise the need for trenching. We are excited to see the C1-46 perform successfully on this North Sea project and we will take the lessons learned to refine and improve the product and its operational capabilities.
“Given the strong track record of success with our other models of the C1 Chopsaw we are confident that this latest version will perform well and will meet client expectations but we are always looking for ways to improve our offering.”
- Region: Gulf of Mexico
- Date: July, 2023
Valaris has secured new contracts and contract extensions to leave its associated contract backlog at approximately US$150mn.
The new scope includes:
• A two-well contract with Anadarko Petroleum Corporation in the U.S. Gulf of Mexico for semisubmersible VALARIS DPS-5. The contract is expected to commence in July 2023 and has a minimum duration of 60 days.
• A nine-well contract for a plug and abandonment campaign with Apache in the U.S. Gulf of Mexico for semisubmersible VALARIS DPS-5. The contract is expected to commence in September 2023 and has a minimum duration of 110 days.
• A minimum duration 180-day contract with an undisclosed operator offshore Australia for heavy duty modern jackup VALARIS 107. The contract is expected to commence in first quarter 2024.
• A one-year contract with an undisclosed operator offshore Australia for heavy duty modern jackup VALARIS 107. The contract is expected to commence in October 2024.
• A two-well contract with a major Australian operator for heavy duty ultra-harsh environment jackup VALARIS 247. The contract is expected to commence in early to mid-2024 and has an estimated duration of 100 days.
- Region: Gulf of Mexico
- Date: July, 2023
Expro has secured a contract with a major operator for the first deployment of its unique single shear and seal high-debris 15K ball valve assembly.
The multi-functional single shear and seal mechanism will form part of a full subsea deepwater completion/intervention system being designed by Expro for a long-standing and valued customer for a deepwater subsea field at about 6,600 ft in the Gulf of Mexico.
The mechanism is designed to answer the customer’s requirement for a versatile, single-valve subsea solution rather than the conventional double-valve system while offering the reassurance of risk reduction through an additional safety barrier.
Graham Cheyne, Expro’s Vice President of Subsea Well Access, commented, “We are proud to offer our innovative shear and seal solution to meet the needs of this important customer in the Gulf of Mexico. Our cutting-edge technology propels the industry’s momentum towards increased automation, improving safety on the rig floor by minimising personnel and mitigating human error, while providing an additional safety barrier. It offers operators with flexibility for their operations in both in-riser and open water subsea applications.”
Expro’s high-debris single ball system, which delivers shear and post shear seal on a multitude of sizes of coiled tubing, slickline, and electrical cable, is a solution for both gas and liquid. Its versatility makes it suitable for deployment in both in-riser or open water environments.
It is NACE MR0175 compliant and qualified for sour hydrogen sulfide environments. Bi-directional sealing is available even after a pump-through. The mechanism has been qualified to API 17G standard for the performance and design of subsea well intervention equipment. Its ability to handle up to 15% debris is a significant improvement over alternative mechanisms used in this environment today.
Expro’s shear and seal valve is available in the ELSA-HP 15ksi enhanced landing string assembly. It can be configured as a single valve, a single valve with a latch mechanism, or as a conventional subsea test tree arrangement, enabling flexibility. Expro is currently integrating the shear and seal ball system into its ELSA-HD 10ksi equipment and open water offerings.
- Region: Asia Pacific
- Topics: Decommissioning
- Date: July, 2023
While the oil and gas industry in Southeast Asia is looking ahead to an impressive array of merger and acquisition deals, the region cannot forget its ever-growing decommissioning and abandonment (D&A) liabilities. Approximately 200 offshore fields in Southeast Asia, comprising more than 1,500 platforms and 7,000 plus wells, are likely to stop producing by 2030.
Sustainable D&A practices now stand more relevant than ever as a recently released IEA report predicts that high prices and security of supply concerns highlighted by the global energy crisis is hastening the shift towards cleaner energy technologies. Circumstances have led analysts from Goldman Sachs to revise its bullish prediction of the Brent crude price hitting US$100 by mid-2023 to finish as low as US$86 this year. Such waning confidence in the future oil price and demand in the face of the growing energy transition especially calls for serious consideration of end-of-life responsibilities by operators.
To navigate the elaborate and often complicated process of D&A, operators must follow clear regulatory regime, which is the only way to understand their liabilities. To establish an effective regulatory framework, it may help Southeast Asia to play catch-up with foolproof guidelines and processes already in place elsewhere, such as the UK or the Gulf of Mexico. Chevron and Shell are currently collaborating with Thai and Bruneian regulators respectively through knowledge transfer and pilot project initiatives.
While Southeast Asia is following international conventions such as the International Maritime Organisation Guidelines (IMO) and the United Nations Convention on the Law of the Sea (UNCLOS), it has also adopted new clauses along with these to make them region-specific. For example, the area of ‘pipelines’ is an addition by the ASEAN Council of Petroleum – otherwise absent in the global frameworks – to allow export pipelines to be left in situ, provided that there is no history of pipeline spanning, or movement of the seabed.
A cheap alternative to the costly affair of decommissioning, the Rigs to Reefs programme has the potential to benefit marine life as well. The rig-to-reef way of D&A can spare companies a significant capital. In the Asia-Pacific region, an average 6,000-ton oil platform will cost approximately US$35mn to completely remove, notes an Asia-focused research website. However, D&A via the rigs-to-reefs approach would cut that amount in half, with an average saving of up to nearly US$22mn per platform decommissioned, according to decommissioning expert Brian G Twomey.
- Region: Gulf of Mexico
- Topics: Decommissioning
- Date: July, 2023
The Bureau of Ocean Energy Management (BOEM) has proposed changes to modernise financial assurance requirements for the offshore oil and gas industry, in order to better protect American taxpayers from incurring the costs associated with the oil and gas industry’s responsibility to decommission offshore wells and infrastructure.
BOEM Director, Liz Klein, commented, “These proposed updates to our financial assurance regulations will help ensure that energy companies that are operating in publicly-owned federal waters are able to fulfill their clean-up and decommissioning responsibilities, without taxpayers having to step in to foot the bill. The commonsense updates that we are proposing would modernise evaluation and financial criteria so that we are better protecting taxpayers from the decommissioning costs associated with aging oil and gas infrastructure on the Outer Continental Shelf.”
Together with reforms to royalty rates, rental rates, onshore bonding requirements, and leasing practices, the changes being announced today continue to advance the Biden-Harris Administration’s federal oil and gas reform agenda, which was outlined in a report that the Department of the Interior developed in response to Executive Order 14008.
The proposed rule would establish two metrics by which BOEM would assess the risk any company poses for the American taxpayer.
To accurately and consistently predict financial distress, BOEM would use credit ratings from a nationally recognized statistical rating organisation, or a proxy credit rating generated through a statistical model. BOEM would require companies without an investment-grade credit rating to provide additional financial assurance. BOEM is seeking public feedback on whether it should rely on credit ratings to make these determinations and what credit rating threshold would best protect taxpayer interests without imposing undue burdens on industry.
Second, BOEM would consider the current value of the proved oil and gas resources on the lease itself when determining the overall financial risk of decommissioning, given that any lease with significant reserves still available would likely be acquired by another operator that would then assume the liabilities in the event of bankruptcy.
The proposed regulatory changes would provide additional clarity and reinforce that current grant holders and lessees bear the cost of ensuring compliance with lease obligations, rather than relying on prior owners to cover those costs.
BOEM would use decommissioning estimates based on industry reported data collected by the Bureau of Safety and Environmental Enforcement (BSEE) at a level that would adequately cover estimated decommissioning costs without being overly burdensome. This proposed rule would allow current lessees and grant holders to request phased-in payments over three years for new financial assurance amounts.
The proposed changes were published in the Federal Register on 29 June, which will open a 60-day public comment period.
- Region: Middle East
- Topics: Decommissioning
- Date: June, 2023
Aquaterra Energy, a leader in global offshore engineering solutions, has announced a multi-million-pound contract with a major Abu Dhabi based operator, working in partnership with TPMC, to provide offshore riser equipment and services for a decommissioning campaign offshore Abu Dhabi.
Aquaterra Energy will provide a completion and workover riser system complete with AQC-CW connectors, as well as an additional subsea riser system, tieback engineering and rig modifications. It will do this to decommission eight wells, in 80 m water depths by 2029. Throughout the contract Aquaterra will deliver a complete end-to-end managed service, providing engineering services, expertise and personnel.
The completion and workover riser system, complete with AQC-CW connectors, is certified to BS EN ISO 13628-7 2006 and can operate in water depths of up to 1,500 m. The system has been designed to withstand repeat make and breaks, whilst offering a gas tight metal-to-metal seal.
Aquaterra Energy will work closely alongside in-country partners to manufacture and transport the project equipment. Local in-country inspectors will be deployed to ensure the high quality of work throughout the project.
James Larnder, Managing Director, Aquaterra Energy, remarked, “We are delighted to have secured this work in the Middle East and to expand on our decommissioning and riser expertise. This is an important region for us as a business and we’ve seen significant growth here over the last few years. We plan to continue this momentum and are on course to increase both our presence and revenue in the region by the end of the year. This project represents a step forward in this journey as we spearhead our global expansion.”
Andrew McDowell, Operations Director at Aquaterra Energy, added, “Winning this tender further demonstrates our team’s global riser system expertise, understanding of operational requirements in the Middle East, and the significant advantages of our independent connector OEM status. We’re looking forward to utilising our experience and working closely alongside engineers in the UAE, sharing our knowledge, and building on existing local capabilities to deliver a top-class end-to-end service.”
After identifying the Middle East as a key geography to support its global growth plan, the contract marks another significant step forward in the region for Aquaterra Energy. It has now delivered intelligent engineering solutions to more than 35 projects in the Middle East to date.
- Region: Latin America
- Topics: Integrity
- Date: June, 2023
Nauticus Robotics, a developer of autonomous robots using artificial intelligence for data collection and intervention services, has been awarded a contract by Petrobras to deploy its autonomous subsea robot, Aquanaut, to support the company’s offshore activities.
Aquanaut will be used in Petrobras’ deepwater production field using supervised autonomy for infield inspection services. The contract, one of the largest of its kind to date, consists of approximately two months of subsea inspection and expands Nauticus’ growing international presence to South America.
The fully-electric Aquanaut carries an array of multi-spectral perception sensors that allow the robot to detect, classify, inspect, and act upon subsea infrastructure using its pair of manipulators without direct operator control. This method provides significant cost and greenhouse gas emissions reductions over conventional methods.
Nicolaus Radford, CEO of Nauticus, commented, “A contract with another worldwide leading operator for Nauticus speaks to the state-of-the-art technologies of our autonomous robots as we further penetrate the global markets. The market opportunity for Nauticus in offshore Brazil is significant, as it is one of the world's most active offshore energy basins; we are pleased to enter this market through a world class operator.
“We competed through a rigorous tender process with many well-respected industry competitors to earn this business with Petrobras and eagerly await the deployment of our assets to validate our capabilities. We continue to build our robust pipeline of opportunities, giving us confidence to execute on our mission and deliver long-term value to shareholders.”
- Region: Europe
- Topics: Geothermal
- Date: June, 2023
IOG plc, a UK developer and producer of indigenous offshore gas, has announced that the wireline intervention at Blythe H2 well, located in the southern North Sea, has been completed.
“We have successfully completed the wireline intervention at Blythe H2 well, which has now flowed at a maximum stabilised rate around 42 mmscf/d, slightly above our original 30-40 mmscf/d guidance,” commented Rupert Newall, CEO of IOG. “Production will now be managed up from 20 mmscf/d towards the maximum rate to further dewater the pipeline. The team has worked very well to identify the issue and remediate it safely and efficiently. The significant improvement in our operating team performance is also demonstrated by Blythe operating efficiency increasing from 59% in 2022 to 93% over 1H23 to date.”
The company provided details on the H2 intervention operation which included:
• During well testing prior to H2 First Gas on 12 June, gas flow appeared to be choked back below expected levels by a restriction above the reservoir. Equipment was mobilised to the rig to test whether this was caused by a partially activated downhole valve,
• Over the weekend, the downhole blockage was duly verified at the expected depth. The valve was then fully opened with suitable equipment and the anticipated change in downhole pressure was observed,
• The well was handed back to the operations team in the early hours of Sunday 25 June and subsequently flowed at a maximum stabilised rate of 41.9 mmscf/d,
• Production is now initially set at 20 mmscf/d and will be steadily built up to full rate over the coming week as the Saturn Banks Pipeline System is further dewatered,
• The absence of formation water production from H2 is expected to significantly reduce aqueous liquid arrivals at Bacton, which should in turn reduce unit operating expenditure,
• The plan remains to produce from H2 only over the next few months; once water levels have re-equilibrated at the H1 location, periodic production is planned from H1 at lower rates to minimise water production.
Following the intervention, Newall remarked, “In parallel with the remediation work on H2, we have been assessing next steps for the business very carefully. Mindful of current gas market and balance sheet risks, we have decided to pause drilling activity for now in order to maximise near-term cash flow."
- Region: All
- Topics: Geothermal
- Date: June, 2023
Baseload Capital, an investment entity dedicated to advancing geothermal energy deployment globally, has announced its second strategic investment from energy technology company Baker Hughes.
Together, the partners will look to expand global geothermal project development and position the resource as a high-impact, clean energy source for global markets; catalyse market growth by facilitating the implementation of new commercial and development models; and advance next-generation technologies from the pilot stage through to commercial scale.
Alexander Helling, Baseload Capital CEO, remarked, “Developing long-lasting, strategic and co-beneficial partnerships is vital to driving innovation and scaling up geothermal power. Baker Hughes' second round of investments exemplifies the importance of leveraging assets and expertise across the energy sector for a swift transition to a global renewable energy mix.”
Ajit Menon, Vice President of Geothermal Energy, Oilfield Services and Equipment at Baker Hughes, added, “Baker Hughes is dedicated to driving lower carbon solutions through strategic investments in key growth areas. Our collaboration with Baseload Capital represents a truly innovative alliance in the geothermal market, leveraging the unique strengths of both companies to rapidly expand installed geothermal capacity.”
- Region: All
- Topics: Integrity
- Date: June, 2023
TGT Diagnostics, a through-barrier diagnostics company for energy production and storage, has launched its latest acoustic platform, ChorusX, a new diagnostic resource specifically designed to locate and characterise flow in oil and gas wells.
This all-new acoustic array platform enables energy companies to find and map fluid flow throughout the well-reservoir system with greater ease and precision, helping them to keep wells safe, clean, and productive.
Ken Feather, TGT’s Chief Marketing Officer, commented, “Understanding flow dynamics in the well system is the key to unlocking better well and reservoir performance, and acoustic techniques have become an indispensable means of achieving that goal. ChorusX is the result of two decades of intensive research, innovation, and extensive field experience in applying the power of sound to flow diagnostics in thousands of wells. Eight high-definition array sensors, extreme dynamic range recording and a unique phase analysis engine work in concert to deliver uncompromising levels of clarity, precision, and certainty to analysts and well operators.”
At the heart of ChorusX is a compact array of eight nano-synchronised sensors that record high-resolution flow sounds across an extreme dynamic range of intensities and frequencies. A unique phase analysis workflow combines specialised acoustic field modelling with a sophisticated waveform-matching algorithm. This combination delivers an important new dimension to acoustics and flow diagnosis – radial distance. In combination, these advances underpin four new complementary answer products that enable TGT analysts to easily and accurately locate and map flow throughout the well system.
Ken added, “ChorusX has been redesigned from the ground up to excel in three important areas: extending spatial and audible reach to record the lightest, quietest, and furthest flows; recognising different types of flows; and pinpointing flow sources with unmatched accuracy in depth, and radially. Flow events are displayed more clearly in high definition, enabling operators to plan actions with greater confidence and implement them efficiently with precision.”
ChorusX is available to all TGT Diagnostics customers through a range of True Flow and True Integrity/Seal Integrity products.
Page 30 of 80
