Baker Hughes has reached an agreement with the Nigerian National Petroleum Corporation (NNPC) and FIRST Exploration & Petroleum Development Company (FIRST E&P) joint venture (JV) to deploy its Leucipa automated field production solution on the JV’s offshore operations in the Niger Delta.
The deployment marks the inaugural adoption of the system in Sub-Saharan Africa. The JV will utilise Leucipa’s core workflows to optimise well performance and enhance efficiency by automating functions including performance analysis, opportunity management and scorecards management.
Real-time data will be provided by the technology which will offer more insightful optimisation opportunities across operations, resulting in enhanced decision-making in the field.
Amerino Gatti, Executive Vice President of Oilfield Services & Equipment at Baker Hughes, said, “Leucipa is enhancing the oilfield to be smarter and more efficient, enabling our customers to maximise the value to their assets. Our collaboration with the NNPC/FIRST E&P JV in implementing Leucipa will support the responsible development of energy resources needed in Sub-Saharan Africa for years to come.”
The automated field production solution assists oil and gas operators in proactively managing production and reducing carbon emissions. By focusing on specific outcomes, Leucipa utilises data to drive intelligent operations to minimise inefficiencies, ensure environmentally sound operations, and assist customers in recovering the millions of barrels that would otherwise remain untapped.
In Asia, regulatory change driven largely by environmental concerns has continued apace, notably with the ASEAN Council on Petroleum (ASCOPE) issuing decommissioning guidelines for oil & gas facilities.
Industry sources estimate that around 800 offshore platforms in the Asia Pacific region will enter decommissioning by 2027, at a predicted cost of some US$100 bn. While English law remains a popular choice to govern Asia Pacific decommissioning contracts, it faces stiff competition from other systems.
The dispute resolution clause of BIMCO’s DISMANTLECON form of contract envisages a choice between English, Singapore and US maritime (or New York) law. Historically, English and Singapore law have followed each other closely. However, the common law of penalties is the latest area in which divergence has emerged, with the Singapore Court of Appeal declining to follow the UK Supreme Court’s Cavendish Square decision when examining liquidated damages and forfeiture clauses in oil and gas contracts. Choice of law therefore, has real consequences for businesses engaged in decommissioning.
Net zero also has a profound impact on decommissioning. Despite the Strategy’s change of name, the MER objective remains in place. This is no “keep it in the ground” strategy. What has altered is the way assets are managed in the context of recovery of oil and gas. The updated OGA Strategy is unlikely in itself to accelerate the pace at which assets come forward for decommissioning, beyond the consequences of falling demand (and perhaps prices) flowing from the government’s overall policy of reducing fossil fuel dependence in the downstream economy. Rather, elements of the OGA Strategy may slow the pace of decommissioning.
The Central Obligation is supplemented by a number of detailed provisions on re-use of assets not only for CCS projects but also, 'where appropriate', for 'projects relating to hydrogen supply'. 15 to 17 of the OGA Strategy, headed 'Decommissioning', require relevant persons to demonstrate, before planning decommissioning of infrastructure, that 'all viable options' for its continued use, 'including for reuse or re-purposing for CCS' have been 'suitably explored'. Note the word 'including': potential re-use is not confined to CCS but could also include hydrogen and other clean energy uses such as offshore wind. So, even where an asset cannot continue in economic petroleum use, OPRED may reject a decommissioning programme where the whole or part of the structure may viably support clean energy development.
The OGA may also use its licensing powers to ensure cooperation between asset owners and others, including parties seeking to invest in alternative uses. Postponement of decommissioning will sometimes, but not always, be welcome news to asset owners. UKCS M&A transactions and other contracts will typically be priced on assumptions about the useful life of an asset and the timeframe within which the costly process of decommissioning is expected to take place. Insistence by OGA or OPRED on prolonging the life of an asset with a view to reuse may result in parties discovering they have overpaid into a security arrangement, or finding themselves compelled to negotiate elaborate cost apportionments with incoming investors. Unravelling or altering already complex contractual arrangements to accommodate these changes may prove legally and financially problematic.
DOF Group ASA has been awarded two subsea contracts for offshore execution in 2025, adding to its already full workload in the APAC region.
DOF’s dive support vessel (DSV) Skandi Singapore will execute the first contract utilising its saturation diving services offshore Malaysia where it is expected to be engaged for 30 days commencing in Q2 2025.
The second contract was awarded for construction support services in Indonesia wherein DOF will utilise one of the region’s multipurpose vessels for offshore execution in Q3 2025 with an expected duration of seven days.
Mons Aase, CEO of DOF Group ASA, said, “These contract awards secure backlog for the APAC region with an estimated combined value of over US$30m.”
Both contracts will include DOF’s in-house project management and engineering, related subsea and logistics support.
Previously in August 2024, DOF won an extension for Skandi Singapore to remain in the Asia Pacific region, followed by securing a decommissioning contract for the CSV Skandi Hercules. In November, DOF reported it was to spend 150 days in the APAC region as part of an IMR and associated subsea services contract.
The end of 2024 saw the Centre of Decommissioning Australia (CODA) celebrate its third anniversary of serving as the region’s peak body for decommissioning, and the organisation intends to keep the momentum building during its fourth year of operation.
Francis Norman, CEO of CODA, shared his delight with the milestone achievement, stating, “Reaching our third anniversary is a proud moment for CODA. It reflects not only the strength of our partnerships but also the dedication and collaborative spirit of everyone in shaping the future of decommissioning in Australia.”
Over the three-year period, CODA has grown to become a 130+ partner organisation across the entire supply chain.
As the organisation remains committed to advancing the industry within Australian waters, CODA has conducted various studies and initiatives during its operational years. Those include:
The above initiatives have not only aided in advancing industry knowledge, but played a vital role in highlighting the importance of collaboration in addressing the complexities of decommissioning.
Norman concluded, “The work we’ve achieved together – delivering key studies, building industry resources, and fostering collaboration – has set a solid foundation for continued progress. I want to thank all of our partners and the Jobs, Tourism, Science and Innovation Department of the WA Government for their valuable support. Here’s to many more milestones ahead.”
The North Sea Transition Authority (NSTA) has highlighted the crucial nature of new technologies in improving and speeding up P&A operations in cementing the UK’s position as a world-leader in cost-effective decommissioning.
Over the last few years, smart technologies have been piloted in the UK Continental Shelf to help the sector build upon its reputation for innovation and cost-efficiency. Despite strong process, many more are still awaiting field trials.
Last month NSTA, along with the Net Zero Technology Centre, hosted a showcase event where more than 20 technology providers displayed their new technology to an audience of around 20 international operators. The event aimed to raise awareness of the technologies and encourage operators to facilitate more field trials every year.
Some of the showcased technologies included alternative materials with the potential to create barriers in the well, such as resigns, polymers and bismuth, and logging and perforating tools designed to make the P&A process more efficient.
In the UKCS, around 1,500 wells will be due for decommissioning between 2026 and 2030, presenting the industry a golden opportunity to test innovative P&A technologies to demonstrate how they can save operators time and money.
Not only do innovative technologies play an integral role in ensuring operators comply with their regulatory obligations in terms of decommissioning assets, but those technologies which prove successful will likely be in demand globally in areas such as Australia, Brazil and the Gulf of Mexico as the demand for decommissioning processes in those basins continues to rise.
Carlo Procaccini, Chief Technical Officer at the NSTA, said, “In the UK, we’re fortunate to have a supply chain which consistently produces ground-breaking technologies for offshore operations, including well decommissioning. However, the full potential of this innovation can only be unleashed if suppliers are given a chance to show what they can do in the field. With the current high volumes of well P&A activity, I encourage operators to offer field trials to progress innovation and make the most of the savings on offer.”
The decommissioning of offshore fields is no longer the final chapter in their lifecycle. Increasingly, these sites are being repurposed for carbon capture and storage (CCS), a key strategy in the global push to achieve net zero emissions by 2050.
By utilising depleted fields to store CO₂ beneath the seabed, operators can transform non-productive assets into environmental solutions, aligning with international climate commitments.
The International Energy Agency (IEA) highlights CCS as a crucial tool for reducing emissions from existing energy infrastructure, decarbonising hard-to-abate industries, and facilitating low-carbon hydrogen production. The technology has long been linked to enhanced oil recovery (EOR), with operators injecting CO₂ into reservoirs to boost extraction rates—a practice dating back to the 1970s.
Despite growing interest, the CCS sector faces economic and technical hurdles. The IEA reported a 35% increase in announced capture capacity and a 70% rise in storage capacity in 2023, bringing projected CO₂ capture to 435 million tonnes annually by 2030.
However, this remains well below the 1 gigatonne required to meet net zero targets. Analysts at Rystad Energy warn that many announced projects may not materialise due to economic feasibility concerns, a common critique of CCS. Additionally, the Center for International Environmental Law (CIEL) notes that many past projects have faced operational challenges or failures.
Nevertheless, government incentives are spurring investment. In the US, the Inflation Reduction Act of 2022 expanded the 45Q tax credit, offering US$85 per tonne of CO₂ permanently stored and US$60 per tonne for EOR, attracting new investors and developers to the sector.
“The sector is on the verge of a breakthrough,” said Benn Cannell, innovation director at Aquaterra Energy. “Trailblazing companies are now going through the steps needed to deliver CCS at scale.” As more projects move forward, the industry’s success will hinge on advancing technology, securing financial backing, and overcoming operational setbacks.
Paul Goodfellow has been appointed as the new President and Chief Executive Officer at Talos Energy where he will utilise his 30 years of experience to help the business define its next phase of growth and develop a new strategic plan.
He said, “I appreciate the confidence the Board of Directors has shown in selecting me to lead Talos with its strong asset base and solid balance sheet. I look forward to working with the Board, senior management, and its dedicated employees as we develop and execute a strategy to drive performance and maximise value for our shareholders.
“During my first 100 days at Talos, I plan to gain a deeper understanding of our business and identify the key drivers of Talos's success. Additionally, I will collaborate with the leadership team to define the next phase of our growth and develop a strategic plan. Once this process is complete, we plan to announce our new strategic plan."
Goodfellow, who will also join the Board of Directors for the company, is bringing more than three decades’ worth of domestic and international experience in the oil and gas industry to Talos. During his career, Goodfellow has held various senior executive roles at Shell, including leading the operator’s global deepwater business across the Gulf of Mexico, Brazil, West Africa, Malaysia and the North Sea. He also held positions overseeing Shell’s well intervention organisation and served as a key member of the Projects & Technology and Upstream leadership teams.
Currently, Goodfellow is Executive Vice President and Group Chief Internal Auditor for Shell. He has also served as Executive Vice President, Deep Water for Shell’s global deepwater business, as well as Executive Vice President, Wells, Vice President and Managing Director, UK and Ireland and Vice President, Unconventionals US and Canada.
Neal Goldman, Chairman of Talos’ Board of Directors, commented, “I am very pleased to welcome Paul to Talos. The Board of Directors is confident that his extensive oil and natural gas experience, particularly in deepwater operations, along with his strategic judgement, performance track record and seasoned perspective, will be key in continuing to drive Talos’ strategy.
“Under Paul’s leadership, we expect to remain focused on leveraging our strengths in deepwater exploration and development to create compelling value for all our shareholders.”
Offshore Network’s premier well intervention event is returning to Kuala Lumpur this May where attendees will gain exclusive insights into decisive strategies, cutting-edge technologies and regulatory updates set to shape the region’s oil and gas future.
Back for its ninth edition, this year’s installation of the OWI APAC 2025 conference will take place in the JW Marriott Hotel Kuala Lumpur on 20-21 May, where 30 expert speakers will take centre stage to discuss new innovations changing the oil and gas landscape; the impact the energy transition has on intervention best practices; and the importance of cross-industry collaboration to drive production gains and asset integrity.
Featuring 10 technology demos , the conference promises to be an insightful and lucrative experience for all. More than 200 decision makers are expected to descend into the showcase halls, partaking in nine devoted networking events and engaging with a series of key sessions discussing topics such as strategic pathways and partnerships for integrated intervention, the impact of the energy transition, advanced innovations, and structured collaboration policies.
Not only will attendees have ample time to engage with other delegates in an informal manner over drinks, but Premium Pass holders will also experience an elevated offering in the form of an exclusive VIP Dinner and Drinks. Delegates will have the unique opportunity to connect in an intimate over high-end cuisine and cocktails.
For more information regarding OWI APAC 2025, the full brochure can be found here.
The Asia Pacific Offshore Decommissioning Services Market shows significant growth potential, driven by technological advancements, increased consumer demand, and evolving regulatory frameworks.
The APAC market is projected to reach US$3bn by 2030, growing at a CAGR of 9.5% from 2024 to 2030. As the market matures, innovation in product offerings and digital transformation is expected to shape its expansion. Rising interest in sustainable and eco-friendly solutions, especially in sectors like manufacturing and healthcare, is likely to drive demand. Additionally, France’s aging population and shrinking workforce may push for automation and AI-driven technologies across industries.
Sales ratios are projected to shift toward higher-value, premium products, fueled by increasing disposable incomes and consumer preferences for quality over quantity. Government initiatives promoting industry modernisation and international trade partnerships will further enhance growth opportunities. However, competitive pressures and stringent regulations may influence market dynamics.
The Offshore Decommissioning Services Market in North America showcases significant regional diversity, driven by varying consumer preferences, technological advancements, and regulatory landscapes across the US, Canada, and Mexico. The US remains the dominant player, offering a robust infrastructure and high demand across sectors such as healthcare, technology, and consumer goods. Canada complements with a focus on innovation and sustainability, while Mexico's manufacturing base plays a crucial role in cost-efficient production.
This market's economic significance lies in its contribution to GDP growth, job creation, and international trade, making it a key driver in both domestic and global economies. Regional strengths combined with market size position North America as a critical hub for the expansion and investment opportunities in the Offshore Decommissioning Services industry.
The key factors driving the growth of the offshore decommissioning services market include an increasing number of aging offshore oil and gas platforms, stringent regulations regarding decommissioning activities, and advancements in decommissioning technologies. The key players in the offshore decommissioning services market include Schlumberger, Baker Hughes, Halliburton, Weatherford International, and Tetra Technologies.
Technological advancements such as robotics, drones, and advanced sensing technologies are enabling more efficient and cost-effective decommissioning activities in the offshore sector. Market trends in the offshore decommissioning services industry, such as regulatory changes, technological advancements, and industry consolidation, can impact business investment decisions by influencing the demand for decommissioning services, the competitive landscape, and the potential for growth and profitability.
The offshore decommissioning services market aligns with environmental and sustainability goals by addressing the safe and efficient retirement of offshore infrastructure, minimising environmental impacts, and promoting the responsible management of decommissioning waste and materials.
Moreover, stakeholders' engagement plays a major role in the offshore decommissioning services market. Stakeholder engagement is essential in the offshore decommissioning services market to address the concerns and interests of various stakeholders, including regulatory bodies, industry players, environmental groups, local communities, and investors, throughout the decommissioning process.
The Woodside-operated Shenzi field has undergone planned shutdown to approach integrity and reliability scopes
An unplanned outage also had to be addressed, after which a key well was brought to production in November 2024.
The Shenzi North project has been in production in the US Gulf of Mexico since September 2023. For optimised production, this two-well subsea tieback operates as an extension of the existing Shenzi infrastructure.
Situated approximately 195 km off the coast of Louisiana in the Green Canyon protraction area, the Shenzi assets comprise of the Caesar oil pipeline and the Cleopatra natural gas pipeline that form the main source of the several connecting pipelines that help the product reach onshore from the Green Canyon region. While the crude oil produced is consumed in Gulf Coast, the natural gas generated from the field is directed to the Cleopatra via a lateral pipeline that connects onshore to the Neptune processing plant in St Mary’s Parish, Louisiana.
Commenting on the project's notably short turnaround, Woodside CEO Meg O’Neill had said, "First production from Shenzi North shows how we are leveraging existing infrastructure to increase production and provide attractive returns from our Gulf of Mexico business.
"Taking the project from FID to first oil in 26 months is a great achievement. I commend the project team on safely bringing this resource into production well ahead of schedule.”
Enjoying a 72% interest, Woodside had discovered the Shenzi field in 2002, with first hydrocarbons production following in 2009. Besides Woodside, Repsol is a partner in the field with a 28% interest.
Gulf Coast customers benefit from more than 100,000 barrels of oil per day and 50 million standard cubic feet of gas per day that comes from the Shenzi field.
A well from the Mad Dog Argos that is part of the Mad Dog conventional oil and gas field situated 200km off the coast of Louisiana in the south-eastern Green Canyon protraction area, US Gulf of Mexico, has maintained production at the peak rate of ~130 kbbl/d, and is undergoing an infill injector well.
Argos is considered the driving force of the second phase of the Mad Dog project as it helped the brownfield site to reach a gross production capacity of up to 140,000 boepd. This semi-submersible platform has helped bp to boost production by atleast 20%. "Argos is key to our strategy of increasing our Gulf of Mexico production to around 400,000 barrels of oil equivalent per day by the middle of this decade,” said Ewan Drummond, Senior Vice President, Projects, Production and Operations.
An infill development well work has also began at Mad Dog A-Spar, besides a planned offshore facility shutdown.
A Spar is a subsea truss spar which processed Phase 1 of the Mad Dog project, with over 100,000 boepd transported to Ship Shoal 332B through the Caesar pipeline, followed by the Cameron Highway Oil Pipeline System, which further provides gateway to the US interior. More than 60 mn st cu/ft of gas, on the other hand, goes through the Cleopatra pipeline to finally reach the Nautilus Gas Transportation System into Louisiana.
While bp operates the Mad Dog field, Woodside holds a 23.9% interest in the project.
To know more about the global well intervention scene, click here.
Well services and engineering solutions provider Odfjell Technology has entered into a cooperation agreement with Australian-based R&D Solutions to expand its presence in the Asia Pacific region.
The agreement allows Odfjell Technology to utilise its well intervention services, wellbore clean up and whipstock tools to service the Australian well services and deepwater markets. The company also has future plans for growth in the regional plug and abandonment (P&A) sector.
Paul Toner, Vice President – Middle East & Asia Pacific at Odfjell Technology, said, “Expanding our reputation and relationships into Australia is a critical part of our global growth strategy. With strong localised operations already in place across Southeast Asia, we are confident our new cooperation agreement with R&D Solutions will enable the same excellent level of customer service and delivery for the Australian energy market.”
Doug Gillespie, Director and Managing Partner at R&D Solutions, commented, “R&D Solutions prides itself on the technology and service capabilities it has delivered to market over the years […] we feel Odfjell Technology compliments the spirit of our motto ‘Tomorrow’s Technology Today’, bringing the next level of excellence in quality service and technology to Australia.”
It was a widely successful 2024 for Petrobras as the Brazilian operator has reported it has achieved all of its production targets that were established in the 2024-2028+ Strategic Plan.
In total, oil and natural gas production reached 2.7 million barrels of oil equivalent (boed). Commercial oil and natural gas production reached 2.4 million boed and oil production was reported at 2.2 million barrels per day.
The operator set a new annual record for total own and operated production in the pre-salt, with 2.2 million boed and 3.2 million boed respectively, equating to 81% of the company’s total production.
Petrobras made significant headway in 2024, with one note-worthy project including the start-up of two new platforms: the FPSO Maria Quitéria, located in the Jubarte field in the Campos Basin; and the FPSO Marechal Duque de Caxias in the Mero field located in the Santos Basin pre-salt layer.
During the year, the FPSO Sepetiba platform, in the Mero field, reached its maximum oil production capacity after eight months of operation. The ramp-up of FPSO platforms partially offset the losses resulting from maintenance shutdowns and the decline in mature fields in addition to the impact on production due to unscheduled shutdowns determined by the ANP and the effects of the Ibama strike.
Another significant milestone of the year was the start of commercial operations of the Natural Gas Processing Unit (UPGN), located in the Boaventura Energy Complex, in November which has the capacity to process 10.5 million m3/day of gas through its first module.
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