Europe

• Region: North Sea
• Topics: Decommissioning
• Date: Oct, 2023

The long-serving Northern Producer FPSO, which has spent the last fifteen years at EnQuest’s Dons field in the North Sea, has arrived at Kishorn Port in Scotland for decommissioning.

As per an announcement made on social media, the FPSO has been welcomed at Kishorn Port where preparations are beginning for the decommissioning, recycling and possible re-use of the 12,500 Gt vessel.

Kishorn Port Ltd. thanked the teams of KPL, Ferguson Transport & Shipping, the shore-based marine services team, Green Marine, Jifmar Scotland, Shearwater Marine Services, Ross-shire Diving Services, Chisholm's Recovery Specialists, Interocean Marine Services and its client Northern Offshore Ltd.

The company expressed its delight at landing the contract and finally receiving the vessel for end-of-life operations. It stated that it believes it will be the first time work of this nature has been carried out in a dry dock, with a semi-submersible FPV, as well as being a first for KPL and Kishorn Port under the EU recycling license.

The future decommissioning, demolition and recycling of the Northern Producer will be carried out by lead contractor Liberty Industrial working with KPL and its partners.

Following its arrival, the dock gates would be going back in and sealed before the dock is pumped dry. Survey work will follow once high and dry and necessary steps in its EU Licensing process will follow, working closely with SEPA, HSE the asset owner.

• Region: All
• Date: Oct, 2023

The CX-2 bridge plug, a solid and tested base for cement plugs designers to deliver enhanced efficiency and reliability, has been successfully deployed for the 1,000th time by Coretrax, a global leader in oil and gas well integrity and production optimisation.

The milestone was achieved for a project in the North Sea, with Coretrax revealing the CX-2 has now been deployed for more than 40 customers across 12 regions since its initial launch in 2012.

The CX-2 permanent cast iron bridge plug is constructed of drillable materials and features a built-in setting mechanism. It is set with both hydraulic pressure and mechanical pull and has an innovative release system, with a slim outer diameter (OD), a large inner diameter (ID). This allows cementing operations to be completed as part of the one trip system whilst minimising cement disturbance, ultimately eliminating the need for a dedicated cementing trip and further reducing rig time.

According to Coretrax, the solution has saved an average of three hours per run and so far delivered 3,000 hours of rig time savings for operators.

John Fraser, Coretrax CEO, remarked, “Coretrax has a long history and proven track record in the UKCS, so it is fitting that we achieved this milestone deployment in the North Sea. Our CX-2 bridge plug is a staple in our portfolio and has built an unrivalled reputation for delivering cost and time efficiencies in P&A operations.

“As the decommissioning sector continues to ramp up, our innovative technology combined with our experienced personnel allows us to remain at the forefront of well abandonment and able to tackle to most complex well challenges, while delivering greater efficiencies.”

• Region: North Sea
• Date: Oct, 2023

Well-Safe Solutions, a well plug and abandonment specialist, has strengthened its commercial team by hiring Paul Simpson as Business Development Manager in a bid to continue its international growth strategy.

Simpson has more than 25 years’ experience in global well intervention management and business development, including time spent as part of a multi-skilled well abandonment team tasked with delivering the safe abandonment of bp’s North West Hutton project in the North Sea.

Simpson remarked, “I’ve watched with interest the continuing growth of Well-Safe Solutions over the past few years, with the creation of Well-Safe Solutions and the Well-Safe Resources service line underlining the company’s continued expansion this year.

“Throughout my career, I’ve prided myself on successfully integrating service lines to boost efficiency and answer specific challenges facing clients, building mutually-beneficial relationships in the process.

“I’m looking forward to contributing to the company’s continued growth as we target clients across the land and offshore well decommissioning markets in a number of geographies worldwide.”

Chris Hay, Director of Strategy and Commercial, commented, “I’m delighted to welcome someone of Paul’s calibre to Well-Safe. Paul’s arrival comes at an exciting time for the business, as we continue the implementation of our international growth strategy as well as strengthening our position in the North Sea market.

“Building on his considerable experience and skills in client management, Paul will work closely with our customer base to identify new opportunities and develop solutions for safe and efficient well decommissioning.”

• Region: North Sea
• Topics: Decommissioning
• Date: Sept, 2023

Elemental Energies, an independent wells expert, has won a UK£10mn contract with Archer, a provider of drilling, P&A and well services, to help support a major decommissioning project in the UK North Sea.

As per the agreement, Elemental will provide complete abandonment engineering and operational support across multiple platform wells over three years. To fulfil the contract, Elemental will expand its in-house P&A team with a further 10 roles and these will help make up a multidisciplinary team of onshore and offshore engineers. This team will work alongside Archer personnel to lead abandonment planning and will support the operational activity.

Kenny Dey, Archer UK’s Managing Director, remarked, “The combined capability and experience of the Archer and Elemental Energies engineering team is raising the bar for decommissioning projects of this scale, and we are pleased to be working in partnership with their expert well engineering, operational and project management teams to deliver this major project.”

The first phase of the project will include wireline investigative work and a coiled tubing campaign. Work is already underway for this, alongside engineering of the P&A operations which are set to commence in H2 of 2024 or in 2025.

Mike Adams, Chief Executive Officer of Elemental Energies, surmised, “Our collaboration with Archer is an important milestone as we build on our extensive experience within well decommissioning. By embedding our engineering expertise within Archer we will maximise efficiencies and mitigate risks earlier in the planning and operational phases of the project.

“Efficient and expertly planned well P&A is a cornerstone for successful decommissioning globally and is a critical part of reducing long-term emissions from wells. We are passionate about the role that decommissioning plays in the energy transition, and we are proud to be delivering that alongside our partner Archer.”

• Region: North Sea
• Topics: Decommissioning
• Date: Aug, 2023

UK well operator, Exceed, is expecting to see record-breaking revenues for the current financial year with an annual revenue of around UK£30mn – 40% of which will be attributed to decarbonisation activity.

The company, which currently acts a well operator for four clients, has grown to become one of the largest independent well and reservoir management specialists and is continuing to highlight the criticality of its capability in leading a sustainable energy transition.

So far, it has decommissioned more than 150 wells and its integrated decommissioning service via LWIV, a rig-based, rig-less and SCV, is also helping to reduce costs as well as the carbon footprint of decommissioning activities. This year, its decommissioning expertise has played a significant role in its clients’ North Sea net-zero strategies, according to the company. Activities in the region includes a six-well plug and abandonment (P&A) campaign and a late-life asset management-decommissioning alliance with a Tier 1 service company. The company has also supported an operator with the development of well access technologies for the decommissioning of complex subsea wells. Not resting on its laurels, the company has also indicated it is preparing to commence a second vessel-based well P&A campaign next month.

In addition to these activities, the company’s subsurface experts have been working in the potential repurpose of the Rough Bravo field for large scale H2 storage and, collaborating with Centrica Energy Storage+, Exceed has provided critical conceptual work and leading geo-mechanic and reservoir modelling in conjunction with a number of universities.

John Anderson, Commercial Director at Exceed, remarked, “Maximising clients’ economic recovery factor plays a critical role in ensuring the sustainable global energy transition to which we are clearly 100% committed. This includes the recent award of two major global well engineering and managed pressure drilling framework agreements, and HPHT and deepwater operations in frontier producing regions, including Namibia, Romania and Guinea Bissau.

“We’re addressing the energy trilemma of security, affordability and sustainable decarbonisation not only through decommissioning, reuse and repurpose, but also through the application of our world-renowned well engineering and drilling capabilities, which follow a strategy to eliminate or reduce each project’s direct emissions where possible.”

• Region: North Sea
• Date: Aug, 2023

Oilenco has secured numerous contracts for the supply of plug and abandonment (P&A) tooling packages to operators and decommissioning specialists across Europe.

The packages include the Oilenco pressure wave valve, an intervention-free, open-on-demand equalising device which is set below a plug to aid in creating a barrier by applying pressure in a series of cycles.

Blair McCombie, Operations Director, Oilenco, said, “Since its first installation in 2018, the pressure wave valve has built an extensive run history and as a result has become one of the leading remote opening devices on the market. It can be functioned when required, within a few hours, days, months or even years after installation without the need for dedicated personnel on location, and once open, provides a large through-bore and pump through capabilities without the need for further intervention.

“Oilenco has a proven track record in the UKCS, providing reliable solutions for P&A campaigns. With these recent contract wins and ongoing requests from clients and decommissioning specialists, our solutions are becoming integral to P&A toolkits.”

• Region: North Sea
• Topics: Decommissioning
• Date: Aug, 2023

The Port of Blyth, locate between Aberdeen and Great Yarmouth in the UK, working together with Thompsons of Prudhoe, has welcomed 7,000 tonnes of offshore infrastructure to be decommissioned.

Several topsides and jackets for three North Sea offshore oil and gas platforms were delivered to the port’s Battleship Wharf, home to its unique decommissioning facility that is operated in partnership with Thompsons of Prudhoe.

Following arrival, the assets have been successfully removes from two barges and transferred to the decommissioning facility using SPMTs. Here, they were set down onto purpose-built stools ready for demolition. These actions required a number of key contractors such as Mammoet which assisted in the SPTM operations and Harlyn Solutions which provided design and engineering works during the load out. According to the companies, the delivery of the assets is a testament to the advanced handling capabilities boasted by the port as it required exceptional planning and coordination.

Tom Koerner, Operations Director of Thompsons of Prudhoe, remarked, “We are delighted to be given the opportunity to decommission these assets on behalf of our client. This project gives us a strong platform to demonstrate and promote our capabilities to the offshore industry for all future onshore dismantling and waste disposal requirements.”

With the safe delivery successfully completed, Thompsons of Prudhoe will now progress with structural inspection, surveys and make-safe ahead of demolition (which will be carried out by mechanical means and lifting operation). The waste from the assets will be sorted, segregated and (for much of it) recycled.

Martin Lawlor, Chief Executive at Port of Blyth, commented, “By combining the port’s offshore energy cargo-related handling capabilities with Thompsons of Prudhoe’s decommissioning and demolition expertise, customers are able to rely on first-class service based on quality, safety, and performance. We have now established a great track record of successful high-profile decommissioning projects and are looking forward to supporting further decommissioning projects across the offshore energy sector.”

• Region: North Sea
• Topics: Decommissioning
• Date: Aug, 2023

Perenco and Carbon Catalyst Limited (CCL) have been awarded a licence to progress the Poseidon carbon capture and storage (CCS) project following the conclusion of the first competitive carbon storage licence round of the North Sea Transition Authority (NTSA).

The project encompasses the Leman gas fields, one of the largest geological structures in the southern North Sea sector of the UK Continental Shelf (UKCS) and offers depleted gas reservoirs alongside saline aquifers to permanently store recovered CO2.

According to the companies, the project has the potential to significant decarbonise the East and Southeast of England when it comes online (expected 2029). Leman is connected via pipeline to the Bacton Terminal which will be utilised to receive and process CO2 from various onshore sources. This will then be sent to be injected offshore into reservoir rocks. Initial injection rates will be around 1.5mn tonnes per annum (Mtpa) and could ramp up to 40Mtpa across a 40-year period.

With the licence awarded, the project will now move into further detailed appraisal of storage sites with work commencing to bring the concept to delivery alongside mid-stream and up-stream partners.

Jo White, General Manager Perenco UK, remarked, “This is a fantastic opportunity to leverage Perenco UK’s deep experience of gas operations by developing a project that will help to support the UK’s energy transition, generate highly skilled jobs locally and nationally, and actively facilitate the government’s net-zero targets. We look forward to working with all stakeholders to deliver this strategic project.”

Henry Morris, Executive Director at Carbon Catalyst, added, “Poseidon has the potential to make a very material contribution to the decarbonisation of the UK economy by storing up to 40mn tonnes of CO2 per year into the giant depleted Leman gas field and overlying aquifer system. CCL is looking forward to supporting Perenco as they progress through the appraisal period towards final investment decision, with the ultimate goal of achieving first CO2 injection by 2029.”

Onwards with Orion

In addition to the Poseidon project, the partners have also announced that they have been awarded two further carbon storage licences to progress the Orion CCS project, designed to deliver an initial injection capacity of 1Mtpa. 

The project encompasses the decommissioned Amethyst field as well as the West Sole field (currently producing). It will use depleted gas reservoirs for permanent storage. Injection is expected to commence in 2031 and could rise to 6Mtpa. 

Perenco, which owns and operates significant gas infrastructure in the Humberside area will evaluate the possibility of reusing existing assets such as Dimlington Terminal for the project. 

• Region: North Sea
• Date: Aug, 2023

Archer has been awarded a US$165mn decommissioning contract by Repsol Sinopec Resources UK Ltd. for the execution of plug and abandonment (P&A) services in the Fulmar and Halley Fields in the North Sea.

The awarded contract is for a fully integrated P&A project, covering the complete work scope and services of the 30 Fulmar Field wells and the two Halley Field wells.

The Fulmar scope includes the removal of the existing drilling facility and the installation of Archer’s P&A rigs, as well as its full P&A well services offering to reduce time and cost. The work will be carried out using leading digital solutions in collaboration with the company’s partners, and operations are expected to commence in H2 2024.

Dag Skindlo, CEO of Archer, said, “We are delighted that Repsol Sinopec has elected Archer and our fully integrated operational model for this P&A project. The delivery model with integrated drilling and well services, supported by partners, is a step change in how operators permanently plug and abandon oil and gas wells.  Archer has worked strategically over several years to develop this fully integrated model and we are excited that Repsol Sinopec has chosen Archer as its partner.

“The permanent plugging and abandonment of oil and gas wells is an essential activity as the world decarbonises on the road to net-zero. Our goal is to industrialise the P&A process and spearhead innovation to cut operators’ P&A costs globally.”

Adam Sheikh, Repsol Sinopec’s VP of Decommissioning and Energy Transition, commented, “We aim to deliver one of the North Sea’s most ambitious decommissioning programmes in the years ahead – including the full decommissioning of our Fulmar Alpha Asset. This contract award represents a significant milestone in our decommissioning journey and my thanks go to the teams for the vast amount of work to get us to this stage. We look forward to working closely with our partner Archer to safely deliver this decommissioning scope of works on our Fulmar Alpha facility."

• Region: North Sea
• Topics: Decommissioning
• Date: Aug, 2023

According to new research by the North Sea Transition Authority (NSTA), the oil and gas industry in the North Sea spent UK£1.6bn on decommissioning redundant wells and infrastructure last year.

This figure is more than any in the previous five years with UK£8bn spent accumulatively between 2017 and 2022 and will remain high for the years ahead, with UK£2bn expected to be spent per year in the next decade. Of the work associated with the UK North Sea alone, UK suppliers are forecast to take the lion’s share at 70%.

The NSTA was pleased to indicate that the sector appears to be living up to its North Sea Transition Deal Pledge to ensure at least half of decommissioning spending goes to the UK supply chain and that it is meeting legal obligations to clean and remove infrastructure once production ceases. It continued that the industry has now built an impressive track record of carrying out decommissioning projects cost-efficiently and safely due to its willingness to share learnings and date. It is also embracing new technologies' commercial models.

Emerging challenges in recent years – such as a heightening demand for equipment, vessels and services from other regions and sectors – has led to an estimated total decommissioning cost of around UK£40bn that must be footed in the years ahead. However, the NSTA has stated it is confident the industry can overcome associated hurdles, meet cost-efficiency targets and ultimately lower the estimate to around UK£33.3bn by the end of 2028.

To support this, the NSTA is providing ongoing support by introducing new key performance indicators and benchmarks to provide a more complete picture of how well decommissioning projects are being planned and executed. This will help to identify opportunities for industry stakeholders to improve performance and realise further cost-efficiencies.

Pauline Innes, NSTA Director of Supply Chain and Decommissioning, remarked, “The North Sea decommissioning sector is highly active and productive, and the industry is ideally placed to realise the massive UK£21bn opportunity which will come its way over the next 10 years.

“However, operators must redouble their commitment to collaborate with the supply chain and plan even more effectively if they are to overcome challenging market conditions and remain competitive on cost. The NSTA will continue to use its powers and influence to support the industry as it strives for continuous improvement, including through the development of new benchmarks.”

Bob Fennell, DaRT Co-Chair and North Sea Executive Vice President at Harbour Energy, added, “It is critical that North Sea operators work together to ensure that oil and gas assets which, at the end of their production life, cannot be repurposed to support new technologies like carbon capture and storage, are decommissioned safely and in the most cost-effective manner. Collaborating and sharing data is an important first step to providing the supply chain with the visibility and confidence they require to meet UK demand for such works in a timely and cost-competitive way.”

• Region: North Sea
• Topics: Decommissioning
• Date: Aug, 2023

Spirit Energy is celebrating its busiest-year-to-date in regards to decommissioning activities across the Central North Sea (CNS), Southern North Sea (SNS) and East Irish Sea.

Some of the recent work to complete includes the final phase of the campaign to remove the DP3 and DP4 installations in the Morecambe Bay development. Allseas completed the work through the use of Pioneering Spirit, the largest and most versatile offshore construction vessel in the world which is capable of lifting entire topsides of up to 48,000 t and jackets up to 20,000 t in a single piece. For this project in the East Irish Sea, a total of 9,000 t of jacket structures were removed in tandem using the jacket lift system and loaded directly onto the Iron lady. It was then to be transferred to Fife for recycling.

In CNS, a 14 well plug and abandonment campaign is being executed from the Well-Safe Defender vessel across four fields: Chestnut, Birch, Larch and Sycamore. Chestnnut’s decommissioning has now been completed.

“The Chestnut campaign has been delivered with exemplary safety and operational performance; this was our ultimate aim when we set out to select our partners for the CNS abandonment campaign. With this first milestone achieved we look forward to the remainder of the campaign,” remarked Nicholas Riley, Well Operations Manager, Spirit Energy.

Meanwhile, in SNS, Heerema Marine Contractors has successfully removed three topsides and three jackets with SSCV Thialf crane vessel. DeepOcean are set to recover subsea infrastructure from six assets later this year. The recycling of the all the structures will be conducted by Thompsons of Prudhoe in the Port of Blyth.

Head of Decommissioning and projects at Spirit Energy, Donald Martin, commented, “Combining decommissioning programmes and supply chain opportunities at portfolio level has created significant economies of scale with our partners leveraging the capability of their assets. This has also helped create opportunities to share campaign management responsibilities, leading to a lean and agile team. The recent successful completion of the removals of the DP3 and DP4 jackets marks a significant milestone towards our longer-term transition plan for the Morecambe hub being converted into a world-class carbon storage cluster.”

Spirit Energy, CEO, Neil McCulloch, concluded, “We are very proud of our efforts and achievements in decommissioning carried out by a first-class team of Spirit employees working collaboratively with the supply chain. Our team has thought strategically and formed long-term, high-value and high-trust relationships with our supply chain partners and we are very pleased to have achieved such a high level of local content and repeat business with UK and Netherlands based firms where our core business lies. Of course, we are also pleased to continually deliver industry leading decommissioning cost performance in line with our stewardship obligations from our regulators.”

• Region: North Sea
• Topics: Decommissioning
• Date: July, 2023

Allseas has awarded Modern American Recycling Services Europe (MARS) with the contract for project management and engineering, receipt with load-in assistance, dismantling and disposal of EnQuest’s Heather Alpha topsides.

The contract was announced on MARS’ social media platforms, and will provide the chance for the company to participate in the decommissioning of the 13,000 t topsides.

As part of the project, EnQuest will make use of Allseas’ Pioneering Spirit, a 48,000t offshore construction vessel that is designed for single-lift installation and removal of offshore platforms as well as the installation of record-weight pipelines. The ship has proven its ability to lift entire topsides of up to 48,000 t and jackets up to 20,000 t in a single piece.

The vessel will be used to remove the Heather topsides in a single lift operation. Preparations for the lift will begin next year, with the lift itself scheduled for 2025.

Following this work, in subsequent years, M.A.R.S. will recycle the platform in compliance with international, national and local rules and regulations.