Oilenco Ltd has been awarded a contract for the provision of engineering and manufacturing services for a major North Sea operator.
The contract will see Oilenco provide well intervention and downhole equipment throughout a 52-well subsea plug and abandonment campaign, as well as its range of services including engineering, CNC machining, assembly, and maintenance services.
Blair McCombie, Operations Director at Oilenco, commented, “This contract award is an outstanding achievement for Oilenco. Not only does it demonstrate our capability to provide high-quality P&A solutions, but our clients will benefit from our breadth of knowledge and experience in this market.
“As Oilenco celebrates turning 15 this year, securing this contract and being part of this significant P&A campaign is a fantastic way to kick-start our celebrations.”
Oilenco has been providing P&A tooling solutions to the UKCS for more than six years, accounting for a significant growth area within the company through the provision of hybrid plugs, remote opening devices, and scale remedial solutions in its extensive fleet.
Serica Energy has provided an organisation and operations update, charting the successful operations it has carried out in the North Sea since September.
The latter half of 2023 has seen Serica successfully carry out the summer shutdowns at both the Bruce and Triton fields. In the former, the shutdown workscope was completed later than planned due to the decision to carry out permanent rather than temporary repairs on the flare tower.
Strong levels of production have been established from both the Bruce and Rhum fields with Serica’s average production entitlement being over 24,000 boe per day during the last four weeks.
Commencing in September, Serica has been conducting its second Light Well Intervention Vessel (LWIV) campaign on the Bruce field. This has involved successfully re-entering three wells to identify areas of scale build-up, perform water shut offs and perforate target intervals. With work on one well still to finish, there has been an uplift in overall production from the re-entered wells of about 2,500 boe per day so far.
Serica has now intervened on five of the subsea wells that form the Western Area Development (WAD) part of the Bruce complex. Since taking over operatorship, Serica has also re-entered fourteen Bruce platform wells. The results have demonstrated the benefits of low cost well interventions and a third LWIV campaign is planned during 2024 which will involve work on both Bruce and Keith wells. The inventory of platform wells on the Bruce field is also being high graded for potential future interventions.
The company is also currently carrying out vessel-based final abandonments of four exploration and appraisal wells on the Keith field and the North Eigg exploration well. This campaign is consistent with the NSTA’s initiative to reduce the number of suspended inactive wells in the UK North Sea. The abandonments are scheduled to be completed in late December 2023.
At Triton, the summer shutdown was completed in September 2023 with the activities carried out including essential fabric maintenance and inspections, a further phase of the control systems upgrade and preparation for the reinstatement of water injection on the Bittern field, which is planned to restart in early 2024. Good production rates are being achieved from all of Serica’s fields in the Triton Area.
During the middle of this year, a rig-based well intervention campaign was carried out on the Guillemot West and North West fields. These were the first such interventions on the fields in over ten years and have resulted in incremental gross daily production of about 1,500 barrels of oil from one well and 12 million cubic feet of gas from another, both of which had been shut-in for lengthy periods.
Mitch Flegg, Chief Executive of Serica, explained, “I am pleased to report the successful conclusion of the planned summer shutdowns on Serica’s Bruce and Triton hubs and the re-establishment of strong levels of production at both. During the last month Serica has been consistently achieving production rates in excess of 50,000 boe per day. Overall production guidance for the year is unchanged reflecting delayed production restarts and slower than expected production ramp-ups after the summer shutdowns.
“I am also pleased to report successful well campaigns on the Bruce and Guillemot fields during 2023. These are further proof of the benefits to be had from low cost, short cycle investments in our existing asset portfolio. The full impact on production of the well work carried out this year is expected to be felt in 2024, aided by the work on the Bruce facilities deferring the need for another major shutdown until 2025.
“The LWIV vessel used on Bruce is already booked for a third campaign in 2024, which will target wells on both the Bruce and Keith fields. We are also looking forward to the start of a four well drilling campaign in the Triton area, with the first well on the Bittern field scheduled to begin around the middle of the first quarter. 2024 is anticipated to be a very busy and impactful year of investments in Serica's North Sea portfolio.”
An enormous congratulations to the OWI Global Awards 2023 winners who were crowned in Aberdeen last week during a night filled with fun, food and festivities, where the offshore well intervention community gathered to cap the year of with a bang!
At the annual celebration, a panel of expert judges acknowledged the very best in global well intervention excellence and were tasked with picking out the best from a competitive field of submissions. However, for going above and beyond, there were some who stood out slightly higher from the crowd and were recognised for their achievements.
The winners for 2023 included:
Intervention Champion of the Year: Expro, for taking the crown after celebrating 40 years of its Subsea Test Tree Assemblies operations, delivering more than 3,000 deployments in subsea Exploration and Appraisal completion and intervention applications, and expanding its capabilities to offer a complete subsea well access portfolio!
Energy Transition Pioneer of the Year: Expro, for pioneering to the top with its 50-year legacy supporting the UK oil and gas industry and, last year, investing more than 50% of its development budget into lowering clients’ carbon emissions!
Best Example of Diversity and Inclusion: TechnipFMC, after being names one of the World’s Top 400 Female-Friendly Companies by Forbes and participating in a full roster of events aimed at supporting inclusion in every form!
Best Example of Subsea Intervention: Welltec, after demonstrating huge success with its ultra-slim e-line intervention tools last year!
Best Example of Platform Intervention: 3M, for its impressive achievement in helping to deliver successful sand control remediation through coil tubing deployment to allow the asset to achieve production goals!
Best Example of Downhole Innovation: DarkVision, claiming the top spot for its HADES downhole inspection platform that provides a comprehensive evaluation of the entire well in 3D in a single pass!
Market Intelligence Platform of the Year: Energy Industries Council, as one of the world’s largest energy trade associations for companies to supply goods and services to energy industries worldwide since 1943!
Best Project Outcome: TechnipFMC, securing the accolade with its successful RWLI campaign in ultra-deepwater Angola which included water shut-off and acid stimulation operations for three wells in just 27 days!
Best Example of Collaboration: WellBarrier – a SLB technology & Equinor. The WellBarrier solution was successfully deployed at scale across Equinor’s organisation in support of replacing manual tasks with digital solutions. This solution is estimated to have engineering effort savings of around 10,000 hours during the first year.
Best Example of Digital Innovation: Evoilve, for the excellent work that has come from Evoilve’s COLLABWELLS Well Integrity Management software which has ushered in a new era of efficiency, collaboration and automation within the oil and gas industry.
Best Example of Well Integrity Innovation: EV, prevailing as champion through its award-winning innovation that is the world’s only integrated array video and phased array ultrasound scanning tool.
Best Example of Decom Innovation: Oceaneering, which took home the crown for designing, building and operating an ROV-based annular access methodology based on multi-string hot tapping to mitigate against annular gas and avoid HSE risk in a wellhead severance campaign for a major operator in Southeast Asia.
OWI Global Awards: Significant Contribution to the Industry: Jørgen Hallundbæk, accepted by Cristian Kruger. After our community bid a sad farewell to an individual who has contributed so much towards its progression, the final iteration of this award was presented to Jørgen Hallundbæk, a worthy winner whose legacy will continue to shine through his formidable work and family and friends. To honour his impact, this year saw the first presentation of the ‘Jørgen Hallundbæk Lifetime Achievement’ award which will continue to honour visionaries within the industry.
Jørgen Hallundbæk Lifetime Achievement: Tom Brighton, claiming the prestigious accolade for his 37 years of service and dedication. With an unrivalled portfolio, Tom Brighton has imparted the best practice methods and increased operation standards to the well discipline across the globe and was a worthy winner of the new award!
Thank you to everyone for attending and we look forward to another year of seeing our network push the boundaries of engineering excellence and driving the wider offshore community forward!
Plexus Holdings PLC, an AIM quoted oil and gas engineering service business, has announced a rental contract award for Exact Adjustable Wellhead and Centric Mudline Suspension Equipment with Neptune Energy UK.
The contract is for Adjustable Surface Wellhead equipment and Mudline Tooling to allow for the permanent abandonment of a UK North Sea well, with operations planned to commence during Q2 2024.
Plexus’ CEO, Ben Van Bilderbeek, commented, “The number of wells that must be permanently plugged and abandoned is fast growing, particularly in mature offshore locations such as the North Sea. We are therefore delighted that Plexus’ reputation is strengthening within this sector, and that our range of customers is broadening.
“Furthermore this contract continues our progress back into Adjustable Wellhead and Mudline equipment market as an expert in this field and ‘go-to’ company for this type of equipment.”
The contract is valued in excess of £175,000 and is an example of the growing rental wellhead market for jackup rigs engaged in plug and abandonment operations.
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.”
Baker Hughes has been awarded two contracts from Vår Energi in order to expand its regional presence in the North Sea for exploration logging, well intervention technology and subsea production systems.
The first contract is a nine-year engagement that will utilise Baker Hughes’ well intervention capabilities gained through the acquisition of Altus Intervention back in April.
Alongside the intervention scope, Baker Hughes will supply all exploration logging solutions to help Vår Energi further develop its prospects on the Norwegian Shelf. The contract allows for a seamless integration of Baker Hughes’ technologies into the wider operations of Vår Energi, enabling a powerful impact of its efforts to reduce carbon emissions.
The second contract is for the delivery of a bespoke Balder field vertical tree system, a Baker Hughes’ specialist technology suitable for the complexities of this field. The agreement will span 15 years, and includes the support for existing Balder legacy wells and future developments in the Balder area.
Maria Claudia Borras, Executive Vice President, Oilfield Services & Equipment at Baker Hughes, said, “Baker Hughes has an extensive and successful history of creating value for customers in Norway and the North Sea. The two long-term contract awards from Vår Energi enable us to deploy our superior portfolio not only in well intervention, but also in exploration logging and subsea production.
“Combining our technology, our exceptional regional expertise, and our dedication to a world-class customer experience ensures successful outcomes for both companies.”
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.”
WSG has announced it has sold its well intervention division and will use the funds to lay the foundation for a period of international expansion for the rebranded WSG Energy Services (WSGES).
WSGES has diverted its traditional well intervention offerings and will now primarily focus on growing its market share in Process, Pipeline & Industrial Services (PPIS). The business will retain its global footprint with a strong presence in the UK, mainland Europe, Asia and Australia, with its next objective to establish a permanent position in the North American market to capitalise on the success of recent projects.
Proceeds of the well intervention division, which was sold to Excellence Logging (Exlog), a provider of oilfield services, will be used to fund further acquisitions and maintain R&D for refining the company’s emissions management processes and technologies, which are currently in high demand.
Founder Geert Prins will remain an integral part of WSGES’ C-suite as Chairman, while Andrew Burrell continues in the role of CEO.
“Under Geert Prins’ stewardship, WSG’s well intervention division evolved into a successful international well services provider to the energy sector and we are confident that business will thrive under its new ownership,” said Burrel.
“WSGES’ wide range of skills sets and our well established commitment to R&D opens up significant opportunities in energy transition, and we know there is industry-wide interest in our innovative emissions management capabilities, which is an area in which we will continue to invest.”
Chairman Geert Prins continued, “This is part of the natural evolution of the business I set up in 2005, and Phase Two of our success story is in the very capable hands of Andrew Burrell and a highly experienced international management team.”
“Diversification into alternative sectors and developing new products which address emissions management – something the energy sector is committed to – will drive future growth and we have some very exciting developments in the pipeline.”
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."
Odfjell Technology, an integrated supplier of offshore drilling, well and engineering services, has achieved an industry-first for cleaning blowout preventers (BOPs) by reaching a 50% time reduction during a successful trial.
Odfjell Technology, over a test period of six months, revised the procedure for cleaning the BOP on the Johan Sverdrup platform in Norway by increasing the pump rate to allow more water flow into the BOP cavities to aid debris removal.
The annular and variable rams were flushed with two passes at the new recommended flow rates to remove debris, then the BOP stack was flushed at the same rate using Odfjell Technology’s RizeRdillo Advanced Jetting Tool. The flow rates went from 1,500 litres per minute (LPM) to 5,500LPM while flushing the annular and from 3,000LPM to 5,500LPM while flushing the BOP.
Results from the successful test period proved that no damage occurred to the BOP and annular with the recommended pump rates, and between six and 12 hours of time could be saved using this new procedure.
The RizeRdillo Advanced Jetting Tool allows for higher pump flow rates, enabling a larger volume of fluid with less pump pressure. This maximises riser cleaning efficiency to reduce operating costs and non-productive time.
Ian Low, Global Product Line Manager, Well Intervention at Odfjell Technology, commented, “By focusing on delivering world class expertise and technology which enables more efficient operations without compromise on safety, Odfjell Technology proves it is the partner of choice for customers time and again.
“Our ethos has been demonstrated by our expert teams achieving this impressive industry-first result for cleaning BOPs. BOPs are essential for safe and efficient well operations, and we are proud to deliver leading solutions to our customers to ensure BOPs are operating at optimal levels.”
Archer has announced the award of a five-year contract for the provision of coiled tubing and pumping services with Perenco UK Limited in the United Kingdom.
The contract, with an estimated value of up to US$50mn, contains two options of one year each and commenced 3 May 2023 in direct continuation of company's previous contract with Perenco.
Dag Skindlo, CEO of Archer, commented, “We are extremely proud to announce this long-term coiled tubing and pumping contract. This commitment reflects our client’s confidence in our ability to maintain safe operations and continue our strong service delivery performance.
“Archer announced the acquisition of the Baker Hughes UK Coiled Tubing business early in 2023 and assumed operations from 4 April. We have successfully transitioned the business and have a dedicated Archer Coiled Tubing team of 50 experienced and skilled employees performing safe and efficient services in the UK.
“We look forward to continuing growing the Archer service offering in the UK and bringing value to our clients’ P&A, workover, and intervention programmes.”
TechnipFMC has been awarded a significant contract by Equinor to provide riserless light well intervention (RLWI) services on the Norwegian Continental Shelf.
The two-year contract (valued between US$75 and US$250mn as per TechnipFMC’s definition of significant) runs from 2024 to 2025, with options to extend for each of the three subsequent years. TechnipFMC will provide production enhancement, production data, and pre-plug-and-abandonment services to Equinor using the RLWI method.
RLWI enables well interventions from a monohull vessel, eliminating the need for a riser and the rig required to connect the riser to the subsea well. Instead, remotely operated Well Control Systems are used to facilitate operations on the seabed. This reduces cost and complexity, increases efficiency, and accelerates the timeframe for increased production.
Jonathan Landes, President, Subsea at TechnipFMC, commented, “TechnipFMC has been providing RLWI services to Equinor since 2006. Over that period, the average duration of an intervention has been reduced by nearly two-thirds thanks to improvements in process and technology, aided by the collaborative relationship with Equinor’s dedicated RLWI team. It is a pleasure to continue developing that relationship as we help our client meet demand for energy.”
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