Brazil: Dresser Rand to Equip 8 FPSOs with Compression Equipmen

Dresser-Rand Group Inc. , a global supplier of rotating equipment and aftermarket parts and services, has been awarded compression equipment and services valued at more than $700 million by TUPI B.V. (Petrobras 65% and operator, BG Group 25%, Petrogal Brasil S.A – Galp Energia 10%) and GUARA B.V. (Petrobras 45% and operator, BG Group 30% and Repsol-Sinopec 25%).

The equipment, which includes up to 80 DATUM compressor trains, will be installed on eight (8) “replicant” floating, production, storage and offloading (FPSO) vessels. Six of these vessels will be located in the Lula field (formerly known as Tupi) and two in the Guara field. Training, aftermarket services and two 10-year maintenance contracts are also included as part of the award.

According to Vincent R. Volpe Jr., Dresser-Rand’s President and CEO, “We are proud to announce this significant award, and, more importantly, appreciative of the confidence that Petrobras and its partners have placed in us to supply all the compression trains for all services on these eight FPSOs. We believe that this is a clear statement by a highly respected Client of their confidence in our Company’s technology, execution capability and ongoing technical and field support. The award for all of the compression trains on this project reflects our Company’s strength of offerings in the Upstream Segment, which we project will be the largest area of growth in the Oil and Gas markets in the coming years.”

According to Jesus Pacheco, Dresser-Rand’s executive vice president, New Equipment Worldwide, “We believe in the value proposition our technology can bring to our end user Clients in this market. On this program, we bring proven leading-edge technology to increase the throughput, maintainability and reliability of these key assets. Building on previous compression solutions we have delivered for the Petrobras Pilot I, II and III FPSOs, we again eliminated the need for additional topsides equipment, specifically, separate CO2 pumping systems, saving space and weight, reducing the complexity of the overall plant, while increasing reliability. As the sole solutions provider for all topsides compression equipment, we are able to ensure all services are fully integrated to optimize overall plant operability. In addition, we have also maximized standardization of spare parts, maintenance practices and control systems to reduce inventory and maintenance costs.

“It is also important to note the positive impact this technology has on making these assets more environmentally sustainable. Higher compressor efficiencies possible by the use of our DATUM product line reduce the carbon footprint of these FPSOs as they require less power to meet the specified duties. With higher efficiency, better maintainability and higher reliability, and a smaller carbon footprint, we directly contribute to reducing the life cycle costs of the assets, which makes our Clients more competitive in the markets they serve.”

Consistent with the Company’s commitment to support localization initiatives in its served markets, a high portion of added value on this program will be performed in Brazil. This will include sourcing, project management and engineering, further development of local service support capabilities and packaging in a newly planned facility in the Industrial Corridor near Sao Paulo, which will further expand the Company’s in-country service capabilities.

On September 6, 2011, Dresser-Rand disclosed that it had been selected as the supplier for all the compression needs of these FPSOs. However, at the time, the Company cautioned that any actual award remained subject to the approval of Petrobras’ Board of Directors and its Partners. Those approvals have now been obtained. More than $400 million and $70 million will be reflected in its third quarter 2011 New Units and Aftermarket bookings, respectively. The Aftermarket booking amount is consistent with the Company’s accounting policy to only book the portion of the Aftermarket orders that will be delivered in the first 15-months of long-term service agreements.

On the basis of this project the Company reiterates its guidance that the new unit bookings for 2011 may be at the top end of, or even exceed, the guidance previously provided of $1.4 to $1.6 billion.

Original Article

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Modec Receives FPSO Order from Petrobras, Brazil

MODEC announced today that Petróleo Brasileiro S.A. (“Petrobras”), through its subsidiary Tupi B.V., on behalf of Consortium BM-S-11, has signed a Letter of Intent (LoI) for the supply, respectively, charter, and operations of a Floating, Production, Storage, and Offloading (FPSO) vessel for the BM-S-11 block (Cernambi South) in the giant “pre-salt” region of the Santos Basin with its water depth of 2,300m.

The BM-S-11 block is under concession to a consortium formed by Petrobras (65%), BG Group​ (25%), and Petrogal Brasil S.A – Galp Energia (10%).The LoI was issued to the Schahin Group and MODEC, Inc., who have partnered for the latest leased FPSO. This is the second venture between the Schahin Group and MODEC, Inc.

The Schahin Group and MODEC, Inc. are responsible for the engineering, procurement, construction, mobilization, and operation of the FPSO, including topsides processing equipment as well as hull and marine systems. SOFEC will design and provide the spread mooring.

MODEC will convert the VLCC Sunrise J into the FPSO Cidade de Mangaratiba MV24. The FPSO will be capable of processing 150,000 barrels of oil per day, 280 MM standard cubic feet of gas per day and has storage of 1,600,000 barrels of total fluids. Scheduled for delivery during the 3rd quarter of 2014, the FPSO will be installed in the Cernambi South area.

This is the eighth vessel MODEC will provide and operate in Brazil. MODEC is currently operating the FPSO Fluminense, the FPSO Cidade do Rio de Janeiro MV14, the FSO Cidade de Macae MV15, the FPSO Cidade de Niteroi MV18, the FPSO Cidade de Santos MV20 and the FPSO Cidade de Angra dos Reis MV22. The FPSO Cidade de Sao Paulo MV23 is currently under construction and scheduled to be installed in the fourth quarter of 2012.

“We are very happy to be awarded the third vessel for the pre-salt discoveries. And we are committed to carry out the project by maximizing Brazilian local content in order to contribute to the foundation for the development of heavy industry in Brazil,” said Toshiro Miyazaki, President and CEO of MODEC, Inc.

The Schahin Group has a significant presence in the drilling services market and has been working with Petrobras Group and Consortia of which Petrobras has been participating since 1982. The Schahin Group is pleased to expand in to production services via the partnership with MODEC and Petrobras Group and Consortia in which Petrobras participates.

Original Article

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The Making of FPSO TGT 1

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Uploaded by MrAnagnorisis on Jun 11, 2011

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SPECIAL REPORT: Study expects 120-175 more floating production units during next 5 years

FPSO

May 2, 2011

Jim McCaul
International Maritime Associates
Washington, DC

In its recent analysis of floating production systems, International Maritime Associates, Washington, forecast the petroleum industry will add 120-175 new units during the next 5 years.

The study found that currently there are 250 units in operation or available, more than double the number of units 10 years ago.

Included in the total are 12 units off field and being remarketed. Eleven of these are floating production, storage, and offloading (FPSO) vessels and one is a production semisubmersible. The overall utilization rate for available production floaters is 95.2%.

FPSOs account for 62% of the current production floater inventory. The balance consists of production semis 17%, tension leg platforms 9%, production spars 7%, and production barges and LNG storage-regasification vessels 5%.

Petroleo Brasileiro SA (Petrobras) clearly dominates, with 43 FPSOs in operation or on order, having a combined processing capacity of 5.1 million bo/d. China National Offshore Oil Corp. Ltd. (CNOOC), ExxonMobil Corp., Total SA, Chevron Corp, Eni SPA, BP PLC, Royal Dutch Shell PLC, and Malaysia’s Petronas are next in line. These nine operators account for 61% of FPSOs and 72% of oil processing capacity installed on FPSOs. Fig. 1 breaks out by company the number of FPSOs in service and on order.

Orders

Order backlog on Mar. 31, 2011, stood at 47 units, of which there are 35 FPSOs, 6 production semis, 3 tension leg platforms, and 3 floating storage-regas units. Twenty-four of these units will have purpose-built hulls and the remainder will have converted tanker hulls. When delivered, new production floaters will increase operating inventory by 20% over the next several years.

Almost half of the units on order are for use off Brazil. Southeast Asia, West Africa, Northern Europe, and the Gulf of Mexico are other major destinations for units on order. Production floaters currently are being built or converted at 28 facilities worldwide. Asia is the major location for fabrication and conversion. But Brazil is becoming an increasingly larger player and is now the second largest fabrication center for floating production systems.

Planned projects

The study identified 194 projects in planning that likely will require a floating production system for development. Fifty-five of these projects are at bidding or final design, with equipment orders likely during the next 12 to 18 months. Another 139 projects are in planning or study, with orders likely in 2013-19.

Brazil is the most active region for new floater projects. The study identified 47 projects in planning in Brazil. Some of these projects involve multiple floating production systems of up to 6 units in one major project.

West Africa is the second largest region for planned projects, followed by Southeast Asia, Northern Europe, the Gulf of Mexico, and Australia-New Zealand. Fig. 2 shows where these units will be deployed.

Forecast

Overall, the study expects orders for production floaters to average 24-35 units/year during the next 5 years. About 80% of them will be FPSOs; redeployment of existing units will satisfy 15-20% of new FPSO projects.

The study expects about 30% of the FPSOs to be large units similar to CLOV off Angola, Skarv off Norway, and P-62 off Brazil. Another 30% will be midsize units such as Cidade de Sao Paulo off Brazil, Kwame Nkruma off Ghana, and Pyrenees Venture off Brazil. The balance will be small units such as Gimboa off Angola, Montara Venture off Australia, and Cidade de Santos off Brazil.

The capital expenditures required for these floater orders may total $80-115 billion between 2011 and 2016. The forecast range reflects three potential crude oil pricing scenarios. The base scenario assumes oil stays in the $90-110 range, a price range the futures market sees most likely over the foreseeable future.

Long-term outlook

Future growth indicators in the floating production sector are positive. Global demand for oil continues to grow, the market is again threatened by Middle East and North Africa supply disruptions, oil prices have pierced $100, and virtually every major field operator has announced plans to increase offshore exploration and development expenditures.

Deepwater fields are among the major sources of hydrocarbons yet to be found or developed. While no one knows the full extent of deepwater potential, the magnitude undoubtedly is huge.

In Brazil alone, estimates place deepwater presalt resources at 70 billion boe, a figure likely to grow as companies confirm more finds. Some estimates see deepwater resources offshore Brazil, West Africa, and elsewhere providing almost 14 million boe/d by 2030, more than double the current contribution to global supply. Importantly, drillships and semisubmersible drilling rigs now being built will add 38% to available deepwater drilling capacity.

A shortage of available rigs has constrained exploration and development. More rigs looking for oil result in greater number of finds and ultimately greater demand for additional floating production systems.

Overall, growth in the floating production sector has lots of room to run. There are no indications of the market slowing. Rather, demand for new systems is accelerating.

The author

James R. McCaul (imaassoc@msn.com) is president of International Maritime Associates Inc., which he established in 1973. Before forming IMA, he was member of the faculty of Webb Institute of Naval Architecture. McCaul holds a PhD in economics from the University of Maryland, an MS in business administration from Pennsylvania State University, and a BS in marine science from the State University of New York.

Original Article

The Netherlands: SBM Offshore Wins Contract for FPSO Oil Offloading System Supply

SBM Offshore announces that the company has signed a contract relating to the Deep Water Oil Loading System required as part of an oil field development offshore West Africa.

The scope of work for SBM Offshore consists of:

• *the engineering, procurement and supply of Oil Offloading Lines (OOL) and Fiber Optic Cables to be suspended between a FPSO and its Deep Water Export Buoy; the OOL will be based on the TrellineTM, a large diameter reinforced bonded rubber hose concept jointly developed between SBM Offshore and Trelleborg and previously supplied as part of various existing offshore developments;
• *the offshore installation of the complete Oil Loading System (including the Deep Water Buoy) in the second half of 2013, using the Company’s installation vessel ‘Normand Installer’.

SBM Offshore N.V. is a pioneer in the offshore oil and gas industry. Worldwide, SBM Offshore has over 5,000 employees representing 47 nationalities, and ix present in 15 countries. SBM’s activities include the engineering, supply, and offshore installation of most types of offshore terminals or related equipment. In addition, SBM Offshore owns and operates its own fleet of Floating (Production) Storage and Offloading units. SBM Offshore has a track record of developing innovative, cost-effective solutions for the ever-changing needs of its Clients.

Original Article

Singapore: Sembcorp Signs MOA with Ecospec to Provide Green Solutions to Offshore Industry

Sembawang Shipyard, a wholly-owned subsidiary of Sembcorp Marine has signed a Memorandum of Agreement (MOA) with Ecospec Global Technology to provide customized and greener environmental solutions to the marine and offshore industry.

In anticipation of the huge demand for green environmental solutions to meet international and local regulations, this MOA will provide both companies with the capability to serve this demand and at the same time play a role in enhancing environmental protection. The objective of this partnership is to tap on the forte of both parties: Sembawang Shipyard’s design and engineering expertise and Ecospec’s technological developing capabilities to provide ship-owners with innovative and effective green solutions for complying with stringent international and local regulations. Ecospec which is an enterprising Singapore-based research and development technological company is a market leader in advance emission reduction and environmental technologies with an international presence and numerous technology patents to its name. Ecospec has developed the world’s first emission abatement technology, CSNOx capable of removing SOx, CO2 and NOx in one system and yet the quality of wash water surpasses all IMO criteria, thus not resulting in secondary pollution. To cater to shipowners’ emission reduction goals, different versions of CSNOx have been developed: cSOx, a system primarily to address the SOx issue but achieve at a carbon neutral position and CNOx, a system to take care of NOx emission and again at a carbon neutral position.

Apart from different versions of CSNOx, Ecospec has also developed other systems to provide green, non-chemical solutions for bio-fouling control with its BioMag system; corrosion control, ElMag system; boiler water treatment, ScaMag.

To showcase the variety of these revolutionary systems already developed or to be developed, a new state-of-the-art demonstration site will be erected in Sembawang Shipyard, in a simulated operating condition.

Both companies are confident that the strong co-operation will lead to their increased competitiveness in the marine and offshore industry.

Signing ceremony: (from left) Sembawang Shipyard’s Executive Director Ms Wong Lee Lin and Managing Director Mr P.K. Ong,

with Ecospec Global Technology’s Managing Director Mr Chew Hwee Hong, and General Manager Ms Tany Tay.

About Sembawang Shipyard

Sembawang Shipyard, a wholly owned subsidiary of Sembcorp Marine, has one of the largest integrated ship repair facilities in Southeast Asia. The shipyard’s world-class reputation is based on the company’s commitment to high quality standards, Health, Safety and Environment standards, timely delivery, superior customer service and innovative solutions.

Besides its proven expertise in the sectors of tankers, bulk carriers and container / cargo vessels, the shipyard is also recognised as a specialist in the niche markets such as passenger ship conversion / upgrading/ repairs, LNG carrier repairs, FPSO conversion, offshore conversion and new building, damage repairs and repair of chemical tankers, liquefied gas carriers and navy ships.

In July 2002, Sembawang Shipyard became the first shipyard in South East Asia to achieve ISO14001 Environmental System Certification by Det Norske Veritas Ltd. The certification is a firm endorsement of the shipyard’s commitment and efforts towards environmental preservation and protection.

About Ecospec Global Technology

Ecospec is a Singapore technological company that researches and develops cost-effective solutions to environmental issues in the marine and onshore industries. Founded in 2001, Ecospec has since established itself as a pioneer and global market leader in advanced emissions abatement and environmental technologies with a worldwide presence and numerous technology patents.

( Original Article )

offshoreenergytoday.com

Singapore: Keppel Enters FPSO Upgrade Contract with Petrofac

Keppel Shipyard announces it has secured a fast-track project for the upgrading of a FPSO vessel from Petrofac International (UAE) LLC, a subsidiary of Petrofac. The upgrading of the ex-FPSO East Fortune includes refurbishment and life extension works, engineering, fabricating, installing and integrating new topside process modules, upgrading of spread mooring and auxiliary support systems.

Work has commenced in 1Q 2011. Designated for an oil and gas field offshore Peninsular Malaysia, this FPSO facility will be able to handle both oil and gas production.

Keppel O&M, a wholly-owned subsidiary of Keppel Corporation Limited, is a leader in offshore rig design, repair and construction, ship repair and conversion and specialised shipbuilding. Its near market, near customer strategy is bolstered by a global network of 20 yards in the Asia Pacific, Gulf of Mexico, Brazil, the Caspian Sea, Middle East and the North Sea regions. Integrating the experience and expertise of its yards worldwide, the group aims to be the provider of choice and partner for solutions for the offshore and marine industry.

As earlier announced, Keppel has also entered contract with SBM offshore for the construction of new multi-purpose dive support construction vessel.

Mr Nelson Yeo, Managing Director (Marine) of Keppel O&M, said, “These new contracts reflect the confidence of our customers in the capabilities of the Keppel O&M group. We are proud of the solid partnerships built with faithful customers who turn to our yards worldwide for their fleet expansion and upgrading needs.

“Looking ahead, I am confident that we will continue to strengthen the mutual trust and partnership with SBM Offshore and Petrofac with Keppel’s commitment to quality and reliability.”

About Keppel O&M

Keppel O&M, a wholly-owned subsidiary of Keppel Corporation Limited, is a leader in offshore rig design, repair and construction, ship repair and conversion and specialised shipbuilding. Its near market, near customer strategy is bolstered by a global network of 20 yards in the Asia Pacific, Gulf of Mexico, Brazil, the Caspian Sea, Middle East and the North Sea regions. Integrating the experience and expertise of its yards worldwide, the group aims to be the provider of choice and partner for solutions for the offshore and marine industry.

( Original Article )

offshoreenergytoday.com

The Greater Chinook Area

The Chinook area consists of two gas and condensate fields, Chinook and Cascade, located in the Gulf of Mexico, tied-back to the Chinook FPSO. Currently, both fields are being developed, with production expected to commence in the latter part of 2010.
Chinook
The Chinook field – in Walker Ridge Blocks 469 and 452 – is located in the outer continental shelf of the Gulf of Mexico. The field is situated about 160 miles (257 kilometers) south of the Louisiana coast in 8,200 feet of water (2,500 meters.) It is 66.67% owned and operated by Petrobras America Inc. and 33.33% owned by Total E&P USA, Inc.
The Chinook discovery defined a new hydrocarbon trend in the Gulf of Mexico’s ultra-deepwater. The hydrocarbon bearing sandstones are similar to the Wilcox Group (Eocene-Paleocene) level, which is a prolific producing sediment onshore Gulf of Mexico.
In 2000, BHP drilled on the Chinook well in Walker Ridge Block 452, but encountered a sand-poor Miocene section, which they plugged and considered a dry hole. Experiences from surrounding wells concluded the drill still had to go 500 feet (152 meters) deeper in Chinook to the untested Wilcox section. In June 2003, they went back and drilled again. After drilling to 27,652 feet (8,428 meters) and referring to the Wilcox experience, BHP hit a discovery. Chinook is expected to turn into a world-class petroleum system in the deepwater GOM.
Field Development
The discovery well was drilled in January 2003 using the BHP Billiton operated drillship C.R. Luigs. Field development plans for both of the fields include the use of the first FPSO in the GOM in the deepest waters to date, roughly 8,250 feet (2,515 meters) of water.
Technip received two contracts worth US $300 million for the development of the Cascade and Chinook gas fields. The first contract entails the engineering, procurement, construction and installation of five freestanding hybrid riser systems for both fields. The second contract covers the installation of Cascade’s infield flowlines and gas export pipeline, as well as the welding of steel pipelines, the design and fabrication of 10 PLET and two in-line tees, and the installation of the pipelines and associated structures.
Petrobras America Inc. selected BW Offshore Limited for the conversion, installation and operation of the FPSO at the Chinook field. Field development will include an APL disconnectable Submerged Turret Production Buoy (STP) including fluid swivel and the appurtenant mooring system, enabling the FPSO to disconnect from its moorings and seek sheltered waters in a hurricane situation with minimum disruption to operations. BW Offshore is expected to install the FPSO in 2010, and production start-up is slated for the first quarter of 2010.
Measuring 241 meters long, 42 meters wide and 20.4 meters tall, the FPSO has a storage capacity of 500,000 barrels of oil, with a maximum production rate of 80,000 bop/d and 460,000 MMcf/d (13,026 MMcm/d). The vessel will be installed in a water depth of 2,500 meters.
Oil will be transported from the fields in shuttle vessels to terminals along the Gulf Coast from Texas to Mississippi, and gas will be exported through gas export pipelines. The development concept of Chinook was to be flexible in order to enable multiple developments for future phases.
Estimates of production capacity are 80,000 barrels of oil.
Cascade
Located on Walker Ridge Blocks 205, 206, 249 and 250, the Cascade gas and condensate field was discovered on Jan. 31, 2002. Situated in a water depth of 8,200 feet (2,499 meters), the field is wholly owned and operated by Petrobras.
Drilled to a total depth of 27,929 feet (8,513 meters) by the drillship C.R. Luigs, the discovery well encountered more than 450 feet (137 meters) of net pay in the lower Tertiary trend. In 2005, two additional delineation wells were drilled and encountered 200 feet (61 meters) and 500 feet (152 meters) of net pay, respectively.
Cascade will have several subsea wells tied-back to the FPSO, which is located on the Chinook field. Production is expected to commence in the June or July 2010.

Source

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