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Chairmen Anticipate

milestone event
n As OTC turns 45, middle age does not seem to be slowing it down.
n
ow entering its 45th year of existence, the Ofshore
Technology Conference continues to be one of the
biggest and most impressive energy conferences in the world.
With a full slate of technical presentations, breakfasts and
luncheons, plenary discussions and more, combined with an
enormous exhibition of the best technology the ofshore in-
dustry has to ofer, the show is truly a remarkable feat. And
it takes true dedication to pull something like this of.
Afer serving as vice chairman for
the last two years, Ed Stokes took
the reins of the chairmanship at the
closing of the 2013 conference. His
excitement about the upcoming
conference is palpable.
OTC today isnt just the plan-
ning for and the annual execution
of the conference in Houston. It is
the management of four global con-
ferences, Stokes said. And while Im very excited about
the technical program and exhibition we have in store this
year, we are also celebrating our
45th anniversary. Im excited about
the anniversary since it signifes and
confrms the great vision that the
people who created OTC had in the
late 60s. Furthermore, it shows that
the collaborative model among en-
gineering and geoscience societies
and trade organizations is still meet-
ing the needs of our society mem-
bers, exhibitors and attendees.
For Stokes, the transition from vice chairman to chairman
has been signifcant. In his vice chairman role, he mostly
served in a supportive role. Now hes the one leading the team.
Im now the one out in front and the one leading and
making many decisions for the organization, he said. As
chairman of the board, you become the point of focus
both internally and externally. Its humbling to have the
faith and support of my fellow board members.
By rhonDA DuEy
By mArk ThomAS
Along with bringing large,
complex new projects on
stream, the global ofshore in-
dustry also fnds itself dealing
with soaring costs at a time of
profound change. As a result,
the need for new and enhanced
technologies and solutions, as
well as better procedures for utilizing standardized
equipment where possible, remains paramount.
With cost infation having directly caused some oil
companies to stallbut crucially, not cancelsome
of their largest projects while they trim their capex
fgures with down-sized or simpler development al-
ternatives, it is likely to be one of the major talking
points at OTC, the worlds premier ofshore oil and
gas event.
Whenever the purse strings are tightened in the
ofshore industry, talk also turns to the need for com-
panies to not cut too deeply, especially where inno-
vation and R&D activity is concerned.
Its no accident, therefore, that much of this years
OTC conference program refects many of these top-
ics and more. With panel sessions on subjects rang-
ing from the impact of the North American
unconventional play revolution on the deepwater in-
dustry, to how best to fund new E&P technologies,
there will be something for everyone at Reliant Park
in Houston.
With a forecast record global E&P spend for 2014
of $723 billion, compared to $682 billion last year
(according to Barclays annual industry survey), the
ofshore industry currently retains a major slice of
that pie.
But the nature of this business can change remark-
ably quicklyfor example, deepwater and shale are
two capital-intensive but booming sectors. However,
the latter is expected to represent 25% of total global
E&P spend by the year 2020and that may mean ap-
propriating investment funds currently allocated
elsewhere, including the ofshore sector.
Industry to Come
Together for 45th
Annual OTC
n 2014 conference brings worlds ofshore talent together to network
and innovate for the future.
F
orty-fve years ago Te Beatles played their fnal con-
cert and recorded their last album, Abbey Road. It
was also the year of the frst OTC.
Tis year, as OTC celebrates its 45th anniversary, it
welcomes thousands of attendees from all over the world
to Houston and pays homage to Te Beatles and 1969 by
using a No. 1 hit from the bands Abbey Road album as
its theme: Come Together. We provide the venue and
unique opportunities for leaders,
engineers, scientists, professionals,
manufacturers, investors and entre-
preneurs to come together to see
the state of the art of our industry
and explore new opportunities,
said Doreen Chin of Shell, this
Industry in
Transition
n Te past year has seen the global
ofshore industry bring on stream
some of the largest and most complex
projects ever attempted.
See ChAIRmeN
continued on page 46
See PROgRAm
continued on page 46
See TRANSITION continued on page 46
OTC2014
SM
www.otcnet.org/2014 Monday, May 5 | Houston, Texas
| THE OFFICIAL 2014 OFFSHORE TECHNOLOGY CONFERENCE NEWSPAPER | DAY 1
Ed Stokes
Doreen Chin
Joe Fowler
By Amy LogAn
3 oTC ShoW DAILy | mAy 5, 2014 | PrEVIEW
SChEDuLE
oF EVEnTS
SM
editorial Director
Peggy Williams
e&P group managing editor
Jo Ann Davy
editor In Chief
mark Thomas
executive editor
rhonda Duey
Senior editor, Drilling
Scott Weeden
Senior editor, Offshore
Jennifer Presley
Senior editor, Production
Amy Logan
Chief Technical Director,
Upstream
richard mason
Associate managing editor,
Special Projects
mary hogan
Associate managing editor, e&P
Bethany Farnsworth
Associate Online editor
Velda Addison
Assistant editor
Ariana Benavidez
Contributing editors
Ian Anderson
John Drew
neil golding
Eivind gransaether
kyle S. graves
William head
Delimar Cristobal herrera
Ashley organ
Dr. Bjorn Paulsson
Steve Sasanow
mJ Selle
John Spain
Carsten Thgersen
Paul Walters
Corporate Art Director
Alexa Sanders
Senior graphic Designer
James grant
Production Director
& Reprint Sales
Jo Lynne Pool
Director of
Business Development
Eric roth
Vice President,
group Publisher, e&P
russell Laas
hART eNeRgy LLLP
President and
Chief Operating Officer
kevin F. higgins
Chief executive Officer
richard A. Eichler
The oTC 2014 Daily is produced for oTC
2014. The publication is edited by the
staff of hart Energy. opinions ex-
pressed herein do not necessarily
reflect the opinions of hart Energy or
its affiliates.
hart Energy
1616 S. Voss, Suite 1000
houston, Texas 77057
713-260-6400
main fax: 713-840-8585
Copyright may 2014

hart Energy Publishing LLLP


monday, may 5
7 a.m. to 5 p.m. ........................................registration
7:30 a.m. to 9 a.m. ...................................Topical/Ethics Breakfast
8 a.m. to 4:30 p.m. ...................................The next Wave Program
9 a.m. to 10 a.m. ......................................Coffee
9 a.m. to 5 p.m. ........................................university r&D Showcase
9 a.m. to 5:30 p.m. ...................................Exhibition
9:30 a.m. to 12 p.m...................................Technical Sessions
12:15 p.m. to 1:45 p.m. .............................Topical Luncheons
2 p.m. to 4:30 p.m. ...................................Technical Sessions
3 p.m. to 4 p.m. ........................................happy hour
4 p.m. to 5 p.m. ........................................Spotlight on new Technology Presentation
4 p.m. to 6 p.m. ........................................networking Event: Women in the Industry
Sharing Experiences (WISE)
Tuesday, may 6
7:30 a.m. to 5 p.m. ...................................registration
7:30 a.m. to 9 a.m. ...................................Topical/Industry Breakfasts
9 a.m. to 10 a.m. ......................................Coffee
9 a.m. to 5 p.m. ........................................university r&D Showcase
9 a.m. to 5:30 p.m. ...................................Exhibition
9:30 a.m. to 12 p.m...................................Technical Sessions
12:15 p.m. to 1:45 p.m. .............................Topical Luncheons
2 p.m. to 4:30 p.m. ...................................Technical Sessions
3 p.m. to 4 p.m. ........................................happy hour
4 p.m. to 6 p.m. ........................................networking Events:
mexico Energy reform: Transforming the Industry
E&P major Projects: Improving Project Success
Wednesday, may 7
7:30 a.m. to 5 p.m. ...................................registration
7:30 a.m. to 9 a.m. ...................................Topical/Industry Breakfasts
9 a.m. to 10 a.m. ......................................Coffee
9 a.m. to 5 p.m. ........................................university r&D Showcase
9 a.m. to 5:30 p.m. ...................................Exhibition
9:30 a.m. to 12 p.m...................................Technical Sessions
12:15 p.m. to 1:45 p.m. .............................Topical Luncheons
2 p.m. to 4:30 p.m. ...................................Technical Sessions
3 p.m. to 4 p.m. ........................................happy hour
4 p.m. to 6 p.m. ........................................networking Events: Innovations Across
the Pacific rim
6 p.m. to 8 p.m. ........................................45th Anniversary Celebration Concert
(doors open at 5:30 p.m.)
Thursday, may 8
7:30 a.m. to 2 p.m. ...................................registration
7:30 a.m. to 9 a.m. ...................................Topical/Industry Breakfasts
7:30 to 3 p.m............................................Energy Education Institute: Teacher Workshop
8:30 a.m. to 1:30 p.m................................Energy Education Institute:
high School Student STEm Event
9 a.m. to 10 a.m. ......................................Coffee
9 a.m. to 2 p.m. ........................................Exhibition
9 a.m. to 2 p.m. .......................................university r&D Showcase
9:30 a.m. to 12 p.m...................................Technical Sessions
12:15 p.m. to 1:45 p.m. .............................Topical Luncheon
2 p.m. to 4:30 p.m. ...................................Technical Sessions
4 p.m. to 5 p.m. ........................................oTC Closing reception
OTC2014
4 PrEVIEW | mAy 5, 2014 | oTC ShoW DAILy
Technology Awards highlight Diversity of Innovation
n Twelve winners will be recognized at Monday afernoon ceremony.
T
he ofshore industry is driven forward by develop-
ments in all areas of E&P. Innovation in geophysics
or rig design alone will accomplish very little without the
other, and the same goes for each industry segment from
exploration to completions. As the industry continues
to move into new and harsher environments, its as im-
portant as ever that new milestones are reached for
tools across the spectrum. The industry is striking out
into deeper waters and deeper horizons, said Moe Plai-
sance, Spotlight Award committee chair. Without in-
novation, we go nowhere and dont meet the goals we
have for the industry.
For the past decade, OTC has recognized the most in-
novative technologies each year that are leading the in-
dustry into the future with the Spotlight on New Tech-
nology Awards. Tis years winners refect the variety of
important tasks the industry faces and the great strides
being taken by a range of companies.
Te great thing about the entries and winners this
year is the diversity, Plaisance said. Tey covered a huge
range of technologies from drilling technology to pro-
duction technology to seismic technology.
Winners were chosen by a committee made up of rep-
resentatives from the OTC board and program commit-
tee. Five criteria were used to select the 12 winners:
New. Te technology must be less than two years old,
dating from the frst time it was introduced to the
marketplace or announced or advertised in a confer-
ence, press release or trade journal.
Innovative. Te technology must be original, ground-
breaking and capable of revolutionizing the ofshore
E&P industry.
Proven. Te technology must be proven either through
full-scale application or successful prototype testing.
Broad interest. Te technology must have broad in-
terest and appeal for the industry.
Signifcant impact. Te technology must provide sig-
nifcant benefts beyond existing technologies. Envi-
ronmental impact is an important judging criterion.
Te awards will be presented Monday at 4 p.m. in the
Reliant Center Rotunda Lobby.
Wireless Capability of Cement Head Reduces HSE Risk
During Cementing
Baker Hughes has received an award for the LaunchPRO
Wireless Top Drive (TD) Cement Head. Te tool is de-
signed for deepwater applications and
launches balls, plugs or darts wirelessly dur-
ing cementing of extremely heavy subsea
long strings and long, heavy liners. Te TD
cement heads wireless operation reduces
HSE risk by eliminating the need for manual
intervention. Afer the cement head is in
place, all functions can be performed by
handheld remote control or from the oper-
ators console on the cementing unit. Tis
keeps personnel out of the hazardous area
and reduces the time it takes to launch
plugs, balls and darts.
Te cement head is compatible with
Baker Hughes Seahawk family of ofshore
cementing equipment and ofers 2.5 MMlb
load capacity, which exceeds the capacity
of todays strongest API drillpipe connec-
tion, the company said. Te tool has a max-
imum working pressure of 10,000 psi for
long, deep subsea completions.
Te streamlined design minimizes the
risk of external component damage that
could result in nonproductive time, ac-
cording to the company.
For more information about the Launch-
PRO Wireless TD Cement Head, visit
Baker Hughes at booth 3731.
Auxiliary Pump Aids Secondary
Intervention for BOPs
FMC Technologies has received an award
for the ISOL-8 Pump. Te auxiliary pump
from FMC Technologies Schilling Robotics
enables secondary intervention for BOPs
in compliance with API Standard 53. Te
pump is an integrated part of the UHDIII
ROV and meets the 45-second require-
ment for closing BOP shear rams.
Te pump consists of eight double acting,
servo-controlled, duplex pump modules.
Each pump module is an independent ma-
chine, and the array is controlled and syn-
chronized via sofware, pumping a variety
of fuids at high fow rates. Te pump mod-
By hArT EnErgy STAFF
The Baker hughes LaunchPro cement
head launches balls, plugs or darts wire-
lessly during cementing of extremely
heavy subsea long strings and long, heavy
liners. (Source: Baker hughes)
Continued on next page
5 oTC ShoW DAILy | mAy 5, 2014 | PrEVIEW
ules allow pilots to control pressure, fow and fuid sources
through FMCs Hammerhead operating system.
Flexible confguration allows optimization for a variety
of demands and can simultaneously provide up to 189
L/min (50 gal/min) at 5,000 psi. Tis system is depth in-
sensitive compared to existing industry solutions and can
save operators up to $4 million per rig, the company said.
For more information about the ISOL-8 Pump, visit FMC
Technologies at booth 1941.
ESP Monitoring System is Unafected by
Fault Conditions
GE Oil & Gas has received an award for
the Zenith GFI Ground Fault Immune
ESP Monitoring System. Zenith GFI
Ground Fault Immune electrical sub-
mersible pump (ESP) monitoring system
is not vulnerable to ground faults, which
are a persistent problem with this type of
artifcial lif and afect about 15% of ESP
well monitoring systems. Tis has been an
ongoing issue since the 1970s.
When a ground fault occurs with leak-
age in the ESP cable, the gauge loses sig-
nal, cutting off the data being transmitted
about the operation of the ESP. While the
ESP continues to run, operators are faced
with workover or running motors at lower pumping
rates to keep motor temperatures in safe operating
areas. They also face a larger head of fluid to safeguard
from pump off.
Te new GFI system cannot be disturbed by ground
faults, giving operators the ability to maintain well sur-
veillance essential for production optimization and pump
protection, despite fault conditions.
For more information about the Zenith GFI Ground
Fault Immune ESP Monitoring System, visit GE Oil & Gas
at booth 3163.
Service Gives Early Warning of Fluid Change,
Prevents False Alarms
Geoservices, a Schlumberger company, has received an
award for the FLAG Fluid Loss and Gain Detection
Service. Te FLAG fuid loss and gain detection service
was designed to address the challenges of increasingly
complex drilling programs in ever deeper waters with an
early warning system that is highly sensitive to fuctua-
tions yet advanced enough to help prevent false alarms.
The ISoL-8 Pump is an integrated part of the
uhDIII roV. (Source: FmC Technologies)
See SPOTLIghT continued on page 44
Continued from page 4
The Zenith gFI system allows operators
to maintain well surveillance despite fault
conditions. (Source: gE oil & gas)
6 PrEVIEW | mAy 5, 2014 | oTC ShoW DAILy
Recognizing Industry Accomplishments
n The OTC Distinguished Achievement and Heritage Awards represent the very best that our industry ofers.
E
very year, the OTC Awards Committee acknowl-
edges individuals and companies that have made
significant technical, humanitarian, environmental
and/or leadership contributions to the industry by
presenting them with the OTC Distinguished
Achievement and Heritage awards.
The Distinguished Achievement Awards enable
OTC to recognize individuals and companies who
have brought something amazing to our industry, said
Cindy Yeilding, OTC chairwoman of the awards dinner
and member of the OTC Board of Directors. These
awards are based on significant achievements in the
development and application of technology, science,
engineering and leadership and represent
the very best that our industry offers on a
project and an individual level.
This years award recipients are DNVs
Carl Arne Carlsen, BP and Noble Energys
Susan Cunningham. The Distinguished
Achievement Award for Individuals was
presented to Carlsen for his significant
advancements in the safety and reliability
of mobile offshore structures and the
practical applications of risk manage-
ment, according to the OTC website. The
Distinguished Achievement Award for
Companies was awarded to BP for its
Clair Ridge development. The award rec-
ognized the deployment of the companys
LoSal EOR technology into the develop-
ment, which is located west of Shetland,
U.K. The effort represents the first sanc-
tioned full-field offshore use of the LoSal
EOR technology, which was developed by
BP to increase oil recovery, according to
the OTC website. The 2014 Heritage
Award was presented to Cunningham in
recognition of her exemplary leadership
and outstanding technical contributions
in the Gulf of Mexico, West Africa and
Eastern Mediterranean regions, according
to the OTC website.
The annual OTC dinner recognizes the
award recipients, raises funds for Medical
Bridges and provides an opportunity to
network with industry leaders from
around the world. This years dinner was
scheduled for Sunday, May 4, and will be
reviewed in the Tuesday paper.
The OTC dinner grew from a vision
of one of our board members, Helge Hal-
dorsen, who wanted to enable our indus-
try to give back to the world. The dinner
has become an integral part of the OTC
experience, and we are proud to honor a
very special humanitarian organization
as well as kick off the 45th annual OTC
in style, Yeilding said. n
For more details on the three OTC award re-
cipients, see their individual stories elsewhere
in this edition.
nEED TICkETS?
you may purchase special event
tickets online (otcnet.org/2014) or
at the registration counters until
an event is sold out. Please note
that food is not guaranteed 20
minutes past the event start time.
By ArIAnA BEnAVIDEZ
T
he OTC Awards Committee acknowledges indi-
viduals and companies that have made significant
technical, humanitarian, environmental and/or lead-
ership contributions to the industry by presenting
them with the OTC Distinguished Achievement and
Heritage awards. This years Distinguished Achieve-
ment Award for Individuals was presented to Dr.
Carl Arne Carlsen, senior vice president and former
member of the governing board at Det Norske
Veritas (DNV).
Carlsen was recognized for his significant ad-
vancements in the safety and reliability of mobile off-
shore structures and the practical applications of risk
management, according to the OTC website.
He described his reaction to winning the award as
astonishment followed by humbleness and pride on
a mental journey.
Carlsen started his career at DNV in 1975. During
his career, Carlsen focused on safety issues and pro-
viding solutions to complex problems that faced the
offshore and maritime industries. Among these so-
lutions was his work in establishing rules for dynamic
behavior of jackup platforms,
semisubmersible platforms
and for FPSOs in harsh envi-
ronments, according to the
OTC website. Carlsen has
had major impacts on how
the offshore industry oper-
ates today.
One of Carlsens proudest
accomplishments was his in-
volvement in developing the
International Association of
Classification Societies (IACS) En-
hanced Survey Program (ESP), which
was later adopted by the International
Maritime Organization (IMO) for all oil
tankers and bulkcarriers worldwide, ac-
cording to Carlsen. After years of severe
damages and tragic accidents of oil
tankers and bulk carriers, IACS estab-
lished a working group to come up with
a more rigorous system for inspection of
these ship types, Carlsen said. This
group was led by Carlsen as chairman in
1992 and developed the ESP that is
mandatory for all tankers and bulk car-
riers today.
Another notable achievement of
Carlsens came after the tragic collapse
of the semisubmersible Alexander Kiel-
land in 1980. Carlsen led a task force
that cooperated with the Norwegian
Maritime Directorate, issuing rules in
1981 for designing mobile offshore units
that introduced new industry principles
for more robust design, construction
and in-service inspection. The Alexan-
der Kielland accident caused the death
of 123 workers in a severe storm outside
Norway. We developed a new set of rules
for mobile offshore units to improve
their robustness to cope with the harsh
environment in areas like [the] North
Sea, Canada and [the] northern part of
Norway, Carlsen said.
As a result of this, most semisub-
mersible platforms voluntarily adopted
the DNV 1981 rules in the following
years, and the major principles were
later adopted by the IMO Mobile Off-
shore Drilling Units Code 1989, accord-
ing to Antony DSouza, director of Gulf
of Mexico operations for DNV.
Moving forward, Carlsen is anxious
about the offshore industrys generation
of engineers. My current concerns are
how we shall counter a natural evolution
that new generations of engineers do not
learn and [how they will be able to] see
the hard facts behind safety require-
ments, which often have been developed
based on severe accidents, Carlsen said.
My focus now and forward is to con-
tinue learning from the performance of
the offshore industry and to see how we
can be proactive to implement measures
that will ensure safety in a cost-effective
way. My role now as an adviser is to
work with younger engineers and to
give them input on the background for
todays safety requirements and the con-
stant need to keep ahead of new indus-
try challenges. n
OTC Recognizes Former DNV Board member for
Advancements in Safety, Reliability
n With DNV for nearly 40 years, Carl Arne Carlsen has been instrumental in leading eforts
toward a safer industry.
By ArIAnA BEnAVIDEZ
8 PrEVIEW | mAy 5, 2014 | oTC ShoW DAILy
Carl Arne Carlsen
T
he OTC Awards Committee annually recognizes in-
dividuals and companies as recipients of the OTC
Distinguished Achievement and Heritage awards. Tis
years Heritage Award was presented to Susan Cunning-
ham in recognition of her exemplary leadership and
outstanding technical contributions in the Gulf of Mex-
ico (GoM), West Africa and the Eastern Mediterranean
regions, according to the OTC website.
Cunningham began her career more than 30 years ago as
a geologist with Amoco Canada. She is now the senior vice
president of the GoM, Africa, frontier ventures and business
innovation divisions for Noble Energy. She was also the
chairperson of OTC in 2010 and
2011, during which time she
represented the American Asso-
ciation of Petroleum Geologists.
Cunningham said her frst
reaction to being named this
years award recipient was
complete surprise and disbe-
lief. I have contributed to the
selection process for awards
such as these in the past, and
they are for people who have
made it. I feel like I have so much more to do, she said.
To be recognized in this way is humbling. I am incred-
ibly thankful, incredibly uncomfortable and incredibly
humbled. In all honesty, it gives me pressure to live up to
the bargain. To do more. To make a bigger diference.
Cunningham said one of her biggest accomplishments
regarding the ofshore industry was while she led global ex-
ploration, geoscience and new ventures at Noble Energy for
12 of the 13 years she has been with the company. Over
that time, our exploration capabilities improved dramati-
cally. Our discoveries helped fuel the rapid growth of the
company over the last fve years and are expected to con-
tribute more than 25% of the companys production by
2018, she said. One of the things I am most proud of is the
string of exploration successes in the Douala Basin ofshore
Equatorial Guinea and Cameroon as well as the Levant
Basin ofshore Israel and Cyprus since 2006.
Noble Energy has discovered 1.1 Tcm (40
Tcf) in the Levant Basin and 1.2 Bboe in the
Douala Basin, according to Cunningham.
Some of these discoveries are already online,
producing and making a diference in the
lives of the people in these countries, she
said. We plan to develop many more over
the coming years. Tey are transformational.
Cunningham also is proud of the com-
panys contribution to improving the lives of
the people in Equatorial Guinea. Noble En-
ergy has invested more than $13 million to
sponsor a successful antimalaria program.
Te program has helped reduce the malaria
parasite by 70% in children under 15 years
old since 2004, according to Cunningham.
It also contributed to a decrease in mortality
rates in children under 5 years old from 152
to 55 per 1,000 in 2012. Te malaria project
has an added dimension this year, which in-
cludes support for testing a malaria vaccine
being developed, Cunningham said. If
successful, this vaccine could eliminate
malaria as a disease. Tis obviously has a
very global potential impact. It would be
very satisfying to make this possible.
Regarding her concerns for the ofshore
industry today, Cunningham said, As an
industry, we are only as good as our weak-
est link. If anyone in this industry does not
live up to the expectations that communi-
ties demand and deserve, we are all failing.
It is our business to safely and responsibly
deliver energy and improve lives. She said
the industrys responsibility to society, the
planet and life on this planet should never
be taken lightly.
To address these concerns, Cunningham
suggested that solutions be based on specifc
outcomes. If we stop listening and talk at
each other to achieve our own agendas in-
stead of with each other for agreed-upon out-
comes, we are unlikely to fnd good solutions.
People fall into defensive mode, into winners
and losers, she said. We need to persevere
to fnd solutions that are innovative and good
for all. Over the long term, value creation for
all is greater. We need leadership for solu-
tionsnot tactics for winning.
During OTC, a networking event fo-
cuses on women in the industry. Cunning-
ham said the oil and gas industry needs
women to join who are interested in ca-
reers in this feld. It is technically challeng-
ing, innovative and really fun, she said. It
is an industry where you can make a huge
diference to people, communities and
countries. Tis industry needs all the di-
verse perspectives, voices, approaches and
talents it can get. n
10 PrEVIEW | mAy 5, 2014 | oTC ShoW DAILy
Former OTC Chairwoman Incredibly humbled
to Win 2014 heritage Award
n Susan Cunningham is on a journey to do more in the industry.
By ArIAnA BEnAVIDEZ
Susan Cunningham
12 PrEVIEW | mAy 5, 2014 | oTC ShoW DAILy
E
very year OTC recognizes individuals and compa-
nies that have made a signifcant impact or contri-
butions to the industry by presenting them with the OTC
Distinguished Achievement and Heritage awards. Tis
years Distinguished Achievement Award for Companies,
Organizations and Institutions was presented to BP for
its Clair Ridge development.
Tis award recognizes the deployment of BPs LoSal
EOR technology in the Clair Ridge development, located
west of Shetland, U.K. Te efort represents the frst sanc-
tioned full-feld ofshore use of the LoSal EOR technol-
ogy, which was developed by BP to increase oil recovery,
according to the OTC website.
BP is delighted and honored to receive this prestigious
award, said Ahmed Hashmi, head of BP upstream technol-
ogy. Te recognition is a welcome validation of our teams
commitment to
EOR technology.
Its been a long
journey to get
from the labora-
tory through to
feld trials and
then to deploy-
ment of LoSal
EOR. Having the
industry recog-
nize our project
and achieve-
ments is indeed
very rewarding.
The com-
panys EOR
technology team
learned that re-
ducing the salin-
ity of seawater
for waterflood-
ing instead of
using conven-
tional seawater
releases more oil from the rock surfaces.
LoSal EOR has the potential to improve
the outcome of waterflooding at the field
level by up to 10%for a cost as low as
$3/bbl, according to the company website.
BP said 500 MMbbl of additional net pro-
duction could be unlocked from its reser-
voirs using LoSal EOR.
Te team overcame an assortment of
challenges during this project, according to
Hashmi. Trough years of commitment
and management support, BP has created
an integrated EOR solution that encom-
passes chemical sciences, facilities engi-
neering and feld operations, he said. Te
technology is underpinned by a lot of solid
data covering laboratory to near wellbore
tests to the gold standard of an interwell
trial. BP-operated felds currently produce
more than 10% of the worlds light oil EOR.
Tis technology should unlock yet more
production and make a big diference to
the way we as an industry view the worlds
energy resources.
On behalf of BP, James Dupree, COO of
reservoir development and technology,
was scheduled to receive the award on
Sunday, May 4, at the Annual OTC Din-
ner. Representatives from BPs EOR tech-
nology team from both the U.K. and the
U.S. planned to attend the dinner. Te An-
nual OTC Dinner will be reviewed further
in the Tuesday paper. n
For more details on BPs EOR technology see
the contributed article on page 22.
BP honored for Clair Ridge Development Technology
n EOR solution, if used worldwide, could deliver billions of additional barrels of oil.
By ArIAnA BEnAVIDEZ
James Dupree
Ahmed hashmi
A
subsea BOP is among few pieces of equipment that
combines multiple functions as an operations con-
trol, risk prevention tool and emergency response tool.
When a BOP fails, it is challenging for operators to objec-
tively assess the risk and determine whether
to continue with drilling operations. Te in-
dustrys typical response is to analyze the pos-
sible consequences and perform a risk
assessment to defne the risk levels. Tese risk
assessments and consequent discussions typ-
ically require several days to complete, which
can cost a company millions of dollars in
nonproductive time (NPT).
Drilling contractors and operators are
responding to the challenge of assessing
drilling risks by innovating better solu-
tions. Lloyds Register Energy developed
the BOP risk model to help with the risk-
based decision making on whether a BOP
needs to be pulled.
Te BOP risk model was developed to-
gether with a drilling contractor, a BOP
risk model review panel, Bureau of Safety
and Environmental Enforcement repre-
sentatives, a group of well control experts,
subsea specialists and operational mana-
gerial staf from fve contractor and oper-
ator companies active in the Gulf of
Mexico (GoM).
We recognized that operators and con-
tractors were spending an extensive
amount of time identifying problems and
making the decision to either continue op-
erations or pull the BOP, said Pieter van
Asten, business concepts manager at
Lloyds Register EnergyDrilling. We de-
veloped the BOP risk model to speed up
decision making.
Building the risk model
A BOP risk model can typically include
more than 730 modeled components,
1,300 failure modes and 450 fault trees.
Te model is built using an extensive step-
by-step risk engineering process by devel-
oping logic block diagrams for each
function on the BOP and completing fail-
ure modes and efects analysis. Tis infor-
mation is then used to develop the necessary fault trees.
Each BOP risk model is custom-built for a specifc BOP
using the piping and instrumentation diagrams and orig-
inal equipment manufacturer manuals.
Te BOP model can be customized for any region
worldwide by using regional regulations, specifcations
and operational procedures. It consistently and accu-
rately assesses and renders a preconsidered, risk-based
decision afer a component failure is identifed in hours
instead of days, saving operators time and money.
13 oTC ShoW DAILy | mAy 5, 2014 | PrEVIEW
Quick Decision making For Drilling Operations
n Risk model can determine if BOP needs to be pulled for repair.
ConTrIBuTED By LLoyDS rEgISTEr EnErgy
The BoP risk model helps operators and
contractors decide quickly and consis-
tently whether it is necessary to pull a
BoP to the surface for repair.
(Source: Lloyds register Energy)
See DeCISION continued on page 28
o
fshore operators are committed to personnel and
asset protection in high-pressure environments.
High-integrity pressure protection systems (HIPPS) are
increasingly being used to provide pressure protection
and as a viable solution for lower faring and decreased
fugitive gas emissions. HIPPS address many diferent
challenges. In addition to the reliability needed to per-
form the safe emergency process shutdown, verifcation,
validation and proof test procedures are used to ensure
the required safety integrity level (SIL) is addressed and
maintained throughout the entire HIPPS safety life cycle.
HIPPS are designed to prevent overpressure by shut-
ting the source and capturing the pressure in the systems
upstream side. Tis ofers a barrier between the produc-
tion facilitys high- and low-pressure sides. Te tight
shutof prevents containment loss and eliminates fugitive
emissions.
A typical HIPPS will include two or three fnal ele-
ments in series, ofen required to shut down within 2 sec
to 3 sec for gas and 6 sec to 8 sec for liquids, depending
on pipeline pressure, fow rate and the diameter and class
of the pipeline.
Te initiator of the shut-down sequence (peak pressure
surge) is detected by a pressure sensing system. Sensors
are connected to the logic solver, which is confgured to
vote with a two out of three logicthe usual design
preferred. If predefned pressure parameters are ex-
ceeded, the logic solver will shut down the fnal elements
and the process.
Challenges
Challenges in the HIPPS environment can
be split into three components: analysis,
design and operating performance.
Analysis requires the operator to per-
form a hazard and operating study and risk
assessment to identify potential process
risk. Once the risk is identifed, a risk re-
duction factor (RRF) will be selected to en-
sure the potential risk is reduced to an
acceptable level and defne the SIL for
which the HIPPS will need to be designed
(1/RRF equals SIL).
Design is challenged by the lack of
standards outlining the design parame-
ters of HIPPS. Whereas conventional
pressure relief designs use prescriptive
standards like ASME and BS, HIPPS are
tied into the safety-instrumented system
using performance-based standards like
IEC 61508 and IEC 61511. A well-
known U.K. HSE analysis of incidents
reported that 44% of the primary cause
was related to poor specifications.
Whereas SIL will protect against random
failures, systematic failures due to poor
specifications can only be addressed
through the use of IEC 61511 in the de-
sign phase. To ensure HIPPS system re-
liability, engineers need to pay close
attention to the basis for the calculated
failure rates given by the manufacturer
when they select control components.
Operating a HIPPS also presents difer-
ent challenges compared with conventional
pressure-relief systems. Tere is ofen a fear
of losing control during scheduled tests,
which can result in tests being incomplete
or avoided altogether, impacting the re-
quired safety level. Te safety life cycle de-
pends on the frequent testing and
diagnostics of all components in the shut-
down circuit.
Advantages
Since HIPPS require the successful func-
tioning of multiple devices, their design is
ofen more complex than that of a safety re-
lief valve. However, there are clearly more
advantages than negatives associated with
these systems. One is the reduction of fugi-
hIPPS Offer Solutions for Offshore Operations
n Technology provides high-integrity pressure protection.
By CArSTEn ThgErSEn,
EmErSon ProCESS mAnAgEmEnT
14 PrEVIEW | mAy 5, 2014 | oTC ShoW DAILy
hIPPS-configured actuators are being
readied for shipment to a Southeast Asia
production facility. (Source: Emerson
Process management)
See hIPPS
continued on page 28
New Go Deep Focus At Douce Hydro
Our Advanced Technologies, Expanded Capabilities & Partnership Values Are Boosting Drill Rig
& Floating Production Storage Performance And Total Cost Of Ownership
Its not just how to increase oil production anymore, its about
improving production uptime, reducing drill rig time to mar-
ket (in-between contracts), lowering capital investment while
improving efficiency & most importantly, time to crude. Sim-
ply put, its about understanding the direction and the formi-
dable tasks that drill rig & FPSO owners are faced with
enabling new deep water oil production that supports global
demand. Its about responding to these challenges with ad-
vanced technologies that deliver on both deep water per-
formance, extreme reliability & with expanded capabilities
that lead the market in bringing these advanced solutions to
market faster than ever before.
Todays Douce Hydro boasts:
The largest manufacturing capacity in the world for large
custom bore cylinders with the shortest lead time to market
The most advanced cylinder rod protection technology
in the industry via LASERTEK 1000featuring:
o The highest degree of corrosion and cylinder rod
scratch resistance in the industry
o Eliminates the average 5 year life cycle need to up-
grade or rehab cylinders
Complete in-housemanufacturing & assembly process
yielding the highest degree of quality applied in the
industry
Dedicated engineering and project management teams
that work as an extension of our customers organization
Turning Heads With Our Go Deep Partner-
ship Values
Current business processes used within the sup-
ply chain today are not structured well to align
with addressing future market demands, at least
efciently. Drill rig & FPSO owners understand
how to use hydraulic cylinders but are not ex-
pected to be the experts with hydraulic cylinder
technology or the manufacturing process break-
throughs that can be applied to enable business
results that have never been experienced before.
Douce Hydro is well positioned to enable:
100% focus to on-time drill rig &
FPSO delivery
o 100% focus to on-time custom designed
hydraulic large bore cylinders (drill
string compensators, wire line tension-
ers, production riser tensioners, moor-
ing cylinders, skidding cylinders, etc.)
Shortest delivery lead times in the in-
dustry gets drill rigs drilling & FPSO time
to crude faster
o Cylinder rehabilitation for drill rigs &
FPSOs in-between contracts
o New cylinders for new build drill rigs &
FPSOs
Improved proftability
o Due to 100% on-time delivery
o Due to quality that eliminates 5 year life
cycleof rehabbing wire line tensioners,
drill string compensators and chain jack
mooring systems
o Due to supplier reduced costs resulting
from partnership
o Due to reduced and/or elimination of
fnes/penalties resulting from work
stoppages/interruptions
Precision Alignment of New & Propri-
etaryTechnology
o Collaborated designs lead to unique so-
lutions
Reduced Organizational Cost Via Higher
Organization Efciency
o Via dedicated engineering, customer serv-
ice, project management and feld service
teams as an extension of your business
Douce Hydros Reputation And Reliability
Yields Relevant Value Across All Critical O & G
Segments
Douce Hydros reputation for unquestionable
quality, cutting edge technologies, customer
service, engineering capability and the shortest
delivery lead time in the industry reaches across
a variety of critical segments within the Oil & Gas
Industry starting from drill string compensation
systems, subsea blow out preventers, hydraulic
crane actuation to linear chain jack mooring sys-
tems. As an example, our technology will play an
important part in the exclusive actuation for the
newest, deepest water and most technically ad-
vanced FPSO mooring system in the world.
So Go Deepisnt a slogan. Its not just an adver-
tisement. Its an attitude. Its a bold statement.
Its what will deliver critical results in deep water
drilling & production. The question is
Are you ready to GO DEEP?
www.doucehydro.com
16 PrEVIEW | mAy 5, 2014 | oTC ShoW DAILy
g
lobal operators need equipment able to handle
deeper water and higher pressures, as well as more
standardized systems for the vast number of smaller tie-
in and expansion projects around the world. But once in-
stalled, there is also strong demand for improved
solutions with regard to ongoing repairs needed for pro-
ducing felds. Reducing nonproductive downtime is a key
issue for ofshore operators today.
Te ability to repair pipelines remotely becomes critical
as water depths of feld developments go beyond diving
limits. While there have been several proposed solutions
available, very few repairs have been carried out remotely,
according to Subsea 7. In October 2012, a Houston-based
team comprised of Subsea 7, Quality Connector Systems
LLC and Stress Engineering Services Inc. successfully
completed a repair in 975 m (3,200 f) of water from a
light construction vessel, the M/V Grant Candies.
A paper to be presented at OTC on Monday, May 5,
by Subsea 7s Lance Brown titled Deepwater Pipeline
Repair in the Gulf of Mexico focuses on this operation,
which set out to assess damage to the pipeline, remove
pipeline coatings and install a diverless repair clamp con-
nector. Tere also was the limitation that all the work had
to be carried out using only workclass ROVs.
Detailed engineering, planning, ROV tool interfacing
and a complete system integration test including equip-
ment trials were critical to minimizing vessel downtime
and meeting an aggressive schedule, according to Brown.
His paper will review the current state of remote inter-
vention-based pipeline repair technology and provide an
overview of the challenges faced when dealing with reg-
ulatory agencies (BSEE/BOEM), as well as lessons
learned in implementing this repair. It will also outline
the considerations for transferring this crucial technol-
ogy to greater water depths and harsher environments.
Another Subsea 7 paper to be presented on Monday
by Mick Fowkes, is focusing on a diferent aspect in the
subsea spectrumthat of remote hydrocarbon sampling.
Fowkes said in his paper that as the need to exploit of-
shore deposits in increasingly challenging environments
increases, the economic development and safe operation
of technologies has become even more critical.
Te requirement to sample and establish the characteris-
tics of produced well fuids has been long established in order
to provide fuid composition and fow data for each well,
reservoir management philosophy and fscal allocation.
Traditional methods for sampling and test-
ing of wells employed the use of a dedicated
subsea test header, pipeline or riser connected
to test separators and individual single-phase
fow meters located on a surface production
facility, according to Fowkes. But as produc-
tion has moved to deeper water, multiphase
fometers (MPFMS) have been introduced
to monitor or meter individual well pro-
duction, prior to a production manifold
combining the production from several
wells for onwards transport in a single riser
or fowline.
Since reservoir and well fuid characteristics
alter over their life cycle, he says it is essential
that MPFMS be recalibrated to account for
this to ensure their continued accuracy.
Fowkes paper outlines work by Subsea 7
in developing and operating an ROV-de-
ployed remote hydrocarbon sampling skid
capable of taking separate samples from up
to eight individual wells in a single dive.
During operation and recovery the tem-
perature and pressure of the samples are
maintained to prevent the sample coming
out of phase and to prevent hydrates form-
ing in the sample, or skid pipework. On re-
covery the sample bottles are removed
from the skid and transported ashore for
analysis to allow calibration of MPFMs and
for fscal allocations to be determined.
Pipeline and riser bundles have been
around for some time, but a fresh look at
all aspects of the ofshore industry is always
worthwhile.
A paper by M. Goodlad of Subsea 7 on
Monday will look at the synergies between
these two proven bundle systems, based on
extensive track recordsin this case, 70
pipeline bundles over 35 years and six riser
bundles over 15 years.
Despite the two bundle systems being de-
veloped independently, the synergies between
the design requirements, the components and
the towing requirements are remarkable, ac-
cording to Goodlad. Tis shows thatdespite
the diferent applicationsthe technology has
been developed with the same technical un-
derstanding, demonstrating how the merging
of diferent technologies can bring benefts to
the industry.
His presentation will describe fabrica-
tion and installation methods for both
bundle systems and review the similarities
and diferences between the two systems.
Te synergies result in enhanced capabili-
ties for bundle systems, including im-
proved system operating performance and
Rising to the Subsea Challenge
n Te fast-expanding subsea market remains the ofshore industrys boom sector.
By mArk ThomAS
16 PrEVIEW | mAy 5, 2014 | oTC ShoW DAILy
See SUBSeA
continued on page 34
17 oTC ShoW DAILy | mAy 5, 2014 | PrEVIEW
I
n building a better mouse trap, how do designers account
for the actions of the mouse? Te same question is ofen
asked about humans when designing ofshore facilities and
installations. Session chairmen Kevin P. McSweeney and
William Henry Cowardin will host the
Human Factors in Engineering session on
Monday morning, May 5, that will look at
how answers to the question of designing a
better facility are acquired.
Invited speaker Jennifer McGovern Narke-
vicius will kick of the mornings discussion.
She is managing director of Jenius LLC, a
consulting frm providing engineering and
technical support for Systems Engineering
and Human Systems Integration policy,
process and practice. Her work has focused
on identifying systems requirements for hu-
mans in research, engineering, testing and
evaluation in a variety of applications.
D.M. Hollaway of ABS Consulting Inc. will
present a paper titled Human Factors Analy-
sis and Classifcation System (HFACS): In-
vestigatory Tool for Human Factors in
Ofshore Operational Safety following the
opening presentation. Developed by Dr. Scott
Shappell and Dr. Douglas Wiegmann for the
U.S. Navy, HFACS is a broad human error
framework that was originally used to inves-
tigate and analyze human factors aspects of
aviation mishaps. HFACS has been adapted
for use in ofshore oil and gas operations.
Julie Pray of ABS Consulting will present a
paper titled Implementing Human Factors
Engineering in Ofshore Installation Design.
Te focus of the paper is on how the human
element in efective design is addressed
through Human Factors Engineering (HFE).
HFE is a unique and specialized engineering
discipline that integrates human behavioral
and physical capabilities and limitations with
traditional engineering disciplines to produce
a human-system interaction that maximizes
the best of both.
Reporting Practices for Close Call (Near
Miss) Reporting Systems will look at the best
practices for reporting close calls in the mar-
itime industry. Te best practices identifed
in the paper written by B. Craig, R. Papillon,
J. Curry and W. Zhu of Lamar University
were identifed by reviewing about 44,000 ac-
tual close call reports from 27 data sources.
In Human Factors in Hazard Analysis, by
B.R. Poblete, C.W. Parker, S. Ranasinghe and
M. Gandhi of Atkins, a practical overview to
the consideration of human factors in hazard
analyses to support the design and operation
of oil and gas installations is provided.
G. Chaudhury and A. Whooley of
Wood Group Kenny in their paper titled
Art, Science and Engineering of Manag-
ing Ofshore Field Development Econom-
ics and Risks presents the strategy,
technology and step changes necessary for
the successful development of economi-
cally challenged felds.
C. Hudson, Chevron, A. Rastogi, Kongsberg Oil & Gas
Technologies Inc., and T. Bhaumik, GVA North America
in their paper Jack-St. Malo Marine Operator Training
Simulator, focus on the design, development and appli-
cation of a marine training simulator for operators of
Chevrons Jack-St. Malo installation. Te simulator
proved to be a useful training tool in a variety of scenar-
ios, including the conducting of training lifs for the pro-
duction, generation and compression modules before
the actual lifs were conducted in the installation yard.
Te session will be held in Reliant Center room 600 from
9:30 a.m. to 12 p.m. n
Building a Better mouse Trap
n Technical session looks at human factors and their impact on the design of ofshore installations.
By JEnnIFEr PrESLEy
18 PrEVIEW | mAy 5, 2014 | oTC ShoW DAILy
T
he first decade of a young professionals career sets
the foundation for future growth and advance-
ment. Marking the transition from a university student
to an industry professional, these first several years
herald in a time of building networks, learning new
habits and applying important skills relied on for the
rest of ones career.
With a theme of Te First Decade: Te Foundation
of Your Career, the 2014 Next Wave Program during
OTC will focus on how young professionals can make
the most of the frst 10 years of their careers. Seasoned
industry professionals will discuss topics like building
and maintaining a strong network, setting yourself apart
from your peers in a competitive environment, leverag-
ing mentoring and building career success.
Te program will lead with keynote speaker Leigh-
Ann Russell, vice president of performance, global wells,
at BP. Tree empire sessions will follow, featuring a
speaker and roundtable discussion and focusing on the
frst three stages of a young professionals career: your
beginning: the frst fve years, your recognition: fve to
10 years and your acceleration: 10 years and beyond.
With a long projected future, the industry ofers many
great challenges to keep professionals engaged for the en-
tirety of their careers. Tis is an exciting
time to join the energy industry, with a huge
amount of opportunity out there for people
who want a rewarding, challenging career,
Russell said. In particular, the big crew
change will open up opportunities for a new
generation of highly skilled engineers. In
order to make the most of their energy ca-
reer, people should strive to make a difer-
ence and think about the contributionbig
or smallthat they can make every day.
Te oil and gas industry has historically
been able to attract and retain some of the
best and the brightest, but the industry still
has a long way to go in helping young pro-
fessionals understand the great opportuni-
ties it ofers. Too many portray our
industry as archaic and unsafe, but this
could not be farther from the truth, Rus-
sell said. We employ some of the most ad-
vanced technology of any industry, and our
commitment to safe and reliable operations
is unwavering.
How young professionals spend the frst
several years of their career can have lasting
efects down the road. As with anything
we build, without a solid foundation, there
is nothing to build on, said Russell Scott,
2014 Next Wave chair. We must frst en-
sure the foundation is well designed and
well executed before we start to build any-
thing on top. A career is much the same
way: You cannot go very far up without a
solid foundation.
Te program seeks to encourage net-
working among attendees and promote the
passing of knowledge from experienced
leaders. With the well-discussed genera-
tion gap of the oil and gas industry at hand,
there is so much knowledge that will soon
be disappearing forever as some of the cur-
rent leaders retire or move on to other ven-
tures, said Scott, who is serving his fourth
year on the programs planning committee.
I feel its our duty as young professionals
to take advantage and absorb as much of
this knowledge as possible.
Tose just starting out should be prepar-
ing themselves to step into leadership roles
and fll the gap that will come from the big
crew change. Young professionals cur-
rently in the industry should be preparing
themselves by gaining the experience and
mastering the skill set required, Scott said.
Building a Successful Foundation in the Oil
and gas Industry
n Te Next Wave Program encourages young professionals to make the most of the frst 10 years of their
careers for future growth.
By mAry hogAn
keynote speaker Leigh-Ann russell
serves as vice president of performance,
global wells, at BP. (Source: BP)
See NexT WAVe
continued on page 34
W
elcome to OTC 2014! Whether youre here to grow
your professional expertise, grow your network,
showcase a new product or share best practices, you rec-
ognize the value of being an active part of the global, of-
shore technology community.
Tats also the driving force behind OTC social media.
Using Facebook, LinkedIn, Twitter, Instagram and
YouTube, OTC 2014 attendees, exhibitors and enthu-
siasts have instant access to a global conversation,
specific to the OTC community. A common miscon-
ception is that only social media experts understand
what this type of communication has to
offer. But the truth is, anyone can join
the conversationits all about knowing
how to use it.
Social media FAQs
Who is using social media at OTC? People
just like you! Seasoned industry profession-
als, young professionals and studentsall
with a passion for ofshore technology. As
part of the OTC social media team, we con-
nect with attendees and exhibitors year-
round to facilitate conversation, share news
and grow the OTC network.
How are they using it? Attendees and ex-
hibitors use social media to share their
OTC experience. Connect with a company
you met on the exhibition foor. Post a
question or comment about a technical
session or activity you attended. Make pro-
fessional and personal contacts with others
in Houston and from around the world at
OTC 2014.
Why should I connect? Conversations are
topical to the OTC experience and the of-
shore technology industry in particular.
Afer OTC is over, youll still be able to vir-
tually connect, network and share with
like minds; share papers and takeaways
from OTC; discuss the latest ofshore in-
novations and technology; and connect
with individuals from all parts of the
world. Our platforms are a one-stop
shop for all of these thingsall right at
your fngertips.
What does my participation mean to
OTC? Social media is a major force be-
hind OTCs continued success. We
gather comments, thoughts, feedback
and insights from both attendees and ex-
hibitors to understand how we can take
OTC to the next level. From incorporat-
ing state-of-the-art technology to creat-
ing more networking opportunities and
enhancing technical sessions, social
media empowers you to share your OTC
experience!
When should I start using social media?
Dont wait to connect with OTC! Use the
corresponding social media guide to fnd
the platform thats best for you. Be sure to
take advantage of the OTC mobile app, too.
Tere you can view our live Facebook,
Twitter and LinkedIn feeds.
Happy connecting! n
A gLoBAL ConVErSATIon
Social media provides an easy way for OTC attendees to connect, share.
19 oTC ShoW DAILy | mAy 5, 2014 | PrEVIEW
By moLLy BrITT, oTC CommunICATIonS
SPECIALIST, SoCIAL mEDIA
STAy ConnECTED
DurIng OTC 2014
Facebook - www.facebook.com/OTCevents. This platform
is your one-stop-shop for everything oTC. here youll find the
latest oTC news, developments from technical sessions, event
photos and oTC attendees in action.
Twitter - www.Twitter.com/OTChouston. get real-time
updates from oTC in short status updates. Join the conversa-
tion with other attendees and exhibitors by using the hash-
tag #oTChouSTon.
Instagram - www.instagram.com/otcevents. Capture
and share your best oTC moments with photos. Instagram is
a highly visual platform that allows users to upload photos,
apply filters and share them with other attendees. use
hashtag #oTChouston to see other images from the show.
LinkedIn - www.linkedin.com. Search offshore Technol-
ogy Conference in the groups field. Join the oTC LinkedIn
community that revolves solely around industry discussions.
group members can seek a solution, share news, ask ques-
tions and exchange technical knowledge with seasoned in-
dustry professionals.
youTube - www.youTube.com/TheOTCvideos. Watch
daily highlights, exclusive interviews, special activities and
more, all here for your viewing pleasure.
have a question? ready to get started? Send me a message
at mbritt@otcnet.org, and Ill be happy to assist.
A
new way of thinking and practicing geosciences
with the aid of geoethics will be the topic of the
Ethics Breakfast at 7:30 a.m. on Monday, May 5, at
OTC 2014.
Tis marks the frst presentation addressing geoethics at
a major oil and gas conference. Originally Dr. Silvia Pep-
poloni, secretary general of the International Association
for Promoting Geoethics (IAPG) and Ph.D. researcher at
the Italian Institute of Geophysics and Volcanology (INGV),
was the scheduled speaker. Due to a scheduling confict, she
will be replaced by Salvatore Barba, senior researcher at
INGV and a member of IAPG. However, in an April inter-
view Peppoloni shared her thoughts on the importance of
geoethics as it relates to the oil and gas industry.
Geoethics deals with the ethical, social and cultural
implications of geological research and practice, pro-
viding a point of intersection for geosciences, sociology
and philosophy.
Te interest in developing geoethics themes is increas-
ing everywhere, Peppoloni said. Diferent problems, dif-
ferent economic and social conditions and diferent
cultural contexts can infuence what topics get more at-
tention by the scientifc community and the public.
She cited the debate in India and several African coun-
tries on the exploitation of georesources and all the re-
lated consequences in terms of sustainability as well as
the focus in the U.S. to promote the teaching of geoethics
to young geologists as two of the issues in geoethics. She
also highlighted the ethical discussion in Italy about nat-
ural risks mitigation, communication and geoeducation.
Peppoloni said the ofshore development community
needs to be concerned. Ofshore activities are necessary
but have a strong impact on the environment and soci-
ety, she said. Te use of these technologies produces a
huge disturbance on the marine environment, resulting
in physical, chemical and biological changes. Te reper-
cussions are not easily predictable.
She noted that the equilibrium of the marine environ-
ment is extremely delicate, and all the oceans ecosystems
depend on it. Tis does not mean we have to stop any
kind of marine activity, but this impact must be carefully
considered by allocating adequate economic investment
to study its mitigation.
Peppoloni believes the industry should work even more
to improve technologies for the protection of the environ-
ment. Oil and gas companies cannot ignore these issues,
because the cost of remedying the environ-
mental emergencies created by ignoring
them could become enormous, she said.
She suggested operational strategies
and practices should be properly evalu-
ated and developed through a multidisci-
plinary approach.
Geoethics provides a vision on which to
base the best practices toward the geosphere,
Peppoloni said. A sustainable world also can
be economically benefcial to society as a
whole. Tis might seem like a utopia, but we
are now facing an epochal change of values,
and we need utopias, she said.
One trend that encourages Peppoloni is
the inclusion of ethics committees for
large European research projects. Their
task is to assess the impact on the envi-
ronment and ensure that strategies to op-
erate in an environmentally friendly
manner are worked out during all phases
of project development.
Peppoloni hopes breakfast attendees will
gain a new way to think about geosciences
as tools for appropriate management of the
planet. Geosciences are not just a collec-
tion of useful scientifc information; they
also represent a cultural resource capable
of infuencing our future, she said. Con-
sidering the current global and complex
problems such as climate change, the
search for new sources of energy and the
need of a sustainable approach to the envi-
ronment, an ethical perspective in the geo-
sciences can be helpful.
Using geoethics as a frame of reference,
Peppoloni believes the industry can en-
sure actions are more respectful toward
the environment. Globalization is a fact,
she said. It is a contradiction to feel our-
selves immersed in a globalized world
and, at the same time, claim to act for our
own, although legitimate interests, with-
out taking into account the inter-relation-
ships among us and the world in which we
live. Earth sciences teach us that these re-
lationships operate on a global scale and
much of what we can do is in our hands.
Geoethics can guide us toward a new
model of development. n
geoethics Provides Vision for Best Practices
n Te oil and gas industry must continue to examine ethical, social and cultural implications of geological research.
By mJ SELLE
20 PrEVIEW | mAy 5, 2014 | oTC ShoW DAILy
All oTC sessions are protected by
u.S. copyright laws. Photography
and video/audio recording of any
kind are strictly prohibited in the
sessions and throughout the exhibi-
tion area. members of the press are
required to report to the oTC Press
room to obtain permission for pho-
tography and videography.
21 oTC ShoW DAILy | mAy 5, 2014 | PrEVIEW
T
he Environmental Protection Agency (EPA) is
driving to greatly reduce the release of volatile or-
ganic compounds (VOCs) at the well site without
slowing natural gas production. The new federal air
standards are expected to yield a nearly 95% reduc-
tion in VOCs emitted from more than 11,000 new hy-
draulically fractured gas wells each year, making the
transition to green completions paramount to shale
operations. Camerons ECO
2
production system
maintains high-gravity oils liquefied state, reducing
wellsite emission by as much as 95%.
Leveraging its knowledge of process
systems, the company developed the
ECO
2
production system to address the
new emissions requirements, providing
both an ecological and economical solu-
tion. By virtually eliminating vaporization
waste and keeping high-gravity oil under
pressure, the ECO
2
system can deliver up
to a 10% increase in production yield,
capturing more sellable product.
ECO
2
production technology
When the pressure on high-gravity oil is
reduced from reservoir pressure down
to storage tank pressure, NGL flashes off
from the liquid phase of API gravity
crude of 50API or higher. These volatile
hydrocarbons can contain propane, bu-
tane and pentane, and their vaporization
often causes shrinkage in storage tanks
and a loss in total production.
A common practice is to contain and
burn these vapors by either flaring or in-
cineration. Camerons production sys-
tem prevents the NGL from flashing off
and allows accurate measurement of oil
and gas production from the producing
reservoir. The proactive system keeps
production fluids in a liquid form, al-
lowing for more sellable product and ac-
curate measurement of production from
the well. Also, keeping NGL in the oil
will reduce the cloud point for oils con-
taining high amounts of wax, thus re-
ducing or eliminating the need for
expensive chemical additives.
The customizable ECO
2
production
system includes three major pieces of
equipment: a patent-pending Cross
Stream Integrated Production Unit
(CIPU), a modular oil stabilizer with
distinctive features and an electrical
power generator. The CIPU allows pro-
ducers to accurately measure well pro-
duction and retain NGL starting with
day one of production. When the pro-
ducers oil gathering system is in place,
the oil stabilizer and storage tanks can
be removed from the well site. The sta-
bilizer operates at higher pressures, uses
an NGL reflux system to maximize NGL
content while maintaining desired Reid
vapor pressure and uses a forced air
cooler to reduce temperature and de-
crease emission.
The companys production system en-
sures that operators have a clear plan for
environmental compliance. It also enables
operators to capture the gas and monetize
assets that would otherwise be lost. n
Production System helps Operators meet
ePAs New emission mandates
n New production system technology helps to reduce wellsite emissions by as much as 95% and delivers up
to a 10% increase in production yield.
By AShLEy orgAn, CAmEron
Camerons optimized production infrastructure now features the ECo
2
production system. (Source: Cameron)
W
ith its Clair Ridge Field in the North Sea, BP is taking
a big step forward in EOR technology for the industry.
Te company is honored to receive recognition for this
important advancement with the 2014 OTC Distinguished
Achievement Award.
In 2016, when the Clair Ridge Field is expected to start up,
all eyes in BPs EOR technology organizationand, indeed,
many in the industry itselfwill be watching. Te project
will mark the worlds frst full-feld deployment of BPs LoSal
EOR technology.
Te startup will be the culmination of a 20-year research,
trial and deployment program in the company. LoSal EOR
has been rigorously tested more than 70 times in the labora-
tory and also in the feld, proving its efectiveness at recov-
ering more oil from the reservoir.
As breakthrough technologies go, LoSal EOR is based on
a relatively simple concept: More oil can be recovered from
a reservoir using reduced-salinity waterfooding than higher-
salinity waterfooding. However, according to oil industry
wisdom, nothing too fresh should be injected into the
reservoir, or the clays within the oil-bearing sandstones can
swell and reduce the ability of the oil to fow.
Conventional waterfooding is largely a physical process
to recover oil trapped in reservoirs; by injecting water in one
well, it sweeps the oil toward a producing well. BP started to
look at the chemistry of recovery, investigating what happens
at a molecular level when oil and rock interact
and what can infuence that interaction.
Te company observed that oil molecules
are bound to clay particles by bridges of di-
valent cations such as calcium or magnesium.
In high-salinity water, these bridges are com-
pressed to the clay surface by electrical forces.
But by reducing the salinity, this force is re-
duced and the bridges are able to expand, al-
lowing nonbridging monovalent ions, like
sodium, to access and replace the divalent
ions. Te oil molecules are then freed to be
swept toward the producing wells.
At Clair Ridge, LoSal EOR is forecast to de-
liver more than 40 MMbbl of additional oil,
and it is low costwith each incremental
EOR barrel costing just an additional $3/bbl.
BP believes LoSal EOR is the single biggest
step change since waterfooding began, with
the potential to improve the outcome of wa-
terfooding at the feld level. Across the indus-
try, this represents billions of barrels of
incremental oil from existing felds.
Te company proved the technology long
before sanctioning its deployment at Clair
Ridge. Since then, the company has been in-
creasing its investment in R&D of new break-
through EOR technologies. Alongside
technology development, the company has
built modeling and simulation expertise, cru-
cial to understanding and optimizing the re-
covery mechanism. BP has labs in the U.K.
where it can rapidly screen new technologies,
experiment under reservoir conditions and
monitor their performance using advanced
imaging capabilities.
LoSal EOR is enormously important for BP.
It is the companys default approach for all wa-
terfooding in new sandstone reservoir proj-
ects. More than fve of the companys major
projects worldwide are in various stages of
evaluation and development of LoSal EOR as
their secondary or tertiary recovery scheme.
Te company also is investigating how LoSal
EOR might work in carbonate reservoirs.
LoSal EOR also is the foundation on which
the company is building a new generation of
Designer Water EOR technologies.
Today, the company produces more than
10% of the worlds conventional oil EOR pro-
duction, which is more than any other inter-
national oil company. As Clair Ridge comes
onstream, BP hopes to maintain this lead and
through robust workfows, rigorous modeling
and simulation and deep scientifc capability,
develop and deploy the EOR technologies to
increase its lead and deliver more energy for
the world. n
22 PrEVIEW | mAy 5, 2014 | oTC ShoW DAILy
BP Breaks New ground, Wins OTC Award for
New eOR Technology in North Sea
n EOR solution allows for increased recovery of oil from reservoirs.
ConTrIBuTED By BP
BP will deploy its reduced-salinity waterflooding
(LoSal Eor) in the Clair ridge Field in the north Sea.
The startup of the field will culminate 20 years of re-
search, trial and development by the
company. (Source: BP)
23 oTC ShoW DAILy | mAy 5, 2014 | PrEVIEW
What do you remember most
about your first OTC?
In 1974 my partner Greg Zalar and I had Barchfeld-Zalar
Productions, a photography production company. We
were young kids, and we got the contract
to produce the audio visual show that ran
in the Brown and Root (B&R) booth. Te
B&R booth was in the very center of the
Astro Hall. Back then all three wings of the
Astro Hall converged on the center of the
hall, and Brown and Root/Halliburton was
right in the middle of the center of the hall.
Te booth had a large tower in the center
of it. On two sides were rear projection
screens. Our job was to have a synchronized
multiprojector slideshow running on booth
screens simultaneously for nine hours a day.
We installed redundant Kodak carousel pro-
jectors in case of bulb outages or malfunc-
tions. Te slides were advanced by a pulsed
tape on an expensive playback system. We
set up the system afer the booth was con-
structed, and everything went well.
Te client asked for a special preview that
Sunday. We went in a rainstorm! Te rain
came in through the roof, fell onto the booth
and shorted out our player. Te two-hour
Sunday project turned into an all-day project.
On Monday Greg had to sit in the tower
and manually advance the slideshow while I
was out purchasing more recorder equip-
ment. When I got to the B&R booth, I re-
lieved Greg, and he installed the equipment.
It was so hot in that tower with all the pro-
jectors running that we worked shirtless. By
noon the system was running perfectly. We
were exhausted and not sure we ever wanted
to participate in another OTC. Gary Barch-
feld, Barchfeld Productions
Having covered the ofshore industry for
less than one month afer leaving the Daily
Oklahoman in Oklahoma City, I was
mostly taken by how overwhelming the
size of the industry was. I was in awe of all
the technology on display. OTC was in the
Astrodome, Astrohall, Astroarena and out-
side. Tere was no way anyone could see
all of the displays in only four days. Scott
Weeden, Senior Drilling Editor, E&P
My frst OTC must have been in the mid-
80s. Before then, conferences were about
the technical papers for me, and the ex-
hibits were a distant second. OTC was
quite an eye-opener. Ben Bloys, Chevron
I was just shocked at the size and magni-
tude of the equipment used in ofshore
and in drilling operations. I was used to
onshore EOR operations, mostly, and shal-
low wells. Seeing wellheads and equip-
ment sized to handle 1,000-bbl/d to
10,000-bbl/d wells was just incredible.
David Zornes, consultant
I missed the earliest shows done downtown at the Albert
Tomas Hall. My frst OTC was in the Astroworld com-
plex. It was more than hugeit was colossal! At the time
the entire foor of the AstroDome was available for ex-
hibits. Several land rigs were fully erected on the foor,
and there was room to spare above the crown blocks.
Dick Ghiselin, Quittitut Consulting n
oTC recollections
As the Offshore Technology Conference celebrates its 45th anniversary, long-time attendees
recalled their earliest OTC experiences with fondness.
BOOTH 4916
COME VISIT US AT
A
s the days of easy oil have passed and the industry
tackles rising energy demand, operators are moving into
more challenging deepwater areas to access oil and gas re-
serves, opening up a new arena for technological innovation.
Global deepwater oil and gas production is currently led
by Brazil, the U.S., Angola, Nigeria and Indonesia, with
Brazil and the U.S. dominating ultradeepwater production,
a trend that is expected to continue to 2020 and beyond.
According to the Energy Industries Councils (EICs)
DataStream, the companys global projects database,
there are 284 deepwater or ultradeepwater projects pro-
posed or under development globally, worth a total po-
tential investment value of $478 billion. More than half
of these157 projectsare located in Brazil, the U.S.,
Angola, Nigeria and Indonesia (see Figure 1).
Technology has been a critical enabler for these pio-
neering deepwater operations, allowing operators access
to hard-to-reach resources while balancing the priorities
of safety, cost efectiveness and environmental impacts.
Technological advancement has been critical to deep-
water production from Brazils presalt reserves, where
operations in water depths of 1,000 m to 2,800 m (3,281
f to 9,186 f) are common. Brazil is the world leader in
deepwater activity, with 10 deepwater projects and 37 ul-
tradeepwater projects currently proposed or underway,
according to the EIC.
FPSO vessels, combined with complex
subsea systems, have become characteristic
of development ofshore Brazil. A key area of
innovation for the industry has been tackling
the safe production and processing of oil and
gas below the surface, which requires an in-
tegrated approach to data handling, commu-
nication, monitoring and surveillance. In
particular, due to both depths too deep for
human access and distances of more than
300 km (186 miles) from shore, a high level
of automation has been required.
Brazil is home to the major Libra ultra-
deepwater project in the Santos Basin, which
holds estimated recoverable reserves of up to
16 Bbbl of oil. Here a consortium made up of
Petrobras, Shell, Total, CNPC and CNOOC
has launched a tender for an eight-year char-
ter of an FPSO unit with capacity of 50,000
bbl/d and 4 MMcm/d (141 MMcf/d) to pro-
duce from the feld from 2016.
In the U.S. Gulf of Mexico (GoM), foating
spar and tension-leg platforms (TLP) are typ-
ically used, along with subsea technology, to
produce from felds in water depths of up to
3,500 m (11,483 f). Tere are currently 14
deepwater projects proposed or under devel-
opment in the U.S., and 34 projects in ultra-
deep water, all of which are in deepwater
areas of the GoM, namely the Green Canyon,
Mississippi and Walker Ridge blocks.
Many discoveries here have been large
and at increasing total depths, and the chal-
lenge has been to develop equipment that
can be operated and maintained safely
from the surface. At the beginning of 2014,
Shell started production from its largest
foating deepwater platform in the GoM,
Mars B, the frst such project in the region
to expand an existing oil and gas feld with
signifcant new infrastructure.
A number of operators also are targeting
the startup of some major deepwater proj-
ects in the GoM region in 2014, including
Chevrons Jack/St. Malo and Big Foot proj-
ects and Hess Tubular Bells project. Te
projects will use a semisubmersible, a TLP
and a spar platform, respectively.
Looking to future deepwater develop-
ments, FEED contracts have been awarded
for the Stampede project to exploit reserves
from the Pony and Knotty Head felds. Op-
erator Hess plans to use a drilling and pro-
duction TLP with subsea wells to produce
from the felds, which are in water depths
Deepwater Opens up a New Arena for
Technological Innovation
n Solutions allow operators to access hard-to-reach resources.
By nEIL goLDIng, ThE EnErgy InDuSTrIES CounCIL
24 PrEVIEW | mAy 5, 2014 | oTC ShoW DAILy
Shown here are the number of deepwater and ultra-
deepwater projects in the five most pro-
lific countries. (Source: EIC DataStream)
See DeePWATeR
continued on page 45
A
s the geological complexity of wells increases and of-
shore rig rates steadily rise, reliable models and predic-
tions ahead of the bit become increasingly critical for
proactive well construction decisions. Accurate, look-ahead
information reduces nonproductive rig time and mitigates
safety and environmental risks. Operators have traditionally
depended on predrill seismic data and rock physics trans-
forms for assessing geological hazards and pore pressure,
while acknowledging their inherent uncertainties.
Engineers ofen rely on wellbore measurements to cali-
brate models and update formation property
estimates but only at or behind the bit. More
proactive and confdent drilling decisions are
possible if the subsurface model can be re-
constructed ahead of the bit while drilling.
Schlumbergers new Seismic Guided
Drilling (SGD) service accomplishes these
objectives by constraining the initial
model using real-time data from the ex-
ploration well itself, which is the most ap-
propriate constraint for the local geology.
Te subsurface model is rebuilt in relevant
drilling time to be consistent with both
wireline and real-time LWD measure-
ments behind the bit and predictive sur-
face seismic data ahead of the bit.
Te SGD sofware platforms combine
surface seismic depth imaging and
anisotropic velocity models with conven-
tional inversion and rock physics models. In
collaboration with the operator, the Schlum-
berger operations team converts data from
the updated predictive 3-D model into data
that can be used to make drilling decisions.
A processing phase of less than two days en-
ables the operator to evaluate and execute
drilling decisions, including those related to
trajectories, casing points and mud weights,
in a timely manner.
In a deepwater feld test, the service as-
sisted in the positioning of a critical casing
point by locating two geological faults ac-
curately. Te Gulf of Mexico (GoM) oper-
ators objective was to set casing below the
secondary fault to meet hole-size require-
ments for the fnal well. However, lateral
variations in geology and incomplete ofset
well data limited the reliability of the initial
predrill model.
Te team incorporated real-time LWD
check shot data and well logs to help create
a new model and provide accurate look-
ahead capabilities. Te updated model ad-
justed the location of the secondary fault
by about 244 m (800 f). Te correction in-
cluded both vertical and lateral compo-
nents. Te service correctly forecasted the
desired casing location to within 50 f (15
m), thus allowing the operator to meet all
casing objectives.
During another GoM deepwater feld
test, the service demonstrated its ability to
estimate pore pressures ahead of the bit.
Te team frst built a predrill model using
conventional methods. Te model pre-
dicted a velocity reversal, and therefore a
pore pressure change, at 2,743 m (9,000 f).
Measured velocities down to 2,438 m
(8,000 f) did not agree with model predic-
tions indicating that a model update was
required. Since the model was not accurate
in the shallower section, it would also be inaccurate in
the deeper section. To address this concern, the service
calibrated and constrained the predrill
model using measurements down to 2,438
m. Te updated model forecast a larger ve-
locity reversal at 2,743 m compared to the
25 oTC ShoW DAILy | mAy 5, 2014 | PrEVIEW
Pore Pressure and hazard Prediction
Ahead of the Bit While Drilling
n A new service can help reduce nonproductive rig time and mitigate safety and environmental risks by
decreasing subsurface uncertainty and improving pore pressure estimates several thousand feet ahead of the bit.
ConTrIBuTED By SChLumBErgEr
In the deepwater offshore West Africa,
the SgD service delineates the area of
high pore pressure (right) that was
missed by the original legacy model
(left). (Source: Schlumberger)
See PReDICTION continued on page 45
F
rom the Norwegian North Sea where operators such
as Statoil have recovery rate goals of up to 60% to the
worlds biggest EOR project ofshore Malaysia and the
deepwater developments in the Gulf of Mexico, increas-
ing oil and gas recovery is one of the ofshore industrys
greatest challenges.
One of the principal technologies for achieving this is
gas lif optimization, where gases such as CO, natural gas
or nitrogen are injected into the production tubing to re-
duce the impact of hydrostatic pressure and allow reser-
voir liquids to enter the wellbore at higher fow rates.
While benefts include gas lifs versatility in a range of
well conditions and its ability to counter well instability,
too ofen gas lif is characterized by weak equipment and
operational design and a dependence on costly and risky
wireline interventions to change the depth of injection
and port sizes.
Tere is also a lack of information with the side pocket
mandrel (SPM) gas lif technique that makes use of in-
jection pressure operated (IPO) valves coming with little
information on pressures and temperatures at the point
of gas injection and limited control and fexibility over
altering injection rates in real time.
Te focus on single wells also neglects the interaction
of other wells in the feld. Too ofen gas lif design and
strategies are based on assumptions about feld condi-
tions, such as reservoir pressures, temperatures, fow
rates and ignoring the broader feldwide picture.
Finally, the facts that the tools are IPO and function at
a predetermined annulus gas pressure can even increase
the possibility of unstable wells. Annulus pressure fuc-
tuations can create multipointing injections and re-
quire resources to travel to the wellhead to choke the
annulus gas supply to compensate.
Its with these issues in mind that digital gas lif provider,
Camcon Oil will be at OTC this year, advocating an alter-
native approach to gas lif operations where operators can
make gas injection changes to individual and multiple wells
in real time without production intervention.
Te solution is based around binary actuation technol-
ogy, consisting of a low-energy pulse control, which sig-
nals to switch an actuator between two stable positions
to digitally operate a valve. Te electrically operated
valve, actuation confguration and six con-
trol actuators for injection variation enable
the real-time setting of injection rates.
Te new approach also eliminates the need
for SPMs and wireline intervention, with set-
tings tuned as wellbore conditions change
through the life of the installation. Tis new
approach can be applied in a range of ofshore
scenarios, including single subsea wells, de-
viated wells, multiwell onshore felds, dual gas
lif completions and deepwater wells.
With a potentially industry-changing
technology, it was essential for Camcon to pro-
duce real-life data prior to test installations in
actual wells. Tis was achieved through a sim-
ulation modeling analysis program, conducted
by Laing Engineering & Training Services.
Te analysis found that the two scenarios
deriving the most beneft from gas lif are at
the early life stage afer three months and
the mid-life stage with water injection sup-
port. Te modeling found that digital gas lif
can deliver as much as 1,000 bbl/d of more
oil production from a typical well and, in
one scenario, a 110% increase in production
compared to traditional gas lif equipment.
Te digital gas lif solution is currently
being deployed in an onshore well in Oman
where the equipment has been selected as
the chosen method of lifing for the well.
While Camcon is trialing the frst units in
onshore assets, the results will provide a
credible reference base that allows the com-
pany to turn its attention to ofshore oppor-
tunities where the benefts are considerably
greater as are the product development chal-
lenges. Camcon is using OTC 2014 to collect
additional product specifcations required to
satisfy the demands of ofshore operators.
Visit Camcon at booth 2541. n
Delivering Digital gas Lift to Offshore Operators
n A new approach to gas lif operations allows operators to make gas injection changes to individual and
multiple wells in real time without production intervention.
26 PrEVIEW | mAy 5, 2014 | oTC ShoW DAILy
Camcons digital gas lift solution enables
operators to make real-time gas injection
changes without production intervention.
(Source: Camcon oil)
By IAn AnDErSon, CAmCon oIL
I
n deepwater drilling, closed-loop circulation systems
and an array of managed-pressure drilling (MPD)
methodologies are increasingly common tools of the
trade. Driven by a bevy of complex operational chal-
lenges and safety demands, the advance is benefting
from a steady fow of enabling technologies developed
specifcally for deepwater application.
Two recent innovations illustrate how the characteristics
of closed-loop drilling (CLD) are being integrated into
deepwater drilling operations. Te frst is a slimmer version
of Weatherfords riser-integrated rotating control device
(RCD) that can be used with a much larger population of
the dynamically positioned rig feet; the sec-
ond enables continuous circulation to lever-
age MPD in eliminating wellbore pressure
fuctuations when making connections and
cycling mud pumps.
Te SeaShield Model 7875 below-the-
tension ring (BTR) RCD has been a major
enabler for deepwater MPD since it was in-
troduced in 2011 aboard a drillship in In-
donesia. Te device is the key component
in establishing a closed circulation loop.
Te newest version slims the devices
bearing assembly from an outer diameter
of 19.395 in. to 19 in. In doing so, the de-
sign extends application of the RCD from
a universe of about 25% of deepwater rigs
to roughly 80% of the feet. In particular, it
meets riser specifcations for the great ma-
jority of newbuilds and retrofts that feature
CLD-ready confgurations.
Te BTR RCD was the frst, and remains
the only, RCD made up of a BTR and is in-
tegral to the riser. Most critically, the BTR
position accommodates the rotation of dy-
namically positioned vessels and eliminates
the need for modifcations to the risers tele-
scoping slip joint or the rigs mud returns
system. Prior to the innovation, MPD op-
erations aboard foating vessels were con-
fgured with a surface RCD above the water
line and the tension ring.
Te BTR RCD forms an MPD riser joint
along with a surface annular BOP and a
fow spool. Because it is integral to the riser,
the RCD has a tension rating similar to the
riser and meets subsea marine standards
for hydraulic and electrical connections. It
is the frst rotating head to support riser tension require-
ments, which can be as much as 3 MMlb.
Te device allows conventional use of the riser with
fullbore access to the well and provides the fexibility to
easily transition between conventional and MPD meth-
ods. Te RCD bearing assembly is deployed through the
rotary table and tension ring components. With the bear-
ing assembly removed, the RCD is capable of handling
full-size, 18-in. BOP tools.
Continuous circulation
In ultradeepwater wells with extended-reach laterals,
the use of MPD coupled with the continuous circula-
tion of drilling fluid is a means to alleviate fluctuations
in equivalent circulation density (ECD), the settling of
cuttings and other related problems. While the idea of
continuous circulation is not new, complex wellbores
in deeper waters have led Weatherford to develop a new
technology. The companys new SteadyState continuous
flow system (CFS) is compatible with a range of
drillpipe sizes (from 5 in. to 6 in.) commonly used
in deepwater wells and is capable of handling 2,000
gal/min of flow rate. Its design advances include an au-
tomation aspect for heightened personnel safety, mod-
ular design and a small rig floor footprint that makes
for easy system integration.
Deepwater Drilling gains with New Technologies
for Wellbore Pressure management
n Advances in CLD and MPD are adding new levels of performance to deepwater operations.
ConTrIBuTED By WEAThErForD
27 oTC ShoW DAILy | mAy 5, 2014 | PrEVIEW
The SteadyState CFS technology enables
operators to drill with constant ECD
within the safe drilling margins of a nar-
row window. (Source: Weatherford)
See DRILLINg continued on page 43
28 PrEVIEW | mAy 5, 2014 | oTC ShoW DAILy
D
eepwater wells typically are gravel-packed or frack-
packed. Tis is done to provide a secondary barrier
to fnes migration, with the primary barrier being the
screen. In addition to formation fnes migrating to the
gravel or frack-pack, this is the areaalso called the near
wellborewhere inorganic scale deposition creates the
biggest operational problem. Scale formation ofen be-
gins almost immediately when conditions in the forma-
tion begin to change.
Scale formation and deposition quickly can reduce
production and lead to repeated remediation operations.
In severe cases, expensive workovers are required to re-
move deposits and repair corrosion-damaged assets. In
a deepwater subsea well, the cost of a well intervention
can exceed $10 million. Scale inhibitors interrupt crystal
growth or slow the nucleation process that impacts the
rapidity of scale formations.
Deepwater solution
The ideal inhibitor for a deepwater well meets three
critical criteria. First, it does no harm to the formation.
Second, it is compatible with a wide range of stimula-
tion fluids. Finally, it retards or prevents scale suffi-
ciently to preclude the need for an intervention for a
time period well in excess of the expectation from any
other form of prevention.
Earlier this year, Baker Hughes introduced Sorb Ultra
solid inhibitors. Te new high-strength inhibitor compos-
ite consists of the high-strength solid carrier capable of
carrying a variety of inhibitors including phosphonate
scale inhibitors. Te product is manufactured to a 30
mesh size. Other sizes can be made if required. Te prod-
uct is added with conventional intermediate or high-
strength proppant at any ratio up to 100% and delivered
as part of the stimulation treatment. Te solid substrate
on which the inhibitor is applied is engineered to help en-
sure reliable performance in deepwater applications and
can be customized to treat a range of downhole condi-
tions, including scale, parafn and asphaltene deposition.
Te treatment begins in the propped zone as soon as
produced fuids contact the inhibitors. Tis process oc-
curs before the produced fuids reach the near wellbore,
where temperature or pressure changes commonly cause
fow-assurance problems. Te treatments have lasted
longer than conventional liquid fow assurance chem-
istry, and depending on the well production, the treat-
ment can remain in production fuids at efective levels
long afer they are pumped. It can be run in new or ex-
isting wells as part of a propped stimulation, such as a
gravel pack or frack pack, and is ideal for wells with clo-
sure-rates in excess of 8,000 psi.
Te solid inhibitors also have been evaluated and qual-
ifed using the companys SmartCare evaluation process
to ensure that technical performance and environmental
priorities are both achieved.
First GoM application
A deepwater Gulf of Mexico operator had plans to com-
plete a well as a seawater food. In reviewing potential
fow assurance issues, the operatorwhich expected bar-
ium scale deposition when seafood water mixed with
high-barium-content connate waterwanted to forestall
the onset of the scale in the formation and perforations.
Because seawater is high in sulfate, mixing high-barium
water and seawater in the reservoir can create a scenario
for harmful barium sulfate scale deposition.
Barium sulfate scale is a nonacid soluble scale. Once
formed, it is quite difcult to remove. A plan was devel-
oped to address the issue by proactively treating the well
against barium scale. Te operator decided to use the com-
panys ScaleSorb Ultra ofering. Te inhibitor was mixed
with proppant on the fy during the frack-pack operation.
Te well was put on production and immediately
fowed both oil and water. IP was 636 bbl/d of oil and 635
bbl/d of water. Bottomhole pressure was 4,240 psi. All
post-frack pack production data indicated the job was a
success. Afer two months and two fuid sample tests, the
analysis of the residual scale inhibitor in the produced
water demonstrated that the scale inhibitor was still pres-
ent and was still inhibiting scale in the formation.
Te cost of a well intervention for a deepwater well can
exceed several million dollars. By placing a long-lasting
inhibitor into the propped zone, an operator can realize
an economic beneft far in excess of the cost of the appli-
cation extending or possibly eliminating the need for
a future intervention and providing a signifcant, positive
impact on well economics.
Visit Baker Hughes at booth 3731 at OTC to learn
more about this technology. n
Solid Inhibitors Provide extended Flow
Assurance, mitigate Intervention Costs
n A new, chemical-infused, proppant-sized solid inhibitor is being used in the deepwater GoM.
ConTrIBuTED By BAkEr hughES
The Sorb ultra chemical inhibitor is applied as part of an offshore stimulation to provide extended flow assurance.
(Source: Baker hughes)
Consistent communication is a key benefit for
companies using a BOP risk model. The risk
model user interface is capable of producing sta-
tus reports, which can be used for consistent and
quick communication to applicable stakeholders,
e.g. regulators.
Te risk model in action
In 2013, the risk model was used for the frst time
in the GoM. In its frst use, the BOP risk model
saved the drilling contractor an estimated 2.5 days
of NPT. Tis kept the drilling contractor from need-
lessly bringing the BOP to the surface for further
inspection, providing a complete return on invest-
ment the frst time it was used.
To learn more about the BOP risk model visit
lrenergy.org/BOP or visit Lloyds Register Energy
during OTC 2014 at booth 2173. n
DeCISION continued from page 13 hIPPS continued from page 14
tive emission. Although a HIPPS will not be able to fully
replace existing pressure-relief systems, it will reduce the
number required and thereby minimize the need for an
annual test and its verifcation. It is a sound and safe way
to help operators comply with emissions legislation.
Another clear advantage is that the automated
test of the HIPPS control components eliminates
the need for personnel on site to verify pressure-re-
lief systems. A fully automated partial stroke test
can be used to run diagnostics on the critical con-
trol components in the shut-down circuit, increas-
ing the diagnostic coverage of the system. For
HIPPS, with requirements for fast closing less than
2 sec to 3 sec, solenoids and pilot-operated boosters
can be configured to ensure reliable testing and
avoid costly and time-consuming spurious trips.
Depending on how critical the HIPPS is for the
availability of the facility, a redundant HIPPS can
be installed in parallel and used in a bypass con-
figuration during repair.
A total solution
On the component level, control equipment needs to
be supplied with adequate certifed failure data to meet
the SIL3 requirement for HIPPS. Tese feld-proven or
verifed components include actuators, digital valve
controllers, valves, solenoids, logic solvers and pressure
transmitters.
Ensuring that all of the challenges in designing, con-
structing and operating a HIPPS are addressed cor-
rectly requires considerable coordination between the
diferent parties involved. Alternatively, an integrated
solution for HIPPS is preferred. It addresses all of the
issues faced and provides the operator with a proof test
and inspection plan to support the safety life cycle and
maintain the required SIL. n
29 oTC ShoW DAILy | mAy 5, 2014 | PrEVIEW
T
he last few years have seen a growing focus on utility
and production support systemsthe vast network
of piping prevalent on ofshore platforms and as part of
subsea infrastructures. Such piping systems perform all
manner of roles from fre fghting, cooling and water in-
jection to compressors, scrubbers and other crucial pro-
duction-related activities.
As felds and platforms become older, however, the
maintenance and repairing challenges increase. Piping re-
pair construction, modifcation and tie-ins ofen have to
take place around aging but interdependent infrastruc-
tures where the threats of leak and corrosion are high and
where production must still continue. In decommission-
ing projects, there are also the wholesale cutting of pipes
and the difculties in constructing tempo-
rary new piping systems.
To this end, Norwegian-based Quick-
fange AS, a provider of high-performance
pipe connection systems, will be at OTC this
year where it will be showcasing its fast, low-
impact and safe pipe connection solution.
Te Quickfange pipe connection system
addresses many of todays pipe connection
and maintenance challenges. Whereas tra-
ditional welding requires signifcant re-
sources and comes with costs, permit,
access and production interruption issues,
the companys cold-work solution is
equivalent in integrity to welding but comes
at a fraction of the costs and disruption.
Te system leads to a reduction in shut-
downs and production downtime. While
there might be occasions where a piping
tie-in might be relocated onto a line that
can be temporarily isolated, production
shutdown is ofen the only option with
weldingsomething that is not the case
with the low-impact and fexible Quick-
fange solution.
Te system, which has received American
Bureau of Shipping and DNV approval, con-
sists of a modifed standard weld neck fange
with a patented internal groove profle. Te
fange is machined in such a way that it can
slide onto the pipe without the use of heat or
other ignition sources. A hydraulic tool is
then used to activate the fange with the
whole process taking just minutes.
Te metal-to-metal seal ensures that
there are no gaskets afected by tempera-
tures and fuids, and the facts that there are
no moving parts and the procedure is so
simple are particularly appealing to the
more conservative pipeline engineer.
Furthermore, the facts that it has greater
size coverage than many alternative solu-
tions; covers a wide variety of pipe materials,
ratings and fange types; and can be com-
bined with other cold-work systems, such as
pipe cutting and spark-free grinding, only
increase its fexibility and popularity.
Te system is being used worldwide
both onshore and ofshore. Typical appli-
cations include pipe work and new spool
tie-ins, existing fange replacements, the
ftting of fanges in space restricted areas,
replacing damaged or corroded piping,
and the insertion of valves.
One Quickfange installation in the
North Sea took place on a platform where
the goals were to install additional low-
point drains along the fare header to en-
able water and hydrocarbons to free
drain away and to also install a permanent
drain for the 12-in. drain pocket.
With the location of the required repairs in an area of
limited access where no hot work was allowed, the 12-
in. solution was applied to the pipe end with crevice cor-
rosion protection and then tested with a fange weld
tester. Te entire activation and testing were completed
comfortably within one shif.
In addition, a subsea version of the Quickfange has
been developed, whichshorter than other sleeve con-
nectorsbrings improved simplicity and fexibility to
subsea repairs.
The Quickflange Subsea can be activated through
straightforward diver operations with no specialist
diver training or pipe preparation required. Moreover,
with the rising costs of subsea intervention, the com-
pany believes that diverless and remote operations are
a real possibility in the futureparticularly for deep-
water applications.
Visit Quickfange at booth 5053 to fnd out more. n
Addressing Offshore Piping Challenges
n A low-impact pipe connection system leads to a reduction in shutdowns and production downtime.
By John SPAIn, QuICkFLAngE AS
The Quickflange pipe connection system addresses
many of todays pipe connection and maintenance
challenges. (Source: Quickflange AS)
I
t was a logical decision to think of SBM Ofshore when
the time came for BP to assess a project destined for
the harsh environmental conditions of the North Sea.
Te project was one that required a combination of skill
sets, turret mooring supply, feld life extension, technol-
ogy development and ofshore contracting.
Market demand for turnkey mooring systems is strong
at present, particularly for large, complex turrets, which
are ofen located in some of the worlds most severe of-
shore environments. Due to their complexity, they pres-
ent many technical challenges, and major oil players rely
on the expertise and know-how of the likes of SBM, a
leader in mooring technology with close to 50 turret
mooring systems (TMS) under its belt.
SBM will supply BP with a turret that will be the largest
in the world, with a mooring force of 2,250 tonnes in the
100-year return environmental conditions, for the Glen
Lyon FPSO vessel.
Te vessel currently is being constructed in Korea for
the Quad 204 project.
Te Quad 204 turret is based on SBMs proprietary
bogie-bearing design and represents the third in a series
of large TMS for BP for North Sea and Atlantic Frontier
locations. It is the most complex turret SBM has supplied
to the oil and gas industry to date.
SBM chose the Dyna-Mac yard in Singapore for the tur-
rets construction. Following more than two years of work,
the sections of the turret (bogie-support structure, lower
turret and collar, manifold and gantry) have been success-
fully completed. Tey were loaded out separately and sailed
to Hyundai Heavy Industries yard in South
Korea, where they are being integrated into
the Glen LyonFPSO vessel, a process that will
last until year-end 2014. Te next important
milestone is the mechanical completion of
the integrated turret in Korea, which will be
managed by BP with the assistance of SBM,
followed by commissioning.
BP is upgrading the production facilities
on the U.K. Continental Shelf s Schiehallion
Field by replacing the existing Schiehallion
FPSO vessel with a new unit, which will be
moored in the same location using a new
anchoring system. Te Quad 204 turret will
be used to moor this new FPSO vessel and
will weigh more than 10,000 tonnesthe
heaviest ever delivered. Te turret will meas-
ure 94 m (308 f) in heightabout the same
height as Big Ben, the London landmark. It
will represent more than a 50% increase on
the height of the Schiehallion turret as it will
host signifcantly more equipment and have
a larger throughput. Te weathervaning
transfer system for fuids (live production,
water for injection, gas, various chemicals),
power (electrical and hydraulic) and signals
(electrical and optical) will be enabled by the
worlds largest swivel stack, which has 14
swivel units, weighs about 265 tonnes and
measures 26 m (85 f) high.
Quad 204 is located in a water depth of
450 m (1,476 f), west of the Shetland Is-
lands, where severe environmental condi-
tions are the most challenging from a
mooring viewpoint with extreme design sea
Turret Breaks engineering Records
n Largest turret in the world will be moored in U.K. Continental Shelf s Shiehallion Field.
ConTrIBuTED By SBm oFFShorE
30 PrEVIEW | mAy 5, 2014 | oTC ShoW DAILy
The collar structure for the turret is being loaded onto
a vessel for delivery to South korea. (Images courtesy
of SBm offshore)
The artists impression shows how the in-
ternal turret will be integrated into the
FPSo vessel. The process will be com-
pleted by the end of 2014.
Continued on next page
states (100 year signifcant wave heights approximately
equal to 18 m [59 f]) and high-fatigue loading (1 year sig-
nifcant wave height approximately equal to 13 m [43 f]).
Tanks to the Schiehallion experience gained during the
past 15 years, the design maturity of the mooring line
components, such as steel wire rope and chain, is high in
this hostile environment.
Looking ahead
Future Atlantic Frontier developments will be farther west
in deeper waters presenting new challenges to the industry.
Te combination of deepwatermore than 1,000 m (3,281
f)and the extremely harsh environment will represent a
worldwide frst for the mooring industry, requiring tailored
modifcations. For example, the wire rope component will
have to be replaced by polyester rope to enable the challeng-
ing design of a mooring system. Although such polyester
ropes have been used for more than 10 years in the deepwa-
ters of Brazil, the conditions are signifcantly less stringent
in Brazil compared to the area west of the Shetland Islands.
Te changeover
Te SchiehallionFPSO vessel was decommis-
sioned in 2013. Te new FPSO vessel will be
a newbuild, double-hulled vessel measuring
270 m (886 f) in length (between perpendic-
ulars) and ftted with its SBM-designed TMS
tailored for the harsh-weather conditions and
continuous operations in the west of the Shet-
lands area. Te TMS meets the latest U.K.
standards as well as BPs specifc upset condi-
tions such as the loss of one mooring line in
one-year return environmental conditions.
Te new turret design will provide ade-
quate space for process subsystems and will
provide utility support for the subsea control
system. Te turret will comply with a re-
duced mooring ofset envelope for more
onerous specifed weather conditions, with
the existing riser arrangement and new over-
all subsea production system layout. Tis in-
cludes design requirements for up to 28 riser
slotsan increase of four compared to the
Schiehallion FPSO vesseland for the an-
chor legs to be grouped into four clusters of
fve mooring lines each to suit the existing
subsea infrastructure.
Te arrangement of the turret system will
allow anchor line and riser installation to be
diverlessan enhanced safety feature com-
pared to previous designs. Te turret structure
has been designed for a minimum 25-year
service life. In the course of operations, swivel
seals might require a change out, which will
be possible in situ thanks to SBM technology,
without removing any swivel from the stack
and without interruption to production.
In addition to handling the full-crude
production, water injection and gas lif,
and export and import fows, the swivel
system will provide for all ancillary serv-
ices required on the turret fxed part, in-
cluding electric power and control,
chemical injection, water deluge and air
for turret equipment room pressurization.
Turret enhancements since Schiehallion
Te key enhancements of this TMS are
safety standards based on systematic in-
depth analysis and improved reliability for
operations. Some examples of these im-
provements are the riser top-mounted
emergency shut-down valves and wind
shielding, which could no longer be just one
complete structure due to the increased size
of the Quad 204 turret. Improved operabil-
ity and reliability aspects are key design
drivers to improving technology. Te moor-
ing force increased due to the larger size of
the vessel and larger safety factors, which
contribute largely to a higher reliability.
Bringing added value
As for the installation of the new mooring system in sec-
ond-quarter 2014 and the new FPSO hookup in 2015,
the close interface between SBM teams allow optimiza-
tion of both mooring system and turret ergonomics. It
also facilitates the interface for delivery of mooring
equipment and readiness of the installation spread. Te
turret design is interrelated to the mooring design and
to installation requirements (from the pretension of the
anchor points up to the hookup of mooring lines as well
as requirements for maintenance and/or a change-out).
SBM is the leading company in the industry to com-
plete all stages in-houseincluding the engineering, pro-
curement, construction and installation of ofshore
leased FPSO vessels.
At the top end of the market, the requirements of com-
plex mooring systems, such as the Quad 204 TMS, are
continually being extended due to deeper water, more se-
vere weather conditions, larger vessels to be moored,
higher throughputs, increased pressures and longer de-
sign lives. SBM continues to lead the industry to adapt
and tailor solutions for safer and more efcient opera-
tions ofshore. n
Tis article appears in SBM Ofshores May 2014 Current
magazine, edition No. 10, and is reprinted with permission.
31 oTC ShoW DAILy | mAy 5, 2014 | PrEVIEW
The Quad 204 turret was fabricated in Singapore and
shipped to South korea for installation on the Glen
Lyon FPSo.
Continued from page 30
32 PrEVIEW | mAy 5, 2014 | oTC ShoW DAILy
A
s reliance on computer-controlled systems for off-
shore operations has increased, verifying software
programsincluding their integrationhas become
critical to safe and efficient operations. Yesterdays ap-
proach to construction, installation, hookup and com-
missioning no longer meets todays needs.
The move toward automation on offshore facilities
has allowed drilling and production systems to work
much more efficiently, but the introduction of com-
plex integrated control systems also poses a significant
challenge. The many pieces of software that enable
faster and more efficient operations are developed by
separate suppliers. Different vendors produce them,
but to perform effectively, they must function to-
gether. If these disparate software programs fail to
communicate, operations can be interrupted and safety
can be compromised.
In simple terms, when sofware is down, costs go up.
Failed communication among the critical components of
a drilling or production system can result in faltering op-
erations, plummeting efciency and escalating nonpro-
ductive time (NPT). A total system integrity approach to
streamlining sofware integration leads to faster commis-
sioning, more reliable system performance, smoother
upgrades and easier maintenance.
Te ABS Integrated Sofware Quality Management
(ISQM) process is a risk-informed sofware development
and maintenance tool that allows sofware verifcation to
take place at the time of installation. It also provides a
way to monitor for consistency and reliability when sof-
ware updates or hardware changes are made during the
course of the service life of an ofshore asset. It requires
no new equipment, because ISQM is a methodology. Te
focus is on sofware and interface quality, with the goal
of reducing the number of errors related to sofware and
integration.
Te process owners deliver efcient operation by pro-
viding a framework for coordinating and controlling how
sofware is developed, integrated and maintained.
Te ABS Guide for Integrated Sofware Quality Man-
agement provides a way to establish an interface specif-
cation at the front end of the design process and to clarify
the vendors responsibilities and conformation to the
specifcation. Te guide ofers a means of making sure
integration activities are planned, executed and managed
according to best practices.
Historically, class rules have focused on steel and
equipment, but ISQM focuses on the sofware that con-
trols the equipment. Te company designed the process
to uncover sofware issues early in the development
process so sofware can be verifed before commission-
ing, allowing efective solutions to be implemented as
sofware issues arise.
While ofshore companies ofen wait for others to
prove new systems, processes and technologies, Rowan
Companies stepped forward to apply ISQM on a series
of newbuilds underway in the Hyundai Heavy Industries
(HHI) yard in Ulsan, South Korea. Te frst of these, the
high-specifcation ultradeepwater drillship Rowan Ren-
aissance was completed in January 2014.
Rowan Companies recognized the ISQM process as
the best option for describing the operation of the equip-
ment, identifying and mitigating risk and verifying the
many safety-critical components of its high-specifca-
tion assets. In its frst application on the Rowan Renais-
sance, ISQM facilitated integration of products from
more than half a dozen major suppliers and more than
35 subsystems.
Everyone involved in this project wanted it to be a suc-
cess, and the willingness of the drilling company and the
yard to move into new territory was critical to making
that success possible. HHI has a history of pushing tech-
nology forward. By working with ABS and Rowan Com-
panies on this project, the yard was able to build up a
knowledge base that puts it in a unique position to ofer
experience with a new process that has the
potential to help other clients.
Te process decreases total cost of own-
ership by making it easier to meet HSE
specifcations, manage operational and
project risks, decrease NPT, identify and
address challenges in a timely fashion, min-
imize schedule and cost escalation, review
for compliance to specifcations, manage
programming challenges and simplify pro-
gramming validation. n
New Drillship Proves Value of Software
Development, maintenance Process
n A risk-informed sofware development and maintenance tool allows sofware verifcation to take place at
the time of installation, manages operational and project risks and decreases NPT.
The newbuild Rowan Renaissance drillship, built in the hyundai heavy Industries yard in ulsan, South korea, is
the first in the world to earn ABS ISQm notation. (Source: ABS)
nEED A TAxI?
Taxi service between george
Bush Intercontinental Airport
(IAh) and reliant Park is about
$uS 60. Service between William
P. hobby Airport (hou) and
reliant Park is approximately
$uS 40. Cab sharing is permitted
with a maximum of four
passengers per cab.
Visit the houston Visitors site
(visithoustonttexas.com) for
a list of taxi companies and
fare estimates.
ConTrIBuTED By ABS
T
he objective of this project was to develop advanced bore-
hole seismic technology with the capability to be de-
ployed in ultradeepwater Gulf of Mexico (GoM) oil and gas
wells for the purpose of minimizing time in the hole while
providing high-resolution data on reservoir characteristics
and pore pressure. Te objective was achieved by developing
protected fber-optic sensors allowing for the capability to
record the large volumes of data needed for high-resolution
imaging. Two prototypes were constructed and tested in the
feld. Results show frequency recording at levels above 1,500
Hz signal, which is fve times higher than current industry
practice. Tat new resolution can detect reser-
voir parameters less than 0.3 m (1 f) in thick-
ness and microseismic events at signifcant
distances from the wellbore. RPSEA is contin-
uing this project into Phase 2.
Efective production of oil and gas from
ultradeepwater ofshore reservoirs is criti-
cally dependent on a precise understanding
of the complexity of the geologic forma-
tions prior to the development and produc-
tion from the reservoirs. Te complex
production processes of the ultradeepwater
oil and gas felds will only be understood
and managed in detail if robust high-reso-
lution reservoir imaging technologies are
available to characterize oil and gas reser-
voirs. Marine surface seismic has been very
successful in fnding large geological struc-
tures in the GoM but has not been able to
provide enough resolution to efectively
predict the size of a reservoir and then pro-
duce the reservoirs in these large structures
with a minimum of drilling.
Te 3-D vertical seismic profling (VSP) P-
wave images have been shown routinely to
have more than twice the spatial resolution
than surface seismic images in areas with ex-
cellent surface seismic data. In areas with poor
to very poor surface seismic data, the 3-D VSP
technology has been proven to still be able to
record the high-quality P-wave data needed
for high-resolution P-wave imaging that ties
reservoir parameters back to improved inter-
pretations of the surface seismic data.
High-quality converted shear wave data
needed for engineering solutions are rou-
tinely recorded during borehole seismic ac-
quisition. Shear waves and shear wave
images are providing additional lithologic,
stratigraphic, fracture and stress informa-
tion about the geologic formations sur-
veyed. If large borehole seismic arrays are
deployed, 3-D borehole seismic techniques
can provide high-resolution depth images
at signifcant distances from the borehole.
As a rule, the diameter of the 3-D VSP
depth images is equal to the image depth.
For example, at a depth of 6,096 m (20,000
f) the image diameter is 6,096 m.
To allow the acquisition of large volumes
of high-quality VSP data without taking large
amounts of expensive rig time, while mini-
mizing safety and environmental risks, an ul-
tralarge borehole seismic array system was
designed that can deploy as many as 1,000 3C
clamped sensors in a single deep vertical or
horizontal well. To make this large array pos-
sible, the design centered around high-tem-
perature fber-optic seismic sensor (FOSS)
technology that allows for the deployment of
3,000 vector sensors using only a limited
number of fbers. To deploy all these fber-optic sensors, an
ultrarobust small-diameter drillpipe-based deployment sys-
tem was built, including a small clamping system.
To demonstrate the entire borehole seismic system, a
six-level clamped array was built and tested in two wells.
Both test systems recorded data from surface and bore-
hole seismic sources. Data were processed from the frst
two borehole seismic feld tests of the new FOSS system
and presented in a report.
Te key deliverable for this project was design of a
borehole seismic system capable of 1,000 levels available
to ultradeepwater GoM operators that can operate in both
vertical and horizontal wells at pressures up to 30,000 psi
and at temperatures up to at least 200 C (392 F). n
Deploying a Fiber-optic 3C Receiver
Array for Deep Boreholes
n Borehole seismic technology can be deployed in ultradeepwater GoM wells.
By Dr. BJorn PAuLSSon, PAuLSSon InC.,
AnD WILLIAm hEAD, rPSEA
33 oTC ShoW DAILy | mAy 5, 2014 | PrEVIEW
The FoSS array is deployed into a well in Texas
(Source: Paulsson Inc.)
34 PrEVIEW | mAy 5, 2014 | oTC ShoW DAILy
increased systems applicability extent (allowing devel-
opment in deeper waters and new areas). Tese systems
can thus be considered for new geographical areas,
Goodlad said.
A further paper on subsea inspection, will be given on
Monday by George Gair; its titled Subsea Inspection of
the Future. Te latest advances in sensor and autonomous
technology now provide the opportunity to change the
way that future inspection and condition assessment of
subsea infrastructure is carried out, according to Gair.
Te potential for smart sensors to be an integral or
retroftted part of a companys approach to its service pro-
visioning and support systems is of growing importance
and discussion. Recent work by standards groups is pro-
ducing new and robust methods of harvesting sensor data
with subsea hardware suppliers looking at increased in-
suite equipment monitoring and intervention methods.
Additionally, the oceanographic community has devel-
oped remote seabed environmental monitoring systems.
Tese are all signifcant developments that illustrate a
trend toward smarter systems, with this paper to set out
the key benefts that can be achieved by embracing the
technology and looking ahead to show what future serv-
ices might look like. n
We should be ready to move into these roles as efciently
as possible. When this occurs, it will, of course, open the
door for a fresh set of young professionals to come in and
fll our shoes, which will continue the cycle.
Russell encourages young professionals to stay contin-
uously interested in what those around them are doing.
By broadening your horizons outside your own project
and discipline, you will receive a fantastic awareness of
what others do in their own roles and get to meet some
great people along the way, she explained. Joining inter-
nal and professional networks also can provide support.
Joining SPE [the Society of Petroleum Engineers] was
one of the best things I did in my career, she said. My
contributions and support of the society and its various
activities helped to give me a broad external network. At
BP, we ofer many internal networks, which are disci-
pline-based or ofer support to afnity groups such as
part-time workers and new mothers. Te best way to
build a network is to get involved.
Scott advises those just starting out in their careers to
fnd mentors to meet with on a regular basis to gain valu-
able advice from. Patience also is an important key to
success, with some young professionals being too quick
to jump around for short-term benefts. Im not suggest-
ing that young professionals should sit around and wait
for things to happen to them, but I believe looking at all
opportunities should involve considering the long-term
career implications as well as the short-term benefts, he
explained. While lateral moves are ofen a good thing,
making too many lateral moves could have a negative ef-
fect by not allowing a young professional to fully develop
in a particular area or skill set.
Having a positive attitude every day at work can help
young professionals set themselves apart from their
peers. Te best advice I was ever given was to come to
work every day and think, What can I do to make a dif-
ference today, Russell said. She also advises those just
starting out to be wise when choosing the companies
they will work for. I was a mature recruit to BP and have
thrived in an environment that supports diversity, has
access to world-class projects and technology and has
great training programs.
Scott noted that some of the best advice he has ever
received involves thinking with a fve-year plan men-
tality. Its very easy to claim you want to be in a certain
position 30 years down the road, but its difcult to map
out your career that far in advance, he said. Its much
easier to think about the next fve years, and as long as
your fve-year plan matches your 30-year aspirations,
youll get to where you want to be eventually! n
SUBSeA continued from page 16 NexT WAVe continued from page 18
A
s operators look to squeeze more from their assets
and deliver strong investment returns, there has
been an increased focus on ofshore solutions that di-
rectly impact feld economics. Two key areas in which
this is taking place are multiphase sampling and oil-in-
water monitoring.
With the cost of purchasing one subsea multiphase
meter up to $400,000 and with such meters central to
operators field development strategies, multiphase
sampling and the ability to effectively calibrate these
meters based on oil, gas, water, salinity and pressure,
volume and temperature data are vital. Yet, many of
todays subsea sampling technologies are failing to rise
to the challenge.
Tis economic case also can be seen in oil-in-water
monitoring. Here, accurate information on the size and
amount of sand and oil in produced waterwhether it
is reinjection, discharged or processedmeans more op-
timal operations and improved economics.
Tis is particularly the case during the water and oil
separation and treatment processes, where the greater
the detail on the components, concentrations and size
distributions of sand and oil in the water, the more likely
there will be optimum production through the enhanced
design and use of separators and flters.
Te ability to control water and oil content also im-
proves oil recovery and oil quality, protects threats to
production, ensures reliable oil production estimates and
guarantees the long-term economic future of the feld.
Yet again, many of todays oil-in-water monitoring tech-
nologies are failing to address these economic concerns.
Its with these issues at top of mind that Norwegian
company Mirmorax will be at OTC 2014, highlighting
the latest developments in subsea sampling and oil-in-
water monitoring technologies. Te result for operators
is greater control and insight into ofshore operations and
improved economic returns.
Mirmoraxs Subsea Multiphase Sampling System, for
example, has gone from strength to strengths since it
was first introduced to market, delivering accurate sam-
pling through phase representative samples and in situ
analysis capabilities that incorporate both fractional
and salinity data.
In directly addressing some of the weaknesses of cur-
rent technologies, such as their random nature and in-
ability to track and react to fuctuating reservoir
conditions, the new system delivers true volumetric sam-
pling and accurate capture of fuid properties. Tis en-
sures that multiphase and wet gas meters are efectively
calibrated and operate at optimal performance.
At the center of the new system is a permanently in-
stalled analyzer system module that, mounted to the
multiphase sampler, provides online, on-demand frac-
tions of oil, gas, water, salinity and density without the
need for subsea intervention.
Te analyzer uses an acoustic-based technology where
online quantitative values can be obtained by the push of
a button and then made available through standard com-
munications. Te operator can then read the oil, gas and
water fractions directly from the sampling bottles taken
at a specifc time window, providing a phase fractional
set of data directly comparable to the metering data for
the same time period.
By calibrating this fxed point at given pressure, tem-
perature and volumetric fractions, the operator can pro-
vide the multiphase meter with a fxed point and increase
the meters accuracy signifcantly in relation to the pres-
sure and temperature conditions the sample was taken
under. Te system also has undergone rigorous testing at
the Christian Michelson Research Multiphase Flow Loop
in Bergen, Norway.
Te companys oil-in-water monitoring solution also
will be at OTC this year, addressing current oil-in-water
technology limitations such as possible contamination,
measurement ranges and concerns over accuracy.
Te solution is based on an ultrasonic measurement
technique in which individual acoustic echoes from both
solids and oil droplets are analyzed. Recent new devel-
opments also include new temperature and salinity
measurements, an auto calibration feature to compensate
for scale buildup, and self-cleaning mechanisms that pre-
vent the danger of thick oil clogging the system. Trough
developments such as these, the monitor can cover a
wider measurement range and compensate for layers of
scaling and possible contamination.
Information about the salinity and density mix that the
solution generates also provides the operator with veri-
fcation of how much of the separation capacity is being
used for each of the felds. A number of North Sea orders
have been taken for the new solution. In one North Sea
oil feld, where three monitors were installed, the moni-
tors managed to reduce the overall oil content in dis-
charge water by more than 30%.
Field economics are likely to be at the top of the agenda
at OTC this year. Visit Mirmorax in the Norwegian pavil-
ion at booth 5241. n
Improved Field economics for Offshore Fields
n Subsea sampling and oil-in-water monitoring advances can lead to improved returns.
By EIVInD grAnSAEThEr, mIrmorAx
The mirmorax oil-in-water monitoring solution addresses current oil-in-water technology limitations such as possi-
ble contamination, measurement ranges and concerns over accuracy. (Source: mirmorax)
35 oTC ShoW DAILy | mAy 5, 2014 | PrEVIEW
gas eOR Comes to the gom?
Te Shell-operated Vito discovery might become the frst
Gulf of Mexico (GoM) development to use gas injection
to enhance recovery, it came to light at a Statoil presen-
tation. Its still in the concept phase. We havent decided,
but thats our base case, said Jason Nye, senior vice pres-
ident, U.S. ofshore at Statoil. Were looking at a multi-
tude of options.
Nye said the concept for Vito, discovered in 2009 in
Mississippi Canyon 940 and expanded to include
MC984, 985 and 941, includes a foating production sys-
tem and a pipeline to bring gas from shore for injection.
Te concept also calls for drilling all the wellsupdip
producers and downdip injectorsbefore starting pro-
duction, Nye said.
Statoils experience with gas injection on the Norwe-
gian Continental Shelf is one reason the idea is being
considered. Teres also a desire to boost
ultimate recovery from a forecast 10%, Nye
said. Statoil thinks it could double expected
recovery, as it has done in Norway.
It is the nature of the reservoir that
makes Vito a good candidate, Nye said,
listing heterogeneity, an oil quality gradient
in a thick column and a natural aquifer.
It has to do with the ability to sweep
through the reservoir. We think gas would
be better, Nye said.
Why hasnt it been done before here?
Waterfooding is cheaper, and the U.S. was
a big market for gas. Now shale gas has cut
demand for GoM gas. Cost also is an issue.
It is costly to add gas-injection systems,
the pipeline to deliver it and the additional
wells for injection. Were working...on get-
ting the cost down, Nye said.
Statoil (30%) did not disclose Vito cost
estimates. Shell (51.33%) is operator and
has had nothing to say publicly about Vito.
Anadarko owns the balance.
Also at the presentation, ofcials said
plans call for ramping up the Chevron-op-
erated Jack-St Malo foating production
unit fairly slowly afer planned startup by
year-end 2014.
Te project will be only the second in the
GoM afer Cascade-Chinook to produce from
the Paleogene, also known as Lower Tertiary.
Te industry has little information on produc-
ing from that zone, and the partners dont
want to do any damage to the formation.
Te project was described as fantastic
and was said to be on time and on budget.
As for Chevron-operated Big Foot, tow-
out from the Kiewit yard near Corpus
Christi is running late, but frst oil is still
due in 2015. Big Foot earlier experienced
delays when dissatisfaction with a contrac-
tor forced relocation of topsides to Kiewit.
In other news, Stampede (also known as
Pony-Knotty Head) could be sanctioned
later this year. Te proposed tension-leg
platform is in early design, and plans ten-
tatively call for six producers and fve injector wells drilled
by two rigs, all completed before frst production in 2017.
Statoils latest and best Flemish Pass discovery of the
East Coast of Canada, Bay du Nord, is not six months
old, but development options already are being talked
about, but not much.
greater gorgon Team eyes
expanded Production
Chevron has a team of up to 35 engineers working on con-
cepts for the potential second phase of the Greater Gorgon
subsea gas-to-LNG project, ofshore Western Australia.
Roger Walpot, phase two engineering manager at
Chevron, said the concepts for Gorgon involve between
seven and nine new wells and two new manifolds to add
to the three already at the feld.
Te joint venture is considering a plan for three new
wells for one of the existing manifolds in the northeast
part of Gorgon, while a fourth manifold is likely to be
placed in the southwest sector with two to four wells. A
ffh manifold with two new wells could be placed in the
far northeast corner of the feld.
Te ExxonMobil portion of the project, ie., the Jansz-
Io feld, has two drill centers involved in Phase 1. Phase
2 could see a third drill center placed in the southwest
with fve subsea wells feeding into it.
Phase 2 plans also are considering the tie-in of other
felds in the Greater Gorgon area where an estimated 1
Tcm of gas could be tapped. n
Tis news was compiled and edited by Steve Sasanow for
Subsea Engineering News. Visit epmag.com/order/SEN
for more information.
Subsea Engineering news
(Source: Anadarko Petroleum)
T
aking FPSO ofshore processing and moving it sub-
sea has many attractionsincluding, for example,
smaller surface vessels (if any) with the associated cost
savings and production that is less prone to adverse
weather conditions. Packing more processing equipment
into trees and manifolds while avoiding signifcant
weight increase is where recent developments in small-
bore rotary valves are set to play a key role in the next
generation of subsea processing systems.
Subsea processing trends
Te trend toward greater subsea processing has been
gathering pace for some time. Tis is due in part to recog-
nition by operators that some deepwater discoveries such
as heavy oil, ultradeepwater and arctic felds will rely on
the development of new enabling subsea processing tech-
nologies capable of handling HP/HT conditions, water
depths up to 3,000 m (9,843 f) and longer step-outs.
But there also is a changing perception of what is now
possible subsea. Statoil has introduced the concept of a
subsea factorya process plant on the seabedin the
belief that compact separation facilities on the seabed will
be needed in arctic and deepwater areas like the Gulf of
Mexico (GoM) and Brazil.
Statoil already has taken the frst technological steps
with the worlds frst complete subsea solution for separa-
tion and injection of water from the Tordis
wellstream and the frst subsea facility for in-
jection of raw seawater on Tyrihans. Next
year the company plans to realize subsea gas
compression in the sgard Field.
Rotary valvesubsea enabling technology
Reliability is the watchword of subsea pro-
duction and processing hardware. Every
component and subcomponent of these as-
sets needs to perform reliably to optimize
overall safety and productivity. Processing
at greater water depths brings with it the
additional challenge of minimizing the
equipment size and weight for ease of de-
ployment subsea.
Valve technology has kept pace with the
growing demands of subsea production.
Te need for reliability and simplicity of
valve operation in the face of difcult oper-
ating conditions, together with increasing
demand for smaller and lighter valve tech-
nologies, has seen the emergence of the ro-
tary gate valve as a key enabling technology
for the next generation of subsea processing
systems. Small-bore rotary valves already are
widely used on important subsea equipment
such as christmas trees, where they play a
vital role in the performance of these assets.
Small-bore rotary gate valves, measuring
typically in. to in., are commonly used
for handling control fuids, well fuids and
chemical injection at pressures up to 16,500
psi and temperatures in the range of -29 C
to 155 C (-20 F to 311 F). It is the simplicity
of their operation that sets rotary gate
valves apart from other subsea valve tech-
nologies such as through-conduit and nee-
dle valves. Operation is through a simple
90 turn. Te valve internals cannot be
damaged by over torque.
Te metal-to-metal seals of the rotary
gate valve are able to withstand a full range
of operating temperatures. Elastomers and
polymers are much more vulnerable to ex-
tremessome perform well in heat, and
others in cold. Finding one that can do
both is not so straightforward. Add to this
the fact that the integrity of elastomers and
polymers can be undermined by the type
of media passing through the valve, and the
efectiveness of metal-to-metal sealing be-
comes all too apparent.
Increased Subsea Production Driving
Valve Developments
n Rotary gate valve design is a key enabling technology for next-generation subsea processing systems.
By John DrEW, SEVErn BEnTLEy
36 PrEVIEW | mAy 5, 2014 | oTC ShoW DAILy
The new 1-in. rotary valve will replace
larger valves in subsea processing
systems. (Images courtesy of
Severn Bentley)
Continued on next page
Subsea valves, in general, must be capable of with-
standing any fuids that may pass through them. Tese
could include freshwater, seawater, injection chemicals
or wellbore fuids. Even valves that will only see clean in-
jection chemicals during normal service could be sub-
jected to aggressive well fuids in a fault situation. Valves
that could potentially be exposed to hydrogen sulfde are
specifed for sour service, and their material classes are
selected accordingly. By using the minimum of moving
parts, the rotary valve becomes more reliable. It is not
susceptible to problems arising from contaminated fuids
and is water-depth insensitive.
Te valve bore size is determined by the volume of fuid
that needs to fow through it.
Until now, smaller rotary gate valves have usually been
limited to corrosion inhibitors and scale preventers in-
jected in small volumes. With the development of a 1-in.
rotary gate valve, however, larger volumes can be han-
dled. Tis makes them suitable for injection of methanol
for preventing hydrate buildup, enabling the replacement
of larger and heavier through-conduit and
needle valves.
Fresh thinking needed
It almost goes without saying that there is
no such thing as a standard subsea valve.
It is common for valves destined for
HP/HT regions to need to withstand pres-
sures of 16,500 psi and temperatures of 177
C (351 F). In fact, recent years have seen the
spectrum of required temperature ranges for
subsea extend signifcantly from -29 C to 121
C (250 F) to low temperatures of -46 C (-51
F) and highs of up to 205 C (401 F). A few
years ago, the maximum required pressure
rating for a valve was 15,000 psi, whereas
today orders increasingly demand 20,000 psi.
Valve technologies are rapidly evolving to
meet these extreme conditions. A key focus
of rotary valve R&D has been designing
valves that are smaller and lighter and have
minimal moving parts and uncomplicated
operating mechanisms to signifcantly re-
duce the risk of failure.
It follows that if design engineers are to
meet the increased demands for subsea
processing, there has to be recognition that
small-bore valves are part of the solution to
achieving a range of design and perform-
ance objectives. Tis in turn will encourage
greater collaboration between valve makers
and designers working on FEED studies.
Optimized, compact valve design
For the next generation of subsea processing
systems compact design will mean valve size,
shape and interfaces are more important
than ever. Rotary gate valves are smaller than
other valves. What is less well-known is that
the shape of the valve can be customized to
ft a particular space within the manifold
without afecting valve performance.
ROV interfaces and hydraulic connec-
tions may not have an impact on the inter-
nal valve functionality, but intelligent
specifcation can still bring real operational
benefts. Tere might be alternative ways to
position interfaces and mountings to make
better use of space, or it might be advisable
to select a valve that cannot be damaged in
the event of over-torque by an ROV. An-
other consideration is double-block or
mono-block structures for multiple valves,
which reduce potential leak paths to further
enhance safety and reliability credentials.
Using small-bore rotary valves presents
the design engineer with signifcantly more
options than other types of valves when de-
signing subsea processing systems. Taking
an intelligence-led approach and working
with the valve manufacturer when specify-
ing individual valves and other hardware components
will ensure that the industry is well placed to deliver the
next generation of subsea processing systems. n
Tis article frst appeared in the February 2014 issue of
E&P magazine.
37 oTC ShoW DAILy | mAy 5, 2014 | PrEVIEW
rotary valves provide metal-to-metal sealing for a wide
range of well fluids.
continued from page 36
TECh SuPPorT TIPS
Email stations are located in the reliant
Center hall A entrance, level 1.
oTC is offering free, low-bandwidth wireless
internet access in the lobbies of reliant Cen-
ter, levels 1 and 2, as well as in the lobby of
reliant Arena. The wireless network name is
Free Internet. This free wireless access will
not be available on the exhibit floors or
meeting rooms.
Wireless access in the meeting rooms is
available for $uS 12.95 per day. Attendees
can find cell phone charging stations at one
of the convenient locations in reliant Cen-
ter: Lobby B, Lobby D or upstairs near the
technical session rooms.
Total Kicks off Kaombo Project
Total has kicked of the development process for the latest in
its impressive string of major West African projects by issu-
ing a swathe of multibillion-dollar deals related to its
Kaombo Field.
Announcing plans recently to tap the 650 MMbbl feld
cluster ofshore Angola, the French major said it has reduced
the total forecast capex by $4 billion to $16 billion, with the
feld expected to start producing in 2017 in water depths
ranging from 1,400 m to 1,900 m (4,592 f to 6,232 f).
Te development of Kaombo will involve exploiting six
discoveriesGengibre, Gindungo, Caril, Canela, Mostarda
and Lourowhich have been drilled in the central and
southeastern part of Block 32.
Te project will involve two FPSO vessels, based on the
conversion of very large crude carriers, each to be ftted out
with a processing capacity of up to 115,000 bbl/d of oil. A
total of 59 subsea wells is suggested for the cluster. Associated
gas from the felds will be exported to an onshore LNG plant.
Several of the key and very large contracts have now been
formally awarded.
Subsea System
Aker Solutions landed a $2.35 billion deal to provide the sub-
sea production system at Kaombo, comprising 20 subsea
manifolds and 65 vertical subsea well sets. Aker is due to start
making deliveries under the contractsdescribed as a land-
mark award by one of its senior executivesin second-
quarter 2015.
Oyvind Eriksen, executive chairman of Aker Solutions,
said, Its a signifcant commercial achievement for our sub-
sea business as well as an important strategic development
in our expansion in Angola and the broader region.
Local content requirements for the project will be met
by the companys Angola joint venture (JV), Prodiaman
Oil Services.
Overall, Total suggests up to 14 million man hours of
fabrication and project construction work will be per-
formed in Angola.
Offshore Construction
Heerema and Technip, meanwhile, will share a $3.5 billion
deal to deliver and install subsea equipment for Kaombo.
Te European contractors won the deal to provide engi-
neering, procurement, construction and installation (EPCI)
for subsea umbilicals, risers and fowlines. Te companies
formed a JV to ofer subsea construction services to the in-
ternational deepwater energy market 15 months ago, and it
appears to have now paid substantial dividends.
Te award was announced afer Total made its fnal in-
vestment decision on the 59-well project in March 2014, with
the aim of recovering up to 650 MMbbl of oil from six dis-
coveries at a cost of $16 billion.
Heerema and Technip will share the ofshore construction
work, which includes installing 18 rigid single-top tension
risersftted with 40-m (131-f) high-buoyancy tanks
fexible top riser jumpers, riser base spools and 300 km (187
miles) of rigid pipe-in-pipe lines as well as subsea equipment,
foundation piles and steel jumpers.
Heerema will install the riser systems and the deeper and
heavier 18-in. and 12-in. diameter pipe-in-pipe production
pipelines, while Technip will be responsible for installing
fowlines, fexible pipe manufacturing and installation, um-
bilical installation, hookup and precommissioning activities.
Both also will jointly install 115 km (72 miles) of umbili-
cals, manifolds, well jumpers and fying leads. Te ofshore
installation program is scheduled for 2016 and 2017.
Technip also clinched via a consortium composed of An-
gofex Ltda. (owned jointly with Sonangol) and DUCO Ltd.
a large lump-sum umbilicals contract for the same project.
Te workscope covers the engineering, procurement and
fabrication of 120 km (74 miles) of umbilicals, the majority
of which will be manufactured at the Angofex facility in Lo-
bito, Angola. Te project will be one of the largest umbilical
projects to be manufactured in Lobito, following a major ex-
pansion of the plants capabilities in 2012.
Te contract will be managed by DUCO from its U.K.
quarters. Te project will start immediately with frst umbil-
ical deliveries in Angola scheduled for 2016. Te project is
scheduled for completion in 2017.
Technip defnes a large subsea contract as ranging be-
tween $346 million and $692 million.
Dual FPSO Contracts Awarded
Total also awarded the prized duo of EPCI contracts worth
more than $4 billion in total for the two planned FPSO ves-
sels to Saipem.
Te main contract is worth more than $3 billion and is an
EPCI for the converted turret-moored FPSO vessels. Saipem
also has been awarded a seven-year contract of about $1 bil-
lion for operation and maintenance services on the two ves-
sels. Each unit will have an oil treating capacity of 115,000
bbl/d, a water injection capacity of 200,000 bbl/d, a 2.8
MMcm/d (100 MMcf/d) gas compression capacity and a
storage capacity of 1.7 MMbbl of oil.
Te workscope includes engineering, procurement
and conversion of the tankers; fabrication and integra-
tion of the topsides of the FPSO units; installation of the
mooring systems; and the hookup, commissioning and
operations startup.
Te Kaombo FPSO project will be managed by the
Saipem foaters business unit in France. Some of the activities
related to engineering, procurement, topsides modules fab-
rication and integration, as well as commissioning onshore
and ofshore works, will be carried out in Angola.
Te topsides fabrication activities will be undertaken in
Saipems Karimun Island Yard in Indonesia. Te tankers
conversion and the topsides modules integration will be ex-
ecuted at a Far East shipyard. Te frst FPSO vessel will be
operational by frst-quarter 2017, with the second to follow
in second-quarter 2017.
Total operates Block 32 with a 30% interest. Its partners
are Sonangol, also with 30%, Sinopec International (20%),
Esso E&P (15%) and Galp Energia (5%).
Shell eyes extra FPSO Vessel for Bonga
Shell is studying plans for a second newbuild FPSO vessel to
further develop its deepwater reserves of Nigeria, following
the success of its original worldclass Bonga project.
Te Anglo-Dutch major already was known to be well
underway with plans to develop its estimated $12 billion
Bonga South West-Aparo discovery via one newbuild
FPSO vessel, with signifcant Nigerian content levels. Con-
cept selection for this project, spanning OMLs 118, 132
and 140, was performed in Nigeria. Te tender process for
the single-point moored facilitywhich would be the
worlds largest FPSO unitis still currently out to tender,
with bidders including Samsung and Hyundai.
According to Jerry Jackson, Shells general manager for
deepwater Nigeria, a fnal investment decision (FID) is ex-
pected before year-end 2014 on Bonga SW-Aparo.
However, Jackson also went on to reveal that the company
also is considering a possible concept for a second FPSO
vessel for its Bonga North development also in OML 118.
Tat facility would sit in 1,100 m (3,608 f) of water, with the
aim of producing the feld via up to about 29 subsea wells.
Its got to be close enough together with Bonga SW-Aparo
so we can look at standardization, he said, meaning a pos-
sible replicant FPSO project could be on the cards. However,
the FPSO facility itself is likely to end up being smaller scale
than that planned for Bonga SW-Aparo.
Bonga North is estimated to hold about 525 MMbbl of oil.
According to Jackson it is also, potentially, up for an FID be-
fore year-end 2014, putting it on a fast-track schedule.
Shell previously issued a tender in August last year to
source linepipe for Bonga SW-Aparo, a feld which lies in a
water depth of 1,400 m (4,592 f) some 135 km (84 miles)
ofshore. It has a planned processing capacity of up to
225,000 bbl/d of oil and storage for 2.5 MMbbl. Te FPSO
vessel will be spread-moored with 82 km (50 miles) of subsea
line pipe, including four production loops, three water in-
jection lines, a 16-in. 90-km (61-mile) gas export line and 70
km (43 miles) of static umbilicals.
Shell indicated it was looking to award a contract for the
supply of linepipe for the project during this quarter. Te ten-
der includes linepipe for production, water injection, gas ex-
port and gas lif service, along with fex joints and bend
stifeners.
Te original Bonga Field itself has been producing since
2005, and with the feld now approaching middle age, Shell
is now adopting a life preservation approach.
Tat includes phases such as the development of
Bonga NW, which is under construction as a 12-well,
40,000 bbl/d subsea project to be tied back to the existing
FPSO unit. Bonga NW sits in about 900 m to 1,200 m
(2,953 f to 3,937 f) of water.
Jackson was speaking at the MCE Deepwater Devel-
opment conference in Madrid, and he went on to outline
how Shell had formed a single project development or-
ganization in 2012, with 3,500 people in four hubs. Te
move was designed to cut overall development costs.
Standardization and replication are the key to unlocking
future projects, he said.
Previously, Shell project engineers used to be asked if every
feld development scenario had been considered. Now, he
said, the management view is very diferent. If you are not
standardizing, you have to have a very good justifcation as
to why not, Jackson said. n
Tis news was compiled and edited by Mark Tomas for
Deepwater International. Visit epmag.com/order/DWN for
more information.
Deepwater International news
38 PrEVIEW | mAy 5, 2014 | oTC ShoW DAILy
The first FPSo currently producing on Bonga is shown. The new unit would be the worlds largest, said Jerry
Jackson, general manager, deepwater nigeria at Shell. (Source: Shell)
JIP Will Improve Integrity Assessment
of Steel Wire Ropes for Subsea Lifting
Applications
Due to a growing focus on safety related to subsea lifing
operations, DNV GL has established a joint industry
project (JIP) to develop practical methods for reducing
the risks and lifetime cost of steel wire ropes for subsea
lifing applications, using an integrated systems ap-
proach. Fourteen diverse industry players have already
signed up and more partners are welcomed, especially
oil and gas operators, said project manager, Inger-Lise
Tangen at DNV GL.
Frontier areas have emerged as serious attractions for
oil and gas operators in recent years, said Elisabeth
Trstad, CEO of DNV GL Oil & Gas. Over half of the in-
dustry executives we interviewed for our industry outlook
report, Challenging Climates, said they expect subsea tech-
nologies to absorb the strongest investment
this year, to support exploration into new or
challenging environments.
Operating in these areas requires lead-
ing-edge technologies and new knowledge,
she continued. Industry collaboration is
even more important here where the tech-
nical challenges are complex and the risk
exposure may be higher. Tis JIP is there-
fore very timely.
The rapidly growing number of subsea
field developments worldwide will de-
mand greater focus on safe execution of
subsea lifting operations, both in the in-
stallation phase and throughout the life-
time of the field. High safety levels will be
even more important going into deeper
and ultradeep waters, lifting larger and
heavier equipment and more complex and
expensive structures.
However, there are limited rules, regula-
tions and standards suitable for ensuring and
assessing the integrity of steel wire ropes for
subsea lifing, especially for larger-diameter
ropes. A number of diferent factors can in-
fuence the integrity of a steel wire rope, but
the knowledge about their efect and inter-
action and how to assess them is, unfortu-
nately, limited currently.
Industry players have expressed con-
cerns related to todays knowledge levels,
competence and technology related to as-
sessment of the condition and integrity of
wire ropes. Tis is why DNV GL in coop-
eration with the industry has established a
JIP with the aim of developing a recom-
mended practice for integrity management
of steel wire ropes used for subsea lifing
applications, said Inger-Lise Tangen, proj-
ect manager at DNV GL.
Te new methods for integrity manage-
ment of steel wire ropes will form the basis
for documentation of the safety and reliabil-
ity of integrated systems, according to DNV-
OS-E407, throughout the service life of the
rope until it is duly discarded. Te project
will include relevant issues related to system
integration, monitoring, condition assess-
ment, inspection, maintenance, lubrication
and production.
Partners are: Bridon, DMT GmbH & Co.
KG, DOF Management, Farstad Shipping
AS, GC Rieber Shipping ASA, Heerema Ma-
rine Contractors Nederland SE, Huisman
Equipment BV, National Oilwell Varco
(NOV), Redaelli, Rolls Royce Marine AS,
Saipem, Technip U.K. Ltd., Teufelberger Seil
Ges.m.b.H. and W. Giertsen Services AS.
For more information, please contact Tan-
gen at inger.lise.tangen@dnv.com or at +47
980 38 455.
Forum Will Focus on Subsea
Integrity management
Te frst meeting of a new knowledge-sharing forum on
the topic of subsea integrity management practice will
take place in Houston during OTC.
Te SURF IM Network is being led by Wood Group
Kenny with support from the Industry Technology Fa-
cilitator (ITF) and 13 operating companies, including
many of the major international operators and a range of
smaller independents, which have so far confrmed par-
ticipation in the initiative.
Establishment of the SURF IM Network follows cre-
ation of a joint industry project (JIP) on integrity man-
agement of subsea, umbilical, riser and fowline systems,
known as the SURF IM JIP, that identifed key failure
Industry news
DnV gLs JIP seeks to develop methods for reducing
the risks and lifetime cost of steel wire ropes for sub-
sea lifting applications. (Source: DnV gL) See INDUSTRy NeWS continued on page 40
39 oTC ShoW DAILy | mAy 5, 2014 | PrEVIEW
mechanisms, investigated inspection and monitoring
technologies and technology gaps and developed best
practice guidelines for the integrity management of sub-
sea facilities.
Te SURF IM JIP combined knowledge of subsea sys-
tems in operation and those under development to iden-
tify key failure modes and technology needs for the
detection and prediction of subsea equipment failures.
SURF IM, as an operator-only JIP, also delivered signif-
cant additional benefts to its members as an integrity
management knowledge-sharing forum among the 12
participating operating companies that shared experi-
ence of subsea integrity problems, solutions and opera-
tional experience in the development and deployment of
integrity management technologies.
Te creation of a subsea integrity management net-
work turned out to be one of the most valuable elements
of the JIP to the project partici-
pants, said Kieran Kavanagh,
group technology and engineer-
ing director at Wood Group
Kenny. As the original JIP drew
to a close, there was consensus
among the participants that the
network should be continued as a
forum for allowing members to
share their subsea integrity expe-
riences and gain valuable learn-
ings from others in a mutually
beneficial environment. Safety
and integrity are areas of collabo-
ration among the participant
companies. Everyone benefits
from avoiding subsea failures.
Te focus of the network will be on shared integrity and
reliability experience of its members with a primary focus
in the areas of subsea equipment and subsea processing.
Te network is scheduled to meet for two days in May
[Tursday, May 8, and Friday, May 9], and members have
been asked to identify preferred topics that they wish to
share and others that they would like to learn from the
network. Te meeting will include a very interesting mix
of case studies and operational lessons learned on the in-
tegrity management of subsea systems.
ITFs CEO Patrick OBrien said, Te original SURF IM
project was very well supported, and I am delighted that
more companies are now joining the SURF IM Network,
which shows there is a real appetite for collaboration
within the industry and an understanding of the benefts
it can bring. Moreover, there may be an opportunity for
ITF to play a proactive role in facilitating new joint in-
dustry projects that may be required to
meet any needs that are identifed by the
group in this very important technical area.
Aker Solutions Well
Intervention Services Business
Becomes Altus and Qinterra
Aker Solutions former well intervention
services business, which was acquired by
private equity fund EQT VI in January, has
been restructured and began operating
under two brands from April 22: Altus In-
tervention and Qinterra Technologies.
Put simply, Altus Intervention is the brand
that our North Sea customers will relate to.
Operationally this is no change from today,
said Jrgen Peter Rasmussen, CEO of Qin-
terra, the holding company for the two brands.
Te Qinterra Technologies brand, mean-
while, will represent our international wireline
tractor technology and spearhead our expan-
sion plans outside the North Sea, he added.
Altus Intervention is the North Sea market
leader within well services. It ofers wireline,
wireline tractor, coiled tubing and logging
services in Norway, Denmark and the U.K.
Its U.K. operation also ofers pipeline and
process services. Altus is a Latin adjective,
meaning high, deep, noble or profound.
Te company employs approximately
1,300 people in Norway (Stavanger, Bergen
and Stjrdal), Denmark and the U.K. Halle
Aslaksen will head up the Scandinavian op-
eration out of Stavanger, Norway, while
Garry Michie continues to lead the U.K.
business from Aberdeen, Scotland.
Te key strength of Altus Intervention
is that it ofers customers a fully integrated
service including a full suite of conveyance
methods, well technologies and highly ex-
perienced personnel. Tis integrated ap-
proach is key to enhancing well production
safely and efciently, Rasmussen said.
Qinterra Technologies is a specialist inter-
vention technology company that ofers wire-
line tractor services and mechanical tools such
as plugs and packers globally. In the North Sea
it will operate as a technology supplier to its
sister company Altus Intervention Services.
Te company employs approximately
300 people. It has operations in Norway, the
U.K., Canada, the U.S., Oman, Saudi Ara-
bia, the United Arab Emirates, Russia,
Azerbaijan and Malaysia. Today, the busi-
ness is one of three major players in the
global wireline tractor market.
Qinterra Technologies (pronounced kin-
terra) represents bringing together Q for
40 PrEVIEW | mAy 5, 2014 | oTC ShoW DAILy
Industry news continued from page 39
Patrick oBrien
serves as CEo of
ITF, which has
teamed up with
Wood group
kenny for the
SurF Im network.
(Source: Wood
group kenny)
Continued on next page
41 oTC ShoW DAILy | mAy 5, 2014 | PrEVIEW
W
ith ofshore drilling rig day rates reaching and ex-
ceeding $600,000 per day and with world energy
demand expected to jump 36% by 2030, drill rig owners
need to use the very latest and appropriate technologies
that can directly improve drilling efciency, extend relia-
bility, boost output and maximize operations uptime. To
deliver the most efective advanced technologies, collabo-
ration between drilling rig owners and suppliers is critical
when it comes to delivering precision-aligned products.
Drilling rig owners are the experts in ofshore drilling
and identifying what problems they have to overcome
and aligning with near- and long-term market demand.
Tey depend on collaboration with their suppliers (with
expertise in their respective products and technologies)
to push the envelope in advancing current technologies
to both overcome current issues and achieve market de-
mand objectives. Close collaboration combined with ap-
plication-based foresight consistently results in precise
and relevant value.
A clear example of a closely collaborated industry so-
lution can be found with Douce Hydros Lasertek 1000
weld overlay cylinder rod technology. Drilling rig owners
identifed a major issue with cylinder rod corrosion with
the wireline tensioners and direct acting riser-tensioner
cylinders. Wireline tensioners and direct acting riser-ten-
sioner cylinders are hydraulic-actuated cylinders that
manage and compensate for the movement between the
drill rig and the drillstring riser. Te ocean exposes the
drill rig to signifcant movement while drilling. Without
the use of wireline tensioners or direct acting riser ten-
sioner cylinders, the drillstring riser would be subjected
to signifcant damage and would make deepwater drilling
impossible. When these cylinder rods reached a specifc
level of corrosion, they would at best be rotated out of
service and in a severe case would interrupt drilling.
Te cylinder industry responded with the development
of weld overlay cylinder rod technologies. A weld overlay
technology (or cladding) is a procedure that welds a specifc
metal on the surface of a substrate cylinder rod material,
providing the corrosion resistance that drill rig owners re-
quired. Te most common weld overlay materials used in
this market today are cobalt chromium alloys and Inconel.
Tese weld overlay materials were pliable to allow the
fexing and stress that the cylinder rods experienced due
to the duty cycle and length of the cylinder rod when
fully extended. What Douce Hydro understood was that
these materials, although appropriate to eliminate the
cylinder rod corrosion issue, would likely develop both
a potential drilling interruption issue and an environ-
mental issue over time due to the hardness of the weld
overlay materials. Te constant exposure to the harsh of-
shore environment and contact with debris combined
with the heavy-duty cycles of the wireline tensioners and
direct acting riser-tensioner cylinders eventually would
result in cylinder rod scratching or galling. As the cylin-
der rods scratched or galled, retraction beyond the cylin-
der rod seals combined with the high-pressure hydraulic
fuid would result in cylinders eventually leaking hy-
draulic fuid, potentially interrupting operations and
causing an environmental issue.
Douce Hydro developed an industry solution that com-
bines the corrosion resistance of weld overlay material with
a second proprietary top layer surface material that yields a
surface hardness above 1,000 vickers
hardness (HV) with the introduction
of Lasertek 1000. A 1,000-HV surface
hardness provides roughly two times
the surface hardness of alloys or In-
conel only rod cladding. Rigorous de-
structive testing was initiated to prove
the efectiveness and reliability of
Lasertek 1000 including subjecting the
Lasertek 1000 cylinder rods to ASTM
B368 strenuous salt spray testing prior
to required impact testing per
ISO6507-1.
Between drilling contracts, the
cylinder rod technology can be ap-
plied as an upgrade to currently in-
service wireline tensioners and direct
acting riser-tensioner cylinders,
which were originally manufactured
by other cylinder manufacturers. A
complete factory warranty accompa-
nies the upgraded cylinders when
shipped back and reinstalled on the drilling rig.
Te development of Douce Hydros cylinder rod tech-
nology is an example of how advanced technologies are
moving the industry forward, aligned to overcoming
todays obstacles while positioning drilling rig and ship
owners to meet tomorrows market demand.
For more information on Lasertek 1000, visit Douce
Hydro SAS France at booth 4141 (Hall A/B). n
Cylinder Technology Continues to Drive Drill Rig
Performance Improvement
n Drilling rig owners rely on advanced technology to boost drilling performance and improve rig uptime
and total cost of ownership.
ConTrIBuTED By DouCE hyDro
Cylinder rod scratching or galling in heave compen-
sators or wireline tensioners can lead to leaks of hy-
draulic fluid, which could cause downtime for the
drilling rig. (Images courtesy of Douce hydro)
The weld overlay process welds a specific metal to the
substrate material in the cylinder rods, providing cor-
rosion resistance.
The Lasertek 1000 weld overlay technology provides roughly two times the
surface hardness or Inconel only cladding, according to Douce hydro.
quality, in for intervention and terra meaning the
earth. Technologies describes the companys innovative
thinking combined with unique and existing technologies.
Te market for interventions in highly deviated and
horizontal oil and gas wells is growing rapidly, both of-
shore and onshore. Trough utilizing our adaptive wireline
tractor technologies and ofering ft-for-purpose combina-
tions of innovative and feld-proven well intervention tech-
nologies and tools, we can ofer a highly cost-efective
method of maintaining these wells and thereby help our
customers reach their production targets, Rasmussen said.
In addition to working directly for oil companies, Qin-
terra Technologies will also ofer wireline tractor tech-
nology services as a subsupplier to wireline companies
around the world.
Ion, Polarcus Team Up for 3-D Seismic
Survey Offshore Ireland
ION Geophysical Corp. is collaborating with Polarcus
to acquire a new 4,000-sq-km (1,544-sq-mile) 3-D mul-
ticlient seismic survey offshore southwest Irelandthe
first major survey of the significantly underexplored
deepwater Southern Porcupine Basin. Drilling results
in the area have proven the existence of a petroleum
system, and 2-D seismic data indicate significant sedi-
ments and prospective structures. The survey will
leverage the geological knowledge gained from IONs
Northeast AtlanticSPAN 2-D survey to deliver the high-
quality 3-D data required by oil and gas companies to
further develop the area.
Tis is the frst survey to arise from our alliance with Po-
larcus, announced last year, to jointly develop and market
multiclient regionally-calibrated 3-D surveys, said Brian
Hanson, ION president and CEO. Te alliance provides us
access to a world-class seismic feet and allows us to natu-
rally leverage our 2-D BasinSPANS, which have generated
Industry news
continued from page 40
See INDUSTRy NeWS continued on page 44
42 PrEVIEW | mAy 5, 2014 | oTC ShoW DAILy
o
riginally discovered in 1993, the Stag oil feld, which
is on the Northwest Shelf of Western Australia, has
produced more than 58 MMbbl since production began
in 1998. Te feld is a shallow680 m (2,231 f) subsea
highly unconsolidated and highly permeable sandstone.
Reservoir depletion, unconsolidated rock, water break-
through and sand production have created conditions
where infll drilling campaigns have become increasingly
problematic in recent years.
On three recent infll wells the intermediate 12-in.
intervals were drilled and cased using casing-while-
drilling (CWD) technology with a rotary steerable sys-
tem (RSS) and LWD tools. Te RSS was used to navigate
wellbore congestion, drill designer well paths to avoid in-
coherencies (a mappable seismic attribute that was found
to correlate to hole problems), land the horizontal section
and then drill horizontal tangent sections out to the ini-
tial reservoir penetration (liner point).
Te CWD applications progressed from a new tech-
nology trial, followed by a stretch performance goal, to
ultimately being used as a key enabling technology to
drill a well that might otherwise be deemed undrillable
due to instability issues.
Te directional CWD 12-in.-hole intervals were
drilled using standard premium casing connections from
just below the 13-in. surface casing to the 9-in. casing
point building from 25 inclination to horizontal and
holding thereafer. Te CWD technique set world
records drilling on a mature structure in the M. Australis
Sandstone Formation in the Stag Field.
Well construction challenges
Te M. Australis Sandstone is characterized as a high-per-
meability glauconitic sandstone oil reservoir. To date, 48
wells have penetrated the reservoir that is overlain by the
Muderong Claystone. Te conventional technique was to
land the intermediate section of the well in the reservoir
and drill a horizontal drainhole with an 8-in. bit. A
predrilled liner comprised the lower completion with an
electric submersible pump (ESP) for the upper completion.
Issues with water infux and sanding forced a change
to running sand screens with infow control devices
(ICDs). However, drilling problems and escalating costs
led management to conduct a study to discover a better
way to manage these challenges.
Te results of the study led to two major modifcations
in conventional wisdom. First, it was decided to avoid
the water infux by drilling laterally through the overly-
ing Muderong Shale until reaching the production zone,
then dropping trajectory to the oil-rich target. Second,
switching to a modifed CaCO3 bridging drill-in fuid
was proposed to mitigate total losses while drilling the
reservoir section. A particle size distribution analyzer
monitored returns, and the dilution rate was adjusted on
the fy to maintain desirable mud properties.
Advantages of CWD
Operational difculties experienced using these modifca-
tions encouraged further study. Among the suggestions
was CWD. While new to the area, the technique ofered
many incentives. Eliminating the need to trip pipe for a bit
change provided a signifcant advantage. Other benefts
such as eliminating lost time due to sloughing shales, tight
hole, bridges, fuid loss, unstable borehole and stuck pipe
were cited. Essentially, the advantages served to derisk the
well by eliminating high-risk operations.
Nevertheless, the idea had its detractors. Tey won-
dered if the required dogleg severity could be achieved.
Could the casing withstand the torque? What if the cas-
ing got stuck before total depth was reached? Concerns
about maintaining well control and handling a well con-
trol situation had to be addressed.
Another key concern was the risk of drilling without a
borehole protector at the wellhead housing. Te solution
was a two-stage wellhead housing with emergency slips
and seals that could be inspected for damage afer cement-
ing each string. In three jobs no damage was observed.
While rig issues and the drilling plan were being ad-
dressed, a geophysical advisor was studying the seismic
section where the wells were to be drilled. Incoherencies
were observed in the seismic dataset that seemed to cor-
relate with drilling problems on ofset wells. While there
was no clear explanation of the relationship between in-
coherencies and problems, it was decided to err on the
side of prudence and modify the well trajectories to avoid
the incoherencies.
Meanwhile, it was suggested to employ a point-the-bit
RSS augmented by an in-line mud motor for best trajec-
tory control and hazard avoidance. Te RSS and mud
motor were specifcally selected for operation in con-
junction with an under-reamer hole-opener. Te entire
bottomhole assembly (BHA) could be retrieved for bit
changes or changing LWD tools if necessary.
Te low-speed, high-torque mud motor was specif-
cally selected because it allowed adequate fow rates while
maintaining a modest bit speed. By only delivering a 110-
rpm to 130-rpm bit speed, the casing rotation could be
maximized so that the maximum rpm of 185 rpm at the
LWD tools would be seen. Te increased rotary speed re-
duced ECD efects in the casing by openhole annulus and
was still well below the allowable fatigue cycles on the
casing and its connections.
Buildup rates were planned to stay below 3.5/30.5 m
(100 f) to avoid fatigue strain on the connections. Afer
modeling on the two most difcult wells, a mixed string
was used with premium connections and 47 lb/f L80
casing on bottom and 53.5 lb/f P110 casing on top. Te
third well was able to use 47 lb/f L80 casing all the way.
A big advantage of the CWD technique is the plaster-
ing efect of the cuttings and wall cake against the bore-
hole due to the close tolerance of the casing-borehole
annulus. Te rotating casing seems to smear the mud
into place like plaster on a wall. Laboratory studies con-
ducted by others have confrmed that the greatly reduced
cutting size distribution has a very positive efect on fl-
tration and losses.
Observances on previous casing-drilled wells have
confrmed that the efect results in better loss control and
CWD Derisks Australian Offshore Drilling Operations
n Originally promoted as a cost-saving technology, CWD has emerged as the go-to technique to improve
infll drilling in this mature ofshore feld.
By kyLE S. grAVES, APAChE EnErgy LTD.;
AnD DELImAr CrISToBAL hErrErA, SChLumBErgEr
The recent CWD wells in the Stag Field are highlighted (43h, 44h and 48h). (Image courtesy of Apache)
This shows the correlation in the Stag Field between drilling problems and incoherencies. Stag 37 was placed in an
area of high incoherency. Stag 36 was relocated to an area with no incoherencies. (Image courtesy of Apache)
Continued on next page
borehole stability. Cuttings-laden mud returns fowing
in the tight annulus seem to have enough energy to move
the cuttings. A potassium chloride/polymer mud system
was ultimately selected over a more inhibitive system as
it reduced any balling tendencies, mitigating the risk of
RSS housing roll and giving the best CWD results.
Successful application
Te CWD technology was proven as a viable solution for
drilling through problematic intervals. Te technology
was used on these applicationsin increasing complex-
itysuccessfully from a trial to performance/envelope
stretching exercise and ultimately as a key enabler. CWD
technology is changing the way future Stag oilfeld wells
are drilled and should be considered for everyday wells
in diferent areas as a viable drilling method.
Te success achieved opens the door for new technolo-
gies that can be used either from jackups or foaters. Liner
drilling with retrievable RSS BHAs (Multi-Set liner hanger)
is being considered as a natural continuation of CWD suc-
cess. Tis technology allows the operator to
extrapolate the observed benefts of CWD in
a deepwater environment. n
Tis article was prepared based on SPE
166166, presented at the 2013 SPE Annual
Technical Conference and Exhibition held in
New Orleans, La., Sept. 30 to Oct. 2, 2013.
Tis article frst appeared in the March 2014
issue of E&P magazine.
43 oTC ShoW DAILy | mAy 5, 2014 | PrEVIEW
These are the different levels of CWD systems. (Image courtesy of Schlumberger)
Te technology resolves problems that
occur with conventional methods that typ-
ically call for stopping wellbore fuid circu-
lation during connections and restarting
circulation afer a new drillpipe stand is
connected. Even a few minutes pause in
mud circulation might introduce wide vari-
ations in ECD and spikes in downhole pres-
sure as fuid conditions in the well oscillate
between dynamic and static.
When drilling within a narrow operat-
ing window between a pore pressure gra-
dient and a fracture pressure gradient, this
oscillation and abrupt ECD change can
lead to fuid losses or a kick that can lead
to containment problems at the wellhead.
A CFS contributes to more rigorous deep-
water well control methods without com-
promising operational efciency. Te system
is based on semi-automated operation of a
sub made up with each stand of drillpipe.
Te use of the sub allows fow to continue
while drillpipe connections are being made,
including drilling and tripping operations.
Key components include the CFS sub, a
mechanized clamp assembly that connects
to the sub to facilitate mud fow, a hydru-
alic power unit to operate motors and a
mud fow control manifold.
Te sub features a ball valve to stop up-
ward mud fow during connections. Criti-
cally, the valve still provides a fullbore
inside diameter while in drilling mode. A
sliding sleeve in the sub allows fuid to be
pumped downhole when making connec-
tions. Connecting the clamp assembly with
the subs side port sequences the opening
and closing of the valve and sleeve.
Deepwater innovation
From closing the loop on dynamically po-
sitioned drilling vessels to the CFSs ability
to smooth out pressure spikes in delicately
balanced wellbores, advances in CLD and
MPD are adding new levels of perform-
ance to deepwater operations. n
DRILLINg continued from page 27
continued from page 42
44 PrEVIEW | mAy 5, 2014 | oTC ShoW DAILy
Te service detects fuid infux and loss in the well
quickly and reliablyeven at very low volumesallow-
ing more time for remedial action, the company said. Te
advantage can be as much as fve to 10 minutes com-
pared with conventional systems.
Te system is calibrated to compute the theoretical re-
turn fow from the well in real time. A Coriolis fowmeter
installed in the return fowline measures the actual fow.
By comparing the measured and theoretical return fows,
the FLAG service can detect a gain or loss almost as soon
as it occurs. Monitoring the fowline instead of the mud
pit ensures faster detection of fuid loss and gain and a
more accurate depiction of downhole conditions unaf-
fected by surface events.
Te algorithm is accurate under a number of operating
conditions including drilling, circulating and cementing.
For more information about the FLAG Fluid Loss and
Gain Detection Service, visit M-I Swaco, a Schlumberger
company, at booth 4541.
Tool Reduces Rathole Length while Saving Rig Time
Halliburton Drill Bits and Services has received an
award for its TDReam Tool. In traditional reaming-
while-drilling bottomhole assemblies (BHAs), the reamer
is placed above the rotary steerable system and LWD
tools. Tis creates a long rathole and requires an extra trip
to enlarge the hole to total depth. Te TDReam Tool is
designed to signifcantly reduce rathole length and reach
total depth in one run when run in conjunction with a
traditional reamer.
Te TDReam Tool has the added benefts of opti-
mized steerability and fuid fow and reduced tool
length, the company said. Te tool is about .95 m (3.1
f) long on its own and about 1.3 m (4.3 f) with the bit.
Te balanced concentric tool reduces BHA vibration
compared with eccentric tools or bicenter bits, improv-
ing steerability and stability. A shear pin prevents tool
activation while drilling out shoe track, and there are no
locking devices, which prevents pistons from inadver-
tently locking in the open position.
For more information about TDReam Tool, visit Hal-
liburton at booth 2271.
Technology Increases Operating
Range of High-pressure Swivels
SBM Ofshore has received an award for the Very High
Pressure Fluid Swivel. Te new technology increases the
operating range of high-pressure swivels by using a
patented technique to cascade the pressure drop over
multiple seals.
Te 12-in. prototype toroidal swivel has been through
long-term endurance test runs and has been fully quali-
fed to 12,000 psig. It has the potential to operate at more
than 14,500 psig, the company said. Te swivel is de-
signed for gas or water injection from FPSO units into
ultrahigh-pressure reservoirsthe Lower Tertiary felds
of the U.S. Gulf of Mexico, for example.
For more information about the Very High Pressure
Fluid Swivel, visit SBM Ofshore at booth 4131. n
Editors note: For details on the rest of the winners, see
part 2 of the Spotlight Awards in the Tuesday, May 6,
edition of the OTC 2014 Show Daily.
The FLAg detection service detects fluid influx and loss
quickly and reliably allowing more time for remedial
action. (Source: Schlumberger)
SPOTLIghT continued from page 5
The TDream Tool significantly reduces rathole length
and is designed to reach total depth in one run when
used in conjunction with a traditional reamer. (Source:
halliburton)
The Very high Pressure Fluid Swivel is designed for gas
or water injection from FPSo vessels into ultrahigh-
pressure reservoirs. (Source: SBm offshore)
Industry news
$1.5 billion in revenues to date, to create a new growth seg-
ment for ION in the lucrative 3-D multiclient market.
We are pleased that ION has elected to participate in
this timely new 3-D project ofshore southwest Ireland,
said Rolf Ronningen, Polarcus CEO. Te South Porcu-
pine Basin is a Mesozoic rif basin that is attracting sig-
nifcant interest ahead of the forthcoming Irish 2015
Atlantic Margin Oil and Gas Exploration Licensing
Round. IONs unique SPAN data available in the area
will provide important geological and geophysical infor-
mation to ensure optimum imaging of key geologic
structures and assist in the understanding of the major
structural elements across the basin. Te project has re-
ceived previously announced industry underwriting.
Acquisition is expected to commence in late June. Data
are expected to be available in early 2015. For more in-
formation, visit iongeo.com/porcupine3D.
OneSubsea Ships 100th
Tree From malaysia Facility
OneSubsea has shipped its 100th subsea tree from its
manufacturing facility at the Port of Tanjung Pelepas
in Johor, Malaysia.
The state-of-the-art facility has been operating
since 2007 providing subsea wellhead systems, valves
and trees across the globe. The first subsea tree man-
ufactured at the Johor facility was shipped in 2008.
Our Johor facility is one of the premier manufac-
turing facilities in Malaysia, OneSubsea CEO Scott
Rowe said. This milestone would not have been
achieved so quickly without the hard work and dedi-
cation of our local employees.
To learn more, visit onesubsea.com.
Subsea 7 Building New-generation hCV
Subsea 7 has revealed the specifications for its new-
generation heavy construction vessel (HCV), which
will be named the Seven Arctic. The vessel is being
built in South Korea for delivery in 2016 and is de-
signed in direct response to demand for larger vessels
with higher capabilities to execute complex projects
more quickly and cost-effectively.
The new HCV will be equipped with a 325-mt top
tension Huisman Vertical Pipelay System, a 7,000-mt
MAATS underdeck basket for storage of flexible
pipe/umbilical and a newly designed 900-mt Huis-
man Rope-Luffing Knuckle-Boom Crane.
Visit Subsea 7 at booth 1865 for a chance to see the
Seven Arctic model and a new animation of the vessel.
Weatherford gains exclusivity of
Nanotube Wire, Cable Products
Weatherford International Ltd. has entered into an agree-
ment with CurTran LLC to use, sell and distribute
LiteWire, the frst commercial-scale production of a car-
bon nanotube technology in wire and cable form.
With LiteWire products, we gain exclusivity to a
revolutionary technology that will greatly add value
to our business, said Dharmesh Mehta, COO for
Weatherford. The use of LiteWire products allows us
to provide safer, faster and more economic solutions
for our customers.
In addition to using LiteWire in its global opera-
tions, Weatherford will be the exclusive distributor of
this product in the oil and gas industry.
Weatherford is an ideal first customer for LiteWire
because the oil and gas industry is the most demand-
ing arena for any cable product, said Gary Rome,
CEO and president of CurTran. It is a long-term con-
tract with a forecasted average value of more than
$350 million per year.
Baker hughes and Aker Solutions Form
Subsea Production Alliance
Baker Hughes Inc. and Aker Solutions ASA have formed
an alliance to develop technology for production solu-
tions that will boost output, increase recovery rates and
reduce costs for subsea felds, according to the companies.
Te non-incorporated alliance will combine Aker Solu-
tions' strengths in subsea production and processing sys-
tems with Baker Hughes' expertise in well completions and
The Seven Arctic will be built to execute complex proj-
ects quickly and cost-effectively. (Source: Subsea 7)
continued from page 41
Continued on next page
45 oTC ShoW DAILy | mAy 5, 2014 | PrEVIEW
initial model. Velocities measured at total depth con-
firmed the updated model predictions. The revised
pore pressure estimates were within 0.25 ppg
(0.03gal/cc) of the actual measurements down to 3,353
m (11,000 ft), while the initial predrill estimates dif-
fered from the actual by as much as 2.1 ppg (0.25
gal/cc). This difference in pore pressure is significant
in that it can equate to the entire mud weight window
in deepwater drilling environments.
A West African ofshore feld study also demonstrated
the efciency of the service in predicting pore pressure
estimates accurately and quickly. Te team used regional
and ofset well data to build an initial predrill model with
corresponding formation property estimates. Te objec-
tive was to rebuild the model within 48 hrs by integrating
actual well data obtained from the shallower section.
Te team completed the real-time update phase in 36
hrs. Te updated model correctly predicted two major
pore pressure ramps. It successfully located the second
ramp within 50 m (165 f) of its actual position, while the
initial model predicted it to be 200 m (656
f) deeper than the actual location.
Te SGD service benefts ofshore oper-
ators by providing critical information
needed for proactive drilling decisions in
highly complex wells. Te new service re-
duces nonproductive rig time and miti-
gates safety and environmental risks by
decreasing subsurface uncertainty and im-
proving pore pressure estimates several
thousand feet ahead of the bit.
For more information on SGD, visit
Schlumberger booth 4441 or slb.com/SGD. n
of up to 3,500 m. It is anticipated that the project might
be sanctioned later this year.
Yet, the most ambitious deepwater project to date is
Phase 1 of the South East Development Area project in
Block 31 ofshore Angola. Operator BP plans to exploit
six discoveries in water depths of up to 3,272 m (10,735
f) via an FPSO scheme, with another FPSO vessel under
consideration for a second phase of the project to exploit
the Dione, Oberon and Urano discoveries. Awards for
the FPSO units are expected to be fnalized in mid-2015.
Te majority of Angolas oil and gas projects are in
prolifc deepwater blocks, where presalt potential is at-
tracting a number of major players to the region.
U.K. oil and gas companies have a proven reputation
for developing advanced technologies that have been re-
fned for more than four decades of operation in the
North Sea. Here, U.K. suppliers have continually pushed
the limits of technological advancement for the safe and
cost-efective exploration of reserves. Visit the U.K.
Pavilion at booth 2241 to booth 2641 at OTC 2014. n
PReDICTION continued from page 25 DeePWATeR continued from page 24
artifcial lif technology to deliver reliable, in-
tegrated in-well and subsea production so-
lutions that will help mitigate risk, accelerate
output and extend the life of subsea felds.
Te alliance team also will focus on advanc-
ing the industry's well-intervention capabil-
ities to further optimize efciency and
reduce risks in subsea developments.
Te structure of the alliance provides the
fexibility for each company to ofer any
products and services to design the best so-
lution for production challenges.
"Deepwater subsea felds have so far been
characterized by low recovery rates, and new
discoveries in deeper and more hostile envi-
ronments are making these felds even more
costly to develop," said Martin Craighead,
Baker Hughes chairman and CEO. "Te sin-
gle-digit recovery rates currently being
achieved at many of these felds don't sup-
port a sustainable business model. By joining
forces, Baker Hughes and Aker Solutions
will identify and integrate the most efective
combinations of in-well and subsea tech-
nologies, enabling greater production
ratesefciently and economicallyfrom
subsea felds."
"Subsea factory development is a key
focus for Aker Solutions and the partner-
ship with Baker Hughes will provide critical
capabilities that will help us develop tech-
nologies to create a fully functioning subsea
production system which will improve re-
covery rates and lower costs for oil produc-
ers, said Oyvind Eriksen, Aker Solutions'
executive chairman.
Baker Hughes' Brage Johannessen and
Aker Solutions' Svenn Ivar Fure will lead the
alliance for their respective companies as
general managers. Te alliance core team
will be co-located and based in Houston.
Implementation of the alliance is subject
to obtaining any required antitrust or other
regulatory approvals. n
continued from page 44
For security purposes, attendees are required to
wear their oTC name badge and badge holder at
all times. According to oTC, use of a badge by a
person not named on the badge is grounds for
confiscation. If you lose your conference badge,
please return to registration for a replacement.
An adult must accompany attendees 15 to 18
years of age. no one under 15 years of age will
be admitted to oTC.
Also expect additional security measures as you
approach each entrance location of reliant Park.
Security personnel will be positioned at the en-
trances and may ask you to open your backpack
or boxes for a visual inspection. If you observe
any suspicious activity or have any security
concerns, please contact oTC headquarters
(+1.832.667.3014).
SAFE AnD SECurE AT oTC
46 PrEVIEW | mAy 5, 2014 | oTC ShoW DAILy
Te time involved has also been signifcant, he said,
making it a challenge to balance the responsibilities of his
day job as well as his family with what is, in essence, an
additional occupation. But hes not complaining.
While there has been a requirement to spend more time
working OTC issues, I couldnt be happier or feel more
privileged to have the responsibility of this role, he said.
Joe Fowler has taken over the vice chairman position
and will succeed Stokes as chairman at next years event,
subject to the requirement in the bylaws to obtain confr-
mation of the OTC board of directors. He has already
spent considerable time on the OTC board, serving as
chair of the awards committee, the Spotlight on New
Technology committee, the Arctic Technology Confer-
ence Oversight committee and the audit committee.
To me, the long-term success of OTC is a result of the
cooperation of the 13 professional societies and two in-
dustry groups that sponsor it, Fowler said. Rarely, if ever,
in the engineering profession does such a broad and di-
verse group of technical people and trade groups come
together to share the latest, greatest and most important
technical achievements of an entire industry. Tis coop-
erative spirit has been the key to OTCs success since its
founding and continues to be the key to our success today.
To me, the greatest duty of the ofcers is to continue
that cooperation.
OTC has thrived on cooperation, and this has enabled
it to expand its oferings over the years. Stokes pointed to
such additions as the annual dinner, at which the OTC
Distinguished Awards are given. Proceeds from this event
support a national or international charity that is making
a diference in the world, he said. Other additions have
included networking events like Women in the Industry
Sharing Experiences (WISE), as well as three other global
conferences: OTC Brasil, the Arctic Technology Confer-
ence and OTC Asia.
I wonder what the people who started OTC would
think about it today, he said.
And the directors are already looking forward to 2015,
at which OTC will launch the next big thing, Stokes
said. Everyone should be looking out for something
called d5, he said. On the exhibit side, the conference
has pretty much reached its limits on space, although or-
ganizers continue to try to fnd ways to increase the area
to get in more exhibitors. We recognize exhibitors and
their development and innovation in technology by pre-
senting the prestigious Spotlight on New Technology
Awards, he said. Tese recognize new technologies that
are just coming into the market that will help our indus-
try move forward.
Plans regarding the 45th anniversary celebration are
in preparation. Te OTC staf has done most of the plan-
ning for this event, which will be held Wednesday
evening at Reliant Stadium. We are going to have a Bea-
tle tribute band for entertainment that will be great fun,
Stokes said. Other festivities are also in the works, in-
cluding a special commemoration to all the people who
have worked on OTC over the past 45 years. Tese peo-
ple did their work and have now lef the scene. Tey did
this work without expectation of accolades. However,
afer this much time and because of the great success the
conference has had, recognition of their contribution is
something we need to do so we dont forget who these
people were, Stokes said. So this year we will be com-
memorating the leadership of the past as well as shar-
ing things that have happened over the last 45 years by
unveiling a glass trophy case. Within the case there will
be five main elements: the names of the Distinguished
Award winners; the program committee chairmen and
board chairmen since the beginning; pictures from the
past and present; and the awards that OTC itself has
won, like the award it won last year as the greatest
show on earth. The glass trophy case will provide a
permanent reminder of the history and legacy of OTC
and a place to continue to recognize people who have
contributed to its success. It will be located on the
ground floor near the main entrance and will be there
for all to see who attend any kind of future conference
held at Reliant Center.
While no one knows what the next 45 years will bring,
the near term looks rosy for the ofshore industry. Over
the next 25 years, energy demand is estimated to increase
by about 30%, Stokes said. Tis additional energy will
have to come from many places. Deepwater is going to
be one of them. Tere is simply no other choice but for
us to continue to do all we can to help stimulate the
growth of our industry by facilitating the exchange of
knowledge through networking, sharing lessons learned,
encouraging the development of new technology and ed-
ucating young people [who are] considering joining our
industry as well as the public in general. Trough this we
will be able globally to provide the energy the world
needs and do it in a safe, sustainable and environmentally
friendly way. n
ChAIRmeN continued from page 1
years technical program chairwoman. It is a global com-
munity of professionals with common needs and challenges.
Tat global community represents more than 120 coun-
tries, Chin said, making OTC the largest energy-related
technology conference in the world. Tat is what makes
this years theme, Come Together, so ftting, she said.
Putting on such a large conference that entertains the
worlds offshore elite takes a great coordinated effort.
Chin said this years OTC Program Committee com-
prises 14 subcommittees24 members representing 12
sponsor organizations, with the chair and vice chair of
12 subcommittees that comprise more than 200 sub-
committee membersin addition to two special-task
subcommittees for The Next Wave event and The Net-
work Event.
Chin said Te Next Wave is a cant miss program for
young professionals. It will take place Monday, May 5,
from 8 a.m. to 4 p.m. Titled Te First Decade, Te
Foundation of Your Career, Chin said the program will
take those just starting their careers in the industry on a
journey of what to expect and how to get ahead.
During the event we will come together with sea-
soned industry leaders and young professionals and learn
how to make the most of the frst 10 years of our careers,
Chin said. For the frst time, our panel session has been
remodeled into an empire session where the discussion
will climb a pyramid as we take participants through
three journeys: 1) your beginningthe frst fve years;
2) your recognition: fve to 10 years; and 3) your accel-
eration: 10 years and beyond.
Te roundtable breakouts encourage interactive shar-
ing, allowing an opportunity to discuss and explore ca-
reer development options and common themes with
thought leaders and peers on a variety of focused topics,
she added.
Chin said she is expecting engaging questions and
answers to come from the table sessions because they
will be broken into small groups, allowing industry
professionals to focus on the three levels of their ca-
reer. Leigh-Ann Russell, vice president of perform-
ance for global wells at BP, will be The Next Waves
keynote speaker.
While those new to the industry attend Te Next
Wave, those who are helping to shape the industrys fu-
ture may also want to attend the new topical breakfast
session, Global Subsea University AllianceProviding
Talent for the Industrial Future presented by Matthew
Franchek, director of subsea engineering at the Univer-
sity of Houston. Te session will be held on Wednesday
from 7:30 a.m. to 9 a.m.
The workforce is aging, Chin explained. A genera-
tion will retire soon, and a new generation will enter.
We need to face this challenge and prepare for our in-
dustrys future.
With that future in mind, Chin said another new ses-
sion at OTC this year will be led by former astronaut
Mike Bloomfeld, now vice president and general man-
ager of Oceaneering Space Systems. Te topical breakfast
session, Oil & Gas Industry Commercial Use of NASAs
Neutral Buoyancy Laboratory, will take place on Tues-
day from 7:30 a.m. to 9 a.m. As more subsea projects
come online, companies like Statoil, which is developing
the worlds frst subsea factory, are looking to NASA to
partner with them as they explore new frontiers.
While NASA aids with subsea breakthroughs, Chin
said OTC has invited Japan Oil, Gas and Metals National
Corp. (JOGMEC) to lead a session focusing on gas hy-
drate as a new energy sourcenot as a geohazard or
fow-assurance hazard. She said JOGMECs session will
refect the recent technological breakthrough in produc-
ing seabed hydrate to the surface. Tis session will be
held on Wednesday from 9:30 a.m. to noon.
Chin said there is something for everyone at the 45th an-
nual OTC. Speakers will present 48 technical paper sessions
on hot topics, key issues, new technologies, industrial
trends and ofshore projects, and nine panels will cover
some of the ofshore industrys broader topics such as How
Will the Unconventional Play Revolution Impact the Of-
shore Deepwater Industry? and the session, Global En-
ergy Outlook: Shaping the Future. Tese panels will take
place on Monday from 2 p.m. to 4:30 p.m., and on Tuesday
from 9:30 a.m. to noon, respectively. Fifeen topical/indus-
trial breakfasts and 13 such luncheons will also be held
throughout the weeklong OTC 2014, Chin said.
All of these events are designed to educate the masses
attending the conference, but Chin said everyone should
take advantage of at least one of the four networking
events that allow the opportunity to engage closely with
the industrial leader on the hot topics in a more relaxed
atmosphere.
Chin said those four cant-miss networking events
include:
Women in Industry Sharing Experiences on
Monday, May 5, from 4 p.m. to 6 p.m.;
Mexico Energy Reform on Tuesday, May 6, from
4 p.m. to 6 p.m.;
Performance of Major Projects on Tuesday, May
6, from 4 p.m. to 6 p.m.; and
Innovation Across the Pacifc Rim on Wednesday,
May 7, from 4 p.m. to 6 p.m.
As industry professionals come together this week to
network and learn how to meet tomorrows challenges,
they will have an opportunity to learn from the best in
the business. Among the best are those who will take
home Distinguished Achievement and Heritage awards
in recognition of their past contributions, and those who
have won a coveted Spotlight on New Technology award
for the innovative and proven technology theyve devel-
oped and deployed within the last two years. Te Distin-
guished Achievement and Heritage awards were
scheduled to be presented Sunday night during the an-
nual OTC dinner. Te Spotlight on New Technology
presentation will take place on Monday, May 5, at 4 p.m.
at Reliant Center. n
PROgRAm continued from page 1
Te renaissance of the North American oil and
gas business has led to a previously unthinkable
trend reversal. Having been on a 35-year down-
ward slide in terms of oil production, the period
between 2008 and 2014 has seen the greatest
growth in more than a century. Te result is that
North America is likely to be the No.1 oil exporter
by the early 2020s, representing a profound
change. Who could have foreseen that less than a
decade ago?
Tis years event, therefore, could not be better
timed. So, on behalf of the organizers of OTC, and
also on behalf of Hart Energy, we welcome you to
the Ofshore Technology Conference.
Tose who have attended before, and there will
be many of you, already recognize the importance
of keeping up with the fast pace of change in this
industry and the emerging trends. It also remains
crucial to network with your peers (more than
90,000 from around 120 countries are expected to
attend) at the many events being held in and
around this event.
While youre here at OTC, and in your business
dealings aferward, we wish you an enjoyable and
successful stay. n
TRANSITION continued from page 1

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