7.7 C
New York
Home Blog Page 1272

Investment in Oil and Gas Needs to Increase by Twenty Percent

0

Wood Mackenzie forecasts that global oil and gas development spend needs to increase by around 20 percent to meet future demand growth and ensure companies sustain production next decade. However,  decision-making will be fraught with uncertainties about oil prices and the energy transition.

Wood Mackenzie’s research shows that development spending will increase five percent this year, after a two percent rise on 2017. Investment is expected to rise from $460 billion in 2016 to just over $500 billion in the early 2020s – far below the $750 billion peak in 2014.

Tom Ellacott, senior vice president, corporate research, said: “Four years of deep capital rationing have had a severe impact on resource renewal, especially in the conventional sector. Companies are rightly cherry-picking the best conventional projects in their portfolios for greenfield development. But not enough new high-quality projects are entering the funnel to replace those that have left.

As a result, conventional growth inventories have shrunk during the downturn. Global pre-FID conventional reserves now only cover two years of global oil and gas production. While there is a new wave of big LNG projects coming, investment in conventional, deepwater, U.S. shale gas and oil sands will be well below pre-downturn levels. Only U.S. tight oil is set for consistent investment growth over the next few years, driven by the Permian.

The result is a corporate sector divided in two: the U.S. tight oil “haves” with a strong outlook for investment and growth; and the “have nots,” the majority of which face a looming production challenge next decade. 

Wood Mackenzie calculates that annual development spend will need to increase to around $600 billion to meet future demand for oil and gas through next decade. But Ellacott does not expect a rush to re-invest.

Many companies will justifiably be concerned about committing substantial capital to long-term projects with peak oil demand and energy transition risks within the investment horizon,” he said. “There's also a prevailing mindset of austerity designed to appease shareholders — investment is lower in the pecking order for surplus cash flow than dividends and buy-backs.

Wood Mackenzie expects strict capital discipline to continue to frame investment decisions, at least in the near-term. This will favor short-cycle, higher-return opportunities. Exploration success will be a crucial factor in replenishing depleted conventional inventories. However, exploration budgets were slashed 60 percent during the downturn and have yet to recover. 

Source:maritime-executive

The Heritage Foundation: The U.S. Navy Needs 400 Ships

0

Thomas Callender, a Senior Research Fellow for Defense Programs at The Heritage Foundation, has released a report saying the U.S. needs a 400-ship Navy in order to win in conflict.

America’s shipbuilding industrial base has the capacity to build at least an additional 22 amphibious warships, 20 frigates, and 24 combat logistics force ships between FY 2020 and FY 2039, he says. “To achieve the 400-ship Navy goal by FY 2039 with the recommended force mix would require an additional $4 billion–$6 billion annually above the current long-range shipbuilding plan. If Congress and the DoD fail to prioritize and provide stable funding for this long-term shipbuilding plan, our nation’s ability to deter aggression and win in conflict when necessary will be at risk.”

The study indicates the goal of 400 ships provides the recommended minimum numbers of battle force ships required to handle two simultaneous or nearly simultaneous major regional conflicts with a 20 percent additional margin. The extra 20 percent capacity serves as a strategic reserve and helps the U.S. to maintain an enduring peacetime global forward naval presence. Although U.S. defense strategies have varied over the past 25 years, the need for America to conduct two nearly simultaneous major combat operations has been a consistent theme.

400 ships is a significant increase from the U.S. fleet’s 286 battle force ships as of October 2018.

Callender says the U.S. Navy needs a minimum of 400 battle force ships to:

•  Effectively provide the 13 carrier strike groups and 12 expeditionary strike groups required to meet the two-confict construct;
•  Provide the historical steady-state demand of approximately 100 ships constantly forward deployed in key regions around the world; and
•  Have sufficient capacity to maintain its ships properly and ensure that its sailors are adequately trained to “fight tonight.

In the past, U.S. President Donald Trump has noted that the nation currently has the lowest number of ships since World War I, a situation he made an election promise to change. The Navy is currently planning for a fleet of 355 ships.

The Heritage Foundation has been known to influence U.S. policy. The independent think-tank's mission is to “formulate and promote conservative public policies based on the principles of free enterprise, limited government, individual freedom, traditional American values and a strong national defense.”

Source:maritime-executive

Wagenborg christens second walk to work vessel

0

Wagenborg Offshore has unveiled the walk to work emergency response and rescue vessel Kasteelborg on the Nieuwediepkade in the port of Den Helder.

The Kasteelborg will serve as standby and support vessel in collaboration with the Kroonborg, which was commissioned almost three years ago, with maintenance of the unmanned platforms on the southern North Sea.

Nederlandse Aardolie Maatschappij and Shell UK Exploration & Production have signed a six-year agreement with Wagenborg Offshore for the deployment of this second walk to work vessel. 

The Kasteelborg is similar in size to the Kroonborg, but her activities are different in nature, the company said. The Kasteelborg is mainly used for emergency work and interventions, such as starting up installations and performing minor corrective maintenance. This allows the Kroonborg to concentrate on the larger planned maintenance campaigns.

Both vessels operate from Den Helder, since this port is located strategically with respect to the southern North Sea.

Source:offshore-mag

MARPOL compliance and distances ‘from the nearest land’

0

A Gard Member’s vessel was recently detained in an Australian port for illegally discharging food waste into Australian waters. The alleged incident took place when the vessel was proceeding at 13 nautical miles (nm) from shore, or more precisely, from an island off the north-east coast of mainland Australia.

A few months earlier, another Gard Member’s vessel was penalised in China for the same reasons, that is, for illegally discharging food waste into Chinese waters. According to this vessel’s log book, it had been approaching Ningbo Port at the time of the alleged incident and the crew had taken all necessary precautions to ensure that the vessel was at least 12 nm from the Chinese shore before discharging any food waste. So why were the two vessels penalised?

MARPOL Annex V at a glance

The MARPOL Convention prohibits discharge into the sea of nearly all forms of garbage, including plastic. It does, however, contain a specific exemption for food waste. Under MARPOL Annex V, discharge into the sea of food waste is permitted while the vessel is en route and as far as practicable from the nearest land, but in any case, not less than 3 nm from the nearest land if the discharged food waste has been comminuted or ground, and not less than 12 nm for unprocessed food waste.

Stricter discharge standards do apply in the so-called ‘Special Areas’, however, neither Australia nor China have designated any Special Areas for the purposes of MARPOL Annex V.

Nearest land under MARPOL

When discharge standards under MARPOL require you to be a specified distance from the nearest land, the term ‘from nearest land’ generally means from a country’s territorial sea baseline. There is, however, one exception to this general definition. On the north eastern coast of Australia, Australia’s nearest land boundary extends around the outer edge of the Great Barrier Reef (GBR) region and discharges permitted under MARPOL must be measured seaward of this boundary. The IMO has designated the GBR region as a particularly sensitive sea area (PSSA) and additional protection measures, such as ship routeing systems and restricted discharges, therefore apply to vessels that transit the region. The Australian Maritime Safety Authority’s (AMSA) website “Navigation through the Great Barrier Reef and Torres Strait” contains an overview of all key requirements.

Also note that not all countries define their baselines in the same way. For many countries, the baseline for establishing the territorial sea is drawn at the low-water line, as stated in official charts. Perhaps the easiest way to think of a normal baseline is as an “outline” of a country’s coast. However, a number of countries have established baselines as straight lines between prominent coastal features and others claim “archipelagic status” with baselines joining outlying islands. Such countries’ baselines can therefore lie many nautical miles off their coasts.

So – getting back to why the two vessels were penalised for illegally discharging food waste into the sea:

  • In the Australian case, the crew had discharged food waste at a position well beyond the 12 nm limit measured from Australia’s territorial baseline but failed to recognise that the vessel was operating within the GBR region. The exact coordinates for the GBR region is included in MARPOL’s definition of ‘nearest land’ and a visual map can be downloaded from AMSA’s website.
  • In the Chinese case, the crew was not aware that China has declared straight baselines along parts of its coast. In accordance with China’s Declaration of 15 May 1996, the baseline off Ningbo Port is drawn between points situated on two fairly remote islands and basically pushes the territorial sea limit further seaward. Hence, the crew had discharged food waste at a position well beyond the 12 nm limit as measured from China’s shoreline but failed to recognise that the vessel was still operating within Chinese waters.

In both cases the crews had acted in good faith at all times and there was no attempt to deliberately circumvent the requirements of MARPOL.

Considerations and recommendations

In the two cases described above, discharges were related to MARPOL Annex V and garbage. However, other discharges from vessels controlled by the MARPOL Convention also have a minimum distance from the nearest land requirement that must be met.

Masters must make sure that environmental issues are considered in voyage and passage planning. Areas where specific marine environmental measures apply should be noted in the detailed passage plan. IMO’s circular MEPC.1/Circ.778/Rev.3 provides an overview of all Special Areas defined under MARPOL Annexes I, II and V and Emission Control Areas (ECAs) defined under MARPOL Annex VI. The circular also lists all IMO designated PSSAs and their associated protective measures.

Operators must ensure that vessel procedures, such as the Garbage Management Plan, and nautical charts contain all relevant information and are up to date. According to AMSA, vessels that do not carry adequate and up-to-date nautical charts may be detained and refers to this media release as an example of such a detention. Relying on unofficial charts demonstrates inadequate voyage planning under a vessel’s safety management system. It may also indicate that a vessel may be in an unfit state for the voyage or poses a threat to the environment.

Vessel crews must be reminded that ’nearest land’ in MARPOL does not necessarily mean the ‘nearest shoreline’. In Australia, the nearest land boundary extends around the outer edge of the GBR region. Other countries have established baselines which lie off their coasts and it is from these baselines that the minimum distance requirements apply.

Consult your local agents if there is any doubt surrounding the baselines and any designated areas adopted locally. And remember, while discharge of food waste may be permitted, the food must not be contained in a plastic garbage bag since plastic cannot be discharged into the sea under any circumstances.

Source:hellenicshippingnews

DOI approves first oil production facility in federal waters off Alaska

0

The US Department of Interior has announced a long-awaited development for oil and gas energy production offshore the state of Alaska. Interior’s Bureau of Ocean Energy Management (BOEM) has issued conditional approval to Hilcorp Alaska LLC for its Liberty Project oil and gas development and production plan. If developed, the facility would be the first oil and gas production facility in federal waters off Alaska.

Hilcorp proposes to build a nine-acre artificial gravel island in the shallow waters of the Beaufort Sea, about 20 miles east of Prudhoe Bay and about five miles off the coast. The facility would be similar to the four oil-and-gas-producing artificial islands currently operating in the area’s state waters: Spy Island, Northstar Island, Endicott Island and Oooguruk Island.

Approval conditions include: restricted drilling into the hydrocarbon-bearing zone, which may occur only during times of solid ice conditions; seasonal restrictions on activities and vessel traffic to reduce potential disturbance to Cross Island subsistence whaling activities; and obtaining all required permits from other state and federal agencies.

BOEM says that the plan was conditionally approved only after incorporating input from the public, and from North Slope communities and tribal organizations. As the project moves forward, BOEM says that it will continue to work with Hilcorp to ensure that all appropriate safeguards are stringently applied.

Source:offshore-mag

Orsted on Taiwan weather watch

0

Orsted has launched an initiative to better understand the dynamics of typhoons and tropical weather patterns in Taiwan.

A Dual-doppler radar system will be deployed in Taiwan to collect the data, once all necessary approvals have been received from the authorities, Orsted said.

The Danish developer also signed memorandum of understanding with National Taiwan University, National Central University, Chinese Culture University and Industrial Technology Research Institute to build a network of knowledge sharing for meteorological development in Taiwan.

Orsted general manager Matthias Bausenwein said: “The Dual-doppler radar project is part of our extensive plan to promote the local collaboration with academic institutions and bodies.”

This project will also bring more local content to Taiwan, as we will need local construction companies and local consultants to deliver the project.

“By bringing the most advanced wind measurement tool to Taiwan, the industry and academia can build a strong platform to further develop technical capabilities in offshore wind.”

Source:Renews

Atlas takes weight for Siemens Gamesa

0

Recruitment company Atlas Professionals is to provide Siemens Gamesa with technical personnel in the Netherlands.

The two-year contract will see Atlas providing a range of skilled personnel to the Dutch arm of Siemens Gamesa, including site managers, service planners, HSE advisors, wind technicians and stock keepers and operatives.

Atlas Professionals strategic manager renewables Joost Pellis said: “This contract award is a perfect start to intensify our relationship with Siemens Gamesa in the Netherlands.”

We will use our knowledge and experience gained over the years to ensure we supply the most competent and experienced professionals to Siemens Gamesa’s Dutch wind projects to help the company reach its goals.”

Siemens Gamesa HR manager in the Netherlands Carin Koole said: “(Siemens Gamesa) is looking forward to the cooperation with Atlas to lead the recruitment for service personnel for both our onshore and offshore wind farms in The Netherlands.”

Atlas’ concept for the recruitment is professional, flexible and demonstrates their expertise. We believe that Atlas is passionate about the wind industry and this is also what we are looking for in our new employees.”

Source:renews

Smulders reveals Deutsche Bucht topside

0

Smulders has rolled out of the assembly hall the substation for Northland Power’s 269MW Deutsche Bucht offshore wind farm for further outfitting.

The fabricator, acting on behalf of the Iemants-Eiffage joint venture, reached the milestone some 10 months after starting final assembly work in January at the Damen Shiprepair Vlissingen yard.

Offshore installation is planned in the first half of 2019 on top of a 60-metre-high jacket foundation, also being built by Smulders.

The Iemants-Eiffage JV was selected by Van Oord for the engineering, procurement, construction and installation contract for the substation platform and jacket.

Damen Shiprepair Vlissingen together with DNSN is managing and supporting the job and is also providing Iemants-Eiffage with skilled workers for welding and painting works, Smulders said.

Meanwhile, Van Oord has contracted Northern HeliCopter NHC to provide transport services to support construction work on Deutsche Bucht.

The contract runs until the end of the project period”, NHC said.

NHC last month expanded its fleet with another EC 155 B1 helicopter to now six machines.

Deutsche Bucht will feature 33 MHI Vestas 8.4MW turbines installed on 31 monopile foundations and two mono bucket foundations.

Commissioning of the wind farm located some 95km north-west of Borkum island is expected in second half of 2019.

Source:renews

Delivery of world’s first LNG cruise ship delayed

0

German shipyard Meyer Werft informed that it will delay the delivery of AIDAnova, the world’s first LNG fueled cruise ship. Before this announcement, AIDA Cruises was planned to receive the cruise ship on November 15, in Bremerhaven.

As Meyer Werft said, AIDAnova is a very complex, innovative ship with many new technical developments. It also presents a challenge for commissioning and testing.

For this reason, and as the shipyard wanted to thoroughly test all systems to ensure smooth operation for the ship, it announced that 'the scheduling of these tests can no longer be kept due to the current configuration status'.

As a result, the start of the first long sea trials and the delivery of AIDAnova will be delayed.

Managing Director Tim Meyer, commented on the occasion:"We very much regret this date change. For MEYER WERFT it is very important that we can thoroughly test and test the ship and finish it in the usual high quality and hand it over to the shipping company AIDA Cruises."

For its part, AIDA Cruises said that despite the delay in delivery, the LNG-fueled vessel will start its maiden voyage as scheduled on December 2 from Hamburg to the Canary Islands.

Source:safety4sea

Port of Kiel launches onshore power supply plant

0

The construction of the first onshore power supply plant for commercial vessels in the Port of Kiel has started. As of spring 2019, big cruise ferries will be able to be supplied with the electrical power they need during the time they are berthed in Kiel.

The onshore power supply plant for the Norwegenkai is part of the BLUE PORT concept: The Norwegenkai onshore power plant, the Schwedenkai Terminal and the Cruise Shipping Terminal Ostseekai will also be equipped with onshore power supply facilities by 2020. The Port aims to provide half of all ship calls in Kiel with onshore power in future.

In addition, this onshore power supply plant will reduce the levels of NOx and particle matters that are being emitted in the port area. In addition, less carbon dioxide will be emitted as well.

The Norwegenkai onshore power supply plant has a maximum power rating of 4.5 Megawatts (MW) at 10 Kilovolt (KV) and a network frequency of 50 Hertz (Hz).

Lars Nürnberger, head of Kiel’s Siemens AG branch office, noted:"The plant is tailored to the needs of the port and the shipping company. As a result of its high power rating in combination with a daily operation, a high environmental benefit can be achieved. In future, emissions on site will equal zero."

The plant will also have a land-to-ship power transfer station (PLUG), alongside the air-insulated, metal-clad, medium voltage switch-board. The PLUG power transfer station incorporates a programmable controller (PLC) which communicates with the medium voltage switchboard in the onshore power sup-ply station.

Switching procedures communicated by the ship via the interface are performed automatically. Before the power transfer from shore to ship takes place, the system checks the functionality of all plug and cable connections. After thus, the onshore power connection is switched on. The ship then synchronises itself with the onshore power plant which replaces the on-board power supply.

Source:safety4sea