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BSEE Modifies Offshore Well Safety Equipment Rules

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In a decision published Friday, the Trump administration's Bureau of Safety and Environmental Enforcement announced that it is eliminating certain offshore safety regulations imposed in the wake of the Deepwater Horizon disaster, which claimed the lives of 11 workers and cost oil major BP roughly $65 billion.

In the notice, BSEE said that it has "become aware that certain provisions in that rulemaking created potentially unduly burdensome requirements for oil and natural gas production operators . . . without meaningfully increasing safety of the workers or protection of the environment." 

To address this concern, BSEE's revision eliminates requirements for third-party inspections of certain well safety valves that are defined by regulation as "Safety and Pollution Prevention Equipment." The revision also eliminates a requirement that this well equipment must be designed for the "most extreme" conditions it would face in service.

The regulation also reduces the number of safety system modification documents that must be certified by a professional engineer. This reduction in engineering review produces "the single largest cost savings resulting from this rule," according to BSEE.

In BSEE's estimation, all the modifications contained in Friday's final rulemaking action could save the offshore industry as much as $13 million per year.

The Center for Biological Diversity, an environmental group based in Washington, took issue with BSEE's decision. “By willfully ignoring Deepwater Horizon’s lessons, Trump is displaying disdain for even modest environmental protections,” said Miyoko Sakashita, ocean program director at the center. “We need to phase out offshore oil drilling, not make it drastically more pervasive and dangerous.” 

The U.S. offshore industry's trade group, the National Ocean Industries Association, said that it welcomes BSEE's "no-nonsense" approach. "We have a rule that is not a safety rollback, but instead incorporates modern technological advances," said NOIA president Randall Luthi in a statement. "The revisions develop a rule that reduces unnecessary burdens placed on industry, while still maintaining world-class safety and environmental protections."

Source:maritime-executive

After Eight Years, Royal Navy Welcomes Back Carrier-Based Jets

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Fast fighter jets are once again flying from a Royal Navy aircraft carrier as the first F-35s have landed on the flight deck of HMS Queen Elizabeth.

Royal Navy Commander Nathan Gray and RAF Squadron Leader Andy Edgell were the first pilots to make history by landing their F-35 Lightning stealth jets on the flight deck of Britain's newest carrier.

Shortly afterwards, Commander Gray became the first pilot to take off using the ship's ski ramp. The flying operations mark the start of more than 500 take-offs and landings set to take place from the warship over the next 11 weeks.

Speaking shortly after the first landing on Tuesday 25 September 2018, Commander Gray said: "No words can explain how it felt to turn the corner at 500mph and see HMS Queen Elizabeth awaiting the arrival of her first F-35 jets. I feel incredibly privileged."

"For a naval aviator it is always a special moment when you spot the carrier in the distance, hidden within a grey expanse of ocean. HMS Queen Elizabeth is a floating city, home to hundreds of fellow sailors and Royal Marines, and it's been a particularly poignant day."

Able to embark up to 24 of the supersonic jets, HMS Queen Elizabeth provides the Royal Navy with a capability possessed by few others.

The jets will be put through their paces over the coming weeks in a range of sea and weather conditions. Having then completed the trials, which are taking place off the east coast of the United States, the aircraft carrier is expected to visit New York.

"I am quite emotional to be here in HMS Queen Elizabeth seeing the return of fixed-wing aviation, having been the captain of the aircraft carrier which launched the last Harrier at sea nearly eight years ago," said Commanding Officer Captain Jerry Kyd. "The regeneration of big deck carriers able to operate globally, as we are proving here on this deployment, is a major step forward for the United Kingdom’s defence and our ability to match the increasing pace of our adversaries. The first touch-downs of these impressive stealth jets shows how the United Kingdom will continue to be world leaders at sea for generations to come."

HMS Queen Elizabeth left her home port of Portsmouth in August, crossing the Atlantic to conduct the flying trials as well as training with the US Navy.

The deployment has also provided an opportunity for the UK’s Carrier Strike Group headquarters team to sharpen their skills in a task group, having been joined on the deployment by Type 23 frigate HMS Monmouth, and a US Arleigh Burke-class destroyer the USS Lassen. More than 1,400 sailors, flight crew and Royal Marines have been working on board the carrier during her deployment.

The Royal Navy's two new aircraft carriers, HMS Queen Elizabeth and HMS Prince of Wales, will project British military power across the globe for the next half a century. Construction work continues at a pace on board HMS Prince of Wales, the second aircraft carrier in the class, which nears completion at the Rosyth shipbuilding yard.

They will be used to provide humanitarian assistance and disaster relief, strengthen defense relationships with allies, and support British armed forces deployed around the world.

HMS Queen Elizabeth is on track to deploy on global operations from 2021. Meanwhile, the UK has now taken delivery of 16 out of a planned 138 F-35 jets as part of its world-leading fleet of military aircraft for use by the Royal Navy and Royal Air Force.

Source:maritime-executive

Innogy cuts Galloper ribbon

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Innogy has officially opened its 353MW Galloper wind farm 27km off Suffolk in England.

The project, Innogy's fifth offshore wind effort in the UK, features 56 Siemens Gamesa turbines rated at 6.3MW.

Innogy chief operating officer for renewables Hans Bunting said: “During its operating lifetime, almost 60% of the investment in Galloper is expected to go to UK companies.”

“Offshore wind is now a key industrial sector for the UK and offers particular opportunities to key regional hubs, such as East Anglia.”

Innogy highlighted the speed of installation at the project, which saw GeoSea jack-up Innovation install four monopile and transition piece foundations a week between December 2016 and March 2017.

A2Sea jack-up Sea Installer added turbines in a single campaign between May and December last year.

Galloper project director Toby Edmonds said: “Galloper was a great team effort with main contractors all contributing to ensure the wind farm was built with such awe-inspiring speed, efficiency and with an exemplary safety record.”

“Galloper was a great team effort with main contractors: Siemens Gamesa , GE and Petrofac, VBMS, NKT, GeoSea and National Grid; plus the myriad of national and local suppliers all contributing to ensuring the wind farm was built with such awe-inspiring speed and efficiency and importantly, with an exemplary safety record of no significant injuries.”

Minister of State for energy and clean growth Claire Perry said the project was “testament to the work government and industry have done together to bring forward so much of this fantastic energy source at such competitive prices”.

The project is owned by Innogy, Macquarie Capital, Siemens Financial Services, Sumitomo Corporation, ESB and a consortium managed by Green Investment Group and Macquarie Infrastructure and Real Assets.

Innogy led the development and construction and its ongoing operation on behalf of the project partners.

Source:renews

Carnegie buoyed by Oz wave payment

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The state government of Western Australia (WA) has approved a reduced first milestone payment to Carnegie Clean Energy as part of an A$16m grant for the Albany wave project.

WA officials have signed off on a A$2.625m disbursement as part of a variation to the first A$5.25m milestone for the Albany project consisting of a single 1.5MW Ceto 6 wave device due online by 2020.

Carnegie said the remaining procurement activities associated with the balance of the first milestone and the timing of the delivery of the scheme has been affected by uncertainty associated with the proposed changes to the Australian federal government’s R&D Tax Incentive scheme.

In a related development, Carnegie director Michael Ottaviano is to leave the company after a decade at the helm.

Former chief technology officer Jonathan Fievez has been appointed as chief executive of the Perth outfit with immediate effect.

Carnegie chairman Terry Stinson said: “Having held the role of CTO for Carnegie for over seven years, Jonathan has a deep understanding of business, renewables and technology development and is well placed to lead the continued commercialisation of Carnegie’s Ceto technology.”

Source:renews

China’s Nexen plans Gulf of Mexico exit

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Nexen Petroleum, a unit of China’s CNOOC Ltd., plans to divest its stake in the Gulf of Mexico as trade tensions between the US and China mount, according to a Reuters report.

According to the report, Nexen has not determined whether it will sell the assets outright or swap offshore acres with another company. One source indicated that the decision to pull out of the Gulf was due to rising trade tensions between Washington and Beijing.

CNOOC bought Nexen in 2013 for $15.1 billion, as China mounted a campaign to acquire global natural resources. The deal gave CNOOC access to acreage in the Gulf of Mexico, the UK North Sea and off the coast of Western Africa.

Nexen holds a 25% interest in Hess Corp.’s Stampede development, about 115 miles (185 kilometers) off the coast of Louisiana. The platform at Stampede began producing oil in January and has the ability to process 80,000 b/d of oil and 50 million cubic feet of natural gas a day.

Nexen also has a 21% interest in Royal Dutch Shell’s Appomattox development, located 80 miles (128 km) off the coast of Louisiana. The Appomattox platform is forecast to have peak production of 175,000 boe/d and probable reserves of 700 MMboe.

Typically, co-owners of acreage would have the first opportunity at taking on assets a partner is planning on selling.

Reuters reports that Nexen has not leased any new acreage in the Gulf of Mexico since it was bought by CNOOC, according to data from the Bureau of Ocean Energy Management (BOEM). Nexen sold small acreage plots to Cox Oil this year and Total SA last year, according to BOEM data. Nexen has not acquired any stakes in Gulf of Mexico blocks this year from other producers, according to BOEM data.

Nexen is one of the largest oil producers in the UK North Sea, according to the company’s website, and its holdings include assets in Canada, Nigeria and Trinidad and Tobago.

Source:offshore-mag

BP gets go-ahead for North Sea subsea tieback

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BP has received approval from the Oil and Gas Authority (OGA) to proceed with the Vorlich development in the central North Sea.

Vorlich, a two-well development about 241 km (150 mi) east of Aberdeen, will be tied back to the Ithaca Energy-operated FPF-1 semisubmersible production platform, which lies at the center of Greater Stella Area hub. Ithaca has a 34% interest in Vorlich.

The field will target 30 MMboe and is expected to produce 20,000 boe/d at peak. The field is expected to come onstream in 2020.

According to BP, the £200-million ($262-million) project is part of a program of North Sea subsea tieback developments that seek to access new production from fields located near established producing infrastructure.

Scott Robertson, Central North Sea Area Manager at the OGA, said: “The field will make an important contribution to our Maximising Economic Recovery UK priority as a valuable tieback utilizing existing infrastructure and by maximizing value from the Greater Stella Area hub.”

Source:offshore-mag

Bimco fast tracks 2020 sulphur cap bunker clause

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Bimco is fast-tracking its first 2020 bunker clause that could be published as early as the end of October.

Law firm HFW said it had helped Bimco in drafting the first clause relating to the 0.5% low sulphur cap from the International Maritime Organization (IMO) that comes into force from 1 January 2020.

The new clause is focused on compliance and according to HFW could be fast-tracked by the Copenhagen-headquartered shipping body to be published by end October.

Paul Dean, head of offshore, HFW said: "It is a privilege to support Bimco, the other members of the drafting sub-committee, the wider membership of Bimco and the shipping community generally on this very important new regulatory requirement."

Bimco is planning several clauses specifically dealing with the sulphur cap.

Recently mutual North P&I highlighted the potential impact of the sulphur cap on charter parties.

Source:seatrade-maritime

Dry bulk FFA market: Pre-Golden Week holiday euphoria for Capesizes

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Market sentiment for Capesize market was on the rise this week despite the widening gap between the physical and paper market.

Initially, the physical Capesize market was hampered by lack of fresh cargoes early in the week as the Chinese trade participants absented themselves for Mid-Autumn holiday on Monday.

Subsequently, the Chinese trade participants will go for another one week-long holiday for the upcoming China’s National holidays starting at the first week of October 2018.

Fresh cargoes and higher paper rates to the rescue

Despite the cold start, things turned for the better in Capesize market with the introduction of fresh cargoes later in the week as well as good support from higher paper rates.

Perhaps, this shift in market sentiment was partly attributed by the short-term push from the trade participants becoming more active in taking market positions prior to the Golden week in China.

However, there were some market concerns on whether the improvement in physical cargoes was sustainable to match up with the optimistic paper market before the positive market momentum ceased.

“With the upcoming Golden Week on the horizon, there may well be a further slide on paper unless the physical can start producing the goods.” commented a FIS FFA broker. 

Nevertheless, the Capesize 5 time charter average ended the mid-week strongly after booking a gain of $1,051 day-on-day to $17,535 on Wednesday, and up $1,227 from Monday’s rate of $16,308.

“With talk of more cargo and better rates being agreed in the Atlantic, we remain optimistic that the physical will soon see further gains in order to catch up the fast paced and optimistic paper market.” remarked another FIS FFA broker.

Good market optimism for Panamax

After experiencing a rangebound morning trading session on Wednesday, the Panamax paper later firmed up due to the positive Atlantic market momentum.

The market optimism was backed up by a flurry of buying as a good volume of prompt contracts changed hands. As such, the October contracts led the charge, trading up $250 to print high at $13,100,  which in turn saw Q4 trading up to the $12,800 level.

Thus, the Panamax time charter average went up by $305 day-on-day to $13,455 on Wednesday and booked a gain of $539 from Monday’s rate of $12,916.

Supramax paper goes for steady gains

Supramax time charter average saw a rise of $61 day-on-day to $12,976 on Wednesday, up $133 from Monday’s rate of $12,843 and went on to book some steady gains throughout the week.

“However, the Supramax paper gradually succumbs to some pressure on Wednesday with buyers chipping away at the front of the curve as the underlying looks to flatten out,” said a FIS Supramax shipbroker.

With prompt support being tested, the Supramax October contracts later traded down from $12,900 to $12,800 while Q4 traded $12,650 on Wednesday. In the meantime, the Handysize paper market found some supports on Wednesday, with its time charter average traded at a gain of $53, day-on-day to $9,123.

Source:seatrade-maritime

Autonomous shipping does not mean unmanned

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Kongsberg, the Norwegian company leading the world in autonomous shipping, has sought to allay fears that technological advancements will lead to widespread job losses in the industry.

“Sailors fear for their jobs when they hear about what we are doing, but autonomous does not mean unmanned,” said Peter Due, director autonomy, global sales and marketing at Kongsberg Maritime, addressing a seminar on the Ocean Space, organised by the Norwegian Embassy in Dubai this week.

Kongsberg is developing the world’s first electric, fully autonomous containership, named the Yara Birkeland. Due to be delivered in early 2020, the zero-emission vessel has been hailed a game changer for the maritime industry as it prepares to meet stringent environmental targets.

Due said only a small percentage of future ships will be unmanned and the remainder will be fully or partly manned. On the high seas, autonomous vessels would maybe require fewer crew, but there would still be the need for maintenance teams onboard.

For the short sea shipping market, Due said autonomous containerships will enable shippers to win back cargo lost to the trucking industry because of the cost savings, emissions reductions and safety benefits they will bring. Although these ships will be unmanned, they will still be monitored by sailors working in onshore control centres. As an added benefit, Due pointed out that these sailors will enjoy a much-improved work-life balance from being based on land.

Rather than job losses, Due said the shipping industry actually faces a shortage of 147,000 officers worldwide by 2025 according to the 2015 Manpower Report by Bimco and the International Chamber of Shipping (ICS), as rising global trade and improved competitiveness will create more jobs in the ocean space.

In August, Norwegian shipbuilder Vard was awarded a $30m contract to build the 120-teu Yara Birkeland. Kongsberg is developing the vessel in partnership with Norwegian chemical company Yara, which currently uses 40,000 diesel truck journeys each year to transport its fertiliser products to export terminals.

The global shipping industry is looking to at least halve its carbon emissions by 2050.

Source:seatrade-maritime

UK Hydrographic Office conducts seabed mapping in Dominica to support marine economy

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The UK Hydrographic Office (UKHO) has deployed a motorboat to survey the waters off Dominica as part of the Commonwealth Marine Economies (CME) Programme.

Following a stakeholder meeting with Dominica’s Maritime Authority and wider government in late 2017 after Hurricane Maria, priority survey areas were agreed to capture seabed mapping data of Dominica’s main ports and approaches. The mapping equipment being used has no negative impact on its diverse ecosystems and marine life, and surveying is expected to continue throughout September, focussing on areas including Roseau, Portsmouth and Soufriere Bay.

Data from the survey will be used to update navigation charts of the region, as well as helping Dominica to meet its international maritime obligations, including respective elements of the Implementation of IMO Instruments Code (IIIC). These updated charts will reduce navigational risk and improve the safety of ships, cargo and crew, encouraging access for its growing cruise ship sector and maximising efficiency of trade by enabling ships to confidently increase cargo-carrying capacity.

This data will also be supplied to the government of Dominica to support a range of environmental and scientific applications. This will help Dominica to better manage the marine environment, supporting the sustainable management of fisheries and other marine resources, as well as coastal protection and management.

This work forms part of the CME Programme, which is funded by the UK Government and delivered by the UKHO, the Centre for Environment, Fisheries and Aquaculture Science (Cefas) and the National Oceanography Centre (NOC). The programme aims to support the sustainable growth of Commonwealth Small Island Developing States (SIDS) by making the most of their natural economic and environmental resources.

Source:hellenicshippingnews

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